HOUSE BILL 304

48th legislature - STATE OF NEW MEXICO - first session, 2007

INTRODUCED BY

Jim R. Trujillo

AN ACT

RELATING TO PUBLIC EMPLOYEES; INCREASING THE COST OF LIVING ADJUSTMENT FROM THREE TO FOUR PERCENT.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. Section 10-11-118 NMSA 1978 (being Laws 1987, Chapter 253, Section 118, as amended) is amended to read:

     "10-11-118. COST OF LIVING ADJUSTMENTS.--

          A. For the purposes of this section:

                (1) "preceding calendar year" means the twelve-month period ending on the December 31 preceding the July 1 in which pensions are being adjusted; and

                (2) "second preceding calendar year" means the full calendar year prior to the preceding calendar year.

          B. The amount of pension payable to a qualified pension recipient shall be increased [three] four percent each July 1. The amount of the increase shall be determined by multiplying the amount of pension inclusive of all prior adjustments by [three] four percent.

          C. A qualified pension recipient is:

                (1) a normal retired member who has been retired for at least two full calendar years from the effective date of the latest retirement prior to July 1 of the year in which the pension is being adjusted;

                (2) a normal retired member who has attained age sixty-five years and been retired for at least one full calendar year from the effective date of the latest retirement prior to July 1 of the year in which the pension is being adjusted;

                (3) a disability retired member who has been retired for at least one full calendar year from the effective date of the latest retirement prior to July 1 of the year in which the pension is being adjusted;

                (4) a survivor beneficiary who has received a survivor pension for at least two full calendar years; or

                (5) a survivor beneficiary of a deceased retired member who otherwise would have been retired at least two full calendar years from the effective date of the latest retirement prior to July 1 of the year in which the pension is being adjusted.

          D. A qualified pension recipient may decline an increase in a pension by giving the association written notice of the decision to decline the increase at least thirty days prior to the date the increase would take effect."

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