NO REDUCTION IN DUTY DISABILITY BENEFITS
House Bill 5093
Sponsor: Rep. Paul Condino
Committee: Senior Health, Security and Retirement
Complete to 11-4-03
A SUMMARY OF HOUSE BILL 5093 AS INTRODUCED 9-30-03
The State Employees Retirement Act allows for a reduction in a disability retirement allowance in cases in which the beneficiary is engaged in a gainful occupation that pays more than the difference between the retirement allowance and his or final compensation [when working as a state employee]. In such a case, the retirement allowance is reduced so that the total of retirement allowance and current earnings equals the beneficiary’s final compensation as a state employee. House Bill 5093 would amend the act to provide an exception for a duty disability retirant (a person whose injury or illness was incurred at work) whose combined earnings from employment and from the disability retirement allowance did not exceed 150 percent of federal poverty guidelines. This means there would be no reduction in the retirement allowance for a person in that category.
MCL 38.33
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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.