Vote Smart's Synopsis:

Vote to pass a bill that amends state employee pension laws, effective January 1, 2013.

Highlights:

• Increases the state employee retirement age from 60 to 62 years old for people joining the stae retirement plan after the passage of this act (Sec. 1).

• Specifies that for correctional officers, firefighters and law enforcement officers the retirement age is 56 years old if they have at least 10 years of creditable service (Sec. 1).

• Amends the annual pension compensation from an average of the highest paid 3 years of contributions to the annuity savings fund out of 10 years of creditable service years to an average of the highest paid 5 years (Sec. 1).

• Reduces the deduction rate of employee’s earnable compensation from 7.5 percent to 6 percent (Sec. 1).

• Specifies the deduction rate for correctional officers, firefighters and law enforcement officers except for state policeman is 7 percent (Sec. 1).

• Requires a 2/3 majority of both houses of the legislature to increase the retirement age for people who join the state retirement plan after the passage of this act (Sec. 2).

Full Bill Text