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SD 588

An Act clarifying military buyback options

194th Legislature (2025-2026) Introduced by Paul McMurtry and 1 co-sponsor

Requires active, in-service application and completion of makeup payments for military service buyback before retirement, streamlining credits.

House concurred
0
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Bill Summary · SD 588

Summary: SD 588 — An Act clarifying military buyback options

A bill to clarify and streamline how military service buyback credit is earned and applied within Massachusetts retirement systems. It seeks to remove a specific paragraph from existing law and to require in-service application and makeup payments for eligible members, prior to the start of any retirement allowance.

Purpose and intent

  • Clarify and standardize options for purchasing creditable military service toward retirement.
  • Ensure that eligible members actively apply for and complete all required makeup payments while still in service, and before retirement benefits become effective.
  • Align longstanding provisions with current retirement system practices and reduce potential post-retirement adjustment issues.

Key provisions

1) Section 1 — Amendment to Chapter 71 (Acts of 1996, as amended by 2002)
- The bill would strike the second paragraph of Section 3 of Chapter 71 (as amended by Chapter 468 of the Acts of 2002).
- Effect: Removes a specific paragraph in the existing statute related to military buyback provisions. The exact policy impact depends on the content of that paragraph, but the change is intended to alter how military service can be credited under the statute.

2) Section 2 — Amendment to Chapter 32, General Laws
- Adds a sentence to Paragraph (h) of subdivision (1) of section 4, specifying:
“Members in service of a retirement system eligible for such creditable service under this paragraph shall make application for such creditable service and complete all makeup payments while a member in service and before the date any retirement allowance becomes effective.”
- Effect: Requires active, in-service application for creditable military service and completion of any required makeup payments before retirement begins.

Who is affected

  • Members of Massachusetts retirement systems who are eligible to receive credit for military service (i.e., creditable service) and seek to buy back such time.
  • Retirement boards, administrators, and other personnel responsible for processing military buyback applications and makeup payments.

Procedural and timeline aspects

  • Filed: January 14, 2025
  • Introduced: February 27, 2025
  • Legislative status: Referred to the Senate committee on Public Service on February 27, 2025; House concurred (indicating alignment with Senate action). The bill has prior related consideration in a previous session (Senate No. 1731 of 2023-2024).
  • Next steps: If the House concurrence is finalized and the governor signs, the act would become law. Timing depends on final enactment and any required gubernatorial action.

Practical implications and considerations

  • By requiring in-service application and makeup payments, the bill aims to reduce post-employment adjustments and ensure timely processing of creditable service.
  • Removing the second paragraph of the cited Section 3 may adjust existing rules about how military buyback is initiated or credited; the exact impact depends on what that paragraph previously stipulated.
  • The change emphasizes proactive participation by members and may streamline retirement calculations once benefits commence.

Notes: This is a proposed measure in the 2025-2026 General Court and reflects ongoing interest in clarifying military buyback options.

Compiled from official sources — confirm details with the bill’s official record.

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