COLA

Articles about the Cost of Living Adjustment (COLA) that may be useful to Massachusetts retirees

GOVERNOR PROPOSES 3% STATE & TEACHER COLA

Budget Also Includes Full GIC Funding

JANUARY 24, 2013: Governor Deval Patrick proposed a full 3% COLA increase for eligible state and teacher retirees within his FY 2014 budget proposal filed on Wednesday. In November 2011, the state increased the COLA base for state and teacher retirees to $13,000.

COLA's for municipal and county retirees are the responsibility of local retirement systems. At this time, a number of local systems have begun discussions to approve a 3% COLA for their retirees come July 1.

INROADS MADE ON COLA BASE

Counties Are Best Success Story

SEPTEMBER 2012 VOICE: When the Commonwealth’s 103 local retirement systems were released from the shackles of our restrictive $12,000 COLA base in Year 2010 a rare opportunity presented itself to the 103 retirement boards governing these systems.

In the two years (July 2011, July 2012) that have elapsed since the enabling legislation was enacted (Ch 188 Acts of 2010) a total of 39 retirement boards have been able to take advantage of this law.

GOVERNOR APPROVES RETIREE BUDGET AMENDMENTS

3% State & Teacher COLA On $13k Base Included

JULY 9, 2012: On Sunday, Governor Patrick signed the $32.6 billion FY13 state budget into law. Contained within the budget is a new 3% State & Teacher COLA, a minimum survivor pension increase for disability retirees’ survivors and access to the Group Insurance Commission’s retiree dental plan for municipal retirees insured under the state plan.

On pensions, Boston should avoid extra annual hike

Boston Globe Editorial, June 24, 2012:

COLAs: FOCUS OF GLOBE ARTICLE

COLAs: FOCUS OF GLOBE ARTICLE

Piece Fair But Incomplete Picture

JUNE 18, 2012: Figures don’t tell the full story when pension cost-of-living increases are discussed in the press.

Boston considers hike in retirees’ pensions

By Andrew Ryan,
Globe Staff

June 18, 2012: As cities and states across the nation take aim at public employee pensions, Boston City Hall is engaged in a very different debate: how much to increase retirees’ checks.

Mayor Thomas M. Menino is proposing to boost the annual cost-of-living adjustment for most pensioners from $360 to $390, a $30 increase. City Council president Stephen J. Murphy is pushing for more, seeking a $90 increase over the current rate.

BUDGET DEBATE UNDERWAY IN HOUSE

3% COLA Approved & GIC Rates Maintained

APRIL 25, 2012: This week, debate is underway in the House of Representatives over the Fiscal Year 2013 State Budget. The weeklong debate will consider over 850 amendments to the $32 billion budget proposal.

State & Teacher COLA Base Increased

JANUARY 2012 VOICE: As clearly evident from the lead story, our Association is disappointed at the outcome of the latest installment of Pension Reform, which, we believe, saddles future employees with the debt created by past generations of government officials who failed to properly fund the government’s share of pension obligations. In addition to seeking fair and equitable treatment for future government workers, we also strongly advocated our position that existing benefit inequalities be addressed through Pension Reform III.

PENSION REFORM III NOW LAW

Chapter 176 Marks Sweeping Change

NOVEMBER 21, 2011:  As expected, late last Friday, November 18, Governor Deval Patrick signed Pension Reform III into law as Chapter 176, Acts of 2011.

The measure, which had been enacted in the House and Senate three days earlier, creates a new retirement plan for new employees of our 105 retirement systems, hired on or after next April 2nd.

COLA PROPOSAL BRUTALLY ATTACKED

COLA PROPOSAL BRUTALLY ATTACKED

Senate Increases State & Teacher Base

NOVEMBER 2011 VOICE: Heeding our Association’s call to use “Pension Reform III” as an opportunity to address longstanding benefit inequities, the Senate passed a provision within their proposal (S2018) increasing the state & teacher retirees’ COLA base by $1,000 to a new $13,000.