HOUSE BILL REPORT

HB 2110

BYRepresentative Appelwick

Reducing elected officials' contributions to the teachers' retirement system to six percent.

House Committe on Appropriations

Majority Report:  Do pass.  (21)

      Signed by Representatives Locke, Chair; Grant, Vice Chair; H. Sommers, Vice Chair; Silver, Ranking Republican Member; Youngsman, Assistant Ranking Republican Member; Appelwick, Belcher, Bowman, Braddock, Brekke, Bristow, Dorn, Ebersole, Hine, Nealey, Peery, Sayan, Spanel, Sprenkle, Valle and Wineberry.

House Staff:Randy Acker (786-7136)

AS PASSED HOUSE MARCH 15, 1989

BACKGROUND:

Elected officials who are members of the Public Employee's Retirement System, Plan I (PERS I) pay 7 1/2 percent percent of salary for retirement contributions.  Their benefit at retirement is based on a formula that provides 3 percent of average final compensation (AFC) for every year of service credit.  AFC is calculated over the two highest consecutive years of salary.

Elected officials who are members of the Teachers' Retirement System, Plan I (TRS I) also pay 7 1/2 percent of salary for retirement contributions but their benefit is based on a 2 percent formula.

Other members of TRS I, who are not elected officials, pay 6 percent of salary for retirement contributions and receive a benefit based on a 2 percent formula.

SUMMARY:

Retirement contributions for elected officials who are members of Teachers' Retirement System Plan I are reduced from 7 1/2 percent of salary to 6 percent.

Fiscal Note:      Requested February 24, 1989.

House Committee ‑ Testified For:    None Presented.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    None Presented.

House Committee - Testimony Against:      None Presented.