Purpose of the Bill

This bill aims to update compensation provisions for members of the Minnesota military forces when they are called into active service by the state. It seeks to address and improve the pay structure for officers, enlisted personnel, and provide additional financial compensation to mitigate disparities in pension benefits.

Main Provisions

• Officer Compensation: Commissioned officers in state active service will receive a minimum pay rate of $130 per day, aligning with federal pay rates for officers of similar status and service length.
• Enlisted Personnel Compensation: Similarly, enlisted members will receive pay equivalent to the higher of either $130 per day or the federal rate for comparable service, including allowances if not provided directly.
• Pension Offset Stipend: A new stipend is established for service members to counterbalance pension discrepancies. Specifically, those ordered into state active service will receive an additional stipend amounting to 5% of their basic pay to alleviate differences in pension benefits compared to those receiving federal military pay.

Significant Changes

• The bill introduces a "pension offset stipend" meant to address pension inequity, which is an additional financial benefit equal to five percent of the basic salary for service members in state duty.
• It sets a specific minimum daily pay for members of the Minnesota military forces during state service, ensuring no one earns less than the federally comparable rate or $130 per day, whichever is higher.

Relevant Terms

pension offset stipend, commissioned officer, enlisted person, basic pay, state active service, pension inequity, federal service pay, military forces compensation.