BILL ANALYSIS
Subject matter was not heard in Assembly policy committee this
legislative
Session, should be noted in the last paragraph of the background
section of the
CSA analysis. Language will vary depending on the circumstance.
AB 141
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 141 (Knox)
As Amended April 4, 2000
2/3 vote. Urgency
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|ASSEMBLY: | |(June 2, 1999) |SENATE: |38-0 |(May 8, 2000) |
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(vote not relevant)
Original Committee Reference: HEALTH
SUMMARY : Extends for an additional half-year the existing State
Teachers' Retirement System (CalSTRS) half-year earnings
limitation exemption for retired school administrators who
returned to service to fill a vacancy.
The Senate amendments delete the Assembly version of this bill,
and instead:
1)Provide that retired administrators are permitted to serve for
a second half-year and continue to be exempted from the
CalSTRS earnings limitation.
2)Specify that the provision authorizing the additional
half-year exemption will be operative from July 1, 1999
through December 31, 2000.
3)Declare that this is an urgency statute to take effect
immediately.
EXISTING LAW :
1)Allows retired members of CalSTRS to earn up to $19,500 in
1999-2000 for public school employment. The earnings
limitation is adjusted annually to reflect changes in the
Consumer Price Index. Any creditable earnings in excess of
this amount result in a dollar-for-dollar reduction in the
retirement allowance.
Subject matter was not heard in Assembly policy committee this
legislative
Session, should be noted in the last paragraph of the background
section of the
CSA analysis. Language will vary depending on the circumstance.
AB 141
Page 2
2)Provides for one half-year exemption from this earnings limit
if retired administrators return to service during the process
of permanently filling a vacant administrative position. This
provision sunsets July 1, 2003.
AS PASSED BY THE ASSEMBLY , this bill required the Board of
Pharmacy to conduct a study of the incidence of medication
errors in pharmacies and to issue a report of its findings from
the study to the Legislature by December 1, 2002.
FISCAL EFFECT : According to CalSTRS, this bill would have no
actuarial impact on the system.
COMMENTS : According to the Association of California School
Administrators, "Under current law retired CalSTRS members are
limited on the amount of additional compensation they may earn
each year in addition to their retirement allowance. A school
district may request a six month emergency waiver from this
provision if CalSTRS determines that the district has been
unsuccessful in permanently filling an administrator position
despite several months of recruitment, and the vacancy exists
beyond the control of the district.
"With a shrinking pool of qualified candidates and an increasing
number of retirements, school districts are seeking emergency
waivers for principals, interim superintendents and other
positions requiring specialized skills. Despite recruitment
efforts in state and out of state, the pool of top principal and
superintendent candidates is shrinking.
"AB 141 would amend current law to allow a one-time emergency
waiver extension for filling an administrator position, which
would sunset on January 1, 2001, if the school district
continues to meet the emergency criteria as outlined in current
law. This extension would allow a school or district to avoid a
revolving door of top administrators until a position is
permanently filled."
This bill was substantially amended in the Senate. While the
exact subject matter of this bill has not been heard in an
Subject matter was not heard in Assembly policy committee this
legislative
Session, should be noted in the last paragraph of the background
section of the
CSA analysis. Language will vary depending on the circumstance.
AB 141
Page 3
Assembly policy committee this legislative session, similar
bills dealing with the CalSTRS earnings limitation have been
heard in policy committee this year and supported by committee
members.
Analysis prepared by : Karon Green / P.E.,R. & S.S. / (916)
319-2957
FN: 0004520