Revision: Jan. 4, 2023, 9:58 a.m.
2023 SESSION
23-0801.0
07/05
SENATE BILL [bill number]
SPONSORS: [sponsors]
COMMITTEE: [committee]
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ANALYSIS
This bill restores the state's contribution to the retirement liabilities of certain teachers, firefighters, and police officers within the state 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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
23-0801.0
07/05
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty Three
Be it Enacted by the Senate and House of Representatives in General Court convened:
I. This act may be known as the "Property Tax Relief Act of 2023."
II. In recent years, the state has enacted several reductions to business tax rates, along with a phased out elimination of the interest and dividends tax. These tax changes will reduce tax rates and liabilities for businesses and certain individuals on an ongoing basis. It is the intent of the general court that municipalities receive a similar assurance of ongoing, sustained assistance to help pay the employer cost of the retirement system.
III. This act renews a promise made by the state to municipalities and restores the state's contribution of a portion of the retirement costs of teachers, firefighters, and local police. Its purpose is to help ease the local property tax burden, provide property tax relief to the cities and towns, and enhance public education and public safety.
2 Retirement System; Employer Contributions; State Share of Contributions. Amend RSA 100-A:16, II(b) and (c) to read as follows:
(b) The contributions of each employer for benefits under the retirement system on account of group II members shall consist of a percentage of the earnable compensation of its members to be known as the "normal contribution," and an additional amount to be known as the "accrued liability contribution;" provided that beginning with state fiscal year [2013] 2024 and for each state fiscal year thereafter, any employer [shall pay the full amount of such total contributions] other than the state, shall pay 92.5 percent of such total contributions, and 7.5 percent thereof shall be paid by the state; and provided further that, in the case of group II members employed by the state, the state shall pay both normal and accrued liability contributions.. The rate percent of such normal contribution, including contributions on behalf of group II members whose group II creditable service is in excess of 40 years, in each instance shall be fixed on the basis of the liabilities of the system with respect to the particular members of the various member classifications as shown by actuarial valuations, except as provided in subparagraph (i).
(c) The contributions of each employer for benefits under the retirement system on account of group I members shall consist of a percentage of the earnable compensation of its members to be known as the "normal contribution," and an additional amount to be known as the "accrued liability contribution;" provided that beginning with state fiscal year [2013] 2024 and for each state fiscal year thereafter, in the case of teachers, any employer other than the state, shall pay 92.5 percent of such total contributions, and 7.5 percent thereof shall be paid by the state; and provided further that, in the case of teacher members employed by the state, the state shall pay both normal and accrued liability contributions. The rate percent of such normal contribution in each instance shall be fixed on the basis of the liabilities of the system with respect to the particular members of the various member classifications as shown by actuarial valuation, except as provided in subparagraph (i).