All Roll Calls
Yes: 102 • No: 1
New MexicoSB 1332025 Regular SessionSenateWALLET
EDUCATIONAL RETIREES RETURNING TO WORK
Sponsored By: Mimi Stewart (Democratic)
Signed by Governor
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Bill Overview
Analyzed Economic Effects
2 provisions identified: 0 benefits, 1 costs, 1 mixed.
Temporary pension protections for returning education retirees
Until January 1, 2024, the law expanded ways for retired New Mexico education workers to work while keeping their pensions. These temporary rules required an application on the retirement board's form and board approval. Generally, work above 25% of full-time required pension payments to stop during employment, unless an exception applied. One exception required 12 consecutive months without service after retirement; scheduled breaks and vacations did not count. Another allowed work paying less than $25,000 yearly after at least 90 days without service. That option barred formal or informal return agreements with the employer or its contractor before retirement or within 90 days afterward. A separate option allowed up to 60 total months of work, consecutive or not, after 90 days without service. Members retired on or before January 1, 2001, who never suspended benefits could return without stopping their pensions. Those who previously suspended benefits needed an additional 12 consecutive months without service after their initial retirement, excluding summers and scheduled breaks. Retirees receiving pensions could not earn or buy pension service credit for this work. Service included full-time, part-time, substitute and contractor work, plus volunteer duties otherwise done by paid workers or contractors. Covered employers included local administrative units and entities they formed, incorporated, organized or controlled, whether for-profit or nonprofit. The expanded rules expired January 1, 2024, when prior suspension and service-credit rules resumed.
Returning education retirees must pay fund contributions
The law requires contributions during return employment covered by Subsections A, B, F or I. Returning retirees must make nonrefundable education retirement fund contributions at the rates for active employees. Their employers must also make required retirement fund contributions. Retirees and employers must also pay into the retiree health care fund during that employment. Retirement contribution amounts follow Section 22-11-21; health fund amounts follow Section 10-7C-15 of New Mexico law. These payments reduce retirees' take-home pay; the supplied text does not state the rates.
Sponsors & Cosponsors
Sponsor
Mimi Stewart
Democratic • Senate
Cosponsors
Natalie Figueroa
Democratic • Senate
Peter Wirth
Democratic • Senate
Roll Call Votes
House vote • 3/21/2025
Final House Vote
Yes: 64 • No: 1
Senate vote • 2/26/2025
Final Senate Vote
Yes: 38 • No: 0
Actions Timeline
Signed by Governor - Chapter 144 - Apr. 10
4/10/2025SenatePassed in the House of Representatives - Y:64 N:1
3/21/2025HouseHAFC: Reported by committee with Do Pass recommendation
3/20/2025HouseHEC: Reported by committee with Do Pass recommendation
3/10/2025HouseSent to HEC - Referrals: HEC/HAFC
2/27/2025SenatePassed in the Senate - Y:38 N:0
2/26/2025SenateSFC: Reported by committee with Do Pass recommendation
2/21/2025SenateSEC: Reported by committee with Do Pass recommendation with amendment(s)
2/7/2025SenateSent to SEC - Referrals: SEC/SFC
1/23/2025Senate
Bill Text
Final Version
4/11/2025
HAFC Committee Report 3/20/25
3/20/2025
HEC Committee Report 3/10/25
3/10/2025
SFC Committee Report 2/21/25
2/21/2025
SEC Committee Report 2/07/25
2/7/2025
Introduced
1/23/2025