SENATE BILL REPORT

SB 6003

BYSenators Bailey, Rinehart, Gaspard, Murray, Warnke, Bauer, Patterson and Craswell

Permitting school and educational service districts to provide employees with postretirement medical benefits for unused sick leave.

Senate Committee on Education

Senate Hearing Date(s):March 1, 1989

Majority Report:  That Substitute Senate Bill No. 6003 be substituted therefor, and the substitute bill do pass.

      Signed by Senators Bailey, Chairman; Lee, Vice Chairman; Anderson, Bender, Benitz, Craswell, Fleming, Gaspard, Metcalf, Murray, Rinehart.

Senate Staff:Leslie Goldstein (786-7424)

                  March 7, 1989

AS REPORTED BY COMMITTEE ON EDUCATION, MARCH 1, 1989

BACKGROUND:

School district and educational service district boards of directors are required to establish attendance incentive programs for certificated and noncertificated employees.  Under attendance incentive programs, employees may choose to receive money for unused sick leave at a rate equal to one day's salary for every four days of sick leave in excess of 60 days.  When an employee retires, the employee is entitled to remuneration at a rate equivalent to one day's salary for each four days of accrued sick leave.

Approximately 55 school districts give employees the choice of receiving cash for their unused sick leave or receiving postretirement benefits.  A number of other school districts are reluctant to provide employees with this option without specific legislative authority.

SUMMARY:

School district and educational service district boards of directors may provide employees at retirement with the option of receiving cash for their unused sick leave at the current rate of one day's salary for every four days earned or, with equivalent funds, with the option of receiving postretirement medical benefits.

EFFECT OF PROPOSED SUBSTITUTE:

Technical changes are made to language.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested

Senate Committee - Testified: FOR:  Kris Van Gorkom, Washington Association of School Administrators; Walter Ball, Association of Washington School Principals