Bill Text: PA HB1637 | 2011-2012 | Regular Session | Introduced

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Bill Title: Establishing the Public Employee Pension Commission and providing for its powers and duties.

Spectrum: Partisan Bill (Democrat 12-0)

Status: (Introduced - Dead) 2011-06-07 - Referred to FINANCE [HB1637 Detail]

Download: Pennsylvania-2011-HB1637-Introduced.html

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PRINTER'S NO. 2042
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1637 Session of2011
INTRODUCED BY SANTARSIERO, BRADFORD, CALTAGIRONE, DALEY, FABRIZIO, GIBBONS, GOODMAN, HALUSKA, HORNAMAN, PASHINSKI, K. SMITH AND WAGNER, JUNE 7, 2011
REFERRED TO COMMITTEE ON FINANCE, JUNE 7, 2011
AN ACT
Establishing the Public Employee Pension Commission and
providing for its powers and duties.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Public
Employee Pension Commission Act.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Commission." The Public Employee Pension Commission
established under section 3.
"Pension systems." The Public School Employees' Retirement
System and the State Employees' Retirement System.
Section 3. Commission established.
The Public Employee Pension Commission is established. The
commission shall study and make recommendations under section 5
with respect to the pension systems, including both short-term,
as well as long-term, solutions to fill funding gaps and
guarantee fiscal solvency.
Section 4. Membership.
(a) Appointments.--The commission shall consist of ten
members, who shall be appointed as follows:
(1) Four legislative appointees as follows:
(i) One individual appointed by the President pro
tempore of the Senate.
(ii) One individual appointed by the Minority Leader
of the Senate.
(iii) One individual appointed by the Speaker of the
House of Representatives.
(iv) One individual appointed by the Minority Leader
of the House of Representatives.
(2) Chairperson of the Public School Employees'
Retirement System.
(3) Chairperson of the State Employees' Retirement
System.
(4) One at-large member appointed by the Governor, with
special consideration given to individuals who have knowledge
of public pension systems and financial matters.
(5) Executive director or a designee of the Pennsylvania
School Boards Association.
(6) President or a designee of the Pennsylvania State
Education Association.
(7) One at-large member chosen jointly by the President
pro tempore of the Senate and the Speaker of the House of
Representatives from the financial business community who has
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knowledge of public pension systems and financial matters.
(b) Term.--All members shall be appointed within 30 days of
passage of this act and shall serve until the commission
releases its recommendations under section 5. If a member ceases
to hold the office for which he was originally placed on the
commission, a replacement shall be picked according to
subsection (a) to serve until the commission releases its
report.
(c) Compensation and expenses.--Members of the commission
shall serve without compensation but shall be reimbursed for
reasonable expenses incurred in carrying out the
responsibilities under this act.
(d) Chairperson.--The members of the commission shall elect
a member as chairperson of the commission.
(e) Action.--Seven members shall constitute a quorum. A
majority of the members present at any meeting of the commission
shall be required for all actions of the commission.
(f) Cooperation.--The commission may request and receive
assistance and information from any unit of State government.
(g) Frequency of meetings.--The commission shall hold at
least two meetings per month.
Section 5. Duties.
(a) Study.--The commission shall complete a study which
includes:
(1) Funding recommendations to mitigate the projected
rate spike.
(2) Recommended measures to ensure the limitation of
taxation for the purpose of funding the systems.
(3) An analysis of long-term systematic changes to help
ensure solvency of the pension systems, including a change to
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a defined contribution plan for future hires.
(b) Report.--Within six months of the formation of the
commission, the commission shall prepare and present to the
Governor and the General Assembly a report with recommendations
with regard to mitigating the rate spike associated with the
pension systems and ensuring fiscal solvency in the future.
Section 6. Effective date.
This act shall take effect immediately.
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