The LPCR held its first meeting of the legislative session on March 11th. It called itself to order and the State’s pension managers made reports. The State Board of Investment had a return of 12.3% through the end of the last fiscal year ending in June. This brings value of the assets of the general employee fund to slightly over $18 billion which, balanced against future liabilities, means that the MSRS fund is 99.8% funded. In the last legislative session, the future assumed rate of return was reduced to 7% to account for potential future volatility in the market and to err on to a ... Read More >>
Newsletters
Potential Effects of Federal Actions
Senior leadership at the State of Minnesota, from Minnesota Management and Budget down through the agencies that MGEC members work for, are all reacting and planning for changes that may occur at the federal level. While there haven’t been any significant actions that have a direct effect on the MGEC as of the time of this writing similar to what federal employees have experienced, State agencies have been directed by MMB to begin conversations with State Unions about potential ramifications through the “meet and confer” model. This is similar to what happened when COVID disrupted state ... Read More >>
Health Plan Changes for Employees Who Have Divorced With Former Spouses and Children on Their Insurance
The Minnesota office of Management and Budget has changed its policy on insurance coverage that will directly affect employees who have divorced and still have their ex-spouses on their health insurance plans. MMB interpreted Minnesota law as requiring health insurance coverage for former spouses and children, but in light of federal IRS rules on “imputed income”, has changed its interpretation of the Minnesota law. The approximately 750 State employees in this situation need to take immediate action. Employees with ex-spouses and children currently on their family coverage will have ... Read More >>
Phased Retirement Employer and Employee Contributions to State Retirement Fund
Contract language in the MAPE, MMA, and MGEC contract allows an employee to work part-time but continue to receive a full-time contribution for retirement. On February 6, 2025, MMB announced that the contract language conflicts with Minnesota Statute 352.04, subdivision 2 and 3 that limit a state retirement contribution to that based on the percentage of work they perform. For questions, please reach out to your MMB Labor Relations Consultant Link: https://mn.gov/mmb-stat/000/az/labor-relations/contact-labor-relations/agency-account-assignments.pdf ... Read More >>
Retirement Insurance Seminars
Considering retirement. SEGIP will offer free two hour seminars for employees. Links to dates and registration. Link: https://mn.gov/mmb/segip/retirement/retirement-insurance-seminars.jsp ... Read More >>
Scholarship & Awards Open March 1st
MGEC is opening the opportunity to apply for scholarships (Family Member Scholarships and Connie Minetor Memorial Scholarship). Applications will be accepted starting March 1, 2025, and received by MGEC no later than by 5:00 pm on June 30th, 2025. Winners will be decided by the MGEC Membership Committee in July with announcement in August. MGEC, at their discretion, may award up to $4,000 each calendar year for scholarships, distributed amongst any number of qualified applicants for the Family Member and Connie Minetor Memorial Scholarships. For the MGEC Family Member Scholarship, MGEC will ... Read More >>