WSR 06-13-094




[ Filed June 21, 2006, 8:03 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 06-07-136.

Title of Rule and Other Identifying Information: WAC 415-108-575 How is the compensation adjustment for elected officials computed?

Hearing Location(s): Department of Retirement Systems, 6835 Capitol Boulevard, Conference Room 115, Tumwater, WA, on July 25, 2006, at 9:00 a.m.

Date of Intended Adoption: July 26, 2006.

Submit Written Comments to: Leslie L. Saeger, Rules Coordinator, Department of Retirement Systems, P.O. Box 48380, Olympia, WA 98504-8380, e-mail, fax (360) 753-3166, by 5:00 p.m. on July 25, 2006.

Assistance for Persons with Disabilities: Contact Leslie L. Saeger, Rules Coordinator, by July 17, 2006, TDD (360) 664-7291, TTY (360) 586-5450, phone (360) 664-7291.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: WAC 415-108-575 pertains to the compensation threshold for elected officials who wish to retire from PERS and continue serving in their elective positions (RCW 41.40.023). This amendment provides the 2006 threshold and a short explanation of its application, which is absent in the current rule.

Statutory Authority for Adoption: RCW 41.50.050(5).

Statute Being Implemented: RCW 41.40.023.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Department of retirement systems, governmental.

Name of Agency Personnel Responsible for Drafting: Leslie Saeger, P.O. Box 48380, Olympia, WA 98504-8380, (360) 664-7291; Implementation and Enforcement: Dave Nelsen, P.O. Box 48380, Olympia, WA 98504-8380, (360) 664-7291.

No small business economic impact statement has been prepared under chapter 19.85 RCW. These rules have no effect on businesses.

A cost-benefit analysis is not required under RCW 34.05.328. The department of retirement systems is not one of the named departments in RCW 34.05.328.

June 20, 2006

Leslie Saeger

Rules Coordinator


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.]

Washington State Code Reviser's Office