SENATE BILL REPORT

EHB 1862

BYRepresentatives McLean, Hine, Sayan, Silver, Winsley, Van Luven and Doty

Providing twelve-months' service credit to public employees' retirement system members who are employed on a continuous nine-month basis at designated schools.

House Committe on Appropriations

Senate Committee on Ways & Means

Senate Hearing Date(s):March 29, 1989; March 30, 1989

Majority Report:  Do pass as amended.

      Signed by Senators McDonald, Chairman; Craswell, Vice Chairman; Amondson, Bailey, Bluechel, Cantu, Hayner, Johnson, Lee, Matson, Newhouse, Niemi, Owen, Saling, Smith.

Senate Staff:Charles Langen (786-7715)

                  March 31, 1989

AS REPORTED BY COMMITTEE ON WAYS & MEANS, MARCH 30, 1989

BACKGROUND:

Classified employees of higher education institutions, community colleges, the State School for the Blind, and State School for the Deaf are members of the Public Employees Retirement system (PERS).  Members of PERS Plan I must work 70 or more hours in a month to earn service credit for that month; members of PERS Plan II must work 90 or more hours.

In 1979 PERS was amended to allow members employed by these institutions to receive 12 months of service credit for each contract year, school year, or academic year of employment.  This change applies to both PERS I and PERS II, but was not made effective for years of employment prior to 1979.

Classified employees of school districts are members of PERS.  They receive 12 months of credit when they work nine months on a continuing basis and earn nine months of credit in a year. Prior to 1987, this applied only to years of employment since 1973.  As a result of legislation in 1987, the PERS statute was amended so that all years of service, including those prior to 1973, are covered.

SUMMARY:

Members of the Public Employees Retirement System (PERS) who are employed by institutions of higher education, community colleges, the State School for the Blind, and the State School for the Deaf, may receive up to 12 months of service credit for each school year or contract year of employment.  This applies on a retroactive basis for all members who retire after the effective date of the act.

Members of PERS, Plan I who are employed by school districts are permitted to receive service credit for days when the employee could not work due to the effects of inclement weather.  This applies only to the 1988-89 school year.

Appropriation:    none

Revenue:    none

Fiscal Note:      available

SUMMARY OF PROPOSED SENATE AMENDMENT:

The provision to receive service credit for days when the employee could not work due to the effects of inclement weather is deleted.

Senate Committee - Testified: Jerry Allard, State Actuary; Eugene St. John, Director, Washington Public Employees Association