Washington State House of Representatives Office of Program Research	BILL ANALYSIS
Appropriations Committee

HB 2232

Brief Description:  Defining earnable compensation for the teachers' retirement system.

Sponsors:  Representatives Sehlin, H. Sommers and Fromhold.

Brief Summary of Bill

$Excludes from the definition of earnable compensation in the Teachers Retirement System bonuses and stipends received for attaining certification by the National Board for Professional Teaching Standards.

Hearing Date:  4/10/01

Staff:  Denise Graham (786‑7137).

Background: 

The National Board for Professional Teaching Standards (NBPTS) is an independent, nonprofit organization created in 1987 that provides advanced, voluntary certification for experienced teachers.  The board was created as a way for the teaching profession to recognize highly accomplished teaching practice. The NBPTS is governed by a 63 member board of directors, of whom a majority are classroom teachers.  The organization is funded through gifts and grants from foundations, corporations, individuals, the U.S. Department of Education, and the National Science Foundation.

A certificate is awarded for 10 years and is intended to show that a teacher has been judged by his or her peers as one who meets high and rigorous professional standards.  Teachers seeking certification must pay a $2,300 fee.  Private foundations, the NBPTS, and some school districts pay for some or all of the participation fee for a limited number of teachers. There are about 68 educators with NBPTS certification currently teaching in Washington and this number is expected to continue to grow. 

At least one school district provides an annual $1,000 bonus for the life of the certificate.  The 2000 supplemental operating budget provides a two year bonus of $3,500 for NBPTS teachers who obtained certification before or during the 2000-01 school year.  A proviso states that the bonuses are not included in pension calculations.

The Teachers Retirement System provides a benefit at retirement that is based on the retiree's highest consecutive two year annual average earnable compensation.  "Earnable compansation" includes salaries and wages earned by a retirement system member but excludes payments for unused sick and annual leave.

Summary of Bill: 

Excluded from the definition of earnable compensation for members of the Teachers Retirement System are bonuses or stipends received for attaining certification by the National Board for Professional Teaching Standards.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.