54th legislature - STATE OF NEW MEXICO - first session, 2019

RELATING TO LEGISLATIVE RETIREMENT; INCREASING CONTRIBUTION AMOUNTS; REVISING PENSION BENEFITS; PROVIDING A LIMITED OPPORTUNITY TO MAKE CONTRIBUTIONS FOR THE PURPOSE OF QUALIFYING FOR CERTAIN PENSIONS UNDER STATE LEGISLATOR MEMBER COVERAGE PLAN 1 AND PLAN 2.

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

SECTION 1. Section 10-11-43.3 NMSA 1978 (being Laws 2003, Chapter 85, Section 9, as amended) is amended to read:

"10-11-43.3. STATE LEGISLATOR MEMBER COVERAGE PLAN 2-- AMOUNT OF PENSION--FORM OF PAYMENT A.--Under state legislator member coverage plan 2, the annual amount of pension under form of payment A is equal in any calendar year to eleven percent of the per diem rate in effect, pursuant to Section 2-1-8 NMSA 1978, on the first day of the [calendar] fiscal year that the legislator or lieutenant governor retires multiplied by sixty and further multiplied by credited service as a legislator or lieutenant governor. A pension paid under state legislator member coverage plan 2 shall be adjusted pursuant to Section 10-11-118 NMSA 1978 for a legislator or lieutenant governor 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."

SECTION 2. Section 10-11-43.4 NMSA 1978 (being Laws 2003, Chapter 85, Section 10, as amended) is amended to read:

"10-11-43.4. STATE LEGISLATOR MEMBER COVERAGE PLAN 2-- MEMBER CONTRIBUTION RATE.--A member under state legislator member coverage plan 2 shall contribute an amount equal to [six hundred dollars ($600)] one thousand dollars ($1,000) for each year of credited service less the amount of any prior contributions made by the member for that credited service."

SECTION 3. TEMPORARY PROVISION--ADDITIONAL CONTRIBUTION PERIOD FOR STATE LEGISLATOR MEMBER COVERAGE PLAN 1.--A state legislator member who is otherwise ineligible for the pension amount in Paragraph (2) of Subsection C of Section 10-11-41 NMSA 1978 solely because of the failure to make a timely contribution pursuant to Section 10-11-42 NMSA 1978 shall be eligible for that pension amount if, before January 1, 2020, the member makes a contribution of:

A. two hundred dollars ($200) for each year of credited service; and

B. interest on the amount paid pursuant to Subsection A of this section from December 31, 2003 to the date of payment at a rate to be determined by the retirement board created pursuant to the Public Employees Retirement Act.

SECTION 4. TEMPORARY PROVISION--ADDITIONAL CONTRIBUTION

PERIOD FOR STATE LEGISLATOR MEMBER COVERAGE PLAN 2.--A state

legislator member who is otherwise ineligible for the pension amount in Section 10-11-43.3 NMSA 1978 solely because of the failure to make a timely election pursuant to Section 10-11-43.1 NMSA 1978 shall be eligible for that pension amount if, before January 1, 2020, the member makes a contribution of:

A. five hundred dollars ($500) for each year of credited service prior to 2012;

B. six hundred dollars ($600) for each year of credited service after 2012;

C. one thousand dollars ($1,000) for each year of credited service after 2018; and

D. interest on the amount paid pursuant to Subsections A through C of this section from December 31, 2004 to the date of payment at a rate to be determined by the retirement board created pursuant to the Public Employees Retirement Act.

SECTION 5. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2019.