CORRECTIONS OFFICER RETIREMENT PLAN
2002 PROPOSED LEGISLATION

JUNE 5, 2002

HB 2118  Retirement Benefits

This bill would (1) increase the pension for a surviving spouse of a retired member from the current 75 percent to 80 percent of the member's monthly pension, (2) increase currently existing survivors pensions from 37and 1/2 percent to 40 percent of the member's monthly salary. The amendment proposes to give the surviving spouse of a member killed in the line of duty a monthly pension benefit equal to the member's average monthly benefit compensation, (3) clarify the current requirement that a "member" in the PSPRS or CORP customarily work at least forty hours in a normal week, and (4) make a technical correction to the the definition of "Normal retirement date" in the CORP plan to clarify that dispatchers may retire after twenty-five years of service; (5) Amendment 4529 which incorporates SB 1417 and allows the restriction on pension for an elected official who retires and then is elected again is lifted to a degree by providing that it applies only within a time period following the member's retirement that is less than one full term for that office. Retroactive to the start of 1997. 

Current Action:  Assigned House Retirement and Government Operations; Hearing 1/22/02, Held; Hearing 1/28/02 Passed with amendment # 3060; House COW approved with amendments included above, 4/4/02; Referred to Senate Finance Committee 4/09/02, Hearing 4/22/02; passed 4/23/02; 4/30/02 passed Senate rules with technical amendment; Senate COW approved w/ floor amendment 5/8/02; Passed Senate 5/13/02, ready for House action on Senate Amendments; House concurred in Senate amendments and passed on final reading 58-0, ready for governor 5/20/02. Signed by Governor 6/4/02. Chap. 335, Laws 2002.

HB 2213 Reviser's technical corrections

Corrections of numerous defective and/or conflicting statutes; no apparent substantive change.

Current Action:  Assigned House Retirement and Government Operations; Hearing 1/22/02, Held; Hearing 1/29/02 Passed; Passed House 3/18/02; Referred Senate Government; Passed 3/26/02; 4/18/02 passed Senate rules with technical amendment; Senate COW approved w/ the rules technical amendment 5/6/02; passed Senate, ready for House action on Senate amendments 5/7/02; House concurred on Senate amendments and passed on final reading 52-3; ready for governor 5/16/02; signed by governor 5/20/02;  Chapter 241, laws 2002.

HB 2354 Deferred retirement option plans

This bill would provide for an optional deferred retirement plan (DROP), beginning July 1, 2003. A DROP program allows a member of the Plan to "freeze" his service and average annual salary as of the DROP election date for retirement calculation purposes. The member elects to have the retirement pension that would have been paid (if the member had retired) credited to a DROP account while he continues to work and draw a salary from the employer. The member and employer would no longer make contributions to the plan. The DROP account would be credited with interest during the DROP period. At the end of the DROP period, five years, the member would terminate employment, begin receiving his monthly pension amount at the rate calculated at the time of the DROP election, and recover the member's accumulated DROP account either as a lump sum amount or roll the money into a qualified retirement account. This program would terminate after 5 years.

Current Action: Assigned House Retirement and Government Operations; Hearing 1/22/02; Passed with amendment #3146 2/5/02; Appropriations.

HB 2558  Retirees; health insurance; enhanced subsidy

Statutory provisions for state retirees to be given enhanced subsidies for health insurance premiums are extended an additional year, until June 30, 2004.

Current Action:  Assigned House Retirement and Government Operations; Hearing 3/22/02; Passed with amendment; House COW approved with amendment # 3586 - 4/4/02; Ready for Senate; Referred to Senate Finance 04/10/02; withdrawn from Senate Finance 4/18/02; Senate Finance no action 4/22/02; assigned to Senate Rules 4/23/02; Senate COW approved 5/8/02; passed Senate 19-6, ready for governor 5/20/02. 6/4/02 - VETOED.

SB 1239  Retirees; health insurance; enhanced subsidy

Statutory provisions for state retirees to be given enhanced subsidies for health insurance premiums are extended an additional year, until June 30, 2004. Changes are also made to provisions for retirees' health insurance premium subsidies, including to expand the language in the definition of "nonservice area" (including retirees living out of the state) and to specify that certain enhanced subsidies are in addition to, as opposed to being an alternative to, an other subsidy schedule.

Current Action:  Referred to Senate Finance Committee; Hearing 3/25/02; Passed with amendment # 3409; Passed Senate 27-0, 4/4/02; Ready for House; Referred to House Retirement and Government Operations; Hearing 4/9/02; Passed with amendment; Passed House Appropriations 4/17/02. Integrated into HB 2558. Therefore, we will no longer be following this bill number.

SB 1241  Retirees; health insurance; subsidies

Changes are made to provisions for retirees' health insurance premium subsidies, including to expand the language in the definition of "nonservice area" and to specify that certain enhanced subsidies are in addition to, as opposed to being an alternative to, an other subsidy schedule.

Current Action:  Referred to Senate Finance Committee; Incorporated into SB 1239 as amendment # 3409.  Therefore, we will no longer be following this bill.