House Bill 130 Alabama 2026 Session

Updated Feb 5, 2026

Summary

Primary Sponsor: Jim HillRepresentative
Republican
Session: 2026 Regular Session
Title: Teachers' Retirement System, reopened to allow the purchase of credit for prior service rendered to the St. Clair County DAY Program, Incorporated
Summary: HB130 would reopen the Teachers' Retirement System to allow St. Clair County Day Program employees to purchase credit for prior service and join TRS, with the Day Program funding the related costs.
What This Bill Does
It would reopen TRS to allow eligible Day Program employees to purchase credit for prior service and join the Teachers' Retirement System. If the Day Program elects to participate, the employer would pay monthly TRS contributions based on salaries and fund the cost of crediting prior service. Benefits would be limited to contributions from both employee and employer plus investment earnings, with no cost to the State, and the measure takes effect June 1, 2026.

Who It Affects
Active, vested, and contributing employees of the St. Clair County Day Program, Incorporated who elect to participate in TRS would gain TRS benefits and credit for prior service.
St. Clair County Day Program, Incorporated as the employer would be responsible for funding the cost to credit prior service and for making the required employer contributions to TRS.

Key Provisions
Allows the St. Clair County Day Program, Incorporated to elect, by resolution, to have its employees participate in the Teachers' Retirement System of Alabama.
Requires the Day Program to pay employer contributions to TRS, calculated as a percentage of employee salaries and paid monthly alongside employee contributions.
Allows credit for prior service with the program to be credited to eligible employees who were active on the election date, with costs funded by the employer as determined by the TRS actuary.
Limits benefits payable under the program to the amount contributed by the employee and employer plus investment earnings, minus administration costs, at no cost to the State.
Effective date: June 1, 2026.

AI-generated summary using openai/gpt-5-nano on Feb 11, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Retirement