This bill proposes an amendment to the Code of West Virginia, specifically section 8-22-26a, to increase the allowable amount for calculating supplemental pension benefits for municipal police, firefighters, and employees of waterworks and sewage systems. The current law limits the calculation to the first $15,000 of the total annual benefit, but this bill seeks to raise that limit to $45,000. This change aims to provide a more substantial cost-of-living increase for eligible retirees, disability pensioners, and surviving beneficiaries, ensuring that their supplemental benefits better reflect inflation as measured by the consumer price index.

In addition to the increase in the allowable amount, the bill maintains the existing provisions regarding the calculation of supplemental benefits, which are based on a percentage increase tied to the consumer price index, with a cap of four percent per year. It also preserves the two-year waiting period for new retirees before they can access these supplemental benefits, while allowing those who retired before the effective date of this amendment to receive benefits immediately. Overall, the bill is designed to enhance the financial security of public service retirees by adjusting the framework for supplemental pension benefits to better align with current economic conditions.

Statutes affected:
Introduced Version: 8-22-26a