BILL NUMBER: SB 1694	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Ortiz

                        FEBRUARY 22, 2000

   An act to amend Section 22508 of the Education Code and to amend
Section 20309 of the Government Code, relating to retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1694, as introduced, Ortiz.  Public employees' retirement:
membership election.
   Under existing law, members of the State Teachers' Retirement
System or the Public Employees' Retirement System, who become
employed by any of a list of other public employers to perform
service that requires membership in a different public retirement
system, may elect to be excluded from membership in that different
system and continue to have their service subject to their existing
system.
   This bill would make this election available to (1) members of the
State Teachers' Retirement System who become employed by the state
and (2) members of the Public Employees' Retirement System employed
by the state who are subsequently employed to perform service subject
to coverage by the State Teachers' Retirement System.
   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 22508 of the Education Code is amended to read:

   22508.  (a) A member who becomes employed by the same or a
different school district  ,   or 
community college district,  or  a county
superintendent  , or the state  to perform service that
requires membership in a different public retirement system, may
elect to have that service subject to coverage by the Defined Benefit
Program of this plan and excluded from coverage by the other public
retirement system.  The election shall be made in writing on a form
prescribed by this system within 60 days from the date of hire in the
position requiring membership in the other public retirement system.
  If that election is made, the service performed for the employer
after the date of hire shall be considered creditable service for
purposes of this part.
   (b) A member of the Public Employees' Retirement System who is
employed by a school district, community college district, 
or  a county superintendent  , or the state  and
who is subsequently employed to perform creditable service subject to
coverage by the Defined Benefit Program of this plan may elect to
have that  subsequent  service subject to coverage by the
Public Employees' Retirement System and excluded from coverage by the
Defined Benefit Program  pursuant to Section 20309 of the
Government Code  .   The election shall be made in
writing on a form prescribed by this system within 60 days from the
date of hire to perform creditable service.  If that election is
made, creditable service performed for the employer after the date of
hire shall be subject to coverage by the Public Employees'
Retirement System. 
   (c) An election made by a member pursuant to this section shall be
irrevocable.
  SEC. 2.  Section 20309 of the Government Code is amended to read:
   20309.  (a) A member of the  Public Employees' Retirement
System   system  who is employed by  a school
district, community college district, a county superintendent, 
the Board of Governors of the California Community Colleges  , or
the state  and who subsequently is employed  by a
community college district  to perform service subject to
coverage by the  Defined Benefit Program of the  State
Teachers' Retirement  System   Plan  , may
elect to retain coverage by  the Public Employees' Retirement
System   this system  for that  subsequent
 service.  An election to retain coverage under  the
Public Employees' Retirement System   this system 
shall be submitted in writing by the member to the  Public
Employees' Retirement System   system  on a form
prescribed by the system, and a copy of the election shall be
submitted to the State Teachers' Retirement System, within 60 days of
the date the member's change in employment is effective.
   (b)  (1) A member who had been a member of the State
Teachers' Retirement System and who changed employment and became a
member of the Public Employees' Retirement System on or after July 1,
1991, but before January 1, 1998, may elect to return to coverage
under the State Teachers' Retirement System if an election to do so
is made in writing to each system on or before March 1, 1998.
Members who elect to transfer to the State Teachers' Retirement
System shall pay, prior to retirement, all contributions with respect
to service in the Public Employees' Retirement System at the
contribution rate for additional service credit in effect at the time
of the transfer to the State Teachers' Retirement System.
   (2) The Public Employees' Retirement System shall transfer the
actuarial present value of the assets of a person who makes an
election pursuant to this subdivision to the State Teachers'
Retirement System.
   (3) The Public Employees' Retirement System is not required to
identify and notify members who may be eligible for the election
allowed by this section.
   (c) Subdivision (a) shall apply to changes in employment effective
on or after January 1, 1998.   Any election made
pursuant to this section shall become effective as of the first day
of employment in the position that qualified the member to make an
election.