Page 1 of 2
Prepared by Margaret M. Corley.
Pearson HB No. 38
(KEYWORD, SUMMARY, AND DIGEST as amended by Senate committee
amendments)
RETIREMENT/STATE SYSTEMS. Provides relative to retirement eligibility for
certain members of state retirement systems (6-30-14)
DIGEST
RETIREMENT ELIGIBILITY
Present law for LASERS and TRSL except certain TRSL members paid from school food
service funds provides the following retirement eligibilities for members whose first
employment making them eligible for membership in any state retirement system occurred
on or after Jan. 1, 2011:
(1)Retirement at age 60 after five years of service.
(2)Retirement at any age after 20 years of service; however, the member's benefit will
be actuarially reduced from age 60.
Present law provides the following retirement eligibilities for members of TRSL paid from
school food service funds:
(1)Five years of service and at least age 60.
(2)30 years of service and at least age 55.
Proposed law retains present law for such members hired on or before June 30, 2015.
Present law for LSERS provides the following retirement eligibilities for members whose
first employment making them eligible for membership in any state system occurred on or
after July 1, 2010:
(1)Retirement at age 60 after five years of service.
(2)Retirement at any age after 20 years of service; however, member's benefit will be
actuarially reduced from age 60.
Proposed law retains present law for such members hired on or before June 30, 2015.
Proposed law provides for retirement eligibility for the following members whose first
employment making them eligible for membership in a state retirement system began on or
after July 1, 2015:
(1)Rank-and-file members of LASERS.
(2)All members of TRSL.
(3)All members of LSERS.
Proposed law provides that such members are eligible for retirement at age 62 after five years
of service. For all of the above members that are presently eligible, eligibility for an
actuarially reduced retirement after 20 years of service at any age has been retained. The
actuarial reduction for new members under proposed law would be from age 62.
Proposed law establishes the following retirement eligibilities for TRSL members paid from
food service funds whose first employment making them eligible for membership in a state
system occurred on or after July 1, 2015: Page 2 of 2
Prepared by Margaret M. Corley.
(1)Five years of service and at least age 62.
(2)20 years of service at any age, actuarially reduced from age 62.
DISABILITY
Present law provides that members of LASERS, TRSL, and LSERS who become disabled
are required to have a physician certify their continued total disability every three years until
they attain age 60. Proposed law retains present law for all members whose first employment
making them eligible for membership in a state retirement system occurred prior to July 1,
2015. Proposed law further provides that for all members whose first employment making
them eligible for membership in a state retirement system occurred on or after July 1, 2015,
such certification must continue until the member attains age 62.
COST-OF-LIVING ADJUSTMENTS
Present law provides the following qualifications for eligibility for permanent benefit
increases granted pursuant to a system's experience account:
(1)The retiree must have attained at least age 60 and have been retired for at least one
year prior to the granting of the increase.
(2)The retiree or the beneficiary of a retiree must have received benefits for at least one
year prior to the granting of the increase, and the retiree would have attained age 60
by the time the increase is granted.
(3)Disability retirees, regardless of age, must have received benefits for at least one year
prior to the granting of the increase.
Proposed law retains present law for all members, regardless of the date the member joined
the system.
Proposed law further provides technical corrections to present law.
Effective June 30, 2014.
(Amends R.S. 11:441(A)(2)(b), 461(B)(3)(b), 726(B), 761(A)(3) and (4), 765(A) and (B)(1),
780, 783(A)(3)(a), 786(A)(2) and (3), 802, 1141(A), 1142, and 1147(C)(4); Adds R.S.
11:441(A)(2)(c), 461(B)(3)(c), 761(A)(5), and 786(A)(4))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Retirement to the
engrossed bill
1. Provides that proposed law applies to new hires beginning July 1, 2015.
2. Provides technical corrections.
3. Adds an effective date of June 30, 2014