BILL NUMBER: AB 3076 AMENDED
BILL TEXT
AMENDED IN SENATE JUNE 1, 2004
AMENDED IN ASSEMBLY APRIL 12, 2004
INTRODUCED BY Assembly Member Mullin
MARCH 11, 2004
An act to amend Sections 22003, 22502, and 22601.5
22502, 22504, 22601.5, 22604, 26400, and 26401
of the Education Code, relating to state teachers' retirement.
LEGISLATIVE COUNSEL'S DIGEST
AB 3076, as amended, Mullin. State Teachers' Retirement Law:
part-time community college faculty.
Existing law requires any person who performs creditable service,
as defined, on a part-time basis to become a member of the Defined
Benefit Program of the State Teachers' Retirement Plan if
the person is not already a member and is employed to perform 50% or
more of the full-time equivalent for the position. Existing law
provides that persons who teach adult or community college classes
for not more than 60% of the full-time assignment are classified as
temporary employees.
This bill would , as of July 1, 2005, exclude community
college faculty members from mandatory membership in the Defined
Benefit Program so long as they are classified as temporary
employees. The bill would make related technical and conforming
changes.
This bill would also make technical, nonsubstantive changes to the
State Teachers' Retirement Law.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 22003 of the Education Code is amended to read:
22003. The revision of the State Teachers' Retirement Law,
enacted at the 1971 and 1972 Regular Sessions of the Legislature, may
not be construed to affect benefits of persons retired prior to July
1, 1972, or their beneficiaries, except as specifically provided.
SEC. 2.
SECTION 1. Section 22502 of the Education Code is amended to
read:
22502. (a) Any person employed by a school district or county
office of education to perform creditable service on a part-time
basis, who is not already a member of the Defined Benefit Program,
shall become a member as of the first day of subsequent
the pay period following his or her employment
to perform creditable service for 50 percent or more of the full-time
equivalent for the position, unless excluded from
membership pursuant to Section 22601.
(b) Any person employed by a community college district to perform
creditable service on a part-time basis, who is not already a member
of the Defined Benefit Program, shall become a member as of the
first day of subsequent the pay period
following his or her employment to perform creditable service
that is not subject to Section 87474, 87480, 87481, 87482, or
87482.5, unless excluded from membership pursuant to Section
22601.
(c) This section shall apply to persons who perform service
subject to coverage under this part and to persons who are employed
by employers who provide benefits for their employees under Part 14
(commencing with Section 26000).
(d) This section shall be deemed to have become operative on July
1, 1996.
SEC. 2. Section 22504 of the Education Code is amended to read:
22504. (a) Any person employed by a school district or
county office of education to perform creditable service on a
part-time basis who is not already a member of the Defined Benefit
Program shall become a member as of the first day of the pay period
following the pay period in which the person performed at least 60
hours of creditable service, if employed on an hourly basis, or 10
days of creditable service, if employed on a daily basis, during the
school year, in one school district, community college district, or
county superintendent's office, unless excluded from membership
pursuant to Section 22601.
(b) This section shall Any person employed
by a community college district to perform creditable service on a
part-time basis, who is not already a member of the Defined Benefit
Program, shall become a member as of the first day of the pay period
following his or her employment to perform creditable service that is
not subject to Section 87474, 87480, 87481, 87482, or 87482.5,
unless excluded from membership pursuant to Section 22601.
(c) Subdivision (a) does not apply to persons who are
employed by employers who provide benefits for their employees under
Part 14 (commencing with Section 26000).
(c) This section shall be deemed to have become operative on July
1, 1996.
SEC. 3. Section 22601.5 of the Education Code is amended to read:
22601.5. (a) Any person employed by a school district or county
office of education to perform creditable service who is not already
a member in the Defined Benefit Program and whose basis of employment
is less than 50 percent of the full-time equivalent for the
time an employer requires for the full-time
position is excluded from mandatory membership in the Defined Benefit
Program.
(b) Any person employed by a community college district to perform
creditable service pursuant to Section 87474, 87480, 87481,
87482, or 87482.5 who is not already a member in
of the Defined Benefit Program is excluded from
mandatory membership in the Defined Benefit Program.
(c) This section shall apply to persons who perform service
subject to coverage under this part and to persons who are employed
by employers who provide benefits for their employees under Part 14
(commencing with Section 26000).
(d) This section shall be deemed to have become operative on July
1, 1996.
SEC. 4. Section 22604 of the Education Code is amended to read:
22604. (a) Any person employed to perform creditable service on a
part-time basis who is not already a member in
of the Defined Benefit Program and who performs less than
60 hours of creditable service in a pay period if employed on an
hourly basis, or less than 10 days of creditable service in a pay
period if employed on a daily basis, during the school year in one
school district , community college district, or
county superintendent's office is excluded from mandatory membership
in the Defined Benefit Program.
(b) This section shall Any person employed
by a community college district to perform creditable service
pursuant to Section 87474, 87480, 87481, 87482, or 87482.5 who is not
already a member of the Defined Benefit Program is excluded from
mandatory membership in the Defined Benefit Program.
(c) Subdivision (a) does not apply to persons who are
employed by employers who provide benefits for their employees under
Part 14 (commencing with Section 26000).
(c) The amendments to this section enacted during the 1995-96
Regular Session shall be deemed to have become operative on July 1,
1996.
SEC. 5. Section 26400 of the Education Code is amended to read:
26400. (a) A person employed on a part-time basis by a
school district or county office of education to perform
creditable service for less than 50 percent of the
each full-time equivalent for the
position shall become a participant on the later of the first day on
which creditable service is performed for an employer that provides
the Cash Balance Benefit Program or the effective date of the
employer's governing board's action to provide the Cash Balance
Benefit Program, provided the person is not subject to mandatory
membership in the Defined Benefit Program.
(b) A person employed on a temporary basis by a community
college district who is not subject to mandatory membership in the
Defined Benefit Program pursuant to Section 22502 or 22504 shall
become a participant on the later of the first day on which
creditable service is performed for an employer that provides the
Cash Balance Benefit Program or the effective date of the employer's
governing board's action to provide the Cash Balance Benefit Program.
(c) If the employer's governing board's action to provide
the Cash Balance Benefit Program gives employees the right to elect
coverage under social security or an alternative retirement plan
offered by the employer in addition to the Cash Balance Benefit
Program, the employee may elect within 60 calendar days of the
later latest of the first day on which
creditable service is performed, the date of the employer's governing
board's action to provide the Cash Balance Benefit Program, or the
effective date of the employer's governing board's action to provide
the Cash Balance Benefit Program to be covered by social security or
to participate in the alternative retirement plan in lieu of
participating in the Cash Balance Benefit Program. Any election
shall may not preclude an employee from
participating in the Cash Balance Benefit Program at a later date so
long as the Cash Balance Benefit Program is provided by the employer
and the employee is eligible to participate in the Cash Balance
Benefit Program.
(c)
(d) If subdivision (b) (c) is
applicable, the employer shall inform employees pursuant to
subdivision (c) of Section 26300 of their right to make an election
and the election shall be made on a form prescribed by the system and
filed with the employer. The election shall become effective on the
later of the first day on which creditable service is performed or
the effective date of the employer's governing board's action to
provide the Cash Balance Benefit Program.
(d)
(e) If the participant's basis of employment with
an employer a school district or county office of
education that provides the Cash Balance Benefit Program
changes to employment to perform creditable service for 50 percent or
more of the full-time equivalent for the position
, contributions to the Cash Balance Benefit Program on
behalf of the participant shall no longer be made and
during one school year with the same employer, creditable
service performed for that employer shall no longer be covered
under the Cash Balance Benefit Program. Creditable service performed
for that employer shall be subject to coverage by the Defined
Benefit Program as of the first day of the pay period in
which following the change in the participant's
basis of employment occurred .
(f) If the participant's basis of employment with a community
college district changes to employment that is subject to mandatory
membership in the Defined Benefit Program pursuant to Section 22501,
22502, or 22504 during one school year with the same employer,
creditable service performed for that employer shall no longer be
covered under the Cash Balance Benefit Program. Creditable service
performed for that employer shall be subject to coverage by the
Defined Benefit Program as of the first day of the pay period
following the change in the participant's basis of employment.
SEC. 6. Section 26401 of the Education Code is amended to read:
26401. (a) A member of the Defined Benefit Program who is
employed to perform creditable service on a part-time basis
for less than 50 percent of the each
full-time equivalent for the position
for an employer by a school district or
county office of education that provides the Cash Balance
Benefit Program may elect to become a participant for creditable
service subject to coverage under the Cash Balance Benefit Program
for that employer , provided that the creditable service
is not performed for the same employer with whom the member is also
subject to mandatory membership in the Defined Benefit Program.
(b) A member of the Defined Benefit Program who is employed
pursuant to Section 87474, 87480, 87481, 87482, or 87472.5 by a
community college district that provides the Cash Balance Benefit
Program may elect to become a participant for creditable service
subject to coverage under the Cash Balance Benefit Program for that
employer, provided that the creditable service is not performed for
the same employer with whom the member is also subject to mandatory
membership in the Defined Benefit Program.
(c) The election shall be made on a form prescribed by the
system and shall be filed with the employer within 60 calendar days
of the later of the first day of employment with an employer that
provides the Cash Balance Benefit Program, the date of the employer's
governing board's action to provide the Cash Balance Benefit
Program, or the effective date of the employer's governing board's
action to provide the Cash Balance Benefit Program.
(c)
(d) Employers shall make available to employees specified in
subdivision subdivisions (a) and
(b) information and forms provided by the system for making an
election regarding participation, and shall maintain the written
election by the employee in employer files. The election shall
become effective on the first day of the pay period following the pay
period in which the election is made.
(d)
(e) If an election is made pursuant to subdivision (a) and
the participant's basis of employment with that employer changes to
employment to perform creditable service for 50 percent or more of
the full-time equivalent for the position
, contributions to the Cash Balance Benefit Program on behalf of the
participant shall no longer be made and during one
school year with the same employer, creditable service
performed for that employer shall no longer be covered under the
Cash Balance Benefit Program. Creditable service performed for that
employer shall be subject to coverage under the Defined
Benefit Program as of the first day of the pay period in
which following the change in the participant's
basis of employment occurred .
(f) If an election is made pursuant to subdivision (b) and the
participant's basis of employment with the community college district
changes to employment that is subject to mandatory membership in the
Defined Benefit Program pursuant to Section 22501, 22502, or 22504
during one school year with the same employer, creditable service
performed for that employer shall no longer be covered under the Cash
Balance Benefit Program. Creditable service performed for that
employer shall be subject to coverage under the Defined Benefit
Program as of the first day of the pay period following the change in
the participant's basis of employment.
SEC. 7. This act shall be operative on July 1, 2005.