BILL REQ. #:  H-1540.1 



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SUBSTITUTE HOUSE BILL 1261
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State of Washington60th Legislature2007 Regular Session

By House Committee on Appropriations (originally sponsored by Representatives Crouse, Fromhold, Conway, Kenney, Ericks, Simpson, McDonald, Moeller, Campbell and Pearson; by request of Select Committee on Pension Policy and LEOFF Plan 2 Retirement Board)

READ FIRST TIME 01/31/07.   



     AN ACT Relating to purchasing service credit for periods of temporary duty disability in the law enforcement officers' and fire fighters' retirement system plan 2, the teachers' retirement system, the school employees' retirement system, and the public safety employees' retirement system; amending RCW 41.35.070 and 41.37.060; adding a new section to chapter 41.26 RCW; and adding a new section to chapter 41.32 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 41.26 RCW under the subchapter heading "plan 2" to read as follows:
     Those members subject to this chapter who became disabled in the line of duty on or after July 1, 2002, and who received or are receiving benefits under Title 51 RCW or a similar federal workers' compensation program shall receive or continue to receive service credit subject to the following:
     (1) No member may receive more than one month's service credit in a calendar month.
     (2) No service credit under this section may be allowed after a member separates or is separated without leave of absence.
     (3) Employer contributions shall be paid by the employer at the rate in effect for the period of the service credited.
     (4) Employee contributions shall be collected by the employer and paid to the department at the rate in effect for the period of service credited.
     (5) State contribution shall be as provided in RCW 41.45.060 and 41.45.067.
     (6) Contributions shall be based on the regular compensation which the member would have received had the disability not occurred. If contribution payments are made retroactively, interest shall be charged at the rate set by the director on both employee and employer contributions. Service credit shall not be granted until the employee contribution has been paid.
     (7) The service and compensation credit shall not be granted for a period to exceed twenty-four consecutive months.
     (8) This section does not abridge service credit rights granted in RCW 41.26.470(3). However, members receiving service credit under RCW 41.26.470(3) may not receive service credit under this section.
     (9) Should the legislature revoke the service credit authorized under this section or repeal this section, no affected employee is entitled to receive the credit as a matter of contractual right.

NEW SECTION.  Sec. 2   A new section is added to chapter 41.32 RCW under the subchapter heading "provisions applicable to plan 1, plan 2, and plan 3" to read as follows:
     Those members subject to this chapter who became disabled in the line of duty and who received or are receiving benefits under Title 51 RCW or a similar federal workers' compensation program shall receive or continue to receive service credit subject to the following:
     (1) No member may receive more than one month's service credit in a calendar month.
     (2) No service credit under this section may be allowed after a member separates or is separated without leave of absence.
     (3) Employer contributions shall be paid by the employer at the rate in effect for the period of the service credited.
     (4) Employee contributions shall be collected by the employer and paid to the department at the rate in effect for the period of service credited.
     (5) Contributions shall be based on the regular compensation which the member would have received had the disability not occurred. If contribution payments are made retroactively, interest shall be charged at the rate set by the director on both employee and employer contributions. Service credit shall not be granted until the employee contribution has been paid.
     (6) The service and compensation credit shall not be granted for a period to exceed twenty-four consecutive months.
     (7) Should the legislature revoke the service credit authorized under this section or repeal this section, no affected employee is entitled to receive the credit as a matter of contractual right.

Sec. 3   RCW 41.35.070 and 1998 c 341 s 8 are each amended to read as follows:
     Those members subject to this chapter who became disabled in the line of duty and who received or are receiving benefits under Title 51 RCW or a similar federal workers' compensation program shall receive or continue to receive service credit subject to the following:
     (1) No member may receive more than one month's service credit in a calendar month.
     (2) No service credit under this section may be allowed after a member separates or is separated without leave of absence.
     (3) Employer contributions shall be paid by the employer at the rate in effect for the period of the service credited.
     (4) Employee contributions shall be collected by the employer and paid to the department at the rate in effect for the period of service credited.
     (5) Contributions shall be based on the regular compensation which the member would have received had the disability not occurred. If contribution payments are made retroactively, interest shall be charged at the rate set by the director on both employee and employer contributions. No service credit shall be granted until the employee contribution has been paid.
     (6) The service and compensation credit shall not be granted for a period to exceed ((twelve)) twenty-four consecutive months.
     (7) Should the legislature revoke the service credit authorized under this section or repeal this section, no affected employee is entitled to receive the credit as a matter of contractual right.

Sec. 4   RCW 41.37.060 and 2004 c 242 s 9 are each amended to read as follows:
     Those members subject to this chapter who became disabled in the line of duty and who received or are receiving benefits under Title 51 RCW or a similar federal workers' compensation program shall receive or continue to receive service credit subject to the following:
     (1) No member may receive more than one month's service credit in a calendar month.
     (2) No service credit under this section may be allowed after a member separates or is separated without leave of absence.
     (3) Employer contributions shall be paid by the employer at the rate in effect for the period of the service credited.
     (4) Employee contributions shall be collected by the employer and paid to the department at the rate in effect for the period of service credited.
     (5) Contributions shall be based on the regular compensation which the member would have received had the disability not occurred. If contribution payments are made retroactively, interest shall be charged at the rate set by the director on both employee and employer contributions. Service credit shall not be granted until the employee contribution has been paid.
     (6) The service and compensation credit shall not be granted for a period to exceed ((twelve)) twenty-four consecutive months.
     (7) Should the legislature revoke the service credit authorized under this section or repeal this section, no affected employee is entitled to receive the credit as a matter of contractual right.

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