Del. Peter Farrell, R- Henrico, is sponsoring legislation that would give local governments the option to establish and maintain a defined retirement plan for its employees in lieu of other retirement plans. Farrell said this bill was part of his priority to give local governments the option of having more power to govern its own citizens.

“Respecting [local governments’] ability to self-govern in a measured way is important,” Farrell said. “They have the right and capability to make decisions on their own.”

The bill, HB 1331, is also supported by Del. Mark Cole, R-Fredericksburg.

Cole said he did not see the bill as placing more responsibilities with local governments, but rather as giving them more options to help their employees.

“It does not require any localities to provide such a plan,” Cole wrote in an email. “But just allows them to do so if they wish.”

The legislation provides that each locality may establish a local retirement system that provides a service retirement allowance to each employee who retires at age 65 or older.

The allowance must equal or exceed two-thirds of the service retirement allowance to which the employee would have been entitled to under the defined benefit plan of the Virginia Retirement System.

The bill, which is currently awaiting a vote in the Appropriations Committee, would affect employees hired on or after July 1.