The bill amends Minnesota Statutes 2024, section 353.656, subdivision 4, to increase the reemployment earnings limit applicable to disability benefit payments for public employees in police and fire retirement plans. Specifically, the monthly salary threshold that determines the reemployment earnings limit is raised from $125 to $150. This change affects how disability benefits are calculated for members who either begin receiving disability payments before or after July 1, 2023, with different provisions for each group regarding the reduction of benefits based on reemployment earnings.

Additionally, the bill clarifies the conditions under which disability benefits may be reduced when a member returns to work, detailing the calculations involved based on years of service and current earnings. It also specifies that the new provisions will not apply to members receiving total and permanent disability benefits. The effective date of the changes is set for the day following final enactment.

Statutes affected:
Introduction: 353.656