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HB 2117

Pensions and Retirement Benefits - As introduced, increases the employer contribution under the hybrid retirement plan from 5 percent to 10 percent for current members of the general assembly who have 10 years of creditable service on or after July 1, 2026. - Amends TCA Section 8-36-916.

114th Regular Session (2025-2026) Introduced by John Crawford

Increases employer pension contributions for current Tennessee legislators from 5% to 10%, raising state retirement costs for sitting assembly members with 10+ years of service.

Rec. for pass by s/c ref. to State & Local Government Committee
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Bill Summary · HB 2117

Legislative bill overview

HB 2117 would increase the employer pension contribution rate for current Tennessee General Assembly members from 5% to 10% of salary under the hybrid retirement plan, effective July 1, 2026. The increase applies only to legislators with 10 or more years of creditable service at that time.

Why is this important

This directly affects retirement benefits for sitting legislators, potentially increasing their long-term pension payouts significantly. It also impacts state budget allocations, as the employer contribution increase represents additional public funds directed toward legislative retirement benefits rather than other state services.

Potential points of contention

  • Self-dealing concerns: Legislators voting to increase their own retirement benefits raises ethical questions about conflicts of interest and self-enrichment through lawmaking
  • Budget impact: The doubled contribution rate increases state spending on legislative pensions without clear justification or fiscal analysis presented in the bill description
  • Retroactive application: Applying enhanced benefits to current members (rather than only prospective members) costs more and raises fairness questions about unequal treatment of public employees
  • Selective eligibility: The 10-year service threshold means benefits are unequally distributed among current legislators based on tenure

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

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