California Legislature—2013–14 Regular Session

Assembly BillNo. 2476


Introduced by Committee on Public Employees, Retirement and Social Security (Bonta (Chair), Rendon, Ridley-Thomas, and Wieckowski)

February 21, 2014


An act to amend Section 7522.56 of the Government Code, relating to public employees’ retirement.

LEGISLATIVE COUNSEL’S DIGEST

AB 2476, as introduced, Committee on Public Employees, Retirement and Social Security. Employment after retirement: eligibility.

Existing law, the California Public Employees’ Pension Reform Act of 2013 (PEPRA) establishes various limits on retirement benefits generally applicable to a public employee retirement system in the state, except as specified, and among other things, prescribes limits on service after retirement without reinstatement into the applicable retirement system. Under PEPRA, a retired person is not eligible to be employed for a period of 180 days following the date of retirement unless he or she meets specified requirements, including a requirement that the state employer certifies the nature of the employment and that the appointment is necessary to fill a critically needed state employment position before 180 days have passed and the appointment has been approved by the Department of Human Resources.

This bill would instead provide, for purposes of that requirement, that either the Senate Committee on Rules or the Assembly Rules Committee, the Trustees of the California State University, or the Administrative Office of the Courts makes those certifications and approvals for legislative, California State University, and judicial employees, respectively, instead of the Department of Human Resources.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 7522.56 of the Government Code is
2amended to read:

3

7522.56.  

(a) This section shall apply to any person who is
4receiving a pension benefit from a public retirement system and
5shall supersede any other provision in conflict with this section.

6(b) A retired person shall not serve, be employed by, or be
7employed through a contract directly by, a public employer in the
8same public retirement system from which the retiree receives the
9benefit without reinstatement from retirement, except as permitted
10by this section.

11(c) A person who retires from a public employer may serve
12without reinstatement from retirement or loss or interruption of
13benefits provided by the retirement system upon appointment by
14the appointing power of a public employer either during an
15 emergency to prevent stoppage of public business or because the
16retired person has skills needed to perform work of limited
17duration.

18(d) Appointments of the person authorized under this section
19shall not exceed a total for all employers in that public retirement
20system of 960 hours or other equivalent limit, in a calendar or
21fiscal year, depending on the administrator of the system. The rate
22of pay for the employment shall not be less than the minimum,
23nor exceed the maximum, paid by the employer to other employees
24performing comparable duties, divided by 173.333 to equal an
25hourly rate. A retired person whose employment without
26reinstatement is authorized by this section shall acquire no service
27credit or retirement rights under this section with respect to the
28employment unless he or she reinstates from retirement.

29(e) (1) Notwithstanding subdivision (c), any retired person shall
30not be eligible to serve or be employed by a public employer if,
31during the 12-month period prior to an appointment described in
32this section, the retired person received any unemployment
33insurance compensation arising out of prior employment subject
P3    1to this section with a public employer. A retiree shall certify in
2writing to the employer upon accepting an offer of employment
3that he or she is in compliance with this requirement.

4(2) A retired person who accepts an appointment after receiving
5unemployment insurance compensation as described in this
6subdivision shall terminate that employment on the last day of the
7current pay period and shall not be eligible for reappointment
8subject to this section for a period of 12 months following the last
9day of employment.

10(f) A retired person shall not be eligible to be employed pursuant
11to this section for a period of 180 days following the date of
12retirement unless he or she meets one of the following conditions:

13(1) The employer certifies the nature of the employment and
14that the appointment is necessary to fill a critically needed position
15before 180 days have passed and the appointment has been
16approved by the governing body of the employer in a public
17meeting. The appointment may not be placed on a consent calendar.

18(2) begin deleteThe end deletebegin insert(A)end insertbegin insertend insertbegin insertExcept as otherwise provided in this paragraph,
19for state employees, the end insert
state employer certifies the nature of the
20employment and that the appointment is necessary to fill a critically
21needed state employment position before 180 days have passed
22 and the appointment has been approved by the Department of
23Human Resources. The department may establish a process to
24delegate appointing authority to individual state agencies, but shall
25audit the process to determine if abuses of the system occur. If
26necessary, the department may assume an agency’s appointing
27authority for retired workers and may charge the department an
28appropriate amount for administering that authority.

begin insert

29(B) For legislative employees, the Senate Committee on Rules
30or the Assembly Rules Committee certifies the nature of the
31employment and that the appointment is necessary to fill a critically
32needed position before 180 days have passed and approves the
33appointment in a public meeting. The appointment may not be
34placed on a consent calendar.

end insert
begin insert

35(C) For employees of the California State University, the
36Trustees of the California State University certifies the nature of
37the employment and that the appointment is necessary to fill a
38critically needed position before 180 days have passed and
39approves the appointment in a public meeting. The appointment
40may not be placed on a consent calendar.

end insert
begin insert

P4    1(D) For judicial employees, the Administrative Office of the
2Courts certifies the nature of the employment and that the
3appointment is necessary to fill a critically needed position before
4180 days have passed and approves the appointment in a public
5meeting. The appointment may not be placed on a consent
6calendar.

end insert

7(3) The retiree is eligible to participate in the Faculty Early
8Retirement Program pursuant to a collective bargaining agreement
9with the California State University that existed prior to January
101, 2013, or has been included in subsequent agreements.

11(4) The retiree is a public safety officer or firefighter hired to
12perform a function or functions regularly performed by a public
13safety officer or firefighter.

14(g) A retired person who accepted a retirement incentive upon
15retirement shall not be eligible to be employed pursuant to this
16section for a period of 180 days following the date of retirement
17and subdivision (f) shall not apply.

18(h) This section shall not apply to a person who is retired from
19the State Teachers’ Retirement System, and who is subject to
20Section 24214, 24214.5, or 26812 of the Education Code.

21(i) This section shall not apply to (1) a subordinate judicial
22officer whose position, upon retirement, is converted to a judgeship
23pursuant to Section 69615, and he or she returns to work in the
24converted position, and the employer is a trial court, or (2) a retiree
25who takes office as a judge of a court of record pursuant to Article
26VI of the California Constitution or a retiree of the Judges’
27Retirement System or the Judges’ Retirement System II who is
28appointed to serve as a retired judge.



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