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HF 4724

Shorter vesting schedules phased in for defined contribution and defined benefit firefighters relief associations.

2025-2026 Regular Session Introduced by Pete Johnson and 1 co-sponsor

HF 4724 would shorten vesting periods for Minnesota firefighters relief associations (DC and DB) via a phased timeline to accelerate full vesting.

Author added Rehrauer
#fireandfirefighters #retirement-publicandstateemployees
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Bill Summary · HF 4724

Summary of HF 4724 (Session 2025-2026) — Minnesota

Title

Shorter vesting schedules phased in for defined contribution and defined benefit firefighters relief associations.

Purpose and intent

HF 4724 proposes to shorten the vesting periods for members of firefighters relief associations organized as either defined contribution (DC) or defined benefit (DB) plans. The measure aims to accelerate the point at which firefighters become fully vested in their retirement benefits, thereby increasing early access to employer/employee contributions and benefits for long-serving firefighters. The bill envisions a phased implementation schedule to transition from longer to shorter vesting timelines over a specified period.

Key provisions and changes

  • Vesting schedule changes: The bill adjusts how long a firefighter must serve before becoming fully vested in the retirement benefits of the relief association. The exact vesting periods (e.g., years of service required for 100% vesting) and the pace of the phased implementation are specified in the bill’s text (not provided here). The core concept is that vesting would occur more quickly than under current law.

  • Applicability to plan types: The reform applies to both:

    • Defined contribution (DC) firefighters relief associations
    • Defined benefit (DB) firefighters relief associations

  • Phased implementation: The changes are not immediate for all members; the bill calls for a gradual transition over multiple years. This phased approach is intended to allow plans to adjust administrative processes and trustees to manage funding and benefits in light of the faster vesting timelines.

  • Administration and governance: As with most changes to relief associations, the bill likely addresses how vesting computations are performed, how credits are earned, and how vested rights are maintained in the event of plan amendments, mergers, or dissolution. It may also reference ministerial duties for the relief associations’ boards or the office overseeing firefighter relief plans.

  • Effective date: The bill specifies when the new vesting schedules would take effect and how the phased schedule progresses, though the precise dates are defined in the bill text.

Who is affected

  • Firefighters and plan participants in Minnesota who are members of DC or DB firefighters relief associations.
  • Relief associations’ boards and administrators responsible for managing vesting computations, member accounts, and benefit accruals.
  • Municipalities and employers sponsoring or contributing to these relief associations, as changes to vesting can influence funding needs and retirement benefit planning.

Procedural and timeline aspects

  • Introduced and referred: The bill was introduced and referred to the State Government Finance and Policy committee for consideration.
  • Actions: As of the latest update, an author addition occurred on 2026-04-07 (Rep. Rehrauer added as author). The initial action on 2026-03-26 indicates first reading and referral to the committee.
  • Next steps: If advanced, the bill would proceed through committee hearings, potential amendments, and floor votes in the House, then similar consideration in the Senate, before any potential conference committee and final passage.

Notes for readers

  • Specific numerical details (exact vesting years, the phased schedule timeline, and any dollar or actuarial implications) require consulting the full bill text. The summary reflects the bill’s general objective to shorten vesting periods for DC and DB firefighter relief associations through a phased approach.
  • The bill is in the early stages of consideration; outcomes depend on committee action and legislative negotiations.

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

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