SSHB 253: "An Act relating to retirement contributions and benefits under the public employees' retirement system of certain state employees who are employed as social workers or who supervise social workers."
00 SPONSOR SUBSTITUTE FOR HOUSE BILL NO. 253 01 "An Act relating to retirement contributions and benefits under the public employees' 02 retirement system of certain state employees who are employed as social workers or who 03 supervise social workers." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 39.35.160(a) is amended to read: 06 (a) Beginning January 1, 1987, each peace officer or fire fighter shall 07 contribute to the system an amount equal to seven and one-half percent of the peace 08 officer's or fire fighter's compensation. Beginning January 1, 2002, each state social 09 worker shall contribute to the system an amount equal to seven and one-half 10 percent of the social worker's compensation. Except as provided in (d) of this 11 section, beginning January 1, 1987, each other employee shall contribute to the system 12 an amount equal to six and three-quarters percent of the employee's compensation. 13 The contributions shall be deducted by the employer at the end of each payroll period. 14 The contributions shall be deducted from employee compensation before computation
01 of applicable federal taxes, and the contributions shall be treated as employer 02 contributions under 26 U.S.C. 414(h)(2). 03 * Sec. 2. AS 39.35.370(a) is amended to read: 04 (a) Subject to AS 39.35.450, a terminated employee is eligible for a normal 05 retirement benefit 06 (1) at age 60 with at least five years credited service; 07 (2) with at least 20 years of credited service as a peace officer, [OR] 08 fire fighter, or state social worker; or 09 (3) with at least 30 years of credited service for all other employees. 10 * Sec. 3. AS 39.35.370(c) is amended to read: 11 (c) The monthly amount of a retirement benefit for a peace officer, [OR] fire 12 fighter, or state social worker is two percent of the average monthly compensation 13 times the years of credited service through 10 years, plus two and one-half percent of 14 the average monthly compensation times the years of service over 10 years. For all 15 other employees it is 16 (1) two percent of the average monthly compensation times all years of 17 service before July 1, 1986, and for years of service through a total of 10 years; plus 18 (2) two and one-quarter percent of the average monthly compensation 19 times all years of service after June 30, 1986, over 10 years of total service through 20 20 years; plus 21 (3) two and one-half percent of the average monthly compensation 22 times all years of service after June 30, 1986, over 20 years of total service. 23 * Sec. 4. AS 39.35.370(f) is amended to read: 24 (f) A member who is vested in the system as a peace officer, [OR] fire fighter, 25 or state social worker at the time the member incurs a permanent disability of at least 26 33 1/3 percent under workers' compensation and who (1) undergoes retraining because 27 of the disability; and (2) is subsequently employed with the state or other employer in 28 a position other than peace officer, [OR] fire fighter, or state social worker is eligible 29 for a normal retirement benefit as a peace officer, [OR] fire fighter, or state social 30 worker under (a) and (c) of this section upon completing 20 years of credited service. 31 * Sec. 5. AS 39.35.527 is amended to read:
01 Sec. 39.35.527. Election to terminate coverage as a peace officer, [OR] fire 02 fighter, or state social worker. (a) Any active member may elect to irrevocably 03 relinquish hazardous duty [PEACE OFFICER OR FIRE FIGHTER] status with the 04 system and to retain all credited service as if it had been acquired as a member other 05 than a peace officer, [OR] fire fighter, or state social worker. 06 (b) In order to relinquish hazardous duty [PEACE OFFICER OR FIRE 07 FIGHTER] status with the system, a person must be an active member and must file a 08 written request with the administrator by July 1, 1984, for active members who are 09 peace officers or fire fighters or within six months after employment as a peace 10 officer or fire fighter, or by July 1, 2002, or within six months after employment as 11 a state social worker for active members who are state social workers, whichever 12 occurs later. No person has more than one opportunity to exercise this option. 13 (c) As soon as possible after the relinquishment, the administrator shall refund 14 to a person who relinquishes hazardous duty [PEACE OFFICER OR FIRE 15 FIGHTER] status under this section a refund equal to the amount by which the 16 balance of the person's accumulated mandatory contributions plus interest exceeds the 17 balance which would exist if all service credit had been acquired as a member other 18 than a peace officer, [OR] fire fighter, or state social worker. 19 (d) A written request to relinquish hazardous duty [PEACE OFFICER OR 20 FIRE FIGHTER] status is irrevocable upon filing with the administrator. 21 (e) In this section, "hazardous duty status" means status as a peace 22 officer, fire fighter, or state social worker under this system. 23 * Sec. 6. AS 39.35.680 is amended by adding a new paragraph to read: 24 (41) "state social worker" means a state employee who is employed, on 25 or after January 1, 2002, as a 26 (A) social worker whose prime responsibility is child 27 protection under AS 47.10, 47.17, or 47.35; 28 (B) unit leader of social workers whose prime responsibility is 29 child protection under AS 47.10, 47.17, or 47.35; or 30 (C) direct supervisor of a social worker whose prime 31 responsibility is child protection under AS 47.10, 47.17, or 47.35.
01 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 02 read: 03 TRANSITION. (a) A state employee who was employed by the state before 04 January 1, 2002, as a social worker, unit leader of social workers, or direct supervisor of a 05 social worker may convert the credited service for that position during that time to credited 06 service as a state social worker as enacted by this Act by claiming the service as state social 07 worker service before the member is appointed to retirement. When the member claims this 08 credited service as state social worker service, an indebtedness of the member to the system 09 shall be established. The indebtedness is equal to (1) the contributions to the system that the 10 employee would have made if the service had counted as state social worker service, less (2) 11 the contributions to the system that the employee actually made. Interest, as prescribed by 12 regulation, accrues on this indebtedness, as required by regulation. Any outstanding 13 indebtedness that exists at the time a person is appointed to retirement will require an actuarial 14 adjustment to the benefits payable based upon the service claimed under this subsection. 15 (b) In this section, "state social worker" has the meaning given in AS 39.35.680(41), 16 enacted by sec. 6 of this Act.