Provides for a benefit increase for the Louisiana School Employees' Retirement System (EN INCREASE APV)
Impact
The enactment of HB 17 is expected to positively impact the financial wellbeing of qualifying retirees by increasing their benefits, as the state recognizes the importance of supporting educational staff post-retirement. The funding for this increase will come from the experience account of the Louisiana School Employees' Retirement System, emphasizing the need for careful budgeting to ensure the sustainability of these benefits. The requirement of actuarial support for the benefit adjustments signals the government’s intent to maintain fiscal accountability while addressing the needs of retirees.
Summary
House Bill 17 introduces a permanent benefit increase for retirees and beneficiaries of the Louisiana School Employees' Retirement System, aiming to provide financial support to former education employees. The bill stipulates that individuals who have retired at age sixty or over and have received benefits for at least one year will be eligible for this increase, along with designated beneficiaries and disability retirees. The proposed increment is up to one and one-half percent of their current benefit amount, depending on the funds available in the system's experience account.
Sentiment
Overall, the sentiment surrounding HB 17 appears to be supportive from both the legislature and the constituents who benefit from these retirement adjustments. Lawmakers view this legislation as a necessary step to take care of education employees who dedicated their careers to serving the state's students. However, potential contention regarding the funding sources and the long-term financial implications of such adjustments may arise as the bill moves through the legislative process.
Contention
Notable points of contention may include the sustainability of funding for the benefit increases and whether the actuarial determinations are accurately reflective of the system's financial health. The reliance on the experience account raises questions about future contributions and the potential need for employer contributions to supplement these costs. Stakeholders may debate the merits of granting such increases versus the necessity of ensuring a stable pension fund without compromising long-term solvency.
Provides for benefit increases for retirees, beneficiaries, and survivors of state retirement systems and the funding therefor. (2/3-CA10s(29)(F)) (gov sig) (EN INCREASE FC SG RE)
Provides a minimum benefit increase for certain retirees, beneficiaries, and survivors of the Teachers' Retirement System of Louisiana, Louisiana State Employees' Retirement System, Louisiana School Employees' Retirement System, and State Police Retirement System. (6/30/21) (2/3 CA10s29(F)) (EN INCREASE APV)
Provides a supplemental benefit increase to certain qualifying retirees and beneficiaries of the La. School Employees' Retirement System (OR +$30,667,812 APV)
Provides a permanent benefit increase paid from the experience account to certain retired members and beneficiaries of the Louisiana State Employees' Retirement System (OR +$97,481,233 APV)
Provides a permanent benefit increase paid from the experience account to certain retired members and beneficiaries of the Louisiana State Employees' Retirement System (OR +$97,481,233 APV)
Provides a permanent benefit increase paid from the experience account to certain retired members and beneficiaries of the La. School Employees' Retirement System (OR +15,862,663 APV)
Authorizes payment of a benefit increase, funded by state retirement system experience accounts, to certain retirees and beneficiaries of such systems (EN INCREASE APV)