Governor signs pension bills into law
STATEHOUSE- State Representative Milo Smith (R-Columbus) is the coauthor of HEA 1074 and HEA 1075, both dealing with public pensions. These bills have been signed into law by the governor.
HEA 1074 will provide a 13th check for certain members of the Indiana State Teachers’ Retirement Fund (TRF), Public Employees Retirement Fund (PERF), State Excise Police, Gaming Agent, Gaming Control Officer, Conservation Enforcement Officers’ Retirement Fund (C&E Fund), State Police 1987 Benefits System and State Police Pre-1987 Benefits system.
“This new law greatly benefits teachers, police officers and other public employees by giving them additional financial support,” said Rep. Smith. “When the recession hit, cuts had to be made to balance state reserves, which affected nearly 130,000 public retirees. Our proven track record of fiscal responsibility has put us in a position to provide additional support for all of these Hoosiers.”
HEA 1075 will eventually allow for a more market-driven approach to civil service annuities by allowing the Indiana Public Retirement System (INPRS) to enter into an agreement with a third-party provider to offer annuities to retiring and retired members of PERF and TRF after January 1, 2017.
“This legislation is essential for easing Indiana’s allowance of annuity rates being market- based and shift the liability from the state to a private vendor,” said Rep. Smith. “We decided on 2017 to be mindful of those public servants looking to retire in the next five years.”
Both HEA 1074 and HEA 1075 will go into effect July 1, 2014.