Minnesota 2023-2024 Regular Session

Minnesota House Bill HF4899

Introduced
3/13/24  

Caption

Public Employees Retirement Association defined contribution plan; requirements for electing to participate in plan modified.

Impact

The bill is expected to significantly influence the landscape of retirement benefits for city managers and certain local officials in Minnesota. By allowing the exclusion from the traditional retirement plan, this legislation attempts to provide more flexibility and options for those in public service. The amendments might lead to a shift in how local governments manage their pension obligations and could inspire similar adjustments in other states, depending on the outcomes observed in Minnesota.

Summary

House File 4899 focuses on modifying the requirements for participation in the Public Employees Retirement Association's defined contribution plan. Notably, this bill allows city managers and certain local officials the option to make a one-time irrevocable election to exclude themselves from the general employees retirement plan. This change affects those hired within six months before the effective date of the act, allowing these officials to have a different retirement benefits structure tailored to their specific roles and contributions. The modifications aim to streamline retirement options and potentially enhance the fiscal management of municipal retirement programs.

Contention

However, discussions surrounding HF4899 reflect notable contention, particularly concerning the implications for local governance and the financial security of public employees. Critics may argue that offering alternative retirement options could dilute the benefits and security traditionally provided by the general employees retirement plan. Questions arise about whether these changes might lead to inequities in retirement securities among public workers, thereby impacting employee retention and recruitment in crucial public service roles.

Companion Bills

MN SF5073

Similar To PERA public employees defined contribution plan electing to participate requirements modifications

Previously Filed As

MN SF5073

PERA public employees defined contribution plan electing to participate requirements modifications

MN HF2386

Administrative changes made to statutes governing the retirement plans administered by the Public Employees Retirement Association, monthly salary threshold requirements clarified, 60-day requirement for filing an election with the association added, and other retirement provisions modified.

MN SF2980

Public Employees Retirement Association provisions modifications

MN SF3169

Amending eligibility to permit local government officials to participate in public employees defined contribution plan

MN HF1669

Public employees defined contribution plan; eligibility to permit appointed local government officials to participate amended, and retroactive participation permitted.

MN HF2487

Public employees defined contribution plan; eligibility to permit appointed local government officials to participate amended, and retroactive participation permitted.

MN SF4759

Supplemental retirement plans requirements modifications; employer matching contributions on accounts of employee's qualified student loan payments under Secure 2.0 authorization

MN HF1199

Administrative changes made to the statutes governing the retirement plans administered by the Minnesota State Retirement System, the Public Employees Retirement Association, and the Teachers Retirement Association; and experience requirements modified for a Teachers Retirement Association executive director.

MN SF1742

Administrative changes to the statutes governing the retirement plans administered by the Public Employees Retirement Association

MN HF4656

Supplemental retirement plan requirements revised, and employer matching contributions on account of an employee's qualified student loan payments under Secure 2.0 allowed.

Similar Bills

MN SF5073

PERA public employees defined contribution plan electing to participate requirements modifications

MN HF5040

Pensions supplemental budget bill.

MN SF4643

Omnibus Pension bill

MN HF5245

Supreme Court and district courts funding and related policy changes provided, State Board of Civil Legal Aid established, Safe at Home program certification modified, restorative process provided for certain acts, and money appropriated.

SD HB1029

Update provisions of the South Dakota Retirement System.

MN HF5216

Judiciary, public safety, and corrections supplemental budget bill.

AZ SB1148

CORP; defined contributions

MN SF3467

Pensions provisions modification