November 4, 2003, Introduced by Rep. Mortimer and referred to the Committee on Senior Health, Security and Retirement.
A bill to amend 1986 PA 182, entitled
"State police retirement act of 1986,"
(MCL 38.1601 to 38.1648) by adding section 41a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 41a. (1) On or after January 1, 2005, the monthly
2 retirement allowance payable to a retirant who participated and
3 accrued leave time in the bank time hours program established by
4 the civil service system and operating from December 22, 1957 to
5 July 13, 1963 when the retirant was a member is supplemented by
6 an increase calculated under subsection (3).
7 (2) On or after January 1, 2005, the retirement allowance
8 beneficiary of a deceased retirant who would have been eligible
9 for an increased retirement allowance under subsection (1) shall
10 have his or her retirement allowance supplemented by an increase
11 calculated under subsection (3).
1 (3) A retirant or the retirement allowance beneficiary of a
2 deceased retirant who accrued no less than 5,276 bank time hours
3 shall have his or her retirement allowance supplemented by an
4 annual increase of 17%. A retirant or the retirement allowance
5 beneficiary of a deceased retirant who has accrued fewer than
6 5,276 bank time hours shall have his or her retirement allowance
7 supplemented by an increase of a percentage determined by
8 multiplying 17% by a fraction, the numerator of which is the
9 number of bank time hours accrued by the retirant or deceased
10 retirant and the denominator of which is 5,276. If this
11 calculation results in an annual retirement allowance supplement
12 of less than $600.00, then the annual supplement received by the
13 retirant or retirement allowance beneficiary entitled to a
14 supplement under this section shall be $600.00.
15 (4) The increase in retirement allowance under this section
16 shall be included in the basis upon which future adjustments to
17 the retirement allowance are calculated.