July COLA Paid on Schedule

SEPT 2007 - Members of the State and Teachers’ Retirement Systems, as well as those of our 104 local retirement systems, received their new 3% cost-of-living increase this July.

This increase, which was voted by the Legislature and individual local retirement boards, was effective for members who retired prior to July 1, 2006. Members, retired since that date, will be eligible for future COLAs.

There was no change in the $12,000 base, which is the maximum amount to which the 3% can be applied. Our Association’s legislation, S2243, which would raise the base initially to $16,000 for state and teacher retirees, with incremental future base increases, is currently before the Senate Ways and Means Committee.

S2243 also allows local retireement systems to increase the COLA base to any amount above the current $12,000. This top priority legislation was extensively reported in the lead article of our July Voice and will be further updated on our hotline, our website and our November Voice.