Bill > HB201

This bill establishes a procedure for funding benefit increases for retirees in the Employees' Retirement System (ERS) and the Teachers' Retirement System (TRS) in Alabama. Starting in fiscal year 2024-2025, any benefit increases for ERS retirees, except those whose employers participate under specific sections of the code, must be granted by a separate legislative act that sets the amount and eligibility criteria. The annual cost of the increase must be included and appropriated in the State General Fund appropriation act with a separate employer rate, which participating employers must pay. Similarly, any benefit increases for TRS retirees must be granted by a separate legislative act, with the annual cost included and appropriated in the Education Trust Fund appropriation act. The bill also specifies that these benefit increases shall not increase the unfunded liability of the retirement systems.