SUMMARY OF CONTRIBUTIONS

The contributions made to the Puerto Rico Government Employees and the Judiciary Retirement System are additional benefits to pensioners granted by specials laws. Some of the benefits include: health insurance plan contributions, Christmas bonus, bonus for medications, summer bonus, cost of living adjustment and other benefits due to death or disability or certain group of employees in order to improve their quality of life. The Government Employees and Judiciary Retirement System Administration is the Agency responsible for managing the special appropriations authorized by the following laws.

LEGAL AUTHORITY

Act No. 447 of May 15, 1951, as amended, created the Puerto Rico Government Employees and the Judiciary Retirement System, which is considered a trust.

Act No. 12 of October 19, 1954, as amended, known as the Judiciary Retirement System Act, created the Puerto Rico Judiciary Retirement System.

Act 10-1992, as amended, increased pensions by 3% for payments made for disability, years of services, and age.

Act No. 105 of June 28, 1969, as amended, provided a pension for the surviving spouse, minor and/or mentally or physically disabled children of participants of the Government Employees and the Judiciary Retirement System member who died while receiving an annuity from retirement or disability.

Act No. 124 of June 8, 1973, as amended, raises pensions granted to retirees before July 1973.

Act No. 127 of June 27, 1958, as amended, provided for the payment of pensions to members or beneficiaries of the Police, Fire Fighters, Correctional Officers, the National Guard, Natural Resources Park Rangers, the Internal Revenue Service Agents, Special Investigations Unit Agents, Superintendents of the Department of Justice Penal institutions, Puerto Rico Prison Industries Corporation General Administrators or Assistant Administrators, Corrections Assistant Directors, General Justice Court Bailiffs, that became physically or mentally disabled while performing their duties or died while doing so.

Act 134-1996, increases by 3% all pensions paid under this act, effective July 1, 1996.

Act 155-2003, granted a tax free bonus for medications to retired members of the Government of Puerto Rico Retirement System, except those retired under the provisions of Act 305-1999.

Act 156-2003, increases the minimum pension to $300 for the retired members of the Central Retirement System.

Act No. 169 of June 30, 1968, as amended, provided a pension to the beneficiaries of the Puerto Rico Police employees who died while receiving a pension from the Puerto Rico Government Retirement System or any other system or government pension law applicable to the members of the Puerto Rico Police. The aforementioned beneficiaries will not have the right to this pension if the member of the police force, as a participant of the Puerto Rico State Government Retirement System, is covered under Title II of the federal Social Security law.

Act No. 2 of March 26, 1965, as amended, granted a lifetime annuity of $25,000 to anyone that has served as the elected Governor of Puerto Rico before 1992 and a lifetime annuity of $10,000 to the ex-governors widows.

Act 2-2000, repealed Act No. 82 of May 2, 1941 that granted a pension to the widows of the House of Representatives and Senate Presidents without diminishing the rights acquired by widows before the approval date of this Act.

Act 208-2000, established a pension increase of $200 or the difference between the annual pension and $1,000, whichever is lower, for members of the Puerto Rico Police that are receiving or have the right to receive pensions lower than $1,000/month and authorizes the Retirement System Administrator to implement this Act.

Act No. 23 of September 23, 1983, as amended, increased the pensions granted under the Act that created the Government of Puerto Rico Retirement System, under the funds or pensions superseded by the system.

Act 37-2001, authorized a tax free summer bonus on the amount of $100 for retired members of the Government Employees and the Judiciary Retirement System.

Act 40-2001, increased by 3%, pensions granted under the provisions of Act No. 447 of May 15, 1951, as amended, effective January 1, 1998 or earlier.

Act 41-2001, increased by 3% pensions to judges granted under the provisions of Act No. 12 of October 19, 1954, as amended, effective January 1, 1999 or earlier.

Act 524-2004, increased the minimum death benefits from $750 to $1,000.

Act No. 6 of December 6, 1950, provided for the payment of pensions to widows and dependents of deceased law enforcement employees and for those that became disabled as a consequence of acts of violence occurred in Puerto Rico in the week of October 30, 1950.

Act No. 7 of December 12, 1950, provided for the payment of pensions to the dependents of correctional officers who died or became disabled as a consequence of acts of violence that occurred in Puerto Rico's insular penitentiary on October 28, 1950, during a prison break and for the payment of pensions to any law enforcement official that was incapacitated as the result of these events.

Act No. 72 of June 20, 1956, as amended, authorized the use of funds from the Government Employees and the Judiciary Retirement System to grant cultural trips loans to active and retired public employees.

Act No. 95 of June 29, 1963, as amended, known as the Public Employees Health Benefits Act established a health insurance plan that includes hospitalization and supplementary benefits for the Government of Puerto Rico employees. This act covers retired members of the Central Retirement System.

Act No. 98 of June 4, 1980, as amended, granted a Christmas bonus to retired members and beneficiaries.

Statistical Data	2011	2012	2013
Cultural trips loans. Act No. 72, 1956	6,477	5,752	5,800
Health plans beneficiaries Act-95-1963	78,665	80,439	83,227

Information provided by the Agency during the Fiscal Year 2012-2013 budget preparation process.

FISCAL YEAR 2012-2013 PROPOSED BUDGET

The proposed consolidated budget for Fiscal Year 2012-2013 amounts to $257,430,000 from Special Appropriations - General Fund.

This budget reflects an increase of $7,758,000 when compared to funds assigned in fiscal year 2011-2012 due to the normal increase in retired members, the outcome of the third phase of employees receiving the benefits of Act 70-2010, known as the Retirement and Retraining Incentives Programs Act, and the 3% increase in judges' pension as mandated by Act 41-2001.

Additional funds were included to cover the costs of benefits granted by these special acts, in accordance with the actual costs incurred in prior years.

The proposed budget will allow the Government Employees and the Judiciary Retirement System to provide these special benefits as authorized by law.

SUMMARY OF CONTRIBUTED FUNDS