Budget Amendment ID: FY2025-S4-824

OTH 824

Special COLA Commission

Messrs. Crighton, Eldridge, Brady, Mark, Gomez, O'Connor, Keenan, Pacheco and Payano moved that the proposed new text be amended by inserting after section __ the following section:-

"SECTION XX. (a) There shall be a special commission to study cost-of-living adjustments for members of the state employees’ retirement system and state teachers’ retirement system. The study shall include but shall not be limited to: (i) a review of the feasibility of possible increases in the maximum base amount, on which timely periodic cost-of living adjustments are calculated; (ii) an estimate of the fiscal impact of an increase pursuant to clause (i); and (iii) sustainable methods of funding timely periodic cost-of-living adjustments for members of said systems and enhanced benefits for long term retired members of said systems. The commission may request, and the public employee retirement administration commission and the Massachusetts teachers’ retirement board shall provide, actuarial reports and studies relevant to carry out the work of this section.

(b) The commission shall consist of the following members or their designees: the chairs of the joint committee on public service; the house and senate minority leaders; the secretary of administration and finance; the executive director of the public employee retirement administration commission; a representative of the pension reserves investment management board; a representative of the Massachusetts Taxpayers Foundation, Inc.; and 3 members to be appointed by the governor: 1 of whom shall be a representative appointed by the Retired State, County and Municipal Employees Association of Massachusetts, 1 of whom shall be a representative appointed by the state board of retirement and 1 of whom shall be a representative appointed by the Massachusetts teachers’ retirement board. The board shall elect from its members a chair.

(c) Not later than February 1, 2025, the commission shall file a report with the clerks of the house of representatives and the senate providing the results of its study and its recommendations, if any, together with drafts of proposed legislation necessary to carry its recommendations into effect."