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For Immediate Release
June 30, 2005
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Bill to Allow City Retirees to Collect Pension, Serve Public Headed to Governor

Harrisburg – Legislation that would allow retired city employees to continue receiving pension benefits while serving in elected office has passed the General Assembly and will be sent to the governor to be signed into law, state Sen. Mary Jo White (R-21) and Rep. Scott Hutchinson (R-64) announced today.

Senate Bill 457 was drafted after the state Auditor General's Office determined that, under current law, a former Franklin mayor could not continue to receive pension benefits and serve as mayor. The salary for the post was only $2,400 per year. The mayor was forced to resign to continue receiving his pension.

"I'm grateful to Representative Hutchinson for working so hard to get this bill passed in the House of Representatives," said White.  "Now, communities won't have to lose out on the wealth of knowledge and experience retired local government employees can bring to public service. Elected officials will have the option of declining a salary so they can serve in office and not lose their pension benefits."

"Local public officials shoulder tremendous responsibilities and are rarely recognized for their efforts," Hutchinson said. "These dedicated men and women should not be forced to choose between serving the greater good in their communities and taking care of themselves and their families."

This legislation would apply to retirees of Third Class Cities which includes Franklin and Oil City (Venango County), Butler (Butler County), Corry (Erie County) and Warren (Warren County).

Senate Bill 457, sponsored by Senator White, was approved by the Senate on Tuesday and passed the House today.