FINAL BILL REPORT
HB 1325



C 64 L 05
Synopsis as Enacted

Brief Description: Authorizing interruptive military service credit.

Sponsors: By Representatives Conway, Fromhold, Crouse, Simpson, Morrell, Moeller, Sells, Chase and Campbell; by request of Select Committee on Pension Policy and LEOFF Plan 2 Retirement Board.

House Committee on Appropriations
Senate Committee on Ways & Means

Background:

A member of the Law Enforcement Officers' and Fire Fighters' Retirement System Plan 2 (LEOFF 2), Public Employees' Retirement System Plan 2 or 3 (PERS 2/3), Public Safety Employees' Retirement System Plan 2 (PSERS 2), School Employees' Retirement System Plan 2 or 3 (SERS 2/3), Teachers' Retirement System Plan 2 or 3 (TRS 2/3), or the Washington State Patrol Retirement System Plan 2 (WSPRS 2) who leaves employment to enter the armed forces of the United States may receive up to five years of retirement system service credit.

To receive this service credit, the member must resume retirement system-covered service within one year of the end of his or her service in the armed forces. If a member applies but is refused reemployment within one year, then the member must resume retirement system-covered employment within 10 years.

Following re-employment in a retirement system-covered position, a member may have up to five years of their military service credited to his or her retirement system if they pay the employee contributions plus interest. The contributions are based on the average of the member's compensation at the time the member left employment to join the armed forces and at the time the member resumed employment, and payment must be completed within five years following either the first resumption of state employment or accumulation of 25 years of service credit.

In the event that a member is not reemployed in a retirement system-covered position following his or her military service, the member cannot elect to pay the required employee contributions and interest and receive retirement system service credit for service in the armed forces.

Summary:

The surviving spouse or children of a member of LEOFF 2, PERS 2/3, PSERS 2, SERS 2/3, TRS 2/3, or WSPRS 2 who dies while serving in the uniformed services may, on behalf of the deceased member, apply for retirement system service credit for the member up until the date of the member's death. The survivors will provide the Director of the Department of Retirement Systems (Director) with proof of the member's death while in the uniformed services, and proof of the member's honorable service prior to the date of death.

A member of LEOFF 2, PERS 2/3, PSERS 2, SERS 2/3, TRS 2/3, or WSPRS 2 who is totally incapacitated for continued employment due to conditions or events that occurred while in the uniformed services and who provides the Director with proof of an honorable discharge is entitled to purchase service credit for the period up to the date of his or her discharge.

Votes on Final Passage:

House   91   0
Senate   49   0

Effective: July 24, 2005
         July 1, 2006 (Section 11)