HI SB2176

Segregates teachers into a separate group from other employees for determination of employer normal cost and accrued liability contributions to the employees' retirement system, effective July 1, 2010.

Establishes three distinct employee groups for contribution calculations: police officers/firefighters/corrections officers, teachers, and all other employees (previously only two groups).

Sets employer contribution rates for fiscal year 2009-2010 and beyond at 19.7% for police/firefighters/corrections officers, 18.11% for teachers, and 13.7% for all other employees.

Allocates annual State and county pension contributions based on the actual covered payroll multiplied by the contribution rates for each of the three employee groups.

Reflects contributions attributable to teachers as of the June 30, 2008 actuarial valuation report to properly segregate teacher-related costs in the retirement system.