Legislature(2005 - 2006)
2005-05-04 House Journal
Full Journal pdf2005-05-04 House Journal Page 1516 SB 141 The following, which was in second reading with amendments pending from the May 3, 2005, calendar (page 1490), was before the House in second reading: HOUSE CS FOR CS FOR SENATE BILL NO. 141(FIN) am H "An Act relating to the teachers' and public employees' retirement systems and creating defined contribution and health reimbursement plans for members of the teachers' retirement system and the public employees' retirement system who are first hired after July 1, 2005; relating to university retirement programs; establishing the Alaska Retirement Management Board to replace the Alaska State Pension Investment Board, the Alaska Teachers' Retirement Board, and the Public Employees' Retirement Board; adding appeals of the decisions of the administrator of the teachers' and public employees' retirement systems to the jurisdiction of the office of administrative hearings; providing for nonvested members of the teachers' retirement system defined benefit plans to transfer into the teachers' retirement system defined contribution plan and for nonvested members of the public employees' retirement system defined benefit plans to transfer into the public employees' retirement system defined contribution plan; providing for political subdivisions and public organizations to request to participate in the public employees' defined contribution retirement plan; and providing for an effective date." Amendment No. 5 was not offered. Amendment No. 6 was offered by Representative Weyhrauch: Page 40, line 24: Delete "may be optional or mandatory" Insert "must be optional" Page 41, lines 16 - 19: Delete all material and insert: "* Sec. 36. AS 14.40.671(a) is amended to read: 2005-05-04 House Journal Page 1517 (a) An employee in a participating position may elect to participate in a [THE OPTIONAL] university retirement program or to participate in the appropriate state retirement system. Eligibility to participate in a [THE] program begins on an employee's appointment to a participating position." Page 42, lines 1 - 3: Delete "if the participation is optional, or the effective date of the participation if the participation is mandatory, and" Page 42, line 15: Delete "[IMMEDIATELY]" Insert "immediately" Page 42, lines 16 - 17: Delete "as soon as possible" Page 42, lines 27 - 28: Delete "participates [ELECTS TO PARTICIPATE]" Insert "elects to participate" Page 43, lines 5 - 12: Delete all material. Renumber the following bill sections accordingly. Page 43, lines 21 - 24: Delete all material. Renumber the following bill sections accordingly. Page 115, line 7: Delete " sec. 59" Insert "sec. 57" Page 115, line 12: Delete "sec. 59" Insert "sec. 57" 2005-05-04 House Journal Page 1518 Page 115, line 15: Delete "sec. 59" Insert "sec. 57" Page 117, line 27: Delete "sec. 124" Insert "sec 122" Page 117, line 30: Delete "sec. 70" Insert "sec. 68" Page 119, line 20: Delete "SECTIONS 144 AND 145" Insert "SECTIONS 142 AND 143" Page 119, line 21: Delete "secs. 144 and 145" Insert "secs. 142 and 143" Page 119, line 23: Delete "secs. 144 and 145" Insert "secs. 142 and 143" Page 119, lines 26 - 28: Delete "secs. 1 - 8, 11, 14 - 19, 22 - 91, 98 - 109, 111 - 116, 118, 119, and 121 - 134 of this Act take effect after July 1, 2005, secs. 1 - 8, 11, 14 - 19, 22 - 91, 98 - 109, 111 - 116, 118, 119, and 121 - 134" Insert "secs. 1 - 8, 11, 14 - 19, 22 - 89, 96 - 107, 109 - 114, 116, 117, and 119 - 132 of this Act take effect after July 1, 2005, secs. 1 - 8, 11, 14 - 19, 22 - 89, 96 - 107, 109 - 114, 116, 117, and 119 - 132" Page 119, line 30: Delete "Sections 19 and 118" Insert "Sections 19 and 116" Page 120, line 1: Delete "Sections 9, 10, 12, 13, 18, 90 - 95, 107, 115, and 135" Insert "Sections 9, 10, 12, 13, 18, 88 - 93, 105, 113, and 133" 2005-05-04 House Journal Page 1519 Page 120, line 3: Delete "Section 146" Insert "Section 144" Page 120, line 4: Delete "secs. 148, 149, and 150" Insert "secs. 146, 147, and 148" Representative Weyhrauch moved and asked unanimous consent that Amendment No. 6 be adopted. Representative Kelly objected. Representative Weyhrauch placed a call of the House on the bill. The call was satisfied. The question being: "Shall Amendment No. 6 be adopted?" The roll was taken with the following result: HCS CSSB 141(FIN) am H Second Reading Amendment No. 6 YEAS: 26 NAYS: 14 EXCUSED: 0 ABSENT: 0 Yeas: Berkowitz, Cissna, Crawford, Croft, Dahlstrom, Elkins, Gara, Gardner, Gruenberg, Guttenberg, Harris, Hawker, Joule, Kapsner, Kerttula, Kott, LeDoux, Lynn, Olson, Rokeberg, Salmon, Seaton, Stoltze, Thomas, Weyhrauch, Wilson Nays: Anderson, Chenault, Coghill, Foster, Gatto, Holm, Kelly, Kohring, McGuire, Meyer, Moses, Neuman, Ramras, Samuels And so, Amendment No. 6 was adopted. Amendment No. 7 was offered by Representative Weyhrauch: Page 5, line 21: Delete "Teachers First Hired before July 1, 2005" Insert "Teachers' Defined Benefit Retirement Plan" 2005-05-04 House Journal Page 1520 Page 5, line 23, following "July 1, 2005": Insert "or members first hired on or after July 1, 2005, who choose under AS 14.25.315 to participate in the defined benefit plan" Page 6, line 14, following "14.25.220": Insert "unless they choose to do so under AS 14.25.315" Page 15, line 13, following "July 1, 2005,": Insert "who fail to choose under AS 14.25.315 to participate in the defined benefit plan" Page 15, following line 14: Insert new material to read: "Sec. 14.25.315. Retirement plan choice. (a) A teacher who is first hired on or after July 1, 2005, may participate either in the defined benefits plan established in AS 14.25.009 - 14.25.220 or the defined contribution plan established in AS 14.25.310 - 14.25.590. The teacher may make a choice between the available retirement plans within 30 days after the date of employment, on a form provided by the administrator. If the teacher fails to make a timely choice under this section, the provisions of AS 14.25.310 - 14.25.590 shall apply to the teacher during the period of employment. (b) After the 31st day of employment, the teacher may not change from one retirement plan to another. The retirement plan determined to apply on the 31st day of employment shall be considered to apply beginning on the first day the teacher is employed and the day the retirement plan is determined. (c) A teacher who terminates employment and is later rehired by an employer may again exercise the option provided in this section only if, on the date of reemployment, the option in this section is available to all teachers first hired at the time the teacher is rehired. (d) The administrator shall notify the employer of a teacher as soon as possible regarding the retirement plan applicable to that teacher, and the employer shall make the appropriate teacher and employer contributions required by the applicable retirement plan for that teacher." 2005-05-04 House Journal Page 1521 Page 15, line 30, following "July 1, 2005,": Insert "and fails under AS 14.25.315 to choose to participate in the defined benefit retirement plan" Page 67, line 27: Delete "Public Employees First Hired before July 1, 2005" Insert "Public Employees' Defined Benefit Retirement Plan" Page 67, lines 28 - 29: Delete "to employees first hired before July 1, 2005" Page 67, line 30, following "July 1, 2005": Insert "or members first hired on or after July 1, 2005, who choose under AS 39.35.705 to participate in the defined benefit plan" Page 84, line 29, following "July 1, 2005": Insert ", who fail to choose to participate in the defined benefit plan under AS 39.35.705" Page 84, following line 30: Insert new material to read: "Sec. 39.35.705. Retirement plan choice. (a) An employee who is first hired on or after July 1, 2005, may choose to participate either in the defined benefits plan established in AS 39.35.095 - 39.35.680 or the defined contribution plan established in AS 39.35.700 - 39.35.990. The employee may make a choice between the available retirement plans within 30 days after the date of employment, on a form provided by the administrator. If the employee fails to make a timely choice under this section, the provisions of AS 39.35.700 - 39.35.990 shall apply to the employee during the period of employment. (b) After the 31st day of employment, the employee may not change from one retirement plan to another. The retirement plan determined to apply on the 31st day of employment shall be considered to apply beginning on the first day the employee is employed and the day the retirement plan is determined. (c) A employee who terminates employment and is later rehired may again exercise the option provided in this section only if, at the time of rehire, the option in this section is available to all employees first hired at the time the employee is rehired. 2005-05-04 House Journal Page 1522 (d) The administrator shall notify the employer of a employee as soon as possible regarding the retirement plan applicable to that employee, and the employer shall make the appropriate employee and employer contributions required by the applicable retirement plan for that employee." Page 85, line 18, following "July 1, 2005,": Insert "and fails under AS 39.35.705 to choose to participate in the defined benefit retirement plan" Representative Weyhrauch moved and asked unanimous consent that Amendment No. 7 be adopted. There was objection. Representative Weyhrauch moved and asked unanimous consent to withdraw Amendment No. 7. There being no objection, it was so ordered. Amendment No. 8 was offered by Representatives Croft and Weyhrauch: Page 5, line 21: Delete "Teachers First Hired before July 1, 2005" Insert "Teachers' Defined Benefit Retirement Plan" Page 5, line 23, following "July 1, 2005": Insert "or members first hired on or after July 1, 2005, who fail to choose under AS 14.25.315 to participate in the defined contribution plan" Page 6, line 14, following "14.25.220": Insert "unless they fail to choose under AS 14.25.315 to participate in the defined contribution plan" Page 15, line 13, following "July 1, 2005,": Insert "who choose under AS 14.25.315 to participate in the defined contribution plan" Page 15, following line 14: Insert new material to read: 2005-05-04 House Journal Page 1523 "Sec. 14.25.315. Retirement plan choice. (a) A teacher who is first hired on or after July 1, 2005, may participate either in the defined benefits plan established in AS 14.25.009 - 14.25.220 or the defined contribution plan established in AS 14.25.310 - 14.25.590. The teacher may make a choice between the available retirement plans within 30 days after the date of employment, on a form provided by the administrator. If the teacher fails to make a timely choice under this section, the provisions of AS 14.25.009 - 14.25.220 shall apply to the teacher during the period of employment. (b) After the 31st day of employment, the teacher may not change from one retirement plan to another. The retirement plan determined to apply on the 31st day of employment shall be considered to apply beginning on the first day the teacher is employed and the day the retirement plan is determined. (c) A teacher who terminates employment and is later rehired by an employer may again exercise the option provided in this section only if, on the date of reemployment, the option in this section is available to all teachers first hired at the time the teacher is rehired. (d) The administrator shall notify the employer of a teacher as soon as possible regarding the retirement plan applicable to that teacher, and the employer shall make the appropriate teacher and employer contributions required by the applicable retirement plan for that teacher." Page 15, line 30, following "July 1, 2005,": Insert "and chooses under AS 14.25.315 to participate in the defined contribution retirement plan" Page 67, line 27: Delete "Public Employees First Hired before July 1, 2005" Insert "Public Employees' Defined Benefit Retirement Plan" Page 67, lines 28 - 29: Delete "to employees first hired before July 1, 2005" Page 67, line 30, following "July 1, 2005": Insert "or members first hired on or after July 1, 2005, who fail to choose under AS 39.35.705 to participate in the defined contribution plan" 2005-05-04 House Journal Page 1524 Page 84, line 29, following "July 1, 2005": Insert ", who choose to participate in the defined contribution plan under AS 39.35.705" Page 84, following line 30: Insert new material to read: "Sec. 39.35.705. Retirement plan choice. (a) An employee who is first hired on or after July 1, 2005, may choose to participate either in the defined benefits plan established in AS 39.35.095 - 39.35.680 or the defined contribution plan established in AS 39.35.700 - 39.35.990. The employee may make a choice between the available retirement plans within 30 days after the date of employment, on a form provided by the administrator. If the employee fails to make a timely choice under this section, the provisions of AS 39.35.095 - 39.35.680 shall apply to the employee during the period of employment. (b) After the 31st day of employment, the employee may not change from one retirement plan to another. The retirement plan determined to apply on the 31st day of employment shall be considered to apply beginning on the first day the employee is employed and the day the retirement plan is determined. (c) A employee who terminates employment and is later rehired may again exercise the option provided in this section only if, at the time of rehire, the option in this section is available to all employees first hired at the time the employee is rehired. (d) The administrator shall notify the employer of a employee as soon as possible regarding the retirement plan applicable to that employee, and the employer shall make the appropriate employee and employer contributions required by the applicable retirement plan for that employee." Page 85, line 18, following "July 1, 2005,": Insert "and chooses under AS 39.35.705 to participate in the defined contribution retirement plan" Representative Croft moved and asked unanimous consent that Amendment No. 8 be adopted. Representative Kelly objected. 2005-05-04 House Journal Page 1525 The question being: "Shall Amendment No. 8 be adopted?" The roll was taken with the following result: HCS CSSB 141(FIN) am H Second Reading Amendment No. 8 YEAS: 21 NAYS: 19 EXCUSED: 0 ABSENT: 0 Yeas: Anderson, Berkowitz, Cissna, Crawford, Croft, Dahlstrom, Gara, Gardner, Gruenberg, Guttenberg, Harris, Hawker, Joule, Kapsner, Kerttula, Kott, LeDoux, Lynn, Ramras, Salmon, Weyhrauch Nays: Chenault, Coghill, Elkins, Foster, Gatto, Holm, Kelly, Kohring, McGuire, Meyer, Moses, Neuman, Olson, Rokeberg, Samuels, Seaton, Stoltze, Thomas, Wilson And so, Amendment No. 8 was adopted. Amendment No. 9 (amends Amendment No. 2, page 1480) was offered by Representative Seaton: Following Section 136: Insert a new bill section to read: "* Sec. 137. The uncodified law of the State of Alaska is amended by adding a new section to read: CONDITIONAL EFFECT OF SEC. 136(a). Section 136(a) of this Act, which repeals AS 14.25.310 - 14.25.590; AS 39.30.300 - 39.30.495; and AS 39.35.700 - 39.35.990 on June 1, 2006, is effective only if no bill is enacted before May 31, 2006, that amends AS 14.25 or AS 39.35." Renumber the following bill sections accordingly. Conform bill section references accordingly. Representative Seaton moved and asked unanimous consent that Amendment No. 9 be adopted. Representative Berkowitz objected. 2005-05-04 House Journal Page 1526 The question being: "Shall Amendment No. 9 be adopted?" The roll was taken with the following result: HCS CSSB 141(FIN) am H Second Reading Amendment No. 9 YEAS: 39 NAYS: 1 EXCUSED: 0 ABSENT: 0 Yeas: Anderson, Chenault, Cissna, Coghill, Crawford, Croft, Dahlstrom, Elkins, Foster, Gara, Gardner, Gatto, Gruenberg, Guttenberg, Harris, Hawker, Holm, Joule, Kapsner, Kelly, Kerttula, Kohring, Kott, LeDoux, Lynn, McGuire, Meyer, Moses, Neuman, Olson, Ramras, Rokeberg, Salmon, Samuels, Seaton, Stoltze, Thomas, Weyhrauch, Wilson Nays: Berkowitz And so, Amendment No. 9 was adopted. Amendment No. 10 was not offered. Representative Weyhrauch lifted the call