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The Retirement Systems of Alabama

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Legislation

The 2017 Regular Session began February 7, 2017, and will end no later than May 22, 2017.

Week 13

On Friday, May 19th, the Legislature adjourned sine die after completing the 30th and final day of the 2017 Legislative Session.

During the final week of session, the Legislature passed the Education Trust Fund budget, which fully funded TRS and funds PEEHIP at the rate of $800 per employee per month.

The Legislature also passed HB284, which mandates coverage of certain autism therapies by health insurance plans, including PEEHIP. This bill was amended in the Senate to delay the mandate for PEEHIP and other state funded health plans until 2019.

In addition, the Legislature passed HB342, which authorizes local ERS employers to grant one-time bonuses to retirees, and HB377, which includes new troopers in the State Police Plan but continues to grant them Tier II FLC benefits.

The Governor has signed the Education Trust Fund budget (SB129), the General Fund budget (HB155), and HB284. HB342 and HB377 are pending the Governor’s signature.

 

Bill Tracking

Updated 5-26-2017

House Bills
Bill/Sponsor Companion Summary Status
HB20
Hanes
n/a Requires PEEHIP to request from the legislature the full amount necessary to fund benefits without an increase in out-of-pocket costs or a decrease in benefits. Read First Time in House of Origin.
HB35
Ford
SB3
Dial
Provides a one-time bonus to TRS retirees. Read First Time in House of Origin.
HB155
Clouse
SB150
Pittman
General Fund Budget; fully funds ERS. Enacted - Act 2017-338
HB171
Poole
SB129
Orr
Education Trust Fund Budget; fully funds TRS and the requested PEEHIP per member per month rate. Read First Time in House of Origin.
HB177
Pettus
n/a Combines the SEIB and PEEHIP boards. Read First Time in House of Origin.

HB240
Treadaway

SB206
Singleton
Reclassifies certain ALEA law enforcement officers as Tier II state police for purposes of retirement benefits. Indefinitely Postponed
HB284
Patterson
n/a Requires PEEHIP to cover certain autism therapies. Enacted - Act 2017-337
HB295
Rowe
SB217
Marsh
Adds ERS members from local units (such as cities, counties, and public boards) to the ERS Board of Control. Read First Time in House of Origin.

HB326
Wood

SB333
Chambliss
Provides 25 year service retirement to Tier II FLC members and increases the employee contribution rate for these members and, as amended, would increase the benefit multiplier for Tier II FLC members employed by local units, unless the local unit opts out of the increase. Read Second Time in Second House.

HB342
McMillan

n/a Allows ERS local employers to grant a one-time bonus to their retirees. Enacted - Act 2017-367

HB351
Knight

n/a Allows transfer of service credit and contributions from the Clerks’ and Registers’ Supernumerary Fund to ERS, TRS, or JRF. Read First Time in House of Origin.

HB356
Patterson

Sub

SB321
Hightower

Sub

As substituted, would provide an option at retirement to take a partial lump sum (up to 2 years of benefits) with a like reduced in the monthly benefit to be paid with RSA assets and would offer a one-time buyout for inactive vested members to be financed by a bond. Indefinitely Postponed.

HB377
Treadaway

Sub

n/a As substituted, would include new troopers in the State Police Plan but would grant them Tier II FLC benefits instead of Tier II State Police benefits. Enacted - Act 2017-360
HB427
Ledbetter
n/a Provides 25 year service retirement to Tier II local FLC members, increases the employee contribution rate for these members, and allows local units to further increase the employee contribution rate for these members. Read First Time in House of Origin.
HB432
Patterson
n/a Requires employers and retirees to pay a 5% surcharge to RSA on a retiree's salary when the retiree has returned to work and is drawing a retirement benefit from RSA. Read First Time in House of Origin.
HB435
Hurst
n/a Proposes a constitutional amendment to allow the Clay County sheriff to participate in ERS. Enacted - Act 2017-193
HB532
Hanes
SB381
Shelnutt
Reinstitutes DROP with modifications to the original DROP. Only 80% of a member’s benefit will be deposited in his or her DROP account, no interest will accrue, and employee contributions made during the participation period will be non-refundable. Indefinitely Postponed.
HB546
Jones
  Removes requirement that a non-participating employer be funded by a city and county for purposes of purchasing prior service credit. Indefinitely Postponed.
Senate Bills
Bill/Sponsor Companion Summary Status

SB3
Dial

Sub

HB35
Ford
Provides a one-time bonus to TRS retirees. Read First Time in Second House.
SB129
Orr
HB171
Poole
Education Trust Fund Budget; fully funds TRS and the requested PEEHIP per member per month rate. Enacted - Act 2017-335
SB150
Pittman
HB155
Clouse
General Fund Budget; fully funds ERS. Read First Time in House of Origin.
SB159
Whatley
n/a Establishes a trust to fund COLAs for TRS retirees.  Read Second Time in Second House.
SB206
Singleton
HB24
Treadaway
Reclassifies certain ALEA law enforcement officers as Tier II state police for purposes of retirement benefits. Indefinitely Postponed.

SB217
Marsh

HB295
Rowe
Adds ERS members from local units (such as cities, counties, and public boards) to the ERS Board of Control. Indefinitely Postponed.

SB269
Dial

n/a Provides a one-time bonus to State ERS retirees. Read First Time in House of Origin.

SB321
Hightower

Sub

HB356
Patterson

Sub

As substituted, would provide an option at retirement to take a partial lump sum (up to 2 years of benefits) with a like reduced in the monthly benefit to be paid with RSA assets and would offer a one-time buyout for inactive vested members to be financed by a bond. Indefinitely Postponed.
SB333
Chambliss
HB326
Wood
Provides 25 year service retirement to Tier II FLC members and increases the employee contribution rate for these members. Read First time in House of Origin.
SB381
Shelnutt
HB532
Hanes
Reinstitutes DROP with modifications to the original DROP. Only 80% of a member’s benefit will be deposited in his or her DROP account, no interest will accrue, and employee contributions made during the participation period will be non-refundable. Read First Time in House of Origin.

2017 Legislative Roster

Legislative Fiscal Office Presentation on Alabama's Financial Condition - February 7, 2017

2016 Regular Session (archive)

Legislation News

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