HOUSE DOCKET, NO. 388 FILED ON: 1/5/2009
HOUSE . . . . . . . . . . . . . . . No. 2328
The Commonwealth of Massachusetts
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PRESENTED BY:
William N. Brownsberger
_______________
To the Honorable Senate and House of
Representatives of the Commonwealth of Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the passage of the accompanying bill:
An Act to limit public pensions to a level related to lifetime ea
rnings
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PETITION OF:
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Name:
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District/Address:
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William N. Brownsberger
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24th Middlesex
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The Commonwealth of Massachusetts
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In the Year Two Thousand and Nine
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An Act to limit public pensions to a level
related to lifetime earnings.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
SECTION
ONE
:
Section One of Chapter Thirty-Two of the General Laws of
Massachusetts
is hereby amended by at the end the following new paragraphs:
“Inflation adjustment reference month”, the calendar month including the date ninety days before the member’s retirement date
“Monthly inflation-adjusted regular compensation”, regular compens
ation multiplied by a fraction, the numerator of which is the Bureau of Labor Statistics Consumer Price Index for All Urban Consumers in the United States (“
CPI
-U”) for the inflation adjustment reference month, and the denominator of which is the
CPI
-U for
the compensation month; provided that for months or part-months after the inflation-reference month, the fraction shall be one.
“Monthly average inflation-adjusted regular compensation”, the sum of the inflation-adjusted regular compensation for each mon
th for which the member claims creditable service divided by the number of said months.
“Annualized average inflation-adjusted regular compensation”, the monthly average inflation-adjusted regular compensation multipl
i
ed by twelve.
“Seniority adjusted r
eal compensation baseline”, annualized average inflation-adjusted regular compensation multiplied by a sum, the sum being one plus a product, the product being three one hundredths times the member’s years of creditable service.
SECTION TWO: Section Five
of Chapter Thirty-Two of the General Laws of Massachusetts by inserting before the period at the end of subsection (c) by inserting the following words: “nor shall it exceed four-fifths of the seniority-adjusted real compensation baseline.”
