SENATE BILL REPORT

                                    SB 5354

                              AS OF MARCH 6, 1991

Brief Description:  Revising the cost‑of‑living allowance for certain retirees.

SPONSORS:Senators Saling, Bauer, Rasmussen, Moore, Nelson, Jesernig, Vognild, Madsen, Skratek, von Reichbauer, Gaspard, Wojahn, West and Stratton.

SENATE COMMITTEE ON WAYS & MEANS

Staff:  Denise Graham (786‑7715)

Hearing Dates:March 7, 1991

BACKGROUND:

A retiree in Plan I of the Public Employees' Retirement System (PERS I) or the Teachers' Retirement System (TRS I) receives an annual cost-of-living adjustment (COLA) of up to 3 percent when purchasing power erodes to less than 60 percent of that at age 65. 

A TRS I or PERS I member may retire at any age with 30 years of service, at age 55 with 25 years of service or at age 60 with five years of service.

SUMMARY:

Beginning July 1991, a TRS I or PERS I retiree who is at least 65 years of age receives an annual COLA of up to 3 percent when purchasing power erodes to less than 60 percent of that at retirement.

Appropriation:  none

Revenue:  none

Fiscal Note:  available

Effective Date:  The bill contains an emergency clause and takes effect immediately.