H-3428              _______________________________________________

                                                   HOUSE BILL NO. 2903

                        _______________________________________________

State of Washington                               51st Legislature                              1990 Regular Session

By Representatives Sayan, Wineberry, Brumsickle, Todd, Fraser, Winsley, Rayburn and Pruitt

Read first time 1/24/90 and referred to Committee on Appropriations.

AN ACT Relating to teachers' retirement system plan II retirement age; and amending RCW 41.32.765 and 41.32.790.

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

        Sec. 1.  Section 4, chapter 293, Laws of 1977 ex. sess. and RCW 41.32.765 are each amended to read as follows:

          (1) NORMAL RETIREMENT.           Any member with at least five years of service who has attained at least age ((sixty-five)) sixty shall be eligible to retire and to receive a retirement allowance computed according to the provisions of RCW 41.32.760.

          (2) EARLY RETIREMENT.  Any member who has completed at least twenty years of service who has attained at least age fifty-five shall be eligible to retire and to receive a retirement allowance computed according to the provisions of RCW 41.32.760, except that a member retiring pursuant to this subsection shall have the retirement allowance actuarially reduced to reflect the difference in the number of years between age at retirement and the attainment of age ((sixty-five)) sixty.

        Sec. 2.  Section 9, chapter 293, Laws of 1977 ex. sess. as amended by section 2, chapter 191, Laws of 1989 and RCW 41.32.790 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 41.32.755 through 41.32.825.  Such member shall receive a monthly disability allowance computed as provided for in RCW 41.32.760 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)) sixty.

          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 the recipient of a monthly retirement allowance under this section dies before the total of the retirement allowance paid to the recipient equals the amount of the accumulated contributions at the date of retirement, then the balance shall be paid to such person or persons having an insurable interest in his or her life as the recipient has nominated by written designation duly executed and filed with the director, or, if there is no such designated person or persons still living at the time of the recipient's death, then to the surviving spouse, or, if there is neither such designated person or persons still living at the time of his or her death nor a surviving spouse, then to his or her legal representative.