State Budget

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ARTC’s Lobbyist, Graff Public Solutions, informed members of ARTC’s Executive of the following items of interest to active and retired teachers:

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  • The 2017-2019 Connecticut budget delays, by two years, the scheduled increase in the CT Income Tax exemption on teachers’ pensions. Under current law, the exemption is scheduled to increase from 25% to 50% for 2017 and subsequent tax years. The budget bill instead maintains it at 25% for 2017 and 2018 and increases it to 50% beginning in 201,. Sections 641 and 642. (The 50% exemption is delayed; we’ll still need to educate legislators in order to have the 50% exemption take effect in 2020.)
  • Section 586 of the bill increases the teachers’ mandatory pension contribution by 1% from 6% to 7% on and after January1, 2018. The teachers’ mandatory contributions are deposited to the Teachers’ Retirement Fund. ( Applies only to active teachers and the money goes into our pension fund.)
  • Section 320 reduces the State’s share of TRB retiree health costs from 33% to 25%.(The State pays less; the Health Fund takes a hit.)