00 CS FOR HOUSE BILL NO. 159(FIN)                                                                                        
01 "An Act permitting certain employees in state correctional facilities to convert                                        
02 their credited service under the public employees' retirement system to credited                                        
03 service as peace officers."                                                                                             
04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                               
05    * Section 1.  AS 39.35.370 is amended by adding a new subsection to read:                                          
06  (g)  When an employee who was employed in the public employees' retirement                                            
07 system as an employee of a state correctional facility, as defined in AS 33.30.901,                                     
08 other than as a correctional officer or correctional superintendent applies for                                         
09 appointment to retirement, the employee may convert the credited service for that                                       
10 position to credited service as a peace officer by claiming the service as peace officer                                
11 service.  An employee who has converted credited service to peace officer service                                       
12 under this subsection shall be treated as a peace officer for purposes of this chapter.                                 
13 When the member claims this credited service as peace officer service, an indebtedness                                  
14 of the member to the system shall be established.  The indebtedness is equal to the full                                
01 actuarial cost of the conversion of the credited service to treatment as peace officer                                  
02 service.  Any outstanding indebtedness that exists at the time the member is appointed                                  
03 to retirement will require an actuarial adjustment to the benefits payable based upon                                   
04 the conversion of the credited service.