HB329--COSTOFLIVINGADJUSTMENTFORPSRSANDPEERS
SPONSOR: Haley
COMMITTEEACTION:Voted"DoPass"bytheStandingCommitteeon
Pensionsbyavoteof15to0.
Currently,retiredmembersofthePublicSchoolRetirementSystem
("PSRS")andthePublicEducationEmployeeRetirementSystem
("PEERS")mayreceiveyearlycostoflivingadjustmentsonmonthly
retirementallowances,butthetotalofthecostofliving
adjustmentsmustnotexceed80%ofamember'soriginalmonthly
retirementallowance.
Undertheprovisionsofthisbill,the80%limitationwillbe
subjecttoannualincreasesapprovedbytheBoardofTrustees
beginningDecember31,2025,andeveryDecember31stthereafter,
excepttheincreasestothelimitationmustnotexceed1%peryear.
Additionally,iftheinvestmentsofthesystemearn2%orgreater
returnsthantheinvestmentreturnrateadoptedbytheBoard,the
limitationonthetotalcostoflivingadjustmentsmustbe
increasedby1%.However,thecostoflivingadjustmentsmustnot
exceed100%ofamember'soriginalmonthlyretirementallowance.
ThisbillisthesameasSB1421(2024).
PROPONENTS: Supporterssaythatthisbillallowsthefrailestand
oldestteachersthedignityofcontinuingtoreceiveacostof
livingadjustment(COLA)toretirementbenefitswithoutcreatinga
strainuponoraffectingthehealthofthesystem.Withthe
guardrailsinplace,thegradualadjustmenttotheCOLAcapwill
protectretiredteachersandallowthebenefitstokeeppacewith
inflation.
TestifyinginpersonforthebillwereRepresentative Haley;Joshua
B.Mcgowin;LindaE.Greeson;MissouriRetiredTeachers
Association;ArnieDienoff.
OPPONENTS: Therewasnooppositionvoicedtothecommittee.
OTHERS:OtherstestifyingonthebillexplainedhowtheCOLA
increaseswouldworkandtheactuarialcostestimatesandvaluation
reportsforthesystems,whicharefurtherdetailedinthefiscal
note.
TestifyinginpersononthebillwasPSRS/PEERS. Writtentestimonyhasbeensubmittedforthisbill.Thefull
writtentestimonyandwitnessestestifyingonlinecanbefound
underTestimonyonthebillpageontheHousewebsite.