Massachusetts 2023 2023-2024 Regular Session

Massachusetts House Bill H2583 Introduced / Bill

Filed 02/16/2023

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HOUSE DOCKET, NO. 1577       FILED ON: 1/18/2023
HOUSE . . . . . . . . . . . . . . . No. 2583
The Commonwealth of Massachusetts
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PRESENTED BY:
David Henry Argosky LeBoeuf
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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
An Act relative to the Massachusetts State Employees Retirement System.
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PETITION OF:
NAME:DISTRICT/ADDRESS :DATE ADDED:David Henry Argosky LeBoeuf17th Worcester1/18/2023Deborah B. GoldbergTreasurer, Office of the State 
Treasurer and Receiver General
1/23/2023Lindsay N. Sabadosa1st Hampshire2/9/2023 1 of 5
HOUSE DOCKET, NO. 1577       FILED ON: 1/18/2023
HOUSE . . . . . . . . . . . . . . . No. 2583
By Representative LeBoeuf of Worcester, a petition (accompanied by bill, House, No. 2583) of 
David Henry Argosky LeBoeuf, Deborah B. Goldberg and Lindsay N. Sabadosa relative to 
further regulating the state employees retirement system. Public Service.
The Commonwealth of Massachusetts
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In the One Hundred and Ninety-Third General Court
(2023-2024)
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An Act relative to the Massachusetts State Employees Retirement System.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority 
of the same, as follows:
1 SECTION 1. Subdivision 6 of section 22 of chapter 32 of the General Laws, as appearing 
2in the 2020 Official Edition, is hereby amended in paragraph (b) by inserting after the final 
3sentence the following two sentences:- For each calendar year beginning subsequent to 
4December thirty-first, two thousand and twenty-three, ''regular interest'' shall mean interest 
5credited at a rate established by the commission, equal to the increase of the most recent 
6Consumer Price Index for New England issued by the United States Bureau of Labor Statistics. 
7The rate established by the commission shall be taken to the nearest tenth of one per cent; 
8provided that the rate established by the commission shall not exceed two per cent.
9 SECTION 2. Subdivision 4 of section 28 of chapter 32 of the General Laws, as appearing 
10in the 2020 Official Edition, is hereby amended by striking out paragraph (c) and inserting in 
11place thereof the following paragraph (c):-  2 of 5
12 (c) Notwithstanding any general or special law to the contrary, each district, non-
13commonwealth governmental unit, or educational collaborative as authorized by the provisions 
14of section four E of chapter forty, the employees of which have become, or which become 
15members of the state employees retirement system under the provisions of this subdivision or 
16any other previous act, shall remit to the state board of retirement as the employer’s normal cost 
17as determined by the actuary, of benefits earned during each year by such employees who are 
18members of the state employees’ retirement system. 
19 The actuary shall determine such cost as a percentage of the payroll of the district, non-
20commonwealth entity and collaborative for such employees based upon the most recent actuarial 
21valuation of the state retirement system. The actuary may consider factors including types of 
22governmental unit, employee demographic information, and employee group classification to 
23help in the determination of said percentage. Said cost shall be paid monthly and deposited in 
24the pension reserve fund of the state employees’ retirement system. The actuary shall review the 
25percentage determined in this paragraph at least every three years.
26 SECTION 3. Subdivision 4 of section 28 of chapter 32 of the General Laws, as so 
27appearing, is hereby further amended by adding the following paragraph:-
28 (d) The state retirement board upon terms and conditions it may establish, may require a 
29participating employer governed by this sub-section, who fails to remit either its normal cost 
30amount as determined in paragraph €, or the contributions made on behalf of employees who are 
31members of the Massachusetts State Employees Retirement System as required by section 22 of 
32Chapter 32, by the first day of the second month following the work month, to pay an additional 
33amount equal to 10% of the total amount of delinquent contributions. The state retirement board  3 of 5
34shall have the right to commence an action in contract for payment of outstanding amounts 
35determined to be due in accordance with the provisions of this chapter. 
36 SECTION 4. Section 28 of chapter 32 of the General Laws, as so appearing, is hereby 
37further amended by inserting at the end thereof the following subdivision:- 
38 (9) For the purposes of this section, “non-commonwealth governmental unit” shall mean 
39an employer as defined in section one of chapter 32 whose employees are not employees of the 
40commonwealth or an agency thereof, employed in a position in the service of the 
41commonwealth, and whose regular compensation is not paid by the commonwealth, eligible for 
42membership in the state employees retirement system and the requirements in connection 
43therewith.
44 SECTION 5. Section 8 of chapter 32A of the General Laws, as so, is hereby amended by 
45inserting after the fourth paragraph the following sentence:- All amounts withheld under the 
46provisions of section 19 and section 19A of chapter 32 forwarded by the state retirement board to 
47the commission as provided by this section from pensions or retirement allowances issued in the 
48month of the death of any retiree, survivor or beneficiary shall be returned to the state retirement 
49board by the commission.
50 SECTION 6. Chapter 25 of the Acts of 2009 is hereby amended by striking section 139 
51in its entirety and inserting in place thereof the following section:-
52 Section 139. Notwithstanding the provisions of any general or special law to the contrary, 
53employees of the Massachusetts Department of Transportation as defined in Section 8 of this Act 
54who are hired after the effective date of this act shall become members of the Massachusetts 
55State Employees’ retirement system, and notwithstanding the provisions of any general or  4 of 5
56special law to the contrary including, but not limited to, paragraph (c) of subdivision (8) of 
57section 3 of chapter 32 of the General Laws, said system shall be responsible for all liability 
58attributable to said service of such employees. The liabilities attributable to any other service of 
59such employees shall be recoverable by the commonwealth pursuant to the terms of paragraph 
60(c) of subdivision (8) of section 3 of chapter 32 of the General Laws.”
61 SECTION 7. Said chapter 25 of the Acts of 2009 is hereby amended by striking section 
62159 in its entirety and inserting in place thereof the following section:-
63 Section 159. (a) Effective upon the date of dissolution of the Massachusetts Turnpike 
64Authority: (1) the Massachusetts Turnpike Authority Employees' Retirement System shall be 
65dissolved ; (2) all members of the Massachusetts Turnpike Authority Employees’ Retirement 
66System shall become members of the Massachusetts State Employees’ Retirement System; (3) 
67the management of benefits of the dissolved Massachusetts Turnpike Authority employees' 
68retirement system shall be transferred to the state board of retirement in section 18 of chapter 10 
69of the General Laws which board shall have with respect thereto the general powers and duties 
70set forth in subdivision (5) of section 20 of said chapter 32, including the reimbursement for 
71liabilities attributable to the service of such members with other governmental units recoverable 
72pursuant to the terms of paragraph (c) of subdivision (8) of section 3 of chapter 32 of the General 
73Laws; (4) all data, files, papers and records and other materials of the Massachusetts Turnpike 
74Authority retirement board provided for in paragraph (b) of subdivision (41/2) of said section 20 
75of said chapter 32 shall be transferred to and held by the state board of retirement; (5) ownership 
76and control of all the assets of the dissolved Massachusetts Turnpike Authority Employees' 
77Retirement System in the custody of the secretary-treasurer of the authority shall be transferred 
78to the Pension Reserves Investment Management Board and be made assets of the Massachusetts  5 of 5
79State Employees’ Retirement System; and (6) the Massachusetts Turnpike Authority retirement 
80board in said paragraph (b) of subdivision (4 1/2) of said section 20 of said chapter 43 shall be 
81abolished; provided, however, that the members and officers thereof shall be authorized to do all 
82such things and take all such action as may be necessary or desirable to be done or taken by them 
83to effectuate the transfers to be made pursuant to this 	section.
84 (b) Effective upon the date of dissolution of the Massachusetts Turnpike Authority, the 
85payment of all annuities, pensions, retirement allowances and refunds of accumulated total 
86deductions and of any other benefits granted under the sections 1 to 28, inclusive, of said chapter 
8732 are hereby made obligations of the commonwealth.
88 SECTION 8. Notwithstanding any general or special law to the contrary, reimbursements 
89currently outstanding to the state retirement board under paragraph € of sub-section (4) of section 
9028 of chapter 32 for calendar years 2013, 2014, and 2015 shall not be required.  
91 SECTION 9. Notwithstanding any general or special law to the contrary, reimbursements 
92currently outstanding to the state retirement board under paragraph (c) of sub-section (4) of 
93section 28 of chapter 32 for calendar years 2016 and after shall be required and remitted under 
94terms and conditions as may be prescribed by the board.
95 SECTION 10. Sections 1 and 2 of this act shall take effect on July 1, 2024.
96 SECTION 11. Section 6 shall take effect on January 1, 2010.
97 SECTION 12. Section 7 shall take effect on July 1, 2009.