Bill Text: NH HB1563 | 2014 | Regular Session | Introduced
Bill Title: Granting group II retirement system status to certain positions in the department of corrections.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2014-10-31 - Interim Study Report: Recommended For Future Legislation (Vote 14-0) [HB1563 Detail]
Download: New_Hampshire-2014-HB1563-Introduced.html
HB 1563-FN – AS INTRODUCED
2014 SESSION
10/04
HOUSE BILL 1563-FN
AN ACT granting group II retirement system status to certain positions in the department of corrections.
SPONSORS: Rep. Cushing, Rock 21; Sen. Larsen, Dist 15; Sen. Woodburn, Dist 1
COMMITTEE: Executive Departments and Administration
This bill grants group II status to certain positions in the department of corrections. Persons employed in those positions with service prior to the effective date shall be eligible for split benefits.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
14-2166
10/04
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Fourteen
AN ACT granting group II retirement system status to certain positions in the department of corrections.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Department of Corrections; Authorization for Transfer to Group II.
I. Pursuant to the provision of RSA 100-A:3, IX, the following positions in the department of corrections classified as group I positions are deemed to have met the requirement of RSA 100-A:1, VII(b) and shall be transferred to group II status in the New Hampshire retirement system:
Position Title Position Number
ADMINISTRATOR II 12805
ADMINISTRATOR II 12868
ADMINISTRATOR II 30336
ADMINISTRATOR III 42255
ADMINISTRATOR IV (Dentist) 19564
ADMINISTRATOR OF PROGRAMS 41525
CARPENTRY SUPERVISOR I 12978
CARPENTRY SUPERVISOR II 41483
CHIEF PSYCHOLOGIST 40891
NUTRITION CONSULTANT 41529
ELECTRICIAN SUPERVISOR II 12940
ELECTRICIAN SUPERVISOR I 41481
ELECTRONIC TECHNICIAN I 16917
ELECTRONIC TECHNICIAN I 18798
ELECTRONIC TECHNICIAN II 41484
INVENTORY CONTROL SUPERVISOR 41514
MAINTENANCE TECHNICIAN 12930
MAINTENANCE TECHNICIAN 12952
MAINTENANCE TECHNICIAN 40167
MAINTENANCE TECHNICIAN 40232
PLANT MAINTENANCE ENGINEER I 12966
PLANT MAINTENANCE ENGINEER I 13029
PLUMBER SUPERVISOR II 41482
PRISON DENTAL OFFICE SUPERVISOR 12991
PROGRAM ASSISTANT II 12879
PROGRAM COORDINATOR 41524
PROGRAM COORDINATOR 16804
RECORDS CONTROL CLERK 41315
RECREATIONAL THERAPIST II 16265
RECREATIONAL THERAPIST II 42270
SUPERVISOR I 18777
SUPERVISOR I 18778
SUPERVISOR I 18810
SUPERVISOR I 41474
SUPERVISOR II 41505
SUPERVISOR II 41526
SUPERVISOR II 19909
SUPERVISOR II 12907
SUPERVISOR III 16280
SUPERVISOR IV 12983
TECHNICAL SUPPORT SPECIALIST I 12954
WAREHOUSE MANAGER I 16903
WAREHOUSE MANAGER III 41530
WAREHOUSEMAN 43511
WAREHOUSEMAN 18848
II. The provisions of RSA 100-A:3, II-b shall apply to positions transferred by this act.
2 Effective Date. This act shall take effect 60 days after its passage.
LBAO
14-2166
12/12/13
HB 1563-FN - FISCAL NOTE
AN ACT granting group II retirement system status to certain positions in the department of corrections.
FISCAL IMPACT:
The Department of Corrections states this bill, as introduced, will increase state expenditures by $68,538 in FY 2014, $277,375 in FY 2015 and by an indeterminable amount in FY 2016 and each year thereafter. The New Hampshire Retirement System states this bill will increase state expenditures by $110,000 in FY 2014, $280,000 in FY 2015, $310,000 in FY 2016, $320,000 in FY 2017 and $330,000 in FY 2018. There is no impact on county and local expenditures, or state, county, and local revenue.
METHODOLOGY:
The Department of Corrections states this bill grants group II retirement system status to certain positions in the Department. The Department states the bill identifies 45 positions that would be shifted from a group I retirement system status to a group II retirement system status. Of the 45 positions identified, four positions are unfunded and were not used in determining the fiscal impact of this bill. The employer contribution rate for group I members is 12.13 percent and for group II members it is 25.40 percent, an increase of 13.27 percent going from group I to group II. The Department states the total salary for the 41 funded positions is $2,065,944 in FY 2014 and $2,090,238 in FY 2015. Assume the bill is effective for the last three months of FY 2014, then total salary will be $516,486 (($2,065,944 salary/12 months) *3 months). The Department states this bill will increase state expenditures by $68,538 ($516,486 salary * 13.27%) in FY 2014 and by $277,375 ($2,090,238 salary * 13.27%) in FY 2015. The Department is not able to determine the impact on FY 2016 and beyond as it is unknown if unfunded positions will be funded or additional positions will become unfunded in future operating budgets.
The Retirement System states the impact of moving positions from group I to group II will result in an increase of funds to the System. The System’s actuary calculated the estimated fiscal impact of this bill using the following: an assumed rate of interest of 7.75%, an assumed rate of wage inflation of 3.75%, and using the entry age actuarial cost method. The System’s actuary states the conversion of the identified Department of Corrections positions from group I to group II will increase the employer contribution by $110,000 in FY 2014, $280,000 in FY 2015, $310,000 in FY 2016, $320,000 in FY 2017 and $330,000 in FY 2018.
