SB3276 Summary

• Authorizes local government units (municipalities, counties, school districts, community colleges, and other public employers) to establish alternative retirement plans for new employees either in addition to or in place of existing pension plans.

• Alternative retirement plans may include defined-benefit components, defined-contribution components, or both, and may optionally include disability or survivor benefits; no minimum benefit level is required except mandatory Social Security coverage where applicable.

• Service credit earned under alternative retirement plans cannot be transferred to other pension funds or used under the Retirement Systems Reciprocal Act, creating separate pension tracks for participants.

• Employers providing alternative retirement plans remain obligated to continue funding existing plans for current participants and cannot diminish or impair benefits of employees already in traditional plans.

• Employers are exempt from mandatory collective bargaining with unions regarding the adoption or implementation of alternative retirement plans authorized by this act.