SENATE BILL REPORT

HB 2534

As Reported By Senate Committee On:

Ways & Means, February 18, 2004

Title: An act relating to death benefits for members of the Washington state patrol retirement system plan 2.

Brief Description: Providing death benefits for members of the Washington state patrol retirement system plan 2.

Sponsors: Representatives Fromhold, Alexander, Conway, Rockefeller, G. Simpson, Chase and Morrell; by request of Select Committee on Pension Policy.

Brief History:

Committee Activity: Ways & Means: 2/18/04 [DP].

SENATE COMMITTEE ON WAYS & MEANS

Majority Report: Do pass.

      Signed by Senators Zarelli, Chair; Hewitt, Vice Chair; Parlette, Vice Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Pflug, Prentice, Rasmussen, Regala, Roach, B. Sheldon and Winsley.

Staff: Erik Sund (786-7454)

Background: If an active member of the Washington State Patrol Retirement System (WSPRS) Plan 2 with fewer than 10 years of service credit dies, his or her survivor is eligible for a cash refund of the member's retirement contributions, plus interest. If an active member of WSPRS Plan 2 with 10 or more years of service credit dies and is survived by a spouse or eligible child or children, then his or her beneficiaries are eligible to receive a retirement allowance. This allowance is subject to an actuarial adjustment to reflect a 100 percent survivor benefit option and, if the member was not eligible for retirement at the time of death, further reduced to reflect the smaller of the difference between the member's age at time of death and either age 55 or the age at which the member would have 25 years of service. If the member was killed in the line of employment, as determined by the director of the Department of Labor and Industries, then the beneficiary is eligible for an additional $150,000 death benefit.

Summary of Bill: The retirement allowance paid to survivors of members of WSPRS Plan 2 who have at least ten years of service and who are killed in the course of employment is not subject to an actuarial reduction.

Appropriation: None.

Fiscal Note: Available.

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

Testimony For: (From companion SB 6254) This is a good bill that would improve the state's pension system.

Testimony Against: None.

Testified: (From companion SB 6254) Bill Hanson, Washington Council of Police and Sheriffs (pro); Rick Jensen, Washington State Patrol Troopers Association (pro); Bob Maki, Washington State Patrol Budget and Fiscal Services (pro); Bob Thurston, Washington State Patrol Troopers Association (pro).