AN ACT Relating to the state retirement system; amending RCW 41.40.230 and 41.40.670; adding a new section to chapter 41.50 RCW; making an appropriation; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. Section 24, chapter 274, Laws of 1947 as last amended by section 4, chapter 18, Laws of 1982 and RCW 41.40.230 are each amended to read as follows:

(1) Subject to the provisions of RCW 41.40.310 and 41.40.320, upon application of a member, or his employer, a member who has been an employee at least five years, and who becomes totally and permanently incapacitated for duty as the result of causes occurring not in the performance of his duty, may be retired by the ((~~retirement board~~)) department: PROVIDED, The medical adviser, after a medical examination of such member, made by or under the direction of the said medical adviser shall certify in writing that such member is mentally or physically incapacitated for the further performance of duty, and such incapacity is likely to be permanent and that such member should be retired: PROVIDED FURTHER, That the ((~~retirement board~~)) department concurs in the recommendation of the medical adviser.

(2) If a member, the member's employer, or a representative of the member has applied to the department for the forms necessary to initiate the application process under subsection (1) of this section and such member dies prior to final action of the medical advisor or the department, the application process under subsection (1) of this section shall be deemed complete and approved prior to such death of the member.

(3) The retirement for disability of a judge, who is a member of the retirement system and who has been an employee at least five years, by the supreme court under Article IV, section 31 of the Constitution of the state of Washington (House Joint Resolution No. 37, approved by the voters November 4, 1980), with the concurrence of the ((~~retirement board~~)) director, shall be considered a retirement under subsection (1) of this section.

Sec. 2. Section 8, chapter 295, Laws of 1977 ex. sess. as amended by section 5, chapter 18, Laws of 1982 and RCW 41.40.670 are each amended to read as follows:

(1) A member of the retirement system who becomes totally incapacitated for continued employment by an employer as determined by the department ((~~upon recommendation of the retirement board~~)) shall be eligible to receive an allowance under the provisions of RCW 41.40.610 through 41.40.740. Such member shall receive a monthly disability allowance computed as provided for in RCW 41.40.620 and shall have such allowance actuarially reduced to reflect the difference in the number of years between age at disability and the attainment of age sixty-five.

Any member who receives an allowance under the provisions of this section shall be subject to such comprehensive medical examinations as required by the department. If such medical examinations reveal that such a member has recovered from the incapacitating disability and the member is offered reemployment by an employer at a comparable compensation, such member shall cease to be eligible for such allowance.

(2) If a member, the member's employer, or a representative of the member has applied to the department for the forms necessary to initiate the process under subsection (1) of this section and such member dies prior to final action of the department, the determination process under subsection (1) of this section shall be deemed complete and approved prior to such death of the member.

(3) The retirement for disability of a judge, who is a member of the retirement system, by the supreme court under Article IV, section 31 of the Constitution of the state of Washington (House Joint Resolution No. 37, approved by the voters November 4, 1980), with the concurrence of the ((~~retirement board~~)) director, shall be considered a retirement under subsection (1) of this section.

NEW SECTION. Sec. 3. A new section is added to chapter 41.50 RCW to read as follows:

Beginning with disability benefits, the department shall prepare booklets or other similar publications which will give members of the individual retirement systems specified under RCW 41.50.030, a clear and easily understood description of:

(1) The individual benefits under these systems and the necessary procedural steps which may be required to obtain these benefits; and

(2) The funding of the respective systems, including the interest applied to member accounts.

Such booklets and publications will be distributed to each employee. Employers shall cooperate in the distribution to employees of such material.

NEW SECTION. Sec. 4. The sum of fifty thousand dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 1991, from the retirement systems' expense fund to the department of retirement systems for the purposes of preparing and distributing the publications specified under section 3 of this act.

NEW SECTION. Sec. 5. (1) This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1989.

(2) Sections 1 and 2 of this act shall be retroactive to July 1, 1988.