This bill proposes an amendment to the Code of West Virginia, specifically section 8-22-26a, to increase the threshold for calculating cost-of-living increases for supplemental pension benefits for certain municipal employees, including police, firefighters, and workers in waterworks and sewage systems. The current law limits the calculation of these benefits to the first $15,000 of the total annual benefit, but the bill seeks to raise this limit to $45,000. This change aims to provide a more substantial financial cushion for retirees in these professions, reflecting the rising cost of living.

In addition to the increase in the allowable amount for calculating supplemental benefits, the bill maintains existing provisions regarding the annualized monthly benefit based on the consumer price index, which is capped at four percent per year. It also preserves the two-year waiting period for new retirees before they can access these supplemental benefits, while ensuring that those who retired before the bill's effective date will receive the benefits immediately. Overall, the bill is designed to enhance the financial security of municipal employees in their retirement years by adjusting the calculation of their pension benefits to better align with current economic conditions.

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