Legislation
Summary
Updated 4/24/2026
The 2026 Regular Legislative Session concluded on April 9, 2026. The Legislature fully funded the requested employer contribution rates for TRS and ERS. The Legislature funded PEEHIP at a rate of $1048 per member per month, a $180 million increase. The $180 million represents a little less than half of the $380 million projected PEEHIP shortfall for FY27. As a result, the PEEHIP board will determine how to fund the remaining expected deficit, which could include the use of funds from the Alabama Education Employees’ Retiree Healthcare Trust.
Overall, the 2026 session was very successful for RSA and PEEHIP. For the second year in a row, PEEHIP received a substantial funding increase. No harmful legislation was passed or even introduced. In fact, several measures were enacted that would improve benefits, including increasing the benefit multiplier for district attorneys, allowing members to purchase service credit for nonmilitary federal employment, and expanding the law enforcement classifications that retirees can return to work in and earn up to $52,000. A full list of enacted legislation is included below.
Please be sure to thank your legislators and the Governor for everything that they have done to ensure your pension and healthcare benefits are well-funded and protected!
Bill Chart
House Bills
| Bill/Sponsor | Companion | Summary | Status |
| HB90/Hill | n/a | Proposes a constitutional amendment to allow St. Clair County mayors to participate in ERS. | Enacted. Act 2026-61. |
| HB92/Brinyark | n/a | Proposes a constitutional amendment to allow Tuscaloosa County mayors to participate in ERS. | Enacted. Act 2026-377. |
| HB138/Paschal | n/a | Allows retirees to return to work as full-time bus drivers so long as they have drawn their retirement benefit for at least 12 months; as substituted in F&TE adds various law enforcement classifications to the temporary return to work exception that allows retirees returning in those positions to earn up to $52,000 a year and requires that retirees operating under this provision have certain years of service to qualify; as substituted on Senate floor, adds state law enforcement and state police to the temporary exception. | Enacted. Act 2026-286. |
| HB238/Garrett | n/a | Education Trust Fund budget; as passed by the House fully funds TRS and funds PEEHIP at the $1048 per member per month, a $180 million increase; appropriates $32.9M for the TRS retiree bonus in HB239. | Enacted. Act 2026-380. |
| HB239/Collins | n/a | Provides a 2% pay raise for education employees and as substituted in the Senate, provides a $1 per month of service credit bonus for TRS retirees. | Enacted. Act 2026-601. |
| HB312/Hill | n/a | As amended in House committee, increases the benefit multiplier for district attorneys from 3% to 4%. | Enacted. Act 2026-404. |
Senate Bills
| Bill/Sponsor | Companion | Summary | Status |
| SB58/Orr | n/a | Requires a public employee who is found guilty of certain felony offenses related to his or her position to use his or her retirement contributions to pay restitution. | Enacted. Act 2026-333. |
| SB146/Albritton | n/a | General Fund budget; fully funds ERS; as amended in the House provides $2.4M in funding for state agencies to pay the ERS retiree bonus in SB154. | Enacted. Act 2026-383. |
|
SB154/Albritton |
n/a | Provides a 2% pay raise for state employees and as substituted in the House, provides a $1 per month of service credit bonus for ERS retirees. | Enacted. Act 2026-608. |
| SB280/Waggoner | n/a | Allows TRS and ERS members to purchase service credit for public service with the federal government. | Enacted. Act 2026-525. |
Archives
2025 Regular Session (archive)
2024 Regular Session (archive)
2023 Regular Session (archive)
2022 Regular Session (archive)
2021 Regular Session (archive)
2020 Regular Session (archive)
2019 Regular Session (archive)
2018 Regular Session (archive)
Presentations
Comprehensive RSA Presentation - updated 2/3/2026
Joint Education Budget Committee Presentation - updated 2/2/2026
News
What to know about Alabama's new$400M State House
Education officials outline cost pressures ahead of budget talks
Alabama Legislature hears education budget proposals
Alabama lawmakers begin last session before move to new State House
Contacts
Neah Mitchell Scott,
Legislative Counsel
[email protected]
Twitter: @neahmitchell
Neah Mitchell Scott has served as Legislative Counsel for the Retirement Systems of Alabama (RSA) since September 2013. Before joining the RSA, Neah practiced civil litigation and healthcare law as an associate with Balch & Bingham LLP. Neah obtained a Juris Doctorate from the University of Alabama in 2008 and a B.A. in History from Auburn University in 2004.
Brennan Johnson,
Assistant Legal Counsel
[email protected]
Brennan Johnson has served as Assistant Legal Counsel for the Retirement Systems of Alabama (RSA) since August 2025. Previously, Brennan served as a policy advisor and counsel for U.S. Senator Richard Shelby and as a legislative liaison for Governor Kay Ivey. Brennan obtained a Juris Doctorate from George Mason University in 2020 and a B.A. in History from the University of Alabama in 2014.
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