House of Representatives

SB 1045

CORP; benefit increases

Sponsors: Senator Cirillo

DP	Committee on Retirement and Government Operations
DP	Caucus and COW
X	As Transmitted to the Governor

SB 1045 changes the method of calculating maximum benefit increases (COLAs) for Corrections Officer Retirement Plan (CORP) members.

History

Current law provides that each retired member or their survivor is entitled to a permanent benefit increase if the retired member or their survivor was receiving benefits before July 31 of the previous two years or was 55 years of age or older on July 1 of the current year and was receiving benefits on or before July 31 of the previous year. The benefit increase is contingent upon the investment earnings on the net assets of the fund in excess of nine per cent. The monthly amount of the permanent increase is capped at four per cent of the average normal benefit.

Provisions

· Changes the maximum benefit increase of CORP members from the equivalent of four per cent of the average normal benefit to four per cent of the member’s benefit on the preceding June 30.

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45th Legislature

First Regular Session 2 April 18, 2001

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