Law enforcement officers and firefighters; certain shall receive one additional year of creditable services in PERS for every 5 years of service.

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To: State Affairs;
Appropriations A
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative McMillan

HOUSE BILL NO. 963

AN ACT TO AMEND SECTION 25-11-109, MISSISSIPPI CODE OF 1972, 1
TO PROVIDE FOR A FIRST RESPONDERS RETIREMENT INCENTIVE UNDER WHICH 2
LAW ENFORCEMENT OFFICERS AND FIREFIGHTERS WHO BECAME MEMBERS OF 3
THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM ON OR AFTER JULY 1, 2011, 4
AND WHO HAVE AT LEAST FOUR YEARS OF MEMBERSHIP SERVICE CREDIT 5
SHALL BE ENTITLED TO RECEIVE ONE ADDITIONAL YEAR OF CREDITABLE 6
SERVICE FOR EVERY FIVE YEARS OF SERVICE AS A FIRST RESPONDER IN 7
THE STATE OF MISSISSIPPI, AT NO COST TO THE MEMBER; TO AMEND 8
SECTION 25-11-127, MISSISSIPPI CODE OF 1972, TO AUTHORIZE RETIRED 9
MEMBERS OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM TO BE EMPLOYED 10
AS A LAW ENFORCEMENT OFFICER WITH A LAW ENFORCEMENT DEPARTMENT 11
THAT HAS A CRITICAL NEED FOR OR SHORTAGE OF LAW ENFORCEMENT 12
OFFICERS AND DRAW THE FULL AMOUNT OF THE RETIREMENT ALLOWANCE, 13
DURING WHICH TIME THE RETIREE MAY WORK THE FULL NUMBER OF NORMAL 14
WORKING DAYS FOR THE POSITION AND RECEIVE THE FULL AMOUNT OF THE 15
SALARY IN EFFECT FOR THE POSITION AT THE TIME OF EMPLOYMENT; AND 16
FOR RELATED PURPOSES. 17
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 18
SECTION 1. Section 25-11-109, Mississippi Code of 1972, is 19
amended as follows: 20
25-11-109. (1) Under such rules and regulations as the 21
board of trustees shall adopt, each person who becomes a member of 22
this retirement system, as provided in Section 25-11-105, on or 23
before July 1, 1953, or who became a member of the system before 24
July 1, 2007, and contributes to the system for a minimum period 25
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of four (4) years, or who became a member of the system on or 26
after July 1, 2007, and contributes to the system for a minimum 27
period of eight (8) years, shall receive credit for all state 28
service rendered before February 1, 1953. To receive that credit, 29
the member shall file a detailed statement of all services as an 30
employee rendered by him in the state service before February 1, 31
1953. For any member who joined the system after July 1, 1953, 32
and before July 1, 2007, any creditable service for which the 33
member is not required to make contributions shall not be credited 34
to the member until the member has contributed to the system for a 35
minimum period of at least four (4) years. For any member who 36
joined the system on or after July 1, 2007, but before March 1, 37
2026, any creditable service for which the member is not required 38
to make contributions shall not be credited to the member until 39
the member has contributed to the system for a minimum period of 40
at least eight (8) years. 41
(2) (a) (i) In the computation of creditable service for 42
service rendered before July 1, 2017, under the provisions of this 43
article, the total months of accumulative service during any 44
fiscal year shall be calculated in accordance with the schedule as 45
follows: ten (10) or more months of creditable service during any 46
fiscal year shall constitute a year of creditable service; seven 47
(7) months to nine (9) months inclusive, three-quarters (3/4) of a 48
year of creditable service; four (4) months to six (6) months 49
inclusive, one-half (1/2) year of creditable service; one (1) 50
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month to three (3) months inclusive, one-quarter (1/4) of a year 51
of creditable service. 52
(ii) In the computation of creditable service 53
rendered on or after July 1, 2017, under the provisions of this 54
article, service credit shall be awarded in monthly increments in 55
a manner prescribed by regulations of the board. 56
(b) In no case shall credit be allowed for any period 57
of absence without compensation except for disability while in 58
receipt of a disability retirement allowance, nor shall less than 59
fifteen (15) days of service in any month, or service less than 60
the equivalent of one-half (1/2) of the normal working load for 61
the position and less than one-half (1/2) of the normal 62
compensation for the position in any month, constitute a month of 63
creditable service, nor shall more than one (1) year of service be 64
creditable for all services rendered in any one (1) fiscal year; 65
however, for a school employee, substantial completion of the 66
legal school term when and where the service was rendered shall 67
constitute a year of service credit. Any state or local elected 68
official shall be deemed a full-time employee for the purpose of 69
creditable service. However, an appointed or elected official 70
compensated on a per diem basis only shall not be allowed 71
creditable service for terms of office. 72
(c) In the computation of any retirement allowance or 73
any annuity or benefits provided in this article, any fractional 74
period of service of less than one (1) year shall be taken into 75
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account and a proportionate amount of such retirement allowance, 76
annuity or benefit shall be granted for any such fractional period 77
of service. 78
(d) (i) In the computation of unused leave for 79
creditable service authorized in Section 25-11-103, the following 80
shall govern for members who retire before July 1, 2017: 81
twenty-one (21) days of unused leave shall constitute one (1) 82
month of creditable service and in no case shall credit be allowed 83
for any period of unused leave of less than fifteen (15) days. 84
The number of months of unused leave shall determine the number of 85
quarters or years of creditable service in accordance with the 86
above schedule for membership and prior service. 87
(ii) In the computation of unused leave for 88
creditable service authorized in Section 25-11-103, the following 89
shall govern for members who retire on or after July 1, 2017: 90
creditable service for unused leave shall be calculated in monthly 91
increments in which one (1) month of service credit shall be 92
awarded for each twenty-one (21) days of unused leave, except that 93
the first fifteen (15) to fifty-seven (57) days of leave shall 94
constitute three (3) months of service for those who became a 95
member of the system before July 1, 2017. 96
(iii) In order for the member to receive 97
creditable service for the number of days of unused leave under 98
this paragraph, the system must receive certification from the 99
governing authority. 100
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(iv) For anyone who becomes a member of the system 101
on or after March 1, 2026, no service credit shall be awarded for 102
unused leave. 103
(e) For the purposes of this subsection, members of the 104
system who retire on or after July 1, 2010, shall receive credit 105
for one-half (1/2) day of leave for each full year of membership 106
service accrued after June 30, 2010. The amount of leave received 107
by a member under this paragraph shall be added to the lawfully 108
credited unused leave for which creditable service is provided 109
under Section 25-11-103(i). 110
(f) For the purpose of this subsection, for members of 111
the system who are elected officers and who retire on or after 112
July 1, 1987, the following shall govern: 113
(i) For service before July 1, 1984, the members 114
shall receive credit for leave (combined personal and major 115
medical) for service as an elected official before that date at 116
the rate of thirty (30) days per year. 117
(ii) For service on and after July 1, 1984, the 118
member shall receive credit for personal and major medical leave 119
beginning July 1, 1984, at the rates authorized in Sections 120
25-3-93 and 25-3-95, computed as a full-time employee. 121
(iii) If a member is employed in a covered 122
nonelected position and a covered elected position simultaneously, 123
that member may not receive service credit for accumulated unused 124
leave for both positions at retirement for the period during which 125
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the member was dually employed. During the period during which 126
the member is dually employed, the member shall only receive 127
credit for leave as provided for in this paragraph for an elected 128
official. 129
(iv) For any elected official who becomes a member 130
of the system on or after March 1, 2026, no service credit shall 131
be awarded for leave. 132
(3) Subject to the above restrictions and to such other 133
rules and regulations as the board may adopt, the board shall 134
verify, as soon as practicable after the filing of such statements 135
of service, the services therein claimed. 136
(4) Upon verification of the statement of prior service, the 137
board shall issue a prior service certificate certifying to each 138
member the length of prior service for which credit shall have 139
been allowed on the basis of his statement of service. So long as 140
membership continues, a prior service certificate shall be final 141
and conclusive for retirement purposes as to such service, 142
provided that any member may within five (5) years from the date 143
of issuance or modification of such certificate request the board 144
of trustees to modify or correct his prior service certificate. 145
Any modification or correction authorized shall only apply 146
prospectively. 147
When membership ceases, such prior service certificates shall 148
become void. Should the employee again become a member, he shall 149
enter the system as an employee not entitled to prior service 150
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credit except as provided in Sections 25-11-105(I), 25-11-113 and 151
25-11-117. 152
(5) Creditable service at retirement, on which the 153
retirement allowance of a member shall be based, shall consist of 154
the membership service rendered by him since he last became a 155
member, and also, if he has a prior service certificate that is in 156
full force and effect, the amount of the service certified on his 157
prior service certificate. 158
(6) Any member who served on active duty in the Armed Forces 159
of the United States, who served in the Commissioned Corps of the 160
United States Public Health Service before 1972 or who served in 161
maritime service during periods of hostility in World War II, 162
shall be entitled to creditable service at no cost for his service 163
on active duty in the Armed Forces, in the Commissioned Corps of 164
the United States Public Health Service before 1972 or in such 165
maritime service, provided he entered state service after his 166
discharge from the Armed Forces or entered state service after he 167
completed such maritime service. The maximum period for such 168
creditable service for all military service as defined in this 169
subsection (6) shall not exceed four (4) years unless positive 170
proof can be furnished by such person that he was retained in the 171
Armed Forces during World War II or in maritime service during 172
World War II by causes beyond his control and without opportunity 173
of discharge. The member shall furnish proof satisfactory to the 174
board of trustees of certification of military service or maritime 175
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service records showing dates of entrance into active duty service 176
and the date of discharge. From and after July 1, 1993, no 177
creditable service shall be granted for any military service or 178
maritime service to a member who qualifies for a retirement 179
allowance in another public retirement system administered by the 180
Board of Trustees of the Public Employees' Retirement System 181
based, in whole or in part, on such military or maritime service. 182
In no case shall the member receive creditable service if the 183
member received a dishonorable discharge from the Armed Forces of 184
the United States. 185
(7) (a) Any member of the Public Employees' Retirement 186
System whose membership service is interrupted as a result of 187
qualified military service within the meaning of Section 414(u)(5) 188
of the Internal Revenue Code, and who has received the maximum 189
service credit available under subsection (6) of this section, 190
shall receive creditable service for the period of qualified 191
military service that does not qualify as creditable service under 192
subsection (6) of this section upon reentering membership service 193
in an amount not to exceed five (5) years if: 194
(i) The member pays the contributions he would 195
have made to the retirement system if he had remained in 196
membership service for the period of qualified military service 197
based upon his salary at the time his membership service was 198
interrupted; 199
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(ii) The member returns to membership service 200
within ninety (90) days of the end of his qualified military 201
service; and 202
(iii) The employer at the time the member's 203
service was interrupted and to which employment the member returns 204
pays the contributions it would have made into the retirement 205
system for such period based on the member's salary at the time 206
the service was interrupted. 207
(b) The payments required to be made in paragraph 208
(a)(i) of this subsection may be made over a period beginning with 209
the date of return to membership service and not exceeding three 210
(3) times the member's qualified military service; however, in no 211
event shall such period exceed five (5) years. 212
(c) The member shall furnish proof satisfactory to the 213
board of trustees of certification of military service showing 214
dates of entrance into qualified service and the date of discharge 215
as well as proof that the member has returned to active employment 216
within the time specified. 217
(8) Any member of the Public Employees' Retirement System 218
who became a member of the system before July 1, 2007, and who has 219
at least four (4) years of membership service credit, or who 220
became a member of the system on or after July 1, 2007, but before 221
March 1, 2026, and who has at least eight (8) years of membership 222
service credit, shall be entitled to receive a maximum of five (5) 223
years' creditable service for service rendered in another state as 224
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a public employee of such other state, or a political subdivision, 225
public education system or other governmental instrumentality 226
thereof, or service rendered as a teacher in American overseas 227
dependent schools conducted by the Armed Forces of the United 228
States for children of citizens of the United States residing in 229
areas outside the continental United States, provided that: 230
(a) The member shall furnish proof satisfactory to the 231
board of trustees of certification of such services from the 232
state, public education system, political subdivision or 233
retirement system of the state where the services were performed 234
or the governing entity of the American overseas dependent school 235
where the services were performed; and 236
(b) The member is not receiving or will not be entitled 237
to receive from the public retirement system of the other state or 238
from any other retirement plan, including optional retirement 239
plans, sponsored by the employer, a retirement allowance including 240
such services; and 241
(c) The member shall pay to the retirement system on 242
the date he or she is eligible for credit for such out-of-state 243
service or at any time thereafter before the date of retirement 244
the actuarial cost as determined by the actuary for each year of 245
out-of-state creditable service. The provisions of this 246
subsection are subject to the limitations of Section 415 of the 247
Internal Revenue Code and regulations promulgated under that 248
section. 249
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(9) Any member of the Public Employees' Retirement System 250
who became a member of the system before July 1, 2007, and has at 251
least four (4) years of membership service credit, or who became a 252
member of the system on or after July 1, 2007, but before March 1, 253
2026, and has at least eight (8) years of membership service 254
credit, and who receives, or has received, professional leave 255
without compensation for professional purposes directly related to 256
the employment in state service shall receive creditable service 257
for the period of professional leave without compensation 258
provided: 259
(a) The professional leave is performed with a public 260
institution or public agency of this state, or another state or 261
federal agency; 262
(b) The employer approves the professional leave 263
showing the reason for granting the leave and makes a 264
determination that the professional leave will benefit the 265
employee and employer; 266
(c) Such professional leave shall not exceed two (2) 267
years during any ten-year period of state service; 268
(d) The employee shall serve the employer on a 269
full-time basis for a period of time equivalent to the 270
professional leave period granted immediately following the 271
termination of the leave period; 272
(e) The contributing member shall pay to the retirement 273
system the actuarial cost as determined by the actuary for each 274
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year of professional leave. The provisions of this subsection are 275
subject to the regulations of the Internal Revenue Code 276
limitations; 277
(f) Such other rules and regulations consistent 278
herewith as the board may adopt and in case of question, the board 279
shall have final power to decide the questions. 280
Any actively contributing member participating in the School 281
Administrator Sabbatical Program established in Section 37-9-77 282
shall qualify for continued participation under this subsection 283
(9). 284
(10) Any member of the Public Employees' Retirement System 285
who became a member of the system before July 1, 2007, and has at 286
least four (4) years of credited membership service, or who became 287
a member of the system on or after July 1, 2007, but before March 288
1, 2026, and has at least eight (8) years of credited membership 289
service, shall be entitled to receive a maximum of ten (10) years 290
creditable service for: 291
(a) Any service rendered as an employee of any 292
political subdivision of this state, or any instrumentality 293
thereof, that does not participate in the Public Employees' 294
Retirement System; or 295
(b) Any service rendered as an employee of any 296
political subdivision of this state, or any instrumentality 297
thereof, that participates in the Public Employees' Retirement 298
System but did not elect retroactive coverage; or 299
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(c) Any service rendered as an employee of any 300
political subdivision of this state, or any instrumentality 301
thereof, for which coverage of the employee's position was or is 302
excluded; provided that the member pays into the retirement system 303
the actuarial cost as determined by the actuary for each year, or 304
portion thereof, of such service. After a member has made full 305
payment to the retirement system for all or any part of such 306
service, the member shall receive creditable service for the 307
period of such service for which full payment has been made to the 308
retirement system. 309
(11) This subsection shall be known as the First Responders 310
Retirement Incentive. Any member who is a first responder as 311
defined in Section 25-15-403, who became a member of the system on 312
or after July 1, 2011, and who has at least four (4) years of 313
membership service credit shall be entitled to receive one (1) 314
additional year of creditable service for every five (5) years of 315
service as a first responder in the State of Mississippi, at no 316
cost to the member. However, in order for a member to use any of 317
the creditable service provided under this subsection in order to 318
have the minimum number of years of creditable service for 319
retirement, the member must be in good standing and not have any 320
felony convictions at the time of retirement. 321
SECTION 2. Section 25-11-127, Mississippi Code of 1972, is 322
amended as follows: 323
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25-11-127. (1) (a) No person who is being paid a 324
retirement allowance or a pension after retirement under this 325
article shall be employed or paid for any service by the State of 326
Mississippi, including services as an employee, contract worker, 327
contractual employee or independent contractor, until the retired 328
person has been retired for not less than ninety (90) consecutive 329
days from his or her effective date of retirement. After the 330
person has been retired for not less than ninety (90) consecutive 331
days from his or her effective date of retirement or such later 332
date as established by the board, he or she may be reemployed 333
while being paid a retirement allowance under the terms and 334
conditions provided in this section or in Section 25-11-126. 335
(b) No retiree of this retirement system who is 336
reemployed or is reelected to office after retirement shall 337
continue to draw retirement benefits while so reemployed, except 338
as provided in this section or in Section 25-11-126. 339
(c) No person employed or elected under the exceptions 340
provided for in this section shall become a member under Article 3 341
of the retirement system. 342
(2) Except as otherwise provided in Section 25-11-126, any 343
person who has been retired under the provisions of Article 3 and 344
who is later reemployed in service covered by this article shall 345
cease to receive benefits under this article and shall again 346
become a contributing member of the retirement system. When the 347
person retires again, if the reemployment exceeds six (6) months, 348
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the person shall have his or her benefit recomputed, including 349
service after again becoming a member, provided that the total 350
retirement allowance paid to the retired member in his or her 351
previous retirement shall be deducted from the member's retirement 352
reserve and taken into consideration in recalculating the 353
retirement allowance under a new option selected. 354
(3) The board shall have the right to prescribe rules and 355
regulations for carrying out the provisions of this section. 356
(4) The provisions of this section shall not be construed to 357
prohibit any retiree, regardless of age, from being employed and 358
drawing a retirement allowance either: 359
(a) For a period of time not to exceed one-half (1/2) 360
of the normal working days for the position in any fiscal year 361
during which the retiree will receive no more than one-half (1/2) 362
of the salary in effect for the position at the time of 363
employment, or 364
(b) For a period of time in any fiscal year sufficient 365
in length to permit a retiree to earn not in excess of twenty-five 366
percent (25%) of retiree's average compensation. 367
To determine the normal working days for a position under 368
paragraph (a) of this subsection, the employer shall determine the 369
required number of working days for the position on a full-time 370
basis and the equivalent number of hours representing the 371
full-time position. The retiree then may work up to one-half 372
(1/2) of the required number of working days or up to one-half 373
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(1/2) of the equivalent number of hours and receive up to one-half 374
(1/2) of the salary for the position. In the case of employment 375
with multiple employers, the limitation shall equal one-half (1/2) 376
of the number of days or hours for a single full-time position. 377
Notice shall be given in writing to the executive director, 378
setting forth the facts upon which the employment is being made, 379
and the notice shall be given within five (5) days from the date 380
of employment and also from the date of termination of the 381
employment. 382
(5) The provisions of this section shall not be construed to 383
prohibit any retiree, regardless of age, from being employed as a 384
law enforcement officer with a law enforcement department that has 385
a critical need for or shortage of law enforcement officers and 386
drawing the full amount of the retiree's retirement allowance, 387
during which time the retiree may work the full number of normal 388
working days for the position and receive the full amount of the 389
salary in effect for the position at the time of employment. 390
Before a retiree may be employed by a law enforcement department 391
under this subsection, the department must provide satisfactory 392
evidence with quantifiable numbers to the Public Employees' 393
Retirement System of the existence of a critical need for or 394
shortage of law enforcement officers in the department. For the 395
purposes of this subsection, "law enforcement officer" means any 396
person who has met the minimum educational and training standards 397
established by the Board on Law Enforcement Officer Standards and 398
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Training for permanent, full-time law enforcement officers and has 399
received a certificate from that board. 400
(6) Except as otherwise provided in subsection ( * * *7) of 401
this section, the employer of any person who is receiving a 402
retirement allowance and who is employed in service covered by 403
subsection (4) or (5) of this section as an employee or a 404
contractual employee shall pay to the board the full amount of the 405
employer's contribution on the amount of compensation received by 406
the retiree for his or her employment in accordance with 407
regulations prescribed by the board. The retiree shall not 408
receive any additional creditable service in the retirement system 409
as a result of the payment of the employer's contribution. This 410
subsection does not apply to persons who are receiving a 411
retirement allowance and who contract with an employer to provide 412
services as a true independent contractor, as defined by the board 413
through regulation. 414
( * * *7) (a) A member may retire and continue in municipal 415
or county elective office provided that the member has reached the 416
age and/or service requirement that will not result in a 417
prohibited in-service distribution as defined by the Internal 418
Revenue Service, or a retiree may be elected to a municipal or 419
county office, provided that the person: 420
(i) Files annually, in writing, in the office of 421
the employer and the office of the executive director of the 422
system before the person takes office or as soon as possible after 423
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retirement, a waiver of all salary or compensation and elects to 424
receive in lieu of that salary or compensation a retirement 425
allowance as provided in this section, in which event no salary or 426
compensation shall thereafter be due or payable for those 427
services; however, any such officer or employee may receive, in 428
addition to the retirement allowance, office expense allowance, 429
mileage or travel expense authorized by any statute of the State 430
of Mississippi; or 431
(ii) Elects to receive compensation for that 432
elective office in an amount not to exceed twenty-five percent 433
(25%) of the retiree's average compensation. In order to receive 434
compensation as allowed in this subparagraph, the retiree shall 435
file annually, in writing, in the office of the employer and the 436
office of the executive director of the system, an election to 437
receive, in addition to a retirement allowance, compensation as 438
allowed in this subparagraph. 439
(b) The municipality or county in which the retired 440
person holds elective office shall pay to the board the amount of 441
the employer's contributions on the full amount of the regular 442
compensation for the elective office that the retired person 443
holds. 444
(c) As used in this subsection, the term "compensation" 445
does not include office expense allowance, mileage or travel 446
expense authorized by a statute of the State of Mississippi. 447
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ST: Law enforcement officers and firefighters;
certain shall receive one additional year of
creditable services in PERS for every 5 years of
service.
( * * *8) Any retired teacher who returns to work in 448
accordance with this section shall not be eligible to return to 449
work under the provisions of Section 25-11-126. 450
SECTION 3. This act shall take effect and be in force from 451
and after July 1, 2026. 452