Connecticut House Bill HB06084

Connecticut 2017 Regular Session

• Introduced: 1/20/17
• Refer: 1/20/17

Caption

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

Impact

If enacted, this bill will directly affect the retirement income of state employees, particularly those who regularly use their vehicles for work-related tasks and receive reimbursement for mileage. The exclusion of these payments from pension calculations could lead to lower retirement benefits, reducing the financial security of state employees post-retirement. Supporters of the bill argue that it will save state funds and help stabilize the pension system, which is often under financial strain.

Summary

House Bill 06084 aims to amend existing state law by removing mileage reimbursements paid to state employees from the calculation of their retirement income. The bill is presented as a financial measure intended to adjust how pension benefits are calculated for state workers, thereby potentially reducing the overall retirement costs borne by the state. By excluding these reimbursements, the legislators aim to create a more fiscally responsible framework for calculating the taxable income for retirement benefits.

Contention

Notable points of contention surround the implications this bill could have on employee morale and recruitment. Critics argue that removing mileage reimbursements from pension calculations could discourage potential applicants from seeking employment in state positions, particularly if the compensation package appears less favorable when retirement benefits are compromised. State employees who frequently incur travel expenses may also feel disproportionately impacted by this change, leading to discussions about fairness and the value of state employment benefits.