Pension Update

This session the Legislature passed Bills that affect MNPEA members.

For our P&F and Correctional Plan members:

Article 2: Public Employees Retirement Association (PERA)

  • P&F Plan: Eliminates one-year waiting period for COLAs in the Police and Fire Plan
    o New direct state aid of $8M (Article 2, Section 1, page 8)
    o Expires July 1, 2042
  • Correctional Plan: reduces employee contribution from 6.83 to 6% of pay, reduces employer
    contributions from 10.25 to 9% of pay; and raises cap on COLAs from 2.5 to 3%

For 911 Dispatch and Probation, you now have your own pension and 60 year old retirement:

Article 4: Probation and Telecommunicator Retirement subplan of the MSRS General State Employees
Retirement Plan

  • New special coverage that features full retirement at age 60, paid for with increased employee
    contributions of 2.71% of pay (8.71% total) and increased employer contribution of 2% of pay
  • Probation officers and telecommunicators age 60+ on January 1, 2027, stay in the General Plan
  • Appropriations from the general fund for the 2% ER contribution increase (Article 4, Section 6,
    page 27)
    o DOC: year 1 $272,000, next biennium $545,000
    o DPS: year 1 $14,000, next biennium $29,000
    o Met Council: year 1 $40,000, next biennium $80,000
  • Appropriation from the trunk highway fund to DPS: year 1 $7,000, next biennium $14,000
  • See article 6 for temporary (20 month) reduction in employee contributions

For more information see the 2026 Omnibus Bill and Pension Summary.

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