House Bill 160 Summary

• Modifies service credit purchase rules for the Teachers' and State Employees' Retirement System, Local Governmental Employees' Retirement System, and Consolidated Judicial Retirement System, with most changes effective January 1, 2023.

• Establishes new calculation methods for service credit purchases after January 1, 2023, based on "full liability increase" rather than "full cost," allowing employers to pay portions of costs credited to pension accumulation funds instead of annuity savings accounts.

• Permits members with five or more years of membership service to purchase up to five years of creditable service for prior temporary state employment, charter school employment, and General Assembly service under the new calculation method.

• Adds administrative fees to service credit purchase calculations and allows employers to pay all or part of purchase costs without discriminating against any employed member or group.

• Effective January 1, 2022, with section-specific implementation dates of July 1, 2022 for certain repeals and January 1, 2023 for major calculation method transitions.