SF4721 (Legislative Session 94 (2025-2026))
Local governmental correctional service retirement plan modification
AI Generated Summary
Purpose
This bill aims to modify the Public Employees Retirement Association (PERA) Local Government Correctional Service Retirement Plan. It changes how much participants and their employers contribute and increases postretirement adjustments for retirees. It also updates several Minnesota statutes related to these changes.
Main Provisions
- Employee contributions: The bill requires members of the local government correctional service retirement plan to contribute 6.83% of their salary.
- Employer contributions: The bill reduces the employer contribution rate to the retirement plan.
- Postretirement adjustments: The bill increases postretirement adjustments (benefits paid after retirement) for plan members.
- Statutory amendments: The changes modify Minnesota Statutes 2024, including sections 353E.03 subdivisions 1 and 2, and 356.415 subdivision 1g.1.6, to implement these pension changes.
Significant changes to existing law
- The bill lowers both employee and employer contribution rates for the PERA Local Government Correctional Service Retirement Plan.
- It increases the rate at which retirees receive postretirement adjustments, affecting the ongoing benefits under the plan.
- It updates the specific legal references in Minnesota Statutes to align with these adjustments (sections 353E.03 and 356.415).
Practical impact (in plain terms)
- Current plan participants will be required to contribute 6.83% of their salary to the retirement plan.
- Employers sponsoring the plan will contribute less money on behalf of workers.
- Retirees under this plan may see higher increases to their yearly retirement benefits.
Relevant terms - Public Employees Retirement Association (PERA) - Local Government Correctional Service Retirement Plan - employee contribution rate - employer contribution rate - postretirement adjustments (COLA) - Minnesota Statutes 2024 - section 353E.03 subdivision 1 - section 353E.03 subdivision 2 - section 356.415 subdivision 1g.1.6 - 6.83% of salary
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 23, 2026 | Senate | Action | Introduction and first reading | ||
| March 23, 2026 | Senate | Action | Referred to | State and Local Government |
Citations
[
{
"analysis": {
"added": [
"Sets member contribution rate at 6.83% of salary."
],
"removed": [],
"summary": "This bill amends Minnesota Statutes 2024 section 353E.03 to set member contributions for the Public Employees Retirement Association local government correctional service retirement plan at 6.83% of salary.",
"modified": [
"Updates provisions relating to employee contributions and postretirement adjustments under the plan."
]
},
"citation": "353E.03",
"subdivision": "subdivision 1, 2"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill amends Minnesota Statutes 2024 section 356.415, subdivision 1g.1.6 to increase postretirement adjustments for the local government correctional service retirement plan.",
"modified": [
"Increases postretirement adjustments under the plan."
]
},
"citation": "356.415",
"subdivision": "subdivision 1g.1.6"
}
]Progress through the legislative process
In Committee