Minnesota Legislature
SF 1122
as introduced - 94th Legislature (2025 - 2026) Posted on 02/11/2025 10:19am
1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21 1.22 1.23 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 2.12 2.13 2.14 2.15 2.16 2.17 2.18 2.19 2.20
2.21 2.22
2.23 2.24 2.25 2.26 2.27 2.28 2.29 2.30 2.31 2.32 2.33 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8
3.9 3.10
A bill for an act
relating to retirement; public employees police and fire retirement plan; state patrol
retirement plan; increasing postretirement adjustments; decreasing the waiting
period for a postretirement adjustment for the public employees police and fire
retirement plan; amending Minnesota Statutes 2024, section 356.415, subdivisions
1c, 1e.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2024, section 356.415, subdivision 1c, is amended to read:
Subd. 1c.
Annual postretirement adjustments; deleted text begin PERA-policedeleted text end new text begin public employees police new text end
and firenew text begin retirement plannew text end .
(a) Retirement annuity, disability benefit, or survivor benefit
recipients of the public employees police and fire retirement plan are entitled to an annual
postretirement adjustment, effective as of each January 1, deleted text begin as follows:deleted text end new text begin equal to the percentage
of increase determined under this subdivision. The increase to the annuity or benefit must
be determined by multiplying the monthly amount of the annuity or benefit by the percentage
of increase specified in paragraph (b), after taking into account any reduction to the
percentage of increase required under paragraph (c).
new text end
new text begin
(b) The percentage of increase must be one percent unless the federal Social Security
Administration has announced a cost-of-living adjustment pursuant to United States Code,
title 42, section 415(i), in the last quarter of the preceding calendar year that is greater than
two percent. If the cost-of-living adjustment announced by the federal Social Security
Administration is greater than two percent, the percentage of increase must be 50 percent
of the cost-of-living adjustment announced by the federal Social Security Administration,
except the percentage of increase must not exceed 1.5 percent.
new text end
new text begin (c)new text end (1) deleted text begin for each annuitant or benefitdeleted text end new text begin If thenew text end recipient deleted text begin who will havedeleted text end new text begin of an annuity, a disability
benefit, or a survivor's benefit hasnew text end been receiving deleted text begin andeleted text end new text begin thenew text end annuity or benefit for at least deleted text begin 36deleted text end new text begin
12new text end full months as of deleted text begin the immediate precedingdeleted text end June 30deleted text begin , a postretirementdeleted text end new text begin of the calendar year
immediately before the effective date of the increase, there is no reduction in the percentage
of new text end increase deleted text begin of one percent must be applied each year to the amount of the monthly annuity
or benefit of the annuitant or benefit recipient; ordeleted text end new text begin .
new text end
(2) deleted text begin for each annuitant or benefitdeleted text end new text begin If the new text end recipient deleted text begin whodeleted text end new text begin of an annuity, a disability benefit,
or a survivor's benefit new text end has been receiving the annuity or benefit for at least deleted text begin 25 full monthsdeleted text end new text begin
one full monthnew text end , but less than deleted text begin 36deleted text end new text begin 12 full new text end months as of deleted text begin the immediate precedingdeleted text end June 30deleted text begin , a
postretirement increase of 1/12 of one percent for each full month that the person has been
receiving andeleted text end new text begin of the calendar year immediately before the effective date of the increase, the
percentage of the increase is multiplied by a fraction, the numerator of which is the number
of months thenew text end annuity or benefit deleted text begin duringdeleted text end new text begin was received as of June 30 of new text end the deleted text begin fiscaldeleted text end new text begin preceding
calendar new text end year deleted text begin in which the annuity or benefit was effective must be applied each year to the
amount of the monthly annuity or benefit of the annuitant or benefit recipientdeleted text end new text begin and the
denominator of which is 12new text end .
deleted text begin (b)deleted text end new text begin (d) new text end An increase in annuity or benefit payments under this deleted text begin sectiondeleted text end new text begin subdivision new text end must
be made automatically unless written notice is filed by the annuitant or benefit recipient
with the executive director of the Public Employees Retirement Association requesting that
the increase not be made.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for postretirement adjustments beginning
on or after January 1, 2026.
new text end
Sec. 2.
Minnesota Statutes 2024, section 356.415, subdivision 1e, is amended to read:
Subd. 1e.
Annual postretirement adjustments; State Patrol retirement plan.
(a)
Retirement annuity, disability benefit, or survivor benefit recipients of the State Patrol
retirement plan are entitled to an annual postretirement adjustment, effective as of each
January 1, as follows:
(1) a postretirement increase of deleted text begin onedeleted text end new text begin 1.5 new text end percent must be applied each year to the monthly
annuity or benefit of each annuitant or benefit recipient who has been receiving an annuity
or a benefit for at least 12 full months as of the June 30 of the calendar year immediately
before the adjustment; and
(2) for each annuitant or benefit recipient who has been receiving an annuity or a benefit
for at least one full month, but less than 12 full months as of the June 30 of the calendar
year immediately before the adjustment, an annual postretirement increase of 1/12 of deleted text begin onedeleted text end
new text begin 1.5 new text end percent for each month that the person has been receiving an annuity or benefit must
be applied to the amount of the monthly annuity or benefit of each annuitant or benefit
recipient.
(b) An increase in annuity or benefit payments under this subdivision must be made
automatically unless written notice is filed by the annuitant or benefit recipient with the
executive director of the deleted text begin applicable covereddeleted text end new text begin Minnesota State new text end Retirement deleted text begin plandeleted text end new text begin System
new text end requesting that the increase not be made.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective for postretirement adjustments beginning
on or after January 1, 2026.
new text end