Bill Details - SB532 (2018)

SB 532-FN - AS AMENDED BY THE SENATE

 

03/08/2018   0997s

03/15/2018   1068s

 

2018 SESSION

18-2806

10/08

 

SENATE BILL 532-FN

 

AN ACT relative to group II status of certain department of corrections officials.

 

SPONSORS: Sen. D'Allesandro, Dist 20; Sen. Lasky, Dist 13; Sen. Carson, Dist 14; Rep. Welch, Rock. 13

 

COMMITTEE: Executive Departments and Administration

 

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ANALYSIS

 

This bill allows certain department of corrections officials to be classified as group II members in 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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03/08/2018   0997s

03/15/2018   1068s 18-2806

10/08

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Eighteen

 

AN ACT relative to group II status of certain department of corrections officials.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  New Section; Department of Corrections; Officials; Status in Retirement System.  Amend RSA 21-H by inserting after section 8-a the following new section:

21-H:8-b  Status in Retirement System.  For purposes of classification under RSA 100-A, any person who is or becomes the assistant commissioner, the director of professional standards, the director of community corrections, the director of security and training, the director of field services, or the director of medical and psychiatric services, shall be included in the definition of correctional line personnel, as defined in RSA 100-A:1, VII under the retirement system, if such person was a group II member for at least 10 years prior to appointment in his or her position and shall remain in group II status for the duration of service in that position with the department.

2  Effective Date.  This act shall take effect 60 days after its passage.

 

LBAO

18-2806

12/19/17

 

SB 532-FN- FISCAL NOTE

AS INTRODUCED

 

AN ACT relative to group II status of certain department of corrections officials.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2019

FY 2020

FY 2021

FY 2022

   Appropriation

$0

$0

$0

$0

   Revenue

$0

$0

$0

$0

   Expenditures

$220,000

$220,000

$230,000

$240,000

Funding Source:

  [ X ] General            [    ] Education            [    ] Highway           [    ] Other

 

METHODOLOGY:

This bill allows certain Department of Corrections officials to be classified as Group II members of the New Hampshire Retirement System if such individuals were Group II members for at least 10 years prior to appointment in their respective positions, and continue to be certified under RSA 106-L.  

 

The Department of Corrections states it is not able to determine the fiscal impact of this bill due to the following:

  • It is unknown when or if appointments will ever take place where the incumbent would be allowed to remain in Group II under this bill.
  • The salaries for positions listed in this bill are of varying labor grades.
  • The New Hampshire Retirement System has not established employer contribution rates beyond June 30, 2019.

 

For any individuals that meet the criteria of this bill and remain a Group II member, the fiscal impact to the Department would be the net of the Group II employer rate minus (Group I employer rate plus Social Security portion of FICA rate (6.2%)).  

 

The New Hampshire Retirement System's actuary indicates the following, based on 14 active eligible members and a projected payroll range as of June 30, 2017 of $1,008,061-$1,357,422:

 

Impact on Employer Pension and Medical Subsidy Rates

Employees Police Increase

2018-1019 Employer Rates 12.15% 29.43% 17.28%

 

Expected Employer Dollar Increase/(Decrease) Due to Proposal ($Millions)*

FY 2018 $0.07

FY 2019 $0.22

FY 2020 $0.22

FY 2021 $0.23

FY 2022 $0.24

 

Increase/Decrease in Actuarial Liabilities Due to Proposal

as of June 30, 2015 Increased with Interest to February 15, 2018

Employees Police Total

$(1.2) $3.6 $2.4

 

* Payroll used was the average of the payroll range provided by staff.  The impact for FY 2018 is for the partial year beginning February 15, 2018.  

 

The assumed rate of interest was 7.25 percent, wage inflation is assumed to be 3.25 percent per year and the amortization period is a closed 22-year period beginning in FY 2018.

 

AGENCIES CONTACTED:

Department of Corrections and New Hampshire Retirement System

 

Docket

Date Status
Jan. 3, 2018 Introduced 01/03/2018 and Referred to Executive Departments and Administration; SJ 2
Jan. 31, 2018 Hearing: 01/31/2018, Room 101, LOB, 09:00 am; SC 5
March 8, 2018 Committee Report: Ought to Pass with Amendment # 2018-0997s, 03/08/2018; SC 10A
March 8, 2018 Committee Amendment # 2018-0997s, AA, VV; 03/08/2018; SJ 6
March 8, 2018 Ought to Pass with Amendment 2018-0997s, MA, VV; Refer to Finance Rule 4-5; 03/08/2018; SJ 6
March 15, 2018 Committee Report: Ought to Pass with Amendment # 2018-1068s, 03/15/2018; SC 12A
March 15, 2018 Committee Amendment # 2018-1068s, AA, VV; 03/15/2018; SJ 8
March 15, 2018 Ought to Pass with Amendment 2018-1068s, MA, VV; OT3rdg; 03/15/2018; SJ 8
March 15, 2018 Introduced 03/15/2018 and referred to Executive Departments and Administration HJ 8 P. 70
March 27, 2018 ==ROOM CHANGE== Public Hearing: 03/27/2018 02:45 PM LOB 203
April 3, 2018 Executive Session: 04/03/2018 11:00 AM LOB 306
Majority Committee Report: Inexpedient to Legislate (Vote 10-8; RC)
April 12, 2018 Majority Committee Report: Inexpedient to Legislate for 04/12/2018 (Vote 10-8; RC) HC 14 P. 7
Minority Committee Report: Ought to Pass
April 12, 2018 Inexpedient to Legislate: MA RC 231-93 04/12/2018 HJ 12 P. 9

Action Dates

Date Body Type
Jan. 31, 2018 Senate Hearing
March 8, 2018 Senate Floor Vote
March 15, 2018 Senate Floor Vote
March 27, 2018 House Hearing
April 3, 2018 House Exec Session
House Floor Vote
April 12, 2018 House Floor Vote

Bill Text Revisions

SB532 Revision: 2877 Date: Jan. 9, 2018, 8:40 a.m.
SB532 Revision: 3222 Date: March 9, 2018, 12:06 p.m.
SB532 Revision: 3289 Date: March 16, 2018, 11 a.m.