SENATE BILL REPORT

                                    SB 5485

                              AS OF MARCH 8, 1991

Brief Description:  Changing provisions relating to credit for military service under the teachers' retirement system.

SPONSORS:Senators von Reichbauer, Vognild, Moore and L. Smith.

SENATE COMMITTEE ON WAYS & MEANS

Staff:  Terry Wilson (786‑7715)

Hearing Dates:March 7, 1991

BACKGROUND:

Any member Plan I of the Teachers' Retirement System whose public service is interrupted by active service in the United States military may receive credit for the service upon being re-employed in the public schools if the member makes the employer and employee contributions.  No credit in excess of five years may be established except in time of war.  No service credit is authorized for military service prior to initial membership in the Teachers' Retirement System.

Under Plan I of the Public Employees' Retirement System, a member who is a veteran may receive credit for military service which interrupts school service.  Unlike Plan I of the Teachers' Retirement System, no contribution need be made by the member.  In addition, a member who is a veteran is entitled to receive credit for military service prior to membership in the retirement system if the member has completed 25 years of service under the Public Employees' Retirement System and is not receiving full military retirement benefits.  No monetary contribution is required.  Total military credit is limited to five years.

SUMMARY:

No contributions are required to receive credit under Plan I of the Teachers' Retirement System for military service which interrupts school employment.

A member of the Teachers' Retirement System who is a veteran is also entitled to receive an additional five years of credit for military service prior to membership in the retirement system if the member has completed 25 years of creditable service under the Teachers' Retirement System and is not receiving full military retirement benefits.  No monetary contribution is required. 

Appropriation:  none

Revenue:  none

Fiscal Note:  available

Effective Date:  The bill contains an emergency clause and takes effect immediately.

TESTIMONY FOR:

This is an equity and fairness issue.  It help Viet Nam veterans.

TESTIMONY AGAINST:  None

TESTIFIED:  Walter Ball, Frank Hewins, AWSP Principals (pro); Jim Alexander, Carl Leatherman, Prin. Assn. Seattle School Prin. (pro)