An Act Concerning Legislative Pension Calculations And The Transportation Allowance.
If enacted, this bill would have a significant effect on legislators' retirement benefits, as it changes how their compensation is accounted for in pension calculations. By removing the transportation allowance from these calculations, the bill aims to ensure that legislators’ pensions are based solely on their base salary rather than additional reimbursements. This could lead to lower pension payouts for some legislators, especially those who heavily rely on mileage reimbursement in their compensation.
House Bill 05005 proposes amendments to chapter 66 of the general statutes concerning legislative pension calculations and the transportation allowance. Specifically, the bill seeks to exclude the transportation allowance received by legislators from the calculations of base salary used for determining their retirement income. This essentially means that the mileage reimbursement provided to state legislators would no longer contribute to the pension calculation, potentially impacting future retirement income for current and future legislators.
The bill may face debate regarding its implications for the retention and recruitment of legislators. Advocates argue that this change is necessary for fiscal responsibility and transparency in public service compensation, promoting a more equitable system. On the other hand, opponents may raise concerns that reducing pension calculations could deter qualified individuals from serving in legislative roles, particularly those who have significant commuting distances, as some may perceive this change as a reduction in benefits that could impact job attractiveness.