Report Title:
ERS; post-retirement allowance
Description:
Augments the post retirement allowance by a simple interest increase at specified intervals following retirement.
|
HOUSE OF REPRESENTATIVES |
H.B. NO. |
2547 |
|
TWENTY-THIRD LEGISLATURE, 2006 |
||
|
STATE OF HAWAII |
||
|
|
A BILL FOR AN ACT
RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 88-90, Hawaii Revised Statutes, is amended to read as follows:
"§88-90 Post retirement allowances. (a) There shall be payable to each person receiving any pension, annuity, or retirement allowance, a post retirement allowance [which] that shall consist of an amount equivalent to one and one-half per cent of the monthly pension, annuity, or retirement allowance as originally computed, approved and paid. This benefit shall be added to the monthly pension, annuity, or retirement allowance on the first day of July in each year following June 30, 1961, as follows:
(1) To each person receiving a pension, annuity, or retirement allowance on June 30, 1961, payment of the benefit shall commence on July 1, 1961, except that after June 30, 1963, the monthly benefits payable under this subsection shall be computed and paid on the basis of the number of years that has elapsed since the person entitled thereto first became the recipient of the pension, annuity, or retirement allowance from which the benefit is derived.
(2) To each person first receiving a pension, annuity, or retirement allowance after June 30, 1961, payment of the benefit shall commence on the first of July following the calendar year in which the payment of the pension, annuity, or retirement allowance is effective.
(b) After June 30, 1970, the post retirement allowance shall consist of an amount equivalent to two and one-half per cent of the monthly pension, annuity, or retirement allowance as originally computed and paid. This benefit shall be payable on the first day of July in each year following June 30, 1970, as follows:
(1) To each person, who on June 30, 1970, was receiving a post retirement allowance as described under subsection (a) hereof, payment of the benefit shall commence on July 1, 1970.
(2) To each person first receiving a pension, annuity, or retirement allowance after December 31, 1968, payment of the benefit shall commence on the first day of July following the calendar year in which the payment of the pension, annuity, or retirement allowance is effective.
(c) After June 30, 2006, the post retirement allowance as described under subsection (b) shall be augmented at specified intervals by an amount equivalent to ten per cent simple interest of the monthly pension, annuity, or retirement allowance previously computed and paid. This benefit shall be added to the monthly pension, annuity, or retirement allowance on the first day of July following June 30, 2006, on the eighth, fifteenth, twenty-second, and twenty-ninth years following a person's retirement."
SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2006.
|
INTRODUCED BY: |
_____________________________ |