Bill > HF3256

This bill amends Minnesota's public employees police and fire retirement plan by increasing the reemployment earnings limit for disabled members receiving retirement benefits. Currently, when a disabled member returns to work, their disability benefit is reduced if their combined earnings and benefits exceed a certain threshold. The bill raises this threshold from 125% to 150% of the base monthly salary for similar positions. For members who began disability payments before July 1, 2023, the benefit reduction occurs when total earnings and benefits exceed the new 150% limit, with a reduction of one dollar for every three dollars over that limit. For members who begin disability payments on or after July 1, 2023, the reduction calculation becomes more complex, involving a sliding scale based on years of service and age, with different reduction rates for earnings below and above 150% of base monthly salary. The bill does not apply to members receiving total and permanent disability benefits, and it becomes effective the day after final enactment, providing more flexible earnings opportunities for disabled public safety workers while still protecting the overall retirement system's financial stability.

Government Affairs

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF3256&ssn=0&y=2025