HB 1411 Summary

• Establishes a state employee early retirement program allowing executive branch state employees age 55+ with 10+ years of service to elect early retirement before July 1, 2012.

• Provides participating employees a lump sum payment equal to one-half of their annual base salary (minus taxes) and requires separation from state service within 30 days.

• Creates a state employee early retirement medical benefits account funded by $7,000 annual employer contributions for five years to cover qualified medical and dental expenses not covered by other retirement medical benefits.

• Allows members of PERF, TRF, and certain state pension plans to receive normal or unreduced retirement benefits if participating in the program and retiring between July 1, 2011 and July 1, 2012.

• Prohibits participating employees from being rehired by the state for five years and prevents DROP program participants from receiving DROP benefits if they subsequently elect this early retirement option.