Legislature(2003 - 2004)
04/29/2003 01:42 PM Senate STA
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
SB 145-REEMPLOYMENT OF RETIRED TEACHERS
CHAIR GARY STEVENS asked for a motion to adopt the proposed
committee substitute (CS) as the working document.
SENATOR COWDERY made a motion to adopt CSSB 145 \H version as
the working document.
CHAIR GARY STEVENS reported it was two years ago that the
Legislature allowed school districts to rehire retired teachers.
SB 145 would provide school districts with an additional tool,
which would allow them to reemploy teachers who had retired
through the Retirement Incentive Program (RIP). This would also
allow the Department of Education and Early Development (DEED)
and the Department of Labor (DOL) to hire regular and RIP
retired teachers for their schools and programs such as Mount
Edgecumbe and the Alaska Vocational Technical Center. In
addition, DEED could hire a RIP retiree as a commissioner.
Those who RIPed and want to return to work are required to pay a
penalty of 110 percent of the benefit that they received on
retirement, which has been a great disincentive to return to
teaching. Because the full cost of RIP retirements were paid at
the time of retirement, there is no actuarial impact on either
PERS or TRS and therefore the bill has a zero fiscal note.
SENATOR COWDERY asked if teachers were unavailable or unwilling
to teach in certain areas of the state.
CHAIR GARY STEVENS explained there is a real teacher shortage in
many areas of the state and, although the bill wouldn't force
districts to rehire retired teachers, it would give them that
option. He reminded members that RIPs were no longer available
to teachers and, as a school board president during the time
they were offered, he regretted having agreed to the
unsuccessful program.
DEBBIE OSSIANDER, President of the Association of Alaska School
Boards, spoke on behalf of the association, which is comprised
of school board members across the state. Because salaries in
Alaska are no longer as competitive as they used to be and
training in state is inadequate and bureaucratic mandates have
caused special education teachers to drop their certification,
it has become increasingly difficult to draw teachers and
administrators to remote areas of the state. The ability to
rehire teachers that have left the profession would help to
alleviate those difficulties.
The association strongly supports the bill and has followed,
with great interest, the new Administration's difficulties
associated with finding a new commissioner. This bill would help
school districts fill teaching and administrative positions.
SENATOR COWDERY asked how many teachers have taken advantage of
a RIP.
MS. OSSIANDER replied she was from Anchorage and that district
did not participate in state RIPs.
FRED ESPOSITO, Director of the Alaska Vocational Technical
Center (AVTEC), reported that they deliver quality technical
training to over 1,800 Alaskans every year. To do so, they rely
on the ability to hire highly competent technical instructors,
which has become increasingly difficult. SB 145 is important to
the center and they support it fully.
KEVIN SWEENEY, legislative liaison with DEED, pointed out the
bill not only allows RIP participants to return to work, but
also clarifies the law the Legislature passed in 2001. This
allowed school districts and REAAs to hire retired teachers who
hadn't RIPed and they could continue to receive their benefit.
Due to an oversight when that bill was passed, the DEED was not
given this ability even though they run schools in the state.
The Teaching and Learning Support Division has positions that
have been unfilled for more than a year and this bill would
allow them to take advantage of the incentive to get both RIP
and non-RIP teachers to return to the profession and perhaps
fill some of those positions.
CHAIR GARY STEVENS thanked Mr. Sweeney for clarifying that DEED
was left out of the 2001 legislation.
TAPE 03-23, SIDE B
4:30 p.m.
TIM STEELE, Vice-President of the Anchorage School Board,
testified in support of SB 145. The district has experienced
difficulty in drawing teachers back to work and he reported that
certain specialty positions are particularly difficult to fill.
He noted that while the No Child Left Behind Act has
requirements for highly qualified teachers in every subject
area, it's the experienced teachers that were previously
encouraged to leave as a cost saving measure. Although Anchorage
didn't participate in the state RIP, they support the bill,
which would encourage the return of experienced teachers.
GUY BELL, Director of Retirement and Benefits, reported the
department submitted a zero fiscal note because the legislation
has no actuarial impact on the retirement funds. In response to
previous questions, he advised there are 862 RIP retirees in the
state and 568 outside the state, all of whom could potentially
return to teaching. They have received just 84 TRS waivers from
school districts since its inception more than two years ago so
it's used on a very limited basis.
CHAIR GARY STEVENS asked him to clarify that retired teachers
could return to substitute teach as well.
MR. BELL agreed that was correct. A retired teacher could return
full time, part time, or as a substitute teacher.
CHAIR GARY STEVENS asked what the latitude would be regarding
the agreement the district would come to with the returning
RIPed teacher and also for confirmation that the returning
teacher would not be accruing additional retirement benefits.
MR. BELL replied the person would return under the waiver
provision, which means they continue to receive their retirement
benefit and would not accrue another retirement benefit during
the return to employment.
CHAIR GARY STEVENS asked about tenure and salary.
MR. BELL advised that would be between the school district and
the employee; the retirement system does not enter into those
discussions.
SENATOR COWDERY made a motion to move SB 145 from committee with
individual recommendations and attached zero fiscal note. There
being no objection, it was so ordered.
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