Louisiana Senate Bill SB7

Louisiana 2022 Regular Session

• Introduced: 1/26/22
• Refer: 1/26/22
• Refer: 3/14/22
• Report Pass: 3/28/22
• Refer: 3/29/22
• Report Pass: 4/4/22
• Engrossed: 4/6/22
• Refer: 4/7/22
• Refer: 5/5/22
• Refer: 5/9/22
• Report Pass: 5/16/22
• Enrolled: 6/2/22
• Chaptered: 6/10/22
• Passed: 6/10/22

Caption

Grants a permanent benefit increase to system retirees and beneficiaries. (2/3 - CA10s29(F)) (6/30/22) (EN INCREASE APV)

Impact

The legislation is designed to improve the quality of life for retirees within the Louisiana State Police community by increasing their pensions, which can have a significant impact given cost-of-living adjustments and inflation. The increase will be funded from the retirement system's experience account, which accumulates investment gains in excess of certain thresholds, ensuring that the funds are available without compromising the overall financial health of the retirement system. The bill reflects a commitment to support public servants after their service is completed.

Summary

Senate Bill 7 (SB7) aims to provide a permanent benefit increase to retirees and beneficiaries of the Louisiana State Police Retirement System. The bill outlines a two percent increase, contingent upon specific conditions being met, with the maximum benefit increase calculated based on an amount not exceeding sixty-eight thousand three hundred twelve dollars. This measure is intended to enhance the financial benefits available to those who have dedicated their careers to public service and have retired, as well as their beneficiaries.

Sentiment

The sentiment around SB7 appears to be broadly supportive among legislators, as evidenced by the unanimous vote in favor, with 98 yeas and no nays during the final passage . However, some discussions may highlight potential concerns about the sustainability of the retirement system's funding, especially in light of economic uncertainties. Overall, the bill represents a proactive approach to ensuring that state police retirees receive adequate benefits after years of service.

Contention

While there appears to be a consensus on the necessity of supporting retired law enforcement personnel, concerns might center on the funding mechanisms and long-term viability of the retirement system. The stipulations around the benefit increase—such as the conditions regarding the funding levels of the system—could be points of contention, primarily around ensuring there are sufficient funds to cover increased payouts without jeopardizing the pensions of future retirees.