HB 1277-FN – AS INTRODUCED
2010 SESSION
10/09
HOUSE BILL 1277-FN
AN ACT relative to eligibility for medical benefits payment by the retirement system for certain vested deferred group I members.
SPONSORS: Rep. Nixon, Hills 17; Rep. Walsh, Hills 11; Rep. Craig, Hills 9; Rep. McEachern, Rock 16; Sen. DeVries, Dist 18
COMMITTEE: Executive Departments and Administration
This bill allows a group I teacher or political subdivision employee member of the retirement system who was eligible to retire with a vested deferred retirement allowance on July 1, 2008 an additional year to retire in order to be included in the payment of medical benefits by the retirement system.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
10-2256
10/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Ten
AN ACT relative to eligibility for medical benefits payment by the retirement system for certain vested deferred group I members.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Retirement System; Medical Benefits Payment; Vested Deferred Group I Teachers and Political Subdivision Employee; Eligibility Extended. RSA 100-A:52-a, I(b) is repealed and reenacted to read as follows:
(b) Any person who for reasons other than retirement or death ceases to be a group I teacher or political subdivision employee and retires with a vested deferred retirement allowance on or before July 1, 2010 if such person was eligible to retire as of July 1, 2008 either: (1) with no less than 20 years of group I creditable service and being at least 60 years old or subsequently attaining age 60; or (2) with no less than 30 years of group I creditable service and being at least 55 years of age or subsequently attaining age 55.
2 Effective Date. This act shall take effect upon its passage.
LBAO
10-2256
10/28/09
HB 1277-FN - FISCAL NOTE
AN ACT relative to eligibility for medical benefits payment by the retirement system for certain vested deferred group I members.
FISCAL IMPACT:
The New Hampshire Retirement System states this bill may increase state expenditures by $100,000 in FY 2012 and each year thereafter, and county and local expenditures by an indeterminable amount in FY 2012 and each year thereafter. There will be no fiscal impact on state, county, or local revenue.
METHODOLOGY:
The New Hampshire Retirement System states this bill would change medical subsidy eligibility for certain Group I employees. The System states, under current law, medical subsidy eligibility is open to Group I teacher or political subdivision employees after the age condition (55 years old or 60 years old) is attained if the employee has attained the service condition (30 years or 25 years), terminates employment for reasons other than death or retirement, is eligible to receive vested deferred benefits on or before July 1, 2008, and will begin receiving benefits on or before July 1, 2009. The System states the proposed legislation extends the ‘retire-by date’ of July 1, 2009 by one year to July 1, 2010. The System states this widening of eligibility for the medical subsidy would increase state, county and local expenditures in the form of higher employer contributions. Employer contributions have been set for FY 2010 and FY 2011, so the higher employer contribution amounts will not be seen until FY 2012. The System’s actuary estimates this increase in state expenditures to be $100,000 in FY 2012 and each year thereafter and in the political subdivisions (county and local) to be $300,000 in FY 2012 and each year thereafter. The actuary could not break down the political subdivision amount further into the county and local portions, so those amounts are reported as one number.
This bill does not contain an appropriation.