AL SB251

Provides a five percent cost-of-living increase to retirees and beneficiaries of the Employees' Retirement System with retirement dates prior to October 1, 2013, effective October 1, 2014.

Employers participating under Section 36-27-6 may elect to provide the increase to their retirees and beneficiaries, with the employer bearing the full cost of the increase.

Extends five percent cost-of-living increases to beneficiaries of deceased members and retirees under specified conditions, with flexibility for certain employer groups to opt in.

Excludes individuals whose Medicaid eligibility would be impaired by the increase and those who subsequently apply for Medicaid if the increase would affect their eligibility.

Board of Control of the Employees' Retirement System shall determine annual funding requirements and notify employers of contribution rates needed to pay for the increases.