SB218 Summary

• Provides a one-time funded longevity bonus payment in fiscal year 2021-2022 to eligible retirees and beneficiaries of the Employees' Retirement System (ERS) who retired before October 1, 2020, and were receiving benefits on September 30, 2020.

• Calculates bonus for retirees as $3 per month for each year of service or $300, whichever is greater; deceased member/retiree beneficiaries receive a flat $300 bonus payment.

• Requires employers to elect participation in the program by official resolution on or before September 1, 2020, and employers bear the full cost of bonuses paid to their retirees.

• Excludes persons whose Medicaid eligibility would be impaired by receiving the bonus; subsequent Medicaid applicants become ineligible for the bonus if their eligibility would be impaired.

• Requires the ERS Board to determine total cost, notify employers of rate increases, and distribute all bonus payments by December 2020.