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SF2379 (Legislative Session 94 (2025-2026))

Maximum employer contribution increase authorization for the higher education supplemental retirement plan

Related bill: HF2022

AI Generated Summary

Purpose of the Bill

This bill aims to amend existing Minnesota law regarding retirement benefits for employees of governmental subdivisions, specifically focusing on increasing the maximum employer contributions to higher education supplemental retirement plans.

Main Provisions

  • The bill proposes to increase the maximum contribution that employers can make to certain supplemental retirement plans for employees of the Minnesota State Colleges and Universities.
  • The maximum annual employer contribution is raised from $2,700 to $4,300 for each eligible employee, where contributions match employee contributions on a dollar-for-dollar basis.
  • The bill outlines exceptions that allow governmental agencies to contribute public funds to supplemental pension or deferred compensation plans, maintaining the legality of such contributions under specific conditions.

Significant Changes to Existing Law

  • Existing law currently caps the maximum employer contribution to higher education supplemental retirement plans at $2,700 annually. This bill increases that cap to $4,300, allowing for higher savings potential for retirement.

Relevant Terms

  • Supplemental retirement plans
  • Employer contribution
  • Minnesota State Colleges and Universities
  • Higher education retirement benefits
  • Deferred compensation
  • Collective bargaining agreement

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 09, 2025SenateFloorActionIntroduction and first reading
March 09, 2025SenateFloorActionReferred toState and Local Government

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This statute concerns the individual retirement account plan.",
      "modified": []
    },
    "citation": "354B"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This section pertains to severance pay for retiring or terminating employees.",
      "modified": []
    },
    "citation": "465.72"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "This section deals with contributions to the state of Minnesota deferred compensation program.",
      "modified": []
    },
    "citation": "353.27"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Alternative retirement plans established by Hennepin County Medical Center are covered under this statute.",
      "modified": []
    },
    "citation": "383B.914"
  }
]

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