Effective Date of Rule: Thirty-one days after filing.

     Purpose: This rule provides the current adjusted compensation threshold set in RCW 41.40.023 for elected officials who wish to retire from PERS and continue to serve in their elected positions.

     Citation of Existing Rules Affected by this Order: Amending WAC 415-108-575.

     Statutory Authority for Adoption: RCW 41.50.050(5).

     Other Authority: RCW 41.40.023.

      Adopted under notice filed as WSR 06-13-094 on June 21, 2006.

     Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 1, Repealed 0.

     Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0;      Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 1, Amended 0, Repealed 0.

     Date Adopted: July 26, 2006.

Sandra J. Matheson

Director

OTS-8844.2

AMENDATORY SECTION(Amending WSR 05-12-109, filed 5/27/05, effective 6/27/05)

WAC 415-108-575   ((How is the compensation adjustment for elected officials computed?)) May I retire from PERS while holding an elective position?   (((1) This section provides the department's inflation adjustment under RCW 41.40.023 (3)(b) regarding elected officials.

     (2) The department uses the criteria in RCW 41.26.240¹ in making annual inflation adjustments to the fifteen thousand dollar compensation threshold stated in RCW 41.40.023 (3)(b).

     (3) The department adjusts the compensation threshold on April 1st of each year.²

     (4) The department makes this information available upon request. For further information, please contact the department. Please see WAC 415-06-100 for contact information.

     Footnotes to section:

1	The department uses this LEOFF statute because the statute explains how to use the Consumer Price Index for Seattle in making these annual adjustments.
2	In 2001, the threshold was $19,263. In 2002, the threshold was $19,948. In 2003, the threshold was $20,595. The 2004 threshold, effective April 2005, is $20,919.))

     (1) If you are holding an elective position and accruing PERS service credit for your service in that position, you may retire from PERS and continue to work in your elective position provided:

     (a) You are eligible to retire under RCW 41.40.180, 41.40.630, or 41.40.820;

     (b) You submit a written statement to the department, waiving the right to earn PERS service credit for any future period of service in an elective position; and

     (c) Your compensation in the elective position is fifteen thousand dollars or less per year, adjusted annually for inflation by the director. See subsection (2) of this section.

     (2) The compensation threshold in subsection (1)(c) of this section is adjusted on April 1 of each year, based on the average consumer price index for Seattle for the previous calendar year. Effective April 2006, the threshold is $21,551. You may contact the department for the threshold in effect for previous or subsequent years.

[Statutory Authority: RCW 41.50.050(5). 05-12-109, § 415-108-575, filed 5/27/05, effective 6/27/05. Statutory Authority: RCW 41.50.050(5), 41.40.023, 41.40.037. 03-08-090, § 415-108-575, filed 4/2/03, effective 5/1/03.]

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