This bill amends the Minnesota Statutes related to the Public Employees Retirement Association (PERA) and its general employees retirement plan. It modifies the conditions under which the additional employer contribution is repealed, specifically stating that the repeal will take effect on the first day of the first full pay period after March 31 of the calendar year following the actuarial valuation that justifies the repeal. Additionally, the bill increases postretirement adjustments for annuities, disability benefits, and survivor benefits, establishing a new maximum percentage for these adjustments based on the market value of assets relative to actuarial accrued liabilities.

Key changes include the deletion of outdated provisions regarding coordinated program contribution rates and the introduction of new language that clarifies the conditions for postretirement adjustments. The percentage of increase for benefits is set at one percent unless a higher cost-of-living adjustment is announced, with a maximum percentage of 1.75 percent under certain conditions. The bill also specifies that these adjustments will automatically be made unless a recipient opts out. The effective date for the new provisions regarding postretirement adjustments is set for January 1, 2026.

Statutes affected:
Introduction: 353.27, 356.415