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HF2237 (Legislative Session 94 (2025-2026))

Minnesota State Retirement System; multiplier used to calculate the annuity amount for general state employees retirement plan increased; and postretirement adjustment increased for general state employees retirement plan, legislators retirement plan, and unclassified state employees retirement program.

AI Generated Summary

This bill proposes changes to the Minnesota State Retirement System, specifically for the general state employees retirement plan, the legislators retirement plan, and the unclassified state employees retirement program. The key changes include:

  1. Increased Retirement Annuity Multiplier:

    • For employees with service before July 1, 2025, the retirement annuity formula remains as follows:
      • 1.2% per year of service for the first ten years.
      • 1.7% per year for any additional service years.
    • For employees with service after June 30, 2025, the multiplier increases:
      • 1.9% per year for each year of service after June 30, 2025.

  2. Post-Retirement Adjustments:

    • The bill increases the post-retirement adjustment for retirees covered under the general state employees retirement plan, the legislators retirement plan, and the unclassified state employees retirement program.

These changes aim to improve pension benefits for state employees by increasing the percentage used to calculate their retirement annuity and enhancing post-retirement adjustments.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 11, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy
March 11, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy
April 20, 2025HouseFloorActionAuthor added
April 20, 2025HouseFloorActionAuthor added

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This bill amends the retirement annuity formula for state employees under section 352.115 subdivision 3.",
      "modified": [
        "Adjusts the retirement annuity multipliers for service years before and after June 30, 2025."
      ]
    },
    "citation": "352.115",
    "subdivision": "subdivision 3"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This section references the pension funds applicable under the subdivision.",
      "modified": []
    },
    "citation": "356.30",
    "subdivision": "subdivision 3"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This section defines 'average salary' for the calculation of retirement annuities.",
      "modified": []
    },
    "citation": "352.01",
    "subdivision": "subdivision 14a"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This section outlines the conditions for annuity computations in conjunction with the amendments.",
      "modified": []
    },
    "citation": "352.116",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Provides conditions under which revised annuity formulas apply.",
      "modified": []
    },
    "citation": "352.116",
    "subdivision": "subdivision 1a"
  }
]

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