HB 183: "An Act relating to retirement contributions and benefits under the public employees' retirement system of certain juvenile detention employees and juvenile correctional institution employees."
00 HOUSE BILL NO. 183 01 "An Act relating to retirement contributions and benefits under the public employees' 02 retirement system of certain juvenile detention employees and juvenile correctional 03 institution employees." 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, 2004, each juvenile 09 officer shall contribute to the system an amount equal to seven and one-half 10 percent of the juvenile officer'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). A member may not have the option of 03 making the payroll deduction directly instead of having the contribution picked up by 04 the employer. 05 * Sec. 2. AS 39.35.370(a) is amended to read: 06 (a) Subject to AS 39.35.450, a terminated employee is eligible for a normal 07 retirement benefit 08 (1) at age 60 with at least five years credited service; 09 (2) with at least 20 years of credited service as a peace officer, [OR] 10 fire fighter, or juvenile officer; or 11 (3) with at least 30 years of credited service for all other employees. 12 * Sec. 3. AS 39.35.370(c) is amended to read: 13 (c) The monthly amount of a retirement benefit for a peace officer, [OR] fire 14 fighter, or juvenile officer is two percent of the average monthly compensation times 15 the years of credited service through 10 years, plus two and one-half percent of the 16 average monthly compensation times the years of service over 10 years. For all other 17 employees it is 18 (1) two percent of the average monthly compensation times all years of 19 service before July 1, 1986, and for years of service through a total of 10 years; plus 20 (2) two and one-quarter percent of the average monthly compensation 21 times all years of service after June 30, 1986, over 10 years of total service through 20 22 years; plus 23 (3) two and one-half percent of the average monthly compensation 24 times all years of service after June 30, 1986, over 20 years of total service. 25 * Sec. 4. AS 39.35.370(f) is amended to read: 26 (f) A member who is vested in the system as a peace officer, [OR] fire fighter, 27 or juvenile officer at the time the member incurs a permanent disability of at least 33 28 1/3 percent under workers' compensation and who (1) undergoes retraining because of 29 the disability; and (2) is subsequently employed with the state or other employer in a 30 position other than peace officer, [OR] fire fighter, or juvenile officer is eligible for a 31 normal retirement benefit as a peace officer, [OR] fire fighter, or juvenile officer
01 under (a) and (c) of this section upon completing 20 years of credited service. 02 * Sec. 5. AS 39.35.527 is amended to read: 03 Sec. 39.35.527. Election to terminate coverage as a peace officer, [OR] fire 04 fighter, or juvenile officer. (a) Any active member may elect to irrevocably 05 relinquish hazardous duty [PEACE OFFICER OR FIRE FIGHTER] status with the 06 system and to retain all credited service as if it had been acquired as a member other 07 than a peace officer, [OR] fire fighter, or juvenile officer. 08 (b) In order to relinquish hazardous duty [PEACE OFFICER OR FIRE 09 FIGHTER] status with the system, a person must be an active member and must file a 10 written request with the administrator by July 1, 1984, for active members who are 11 peace officers or fire fighters or within six months after employment as a peace 12 officer or fire fighter, or by July 1, 2004, or within six months after employment as 13 a juvenile officer for active members who are juvenile officers, whichever occurs 14 later. No person has more than one opportunity to exercise this option. 15 (c) As soon as possible after the relinquishment, the administrator shall refund 16 to a person who relinquishes hazardous duty [PEACE OFFICER OR FIRE 17 FIGHTER] status under this section a refund equal to the amount by which the 18 balance of the person's accumulated mandatory contributions plus interest exceeds the 19 balance that [WHICH] would exist if all service credit had been acquired as a member 20 other than a peace officer, [OR] fire fighter, or juvenile officer. 21 (d) A written request to relinquish hazardous duty [PEACE OFFICER OR 22 FIRE FIGHTER] status is irrevocable upon filing with the administrator. 23 (e) In this section, "hazardous duty status" means status as a peace 24 officer, fire fighter, or juvenile officer under this system. 25 * Sec. 6. AS 39.35.680 is amended by adding a new paragraph to read: 26 (41) "juvenile officer" means a youth counselor, unit leader, or 27 superintendent in a juvenile detention or juvenile correctional facility. 28 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 29 read: 30 TRANSITION. (a) An employee who was employed before January 1, 2004, but on 31 or after June 23, 1983, in a position that meets the definition of "juvenile officer" enacted in
01 sec. 6 of this Act may convert the credited service for that position during that time to credited 02 service as a juvenile officer as enacted by this Act by claiming the service as juvenile officer 03 service before the member is appointed to retirement. When the member claims this credited 04 service as juvenile officer service, an indebtedness of the member to the system shall be 05 established. The indebtedness is equal to (1) the contributions to the system that the 06 employee would have made if the service had counted as juvenile officer service, less (2) the 07 contributions to the system that the employee actually made. Interest, as prescribed by 08 regulation, accrues on this indebtedness, as required by regulation. Any outstanding 09 indebtedness that exists at the time a person is appointed to retirement will require an actuarial 10 adjustment to the benefits payable based upon the service claimed under this subsection. 11 (b) In this section, "juvenile officer service" means service that is eligible for 12 enhanced retirement benefits as established in this Act.