BILL NUMBER: SB 473	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Ortiz

                        FEBRUARY 17, 1999

   An act to add Section 22801.5 to the Education Code, relating to
the State Teachers' Retirement System.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 473, as introduced, Ortiz.  State Teachers' Retirement System:
benefits.
   The State Teachers' Retirement Law authorizes members to elect to
receive additional service credit upon payment of contributions.
   This bill would authorize a school district, community college
district, or county office of education to pay all or a portion of
the member's costs for that service credit.
   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 22801.5 is added to the Education Code, to
read:
   22801.5.  (a) A school district, a community college district, or
a county office of education may, subject to subdivision (g), pay all
or a portion of the cost to receive credit for service authorized to
be purchased by a member pursuant to Sections 22802, 22805, 22806,
22809, or paragraphs (1), (3), (4), or (5), of subdivision (a) of
Section 22803 or Chapter 14.2 (commencing with Section 22820) or
authorized to be credited to a member who redeposits previously
refunded contributions pursuant to Chapter 19 (commencing with
Section 23200).  Any payments made by a school district, a community
college district, or a county office of education for service to be
credited to a member who redeposits previously refunded contributions
pursuant to Chapter 19 (commencing with Section 23200), shall be in
accord with the provisions of that chapter.
   (b) A school district, a community college district, or a county
office of education electing to pay for credited service pursuant to
this section shall establish criteria that are consistent with one or
more of the objectives specified in subdivision (f), which shall be
used to determine eligibility for a member to have service credit
paid by the school district, community college district, or county
office of education.  The criteria shall be broad enough to apply to
at least 20 employees who are members of the system, or 3 percent of
the employees who are members of the system, whichever is greater,
unless the Teachers' Retirement Board specifically authorizes the
application of criteria to a lesser number or percentage of members
due to unique circumstances, as determined by the Teachers'
Retirement Board.
   (c) The opportunity to have the cost of credit for service paid by
the school district, a community college district, or a county
office of education pursuant to this section shall be made equally
available to any member employed by the school district, a community
college district, or a county office of education who meets the
criteria established by the school district, community college
district, or county office of education pursuant to this section, and
shall not be restricted to members who are not classroom teachers,
as defined in Section 22135.
   (d) The school district, a community college district, or a county
office of education shall pay either the same dollar amount toward
the purchase of service credit or purchase an equal amount of credit
for service pursuant to this section for each member employed by the
school district, community college district, or county office of
education who meets the criteria established by the school district,
community college district, or county office of education pursuant to
this section.  Payments to the retirement fund shall be made
annually in a manner and time period, not to exceed four years, that
is acceptable to the Teachers' Retirement Board.
   (e) Contributions made by a school district, community college
district, or county office of education pursuant to this section
shall not be credited to the account of the member.
   (f) The school district, community college district, or county
office of education may, purchase all or a portion of permissive
service credit pursuant to subdivision (a) to encourage members to
remain with the current employer for at least a specified number of
years, and to encourage members to cease employment with the current
employer in order to facilitate a change in workforce requirements
due, among other things, to an impending curtailment of services, a
decline in workload or a change in curriculum that results in a need
for different skills by teachers or instructors or to promote the
recruitment of members to become employed by the employer.
   (g) The school district, community college district, or county
office of education shall inform the Teachers' Retirement Board of
the criteria that are being applied to establish eligibility to pay
the cost of credit for service pursuant to this section, and the
estimated number of members who would be eligible to have the cost of
credit for service paid by the employer pursuant to this section.
Prior to authorizing the payment of funds by the school district,
community college district, or county office of education pursuant to
this section, the Teachers' Retirement Board shall determine whether
the criteria submitted to the board pursuant to this subdivision are
consistent with one or more of the objectives specified in
subdivision (f).