House Bill 1086 Summary

• Creates new provisions for members performing qualified military service, ensuring their service counts toward vesting and survivors receive applicable benefits as required by Internal Revenue Code Section 401(a)(37).

• Authorizes the Public Employees' Retirement System to conduct on-site compliance audits of employers and impose penalties (up to 1% of monthly contributions plus administrative costs) for non-compliance, with waiver authority for extenuating circumstances.

• Clarifies that individual member records are not public records and restricts disclosure except to current or former employers as authorized by board regulations.

• Revises creditable service calculations to award service in monthly increments for service rendered on or after July 1, 2015, and updates unused leave computations for retiring members.

• Repeals requirements for the board to design a retiree health insurance plan and amends payment methods to allow the board to prescribe the most appropriate means for benefit disbursement by regulation.