SB 846 Summary

• Approves memoranda of understanding (MOU) between the state employer and State Bargaining Units 5, 12, and 18 that require expenditure of funds, effective on specified dates between July 2010 and July 2012.

• Establishes continuous appropriations for employee compensation and benefits if annual Budget Acts are not enacted by July 1 for fiscal years 2010-11 through 2013-14 for bargaining units 5, 8, 12, 16, 18, and 19.

• Increases employee PERS contribution rates by 5% for miscellaneous and safety members in bargaining units 5, 8, 12, 16, 18, and 19, and by 2% for firefighter and patrol members in units 5 and 8.

• Changes retirement formulas for new state employees hired on or after specified dates: 2% at 60 for miscellaneous members, and 3% at 55 for patrol and firefighter members in units 5 and 8.

• Modifies final compensation calculations to use 36-month averaging periods for new employees in bargaining units 5 and 8, and adjusts health benefit vesting requirements for Unit 12 employees to reach 100% after 25 years of service.