HB 1490 -- MISSOURI LOCAL GOVERNMENT EMPLOYEES' RETIREMENT SYSTEM

SPONSOR:  Deeken

COMMITTEE ACTION:  Voted "do pass by consent" by the Special
Committee on Retirement by a vote of 7 to 0.

This bill changes the laws regarding the Missouri Local
Government Employees' Retirement System (LAGERS).  In its main
provisions, the bill:

(1)  Requires at least a 10% reduction on a partial lump-sum
distribution.  Currently, if a retiree elects to receive a
partial lump-sum distribution, a retiree's monthly allowance will
be reduced accordingly based on his or her age at retirement;

(2)  Creates an additional retirement benefit payment option of
joint and 100% survivor.  A member electing this benefit will
receive a reduced monthly allowance and upon death his or her
eligible surviving beneficiary will receive 100% of the benefit
amount the retiree was receiving at the time of his or her death;

(3)  Allows a retiree to authorize LAGERS to deduct premiums for
health insurance or long-term care insurance from his or her
retirement allowance; and

(4)  Creates a funding mechanism for survivor benefits when a
member dies as the result of a duty-related injury or illness.

FISCAL NOTE:  No impact on state funds in FY 2009, FY 2010, and
FY 2011.

PROPONENTS:  Supporters say that the bill allows the retirement
system to offer an additional retirement option of joint and 100%
survivor and will allow retirees to have insurance premiums
deducted from their retirement check.

Testifying for the bill were Representative Deeken; and Missouri
Local Government Employees' Retirement System.

OPPONENTS:  There was no opposition voiced to the committee.

Missouri House of Representatives
94th General Assembly, 2nd Regular Session
Last Updated October 15, 2008 at 3:10 pm