Bill Details - HB116 (2019)

HB 116-FN - AS AMENDED BY THE HOUSE

 

14Feb2019... 0018h

2019 SESSION

19-0027

10/04

 

HOUSE BILL 116-FN

 

AN ACT relative to the job classification of positions in the retirement system.

 

SPONSORS: Rep. McGuire, Merr. 29; Rep. Schuett, Merr. 20; Rep. P. Schmidt, Straf. 19; Rep. S. Beaudoin, Straf. 9

 

COMMITTEE: Executive Departments and Administration

 

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AMENDED ANALYSIS

 

This bill allows for changes to the reclassification of certain department of corrections positions from group I to group II without specific legislation.

 

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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

14Feb2019... 0018h 19-0027

10/04

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Nineteen

 

AN ACT relative to the job classification of positions in the retirement system.

 

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

 

1  Retirement System; Job Classification.  Amend RSA 100-A:3, IX to read as follows:

IX.  If there is any doubt as to the proper classification of a job in the retirement system, the trustees shall determine whether the person holding the job is an employee, teacher, permanent policeman, or permanent fireman as defined in RSA 100-A:1; provided, however, that a 2/3 vote shall be required to classify the job in group II, and further provided that in the case of a newly-created job held by more than one person, the job shall be classified in group I unless it is explicitly placed in group II by the legislation creating the job in the case of a state job, or by a majority vote of the legislative body of the political subdivision in the case of a political subdivision job.  For the purposes of this paragraph, an increase in the number of persons holding a given job with a given employer shall not be considered as creation of a new job.  No job shall be reclassified from group I to group II of the retirement system without legislation specifically authorizing a transfer from group I to group II; except in the case where the state department of corrections declares that an existing job meets the standards of correctional line personnel, and the director of the division of personnel confirms that the position conforms to these standards, the board of trustees may approve the reclassification from group I to group II without such specific legislation.

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

 

LBAO

19-0027

Amended 2/15/19

 

HB 116-FN- FISCAL NOTE

AS AMENDED BY THE HOUSE (AMENDMENT #2019-0018h)

 

AN ACT relative to the job classification of positions in the retirement system.

 

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

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2020

FY 2021

FY 2022

FY 2023

   Appropriation

$0

$0

$0

$0

   Revenue

Indeterminable

Indeterminable

Indeterminable

Indeterminable

   Expenditures

Indeterminable

Indeterminable

Indeterminable

Indeterminable

Funding Source:

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

 

METHODOLOGY:

This bill allows for an exception to the current method of determining the proper classification in the New Hampshire Retirement System, applicable only for an existing position within the Department of Corrections. If the Department declares an existing job meets the standards of correctional line personnel and the Director of the Division of Personnel confirms that the position adheres to these standards, the NHRS Board of Trustees may approve the reclassification of such position from Group I to Group II without specific legislative authorization.  The possible number of such positions that may either be recommended for such reclassification by the Department of Corrections,  confirmed by the Division of Personnel, and approved by the NHRS is indeterminable.  However, if the legislation results in the transfer of any employees from Group I to Group II status, the following assumptions will apply :

 

  1. The Department of Corrections'  NHRS employer contribution rate for these employees for FY 2020 and FY 2021 will increase from 11.93 percent of payroll (Group I) to 28.43 percent of payroll (Group II Police), with a net increase of 16.5 percent of payroll.  Rates are set every 2 years and are based on a biennial actuarial valuation.  Actual employer contribution rates for the 2022-2023 biennium will be based on the June 30, 2019 actuarial valuation and will reflect the plan provisions in effect at the time of valuation.

 

  1. The employer's 6.2 percent FICA contribution will not change.  It is assumed that positions covered by Social Security before the change to Group II status will continue to be covered by Social Security after the change.  Therefore, there will be no reduction in the Social Security tax for the employer or the member.

 

  1. The provisions of RSA 100-A:3, II-b shall apply.  Members with service in such affected position prior to the effective date will receive split benefits.  The effective date is 60 days after passage.

 

AGENCIES CONTACTED:

None

 

Docket

Date Status
Jan. 2, 2019 Introduced 01/02/2019 and referred to Executive Departments and Administration HJ 2 P. 38
Jan. 9, 2019 Public Hearing: 01/09/2019 01:30 pm LOB306
Jan. 16, 2019 Subcommittee Work Session: 01/16/2019 09:00 am LOB 306
Jan. 24, 2019 Executive Session: 01/24/2019 02:00 pm LOB 306
Committee Report: Ought to Pass with Amendment # 2019-0018h (Vote 16-2; RC)
Feb. 14, 2019 Committee Report: Ought to Pass with Amendment # 2019-0018h for 02/14/2019 (Vote 16-2; RC) HC 11 P. 14
Feb. 14, 2019 Amendment # 2019-0018h: AA VV 02/14/2019 HJ 5 P. 35
Feb. 14, 2019 Ought to Pass with Amendment 2019-0018h: MA VV 02/14/2019 HJ 5 P. 35
Feb. 14, 2019 Referred to Finance 02/14/2019 HJ 5 P. 36
March 6, 2019 Finance Division I Work Session: 03/06/2019 10:00 am LOB 212
March 13, 2019 Executive Session: 03/13/2019 10:00 am LOB 210-211
March 13, 2019 ==CANCELLED== Executive Session: 03/13/2019 10:00 am LOB 210-211
March 13, 2019 Finance Division I Work Session: 03/13/2019 01:30 pm LOB 212
March 27, 2019 Executive Session: 03/27/2019 10:00 am LOB 210-211

Action Dates

Date Body Type
Jan. 9, 2019 House Hearing
Jan. 24, 2019 House Exec Session
House Floor Vote
Feb. 14, 2019 House Floor Vote
March 13, 2019 House Exec Session
March 13, 2019 House Exec Session
March 27, 2019 House Exec Session

Bill Text Revisions

HB116 Revision: 4441 Date: Dec. 26, 2018, 3:02 p.m.
HB116 Revision: 5341 Date: Feb. 19, 2019, 9:48 a.m.