| AN ACT EXTENDING HAZARDOUS DUTY RETIREMENT BENEFITS FOR CLERICAL WORKERS AT CORRECTIONAL INSTITUTIONS. 12 of document(s) retrieved |
OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http: //www. cga. ct. gov/ofa
HB-5107
AN ACT EXTENDING HAZARDOUS DUTY RETIREMENT BENEFITS FOR CLERICAL WORKERS AT CORRECTIONAL INSTITUTIONS.
OFA Fiscal Note
Agency Affected | Fund-Effect | FY 09 $ | FY 10 $ |
State Comptroller – state employees retirement system | GF - Cost | See Below | See Below |
Note: GF=General Fund
Explanation
The bill gives hazardous duty status to any employee receiving unpleasant duty pay in the Department of Corrections (DOC). There are currently 213 such positions at DOC. Under the state employees retirement system (SERS) hazardous duty benefits are more liberal and therefore more costly than normal retirement benefits.
According to the most recent valuation, the SERS normal cost as percent of payroll is 9. 46% for Tier II regular employees and 18. 03% for Tier II hazardous duty. There are currently 213 “unpleasant duty pay” DOC positions with a total annual compensation of $10. 1 million. The normal cost for these positions under regular retirement is currently $960,000 per year and would be $1,800,000 per year under hazardous duty. The expansion of hazardous duty in the bill results in an increased cost of approximately $840,000 annually to the state's pension cost. The exact cost to SERS and the states' contribution to SERS must be calculated by the system's actuary.
The Out Years
The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.