BILL NUMBER: AB 2118	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY   APRIL 10, 2000

INTRODUCED BY   Assembly Member Bock

                        FEBRUARY 22, 2000

    An act to amend Sections 22001.5, 22109, 22115.2,
22115.5, 22167, 22200, 22201, 22207, 22212, 22375, 22400, 22508,
22508.5, 22509, 22513, 22514, 22801, 22803, 22950, 22951, 22954,
22955, 23001, 23007, 23008, 23201, 24201, 24255, 24260, 24412, 24702,
24975, 25000, 26000, 26000.5, 26000.6, 26001, 26002, 26105, 26109,
26142, 26200, 26201, 26202, 26204, 26206, 26209, and 26210 of, to
amend the heading of Chapter 7 (commencing with Section 22375) of
Part 13 of Division 1 of Title 1 of, to add Sections 22500.5 and
26138.5 to, to add Chapter 6 (commencing with Section 22360) to Part
13 of Division 1 of Title 1 of, to repeal and add Section 22002 of,
to repeal Sections 22001, 22143, 22144, 22168, 22201.2, 22201.3,
22202, 22203, 22203.5, 22204, 22205, 22206, 22208, 22209, 22210,
22217, 22218, 22218.5, 22221, 22223, 22224, 22225, 22300, 22301,
22307, 22311, 22322, 22323, 22324, 22330, 22401, 22403, 22510, 22512,
and 22954.5 of, and to repeal Chapter 4 (commencing with Section
22250) and Chapter 6 (commencing with Section 22350) of Part 13 of
Division 1 of Title 1 of, the Education Code, and to amend Sections
20057, 20170, 20175, 20176, 20177, 20178, 20195, 20300, 20309, 20370,
20501, 20610, 20611, 20752, 20900, 21220, 21661, 22009.03, 22009.1,
22018, 22156, 22202, 22203, 22204, 22208, 22302, 22502, 22754,
22754.2, 31565, and 31840.8 of, to add Sections 20090.5, 20281.5, and
20281.6 to, the Government Code, and to amend Section 6217.5 of the
Public Resources Code, relating to the State Teachers' Retirement
System, and making an appropriation therefor.   An act
to add Section 20136 to the Government Code, relating to public
retirement systems. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2118, as amended, Bock.   State Teachers' Retirement
System   Public retirement systems  :  merger
 of system   study  . 
   Existing law establishes the Public Employees' Retirement Law and
sets forth procedures for its administration and the provision of
benefits to eligible members, under the direction of its board of
administration.  Existing law also establishes the State Teachers'
Retirement Law and sets forth procedures for its administration and
the provision of benefits to its eligible members, under the
direction of the Teachers' Retirement Board.
   This bill would require the Board of Administration of the Public
Employees' Retirement System and the Teachers' Retirement Board to
conduct a study to determine the feasibility of merging the State
Teachers' Retirement System into the Public Employees' Retirement
System.  The bill would require that this study be completed and
presented to the Legislature on or before December 31, 2001. 

   The State Teachers' Retirement Law establishes the State Teachers'
Retirement Plan which is administered by the State Teachers'
Retirement System under the direction of the Teachers' Retirement
Board.  Assets of the plan are deposited and held in the Teachers'
Retirement Fund.  The Public Employees' Retirement Law establishes
the Public Employees' Retirement System which is governed by the
Board of Administration of the Public Employees' Retirement System.
Assets of that system are deposited and held in the Public Employees'
Retirement Fund, a continuously appropriated special fund.
   This bill would abolish the State Teachers' Retirement System, the
Teachers' Retirement Board, and the Teachers' Retirement Fund.  The
State Teachers' Retirement Plan would instead be administered by the
Public Employees' Retirement System, under the direction of the Board
of Administration of that system and all assets of the plan would be
deposited and held in the Public Employees' Retirement Fund, thereby
making an appropriation.  The bill would provide that the merger of
the 2 systems shall not affect the vested rights or benefits of
members or retirees of the State Teachers' Retirement Plan. 

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


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  
  SECTION 1.  Section 22001 of the Education Code is  
  SECTION 1.  Section 20136 is added to the Government Code, to read:

   20136.  (a) The board and the Teachers' Retirement Board shall
conduct a study to determine the feasibility of merging the State
Teachers' Retirement System into the Public Employees' Retirement
System.
   (b) The study conducted pursuant to subdivision (a) shall include,
but not be limited to, all of the following:
   (1) An analysis of the benefit structure following a merger.
   (2) The composition of the board following a merger.
   (3) The effect of a merger on the retirement fund.
   (4) The methods to be used to administer the merger of the two
systems.
   (5) Financing of benefits for members of the former State Teachers'
Retirement System.
   (c) The board and the Teachers' Retirement Board shall complete
the study and present their findings to the Legislature on or before
December 31, 2001.     _____________________________________
All matter omitted in this version   of the bill appears in the bill
as   introduced in the  Assembly, February 22, 2000 (JR 11)
____________________________________