Secure PERA is still analyzing the proposed changes and will be seeking your input on them in the coming weeks. We are very likely to ask the PERA Board for some changes during their November meeting and in our meetings with legislators.
In the meantime, we want to fill you in on the proposed changes. PERA will present this package during their PERAtour 2.0. You can learn more about PERAtour 2.0 at www.PERAtour.org or in our Upcoming Events Calendar on the right-hand side of this page.
The proposed package, which would still have to be approved by the Colorado General Assembly, includes the following.
For Active Employees as of 1/1/2020:
- A 3% contribution starting January 1, 2020 (currently at 8% and 10% for troopers)
- Salary definition will change to gross pay (currently net pay)
For New Employees as of 1/1/2020:
- Additional 2% contribution starting January 1, 2020 (currently 8% and 10% for troopers)
- Increase retirement age to 65 years of age and 5 years of service or 40 years of service. Troopers increase to 55
Additional Changes For New Employees and Non-Vested Employees (5 years of service) as of 1/1/2020:
- Highest Average Salary calculation number of years increased to 5 years (currently 3 years) and 3 years for Judicial Division (currently 1 year)
- Salary definition changed to gross pay (currently net pay)
- Change definition for service accrual to be a percentage of time actually worked
For Current and Future Retirees:
- COLA rate reduced to 1.5% (currently 2%)
- Two year COLA suspension (those not retired yet will have three years suspended, 1 year from SB1)
For Employers:
- Additional 2% contribution
- Salary definition will change to gross pay (currently net pay)
You can view a chart of the changes from PERA here.