txt

SB 21: "An Act relating to retirement contributions and benefits under the public employees' retirement system of certain state employees who are employed as child or vulnerable adult protection workers or who supervise child or vulnerable adult protection workers."

00 SENATE BILL NO. 21 01 "An Act relating to retirement contributions and benefits under the public employees' 02 retirement system of certain state employees who are employed as child or vulnerable 03 adult protection workers or who supervise child or vulnerable adult protection 04 workers." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 39.35.160(a) is amended to read: 07 (a) Beginning January 1, 1987, each peace officer or fire fighter shall 08 contribute to the system an amount equal to seven and one-half percent of the peace 09 officer's or fire fighter's compensation. Beginning January 1, 2006, each state child 10 or vulnerable adult protection worker shall contribute to the system an amount 11 equal to seven and one-half percent of the employee's compensation. Except as 12 provided in (d) of this section, beginning January 1, 1987, each other employee shall 13 contribute to the system an amount equal to six and three-quarters percent of the 14 employee's compensation. The contributions shall be deducted by the employer at the

01 end of each payroll period. The contributions shall be deducted from employee 02 compensation before computation of applicable federal taxes, and the contributions 03 shall be treated as employer contributions under 26 U.S.C. 414(h)(2). A member may 04 not have the option of making the payroll deduction directly instead of having the 05 contribution picked up by the employer. 06 * Sec. 2. AS 39.35.370(a) is amended to read: 07 (a) Subject to AS 39.35.450, a terminated employee is eligible for a normal 08 retirement benefit 09 (1) at age 60 with at least five years credited service; 10 (2) with at least 20 years of credited service as a peace officer, [OR] 11 fire fighter, or state child or vulnerable adult protection worker; 12 (3) with at least 30 years of credited service for all other employees. 13 * Sec. 3. AS 39.35.370(c) is amended to read: 14 (c) The monthly amount of a retirement benefit for a peace officer, [OR] fire 15 fighter, or state child or vulnerable adult protection worker is two percent of the 16 average monthly compensation times the years of credited service through 10 years, 17 plus two and one-half percent of the average monthly compensation times the years of 18 service over 10 years. For all other employees it is 19 (1) two percent of the average monthly compensation times all years of 20 service before July 1, 1986, and for years of service through a total of 10 years; plus 21 (2) two and one-quarter percent of the average monthly compensation 22 times all years of service after June 30, 1986, over 10 years of total service through 20 23 years; plus 24 (3) two and one-half percent of the average monthly compensation 25 times all years of service after June 30, 1986, over 20 years of total service. 26 * Sec. 4. AS 39.35.370(f) is amended to read: 27 (f) A member who is vested in the system as a peace officer, [OR] fire fighter, 28 or state child or vulnerable adult protection worker at the time the member incurs 29 a permanent disability of at least 33 1/3 percent [PER CENT] under workers' 30 compensation and who (1) undergoes retraining because of the disability; and (2) is 31 subsequently employed with the state or other employer in a position other than peace

01 officer, [OR] fire fighter, or state child or vulnerable adult protection worker is 02 eligible for a normal retirement benefit as a peace officer, [OR] fire fighter, or state 03 child or vulnerable adult protection worker under (a) and (c) of this section upon 04 completing 20 years of credited service. 05 * Sec. 5. AS 39.35.527 is amended to read: 06 Sec. 39.35.527. Election to terminate coverage as a peace officer, [OR] fire 07 fighter, or state child or vulnerable adult protection worker. (a) Any active 08 member may elect to irrevocably relinquish peace officer or fire fighter status or 09 status as a state child or vulnerable adult protection worker with the system and to 10 retain all credited service as if it had been acquired as a member other than a peace 11 officer, [OR] fire fighter, or state child or vulnerable adult protection worker. 12 (b) In order to relinquish peace officer or fire fighter status or status as a 13 state child or vulnerable adult protection worker with the system, a person must be 14 an active member and must file a written request with the administrator by July 1, 15 1984, for active members who are peace officers or fire fighters or within six 16 months after employment as a peace officer or fire fighter, whichever occurs later, or 17 by July 1, 2006, or within six months after employment as a state child or 18 vulnerable adult protection worker for active members who are state child or 19 vulnerable adult protection workers, whichever occurs later. A [NO] person does 20 not have [HAS] more than one opportunity to exercise this option. 21 (c) As soon as possible after the relinquishment, the administrator shall refund 22 to a person who relinquishes peace officer or fire fighter status or status as a state 23 child or vulnerable adult protection worker under this section a refund equal to the 24 amount by which the balance of the person's accumulated mandatory contributions 25 plus interest exceeds the balance that [WHICH] would exist if all service credit had 26 been acquired as a member other than a peace officer, [OR] fire fighter, or state child 27 or vulnerable adult protection worker. 28 (d) A written request to relinquish peace officer or fire fighter status or status 29 as a state child or vulnerable adult protection worker is irrevocable upon filing 30 with the administrator. 31 * Sec. 6. AS 39.35.680 is amended by adding a new paragraph to read:

01 (41) "state child or vulnerable adult protection worker" means an 02 employee who is employed, on or after January 1, 2006, by the state Department of 03 Health and Social Services occupying a position with responsibility under AS 47.10, 04 AS 47.17, AS 47.24, or AS 47.35 for direct casework functions associated with 05 investigating reports of harm and providing protective services to children or 06 vulnerable adults, licensing facilities for the protective placement of those children or 07 vulnerable adults, or managing the work of employees performing those casework 08 functions on a regional basis. 09 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 10 read: 11 TRANSITION. (a) A state employee who was employed by the state before 12 January 1, 2006, as a child or vulnerable adult protection worker may convert the credited 13 service for that position during that time to credited service as a state child or vulnerable adult 14 protection worker as enacted by this Act by claiming the service as a state child or vulnerable 15 adult protection worker service before the member is appointed to retirement. When the 16 member claims this credited service as state child or vulnerable adult protection worker 17 service, an indebtedness of the member to the system shall be established. The indebtedness 18 is equal to (1) the contributions to the system that the employee would have made if the 19 service had counted as state child or vulnerable adult protection worker service, less (2) the 20 contributions to the system that the employee actually made. Interest, as prescribed by 21 regulation, accrues on this indebtedness. Any outstanding indebtedness that exists at the time 22 a person is appointed to retirement will require an actuarial adjustment to the benefits payable 23 based upon the service claimed under this subsection. 24 (b) In this section, "state child or vulnerable adult protection worker" has the meaning 25 given in AS 39.35.680(41), enacted by sec. 6 of this Act.