HB233 Alabama 2023 Session

Summary

Primary Sponsor

Cynthia Lee AlmondAlabama Public Service Commission

Republican

Session

Regular Session 2023

Title

Relating to the City of Tuscaloosa; to authorize the City of Tuscaloosa to join the Employees’ Retirement System of Alabama for its police and firefighter employees and transfer assets and liabilities of the existing Tuscaloosa Police and Firefighters Retirement Plan to the Employees' Retirement System of Alabama as set forth in Chapter 27 of Title 36, Code of Alabama 1975.

Summary

HB233 lets the City of Tuscaloosa move its police and firefighter retirement plan into the state Employees’ Retirement System of Alabama and transfer the local plan’s assets and liabilities.

What This Bill Does

It authorizes the city council to have police and firefighter employees participate in ERSA. It directs the transfer of all assets and liabilities from the Tuscaloosa Police and Firefighters Retirement Plan to ERSA. After the transfer, the city must terminate the local retirement plan established by Act 1999-568. It also defines how participants are placed into Tier I or Tier II based on when they joined, and notes that new hires after ERSA participation will join ERSA according to state law; the city budget will reflect the transferred amounts.

Who It Affects

• City of Tuscaloosa police and firefighter employees who will participate in ERSA and will have Tier I or Tier II status based on their join date.
• The City of Tuscaloosa and the former Tuscaloosa Police and Firefighters Retirement Plan, whose assets and liabilities will be transferred to ERSA and whose local plan will be terminated; retirees and beneficiaries under the old plan are affected by the transition.

Key Provisions

• authorizes the City of Tuscaloosa to participate in the Employees’ Retirement System of Alabama for police and firefighters
• transfers all assets and liabilities of the Tuscaloosa Police and Firefighters Retirement Plan to ERSA
• terminates the local retirement system established under Act 1999-568 once the transfer is complete
• establishes Tier I and Tier II participation rules: pre-2013 entrants who join ERSA are Tier I; post-2013 entrants are Tier II unless prior employment makes them Tier I; new hires after ERSA participation join ERSA under 36-27-6(c)
• requires annual amounts certified to the city budget to be included in the city budget
• provides severability, repeals conflicting laws, and sets an effective date for the act

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.