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SF2379 (Legislative Session 94 (2025-2026))

Maximum employer contribution increase authorization for the higher education supplemental retirement plan

Related bill: HF2022

AI Generated Summary

This bill proposes an amendment to Minnesota Statutes 2024, section 356.24, subdivision 1, relating to higher education supplemental retirement plans. The key change in the bill is an increase in the maximum employer contribution for personnel employed by the Minnesota State Colleges and Universities (MnSCU) system under the supplemental retirement plan established by chapter 354C.

Key Changes:

  • Increases the maximum employer contribution from $2,700 to $4,300 per year for eligible employees.
  • Employer contributions must still match employee contributions dollar for dollar.

Other Provisions:

  • The bill maintains existing exceptions that allow public funds to be contributed to certain supplemental pension or deferred compensation plans, including:
    • Plans established before May 6, 1971.
    • Plans providing only for health, hospital, disability, or death benefits.
    • Deferred compensation plans.
    • Certain pension funds for unionized employees covered by collective bargaining agreements.
    • Governmental trusts for post-retirement health care expenses.

Purpose of the Bill:

The bill aims to enhance retirement benefits for MnSCU personnel by increasing the level of employer contributions allowed under their supplemental retirement plan.

This bill was introduced in the Senate (S.F. No. 2379) by Senator Rasmusson and referred to the State and Local Government Committee on March 10, 2025.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 10, 2025SenateFloorActionIntroduction and first reading
March 10, 2025SenateFloorActionReferred toState and Local Government

Citations

 
[
  {
    "analysis": {
      "added": [
        "Increasing the maximum employer contribution limits for certain supplemental retirement plans."
      ],
      "removed": [
        ""
      ],
      "summary": "This bill amends the restrictions and exceptions related to supplemental pension or deferred compensation plans for school districts or other governmental subdivisions under section 356.24.",
      "modified": [
        "Adjustments in the employer contribution limits for specific retirement plans mentioned in the exceptions."
      ]
    },
    "citation": "356.24",
    "subdivision": "subdivision 1"
  },
  {
    "analysis": {
      "added": [
        ""
      ],
      "removed": [
        ""
      ],
      "summary": "This bill impacts the state of Minnesota deferred compensation program for employees by referencing section 353.27, subdivisions 3 and 3a.",
      "modified": [
        "Includes reference to the total percentage of covered salary limits based on section 353.27 provisions."
      ]
    },
    "citation": "353.27",
    "subdivision": "subdivisions 3 and 3a"
  },
  {
    "analysis": {
      "added": [
        ""
      ],
      "removed": [
        ""
      ],
      "summary": "Alternative retirement plans for employees of the Hennepin County Medical Center is mentioned under section 383B.914.",
      "modified": [
        "Reference to existing alternative retirement plans available for certain employees under specific conditions."
      ]
    },
    "citation": "383B.914",
    "subdivision": "subdivision 5"
  }
]

Progress through the legislative process

17%
In Committee

Sponsors