Bill > HB688

This bill modifies state retirement provisions for several Missouri state colleges and universities by introducing a new funding mechanism for the Missouri State Employees' Retirement System. Starting August 28, 2025, if the board certifies a contribution rate that exceeds 28.75%, the commissioner of administration must include in the appropriation request an additional amount to cover the difference for specified institutions, including Harris-Stowe State University, Lincoln University, Missouri State University, Missouri Southern State University, Missouri Western State University, Northwest Missouri State University, Southeast Missouri State University, State Technical College of Missouri, Truman State University, and University of Central Missouri. The bill maintains the existing requirement for regular actuarial valuations using the entry age normal cost valuation method, which aims to keep contribution rates relatively stable across generations. It also ensures that employers of system members not paid from state treasury funds continue to remit appropriate contributions, with a new exception for the institutions mentioned above. The changes are designed to provide more financial flexibility and predictability for the state retirement system while potentially reducing the financial burden on specific state colleges and universities.

https://house.mo.gov/Bill.aspx?bill=HB688&year=2025&code=R