Bill would provide eligible retirees two years of extra pension payments

If enacted, qualified pension recipients would receive an additional annual payment equal to 2% of annual pension payments. Eligible recipients include retired members who meet the service or age rules, disability retirees, and survivor beneficiaries who meet the waiting periods. The payment would not compound; it would not be added to the pension amount used to calculate later payments. The additional payments would apply in fiscal years 2027 and 2028.

The state would set aside $70 million from the general fund for the payments. The appropriation would support the temporary additional payments to eligible recipients. The money would go to the Public Employees Retirement Association to cover the payments. Any unspent balance would stay with the association instead of returning to the general fund. The appropriation would be available in fiscal year 2027 and later fiscal years.