This bill amends the calculation of "average final compensation" for Group II retirement system members, specifically police and fire personnel who began their service before July 1, 2011, and were not vested by January 1, 2012. The new legal language inserted into RSA 100-A:1, XVIII(c)(1) clarifies that the average annual earnable compensation during the highest five years of creditable service will now include average annual compensation for extra and special duty pay. However, this inclusion is limited to not exceeding the average annual amount of such compensation paid to the member over their last five years of creditable service on or after January 1, 2012, or over all years of creditable service on or after that date if the member has less than five years of service.

The bill aligns the calculation method with provisions previously adopted in HB 282 (2025) and does not introduce any additional fiscal impact on state, county, or local expenditures or revenue, as the anticipated effects have already been accounted for in prior appropriations. The act will take effect 60 days after its passage.

Statutes affected:
Introduced: 100-A:1
HB1471 text: 100-A:1