02/19/1993 01:33 PM Senate HES

  The first order of business to come before the committee was                 
  SB  58  (PHASE  OUT  LONGEVITY BONUS).    NANCY  BEAR USERA,                 
  Commissioner, Department of Administration,  explained SB 58                 
  is a phase  out program for the longevity bonus.   The first                 
  provision is that it grandfathers in all current recipients.                 
  The second provision is that there is a three year step down                 
  phase out at $200,  $150, and $100 for the  next three years                 
  as  people  become   65.    The  program  would   then  end.                 
                                                                               
                                                                               
  Commissioner Usera said each year the program grows not just                 
  by $5 million in current dollars, but incurs a liability for                 
  the  state  of over  $100 million.    The bill  protects the                 
  current senior population for many  reasons.  The department                 
  believes that the current recipients should be grandfathered                 
  in and it  would better  align the state  to have  financial                 
  resources  available  to provide  enhanced services  for the                 
  next generation of seniors coming up.                                        
                                                                               
  Number 049                                                                   
                                                                               
  There being no public testimony  on the bill, SENATOR  SHARP                 
  moved to  pass SB 58  out of the Senate  HESS Committee with                 
  individual recommendations and with the accompanying  fiscal                 
  notes.  Hearing no objection, it was so ordered.