MSP: SUPPLEMENTAL PENSION BENEFIT FOR BANKED TIME
House Bill 5238
Sponsor: Rep. Mickey Mortimer
Committee: Senior Health, Security and Retirement
Complete to 12-3-03
A SUMMARY OF HOUSE BILL 5238 AS INTRODUCED 11-4-03
The bill would add a new section to the State Police Retirement Act to provide for a supplemental increase in pension benefits for troopers who participated in the bank time hours program between December 22, 1957 and July 13, 1963.
On or after January 1, 2005, the monthly retirement allowance payable to a retirant who participated and accrued leave time in the bank time hours program established by the civil service system, operating between December 22, 1957 and July 13, 1963, would have to be supplemented as provided under the bill. If a retirant who would have been eligible to receive the supplement is deceased, the supplement would be available to his or her beneficiary. The increase in retirement allowance would have to be included in the basis upon which future adjustments to the retirement allowance were calculated.
If the accrued bank time was no less than 5,276 hours, the retirement allowance would have to be increased annually by 17 percent. If the bank time hours were less than that, the annual supplement would equal an amount that was 17 percent multiplied by the number of accrued bank time hours divided by 5,276 hours, but would have to be at least $600.
MCL 38.1641a
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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.