Governor signs MPSERS legislation (SB 401)
Jul 16, 2017
With the Governor's signature on July 13, the MPSERS legislation (SB 401) is now law (Public Act 92 of 2017).
"We continue to believe this complicated legislation was rushed through the process without proper analysis of the outcomes it will have for school employees and the state. Although it retains choice in retirement plans for school employees and improves the defined contribution option available to them, there are still too many unknowns," said MEA President Steven Cook.
"The bill's passage less than two days after introduction failed to carefully consider key concerns. Uncapped cost increases in the event of shortfalls in the new hybrid system put unknown levels of risk onto new educators and school districts. The legislation fails to provide stability in the hybrid system and fails to pay down the unfunded liability so often decried by politicians. And language in this bill places new restrictions on the ability of educators to invest in their retirement, including banning the ability for school employees to purchase service credit when they take parental leave."
For a detailed summary of the legislation (which will continue to be updated now that the bill is law), please CLICK HERE.
