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Legislation
Early Retirement Moves To Front Burner?
JULY 2, 1999 - Public Service Creates Stir With Unexpected Bill - On Tuesday, June 22, the Joint Committee on Public Service created quite a stir with public employees and their State House lobbyists when the Committee unexpectedly released an omnibus early retirement bill covering nearly all public employees.
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Widow's Remarriage Bill Receives Strong Support
JULY 1999 - Surviving spouses of public employees killed in the line of duty made a strong showing at a Public Service Committee hearing on May 25. The issue was the right to remarry without losing a surviving spouse pension.
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Legislation Moving Right Along
JULY 1999 - Public Hearing Process Near Complete - As the Legislature approaches its summer recess at the end of July, the Association's legislative team can look back at the first six months of the 1999-2000 session as being a success.

At the end of the first quarter of action, eleven of the fifteen bills, now being supported by the Association, have been granted a favorable report by the Joint Committee on Public Service. Three bills have been placed in studies and one bill is being held for further consideration by the Committee.

"We are off to a great start. Both Brian Joyce (Senate Chairman) and Paul Casey (House Chairman) have been very receptive to addressing the concerns of retirees," said Association Legislative Liaison Shawn Duhamel. "With most of our bills now before the House and Senate Ways and Means Committees, our job gets even tougher. Not to imply that moving bills out of Public Service is easy. A case had to be made for each individual bill before the Committee would act favorably.

"However, Ways and Means is not only interested in the merits of the proposal. Their main function is to determine the cost of a bill, along with its long term financial impact on the state budget. Since many of our bills cost money, this is a very high hurdle to overcome."

Committee Takes Action

In the May Voice, we described how the Committee Chairmen and their staffs, despite being new to the issue of retirement law, had quickly picked up on their new subject matter. Both Chairmen have led the way in their respective chambers on issues such as the COLA and early retirement.

This, along with our lobbying work with Committee staff, has resulted in only three bills being discharged into a study, rather than being released favorably,from the Committee. Both H-305 and H-306, relating to disability pensions, have been placed into a study. H-1287, which raises the COLA base to $16,000, is also in a study.

One bill, S-1284, which establishes a special study commission to explore how to offer affordable retiree dental care is being held by the Committee while the staff works on the drafting details. Dental coverage has become a top priority for the Association's lobbying and health insurance teams. Insurance Coordinator Cheryl Stillman is leading the effort to find a workable plan for retirees.

"It is not unusual for bills to be placed in a study while further information is gathered. Quite frankly, with a new Public Service staff, I would have expected more of our bills to be placed in a study while they learned the issues," explained Duhamel. "Thankfully, both chairmen have people around them who are quick studies and are not shy about making a decision. Our members have really benefited from their diligence."

Legislation: Status Report

H-305: Amends Chapt. 306, Acts of 1996 (disability law). Study.

H-306: Provides for indemnification protection for disability retirees. Study.

H-319: So-called "Needham bill", allows retirement system to forgive pension errors. House Ways & Means.

H-350: Minimum $10,000 pension for municipal retirees with 25 years or more of service. Reported favorably from Public Service.

H-351: $10,000 basic life insurance for state retirees and employees. Reported favorably by Public Service.

H-352: Right to remarry, redrafted by Public Service as S-1815. Sen. Ways & Means.

S-1273: Creates a study commission of Group 1 retirement benefits, redrafted by Public Service as S-1804. Sen. Rules Committee.

S-1281: Noncontributory retiree option C pop-up. Sen. Ways & Means.

S-1283: Health insurance reinstatement. Sen. Ways & Means.

S-1284: Study of retiree dental insurance. Held by Public Service.

S-1285: Allows municipal dental coverage to be offered. Sen.Ways and Means.

S-1286: Increases minimum pension for survivors of active employees who die of nonwork related causes. Sen. Ways & Means.

S-1287: Raises the COLA base from the current $12,000 to $16,000. Study.

S-1288: Allows for an annual COLA of up to 3%. Senate Ways and Means.

S-1588: Exempts noncontributory veterans pensions from state taxes. Sen. Ways & Means.
 
Committee OK's State Tax Exemption For Non-Contribs
MAY 1999 - In a landmark first step, the Joint Taxation Committee, chaired by Senator Marian Walsh (D-West Roxbury) and Representative John Rogers (D-Norwood), voted in favor of S-1588, which would exempt the pensions of non-contributory retirees, who are veterans, from state income tax. Non-contrib veterans, who currently number about 4,000, qualify for their unique status as public retirees if they worked before July 1939.

"We applaud this action by the Committee, and its chairs, so early in the legislative session," says Association President Ralph White. "This is the first time in recent history that the Tax Committee has voted in favor of this legislation."

Among the Association's arguments for S-1588, which we will continue to make as we push for final enactment, has been that these veterans deserve the same tax exempt status recently given by the Legislature to military pensioners. Their special circumstances (i.e., military service plus public service before 7/1/39) justify classifying their pensions as tax exempt.
 
Disability Update: Former Officer Resumes Work
MARCH 1999 - Beginning last month, a former disabled MDC officer - now state trooper - about whom we first reported over a year-and-a-half ago (July '97 Voice) has resumed work. Phil Lindsay, with two fellow disabled officers (Mike Shimkus and Bruce Buckley) who were cleared for work by the State Retirement Board, are now back with the State Police.
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