HI SB931

Requires State and county employing agencies to pay the Employees' Retirement System an amount equal to the actuarial cost when separating a significant number of employees from service.

Payment must be made before October 1 of the second fiscal year following the separation, though the board may extend the timeline and permit installment payments.

Defines "significant number" as either 1% of all active system members or 5% of the employing agency's positions as of the prior fiscal year, whichever is less.

Actuarial cost includes expected payments toward unfunded liability over an amortization period (up to 25 years) and present value of any actuarial liability loss using system assumptions with investment return reduced by one percentage point.

Applies to separations from service including position abolishments, facility transfers to private entities, facility closures, and termination of employee inclusion in the retirement system.