00 HOUSE BILL NO. 286 01 "An Act relating to the Teachers' Retirement System, the Judicial Retirement System, 02 and the Public Employees' Retirement System for qualified military service; relating to 03 the definition of 'veteran' for purposes of housing, eligibility for veterans' loans, and 04 preferences in state employment hiring; and providing for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06  * Section 1. AS 14.25.195 is amended by adding new subsections to read: 07 (b) To the extent required by 26 U.S.C. 401(a)(37), if a member dies while 08 performing qualified military service, as defined in 38 U.S.C. 43, the survivors of the 09 member are entitled to any additional benefits that would have been provided to the 10 survivors under the plan had the member resumed employment and then terminated 11 employment on account of death. For purposes of this subsection, periods of qualified 12 military service are not included in calculations of credited service. 13 (c) Consistent with, and to the extent required by 26 U.S.C. 414(u)(12), a 14 member receiving differential wage payments from an employer shall be treated as 01 employed by that employer, and the differential wage payment shall be treated as 02 compensation for purposes of applying the limits on annual additions under 26 U.S.C. 03 415(c). For purposes of this subsection, "differential wage payment" means any 04 payment which 05 (1) is made by an employer to an individual with respect to any period 06 during which the individual is performing service in the uniformed services, as defined 07 in 38 U.S.C. 43, while on active duty for a period of more than 30 days; and 08 (2) represents all or a portion of the wages the individual would have 09 received from the employer if the individual were performing service for the 10 employer. 11  * Sec. 2. AS 14.25.582 is amended by adding new subsections to read: 12 (b) To the extent required by 26 U.S.C. 401(a)(37), if a member dies while 13 performing qualified military service, as defined in 38 U.S.C. 43, the survivors of the 14 member are entitled to any additional benefits that would have been provided to the 15 survivors under the plan had the member resumed employment and then terminated 16 employment on account of death. For purposes of this section, periods of qualified 17 military service are not included in calculations of credited service. 18 (c) Consistent with, and to the extent required by 26 U.S.C. 414(u)(12), a 19 member receiving differential wage payments from an employer shall be treated as 20 employed by that employer, and the differential wage payment shall be treated as 21 compensation for purposes of applying the limits on annual additions under 26 U.S.C. 22 415(c). For purposes of this subsection, "differential wage payment" means any 23 payment which 24 (1) is made by an employer to an individual with respect to any period 25 during which the individual is performing service in the uniformed services, as defined 26 in 38 U.S.C. 43, while on active duty for a period of more than 30 days; and 27 (2) represents all or a portion of the wages the individual would have 28 received from the employer if the individual were performing service for the 29 employer. 30  * Sec. 3. AS 18.55.470(4) is amended to read: 31 (4) "veteran" means a person 01 (A) honorably separated from the military service of the United 02 States who has at any time resided continuously for at least one [A] year in the 03 state and who served in the armed forces of the United States for at least 90 04 days or whose service was for less than 90 days because of injury or disability 05 incurred in the line of duty, between 06 (i) September 16, 1940, and July 25, 1947; 07 (ii) June 25, 1950, and January 31, 1955; [OR] 08 (iii) August 4, 1964, and November 7, 1975; 09 (iv) August 2, 1990, and January 2, 1992;  10 (v) September 11, 2001, and ending on the day  11 prescribed by presidential proclamation or by law as the last date  12 of Operation Iraqi Freedom; or  13 (vi) any of the time periods listed in 5 U.S.C.  14 2108(1);  15 (B) who served in the Alaska Territorial Guard for at least 90 16 days or whose service was for less than 90 days because of injury or disability 17 incurred in the line of duty, and who has at any time resided continuously for 18 at least one [A] year in the state; 19 (C) who is the spouse or widow or widower of a person 20 described under (A) or (B) of this paragraph. 21  * Sec. 4. AS 22.25.110 is amended by adding new subsections to read: 22 (b) To the extent required by 26 U.S.C. 401(a)(37), if a member dies while 23 performing qualified military service, as defined in 38 U.S.C. 43, the survivors of the 24 member are entitled to any additional benefits that would have been provided to the 25 survivors under the plan had the member resumed employment and then terminated 26 employment on account of death. For purposes of this subsection, periods of qualified 27 military service are not included in calculations of credited service. 28 (c) Consistent with, and to the extent required by 26 U.S.C. 414(u)(12), a 29 member receiving differential wage payments from an employer shall be treated as 30 employed by that employer, and the differential wage payment shall be treated as 31 compensation for purposes of applying the limits on annual additions under 26 U.S.C. 01 415(c). For purposes of this subsection, "differential wage payment" means any 02 payment which 03 (1) is made by an employer to an individual with respect to any period 04 during which the individual is performing service in the uniformed services, as defined 05 in 38 U.S.C. 43, while on active duty for a period of more than 30 days; and 06 (2) represents all or a portion of the wages the individual would have 07 received from the employer if the individual were performing service for the 08 employer.  09  * Sec. 5. AS 26.15.130(a) is amended to read: 10 (a) Qualifications for loans under this chapter are: 11 (1) persons who served in the armed forces of the United States for 90 12 days or more, or whose service was for less than 90 days because of injury or 13 disability incurred in the line of duty, between April 6, 1917, and November 11, 1918, 14 between [AND BEGINNING] September 16, 1940, and [TO] November 7, 1975, 15 between August 2, 1990, and January 2, 1992, beginning September 11, 2001, and  16 ending on the day prescribed by presidential proclamation or by law as the last  17 date of Operation Iraqi Freedom, or who served in a combat zone during any 18 period of armed conflict, or during any time period listed in 5 U.S.C. 2108(1), who 19 were separated from the armed forces with a discharge other than dishonorable, and 20 (A) who, at the time of induction into the service, were 21 residents of the territory or state, who had been residents for not less than one 22 year immediately before their induction, and who returned to the territory or 23 state after discharge as residents with the intention of remaining in the territory 24 or state; or 25 (B) who, not being bona fide residents of the territory or state 26 before their entry into the service, have been residents of the territory or state 27 for one or more years; 28 (2) persons who were dependent on a member of the armed forces or a 29 veteran of World War II at the time of the member's or veteran's death, if 30 (A) the member or veteran was a resident of the territory or 31 state for one year before induction into the service; and 01 (B) the member or veteran served in the armed forces for at 02 least 90 days between September 16, 1940, and July 25, 1947, but benefits for 03 loans do not accrue to dependents of an enlistee or re-enlistee for time served 04 after November 1, 1945, regardless of whether the enlistment or reenlistment 05 was before or after November 1, 1945; and 06 (C) the member or veteran died before the official date of the 07 termination of that war; and 08 (D) the member's or veteran's discharge was not dishonorable; 09 (3) persons who have served in the Alaska Army National Guard or the 10 Alaska Air National Guard or the Alaska Naval Militia for not less than six years and 11 who have not received a discharge other than honorable. 12  * Sec. 6. AS 26.15.160 is amended to read: 13 Sec. 26.15.160. Extension of chapter to members of the Alaska Territorial  14 Guard and to veterans of the armed forces of the United States [KOREA AND  15 VIETNAM]. The provisions of this chapter, except those provisions relating to the 16 payment of bonuses, are extended to persons who served in the Alaska Territorial 17 Guard and to veterans of the armed forces of the United States, who served other 18 than dishonorably on active duty between June 25, 1950, and January 31, 1955, [WHO 19 SERVED OTHER THAN DISHONORABLY ON ACTIVE DUTY] between 20 August 4, 1964, and November 7, 1975, between August 2, 1990, and January 2,  21 1992, beginning September 11, 2001, and ending on the day prescribed by  22 presidential proclamation or by law as the last date of Operation Iraqi Freedom,  23 or during any time period listed in 5 U.S.C. 2108(1) and to dependents of those 24 persons, subject to the following provisions and eligibility qualifications:  25 (1) persons are eligible 26 (A) who served in the Alaska Territorial Guard, who were 27 discharged other than dishonorably from the armed forces of the United States, 28 or who are released to a reserve component; and 29 (B) who, at the time of entry into the service, were bona fide 30 residents of the territory or State of Alaska and had been residents of the 31 territory or state for not less than one year before their entry into the service; 01 and who have returned to the territory or state within a reasonable length of 02 time after the end of their service in the Alaska Territorial Guard or their 03 discharge or separation as residents with the intention of remaining in the 04 territory or state; or who, not being bona fide residents of the territory before 05 their entry into the service, have lived in the territory or state for at least five 06 years following their release from active military service; and 07 (C) who served in the armed forces of the United States for 90 08 days or more, or whose service was for a lesser period because of injury or 09 disability incurred in line of duty, between June 25, 1950, and January 31, 10 1955, [OR WHO SERVED IN THE ARMED FORCES OF THE UNITED 11 STATES FOR 90 DAYS OR MORE OR WHOSE SERVICE WAS FOR A 12 LESSER PERIOD BECAUSE OF INJURY OR DISABILITY INCURRED IN 13 LINE OF DUTY,] between August 4, 1964, and July 1, 1977, between  14 August 2, 1990, and January 2, 1992, beginning September 11, 2001, and  15 ending on the day prescribed by presidential proclamation or by law as  16 the last date of Operation Iraqi Freedom, or during any time period listed  17 in 5 U.S.C. 2108(1), or who served in the Alaska Territorial Guard for 90 days 18 or more or whose service in the Alaska Territorial Guard was for a lesser 19 period because of injury or disability incurred in the line of duty;  20 (2) persons are eligible who were dependent upon a member of the 21 Alaska Territorial Guard or armed forces or upon a veteran, including persons who 22 served in the Alaska Territorial Guard, eligible for the benefits of this chapter at the 23 time of the member's or veteran's death if the member or veteran was a resident of the 24 territory for one year before entry into service [AND DIED BEFORE NOVEMBER 5, 25 1975]; dependents must be unmarried and the deceased veteran or member of the 26 armed forces must have been their chief means of support and they must be either a 27 widow, widower, minor child, or a mother, father, sister, or brother incapable of self- 28 support; dependents must be residents of the state at the time of application and shall 29 intend to remain residents in the state permanently; the rights of minor children under 30 this chapter may be exercised only if they have no surviving parent and have an 31 appointed guardian who may apply on their behalf for the benefits of this chapter for 01 their care, support, or education; 02 (3) a person who is eligible for veteran's benefits under the laws of any 03 other state or territory is not eligible for the benefits of this section unless the person 04 has lived in the state or territory for at least five years following the end of the person's 05 service in the Alaska Territorial Guard or release from active military service; a World 06 War II veteran who received a bonus under former AS 26.15.120 and former 07 AS 26.15.150 need not repay the bonus in order to qualify under the loan provisions of 08 this section; 09 (4) for persons otherwise eligible for the benefits under this section, 10 who did not return to the state or territory not later than [WITHIN] one year after the 11 end of the persons' service in the Alaska Territorial Guard or separation from the 12 service unless prevented from doing so for medical, educational, or other valid 13 purposes approved by the Department of Commerce, Community, and Economic 14 Development not later than [WITHIN] one year after the end of the persons' service 15 in the Alaska Territorial Guard or separation from the service, an additional 16 requirement of four years' residence in the state or territory before their entry into the 17 service is imposed to entitle them to the benefit provisions of this section. 18  * Sec. 7. AS 39.25.159(f)(5) is amended to read: 19 (5) "veteran" means a person 20 (A) with 181 days or more active service in the armed forces of 21 the United States who has been honorably discharged after having served 22 during any period 23 (i) between April 6, 1917, and December 1, 1919, 24 between September 16, 1940, and December 31, 1947, [OR] between 25 June 27, 1950, and October 14, 1976, between August 2, 1990, and  26 January 2, 1992, beginning September 11, 2001, and ending on the  27 day prescribed by presidential proclamation or by law as the last  28 date of Operation Iraqi Freedom, or during any time period listed  29 in 5 U.S.C. 2108(1); or 30 (ii) in which the person was awarded a campaign badge, 31 expedition medal, the Purple Heart, or an award or decoration for 01 heroism or gallantry in action; 02 (B) who served 181 days or more in the Alaska Territorial 03 Guard. 04  * Sec. 8. AS 39.35.677 is amended by adding new subsections to read: 05 (b) To the extent required by 26 U.S.C. 401(a)(37), if a member dies while 06 performing qualified military service, as defined in 38 U.S.C. 43, the survivors of the 07 member are entitled to any additional benefits that would have been provided to the 08 survivors under the plan had the member resumed employment and then terminated 09 employment on account of death. For purposes of this subsection, periods of qualified 10 military service are not included in calculations of credited service. 11 (c) Consistent with, and to the extent required by 26 U.S.C. 414(u)(12), a 12 member receiving differential wage payments from an employer shall be treated as 13 employed by that employer, and the differential wage payment shall be treated as 14 compensation for purposes of applying the limits on annual additions under 26 U.S.C. 15 415(c). For purposes of this subsection, "differential wage payment" means any 16 payment which 17 (1) is made by an employer to an individual with respect to any period 18 during which the individual is performing service in the uniformed services, as defined 19 in 38 U.S.C. 43, while on active duty for a period of more than 30 days; and 20 (2) represents all or a portion of the wages the individual would have 21 received from the employer if the individual were performing service for the 22 employer. 23  * Sec. 9. AS 39.35.972 is amended by adding new subsections to read: 24 (b) To the extent required by 26 U.S.C. 401(a)(37), if a member dies while 25 performing qualified military service, as defined in 38 U.S.C. 43, the survivors of the 26 member are entitled to any additional benefits that would have been provided to the 27 survivors under the plan had the member resumed employment and then terminated 28 employment on account of death. For purposes of this subsection, periods of qualified 29 military service are not included in calculations of credited service. 30 (c) Consistent with, and to the extent required by 26 U.S.C. 414(u)(12), a 31 member receiving differential wage payments from an employer shall be treated as 01 employed by that employer, and the differential wage payment shall be treated as 02 compensation for purposes of applying the limits on annual additions under 26 U.S.C. 03 415(c). For purposes of this subsection, "differential wage payment" means any 04 payment which 05 (1) is made by an employer to an individual with respect to any period 06 during which the individual is performing service in the uniformed services, as defined 07 in 38 U.S.C. 43, while on active duty for a period of more than 30 days; and 08 (2) represents all or a portion of the wages the individual would have 09 received from the employer if the individual were performing service for the 10 employer. 11  * Sec. 10. The uncodified law of the State of Alaska is amended by adding a new section to 12 read: 13 RETROACTIVITY. (a) AS 14.25.195(b), added by sec. 1 of this Act, 14 AS 14.25.582(b), added by sec. 2 of this Act, AS 22.25.110(b), added by sec. 4 of this Act, 15 AS 39.35.677(b), added by sec. 8 of this Act, and AS 39.35.972(b), added by sec. 9 of this 16 Act, are retroactive to January 1, 2007. 17 (b) AS 14.25.195(c), added by sec. 1 of this Act, AS 14.25.582(c), added by sec. 2 of 18 this Act, AS 22.25.110(c), added by sec. 4 of this Act, AS 39.35.677(c), added by sec. 8 of 19 this Act, and AS 39.35.972(c), added by sec. 9 of this Act, are retroactive to January 1, 2009. 20  * Sec. 11. This Act takes effect immediately under AS 01.10.070(c).