SB2720

Report Title:

Employees' Retirement System

Description:

Specifies that only the member's base salary, including shortage differential pay, is to be used to compute the member's average final compensation and determine the contributory plan member's contributions to the ERS.

THE SENATE	S.B. NO.	2720
TWENTY-FIRST LEGISLATURE, 2002
STATE OF HAWAII

A BILL FOR AN ACT

 

RELATING TO THE EMPLOYEES' RETIREMENT SYSTEM.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 88-21, Hawaii Revised Statutes, is amended by adding a new definition to be appropriately inserted and to read as follows:

""Compensation" or "annual compensation": the basic rate of pay for service performed in a particular position excluding all overtime, differentials, and supplementary pay; provided that this definition shall apply to any compensation paid after June 30, 2002."

SECTION 2. Section 88-261, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) The following words and phrases as used in this part shall have the same meanings as defined in section 88-21, unless a different meaning is plainly required by the context: "accumulated contributions"; "actuarial equivalent"; "average final compensation"; "beneficiary"; "compensation"; "county"; "employee"; "medical board"; "retirant"; "retirement allowance"; "service"; and "system"."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect on July 1, 2002.

INTRODUCED BY:	_____________________________