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FOR IMMEDIATE RELEASE

A victory for Indiana's public retirees

RIPEA celebrates passage of 13th check for 2024

Indianapolis, Indiana (March 8, 2024) – The Retired Indiana Public Employees Association (RIPEA) is pleased to announce the passage of House Bill 1004, which will provide Public Employees’ Retirement Fund (PERF) retirees with a one-time 13^th check in 2024. Today, both chambers of the Indiana General Assembly voted in favor of the bill.

The check will provide vital financial support to retirees, many of whom live on fixed incomes. The retiree bonus checks will range from $150 to $450, based on years of service. This legislative win is the culmination of RIPEA's extensive lobbying throughout this year's legislative session, where the organization worked diligently to secure benefits for its members.

"This victory is a testament to the hard work of our organization and the collective advocacy of 13^th check supporters and our members," said RIPEA Executive Director Jessica Love. "This additional income will provide critical relief to Hoosier retirees, and we are proud to have played a pivotal role in securing this important benefit. We are grateful to Rep. Bob Cherry for his leadership on HB 1004, as well as the many co-authors of the bill, including Rep. Mike Karickhoff, Rep. Greg Porter, and Rep. Jennifer Meltzer."

Sen. David Niezgodski and Sen. Fady Qaddoura were also outspoken advocates for the 13th check this year.

Representative Bob Cherry, author of House Bill 1004, expressed his gratitude for the bill's passage, saying, "I am thrilled to see this bill pass and to be able to provide some much-needed support to our retirees. This 13th check is a one-time payment, but it will make a big difference in the lives of those who have dedicated their careers to serving our state."

RIPEA advocates on behalf of approximately 97,000 retired public employees in Indiana. Of this population, nearly 10% receive a monthly benefit of $200 or less from their pension, and approximately 70,000 retirees receive a benefit of $800 or less. For those with an annual pension of less than $10,000, and particularly those with an annual pension of less than $2,400, receiving a 13th check makes a huge difference in their financial stability and ability to cover basic necessities.

About Retired Indiana Public Employees Association (RIPEA)
RIPEA is a nonprofit organization created by the Indiana General Assembly in 1972 to improve the quality of life of active and retired Public Employees’ Retirement Fund (PERF) members by providing the relationships, insurance benefits, policy-advocacy and education needed to retire well from public employment in the Hoosier state. Approximately 40,000 PERF participants are currently RIPEA members. Visit www.RIPEA.org to learn more.

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MEDIA CONTACT
Jessica Love
Executive Director
Retired Indiana Public Employees Association
JLove@RIPEA.org
317-789-0244

Update 3/8/24

We did it!

We are excited to share: Retirees will receive a 13^th check in 2024!

And the groundwork is being laid for the legislature to automate the 13^th check for current retirees, as soon as 2025.

If you mailed a letter, sent an email, or made a call to your legislators, THANK YOU!

We can lobby all day, every day of session – and we did.

But without member engagement around advocacy, we are nowhere near as effective with our lobbying efforts.

Thank Representative Bob Cherry for his leadership on HB 1004, as well as your representative!

AND

Thank Senator Brian Buchanan for his leadership on SB 275, as well as your senator!

HB 1004 – which passed both chambers today – now includes the language from both bills.

We are thrilled with this outcome and are honored to serve RIPEA members in this way!

You can also send a special thanks to the other original authors/co-authors of each bill. For HB 1004: Rep. Mike Karickhoff, Rep. Greg Porter, Rep. Jennifer Meltzer. For SB 275: Sen. Linda Rogers. For the full list of House and Senate co-authors and sponsors of HB 1004, see the Bill Actions for HB 1004.

Sen. David Niezgodski and Sen. Fady Qaddoura were also outspoken advocates for the 13th check this year.

Find Your Legislator

Previous Updates

3/4/24 - It remains critical, if you have not contacted your Senator about a 13^th check in 2024, to do so NOW!

The 1-year 13^th check language for 2024 was stripped out of House Bill 1004 by the Senate Appropriations Committee on Thursday morning, February 29th, and replaced with Senate Bill 275 language. But there’s still a chance to get it added back into the bill through an amendment or the conference committee process, if you act fast.

Please CALL TODAY, Monday, March 4^th, if at all possible. Tell your Senator: “We want a check in 2024. Put the 13^th Check back in 1004!”

Senator Fady Qaddoura has proposed an amendment to the bill that would add a 13th check for 2024 back into HB 1004. If this passes during 2nd reading during Session today, and it passes 3rd reading tomorrow, Rep. Bob Cherry could concur on the amended bill. If that happens, both the 13th check for 2024 and the language that directs INPRS to prepare for an automatic 13th check, potentially starting in 2025, would be approved for this year. If the amendment isn't approved but HB 1004 passes on 2nd and 3rd reading today/tomorrow, the bill could still be amended to include language for a 13th check in 2024 during the conference committee process.

Please make sure your Senator knows that you support HB 1004 (with the automatic hybrid 13th check/COLA language, see details below) but want the 13th check for 2024 added back in.

To locate your Senator’s email address, you can go to the Find Your Legislator page of the Indiana General Assembly website or call the RIPEA office for help at 1-800-345-9214. Or, if you prefer to call your senator, the number for the Indiana State Senate is 1-800-382-9467, and they will direct your call.

If you live out of state, please ask anyone you know who still lives in Indiana to reach out on behalf of retirees who have moved out of state but are still impacted by this legislation. You can also email Senate Republican Leadership and let them know that you want the 13th check for 2024 added back into HB 1004.

3/2/24 - It is critical, if you have not contacted your Senator about a 13^th check in 2024, to do so now!

The 13^th check language was stripped out of House Bill 1004 by the Senate Appropriations Committee before passing the bill on Thursday morning, February 29th. But there’s still a chance to get it added back into the bill through the conference committee process, if you act fast. Please call by Monday, March 4^th, if at all possible. Ask your Senator to “Please Put the 13^th Check for 2024 back in HB 1004”.

Senate Appropriations changed the bill language for HB 1004 to match Senate Bill 275, which died in the House due to lack of a hearing in Ways & Means. If the new version of the bill passes 2^nd and 3^rd readings by the full Senate by Tuesday, March 5, it will go to conference committee, where the 2024 13^th check language can potentially be added back in. It is critical that you call or email your Senator now to ensure the bill makes it through the Senate.

The language from Senate Bill 275, which RIPEA also supported, is now in HB 1004. The bill directs and enables INPRS to prepare administratively and technologically for a hybrid 13th check/COLA model to be adopted as soon as 2025. The bill also sets a retirement date for those who would receive an automatic 13^th check as being before July 1, 2025 and for those who would receive an automatic COLA as being on or after July 1, 2025.

To watch the Appropriations Committee hearing for HB 1004 and view video of Jessica Love’s testimony on HB 1004, click this link and select February 29 in the Meetings dropdown. Use the scrollbar at bottom of the video to go to Time Stamp: 2:00 for the full hearing or 2:13 for Jessica Love's testimony.

2/27/24 - It is critical, if you have not contacted your Senator about a 13^th check in 2024, to do so now. HB 1004 is scheduled for a hearing in the Senate Appropriations Committee on Thursday morning, February 29, 2024. To locate your Senator’s email address, you can go to the Find Your Legislator page of the Indiana General Assembly website or call the RIPEA office for help at 1-800-345-9214. Or, if you prefer to call your senator, the number for the Indiana State Senate is 1-800-382-9467, and they will direct your call.

If HB 1004 passes out of committee, it will need to pass 2^nd and 3^rd readings by the full Senate by Tuesday, March 5.

With regard to Senate Bill 275 (see legislation details below), it was amended by the Senate Appropriations Committee to set a retirement date for those who would receive the 13^th check as being before July 1, 2025 and for those who would receive a COLA as being on or after July 1, 2025. SB 275 passed out of the Appropriations Committee on February 1, 2024. It was approved by the full Senate on February 6, 2024. The bill was then heard by the House Employment, Labor and Pensions Committee. Jessica Love again testified in support of the bill, and it passed out of committee on Feb 15, 2024. However, the bill was not heard in House Ways & Means in time to adopt SB 275 in 2024.

Please review the February RIPEA Communicator newsletter to know who to contact and what to tell your legislators. The time to contact your Senator is now.

If you aren’t signed up for RIPEA’s e-blasts, please call us at 1-800-345-9214 or email us at ripea@ripea.org.

1/30/24 - This year's 13th Check bill passed out of the Indiana House on January 22, 2024. As a priority bill, House Bill 1004 was the first bill of the session passed out of the House Ways & Means Committee on January 11. RIPEA extends many thanks to Representative Bob Cherry for again authoring a 13th check bill for our retirees. Thanks also to the co-authors, Reps Mike Karickhoff, Greg Porter, and Jennifer Meltzer. RIPEA Executive Director Jessica Love testified in support of this bill:

To view video of Jessica’s testimony on HB 1004, click this link and select January 11 in the Meeting dropdown – Time Stamp: 33:20.

RIPEA also testified in favor of Senate Bill 275, which directs and enables INPRS to prepare administratively and technologically for a hybrid 13th check/COLA model to be adopted as soon as 2025. SB 275 passed out of Senate Pensions & Labor on January 24, 2024. It was recommitted to Senate Appropriations, since it has a fiscal impact. The bill is on the Appropriations Committee schedule for February 1, 2024.

To view video of Jessica Love’s testimony on SB 275, click this link and select January 24 in the Meeting dropdown – Time Stamp: 16:12.

Be on the lookout for the RIPEA newsletter and emailed action alerts in February to know how and when to contact your Senator, and other Senate leadership, regarding RIPEA's 2024 policy priorities.

10/24/23 - The interim Pensions Management and Oversight Committee (PMOC) met twice between the 2023 and 2024 legislative sessions. Part of its charge – coming out of the 2023 Indiana General Assembly – was to analyze annualized COLAs at 0.5%, up to 2%, for all pensions with Supplemental Reserve Accounts (SRAs). The data, presented by INPRS chief actuary Andy Blough during the first meeting, showed just how expensive such an endeavor would be.

Seeing the cost implications for just a 1% COLA for all retirees, and knowing most current retirees prefer a 13^th check, PMOC’s 2023 final report, presented and approved on October 24, 2023, “recommended the consideration of legislation to do the following, subject to the budget process:

a. Provide an annual thirteenth check, paid from the supplemental reserve accounts, to certain members of the public employees' retirement fund, Indiana state teachers' retirement fund, legislators' defined benefit plan, and EG&C plan who retire before a specified date (to be determined); and

b. Provide an annual COLA, paid from the supplemental reserve accounts, to certain members of the public employees' retirement fund, Indiana state teachers' retirement fund, legislators' defined benefit plan, and EG&C plan who retire after a specified date (to be determined).”

Essentially, if approved in 2025, older retirees will receive a 13^th check and newer retirees will get a COLA – each year, automatically. The scenario evaluated involved 13^th checks based on years of service, indexed to 2% inflation, and a 1% COLA.

RIPEA offered tentative support for a plan that continues the 13^th check for current retirees, knowing the Senate wants to move to a COLA.

A video recording of the meeting is posted here. (Click on the dropdown next to the word Meetings to select the Oct. 24 option to play. The INPRS presentation regarding a hybrid 13th check-COLA model begins around 1:45. RIPEA testimony begins around 1:59.)

9/21/23 - The Interim Study Committee on Pension Management Oversight (PMOC) met on September 20, 2023 to provide an update on all INPRS-managed funds and deliver an actuarial report regarding the cost of COLAs ranging from 0.5% to 2.0% for the pensions that receive ad hoc benefit increases through the Supplemental Reserve Accounts (SRAs), including PERF.

Slides from the INPRS Update, Stress Test and SRA presentations can be found here.

A video recording of the meeting is posted here. (Click on the dropdown next to the word Meetings to select the Sept. 20 option to play.)

4/28/23 - NO 13th CHECK - The General Assembly adjourned sine die at 2:46 a.m. Indianapolis time on April 28, 2023. Neither a 13th check nor a COLA for PERF retirees was included in the budget or other bills signed into law this session. Despite having seemingly strong support from senators throughout the legislative session for the 13th check approved by the House, it was ultimately excluded from the Senate version of the budget and never made its way back into a bill before the legislature wrapped. RIPEA will sit down with legislators in the coming months to better understand why Senate Republican leadership opposed passage of the bill and to discuss ways to secure benefit enhancements going forward. Rep. Bob Cherry, who authored the 13th check bill, stated during his remarks prior to sine die that a 13th check would be the first bill he would file in 2024. RIPEA looks forward to working with Cherry and other champions for PERF retirees to achieve our shared goals.

We encourage members to write to your legislators to express thanks to all House members, especially Rep. Cherry and co-author Rep. Mike Karickhoff, as well as Senate Democrats. You can also share any concerns you may have about the General Assembly’s failure to pass a 13^th check with Senate Republican leadership, including the Senate Appropriations Committee, which did not hear the 13^th check bill in committee nor include the 13^th check as part of the budget.

RIPEA acknowledges that INPRS was directed in the budget to study the impacts of providing a 0.5% annual COLA, but believes a 13th check should have been approved this year to provide support while the study is being performed, instead of conducting it in lieu of a 13th check in 2023.

See our press release.

4/27/23 - Budget is not final, but no 13th check or COLA for PERF retirees are included in the deal announced yesterday.

4/26/23 - The 13th check is facing opposition in the Senate and is at risk of not being included in the budget for the next two years.

You can help save the 13^th check for PERF retirees who have spent a lifetime in public service by making a quick call about the state budget. We urge you to call your State Senator now and tell them how approving a 13th check is vital to quality of life for PERF members.

Find your legislators here.

4/19/23 - RIPEA continues to work with legislators focused on getting a 13th check for retirees for this year and next year. HB1028, the 13^th check bill, died in the Senate Appropriations Committee, due to not being called for a hearing by the committee deadline. The 13th check was also left out of the Senate version of the budget.

Since the House/Ways & Means Committee approved the spending for the 13th check, and the budget bill originated in the House, the 13th check can still be approved. However, having to get the language into the budget bill, instead of having a standalone 13th check bill adopted by the Senate deadline yesterday (4/18/23), also means RIPEA will be working on this policy item until the end of the legislative session next week, since it’ll be part of conference committee negotiations between the House and Senate for the budget bill, HB 1001.

Anticipating this need, RIPEA testified on HB 1001 before Senate Appropriations on March 30, 2023.

If you know your state senator, please touch base with them to confirm their support for the 13th check. You are welcome to share any feedback you receive from legislators by emailing ripea@ripea.org or calling our office (317-789-0244).

The legislature is required to end the 2023 legislative session by April 29, 2023. It is expected that the 2023 session will wrap by Thursday, April 27, 2023.

2/15/23 - HB 1028, 13^th check bill with a $50.00 increase from the last 13^th check paid in 2020, passed unanimously by the House on February 14, 2023. The bill was referred to the Senate on February 15. The Senate can take action on the House bill as soon as the week of March 6. You can now thank your State Representative for their support and urge your State Senator to also support HB 1028.

The amounts of the 13^th check in HB 1028 are:

5-10 years of service – disability $200.00

10-20 years of service $325.00

20-30 years of service $425.00

30 years of service $500.00

2023 Legislative Report

Your RIPEA Board of Directors voted unanimously to ask the 2023 Legislature for a 13^th check with a $50 increase in each bracket. Rep. Bob Cherry is the author of HB 1028, which contains the 13^th check with a $50 increase, and Rep. Mike Karickhoff is the co-author.

RIPEA is grateful to Rep. Karickhoff for his tireless efforts in passing HB 1227 out of the House in 2021. The bill contained a 13^th check with a $50 increase. As a result of Rep. Karickhoff’s efforts, the bill passed the House with one dissenting vote. Unfortunately, the bill died in the Senate; as a result, PERF retirees received no increase in retirement income in 2021.

We encourage all members to contact their legislator(s) to support HB 1028. You will see in the newsletter a set of talking points that may help you in this effort.

In contacting your legislator(s) please do the following: personalize your comments to reflect how the loss of the 13^th check in 2021 affected you; be courteous and respectful to your legislator(s).

RIPEA appreciates all your efforts.

Talking Points on H.B. 1028

No 13^th check in 2021 or 2022.
Last increase in 13^th check was 2011.
PERF retirees received a 13^th check in 28 of the last 32 years.
The cost of a 13^th check with a $50 increase, as calculated by the Legislative Services Agency in 2021, was $67.3 million and the cost of the 1% COLA was $192 million.
Based on input from PERF retirees:
- The majority of RIPEA members prefer a 13^th check.
- Most retirees that contact our office tell us they use the 13^th check to pay outstanding bills, such as personal property tax, medical bills, home repair, etc.
The monthly defined benefit for 9,193 PERF retirees is $200 or less.*
The average monthly defined benefit is $693.*
71% of PERF retirees' monthly benefit is less than $800.*

Source – PERF 2020 Valuation Report

2022 Legislature

The Indiana Legislature adjourned Wednesday, March 9, 2022.

No 13th check again in 2022.

2021 Legislature

The state budget did not contain funding to continue the 13th check in 2021 or 2022. Instead, the budget funded a 1% Cost of Living Adjustment (COLA) that took effect beginning January 1, 2022. This outcome was unexpected, given the fact that earlier in the legislative session, the Indiana House of Representatives not only funded the 13th check in its version of the budget but passed HB 1227 giving retirees an additional $50 in their 13th check. The Indiana Senate’s opposition to the 13th check and vote to eliminate the 13th check and approve a 1% COLA beginning January 1, 2022 had a devasting impact for the majority of PERF retirees.

We are not alone in our disappointment with the elimination of the 13th check. I have already met with representatives of the Indiana Retired Teachers Association. They, too, are very concerned about the loss of the 13th check and want to work with us to try to find a way to get the 13th check reinstated as quickly as possible.

The 13th check you would have received if HB 1227 became law includes:

10-20 years of PERF service $325.00

20-30 years of PERF service $425.00

30+ years of PERF service $500.00

Included in this article is a template we suggest you use in writing a personal letter to your Legislators. If we are to have any chance to reinstate the 13th check, it is absolutely essential that your Legislators hear from you. Please use this template to tell a story about yourself – how long you worked as a public employee. Tell them how much you receive in benefits. Then explain how much your benefits have been reduced because of a 1% COLA substitution for the 13th check. If Legislators do not hear from you, they will simply assume that public employees are satisfied with the COLA instead of the 13th check.

If you don’t know the name of your State Senator or State Representative visit www.iga.in.gov . Click on “Find your Legislator” and enter your address. You may also call your County Clerk.

If we are to succeed, we need your help to do so. Please take a few minutes to write the letter. If you have any questions, please do not hesitate to call the RIPEA office for assistance.

TEMPLATE

May __, 2021

Dear Representative/Senator, Last Name;

My name is __________________, and I am a retired PERF employee

with_____years of public service who resides in your district.

State, why you oppose the Senate’s decision to eliminate this year’s 13th check.

Tell them how much less you’re receiving in benefits because of a 1% COLA

substitution for the 13th check.

Include a personal story. Tell you representative why the issue is important to

you and how it affects you, your family members, and PERF retirees.

Sincerely,

Sign your name

Print your name

Your Street Address

Your City, State, Zip Code