House Bill 1906 amends Tennessee Code Annotated, specifically Section 8-34-625, to provide clearer guidelines for members of the retirement system regarding the establishment of retirement credit during periods of temporary disability. The bill allows members, excluding those employed by political subdivisions, to establish retirement credit for any time during or after their disability period, contingent upon approval from the board of trustees. It mandates that the employing department or agency certify the period of disability and the salary prior to the disability, with contributions to the retirement system based on that salary. Notably, state police officers can establish this credit at no cost to themselves, provided they apply after July 1, 2026.

Additionally, the bill permits participating political subdivisions to adopt similar provisions for their employees, contingent upon a resolution from their governing body. This resolution can allow for the establishment of retirement credit for police officers at no cost to them, effective from July 1, 2026. The bill also stipulates that members cannot receive credit for temporary disability exceeding one year per occurrence. Overall, the changes aim to enhance the retirement benefits for members experiencing temporary disabilities while ensuring that the financial implications for political subdivisions are clearly defined. The act is set to take effect on July 1, 2026.

Statutes affected:
Introduced: 8-34-625