Connecticut House Bill HB05691

Connecticut 2017 Regular Session

• Introduced: 1/17/17
• Refer: 1/17/17

Caption

An Act Eliminating Reimbursements To State Employees For Mileage From The Calculation Of Retirement Income.

Impact

If enacted, HB 05691 will significantly impact the way retirement income is calculated for state employees in Connecticut. Currently, state employees may have their mileage reimbursements take into account when determining their final average salary for retirement purposes. By excluding these reimbursements, the bill will potentially lower the retirement income for future retirees, thus affecting their financial planning and retirement benefits. This change could also set a precedent for modifying other components of employee compensation that factor into pension calculations.

Summary

House Bill 05691 aims to amend existing statutes concerning the calculation of retirement income for state employees by eliminating reimbursement for mileage from salary considerations. The bill is intended to simplify the calculation of retirement income and reduce potential costs associated with these reimbursements. By excluding mileage from the retirement income formula, the state can streamline pension calculations and possibly enhance fiscal responsibility concerning retirement benefits.

Contention

The passage of HB 05691 may lead to debates among legislators and public sector unions. Supporters argue that the removal of mileage reimbursement from retirement calculations is a necessary reform to ensure sustainable pension programs. However, critics are concerned that this bill could disproportionately affect lower-income state employees who rely on full compensation for their mileage expenses when considering retirement. The exclusion of reimbursement could be viewed as a reduction in overall benefits, fueling discussions about the fairness and adequacy of state employee compensation packages.