Legislature(2025 - 2026)
2025-05-10 House Journal
Full Journal pdf2025-05-10 House Journal Page 1104 HB 78 The following was before the House in second reading: CS FOR HOUSE BILL NO. 78(FIN) am "An Act relating to the public employees' retirement system and the teachers' retirement system; providing certain employees an opportunity to choose between the defined benefit and defined contribution plans of the public employees' retirement system and the teachers' retirement system; and providing for an effective date." Amendment No. 8 was not offered. Amendment No. 9 was offered by Representative Stapp: Page 7, line 31: Delete "12" Insert "14" Page 37, line 23: Delete "12" Insert "14" Representative Stapp moved and asked unanimous consent that Amendment No. 9 be adopted. Representative Kopp objected. The question being: "Shall Amendment No. 9 be adopted?" The roll was taken with the following result: 2025-05-10 House Journal Page 1105 CSHB 78(FIN) am Second Reading Amendment No. 9 YEAS: 17 NAYS: 21 EXCUSED: 2 ABSENT: 0 Yeas: Allard, Bynum, Costello, Coulombe, Elam, Johnson, McCabe, Moore, Prax, Ruffridge, Saddler, Schwanke, Stapp, Tilton, Tomaszewski, Underwood, Vance Nays: Burke, Carrick, Dibert, Edgmon, Eischeid, Fields, Foster, Galvin, Gray, Hall, Hannan, Himschoot, Holland, Jimmie, Josephson, Kopp, Mears, Mina, Schrage, Story, Stutes Excused: Nelson, Rauscher And so, Amendment No. 9 was not adopted. Amendment No. 10 was offered by Representative Bynum: Page 5, line 15: Delete "(1)" Page 5, line 20: Delete "; and" Insert "." Page 5, lines 21 - 27: Delete all material. Page 11, lines 8 - 9: Delete ", when combined with the amount separately computed for medical benefits under AS 14.25.087," Page 11, lines 18 - 23: Delete all material. Renumber the following bill sections accordingly. Page 14, line 26, through page 18, line 11: Delete all material. Renumber the following bill sections accordingly. 2025-05-10 House Journal Page 1106 Page 25, line 24, through page 28, line 12: Delete all material. Renumber the following bill sections accordingly. Page 28, lines 30 - 31: Delete "[DEFINED CONTRIBUTION PLAN OF THE]" Insert "defined contribution plan of the" Page 28, line 31, through page 29, line 1: Delete "AS 14.25.009 - 14.25.590 [AS 14.25.310 - 14.25.590 ON OR]" Insert "AS 14.25.310 - 14.25.590 [ON OR]" Page 29, lines 5 - 8: Delete "[OF THE DEFINED CONTRIBUTION PLAN] of the public employees' retirement system (AS 39.35) [PUBLIC EMPLOYEES' RETIREMENT SYSTEM UNDER AS 39.35.700 - 39.35.990 ON OR]" Insert "of the defined contribution plan [OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM] under AS 39.35.700 - 39.35.990 [ON OR]" Page 29, lines 22 - 23: Delete "Except as required under (b) of this section, for [FOR]" Insert "For" Page 29, line 23, following "plan": Insert "who is not an active member of the defined benefit retirement plan established under AS 14.25.009 - 14.25.220 or an active member of the defined benefit retirement plan established under AS 39.35.095 - 39.35.680" Page 30, lines 2 - 6: Delete all material. Reletter the following subsections accordingly. Page 30, line 15: Delete "AS 14.25.171" Insert "AS 14.25.168" 2025-05-10 House Journal Page 1107 Page 30, line 16: Delete "AS 39.35.537" Insert "AS 39.35.535" Page 30, line 27: Delete "AS 14.25.171" Insert "AS 14.25.168" Delete "AS 39.35.537" Insert "AS 39.35.535" Page 31, line 6: Delete "AS 14.25.171" Insert "AS 14.25.168" Page 31, line 7: Delete "AS 39.35.537" Insert "AS 39.35.535" Page 31, following line 31: Insert a new bill section to read: "* Sec. 50. AS 39.30.430(b) is amended to read: (b) Except as provided in AS 39.30.390, 39.30.400, and (a) of this section, the [THE] assets of the plan may not be used to pay premiums or contributions of the employer under another plan maintained by the employer." Renumber the following bill sections accordingly. Page 32, line 3: Delete "AS 14.25.171" Insert "AS 14.25.168" Delete "AS 39.35.537" Insert "AS 39.35.535" Page 35, line 22: Delete "(1)" Page 35, line 27: Delete "; and" Insert "." 2025-05-10 House Journal Page 1108 Page 35, line 28, through page 36, line 2: Delete all material. Page 40, lines 26 - 27: Delete ", when combined with the amount separately computed for medical benefits under AS 39.35.282," Page 41, lines 3 - 17: Delete all material. Renumber the following bill sections accordingly. Page 42, lines 13 - 17: Delete all material. Renumber the following bill sections accordingly. Page 43, line 18, through page 48, line 6: Delete all material. Renumber the following bill sections accordingly. Page 52, line 16: Delete "38 and 39" Insert "35 and 36" Page 52, line 21: Delete "1 - 37 and 40 - 96" Insert "1 - 34 and 37 - 85" Page 52, line 27: Delete "Section 97" Insert "Section 86" Page 52, line 28: Delete "sec. 98" Insert "sec. 87" Representative Bynum moved and asked unanimous consent that Amendment No. 10 be adopted. 2025-05-10 House Journal Page 1109 Representative Stapp objected. Representative Bynum moved and asked unanimous consent to withdraw Amendment No. 10. There being no objection, it was so ordered. Amendment No. 11 was offered by Representative Ruffridge: Page 13, line 14: Delete "(A) two" Insert "1.75" Page 13, lines 14 - 19: Delete "through a total of 10 years; plus (B) two and one-quarter percent of the years over 10 years of total credited service through 20 years; plus (C) two and one-half percent of the years of credited service that are more than 20 years of total credited service" Page 42, following line 12: Insert a new bill section to read: "* Sec. 75. AS 39.35.370(c) is amended to read: (c) The monthly amount of a retirement benefit for a peace officer or firefighter is two percent of the average monthly compensation times the years of credited service through 10 years, plus two and one-half percent of the average monthly compensation times the years of service over 10 years. For all other employees it is (1) for employees first hired before July 1, 2006, (A) two percent of the average monthly compensation times all years of service before July 1, 1986, and for years of service through a total of 10 years; plus (B) [(2)] two and one-quarter percent of the average monthly compensation times all years of service after June 30, 1986, over 10 years of total service through 20 years; plus (C) [(3)] two and one-half percent of the average monthly compensation times all years of service after June 30, 1986, over 20 years of total service; and (2) for employees first hired after June 30, 2006, 1.75 percent of the average monthly compensation times all years of credited service." 2025-05-10 House Journal Page 1110 Renumber the following bill sections accordingly. Page 52, line 21: Delete "40 - 96" Insert "40 - 97" Page 52, line 27: Delete "Section 97" Insert "Section 98" Page 52, line 28: Delete "sec. 98" Insert "sec. 99" Representative Ruffridge moved and asked unanimous consent that Amendment No. 11 be adopted. Representative Kopp objected. Representative Allard rose to a point of order regarding confining remarks to the amendment. The Speaker ruled that the debate was germane and directed the member to continue. The question being: "Shall Amendment No. 11 be adopted?" The roll was taken with the following result: CSHB 78(FIN) am Second Reading Amendment No. 11 YEAS: 16 NAYS: 22 EXCUSED: 2 ABSENT: 0 Yeas: Bynum, Costello, Coulombe, Elam, Johnson, McCabe, Moore, Prax, Ruffridge, Saddler, Schwanke, Stapp, Tilton, Tomaszewski, Underwood, Vance Nays: Allard, Burke, Carrick, Dibert, Edgmon, Eischeid, Fields, Foster, Galvin, Gray, Hall, Hannan, Himschoot, Holland, Jimmie, Josephson, Kopp, Mears, Mina, Schrage, Story, Stutes Excused: Nelson, Rauscher 2025-05-10 House Journal Page 1111 And so, Amendment No. 11 was not adopted. Amendment No. 12 was offered by Representative Stapp: Page 1, line 11, through page 2, line 11: Delete all material and insert: "* Sec. 2. AS 14.25.040(a) is amended to read: (a) A teacher or member who elects under AS 14.25.044(a) to participate in the defined benefit retirement plan and who contracts for service with a participating employer is subject to AS 14.25.009 - 14.25.220 unless the [UNLESS A] teacher or member participates in a university retirement program under AS 14.40.661 - 14.40.799. A teacher or member who does not elect to participate in the defined benefit retirement plan and who contracts for service with a participating employer is not subject to AS 14.25.009 - 14.25.220 if the teacher or member became a member after June 30, 2006, and before July 1, 2025, or has elected under former AS 14.25.540 to participate in the plan established in AS 14.25.310 - 14.25.590 [, A TEACHER OR MEMBER CONTRACTING FOR SERVICE WITH A PARTICIPATING EMPLOYER IS SUBJECT TO AS 14.25.009 - 14.25.220]." Page 3, line 20: Delete "reemployed" Page 3, lines 23 - 27: Delete all material and insert: "(1) is first hired after June 30, 2025; (2) is an active member of the defined contribution plan under AS 14.25.310 - 14.25.590; or (3) was first hired after June 30, 2006, and before July 1, 2025, and, if not employed by an employer on July 1, 2025, is reemployed by an employer after July 1, 2025, and, before the date of reemployment, (A) is not fully vested in the employer contributions made on the teacher's behalf under AS 14.25.390;" Reletter the following subparagraphs accordingly. 2025-05-10 House Journal Page 1112 Page 4, line 5: Delete "An" Insert "Subject to (c) of this section, an" Page 4, line 6: Delete "reemployment. A reemployed" Insert "employment or reemployment. Unless first hired after June 30, 2025, a" Page 4, line 21, following "hire.": Insert "Notwithstanding (b) of this section, a teacher who fails within 180 days after employment or reemployment to make an election under (a) of this section to participate in the plan under AS 14.25.009 - 14.25.220 may later make an election under (a) of this section to participate in that plan if the teacher is not fully vested in the employer contributions made on the teacher's behalf under AS 14.25.390." Page 4, line 22, following "teacher": Insert "first hired after June 30, 2006, and before July 1, 2025," Page 33, line 2: Delete "[: AS 39.35.095 - 39.35.680]" Insert ", who elect under AS 39.35.159 to participate in the retirement plan under [:] AS 39.35.095 - 39.35.680" Page 33, line 30: Delete "reemployed" Page 34, lines 1 - 3: Delete "was first hired after June 30, 2006, and before July 1, 2025, and, if not employed by an employer on July 1, 2025, is reemployed by an employer after July 1, 2025, and, before the date of reemployment," Insert "(1) is first hired after June 30, 2025; (2) became a member of the defined contribution retirement plan under AS 39.35.700 - 39.35.990 after June 30, 2006, and before July 1, 2025; or (3) was first hired after June 30, 2006, and before July 1, 2025, and, if not employed by an employer on July 1, 2025, is 2025-05-10 House Journal Page 1113 reemployed by an employer after July 1, 2025, and, before the date of reemployment, (A) is not fully vested in the employer contributions made on the teacher's behalf under AS 39.35.790;" Page 34, line 4: Delete "(1)" Insert "(B)" Page 34, line 7: Delete "(2)" Insert "(C)" Page 34, line 12: Delete "An" Insert "Subject to (c) of this section, an" Page 34, line 13: Delete "reemployment. A reemployed" Insert "employment or reemployment. Unless first hired after June 30, 2025, an" Page 34, line 28, following "hire.": Insert "Notwithstanding (b) of this section, an employee who fails within 180 days after employment or reemployment to make an election under (a) of this section to participate in the plan under AS 39.35.095 - 39.35.680 may later make an election under (a) of this section to participate in that plan if the employee is not fully vested in the employer contributions made on the employee's behalf under AS 39.35.790." Page 34, line 29: Following "employee": Insert "first hired after June 30, 2006, and before July 1, 2025," Representative Stapp moved and asked unanimous consent that Amendment No. 12 be adopted. Representative Kopp objected. 2025-05-10 House Journal Page 1114 Representative Allard rose to a point of order regarding disparaging comments. The Speaker stated that the point was well taken and cautioned the member to confine remarks to the amendment. The question being: "Shall Amendment No. 12 be adopted?" The roll was taken with the following result: CSHB 78(FIN) am Second Reading Amendment No. 12 YEAS: 17 NAYS: 21 EXCUSED: 2 ABSENT: 0 Yeas: Allard, Bynum, Costello, Coulombe, Elam, Johnson, McCabe, Moore, Prax, Ruffridge, Saddler, Schwanke, Stapp, Tilton, Tomaszewski, Underwood, Vance Nays: Burke, Carrick, Dibert, Edgmon, Eischeid, Fields, Foster, Galvin, Gray, Hall, Hannan, Himschoot, Holland, Jimmie, Josephson, Kopp, Mears, Mina, Schrage, Story, Stutes Excused: Nelson, Rauscher And so, Amendment No. 12 was not adopted. Amendment No. 13 was not offered. Amendment No. 14 was offered by Representative Stapp: Page 8, following line 20: Insert a new subsection to read: "(h) The board may not increase the employer contribution under AS 14.25.070(a)(2) unless the board increases the member contribution under (e) of this section by an equal amount." Page 38, following line 10: Insert a new subsection to read: "(h) The board may not increase the employer contribution under AS 39.35.255(a)(2) unless the board increases the member contribution under (e) of this section by an equal amount." 2025-05-10 House Journal Page 1115 Representative Stapp moved and asked unanimous consent that Amendment No. 14 be adopted. Representative Kopp objected. Amendment No. 1 to Amendment No. 14 was offered by Representative Kopp: Page 1, line 4 of the amendment: Delete "AS 14.25.070(a)(2)" Insert "AS 14.25.070(a)" Page 1, line 5 of the amendment: Delete "equal" Insert "comparable" Page 1, line 10 of the amendment: Delete "AS 39.35.255(a)(2)" Insert "AS 39.35.255(a)" Page 1, line 11 of the amendment: Delete "equal" Insert "comparable" Representative Kopp moved and asked unanimous consent that Amendment No. 1 to Amendment No. 14 be adopted. Representative Saddler objected and withdrew the objection. There being no further objection, Amendment No. 1 to Amendment No. 14 was adopted. Representative Kopp withdrew his objection. There being no further objection, Amendment No. 14 as amended was adopted. Amendment No. 15 was offered by Representative Ruffridge: Page 5, line 15: Delete "(1)" 2025-05-10 House Journal Page 1116 Page 5, line 20: Delete "; and" Insert "." Page 5, lines 21 - 27: Delete all material. Page 11, lines 8 - 9: Delete ", when combined with the amount separately computed for medical benefits under AS 14.25.087," Page 11, lines 18 - 23: Delete all material. Renumber the following bill sections accordingly. Page 14, line 26, through page 18, line 11: Delete all material. Renumber the following bill sections accordingly. Page 25, lines 5 - 6: Delete "the health reimbursement arrangement plan under AS 39.30.300 - 39.30.095," Page 25, line 24, through page 32, line 18: Delete all material. Renumber the following bill sections accordingly. Page 35, line 22: Delete "(1)" Page 35, line 27: Delete "; and" Page 35, line 28, through page 36, line 2: Delete all material. 2025-05-10 House Journal Page 1117 Page 40, lines 26 - 27: Delete ", when combined with the amount separately computed for medical benefits under AS 39.35.282," Page 41, line 3, through page 41, line 17: Delete all material. Renumber the following bill sections accordingly. Page 42, lines 13 - 17: Delete all material. Renumber the following bill sections accordingly. Page 43, line 18, through page 48, line 6: Delete all material. Renumber the following bill sections accordingly. Page 52, line 16: Delete "secs. 38 and 39" Insert "secs. 35 and 36" Page 52, line 21: Delete "secs. 1 - 37 and 40 - 96" Insert "secs. 1 - 34 and 37 - 68" Page 52, line 27: Delete "Section 97" Insert "Section 69" Page 52, line 28: Delete "sec. 98" Insert "sec. 70" Representative Ruffridge moved and asked unanimous consent that Amendment No. 15 be adopted. Representative Kopp objected. 2025-05-10 House Journal Page 1118 The question being: "Shall Amendment No. 15 be adopted?" The roll was taken with the following result: CSHB 78(FIN) am Second Reading Amendment No. 15 YEAS: 15 NAYS: 23 EXCUSED: 2 ABSENT: 0 Yeas: Bynum, Costello, Coulombe, Elam, Johnson, McCabe, Moore, Prax, Ruffridge, Saddler, Schwanke, Tilton, Tomaszewski, Underwood, Vance Nays: Allard, Burke, Carrick, Dibert, Edgmon, Eischeid, Fields, Foster, Galvin, Gray, Hall, Hannan, Himschoot, Holland, Jimmie, Josephson, Kopp, Mears, Mina, Schrage, Stapp, Story, Stutes Excused: Nelson, Rauscher And so, Amendment No. 15 was not adopted. Representative Kopp moved and asked unanimous consent that CSHB 78(FIN) am be considered engrossed, advanced to third reading, and placed on final passage. There was objection. CSHB 78(FIN) am will advance to third reading on the May 12 calendar.