SB12 Alabama 2024 Session

Summary

Primary Sponsor

Chris ElliottSenator

Republican

Session

Regular Session 2024

Title

RSA, certain conditions removed for retired elected official under TRS or ERS to serve in another elected public office for compensation without suspension of benefits

Summary

SB12 lets Alabama retirees from TRS or ERS work in other elected public offices or for public employers without losing their retirement benefits, but with annual earnings limits and other conditions.

What This Bill Does

The bill allows retirees to perform duties for employers in TRS or ERS or to hold another elected public office without suspending retirement benefits, as long as they are not in permanent full-time work and their earnings stay under a set limit. The earnings limit starts at $30,000 (based on 2016 pay) and increases each year using the CPI, rounded to the nearest $1,000. Retirees must certify information to their employer and to TRS/ERS, and provide written notice within 30 days if they will work full-time or earn over the limit. It also adds caps and rules for local elected superintendents and for certain law enforcement and corrections roles, including a $52,000 annual cap for some positions and a sunset for the program in 2026, with an effective date of June 1, 2024.

Who It Affects

• Retired teachers and other public employees (TRS and ERS) who want to work for a public employer or hold another elected public office while keeping retirement benefits, provided they don’t work permanent full-time and their earnings stay within the specified limits.
• Retired elected officials (including local superintendents) and eligible safety retirees (law enforcement, state policeman, and some corrections officers) who may serve in certain roles without suspension under defined caps and conditions, plus the requirement to avoid receiving both pension and salary for the same service.

Key Provisions

• A TRS retiree may work for any employer in TRS/ERS without suspending retirement benefits if not in permanent full-time work and if earnings in the baseline year 2016 do not exceed $30,000; the limit increases annually with CPI and is rounded to the nearest $1,000, based on the preceding 12 months ending Sept. 30.
• A retiree may serve full compensation in a state, county, or municipal elected office without suspension of retirement benefits, but may not accrue additional TRS/ERS benefits for that service and cannot receive both pension and salary for the same service; applies to officials whose TRS/ERS participation is required by law on the same terms as other employees if compensation stays within the earnings limit.
• Same TRS/ERS rules apply to elected officials’ postretirement service for compensation in public office, with the same limitations on pension/salary and benefits accrual.
• A local elected superintendent of education cannot receive both pension benefits and salary unless their compensation does not exceed the annual earnings limit.
• A retiree who is ERS with Peace Officers’ Standards and Training certification may perform duties as a school resource officer or a Department of Corrections officer without suspension if the pay does not exceed $52,000 per year; additional eligibility for certain officer classifications is specified; no more than $52,000 per year.
• No one may be employed under these provisions after December 31, 2026.
• The employing authority is responsible for compliance; retirees must certify required information to the employer and provide written notice within 30 days of knowing they will work full-time or exceed the limit.
• Effective date is June 1, 2024.

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

Subjects

Retirement