Bill Text: MI HB5328 | 2023-2024 | 102nd Legislature | Chaptered
Bill Title: Retirement: judges; employee contribution and match; increase. Amends sec. 714 of 1992 PA 234 (MCL 38.2664).
Spectrum: Partisan Bill (Democrat 9-0)
Status: (Passed) 2024-11-13 - Assigned Pa 152'24 [HB5328 Detail]
Download: Michigan-2023-HB5328-Chaptered.html
Act No. 152
Public Acts of 2024
Approved by the Governor
November 13, 2024
Filed with the Secretary of State
November 13, 2024
EFFECTIVE DATE: Sine Die
(91st day after final adjournment of the 2024 Regular Session)
state of michigan
102nd Legislature
Regular session of 2024
Introduced by Reps. Wilson, Breen, Edwards, Dievendorf, Hope, Tsernoglou, Andrews, Rheingans and Rogers
ENROLLED HOUSE BILL No. 5328
AN ACT to amend 1992 PA 234, entitled “An act to establish a judges retirement system; to provide for the administration and maintenance of the retirement system; to create a retirement board; to prescribe the powers and duties of the retirement board; to establish certain reserves for the retirement system; to establish certain funds; to prescribe the powers and duties of certain state departments and certain state and local officials and employees; to provide for certain disqualifications; to prescribe penalties and provide remedies; and to repeal acts and parts of acts,” by amending section 714 (MCL 38.2664), as amended by 2002 PA 95.
The People of the State of Michigan enact:
Sec. 714. (1) This section is subject to the vesting requirements of section 715.
(2) A qualified participant’s employer shall contribute to the qualified participant’s account in Tier 2 an amount equal to 4% of the qualified participant’s salary.
(3) Except as otherwise provided in this subsection, a qualified participant may periodically elect to contribute up to 3% of his or her salary to his or her Tier 2 account. Beginning April 10, 2025, a qualified participant may periodically elect to contribute up to 5% of his or her salary to his or her Tier 2 account. The qualified participant’s employer shall make an additional contribution to the qualified participant’s Tier 2 account in an amount equal to the contribution made by the qualified participant under this subsection.
(4) A qualified participant may make contributions in addition to contributions made under subsection (3) to the qualified participant’s Tier 2 account as permitted by the state treasurer and the internal revenue code. The qualified participant’s employer shall not match contributions made by the qualified participant under this subsection.
(5) A qualified participant who makes a written election
under section 701a may elect to contribute up to 6% of his or her salary
to his or her Tier 2 account. In lieu of employer contributions under
subsection (3), the qualified participant’s employer shall make an additional
contribution to the qualified participant’s Tier 2 account in an amount equal
to the contribution made by the qualified participant under this subsection.
This subsection applies for a period as determined by the department that
equals the time in which a Tier 1 member was not able to make contributions to
the Tier 2 plan because of the temporary restraining order issued in the case
of Michigan Judges Assn v Treasurer of Michigan, opinion of the United
States District Court for the Eastern District of Michigan (Case No.
98-DT-72771-CV).
(6) Beginning January 1, 2002, a qualified participant who is a plan 1 member or a plan 2 member, on taking office and while he or she remains in office, shall contribute 2.0% of the qualified participant’s compensation to the retirement system. The retirement system shall deposit the contribution under this subsection into the reserve for health benefits for hospital and medical-surgical and sick care benefits as provided in section 719.
Clerk of the House of Representatives
Secretary of the Senate
Approved___________________________________________
____________________________________________________
Governor
