HB271 Summary

• Establishes an Employees' Investment Retirement Plan (EIRP) for the Teachers' Retirement System and Employees' Retirement System allowing eligible members to defer retirement and continue employment for 3-5 years while accumulating deferred benefits.

• Tier I teachers must have 25 years of service and be at least 55 years old; Tier II teachers must have 25 years of service and be at least 62 years old to participate.

• Tier I state employees must have 25 years of service and be at least 55 years old (or 52 for state police); Tier II must have 25 years and be at least 62 years old (or 56 for law enforcement/firefighters/corrections officers).

• Participants receive 80% of their calculated monthly retirement allowance deposited into an EIRP account, with employer and employee contributions continuing; voluntary termination within the first three years results in forfeiture of the EIRP account.

• Upon completion of the participation period or future withdrawal from service, members receive a lump-sum payment from the EIRP account plus their recalculated monthly retirement benefit based on additional service and accrued sick leave; effective January 1, 2020.