H21 — An Act relative to Chapter 32 Section 8 and modifications of retirement allowances

Summary

An Act relative to Chapter 32 Section 8 and modifications of retirement allowances

Bill Text

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The bill amends various provisions related to the modification of retirement allowances for disabled retirees and the regulations governing their earnings and rehabilitation programs.

• Subdivision (1) of Section 8 of Chapter 32

  without a medical or vocational rehabilitation program, or whether such member's return to his former or similar job within the same department would likely be expedited by participation in a medical or vocational rehabilitation program

  This change removes specific considerations regarding rehabilitation programs from the law.

• Subdivision (1) of Section 8 of Chapter 32

  the 3rd and 4th paragraphs

  This change removes unspecified paragraphs from the law.

• Paragraph (a) of Subdivision 2 of Section 8

  if following the completion of a rehabilitation program required under subdivision (1), a regional medical pane so finds,

  This change eliminates a condition related to rehabilitation program completion for modifying retirement allowances.

• Subdivision (3) of Section 8 of Chapter 32

  subdivision (3) → (3) Modifications of retirement allowances. If as a result of such medical report by a regional medical panel, as a result of the submission of earnings information under section ninety-one A, the commission finds that such retired member is engaged in gainful occupation and has excess earnings, for three or more consecutive years, which result in the repayment of his or her entire retirement allowance pursuant to section 91A, said member’s retirement allowance shall be modified prospectively. When a determination is made that a retirement allowance shall be modified, the retiree and the appropriate Retirement Board will be notified, and the retiree will be given the opportunity to be heard by the Commission or its designee. When the determination is final, the retiree and the appropriate Retirement Board will be advised. The retiree may appeal the Commission’s determination to the Contributory Retirement Appeal Board pursuant to section 16. Such modification shall remain in effect, for at least one year, unless such medical report finds that the mental or physical condition of such member has deteriorated. If the annual rate of his earnings should later be changed, the yearly amount of his pension shall be further modified by reinstating, increasing, reducing, or suspending it, as the case may be.

  This change rewrites the entire subdivision outlining how retirement allowances are modified based on earnings and allows for an appeals process.

• Section 8 of Chapter 32

  The applicable Retirement Board may pay over to a health insurance carrier that portion of the allowance to maintain the disability retiree’s health insurance coverage. A retiree whose allowance is modified pursuant to this process will continue to be considered as a disability retiree for purposes of chapter 32A, chapter 32B, chapter 34B, and section 100B of chapter 41.

  This addition specifies that health insurance payments can be made from modified allowances while maintaining disability status for certain chapters.

• Section 8 of Chapter 32

  The public employee retirement administration commission shall, subject to the provisions of section fifty of chapter seven, promulgate regulations establishing, and providing a system for annually adjusting for inflation and such other equitable factors as the commission deems relevant, the fair amount of outside income that may be earned by a member retired pursuant to section six or seven, and shall promulgate regulations for the determination of the potential earnings of any such retired member based upon such member's functional capacity, age, education, and experience.

  This addition provides the commission with authority to create regulations for adjusting allowable outside income and determining potential earnings for retired members.

Sponsors

• Public Employee Retirement Administration Commission · Primary

Subjects