Connecticut Senate Bill SB00382

Connecticut 2014 Regular Session

• Introduced: 3/4/14
• Refer: 3/4/14

Caption

An Act Concerning The Overpayment Of Benefits To Retired State Employees.

Impact

The legislation addresses situations where errors in payment records result in either overpayments or underpayments to members of the state retirement system. In cases of overpayment, if the recipient was not aware of the error and could not have reasonably detected it, the Retirement Commission is granted the authority to waive repayment. This waiver is particularly crucial for retirees, as repaying such amounts can cause financial hardship for individuals on fixed incomes.

Summary

SB00382, titled 'An Act Concerning The Overpayment Of Benefits To Retired State Employees', proposes significant changes to how overpayments of retirement benefits are handled for retired state employees. The bill aims to prevent the state from recouping these overpayments if the state has not conducted an audit within the last twenty-four months. This change is designed to provide financial relief to retirees who may have received incorrect benefit amounts without any fault of their own.

Contention

However, the bill may face scrutiny regarding the provisions that restrict the state's ability to reclaim overpaid benefits. Critics could argue that it may encourage lax auditing practices or potentially lead to financial losses for the state if overpayments are not adequately addressed. Supporters contend that it offers essential protections to retirees, ensuring that they are not penalized for administrative errors that are outside their control.