Legislature; allow retired PERS members to receive a retirement allowance while serving as a member of.
By permitting retired individuals to receive benefits alongside their legislative compensation, HB1380 alters the landscape of legislative service in Mississippi. The bill stipulates that eligible members can receive 50% of their session compensation if their service does not exceed half of the normal working days or opt for compensation not exceeding 25% of their average earnings during their earlier employment. This flexibility may encourage more retired individuals to participate in legislative roles, potentially enhancing the experience and knowledge within the Legislature.
House Bill 1380 establishes new provisions regarding the receipt of retirement allowances by members of the Mississippi Legislature. It allows individuals who are already receiving a retirement allowance from the Public Employees' Retirement System (PERS) to continue receiving their retirement benefits while serving as elected members of the Legislature. This bill specifically caters to those who have retired and meet the eligibility criteria before their election to the Legislature, ensuring their financial support remains intact while they perform legislative duties.
Despite its potential benefits, the bill is not without controversy. There are concerns regarding the implications of allowing retired members to receive dual compensation. Critics argue that this practice may set a precedent for financial dependency on public retirement funds and could discourage new, non-retired candidates from pursuing legislative positions. Furthermore, opponents might raise questions about the sustainability of such allowances within the PERS, especially if they lead to increased financial burdens on the system.
The bill also clarifies that those who choose to continue receiving their retirement allowance while serving will not gain creditable service toward their retirement benefits for the duration of their legislative service. It requires members to notify the executive director of their intention to continue receiving their retirement allowance prior to taking office. This provision seeks to manage expectations and clarify the boundaries of their service and benefits.