Ohio House Bill 877 Adjusts Limits and Rules for Purchasing Out-of-State and Federal Retirement Service Credit

Original title: Regards limits on the purchase of retirement service credit

Last action · May 20, 2026: Referred to Public Insurance and PensionsSponsors: Chris Glassburn and 5 others

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Introduced

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Floor Vote

Passed

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What This Bill Would Do

Ohio House Bill 877 amends sections of the Revised Code regarding the purchase of retirement based on prior employment with the United States government, another state, or a political subdivision. The measure applies to members of public retirement systems including the Public Employees Retirement System, Ohio Police and Fire Pension Fund, State Teachers Retirement System, and School Employees Retirement System.

Why it matters

Public-sector workers and police or fire personnel seeking to purchase out-of-state or federal toward retirement must navigate revised statutory limits and coordination rules across multiple state pension systems.

Who It Would Affect

Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.

Directly affected

Public Employees

Members of public retirement systems face updated statutory limits, certification rules, and combination caps when purchasing out-of-state or federal service credit.

Directly affected

Ohio Police and Fire Pension Fund Members

Members must agree to retire within ninety days of purchasing out-of-state or federal service credit, or face withdrawal of the credit and a refund.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

What is the maximum number of years of out-of-state or federal service a member can purchase under these sections?

The number of years of service purchased generally shall not exceed the lesser of five years or the member's total accumulated number of years of Ohio service.

Can service credit purchased under these provisions be used if it is already counting toward another retirement benefit?

No, members are ineligible to purchase credit for service that is used in the calculation of any other retirement program currently being paid or payable in the future, with the exception of social security.

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Where This Stands

Currently in committee. The next step in the legislative lifecycle is Floor Vote.

Procedural history

2 actions

May 20, 2026HouseCommittee
Referred to Public Insurance and Pensions
May 12, 2026HouseIntroduced
Introduced

Version history

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