SB319 Summary

• Establishes a new Tier III defined benefit retirement plan for public employees first hired on or after October 1, 2020, and allows existing Tier II members to elect to join the new plan.

• Tier III plan members receive a service retirement allowance consisting of an annuity from accumulated contributions and a pension equal to 2% of average final compensation multiplied by years of creditable service, capped at 80% of average final compensation.

• Sets employee contribution rates for Tier III members at 7.5% of earnable compensation (7.75% for correctional officers, firefighters, and law enforcement officers).

• Requires two-thirds legislative vote to increase the retirement age for Tier II plan members above age 62.

• Modifies Tier I and Tier III plan member definitions and updates eligibility requirements for sick leave conversion and disability retirement benefits.