COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. NO.: 4412-01

BILL NO.: SB 1013

SUBJECT: Retirement: Rules and Regulations

TYPE: Original

DATE: March 2, 2000




FISCAL SUMMARY



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
None $0 $0 $0
Total Estimated

Net Effect on All

State Funds

$0 $0 $0



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
None $0 $0 $0
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Local Government $0 $0 $0

Numbers within parentheses: ( ) indicate costs or losses.

This fiscal note contains 3 pages.

FISCAL ANALYSIS



ASSUMPTION



Officials of the Joint Committee on Public Employee Retirement have reviewed this proposal and have determined that it does not represent a "substantial proposed change" in future plan benefits as defined in section 105.660(5), RSMo. Therefore, an actuarial cost statement is not required.



Officials of the Office of Administration assume the proposal would have no fiscal impact.



Officials of the Public School Retirement System (PSRS) assume the proposal would allow for the promulgation of rules to recognize service credit in the four school retirement systems (PSRS, Non-Teacher School Employee Retirement System, St. Louis Public School Retirement System, and the Kansas City Public School Retirement System) to establish eligibility for retirement benefits. No credit or assets will be transferred to or from any of the systems. Therefore, PSRS officials note that the proposal does not appear to create a "substantial proposed change" as that term is defined in section 105.660, RSMo.



Oversight assumes the proposal would also have no fiscal impact on either the Kansas City Public School Retirement System or the St. Louis Public School Retirement System.





FISCAL IMPACT - State Government
FY 2001

(10 Mo.)

FY 2002 FY 2003
$0 $0 $0





FISCAL IMPACT - Local Government
FY 2001

(10 Mo.)

FY 2002 FY 2003
$0 $0 $0



FISCAL IMPACT - Small Business



No direct fiscal impact to small businesses would be expected as a result of this proposal.











DESCRIPTION



This proposal directs the four retirement systems serving teacher and nonteacher employees of public schools in Missouri to promulgate joint rules for the recognition of service toward retirement eligibility. It forbids transfer of creditable service or assets among the systems. A majority of a quorum of each board of the four systems is sufficient to approve or amend such rules.



This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.



SOURCES OF INFORMATION



Joint Committee on Public Employee Retirement

Office of Administration

Public School Retirement System











Jeanne Jarrett, CPA

Director

March 2, 2000