PRINTER'S NO. 1734
No. 1387 Session of 2007
INTRODUCED BY GIBBONS, SAINATO, GRUCELA, BELFANTI, BIANCUCCI,
BLACKWELL, BRENNAN, BROOKS, BUXTON, CAPPELLI, CARROLL,
CAUSER, CONKLIN, COSTA, DENLINGER, FABRIZIO, GEORGE, GERGELY,
GOODMAN, HALUSKA, HANNA, HARHAI, HARKINS, HARRIS, HENNESSEY,
HUTCHINSON, JAMES, KAUFFMAN, KOTIK, KULA, MAHONEY, MARKOSEK,
McILHATTAN, MUNDY, MUSTIO, MYERS, M. O'BRIEN, PASHINSKI,
PETRARCA, PICKETT, RAMALEY, READSHAW, REED, REICHLEY,
SCAVELLO, SCHRODER, SIPTROTH, SOLOBAY, R. STEVENSON,
TANGRETTI, J. WHITE, WOJNAROSKI, YOUNGBLOOD, HESS AND
PETRONE, MAY 29, 2007
REFERRED TO COMMITTEE ON FINANCE, MAY 29, 2007
AN ACT
1 Amending Title 24 (Education) of the Pennsylvania Consolidated
2 Statutes, providing for supplemental annuity commencing 2007.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Title 24 of the Pennsylvania Consolidated
6 Statutes is amended by adding a section to read:
7 § 8348.8. Supplemental annuity commencing 2007.
8 (a) Benefits.--Commencing with the first monthly annuity
9 payment after July 1, 2007, any eligible benefit recipient shall
10 be entitled to receive an additional monthly supplemental
11 annuity from the system that shall be paid over a five-year
12 period in accordance with this section. This shall be in
13 addition to the supplemental annuities provided for in sections
14 8348 (relating to supplemental annuities), 8348.1 (relating to
1 additional supplemental annuities), 8348.2 (relating to further
2 additional supplemental annuities), 8348.3 (relating to
3 supplemental annuities commencing 1994), 8348.4 (relating to
4 special supplemental postretirement adjustment), 8348.5
5 (relating to supplemental annuities commencing 1998), 8348.6
6 (relating to supplemental annuities commencing 2002) and 8348.7
7 (relating to supplemental annuities commencing 2003).
8 (b) Amount of additional supplemental annuity.--The amount
9 of the supplemental annuity payable from July 1, 2007, through
10 June 30, 2008, pursuant to this section shall be a percentage of
11 the amount of the monthly annuity payment on July 1, 2007,
12 determined on the basis of the most recent effective date of
13 retirement as follows:
14 Most recent effective Percentage factor
15 date of retirement
16 July 2, 2000, through July 1, 2001 20.0%
17 July 2, 1999, through July 1, 2000 24.0%
18 July 2, 1998, through July 1, 1999 28.0%
19 July 2, 1997, through July 1, 1998 32.0%
20 July 2, 1996, through July 1, 1997 36.0%
21 July 2, 1995, through July 1, 1996 40.0%
22 July 2, 1994, through July 1, 1995 44.0%
23 July 2, 1993, through July 1, 1994 48.0%
24 July 2, 1992, through July 1, 1993 52.0%
25 July 2, 1991, through July 1, 1992 56.0%
26 July 2, 1990, through July 1, 1991 60.0%
27 July 2, 1989, through July 1, 1990 64.0%
28 July 2, 1988, through July 1, 1989 68.0%
29 July 2, 1987, through July 1, 1988 72.0%
30 July 2, 1986, through July 1, 1987 76.0%
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1 July 2, 1985, through July 1, 1986 80.0%
2 July 2, 1984, through July 1, 1985 84.0%
3 July 2, 1983, through July 1, 1984 88.0%
4 July 2, 1982, through July 1, 1983 92.0%
5 July 2, 1981, through July 1, 1982 96.0%
6 Prior to July 2, 1981 100.0%
7 (c) Payment.--The supplemental annuity provided under this
8 section shall be paid automatically over a five-year period at
9 20% of the supplemental annuity amount each year unless the
10 annuitant files a written notice with the board requesting that
11 the additional monthly supplemental annuity not be paid.
12 (d) Conditions.--The supplemental annuity provided under
13 this section shall be payable under the same terms and
14 conditions as provided under the option plan in effect as of
15 July 1, 2007.
16 (e) Benefits to beneficiaries or survivors.--No supplemental
17 annuity provided under this section shall be payable to the
18 beneficiary or survivor annuitant of a member who dies before
19 July 1, 2007.
20 (f) Funding.--The additional liability for the increase in
21 benefits provided in this section shall be funded in equal
22 dollar annual installments over a period of ten years beginning
23 July 1, 2007.
24 (g) Eligible benefit recipient.--As used in this section,
25 the term "eligible benefit recipient" means a person:
26 (1) who is receiving a superannuation, withdrawal or
27 disability annuity on July 1, 2007;
28 (2) whose most recent effective date of retirement is
29 prior to July 1, 2001; and
30 (3) whose credited service does not include any service
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1 credited as either Class T-D, Class D-4 or Class AA service.
2 Notwithstanding the above, the supplemental annuities provided
3 under this section shall not be payable to an annuitant
4 receiving a withdrawal annuity prior to the first day of July
5 coincident with or following the annuitant's attainment of
6 superannuation age.
7 Section 2. This act shall take effect immediately.
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