PRINTER'S NO. 174
No. 186 Session of 1999
INTRODUCED BY O'BRIEN, BUXTON, READSHAW, LEDERER, BELFANTI, WOGAN, STAIRS, LAUGHLIN, CURRY, STABACK, COY, WOJNAROSKI, E. Z. TAYLOR, MICHLOVIC, COLAFELLA, TRELLO, CASORIO, VAN HORNE, RAMOS, PESCI, GIGLIOTTI, KENNEY, J. TAYLOR, C. WILLIAMS, McCALL, SOLOBAY, M. COHEN, McNAUGHTON, BARD, SEYFERT, L. I. COHEN, FREEMAN, SAINATO, ORIE, PLATTS, McGEEHAN, HARHAI, YOUNGBLOOD, DeLUCA, BUNT, PIPPY, BROWNE, PETRARCA, JAMES, CIVERA AND BELARDI, JANUARY 27, 1999
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, JANUARY 27, 1999
AN ACT 1 Amending the act of December 14, 1988 (P.L.1192, No.147), 2 entitled "An act requiring municipal retirement systems to 3 pay special ad hoc postretirement adjustments to certain 4 retired police officers and firefighters; providing for the 5 financing of these adjustments; providing for the 6 administration of the Commonwealth's reimbursements for these 7 adjustments; and making repeals," further defining "special 8 ad hoc municipal police and firefighter postretirement 9 adjustment"; and further providing for special ad hoc 10 adjustments. 11 The General Assembly of the Commonwealth of Pennsylvania 12 hereby enacts as follows: 13 Section 1. The definition of "special ad hoc municipal 14 police and firefighter postretirement adjustment" in section 102 15 of the act of December 14, 1988 (P.L.1192, No.147), known as the 16 Special Ad Hoc Municipal Police and Firefighter Postretirement 17 Adjustment Act, is amended to read: 18 Section 102. Definitions. 19 The following words and phrases when used in this act shall
1 have the meanings given to them in this section unless the 2 context clearly indicates otherwise: 3 * * * 4 "Special ad hoc municipal police and firefighter 5 postretirement adjustment." An increase in or change in the 6 amount of a retirement annuity, retirement benefit, service 7 pension or disability pension benefit granted or effective after 8 active employment ceases[, as provided for on a one-time basis 9 under this statute]. 10 Section 2. Section 301 of the act is amended to read: 11 Section 301. Entitlement to special ad hoc [adjustment] 12 adjustments. 13 A municipal retirement system shall pay a retired police 14 officer or firefighter [a] special ad hoc municipal police and 15 firefighter postretirement [adjustment] adjustments under this 16 chapter if all of the following apply: 17 (1) The retiree has terminated active employment with 18 the municipality as a police officer or firefighter. 19 (2) The retiree is receiving a retirement annuity, 20 retirement benefit, service pension or disability pension 21 benefit from a municipal retirement system on the basis of 22 active employment with a municipality as a police officer or 23 firefighter. 24 (3) [The] (i) With respect to eligibility for the first 25 special ad hoc adjustment under section 302, the retiree 26 began receiving the retirement annuity, retirement 27 benefit, service pension or disability pension benefit 28 before January 1, 1985. 29 (ii) With respect to eligibility for the second 30 special ad hoc adjustment under section 302.1, the 19990H0186B0174 - 2 -
1 retiree began receiving the retirement annuity, 2 retirement benefit, service pension or disability pension 3 benefit before January 1, 1994. 4 Section 3. The heading of section 302 of the act is amended 5 to read: 6 Section 302. Amount of first special ad hoc adjustment. 7 * * * 8 Section 4. The act is amended by adding a section to read: 9 Section 302.1. Amount of second special ad hoc adjustment. 10 (a) General rule.--Except as provided in subsections (b) and 11 (c), a municipal retirement system shall pay a retired police 12 officer or firefighter a special ad hoc municipal police and 13 firefighter postretirement adjustment under section 301, as 14 follows: 15 (1) The sum of $25 a month, if on January 1, 1998, the 16 retiree has been retired at least five years but less than 17 ten years. 18 (2) The sum of $50 a month, if on January 1, 1998, the 19 retiree is totally disabled and has been retired less than 20 ten years. 21 (3) The sum of $75 a month, if on January 1, 1998, the 22 retiree has been retired at least ten years but less than 20 23 years. 24 (4) The sum of $150 a month, if on January 1, 1998, the 25 retiree has been retired at least 20 years. 26 (b) Limitation.--If, under section 301, a retiree is 27 entitled to be paid a special ad hoc municipal police and 28 firefighter postretirement adjustment by more than one municipal 29 retirement system, the amount of the special ad hoc adjustment 30 under subsection (a) shall be reduced so that the total of all 19990H0186B0174 - 3 -
1 these adjustments paid to the retiree does not exceed the amount 2 specified in subsection (a). 3 (c) Modification in amount of postretirement adjustment.--In 4 a municipality where, as of the most recent actuarial valuation 5 prepared under the act of December 18, 1984 (P.L.1005, No.205), 6 known as the Municipal Pension Plan Funding Standard and 7 Recovery Act, the actuarial value of aggregated assets as a 8 percentage of the aggregated actuarial accrued liabilities of 9 the municipality's retirement systems is less than 50%, if a 10 retiree entitled to receive a special ad hoc municipal police 11 and firefighters postretirement adjustment receives a 12 postretirement adjustment from the applicable municipal police 13 or paid firefighters retirement system after the effective date 14 of this section, the amount of the special ad hoc postretirement 15 adjustment under subsection (a) shall be reduced by the total 16 amount of any municipal postretirement adjustment. 17 (d) Construction.--Nothing in subsections (b) and (c) shall 18 be construed to reduce the amount of any retirement annuity, 19 retirement benefit, service pension or disability pension 20 benefit payable to a retiree immediately prior to the effective 21 date of this section. 22 Section 5. Section 303 of the act is amended to read: 23 Section 303. Payment of special ad hoc [adjustment] 24 adjustments. 25 [The special ad hoc adjustment is] Special ad hoc adjustments 26 shall be effective on the date of the first payment of the 27 retiree's retirement annuity, retirement benefit, service 28 pension or disability pension benefit due after December 31, 29 1988[.], with respect to the first special ad hoc adjustment and 30 after December 31, 1997, with respect to the second special ad 19990H0186B0174 - 4 -
1 hoc adjustment. The municipal retirement system shall pay this
2 as soon as practicable after that and shall include in the first
3 payment any omitted amount payable between the effective date of
4 the adjustment and the date of the first payment.
5 Section 6. The amendment or addition of sections 102, 301,
6 302, 302.1 and 303 of the act shall be retroactive to January 1,
7 1998.
8 Section 7. This act shall take effect immediately.
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