Bill > HB339

This bill, effective October 1, 2026, proposes a four percent cost-of-living increase to the monthly retirement benefits for certain retirees of the Teachers' Retirement System (TRS), which is a state-administered retirement plan for educators. To qualify, retirees must have had an effective retirement date before October 1, 2025, have at least 25 years of service, and currently receive an annual benefit of $25,000 or less. This increase also extends to beneficiaries of deceased members or retirees who meet similar service and benefit amount criteria, provided the member's death occurred before October 1, 2026, or the retiree's effective retirement date was before October 1, 2017. Future survivor allowances will be adjusted based on the retiree's original option selection. The funding for these increased benefits is contingent on legislative appropriation through a separate employer rate within the Education Trust Fund, and employers will be responsible for paying the full cost in the fiscal year beginning October 1, 2027. Importantly, individuals whose eligibility for Medicaid benefits would be negatively impacted by this increase will not receive it.

Budget and Finance

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