Regular Session News #15: End of session - Here’s what happened
Jun 11, 2021The 2021 Regular Session, which began April 12, ended yesterday. Three bills and one resolution impacting TRSL passed. Here’s a look at them.
Permanent Benefit Increase
Act 37 [Senate Bill 24] (Sen. Price) grants a minimum benefit increase to certain retirees, beneficiaries, and survivors of TRSL as well as the retirement systems for state employees, school employees, and state police.
TRSL retirees who meet all of the following criteria on June 30, 2021, will be granted a monthly benefit increase equal to the lesser of $300 or the difference between their current benefit and $1,450:
At least 30 years of service credit
- Retired at least 15 years
- Receiving monthly retirement benefit of less than $1,450
- At least 60 years of age
- Never participated in DROP or ILSB
- Not receiving a benefit pursuant to a reciprocal agreement recognized by the system
Additionally, Act 37 grants a minimum benefit increase to beneficiaries and survivors of deceased members who meet or would have met the above criteria.
Beneficiaries and survivors, if eligible, will receive a benefit increase in the following amounts:
- Beneficiaries: An amount equal to the lesser of $300 or the difference between $1,450 and the beneficiary’s current benefit prorated based on the option the deceased retiree selected.
- Survivors: An amount equal to the lesser of $300 or the difference between $1,450 and the survivor’s current benefit; multiple survivors would split $300.
House Bill 22 (Rep. LaCombe) requires all new employees of the Louisiana School Boards Association (LSBA), current employees of LSBA who have five years or more of service credit in TRSL, and the director of LSBA to become members of TRSL. LSBA employees have previously been members of the Parochial Employees’ Retirement System of Louisiana (PERS).
Payments toward the UAL
Act 120 [House Bill 516] (Rep. Zeringue) makes a supplemental appropriation of $18.6 million to the TRSL initial unfunded accrued liability (IUAL) from a portion of the FY 2019-20 surplus funds in the state treasury.
Social Security Offsets
House Concurrent Resolution 7 (Rep. M. Johnson) requests that Congress review and eliminate or reduce the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO) Social Security benefit reductions.
NOTE: Remember that changes to Social Security offsets must come at the federal level. For more information about current federal legislation related to WEP and GPO, you can contact your U.S. representative and/or senator.
Bills that did not pass
Senate Bill 22 (Sen. Peacock) would have changed retirement eligibility criteria for new hires in TRSL, LASERS, and LSERS whose first employment made them eligible for membership in a state retirement system on or after July 1, 2021. Although the bill and proposed amendments were considered by the full Senate, a vote was never taken.