HB 596-FN – AS INTRODUCED
2007 SESSION
10/03
HOUSE BILL 596-FN
AN ACT relative to a retirement system calculation exemption for certain retired teachers of the Concord school district.
SPONSORS: Rep. DeJoie, Merr 11; Rep. Bouchard, Merr 11; Rep. MacKay, Merr 11; Rep. R. Williams, Merr 11
COMMITTEE: Executive Departments and Administration
This bill clarifies a retirement system calculation exemption for certain retired teachers of the Concord school district.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
07-0958
10/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seven
AN ACT relative to a retirement system calculation exemption for certain retired teachers of the Concord school district.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Concord School District; Retirement System Calculation Exemption. For teachers who retired from the Concord school district in either 2003 or 2004 and who received a stipend under the planned retirement provision pursuant to the applicable collective bargaining agreement, the exemption from the limitation on earnable compensation permitted by 1991, 313:7 shall also apply to the per diem value of otherwise uncompensated sick time that was accrued on account of service rendered prior to June 30, 1991, up to a maximum of 50 percent of the stipend.
2 Effective Date. This act shall take effect 60 days after its passage.
LBAO
07-0958
Revised 03/13/07
HB 596 FISCAL NOTE
AN ACT relative to a retirement system calculation exemption for certain retired teachers of the Concord school district.
FISCAL IMPACT:
The New Hampshire Retirement System states this bill may increase state and local expenditures by an indeterminable amount in FY 2008 and each year thereafter. This bill will have no fiscal impact on county expenditures or state, county, and local revenue.
METHODOLOGY:
The New Hampshire Retirement System states this bill will clarify a retirement system calculation exemption for certain Concord school district teachers who retired in 2003 or 2004. The System’s actuary states this bill will affect 20 members. Assuming an annual rate of return of 8.5 % and wage inflation of 5.5 % per year, the System’s actuary estimates this bill will increase the liabilities to the teachers division to $422,074, which includes $95,302 for retroactive payments and $326,772 for future payments. The actuary states the increase in costs are not sufficient to change the computed employer contribution rate using the current valuation method.