Please ensure Javascript is enabled for purposes of website accessibility Harkins, Merski bill that balances retiree support with fiscal responsibility passes House

Harkins, Merski bill that balances retiree support with fiscal responsibility passes House

ERIE, May 7 – State Reps. Pat Harkins and Bob Merski, both D-Erie, are celebrating a transformative victory for fiscal responsibility and robust retiree support with the passage of H.B. 754 in the Pennsylvania House of Representatives.

The legislation would redefine the County Pension Law by empowering retirement boards to tailor supplemental benefit increases, ensuring county annuitants continue to receive necessary support while safeguarding taxpayers from unsustainable costs.

“We envisioned a law that would empower county pension boards to make decisions tailored to their unique fiscal realities while ensuring our annuitants receive the support they deserve,” Harkins said. “House Bill 754 strikes a fair balance between preserving the purchasing power of our retirees and protecting our counties from unsustainable financial burdens.”

“This legislation is a testament to our commitment to responsible governance,” Merski said. “By providing counties with the discretion to fine-tune supplemental benefit increases, we are taking a critical step toward fiscal accountability without compromising the support our county retirees need.”

Under the current County Pension Law, County Retirement Boards are required to review supplemental benefits for county annuitants every three years. However, any increase in benefits is automatically tied to the percentage change in the local Consumer Price Index (CPI-U) for the Pennsylvania, New Jersey, Delaware, and Maryland area. Although this method is meant to adjust for inflation, it often leads to large cost increases that strain county budgets and burden taxpayers.

The bill now heads to the state Senate for consideration.