This bill aims to enhance retirement benefits for members of the Teachers Retirement Association in Minnesota by introducing several key provisions. It allows for an unreduced retirement annuity for members who reach age 60 with 30 years of service, modifies early retirement reduction factors, and increases postretirement adjustments. Notably, the bill removes the delay in postretirement adjustments for members retiring before the normal retirement age and increases employer contributions to the retirement fund. Specific amendments to Minnesota Statutes include changes to pension adjustment revenue calculations, employer contribution rates, and the computation of retirement annuities.

Additionally, the bill appropriates funds from the general fund to various educational institutions in Minnesota, including the Minnesota State Academies, the Perpich Center for the Arts, and the Minnesota State Colleges and Universities, to support increased employer pension contributions for fiscal years 2026 and 2027. Starting in fiscal year 2028, the base funding for these contributions is set to increase annually by three percent of the prior fiscal year's base. The bill also specifies additional appropriations for general education aid for fiscal years 2026 and 2027, aimed at supplementing existing educational funding as outlined in other laws.

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