Council recommends changes to subpoena procedure, benefit payments and return-to-service remedy; extends rectification period to 2027
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Summary
HB 1907 / SB 2018, introduced by Representative McCalmon and described by the department as aligning plan practice with federal requirements, clarifying subpoena responses and final benefit payments, and extending the remedy for retirees who returned without a bona fide separation through June 30, 2027, received a positive committee recommendation (12–0).
Representative McCalmon told the Council on Pensions that HB 1907 / SB 2018 updates plan procedures to achieve compliance with federal requirements and to improve administrative efficiency. He summarized three primary changes: clarify methods for responding to subpoenas, refine the process for issuing final benefit payments due on a member’s death, and extend the remedy period for retirees who return without a bona fide separation.
A department representative explained the bill would clarify subpoena-response procedures, streamline issuance of death-related benefit payments and extend the rectification period for returns-to-service to June 30, 2027. "It also ... moves the bona fide separation of service, the way to rectify that if they didn't have a bona fide separation of service return to work programs and extends it to 06/30/2027 for that rectification period," the department said.
There were no substantive objections recorded during questioning; the committee moved to recommend passage. On roll call the motion carried with 12 ayes, and the committee recommended HB 1907 / SB 2018 to its standing committee with a positive recommendation.
The hearing ended after the two bills on the calendar received positive recommendations; no public testimony or fiscal figures were included in the committee record during this meeting.
