Bill > SB3096

This bill, effective January 1, 2077, amends the law governing employer contributions to the State's Employees' Retirement System (ERS) by increasing the percentage of member compensation that employers must contribute for "normal cost" and "accrued liability" for police officers, firefighters, and corrections officers. "Normal cost" refers to the annual cost of pension benefits earned by employees in the current year, while "accrued liability" represents the pension benefits already earned by employees but not yet funded. The bill specifically raises these employer contribution rates for these public safety and corrections personnel to 44% of their compensation starting in fiscal year 2027-2028, and for all other employees to 24% of their compensation, aiming to ensure that the period required to pay off any unfunded debt in the ERS (the "amortization period") does not exceed the maximum allowed time.

Budget and Finance, Labor and Employment

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=3096&year=2026