Loading chat...

AL HB1

Bill

Status

Introduced

1/9/2018

Primary Sponsor

James Hanes

Click for details

Origin

House of Representatives

Regular Session 2018

AI Summary

HB1 Summary

  • Reopens participation in the Deferred Retirement Option Plan (DROP) for members of the Employees' Retirement System (ERS) and Teachers' Retirement System (TRS), removing the March 24, 2011 cutoff date.

  • Allows Tier I members to participate in DROP with 25 years of creditable service and age 55 (or age 52 for state police), and Tier II members with 25 years of creditable service and age 62 (or age 56 for certain law enforcement).

  • Establishes DROP participation periods of 3-5 years with 80% of monthly retirement allowance deposited into a DROP account earning interest, while members remain employed.

  • Provides options for members who voluntarily terminate within three years (forfeiture of retirement allowance portion), involuntarily terminate (full payment), or complete their participation period (lump-sum plus continued benefits).

  • Takes effect immediately upon Governor approval or upon otherwise becoming law.

Legislative Description

Retirement, Deferred Retirement Option Plan (DROP), options for Tier I and Tier II members to participate, reopened, Secs. 16-25-150, 16-25-151, 36-27-170, 36-27-171 am'd.

Deferred Retirement Option Plan (DROP)

Last Action

Ways and Means General Fund first Substitute Offered

2/8/2018

Committee Referrals

Ways and Means General Fund1/9/2018

Full Bill Text

No bill text available