S.B. 106 Enrolled

RETIREMENT BENEFIT ENHANCEMENT
2000 GENERAL SESSION
STATE OF UTAH
Sponsor: Howard C. Nielson
AN ACT RELATING TO PENSIONS; AUTHORIZING PAYMENT OF AN ADDITIONAL
RETIREMENT BENEFIT TO CERTAIN RETIREES; INCREASING THE MINIMUM
MONTHLY ALLOWANCE OF CERTAIN RETIREES; AND PROVIDING AN EFFECTIVE
DATE.
This act affects sections of Utah Code Annotated 1953 as follows:
AMENDS:
49-2-602, as last amended by Chapter 181, Laws of Utah 1993
ENACTS:
49-1-617, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 49-1-617 is enacted to read:
49-1-617. Payment of additional retirement benefit -- Rules for implementation.
(1) (a) If the Legislature in an annual appropriations act with accompanying intent language
specifically authorizes this use, the board shall provide an additional benefit to retirees under Title
49, Chapters 2, Public Employees' Retirement Act, and 3, Public Employees' Noncontributory
Retirement Act, whose retirement allowance, when calculated, amounts to less than the allowance
provided by using at least 1.25% per year of service factor for all years of service rendered prior
to July 1, 1967.
(b) The benefit provided in Subsection (1)(a) shall be calculated by the board using a
formula based upon actuarial assumptions and principles that results in a benefit that is as close as
reasonably possible to 1.25% per year of service for each retiree for service rendered prior to July
1, 1967.
(2) Upon receipt of the legislative appropriation and after consultation with representatives
of those retirees under Title 49, Chapters 2 and 3, the board shall adopt standards and rules
governing the distribution of the money.

Section 2. Section 49-2-602 is amended to read:
49-2-602. Minimum monthly allowance.
No member who retired under this system may receive less than [$8] $9 per month for each
year of service credit at the time of retirement. The increased allowance provided by this section may
not exceed the allowance payable under Plan I by more than 75%. The cost of providing this benefit
shall be assumed within the contribution rate established under Section 49-2-301 .
Section 3. Effective date.
This act takes effect on July 1, 2000.

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