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24th Alaska State Legislature
The 24th Alaska State Legislature
Alaska State Representative James Elkins
Sponsor Statement

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Reemployment of Retirees
Sponsor Statement for House Bill 161
Alaska State Legislature
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Attachments Attachments

 
Released:
May 2, 2005
Updated:
February 19, 2012


"An Act relating to reemployment of and benefits for or on behalf of retired teachers and public employees and to teachers or employees who participated in retirement incentive programs and are subsequently reemployed as a commissioner; repealing secs. 5, 7, and 9, ch. 58, SLA 2001; providing for an effective date by amending the delayed effective date for secs. 3, 5, 9, and 12, ch. 57, SLA 2001, and repealing sec. 13, ch. 58, SLA 2001, which is the delayed effective date for secs. 5, 7, and 9, ch. 58, SLA 2001; and providing for an effective date. "


 

House Bill 161 is an "An Act relating to reemployment of and benefits for retired teachers and public employees and to teachers or employees who participated in retirement incentive programs and are subsequently reemployed as a commissioner: repealing secs. 5,7, and 9, ch. 58, SLA2001; providing for an effective date by amending the delayed effective date for secs. 3, 5, 9, and 12, ch.57, SLA2001, and repealing sec. 13, ch. 58, SLA 2001, which is the delayed effective date for sec. 5, 7, and 9, ch.58, SLA 2001; and providing for an effective date."

The Act states that the legislature finds that the reemployment of certain retired members of the teacher's and public employees' retirement systems provide a valuable tool for school districts and public employers to manage workforce shortages. The legislature further finds that school districts and public employers must plan to meet their workforce needs without reliance on retired workers. In extending the termination date of the reemployment provisions, it is the intent of the legislature to allow school districts and public employers to continue to use the management tool, while developing plans that address the knowledge, shills and abilities that need to be transferred or developed to assure that work can be accomplished when the reemployment provisions terminate.

It is the intent of the legislature that all participation in the retiree reemployments program will end on July 1, 2008, unless extended by law. In addition, the legislature intends that employers that benefit from the provisions of the retiree reemployment provisions pay any increase in unfunded liability to the retirement systems and that they provide retirees with the same health and medical benefits as other active members.

The Act allows PERS & TRS retirees who were rehired before November 3, 2004 to continue to receive their retirement and medical benefits from July 1, 2005 through December 21, 2006, if they continue to serve in the same position. However, on January 1, 2007, the period of reemployment to which the retiree's originally applied is considered terminated. These retirees may apply once again for rehire if they so desire.

All employers desiring to hire a retiree must perform the following:

  • Conduct a recruitment of at least 15 days that resulted in fewer than five qualified, eligible, and available applicants, including the retired member.
  • The employer must then conduct an additional recruitment period that again results in fewer than five qualified applicants including the retired member. Both periods must be at least 30 days total.
  • Retirees who apply for rehire must have been retired for at least 30 days.

Each employer of a retired member rehired under provisions of the Act, shall make contributions to the unfunded liability of the system on behalf of the retired member at the same rate the employers is making for that employer's other members.

# # #

 
Attachments:
 
·
Print Text Version
· Acrobat PDF Version [PDF - 1 page - 26 KB]
· Complete Bill Text for HB 161


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