AL SB206

Provides a one-time funded longevity bonus in fiscal year 2019-2020 to retirees and beneficiaries of the Employees' Retirement System who retired before June 1, 2019, and are receiving benefits on November 30, 2019.

Bonus calculation: $2 per month for each year of service or $300, whichever is greater; deceased member or retiree beneficiaries receive a flat $300 bonus.

Employers may elect to participate by official resolution by October 31, 2019, and must bear the full cost of bonuses paid to their retirees.

Excludes individuals whose Medicaid eligibility would be impaired by the bonus and applies to multiple employer categories including state employees, city/county employees, and certain pre-membership retirees.

All eligible bonuses shall be paid by the Employees' Retirement System in December 2019, with employers paying rate increases beginning October 1, 2020.