Summary:

 Senate Bill 30 (SB 30) restores a two percent cost-of-living adjustment for certain retired participants in the Public Employees Retirement Association of New Mexico (PERA), and makes an appropriation of ten million dollars ($10,000,000). 

Legislation Overview:

 In Senate Bill 30 (SB 30), Section 10-11-118 NMSA 1978  is amended to add language regarding cost-of -living adjustments for PERA members. Specifically, for a normal retired member who retired from employment with the state or local government before July 1, 2025 and who has attained the age of sixty-five, the pension benefit is to be increased by two percent each July 1. The amount of the increase is determined by multiplying the amount of pension, inclusive of all prior adjustments, by two percent. These payments are contingent on the local government making contributions to the income fund in an amount adequate to fund the increase, as determined by the Department of Finance and Administration. 

Ten million dollars ($10,000,000) is appropriated from the General Fund to the PERA for expenditure in Fiscal Year 2026 and subsequent Fiscal Years to provide for this increase. Any unexpended or unencumbered balance remaining at the end of a Fiscal Year will not revert to the General Fund.

 

Current Law:

 Exceptions for the payments described are provided in existing law, and the law currently only applies to FY 2021, 2022 and 2023.  

Amendments:

 Amended February 7, 2025 in SHPAC

SHPACa/SB 30: The Senate Health and Public Affairs Committee amends Senate Bill 30 as follows:

1. On page 1, line 11, after the semicolon, insert "TEMPORARILY". 
2. On page 6, line 1, strike "For" and insert in lieu thereof "Until January 1, 2030, for". 
3. On page 6, line 7, strike "For" and insert in lieu thereof "Until January 1, 2030, for".