HOUSE BILL NO. 232 "An Act relating to retirement benefits and military service." 7:25:35 PM Co-Chair Foster asked for a brief recap of the legislation. RYAN MCKEE, STAFF, REPRESENTATIVE GEORGE RAUSCHER, explained that the bill allowed permanently disabled veterans to access their accrued Public Employees' Retirement System (PERS) retirement benefits without penalty. The bill also allowed military service purchased in accordance with PERS standards to count towards the credited service requirements for normal retirement. 7:26:38 PM Co-Chair Foster opened public testimony on HB 232. He provided the email address for public testimony. Co-Chair Foster CLOSED public testimony. 7:27:44 PM Co-Chair Foster asked for a review of the one fiscal note from the Department of Administration [he read the OMB component number and date, which he corrected after the following speaker]. KEVIN WORLEY, CHIEF FINANCE OFFICER, DIVISION OF RETIREMENT AND BENEFITS, DEPARTMENT OF ADMINISTRATION, reviewed the indeterminate fiscal note from the Division of Retirement and Benefits. He explained that in prior committee meetings there was an indication that approximately 48 members could be eligible for the benefit; however, there was not enough information available about the members and their military service to use in the calculation for their pension benefits. If the legislation passed, the cost in the future would ultimately be included in the past service cost and would pass on through to the additional state contribution paid by the state. The cost would also be included in the state contribution rate calculated by the actuaries and adopted by the Alaska Retirement Management Board (ARMB). Co-Chair Foster clarified that the fiscal note's OMB component number was 64 and it was dated February 13, 2024. Mr. Worley agreed. Mr. McKee thanked the committee for hearing the bill. Co-Chair Johnson MOVED to REPORT HB 232 out of committee with individual recommendations and the accompanying fiscal note. Representative Josephson OBJECTED. He read the last two sentences of the fiscal note: "Implementing this bill's provision will require an actuarial analysis due to the impact on the PERS defined benefit system. DRB submits an indeterminate fiscal note until such time as an actuarial analysis can be completed." He would lift his objection, but he found it ironic that the two sentences were essentially cited as reasons to pause other retirement benefit bills. He WITHDREW the OBJECTION. HB 232 was REPORTED out of committee with nine "do pass" recommendations and with one previously published indeterminate fiscal note: FN1 (ADM).