AB 2183: Public employees’ retirement benefits: final compensation.
- Session Year: 2023-2024
- House: Assembly
- Latest Version Date: 2024-02-07
Current Status:
Failed
(2024-02-08: From printer. May be heard in committee March 9.)
Introduced
In Committee
First Chamber
In Committee
Second Chamber
Enacted
The California Public Employees Pension Reform Act of 2013 (PEPRA), on and after January 1, 2013, requires a public retirement system, as defined, to modify its plan or plans to comply with the act and, among other provisions, establishes certain new retirement formulas that may not be exceeded by a public employer offering a defined benefit pension plan.
PEPRA provides, for purposes of determining a retirement benefit paid to a person who first becomes a member of a public retirement system on or after January 1, 2013, that final compensation means the highest average annual pensionable compensation earned during a period of at least 36 consecutive months, or at least 3 consecutive school years.
This bill would make a nonsubstantive change to that provision.
For the purposes of determining a retirement benefit to be paid to a new member of a public retirement system, the following shall apply:
(a)Final compensation shall mean the highest average annual pensionable compensation earned by the member during a period of at least 36 consecutive months, or at least three consecutive school years if applicable, immediately preceding his or her the members retirement or last separation from service if earlier, or during any other period of at least 36 consecutive months, or at least three consecutive school years if applicable, during the members applicable service that the member designates on the application for retirement.
(b)On or after January 1, 2013, an employer shall not modify a benefit plan to permit a calculation of final compensation on a basis of less than the average annual compensation earned by the member during a consecutive 36-month period, or three school years if applicable, for members who have been subject to at least a 36-month or three-school-year calculation prior to that date.
|
Date
|
Status
|
|---|---|
| Feb 8, 2024 | From printer. May be heard in committee March 9. |
| Feb 7, 2024 | Read first time. To print. |
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Bill Author
Bill Co-Author(s):