Tennessee House Bill HB0463

Tennessee 2025-2026 Regular Session

• Introduced: 1/28/25
• Refer: 2/5/25
• Refer: 3/12/25
• Refer: 3/26/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 3; Title 8, Chapter 27, Part 2; Title 8, Chapter 34; Title 8, Chapter 35 and Title 8, Chapter 36, relative to retirement benefits for members of the general assembly.

Summary

HB0463 revises retirement and post-retirement health benefits for members of the Tennessee General Assembly. For legislators who first became members on or after July 1, 2014, the bill requires the Board of Trustees to move their legislative service from the hybrid retirement plan to the legacy plan once they complete 10 years of service. It also requires the Office of Legislative Administration to notify the board when a member reaches that milestone. The bill further changes state retiree health coverage rules for legislators. It removes senators and representatives from a prior restriction on continuing coverage under the state employees group insurance plan, leaving that limitation to apply only to the governor and the governor’s dependents. In addition, it requires that retired senators and representatives who complete 10 years of legislative service on or after July 1, 2024, be eligible for retiree coverage and for the supplemental medical insurance benefit. The act takes effect July 1, 2025, and applies to qualifying members reaching 10 years of service on or after July 1, 2024.

Impact

The bill amends Tennessee Code Annotated provisions governing retirement systems and state employee health insurance, specifically sections in Titles 8 and related retirement/insurance statutes. It creates a mandatory conversion from the hybrid plan to the legacy plan for certain legislators after 10 years of service, expands eligibility for retiree health coverage and supplemental medical insurance for qualifying retired senators and representatives, and narrows an existing exclusion so it no longer applies to legislators. These changes affect the retirement system board, the Office of Legislative Administration, and current and future members of the General Assembly who meet the service threshold.

Sentiment

The available voting history suggests the bill was generally received favorably in committee, advancing 5-0 in the House Public Service Subcommittee and 20-1 in the House State & Local Government Committee. That pattern indicates broad support for the measure among committee members, with only limited opposition at the committee stage. No transcript discussion was provided, so the record here reflects committee votes rather than detailed debate.

Contention

The main point of contention appears to be the expansion of retirement and health benefits for legislators, particularly because the bill grants enhanced benefits to a defined class of public officials after 10 years of service. The bill also distinguishes between legislators and the governor by removing senators and representatives from the coverage restriction while leaving it in place for the governor and dependents, which could raise fairness or cost concerns. The lone no vote in the State & Local Government Committee suggests at least some concern about the fiscal impact or preferential treatment, though the specific objection is not documented in the provided materials.