BILL ANALYSIS
SB 1694
Page 1
SENATE THIRD READING
SB 1694 (Ortiz)
As Amended August 29, 2000
Majority vote
SENATE VOTE :39-0
PUBLIC EMPLOYEES 6-0 APPROPRIATIONS 21-0
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|Ayes:|Correa, Pescetti, Briggs, |Ayes:|Migden, Campbell, |
| |Dutra, Firebaugh, Honda | |Ackerman, Alquist, |
| | | |Aroner, Ashburn, Brewer, |
| | | |Cedillo, Corbett, Davis, |
| | | |Kuehl, Maldonado, Papan, |
| | | |Romero, Runner, Shelley, |
| | | |Thomson, Wesson, Wiggins, |
| | | |Wright, Zettel |
|-----+--------------------------+-----+--------------------------|
| | | | |
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SUMMARY : Specifically, this bill allows members of the State
Teachers' Retirement System (CalSTRS) who become employed by the
state in a bargaining unit that represents educational
employees, as specified, or that supervises or manages such
employees, to remain in CalSTRS, and allows state members of the
Public Employees' Retirement System (CalPERS) employed by the
State Department of Education who are subsequently employed in
service that requires membership in CalSTRS to remain in
CalPERS.
EXISTING LAW allows a CalSTRS member who becomes employed in a
position requiring CalPERS membership by the same or a different
school district, community college district or county
superintendent of schools to elect to continue their membership
in CalSTRS.
Additionally, existing law allows a school member of CalPERS who
changes jobs to a position requiring CalSTRS membership within
the same or a different school district, community college
district or county superintendent of schools to elect to
continue their membership in CalPERS.
Finally, SB 227 (Solis), Chapter 838, Statutes of 1997 allows a
vested CalSTRS member who was employed by a community college
SB 1694
Page 2
district to remain in CalSTRS if they were subsequently employed
by the state community colleges which would require membership
in CalPERS.
FISCAL EFFECT : The cost of this bill is unknown and would
depend on the number of members who change jobs which would
otherwise necessitate changing membership in retirement systems.
COMMENTS : According to supporters, this bill would address a
recruitment and retention problem experienced by the Department
of Education when the department tries to hire experienced
teachers to work for the state. Because the teachers may be
nearing retirement age, they may want to maintain their CalSTRS
membership in order to maximize their impending CalSTRS
retirement benefit. Because existing law requires teachers who
come to work for the Department of Education to join CalPERS,
their CalSTRS retirement, in some instances, could be adversely
affected.
Additionally, supporters state that by allowing CalPERS members
that become credentialed teachers to continue to earn CalPERS
creditable service while teaching provides an additional
incentive for these former state employees to enter the
classroom.
Analysis Prepared by : Karon Green / P.E., R. & S.S. / (916)
319-3957
FN: 0006754