BILL NUMBER: SB 280 INTRODUCED
BILL TEXT
INTRODUCED BY Senator Calderon
FEBRUARY 24, 2009
An act to amend Section 22714 of the Education Code, relating to
state teachers' retirement.
LEGISLATIVE COUNSEL'S DIGEST
SB 280, as introduced, Calderon. State teachers' retirement.
The State Teachers' Retirement Law authorizes a school district,
community college district, or county office of education to grant
members of the Defined Benefit Program of the State Teachers'
Retirement Plan 2 additional years of service credit if certain
conditions are satisfied and the member retires for service within a
designated period. Under that law, a member granted additional credit
for service under these provisions forfeits that credit if he or she
is reemployed within 5 years after retirement by the district from
which he or she retired.
This bill would provide that a member shall not forfeit his or her
additional credit for service under these provisions if he or she
is, on or after January 1, 2004, reemployed within 5 years after
retirement as a substitute teacher by a school district from which he
or she retired.
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 22714 of the Education Code is amended to read:
22714. (a) Whenever the governing board of a school district or a
community college district or a county office of education, by
formal action, determines pursuant to Section 44929 or 87488 that,
because of impending curtailment of, or changes in, the manner of
performing services, the best interests of the district or county
office of education would be served by encouraging certificated
employees or academic employees to retire for service and that the
retirement will result in a net savings to the district or county
office of education, an additional two years of service credit shall
be granted under this part to a member of the Defined Benefit Program
if all of the following conditions exist:
(1) The member is credited with five or more years of service
credit and retires for service under Chapter 27 (commencing with
Section 24201) during a period of not more than 120 days or less than
60 days, commencing no sooner than the effective date of the formal
action of the employer that shall specify the period.
(2) The employer transfers to the retirement fund an amount
determined by the Teachers' Retirement Board to equal the actuarial
equivalent of the difference between the allowance the member
receives after receipt of service credit pursuant to this section and
the amount the member would have received without the service credit
and an amount determined by the Teachers' Retirement Board to equal
the actuarial equivalent of the difference between the purchasing
power protection supplemental payment the member receives after
receipt of service credit pursuant to this section and the amount the
member would have received without the service credit. The payment
for purchasing power shall be deposited in the Supplemental Benefit
Maintenance Account established by Section 22400 and shall be subject
to Section 24415. The transfer to the retirement fund shall be made
in a manner and a time period, not to exceed eight years, that is
acceptable to the Teachers' Retirement Board. The employer shall
transfer the required amount for all eligible employees who retire
pursuant to this section.
(3) The employer transmits to the retirement fund the
administrative costs incurred by the system in implementing this
section, as determined by the Teachers' Retirement Board.
(4) The employer has considered the availability of teachers or
academic employees to fill the positions that would be vacated
pursuant to this section.
(b) (1) The school district shall demonstrate and certify to the
county superintendent that the formal action taken would result in a
net savings to the district.
(2) The county superintendent shall certify to the Teachers'
Retirement Board that the result specified in paragraph (1) can be
demonstrated. The certification shall include, but is not
be limited to, the information specified in
subdivision (c) of Section 14502.1.
(3) The school district shall reimburse the county superintendent
for all costs to the county superintendent that result from the
certification.
(c) (1) The county office of education shall demonstrate and
certify to the Superintendent of Public Instruction that the formal
action taken would result in a net savings to the county office of
education.
(2) The Superintendent of Public Instruction shall certify to the
Teachers' Retirement Board that the result specified in paragraph (1)
can be demonstrated. The certification shall include, but is
not be limited to, the information specified
in subdivision (c) of Section 14502.1.
(3) The Superintendent of Public Instruction may request
reimbursement from the county office of education for all
administrative costs that result from the certification.
(d) (1) The community college district shall demonstrate and
certify to the chancellor's office that the formal action taken would
result in a net savings to the district.
(2) The chancellor shall certify to the Teachers' Retirement Board
that the result specified in paragraph (1) can be demonstrated. The
certification shall include, but is not be
limited to, the information specified in subdivision (c) of
Section 84040.5.
(3) The chancellor may request reimbursement from the community
college district for all administrative costs that result from the
certification.
(e) The opportunity to be granted service credit pursuant to this
section shall be available to all members employed by the school
district, community college district, or county office of education
who meet the conditions set forth in this section.
(f) The amount of service credit shall be two years.
(g) Any A member of the Defined
Benefit Program who retires under this part for service under Chapter
27 (commencing with Section 24201) with service credit granted under
this section and who subsequently reinstates shall forfeit the
service credit granted under this section.
(h) Any (1) Except
as described in paragraph (2), a member of the Defined Benefit
Program who retires under this part for service under Chapter 27
(commencing with Section 24201) with service credit granted under
this section and who takes any job with the school district,
community college district, or county office of education that
granted the member the service credit less than five years after
receiving the credit shall forfeit the ongoing benefit he or she
receives from the additional service credit granted under this
section.
(2) This subdivision shall not apply to a member described in
paragraph (1) who, on or after January 1, 2004, takes a job with the
school district as a substitute teacher.
(i) This section does not apply to any a
member otherwise eligible if the member receives any
unemployment insurance payments arising out of employment with an
employer subject to this part within one year following the effective
date of the formal action under subdivision (a), or if the member is
not otherwise eligible to retire for service.