as introduced - 91st Legislature (2019 - 2020) Posted on 02/27/2020 01:47pm
A bill for an act
relating to retirement; volunteer firefighter relief associations; increasing the
maximum lump-sum service pension amount; amending Minnesota Statutes 2018,
section 424A.02, subdivision 3; repealing Laws 2018, chapter 211, article 14,
section 29.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2018, section 424A.02, subdivision 3, is amended to read:
(a) Annually on or before August 1 as
part of the certification of the financial requirements and minimum municipal obligation
determined under section 424A.092, subdivision 4, or 424A.093, subdivision 5, as applicable,
the secretary or some other official of the relief association designated in the bylaws of each
defined benefit relief association shall calculate and certify to the governing body of the
applicable municipality the average amount of available financing per active covered
firefighter for the most recent three-year period. The amount of available financing includes
any amounts of fire state aid and police and firefighter retirement supplemental state aid
received or receivable by the relief association, any amounts of municipal contributions to
the relief association raised from levies on real estate or from other available revenue sources
exclusive of fire state aid, and one-tenth of the amount of assets in excess of the accrued
liabilities of the relief association calculated under section 424A.092, subdivision 2;
424A.093, subdivisions 2 and 4; or 424A.094, subdivision 2, if any.
(b) The maximum service pension which the defined benefit relief association has
authority to provide for in its bylaws for payment to a member retiring after the calculation
date when the minimum age and service requirements specified in subdivision 1 are met
must be determined using the table in paragraph (c) or (d), whichever applies.
(c) For a defined benefit relief association where the governing bylaws provide for a
monthly service pension to a retiring member, the maximum monthly service pension amount
per month for each year of service credited that may be provided for in the bylaws is the
greater of the service pension amount provided for in the bylaws on the date of the calculation
of the average amount of the available financing per active covered firefighter or the
maximum service pension figure corresponding to the average amount of available financing
per active covered firefighter:
Minimum Average Amount of Available Financing per Firefighter |
Maximum Service Pension Amount Payable per Month for Each Year of Service |
||
$ ... |
$ .25 |
||
41 |
.50 |
||
81 |
1.00 |
||
122 |
1.50 |
||
162 |
2.00 |
||
203 |
2.50 |
||
243 |
3.00 |
||
284 |
3.50 |
||
324 |
4.00 |
||
365 |
4.50 |
||
405 |
5.00 |
||
486 |
6.00 |
||
567 |
7.00 |
||
648 |
8.00 |
||
729 |
9.00 |
||
810 |
10.00 |
||
891 |
11.00 |
||
972 |
12.00 |
||
1053 |
13.00 |
||
1134 |
14.00 |
||
1215 |
15.00 |
||
1296 |
16.00 |
||
1377 |
17.00 |
||
1458 |
18.00 |
||
1539 |
19.00 |
||
1620 |
20.00 |
||
1701 |
21.00 |
||
1782 |
22.00 |
||
1823 |
22.50 |
||
1863 |
23.00 |
||
1944 |
24.00 |
||
2025 |
25.00 |
||
2106 |
26.00 |
||
2187 |
27.00 |
||
2268 |
28.00 |
||
2349 |
29.00 |
||
2430 |
30.00 |
||
2511 |
31.00 |
||
2592 |
32.00 |
||
2673 |
33.00 |
||
2754 |
34.00 |
||
2834 |
35.00 |
||
2916 |
36.00 |
||
2997 |
37.00 |
||
3078 |
38.00 |
||
3159 |
39.00 |
||
3240 |
40.00 |
||
3321 |
41.00 |
||
3402 |
42.00 |
||
3483 |
43.00 |
||
3564 |
44.00 |
||
3645 |
45.00 |
||
3726 |
46.00 |
||
3807 |
47.00 |
||
3888 |
48.00 |
||
3969 |
49.00 |
||
4050 |
50.00 |
||
4131 |
51.00 |
||
4212 |
52.00 |
||
4293 |
53.00 |
||
4374 |
54.00 |
||
4455 |
55.00 |
||
4536 |
56.00 |
||
4617 |
57.00 |
||
4698 |
58.00 |
||
4779 |
59.00 |
||
4860 |
60.00 |
||
4941 |
61.00 |
||
5022 |
62.00 |
||
5103 |
63.00 |
||
5184 |
64.00 |
||
5265 |
65.00 |
||
5346 |
66.00 |
||
5427 |
67.00 |
||
5508 |
68.00 |
||
5589 |
69.00 |
||
5670 |
70.00 |
||
5751 |
71.00 |
||
5832 |
72.00 |
||
5913 |
73.00 |
||
5994 |
74.00 |
||
6075 |
75.00 |
||
6156 |
76.00 |
||
6237 |
77.00 |
||
6318 |
78.00 |
||
6399 |
79.00 |
||
6480 |
80.00 |
||
6561 |
81.00 |
||
6642 |
82.00 |
||
6723 |
83.00 |
||
6804 |
84.00 |
||
6885 |
85.00 |
||
6966 |
86.00 |
||
7047 |
87.00 |
||
7128 |
88.00 |
||
7209 |
89.00 |
||
7290 |
90.00 |
||
7371 |
91.00 |
||
7452 |
92.00 |
||
7533 |
93.00 |
||
7614 |
94.00 |
||
7695 |
95.00 |
||
7776 |
96.00 |
||
7857 |
97.00 |
||
7938 |
98.00 |
||
8019 |
99.00 |
||
8100 |
100.00 |
||
any amount in excess of |
|||
8100 |
100.00 |
(d) For a defined benefit relief association in which the governing bylaws provide for a
lump-sum service pension to a retiring member, the maximum lump-sum service pension
amount for each year of service credited that may be provided for in the bylaws is the greater
of the service pension amount provided for in the bylaws on the date of the calculation of
the average amount of the available financing per active covered firefighter or the maximum
service pension figure corresponding to the average amount of available financing per active
covered firefighter for the applicable specified period:
Minimum Average Amount of Available Financing per Firefighter |
Maximum Lump-Sum Service Pension Amount Payable for Each Year of Service |
||
$ ... |
$ 10 |
||
11 |
20 |
||
16 |
30 |
||
23 |
40 |
||
27 |
50 |
||
32 |
60 |
||
43 |
80 |
||
54 |
100 |
||
65 |
120 |
||
77 |
140 |
||
86 |
160 |
||
97 |
180 |
||
108 |
200 |
||
131 |
240 |
||
151 |
280 |
||
173 |
320 |
||
194 |
360 |
||
216 |
400 |
||
239 |
440 |
||
259 |
480 |
||
281 |
520 |
||
302 |
560 |
||
324 |
600 |
||
347 |
640 |
||
367 |
680 |
||
389 |
720 |
||
410 |
760 |
||
432 |
800 |
||
486 |
900 |
||
540 |
1000 |
||
594 |
1100 |
||
648 |
1200 |
||
702 |
1300 |
||
756 |
1400 |
||
810 |
1500 |
||
864 |
1600 |
||
918 |
1700 |
||
972 |
1800 |
||
1026 |
1900 |
||
1080 |
2000 |
||
1134 |
2100 |
||
1188 |
2200 |
||
1242 |
2300 |
||
1296 |
2400 |
||
1350 |
2500 |
||
1404 |
2600 |
||
1458 |
2700 |
||
1512 |
2800 |
||
1566 |
2900 |
||
1620 |
3000 |
||
1672 |
3100 |
||
1726 |
3200 |
||
1753 |
3250 |
||
1780 |
3300 |
||
1820 |
3375 |
||
1834 |
3400 |
||
1888 |
3500 |
||
1942 |
3600 |
||
1996 |
3700 |
||
2023 |
3750 |
||
2050 |
3800 |
||
2104 |
3900 |
||
2158 |
4000 |
||
2212 |
4100 |
||
2265 |
4200 |
||
2319 |
4300 |
||
2373 |
4400 |
||
2427 |
4500 |
||
2481 |
4600 |
||
2535 |
4700 |
||
2589 |
4800 |
||
2643 |
4900 |
||
2697 |
5000 |
||
2751 |
5100 |
||
2805 |
5200 |
||
2859 |
5300 |
||
2913 |
5400 |
||
2967 |
5500 |
||
3021 |
5600 |
||
3075 |
5700 |
||
3129 |
5800 |
||
3183 |
5900 |
||
3237 |
6000 |
||
3291 |
6100 |
||
3345 |
6200 |
||
3399 |
6300 |
||
3453 |
6400 |
||
3507 |
6500 |
||
3561 |
6600 |
||
3615 |
6700 |
||
3669 |
6800 |
||
3723 |
6900 |
||
3777 |
7000 |
||
3831 |
7100 |
||
3885 |
7200 |
||
3939 |
7300 |
||
3993 |
7400 |
||
4047 |
7500 |
||
4101 |
7600 |
||
4155 |
7700 |
||
4209 |
7800 |
||
4263 |
7900 |
||
4317 |
8000 |
||
4371 |
8100 |
||
4425 |
8200 |
||
4479 |
8300 |
||
4533 |
8400 |
||
4587 |
8500 |
||
4641 |
8600 |
||
4695 |
8700 |
||
4749 |
8800 |
||
4803 |
8900 |
||
4857 |
9000 |
||
4911 |
9100 |
||
4965 |
9200 |
||
5019 |
9300 |
||
5073 |
9400 |
||
5127 |
9500 |
||
5181 |
9600 |
||
5235 |
9700 |
||
5289 |
9800 |
||
5343 |
9900 |
||
5397 |
10,000 |
||
5451 |
10,100 |
||
5505 |
10,200 |
||
5559 |
10,300 |
||
5613 |
10,400 |
||
5667 |
10,500 |
||
5721 |
10,600 |
||
5775 |
10,700 |
||
5829 |
10,800 |
||
5883 |
10,900 |
||
5937 |
11,000 |
||
5991 |
11,100 |
||
6045 |
11,200 |
||
6099 |
11,300 |
||
6153 |
11,400 |
||
6207 |
11,500 |
||
6261 |
11,600 |
||
6315 |
11,700 |
||
6369 |
11,800 |
||
6423 |
11,900 |
||
6477 |
12,000 |
||
6531 |
12,100 |
||
6585 |
12,200 |
||
6639 |
12,300 |
||
6693 |
12,400 |
||
6747 |
12,500 |
||
6801 |
12,600 |
||
6855 |
12,700 |
||
6909 |
12,800 |
||
6963 |
12,900 |
||
7017 |
13,000 |
||
7071 |
13,100 |
||
7125 |
13,200 |
||
7179 |
13,300 |
||
7233 |
13,400 |
||
7287 |
13,500 |
||
7341 |
13,600 |
||
7395 |
13,700 |
||
7449 |
13,800 |
||
7503 |
13,900 |
||
7557 |
14,000 |
||
7311 |
14,100 |
||
7665 |
14,200 |
||
7719 |
14,300 |
||
7773 |
14,400 |
||
7827 |
14,500 |
||
7881 |
14,600 |
||
7935 |
14,700 |
||
7989 |
14,800 |
||
8043 |
14,900 |
||
8097 |
15,000 |
||
any amount in excess of |
|||
5397
8097 |
10,000
15,000 |
(e) For a defined benefit relief association in which the governing bylaws provide for a
monthly benefit service pension as an alternative form of service pension payment to a
lump-sum service pension, the maximum service pension amount for each pension payment
type must be determined using the applicable table contained in this subdivision.
(f) If a defined benefit relief association establishes a service pension in compliance
with the applicable maximum contained in paragraph (c) or (d) and the minimum average
amount of available financing per active covered firefighter is subsequently reduced because
of a reduction in fire state aid or because of an increase in the number of active firefighters,
the relief association may continue to provide the prior service pension amount specified
in its bylaws, but may not increase the service pension amount until the minimum average
amount of available financing per firefighter under the table in paragraph (c) or (d), whichever
applies, permits.
(g) No defined benefit relief association is authorized to provide a service pension in an
amount greater than the largest applicable flexible service pension maximum amount even
if the amount of available financing per firefighter is greater than the financing amount
associated with the largest applicable flexible service pension maximum.
(h) The method of calculating service pensions must be applied uniformly for all years
of active service. Credit must be given for all years of active service except for caps on
service credit if so provided in the bylaws of the relief association.
This section is effective January 1, 2021.
Laws 2018, chapter 211, article 14, section 29,
is repealed.
This section is effective January 1, 2021.
Repealed Minnesota Session Laws: 20-7185
Laws 2018, chapter 211, article 14, section 29
(a) As used in this section, "qualifying volunteer firefighters relief association" means a volunteer firefighters relief association with a funding ratio of greater than 100 percent as of the most recent fiscal year end, and which provides a lump sum pension benefit based on a lump sum pension amount equal to $9,500 or more, as of the effective date of this section. For purposes of this section, "qualifying volunteer firefighters relief association" does not include an association whose maximum lump-sum pension amount is specifically established by other provisions of this bill.
(b) Notwithstanding any provision of Minnesota Statutes, section 424A.02, subdivision 3, paragraph (d), to the contrary, the maximum lump-sum pension amount for each year of service credited that may be provided for in the bylaws of a qualifying volunteer firefighters relief association is the maximum service pension figure corresponding to the average amount of available financing per active covered firefighter for the applicable specified period:
Minimum Average Amount of Available Financing per Firefighter | Maximum Lump-Sum Service Pension Amount Payable for Each Year of Service | ||
$ ... | $ 10 | ||
11 | 20 | ||
16 | 30 | ||
23 | 40 | ||
27 | 50 | ||
32 | 60 | ||
43 | 80 | ||
54 | 100 | ||
65 | 120 | ||
77 | 140 | ||
86 | 160 | ||
97 | 180 | ||
108 | 200 | ||
131 | 240 | ||
151 | 280 | ||
173 | 320 | ||
194 | 360 | ||
216 | 400 | ||
239 | 440 | ||
259 | 480 | ||
281 | 520 | ||
302 | 560 | ||
324 | 600 | ||
347 | 640 | ||
367 | 680 | ||
389 | 720 | ||
410 | 760 | ||
432 | 800 | ||
486 | 900 | ||
540 | 1000 | ||
594 | 1100 | ||
648 | 1200 | ||
702 | 1300 | ||
756 | 1400 | ||
810 | 1500 | ||
864 | 1600 | ||
918 | 1700 | ||
972 | 1800 | ||
1026 | 1900 | ||
1080 | 2000 | ||
1134 | 2100 | ||
1188 | 2200 | ||
1242 | 2300 | ||
1296 | 2400 | ||
1350 | 2500 | ||
1404 | 2600 | ||
1458 | 2700 | ||
1512 | 2800 | ||
1566 | 2900 | ||
1620 | 3000 | ||
1672 | 3100 | ||
1726 | 3200 | ||
1753 | 3250 | ||
1780 | 3300 | ||
1820 | 3375 | ||
1834 | 3400 | ||
1888 | 3500 | ||
1942 | 3600 | ||
1996 | 3700 | ||
2023 | 3750 | ||
2050 | 3800 | ||
2104 | 3900 | ||
2158 | 4000 | ||
2212 | 4100 | ||
2265 | 4200 | ||
2319 | 4300 | ||
2373 | 4400 | ||
2427 | 4500 | ||
2481 | 4600 | ||
2535 | 4700 | ||
2589 | 4800 | ||
2643 | 4900 | ||
2697 | 5000 | ||
2751 | 5100 | ||
2805 | 5200 | ||
2859 | 5300 | ||
2913 | 5400 | ||
2967 | 5500 | ||
3021 | 5600 | ||
3075 | 5700 | ||
3129 | 5800 | ||
3183 | 5900 | ||
3237 | 6000 | ||
3291 | 6100 | ||
3345 | 6200 | ||
3399 | 6300 | ||
3453 | 6400 | ||
3507 | 6500 | ||
3561 | 6600 | ||
3615 | 6700 | ||
3669 | 6800 | ||
3723 | 6900 | ||
3777 | 7000 | ||
3831 | 7100 | ||
3885 | 7200 | ||
3939 | 7300 | ||
3993 | 7400 | ||
4047 | 7500 | ||
4101 | 7600 | ||
4155 | 7700 | ||
4209 | 7800 | ||
4263 | 7900 | ||
4317 | 8000 | ||
4371 | 8100 | ||
4425 | 8200 | ||
4479 | 8300 | ||
4533 | 8400 | ||
4587 | 8500 | ||
4641 | 8600 | ||
4695 | 8700 | ||
4749 | 8800 | ||
4803 | 8900 | ||
4857 | 9000 | ||
4911 | 9100 | ||
4965 | 9200 | ||
5019 | 9300 | ||
5073 | 9400 | ||
5127 | 9500 | ||
5181 | 9600 | ||
5235 | 9700 | ||
5289 | 9800 | ||
5343 | 9900 | ||
5397 | 10,000 | ||
5451 | 10,100 | ||
5505 | 10,200 | ||
5559 | 10,300 | ||
5613 | 10,400 | ||
5667 | 10,500 | ||
5721 | 10,600 | ||
5775 | 10,700 | ||
5729 | 10,800 | ||
5883 | 10,900 | ||
5937 | 11,000 | ||
5991 | 11,100 | ||
6045 | 11,200 | ||
6099 | 11,300 | ||
6153 | 11,400 | ||
6207 | 11,500 | ||
6261 | 11,600 | ||
6315 | 11,700 | ||
6369 | 11,800 | ||
6423 | 11,900 | ||
6477 | 12,000 | ||
6531 | 12,100 | ||
6585 | 12,200 | ||
6639 | 12,300 | ||
6693 | 12,400 | ||
6747 | 12,500 | ||
any amount in excess of 6747 | 12,500 |
(c) The maximum monthly service pension amount per month for each year of service credited that may be provided for in the bylaws of the volunteer firefighters relief association must be set pursuant to Minnesota Statutes, section 424A.02, subdivision 3, paragraph (c).
This section is effective the day following final enactment.