MONTGOMERY- Governor Bentley today signed into law the repeal of the Deferred Retirement Option Plan, or DROP. Earlier in the day, the Governor returned the bill to the Legislature with an executive amendment that would eliminate any retroactive application of the DROP bill by permitting enrollment by those employees who have already filed their applications and have already fulfilled all eligibility requirements.
“In consultation with the House and Senate leadership, I sent SB 72 back to the Legislature unsigned with an executive amendment attached to avoid protracted litigation expense and offer further clarification on the eligibility participation.” said Governor Bentley.
The executive amendment passed overwhelmingly in both chambers of the Legislature and the bill was signed upon its return to the Governor’s office.
“The DROP program has overly taxed our retirement system and Alabama taxpayers cannot afford to sustain the continued high cost of this program any longer,” said Governor Bentley. “By signing into law the repeal of this program, we are one step closer to balancing the budget and ensuring essential government services are funded.”
“I appreciate the hard work of the Legislature in bringing this bill up for debate and getting it to me so quickly to sign,” said Governor Bentley. “Both the leadership in the House and Senate are to be commended for their dedication to ending this expensive program and saving our taxpayers millions of dollars.”