AN ACT to provide a transfer from the strategic investment and improvements fund to the public employees retirement system fund; and to provide for a statement of legislative intent.
Summary
HB 1234 directs the Office of Management and Budget to transfer $25 million from North Dakota’s strategic investment and improvements fund to the public employees retirement system (PERS) fund during the 2025-27 biennium. The money is earmarked to reduce the unfunded liability of the PERS main system defined benefit plan, which is the state retirement plan for public employees.
The bill also states legislative intent that the transferred $25 million, together with a projected $65 million deposit into the retirement fund under existing law, be used to lower the plan’s unfunded liability. It further expresses that these transfers are intended to substitute for charging state governmental units the additional actuarially determined employer contribution rate under existing PERS law during the biennium.
Impact
The bill affects state fiscal policy and retirement system funding rather than creating a new program or changing benefit formulas. It requires a one-time transfer from the strategic investment and improvements fund to the PERS fund and signals how those dollars should be used to reduce pension debt. It also references section 54-52-06 and section 57-51.1-07.5, indicating the transfer is meant to avoid an additional actuarially determined rate increase for state governmental units during the 2025-27 biennium.
Sentiment
The bill appears to have broad bipartisan support and little visible opposition. It passed the House and Senate with strong margins, including unanimous Senate second reading approval and a 91-0 House vote on the later House reading. The vote history suggests the measure was viewed favorably as a responsible funding action for the retirement system.
Contention
There is no recorded committee testimony or detailed floor debate in the provided materials, so no specific policy objections are documented. The only likely point of policy interest is the use of strategic investment and improvements fund dollars for pension liability reduction and the decision to use transfers in lieu of an additional employer contribution rate. That issue could matter to state agencies and local governmental units that would otherwise face higher retirement costs, but the bill’s vote totals indicate no significant recorded controversy.
AN ACT to provide a transfer from the strategic investment and improvements fund to the public employees retirement system fund; and to provide for a statement of legislative intent.
A transfer from the strategic investment and improvements fund to the clean sustainable energy fund; to provide a deficiency appropriation; to provide for a transfer; to provide an exemption; to provide for a legislative management study; to provide for a legislative management report; to provide for a report; to provide an effective date; and to declare an emergency.
AN ACT relating to public funds; repealing the strategic investments and projects account; providing for the transfer from and the reversion of funds from the strategic investments and projects account; making conforming amendments; amending the disposition of investment earnings and deposits as specified; repealing obsolete provisions; and providing for an effective date.
AN ACT relating to public funds; repealing the strategic investments and projects account; providing for the transfer from and the reversion of funds from the strategic investments and projects account; revising limits on budget recommendations; making conforming amendments; amending the disposition of investment earnings and deposits as specified; repealing obsolete provisions; and providing for an effective date.
Use of legislative rooms and halls and legislative compensation; to provide a statement of legislative intent; to provide for a report; to provide an exemption; and to provide for application, transfer, and cancellation of unexpended appropriations.