HB 106: "An Act relating to voluntary deduction of dues for membership in certain retiree organizations; and providing for an effective date."

00 HOUSE BILL NO. 106 01 "An Act relating to voluntary deduction of dues for membership in certain retiree 02 organizations; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 39.35.500(a) is amended to read: 05 (a) Except as provided in AS 29.45.030(a)(1) or in (b) of this section, 06 employee contributions and other amounts held in the plan are exempt from Alaska 07 state and local taxes. Except as provided in this subsection and in (b) and (c) of this 08 section, amounts held on behalf of, or payable to, any employee or other person who is 09 or may become eligible for benefits under the plan are not subject to anticipation, 10 alienation, sale, transfer, assignment, pledge, encumbrance, or charge of any kind, 11 either voluntary or involuntary, before being received by the person entitled to the 12 amount under the terms of the plan. An attempt to anticipate, alienate, sell, transfer, 13 assign, pledge, encumber, charge, or otherwise dispose of a right to amounts held 14 under the plan is void. However, an employee's right to receive benefits or the

01 member's employee contribution account may be assigned 02 (1) under a qualified domestic relations order; [OR] 03 (2) to a trust or similar legal device that meets the requirements for a 04 Medicaid-qualifying trust under AS 47.07.020(f) and 42 U.S.C. 1396p(d)(4); or 05 (3) as provided in (c) of this section. 06 * Sec. 2. AS 39.35.500 is amended by adding a new subsection to read: 07 (c) A person receiving benefits under this chapter who intends to join or who 08 belongs to a retirement organization may authorize the administrator to deduct from 09 the person's benefits the amount of annual dues owed to the organization. The person 10 shall make the authorization in writing on a form approved by the administrator. The 11 authorization remains in effect until revoked in writing. The revocation is effective 12 when received by the administrator. The administrator may, by regulation, assess a 13 reasonable administrative fee to compensate the system for administering this 14 subsection. In this subsection, "retirement organization" means an organization 15 representing persons receiving benefits under this chapter that is affiliated with an 16 organization representing employees of the employer under AS 23.40.070 - 23.40.260. 17 * Sec. 3. This Act takes effect October 1, 2013.