A bill that would provide a one time supplement to some retired public employees and teachers who have reached the age of 70 in recent years will have to cover a lot of ground to pass the Legislature this year.
The proposed bill has been sitting in the House Pensions and Retirement Committee since February. It would have to get approval there and from the House Finance Committee to make it to the House floor before heading to the Senate for consideration.
Ernie “Spud” Terry, Retiree Chapter President for AFSCME, says this bill revisits an issue the Legislature addressed several years ago when lawmakers approved a 3% cost of living increase for retirees who had reached the age of 70.
“What this bill does, it just catches up those people who have turned 70 since 2006,” Terry said. “This is an employer-employee issue.”
Retiree benefits are determined using a formula that’s based on years of service. There is no automatic cost of living increase for former state workers during retirement, except for the slight bump at 70.
“This is an inequity. It’s the right thing to do. It’s not that much money,” Terry says. Estimates indicate the increase would cost the state $9.7 million.
“Even in these tight times, you can always find such a small amount of money when you’re talking about a $12 billion budget.”
The bill, like so many others, is on a deadline. The 50th day of the 2013 Regular Legislative Session is on Wednesday, April 3rd.
That is the last day a bill can be taken up for final passage in the house where it was originated, giving it ten days to move through the other body. The cutoff time does not apply to budget or supplementary appropriations bill.
AFSCME is the American Federation of State, County and Municipal Employees.