Bill Text: NH HB50 | 2023 | Regular Session | Amended
Bill Title: Relative to an appropriation for the unfunded accrued liability of the New Hampshire retirement system.
Spectrum: Partisan Bill (Democrat 12-0)
Status: (Introduced) 2023-03-24 - Ought to Pass with Amendment 2023-0977h: Motion Adopted Voice Vote 03/22/2023 House Journal 10 P. 92 [HB50 Detail]
Download: New_Hampshire-2023-HB50-Amended.html
HB 50-FN-LOCAL - AS AMENDED BY THE HOUSE
22Mar2023... 0977h
2023 SESSION
23-0080
07/05
HOUSE BILL 50-FN-LOCAL
SPONSORS: Rep. Edgar, Rock. 29; Rep. Ebel, Merr. 7; Rep. Cote, Hills. 3; Rep. O'Brien, Hills. 10; Rep. Maggiore, Rock. 23; Rep. Goley, Hills. 21; Rep. Cloutier, Sull. 6; Rep. Rung, Hills. 12; Rep. Shurtleff, Merr. 15; Rep. Soucy, Merr. 21; Sen. Rosenwald, Dist 13; Sen. Perkins Kwoka, Dist 21
COMMITTEE: Executive Departments and Administration
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AMENDED ANALYSIS
This bill makes an appropriation to the New Hampshire retirement system to pay down the unfunded accrued liability.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
22Mar2023... 0977h 23-0080
07/05
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty Three
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Appropriation; New Hampshire Retirement System; Unfunded Accrued Liability. The sum of $50,000,000 for the fiscal year ending June 30, 2023 is hereby appropriated to the New Hampshire retirement system. Said appropriation shall be used by the New Hampshire retirement system to pay down the unfunded accrued liability and shall not be used for any other purposes. The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.
2 Effective Date. This act shall take effect June 30, 2023.
23-0080
10/27/22
HB 50-FN-LOCAL- FISCAL NOTE
AS INTRODUCED
FISCAL IMPACT: [ X ] State [ X ] County [ X ] Local [ ] None
METHODOLOGY:
The bill requires the State to pay 7.5 percent of contributions of retirement system employers other than the State for group I teachers and group II members beginning in FY 2024. The New Hampshire Retirement System (NHRS) states the proposed change affects the pension contribution rate, but not the medical subsidy contribution rate. The NHRS indicates this bill does not impact the NHRS unfunded actuarial accrued liability (UAAL) or funded ratio because it does not change the total amount of employer contributions due to the retirement system, only the funding source. Because this bill shifts the impact from political subdivisions to the state the fiscal impact of this bill is an increase in general fund expenditures and decrease political subdivision expenditures by $26.5 million in FY 2024, $27.1 million in FY 2025 and $27.8 million in FY 2026. See tables below for more detail of fiscal impact.
Expected Employer Dollar Increase (Decrease) Due to Proposal - State ($ Millions) | ||||
| FY 2023 | FY 2024 | FY 2025 | FY 2026 |
Employees | - | - | - | - |
Teachers | - | $17.78 | $18.18 | $18.59 |
Police | - | $5.50 | $5.65 | $5.80 |
Fire | - | $3.21 | $3.30 | $3.39 |
TOTAL | $0.00 | $26.49 | $27.13 | $27.78 |
Expected Employer Dollar Increase (Decrease) Due to Proposal - Political Subdivisions ($ Millions) | ||||
| FY 2023 | FY 2024 | FY 2025 | FY 2026 |
Employees | - | - | - | - |
Teachers | - | ($17.78) | ($18.18) | ($18.59) |
Police | - | ($5.50) | ($5.65) | ($5.80) |
Fire | - | ($3.21) | ($3.30) | ($3.39) |
TOTAL | $0.00 | ($26.49) | ($27.13) | ($27.78) |
AGENCIES CONTACTED:
New Hampshire Retirement System
