Minnesota House Bill HF3256

Minnesota 2025-2026 Regular Session

• Introduced: 4/28/25
• Refer: 4/28/25

Caption

Public employees police and fire retirement plan; reemployment earnings limit applicable to disability benefit payments increased.

Impact

The proposed changes in HF3256 are expected to help disabled employees manage their finances better by allowing them to earn a greater income while on disability. This modification could result in significant changes to the personal finances of individuals who have suffered disabilities but still possess the capacity to work part-time or in various positions. It reflects a growing recognition of the need to balance the rights of disabled individuals with the operational needs of public service organizations.

Summary

HF3256 is a bill that seeks to amend existing laws regarding the reemployment earnings limit for disability benefit payments to public employees, specifically those in police and fire retirement plans. The bill introduces adjustments to the calculations of benefits that allow for some earnings from reemployment while still receiving disability benefits. By increasing these limits, the bill aims to provide more financial flexibility to disabled public employees who wish to return to work without completely relinquishing their disability benefits.

Contention

Debate surrounding HF3256 may arise regarding its implications for the financial sustainability of public pension systems. Some critics might argue that increasing the reemployment earnings limit could encourage individuals to game the system, thereby increasing costs for the pension funds. Others may raise concerns about how these changes will affect the balance between providing support for disabled employees and maintaining the integrity of the retirement system.

Last_action

As of April 28, 2025, HF3256 has been referenced to the Committee on State Government Finance and Policy, marking a step in its legislative journey.