The bill proposes an increase in the supplemental employer contribution rate paid by the Montana University System to the Teachers' Retirement System. Specifically, it amends Section 19-20-621 of the Montana Code Annotated to establish the new contribution rate at 14.21% of the total compensation for all employees participating in the university system retirement program. This new rate will replace the previous rates of 4.04% and 4.72% that were in effect from July 1, 2001, through June 30, 2007, and beginning July 1, 2007, respectively. Additionally, the bill mandates that the Teachers' Retirement Board periodically review the supplemental employer contribution rate and recommend necessary adjustments to ensure the amortization of the university system's past service liability by July 1, 2033. The bill also includes a provision for its effective date, stating that it will take effect on July 1, 2025.

Statutes affected:
LC Text: 19-20-621