House Bill No. 6844, as amended, focuses on enhancing the rights and benefits of retirees within municipal pension and retirement systems. The bill introduces new legal provisions that prevent municipalities or special taxing districts from diminishing or eliminating any rights or benefits granted to retirees under their pension systems, effective July 1, 2025. Specifically, it prohibits the reduction of benefits due to permanent partial disability received after this date and mandates that temporary total and partial disability benefits be included as wages when calculating pension benefits, with the stipulation that the total does not exceed 100% of the employee's wages prior to injury. Importantly, these changes will not affect existing collective bargaining agreements.

Additionally, the bill requires the Comptroller to conduct a study on the transition of municipalities that currently lack defined pension plans for police officers and firefighters to a system that offers comparable or superior benefits. The findings of this study are to be reported to the General Assembly by January 1, 2027. The fiscal implications suggest that municipalities may face increased costs due to the new calculations for pension benefits, particularly with the inclusion of disability benefits, which could elevate the overall liabilities of their retirement systems. Notably, the provisions regarding pension calculations will not apply to the Connecticut Municipal Employees Retirement System (CMERS), which already incorporates workers' compensation benefits in its pension calculations.

Statutes affected:
Raised Bill: 7-450c
LAB Joint Favorable: 7-450c
File No. 157: 7-450c
APP Joint Favorable: 7-450c
File No. 955: 7-450c