SENATE BILL REPORT

SB 5145

As Passed Senate, March 10, 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:  Senators Long, Franklin, Carlson, Winsley, Honeyford and Fraser; by request of Joint Committee on Pension Policy.

Brief History:

Committee Activity:  Ways & Means:  1/30/01, 2/20/01 [DP].

Passed Senate:  3/10/01, 47-0.

SENATE COMMITTEE ON WAYS & MEANS

Majority Report:  Do pass.

Signed by Senators Brown, Chair; Constantine, Vice Chair; Fairley, Vice Chair; Fraser, Hewitt, Honeyford, Kline, Kohl‑Welles, Long, Parlette, Rasmussen, Regala, Rossi, Sheahan, B. Sheldon, Snyder, Spanel, Thibaudeau, Winsley and Zarelli.

Staff:  Pete Cutler (786‑7454)

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 is 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:  Requested on January 22, 2001.

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

Testimony For:  None.

Testimony Against:  None.

Testified:  No one.