HOUSE BILL REPORT

SB 5145

As Passed House:

April 4, 2001

Title:  An act relating to exempting trainers and trainees in housing authority resident training programs from membership in the public employees' retirement system.

Brief Description:  Exempting trainers and trainees in housing authority resident training programs from membership in the public employees' retirement system.

Sponsors:  By Senators Long, Franklin, Carlson, Winsley, Honeyford and Fraser; by request of Joint Committee on Pension Policy.

Brief History:

Committee Activity:

Appropriations:  3/26/01, 3/28/01 [DP].

Floor Activity:

Passed House: 4/4/01, 92-0.

Brief Summary of Bill

$Creates an exemption from Public Employees' Retirement System (PERS) membership and related PERS retirement contributions for individuals employed exclusively as trainers or trainees in a housing authority resident training program if the individuals are contributing members of a union sponsored Taft-Hartley retirement plan.

HOUSE COMMITTEE ON APPROPRIATIONS

Majority Report:  Do pass. Signed by 30 members: Representatives Sehlin, Republican Co‑Chair; H. Sommers, Democratic Co‑Chair; Barlean, Republican Vice Chair; Doumit, Democratic Vice Chair; Alexander, Benson, Boldt, Buck, Clements, Cody, Cox, Dunshee, Fromhold, Grant, Kagi, Keiser, Kenney, Kessler, Lambert, Linville, Mastin, McIntire, Mulliken, Pearson, Pflug, Ruderman, D. Schmidt, Schual‑Berke, Talcott and Tokuda.

Staff:  Andrea Hardy (786‑7349).

Background:

Housing authorities may become employers under the Public Employees Retirement System (PERS).  If an employer elects to cover its employees under PERS, it must cover all employees who meet the PERS eligibility requirements.  In 1997 the Legislature amended the PERS membership provisions to exempt from PERS coverage any local government employee who was enrolled in a state-approved apprenticeship program authorized under Chapter 49.04 RCW, if the employee was a member of a union-sponsored retirement plan or a Taft-Hartley retirement plan for such employment.  Most of these employees will work in the private sector with union membership after their apprenticeships are completed.

Some housing authorities have resident apprentice training programs that provide resident trainees the opportunity to gain trade skills while working on renovation projects at housing authority properties.  These programs are similar in nature to state-approved apprenticeship programs.

Summary of  Bill:

Persons employed exclusively as trainers or trainees in resident apprenticeship training programs operated by housing authorities are excluded from PERS membership if the person is a member of a union-sponsored retirement plan or a Taft-Hartley retirement plan for such employment.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  None.

Testimony Against:  None.

Testified:  None.