A bill for an act relating to benefits and contributions for members of the Iowa public employees’ retirement system who are employed in a protection occupation. (Formerly HF 967 , HSB 265 .) Effective date: 07/01/2026

House

File

1023

-

Enrolled

House

File

1023

AN

ACT

RELATING

TO

BENEFITS

AND

CONTRIBUTIONS

FOR

MEMBERS

OF

THE

IOWA

PUBLIC

EMPLOYEES’

RETIREMENT

SYSTEM

WHO

ARE

EMPLOYED

IN

A

PROTECTION

OCCUPATION.

BE

IT

ENACTED

BY

THE

GENERAL

ASSEMBLY

OF

THE

STATE

OF

IOWA:

Section

1.

Section

97B.11,

subsection

3,

paragraph

b,

subparagraphs

(1)

and

(2),

Code

2026,

are

amended

to

read

as

follows:

(1)

“Applicable

employee

percentage”

means

,

for

the

fiscal

year

beginning

July

1,

2011,

through

the

fiscal

year

beginning

July

1,

2025,

the

percentage

rate

equal

to

forty

percent

of

the

required

contribution

rate

for

members

described

in

section

97B.49B

.

For

the

fiscal

year

beginning

July

1,

2026,

and

for

each

fiscal

year

thereafter,

“applicable

employee

percentage”

means

the

percentage

rate

equal

to

fifty

percent

of

the

required

contribution

rate

for

members

described

in

section

97B.49B.

For

the

fiscal

year

beginning

July

1,

2025,

and

for

each

fiscal

year

thereafter,

the

system

shall

increase

the

applicable

employee

percentage

calculated

under

this

subparagraph

for

that

fiscal

year

by

one

hundred

twenty-five

thousandths

of

one

percent.

(2)

“Applicable

employer

percentage”

means

,

for

the

fiscal

year

beginning

July

1,

2011,

through

the

fiscal

year

beginning

July

1,

2025,

the

percentage

rate

equal

to

sixty

percent

of

the

required

contribution

rate

for

members

described

in

section

97B.49B

.

For

the

fiscal

year

beginning

July

1,

2026,

House

File

1023,

p.

2

and

for

each

fiscal

year

thereafter,

“applicable

employer

percentage”

means

the

percentage

rate

equal

to

fifty

percent

of

the

required

contribution

rate

for

members

described

in

section

97B.49B.

For

the

fiscal

year

beginning

July

1,

2025,

and

for

each

fiscal

year

thereafter,

the

system

shall

decrease

the

applicable

employer

percentage

calculated

under

this

subparagraph

for

that

fiscal

year

by

one

hundred

twenty-five

thousandths

of

one

percent.

Sec.

2.

Section

97B.49B,

subsection

1,

paragraph

a,

subparagraph

(6),

Code

2026,

is

amended

to

read

as

follows:

(6)

For

each

active

or

inactive

vested

member

retiring

on

or

after

July

1,

2003,

and

before

July

1,

2026,

sixty

percent

plus,

if

applicable,

an

additional

three-eighths

of

one

percentage

point

for

each

additional

calendar

quarter

of

eligible

service

beyond

twenty-two

years

of

service

for

the

member

,

not

to

exceed

a

total

of

twelve

additional

percentage

points.

Sec.

3.

Section

97B.49B,

subsection

1,

paragraph

a,

Code

2026,

is

amended

by

adding

the

following

new

subparagraph:

NEW

SUBPARAGRAPH

.

(7)

For

each

active

or

inactive

vested

member

retiring

on

or

after

July

1,

2026,

sixty

percent

plus,

if

applicable,

an

additional

five-eighths

of

one

percentage

point

for

each

additional

calendar

quarter

of

eligible

service

beyond

twenty-two

years

of

service,

not

to

exceed

a

total

of

twenty

additional

percentage

points.

Sec.

4.

Section

97B.49B,

Code

2026,

is

amended

by

adding

the

following

new

subsection:

NEW

SUBSECTION

.

5.

Annual

adjustment

of

allowance.

A

member

who

retires

from

employment

in

a

protection

occupation

on

or

after

July

1,

2026,

and

who

receives

a

monthly

retirement

allowance

under

this

section,

shall

have

the

monthly

retirement

allowance

adjusted

as

follows:

a.

On

each

July

1,

the

monthly

retirement

allowance

authorized

in

this

section

and

payable

to

a

member

retired

prior

to

that

date,

and

to

a

beneficiary

or

contingent

annuitant

entitled

to

a

monthly

retirement

allowance

prior

to

that

date,

shall

be

adjusted

by

adding

to

the

monthly

retirement

allowance

payable

on

that

date

an

amount

equal

to

House

File

1023,

p.

3

the

sum

of

one

and

one-half

percent

of

the

monthly

retirement

allowance

payable

on

that

date.

b.

A

retired

member,

beneficiary,

or

contingent

annuitant

shall

not

be

eligible

for

an

annual

readjustment

of

allowance

provided

in

this

subsection

unless

the

member

has

twenty-two

years

of

eligible

service

and

attained

the

age

of

fifty-five

years

prior

to

the

member’s

termination

of

employment.

c.

A

retired

member,

beneficiary,

or

contingent

annuitant

that

receives

an

annual

adjustment

of

allowance

provided

in

this

subsection

shall

not

be

eligible

for

the

retirement

dividends

under

section

97B.49F.

______________________________

PAT

GRASSLEY

Speaker

of

the

House

______________________________

AMY

SINCLAIR

President

of

the

Senate

I

hereby

certify

that

this

bill

originated

in

the

House

and

is

known

as

House

File

1023,

Ninety-first

General

Assembly.

______________________________

MEGHAN

NELSON

Chief

Clerk

of

the

House

Approved

_______________,

2026

______________________________

KIM

REYNOLDS

Governor