This bill aims to enhance retirement benefits for members of the Teachers Retirement Association in Minnesota by allowing members to receive an unreduced retirement annuity upon reaching age 60 with 30 years of service. It modifies early retirement reduction factors, increases postretirement adjustments, and removes the delay in these adjustments for members retiring before the normal retirement age. Additionally, the bill increases employer contributions and raises the pension adjustment revenue for school districts, with specific amendments to Minnesota Statutes 2024 regarding pension adjustment revenue calculations and employer contribution rates.

The bill also appropriates funds from the general fund to support increased employer pension contributions to the Teachers Retirement Association and various educational institutions, including the Minnesota State Academies and the Perpich Center for the Arts, for fiscal years 2026 and 2027. Starting in fiscal year 2028, base funding for these contributions is set to increase annually by three percent. Furthermore, it specifies additional appropriations for general education aid through the Department of Education, detailing specific amounts for fiscal years 2026 and 2027. Overall, the bill seeks to provide better financial security for educators in their retirement years.

Statutes affected:
Introduction: 126C.10, 127A.50, 354.42, 354.44, 356.415