Committee approves change to pension-spiking law and benefits for retired troopers

The Senate State and Local Government Committee on Monday approved, 9-0, a committee substitute to House Bill 30 that codifies court precedent on pension "spiking" and adds pay-and-leave parity for rehired retired state troopers.

Representative John Blanton, the bill sponsor, told the committee the measure "codifies the court language into statute that says raises given by the general assembly are not considered part of pension spiking." Erin Sarotte, executive director of the Office of Benefits at the Kentucky Public Pensions Authority, told the committee the change applies to all systems administered by the KPPA, including KERS and CERS and the state police plan.

Blanton said the committee substitute also implements an intent from 2022 to allow retired troopers rehired on a year-to-year basis to receive the same starting-trooper benefits for vacation, sick leave and bereavement as beginning troopers. He described the change as correcting a prior interpretation that had led to penalties when officers performed mandatory work and could not count certain pay toward pensions.

No committee debate on the substance was recorded beyond staff clarification; the substitute was adopted and the chair said the bill "passes 9 to 0 and should do so on the floor." The committee also approved a title amendment before final passage in committee.

The committee’s action is procedural; the bill will next be considered on the Senate floor. The committee record does not show further fiscal details or implementation dates in the hearing transcript.