The PERA Board met on March 7th and did not take a position on the bill. They asked the PERA staff to continue working with the Legislators on the bill.
You can view PERA’s information on the changes here.
|Employer Contribution||10% – 13.66%||↑. 25% (no increase for local government employers)|
|Employee Contribution||8%||↑ 2% Total
— ↑ .75% on 7/1/2019
— ↑ .75% on 7/1/2020
— ↑ .5% on 7/1/2021
|State Contribution||$225 million annually to PERA starting 7/1/2018|
|Highest Average Salary (HAS)||3 years||5 years
(non-vested as of 12/31/2019 and new employees only)
|Retirement Age||58/60||64 years old
(new employees as of 1/1/2020)
|COLA Suspension||2 years
(3 years for those not already retired – 1 year from SB1)
(starting 7/1/2020, after 2 years suspension)
|PERA Includable Salary||Net to Gross
(new employees as of 7/1/2019)
|Auto – Adjust||Yes (employer, employee, COLA and state contribution involved)
View PERA’s one pager on the auto adjust here.
|Defined Contribution||State after 2006 has option||Expanded to all State Division and Local Division Employees. No Expansion to Judicial, Schools or DPS Employees.
Starting 1/1/2021 the state and local government employers will have to pay a DC Supplement to cover the additional costs of the DC plan.
|Other||-Pension Review Commission, 5 Senator & 5 Reps — to review PERA & FPPA pensions
-Pension Review Subcommittee consisting of 14 members including legislators and community members
– PERA Board to do an annual sensitivity study to ensure PERA is on track and report to Governor, JBC, Audit and Finance Committees.
-Starting on 1/1/2020 new hires that are state corrections officers classified I thru IV or county sheriff, undersheriff, deputy sheriff, non-certified deputy sheriff, or detention officer hired by a local government division employer will receive benefits equivalent to state troopers.