HB 5446 — AN ACT CONCERNING TEACHERS' DISABILITY AND RETIREMENT BENEFITS AND PARAEDUCATORS' SALARY AND RETIREMENT CONTRIBUTIONS.

House of Representatives General Assembly SubstituteFile Bill No.

5446685 February Session, 2026 ANSubstitute ACTHouse CONCERNINGBill TEACHERS'No. DISABILITY AND RETIREMENT BENEFITS AND PARAEDUCATORS' SALARY AND RETIREMENT CONTRIBUTIONS.

5446 House of Representatives, April 20, 2026 The Committee on Appropriations reported through REP.

WALKER of the 93rd Dist., Chairperson of the Committee on the part of the House, that the substitute bill ought to pass.

AN ACT CONCERNING TEACHERS' DISABILITY AND RETIREMENT BENEFITS AND PARAEDUCATORS' SALARY AND RETIREMENT CONTRIBUTIONS.

(b) Not later than January 1, 2027, the chief administrative officer shallsHB5446 report,/ inFile accordanceNo. with the provisions of section 11-4a of the general statutes, to the joint standing committee of the General Assembly having cognizance of matters relating to appropriations and the budgets of state agencies on the results of the study.

685 1 sHB5446 File No.

685 shall report, in accordance with the provisions of section 11-4a of the general statutes, to the joint standing committee of the General Assembly having cognizance of matters relating to appropriations and the budgets of state agencies on the results of the study.

(2) the approximate cost of such LCObenefit 1changes; of 3 Substitute Bill No.

5446 benefit changes;

Any amount of a required employee contribution to asHB5446 retirement/ systemFile thatNo. exceeds the amount paid by such board pursuant to this subsection shall be paid by the paraeducator.

(b)The685 Comptrollershallannually pay toeachlocalorregionalboard of education not less than fifty per cent of the cost to such board for the payment of the employee contribution for retirement benefits pursuant LCO 2 ofsHB5446 3File Substitute Bill No.

5446685 a retirement system that exceeds the amount paid by such board pursuant to this subsection (a)shall ofbe thispaid section.by the paraeducator.

(b)The Comptrollershallannually pay toeachlocalorregionalboard of education not less than fifty per cent of the cost to such board for the payment of the employee contribution for retirement benefits pursuant to subsection (a) of this section.

-LCO LCOsHB5446 3/ ofFile 3No.

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685 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 27 $ FY 28 $ Teachers' Retirement Bd.

GF - Cost 160,000 None State Comptroller - Fringe GF - Cost 25,000 None Benefits1 Policy & Mgmt., Off.

GF - Cost None Up to 210.9 million Comptroller GF - Cost 18 million 18 million Note:

GF=General Fund Municipal Impact:

Municipalities Effect FY 27 $ FY 28 $ Local and Regional School STATE Up to 210.9 Up to 210.9 Districts MANDATE 2 million million - Cost Local and Regional School Revenue None Up to 210.9 Districts Gain million Various Municipalities STATE 57.9 million 57.9 million MANDATE - Cost Explanation The bill makes several provisions concerning paraeducators and requires the teachers’ retirement board to conduct a study which results in the fiscal impacts described below.

1The fringe benefit costs for most state employees are budgeted centrally in accounts administered by the Comptroller.

The estimated active employee fringe benefit cost associated with most personnel changes is 41.82% of payroll in FY 27.

2State mandate is defined in Sec.

2-32b(2) of the Connecticut General Statutes, "state mandate" means any state initiated constitutional, statutory or executive action that requires a local government to establish, expand or modify its activities in such a way as to necessitate additional expenditures from local revenues.

sHB5446 / File No.

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685 Section 1 requires a feasibility study of retired teachers’ disability and retirement benefits which results in a cost of $185,000 in FY 27 associated with salary and fringe benefits of approximately, $60,000and $25,000, respectively, for two half-year positions, andacontract withthe state’s actuary estimated to cost $100,000.

Sections 2 and 3 result in a cost of up to $210.9 million to local and regional boards of education (BOEs) beginning in FY 27 and the Office of Policy and Management (OPM) beginning in FY 28.

The cost is associated with establishing a minimum salary of $45,000 for paraeducators and a corresponding subsidy program administered by OPM.

The cost to BOEs is at least partially offset, beginning in FY 28, by a revenue gain.

Section 2 requires new, extended, or amended collective bargaining agreements between BOEs and paraeducators as of July 1, 2026 to establish a minimum salary for full-time paraeducators of $45,000.

Agreements for FY 27 that are finalized before the start of the fiscal year are not subject to the requirement.

Section 3 requires OPM to provide a subsidy to BOEs, beginning in FY 28, in an amount equal to the difference between the annual paraeducator salary on July 1, 2026 and the new minimum salary of $45,000.

If a BOE adopts a paraeducator salaryofatleast$45,000onorbeforeJuly1,2026,theywillnotbeeligible for the subsidy through OPM.

The costs to a BOE in FY 27 (and annually thereafter) and OPM in FY (and annually thereafter) is dependent on the number of full-time paraeducators employed by a BOE, the difference between their salary on July 1, 2026 and $45,000, and when the minimum salary takes effect for the BOE's paraeducators.