Citations Affected: IC 10-1.
Synopsis: State police pension cost of living allowance. Provides a 2%
cost of living adjustment to a member of the 1987 state police benefit
system who retired or was disabled after July 1, 1987, and before July
2, 1999. Provides that the amount of the basic supplemental pension
benefit for an eligible retired member of the state police pre-1987
benefit system (the "pre-1987 system") is equal to 50% of the total
increase occurring after the retiree's retirement date in the pension
benefits to be received by an employee retiring from the state police
department after July 1, 1970, with 20 years of active service. Provides
that the maximum supplemental pension benefit that a retired member
of the pre-1987 system may receive is 100% of the total increase
occurring after the retiree's retirement date in the pension benefits of a
retired employee with 20 years of service. Provides a cost of living
adjustment to a retired or disabled member of the pre-1987 system
equal to the greater of: (1) the supplemental benefit that will accrue to
the member between July 1, 2000, and July 1, 2001; or (2) 2% for a
member who retired or was disabled after July 1, 1984, and before July
2, 1999, 3% for a member who retired or was disabled after July 1,
1976, and before July 2, 1984, or 4% for a member who retired or was
disabled before July 2, 1976.
Effective: July 1, 2000.
January 10, 2000, read first time and referred to Committee on Pensions and Labor.
A BILL FOR AN ACT to amend the Indiana Code concerning state
police, civil defense and military affairs.
SECTION 1.
IC 10-1-2.3-9
IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2000]: Sec. 9. (a) The pension portion (plus postretirement
increases to the pension portion) provided by employer
contributions of the monthly benefit payable after June 30, 2000,
to a member of the state police 1987 benefit system who retired or
was disabled after July 1, 1987, and before July 2, 1999, shall be
increased by two percent (2%).
(b) The increases specified in this section:
(1) shall be based upon the date of the member's latest
retirement or disability;
(2) do not apply to benefits payable in a lump sum; and
(3) are in addition to any other increase provided by law.
SECTION 2.
IC 10-1-2.6-3
IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 3. (a) The supplemental
benefits provided for in this chapter shall be under the direction and
supervision of the pension advisory board that administers the pension
under
IC 10-1-2.2.
(b) The pension advisory board shall annually provide a schedule
showing the number of retirees receiving pension benefits under
IC 10-1-2.2
and shall add to the regular pension benefit, or annuity, as
the case may be, a supplemental benefit in a sum sufficient to equal
fifty percent (50%) of the difference between the retiree's pension
amount and total increase occurring after the retiree's retirement
date in the pension benefits to be received by an employee retiring
from the department after July 1, 1970, with twenty (20) years of active
service.
SECTION 3.
IC 10-1-2.6-4
IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 4. As an incentive to all
employees of the department, the supplemental pension benefits of this
chapter shall be increased over and above the fifty percent (50%)
increase provided for in section 3 of this chapter, at the rate of five
percent (5%) per year for each year of active service up to thirty (30)
years service, so as to provide that retired employees with thirty (30)
years service are entitled to one hundred percent (100%) of the regular
total increase occurring after the retiree's retirement date in the
pension benefits of employees who retire with twenty (20) years of
active service after July 1, 1970.
SECTION 4.
IC 10-1-2.6-8
IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2000]: Sec. 8. (a) The pension portion (plus postretirement
increases to the pension portion) provided by employer
contributions of the monthly benefit payable after June 30, 2000,
to a member of the state police pre-1987 benefit system who is
retired or disabled shall be increased by the greater of:
(1) the amount of the supplemental benefit that will accrue to
the member between July 1, 2000, and July 1, 2001, under
sections 3 and 4 of this chapter; or
(2) an amount equal to the pension portion (plus
postretirement increases to the pension portion) multiplied
by:
(A) two percent (2%), for a member who retired or was
disabled after July 1, 1984, and before July 2, 1999;
(B) three percent (3%), for a member who retired or was
disabled after July 1, 1976, and before July 2, 1984; or
(C) four percent (4%), for a member who retired or was
disabled before July 2, 1976.
(b) The increases specified in this section:
(1) shall be based upon the date of the member's latest
retirement or disability;
(2) do not apply to benefits payable in a lump sum; and
(3) are in addition to any other increase provided by law.