HB 813 Summary

• Reduces the minimum credited service requirement for Tier 2 employees' retirement system members from 10 years to 5 years to be eligible for vested benefit status and service retirement allowance.

• Applies only to Tier 2 members (those who became members after June 30, 2012) who are in service as of July 1, 2026, or who return to service or become members after June 30, 2026.

• System actuaries determined the change would increase the projected full funding period by only an estimated 4 additional months and would not require increased contribution rates.

• Intends to improve state and county employer recruitment and retention of qualified employees by reducing employee turnover and associated costs.

• Appropriates unspecified general revenue funds for fiscal years 2025-2026 and 2026-2027 for implementation; effective July 1, 3000.