Bill Text: CA AB2429 | 2011-2012 | Regular Session | Introduced


Bill Title: Public employee benefits: local appointed and elected

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2012-04-26 - From committee: That the measure be retained in committee, and that the subject matter be referred to the Committee on Rules for assignment to the proper committee for study. (Ayes 4. Noes 2.) (April 26). [AB2429 Detail]

Download: California-2011-AB2429-Introduced.html
BILL NUMBER: AB 2429	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Hagman

                        FEBRUARY 24, 2012

   An act to add Sections 22119.6 and 22603 to the Education Code,
and to amend Sections 20322, 22807, 31553, and 31641 of, and to add
Sections 7514.51, 20302, 20890.5, 22926, 31553.5, 31641.5, 45310.2,
50805.5, and 53060.1 to, the Government Code, relating to public
employee benefits.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2429, as introduced, Hagman. Public employee benefits: local
appointed and elected officials.
   Existing law authorizes the creation of retirement systems for
public employees by counties, cities, and districts. Existing law
creates the Public Employees' Retirement System and the State
Teachers' Retirement System, which provide a defined benefit to their
members based on age at retirement, service credit, and final
compensation. Existing law establishes the criteria for membership in
the various public employee retirement systems and may exclude
certain employment classifications from membership. The California
Constitution provides for the division of the state into counties and
requires that a county have an elected sheriff, elected district
attorney, elected assessor, and elected governing body. Existing law
provides for the incorporation of cities in various forms and
requires that certain city offices be filled pursuant to elections,
as prescribed. Existing law provides for the creation of districts,
the governing bodies of which may be elected.
   This bill would prohibit a person who is appointed or publicly
elected to a local office of any kind that is less than full time, as
defined, on and after January 1, 2013, from becoming a member of a
retirement system by virtue of that service or acquiring any
retirement right or benefit for serving in that elective office. The
bill would except from this prohibition a person who obtained
membership by virtue of holding an appointive or elective local
public office prior to January 1, 2013, and remains in that office or
is reappointed or reelected to it.
   The Public Employees' Medical and Hospital Care Act (PEMHCA)
provides that an employee or annuitant is eligible to enroll in an
approved health benefit plan, as specified. PEMHCA authorizes a
contracting agency, as specified, to elect to become subject to the
act, along with the agency's employees and annuitants. PEMHCA
authorizes a contracting agency to provide benefits to part-time
permanent or regular employees who have an appointment of 6 months or
longer.
   The bill would prohibit a contracting agency to provide any
benefits under PEMHCA to any person who is first appointed or
publicly elected to a local office of any kind that is not full time,
on and after January 1, 2013.
   The bill would also prohibit the legislative body of a public or
municipal corporation or district from providing specified benefits
to a person who is first appointed or publicly elected to a local
office of any kind that is not full time, on and after January 1,
2013, including retirement benefits, health insurance, allowances for
a car or home office, and professional or other membership dues.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 22119.6 is added to the Education Code, to
read:
   22119.6.  Notwithstanding any other law, "creditable service" does
not include service by a person described in Section 22603 performed
in an elective or appointive local office.
  SEC. 2.  Section 22603 is added to the Education Code, to read:
   22603.  (a) Notwithstanding any other law, a person who is
appointed or publicly elected to a local office of any kind that is
less than full time, on and after January 1, 2013, shall not become a
member of a retirement system established under this chapter by
virtue of that service and shall not acquire any retirement right or
benefit for serving in that elective office. For purposes of this
section, "full time" means the elected or appointed official is
required to provide service to the state government, local
government, or special district for a minimum of five days and 40
hours a week, exclusive of holidays, or otherwise requires the
elected or appointed official to devote his or her entire time and
attention to the duties of the office and prohibits any outside
employment that would interfere with those duties. Designation of an
elective or appointive office as full time shall be enacted by law.
   (b) This section shall not apply to a person who obtained
membership by virtue of holding an elective or appointive local
public office prior to January 1, 2013, for so long as he or she
holds that office or is reelected or reappointed to that office.
  SEC. 3.  Section 7514.51 is added to the Government Code, to read:
   7514.51.  (a) Notwithstanding any other law and except as required
or permitted by the California Constitution, a person who is
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013, shall not become a
member of any retirement system by virtue of that service and shall
not acquire any retirement right or benefit for serving in that
elective office. For purposes of this section, "full time" means the
elected or appointed official is required to provide service to the
state government, local government, or special district for a minimum
of five days and 40 hours a week, exclusive of holidays, or
otherwise requires the elected or appointed official to devote his or
her entire time and attention to the duties of the office and
prohibits any outside employment that would interfere with those
duties. Designation of an elective or appointive office as full time
shall be enacted by law.
   (b) This section shall not apply to a person who obtained
membership by virtue of holding an elective or appointive local
public office prior to January 1, 2013, for so long as he or she
holds that office or is reelected or reappointed to that office.
  SEC. 4.  Section 20302 is added to the Government Code, to read:
   20302.  (a) Notwithstanding any other law, a person who is
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013, shall not become a
member of the system by virtue of that service and shall not acquire
any retirement right or benefit for serving in that elective office.
For purposes of this section, "full time" means the elected or
appointed official is required to provide service to the state
government, local government, or special district for a minimum of
five days and 40 hours a week, exclusive of holidays, or otherwise
requires the elected or appointed official to devote his or her
entire time and attention to the duties of the office and prohibits
any outside employment that would interfere with those duties.
Designation of an elective or appointive office as full time shall be
enacted by law.
   (b) This section shall not apply to a person who obtained
membership by virtue of holding an elective or appointive local
public office prior to January 1, 2013, for so long as he or she
holds that office or is reelected or reappointed to that office.
  SEC. 5.  Section 20322 of the Government Code is amended to read:
   20322.   (a)     Except as
otherwise provided in Section 20302: 
    (a)    An elective officer is excluded from
membership in this system unless the officer files with the board an
election in writing to become a member. Upon electing to become a
member, the officer may further elect at any time prior to retirement
to receive service credit for his or her prior, excluded service by
making the contributions as specified in Sections 21050 and 21051.
   (b) As used in this part, "elective officer" includes any officer
of the Senate or Assembly who is elected by vote of the members of
either or both of the houses of the Legislature, and any appointive
officer of a city or county occupying a fixed term of office, as well
as officers of the state or contracting agencies elected by the
people, and persons elected to a city council or a county board of
supervisors.
   (c) Notwithstanding any other provision of subdivision (a) or (b),
elected or appointed officers of a county superintendent of schools,
school district, or community college district, or of a contracting
agency, who serve on public commissions, boards, councils, or similar
legislative or administrative bodies are excluded from membership in
this system. This exclusion shall only apply to those elected or
appointed officers, other than city or county officers, who are first
elected or appointed to an office on or after July 1, 1994, or who
are elected or appointed to a term of office not consecutive with the
term of office held on June 30, 1994. For city or county elected or
appointed officers, this exclusion shall only apply to those officers
who are first elected or appointed to an office on or after January
1, 1997, or who are elected or appointed to a term of office not
consecutive with the term of office held on December 31, 1996. This
exclusion shall not apply to persons elected to a city council or
county board of supervisors.
   (d) Any person holding the office of city attorney or the office
of assistant city attorney, whether employed, appointed, or elected,
is excluded from the definition of "elective officer" as defined in
subdivision (b). This subdivision shall apply only to persons first
employed, elected, or appointed on or after July 1, 1994, or
following any break in state service while serving in the office if
the office was held on June 30, 1994.
   (e) In accordance with Section 20125, the board shall be the sole
judge of which elected or appointed positions qualify the incumbent
as an "elective officer" in this system under this section.
   (f) Notwithstanding any other provision of law, with respect to
elective officers of contracting agencies, payment by a contracting
agency of employer contributions and any other amounts for employer
paid benefits under this system shall not be construed as receipt of
salary or compensation by the elective officer for purposes of any
statutory salary or compensation limitation.
  SEC. 6.  Section 20890.5 is added to the Government Code, to read:
   20890.5.  Notwithstanding any other law, a person described in
Section 20302 shall not be credited with service by virtue of serving
in a local elective office.
  SEC. 7.  Section 22807 of the Government Code is amended to read:
   22807.  (a) Notwithstanding subdivision (b) of Section 22772, a
contracting agency may, by resolution filed with the board, deem all
permanent or regular employees, except members of the State Teachers'
Retirement Plan, who have an appointment of six months or longer but
are employed less than half-time, to be employees subject to this
part.
   (b) Notwithstanding subdivision (b) of Section 22772, a
contracting agency with employees who are members of the State
Teachers' Retirement Plan may, by resolution filed with the board,
deem any of the following to be employees subject to this part:
   (1) Regular, permanent, probationary, or temporary employees or
substitutes who have an appointment for at least a semester, for six
months, or for half of the school year, but are employed less than
half-time.
   (2) Substitutes who have an appointment for 100 days or more in
the school year. 
   (3) This section shall not apply to any person who is first
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013. 
  SEC. 8.  Section 22926 is added to the Government Code, to read:
   22926.  Notwithstanding any other law, a contracting agency shall
not offer coverage under this part to any person who is first
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013. For purposes of this
section, "full time" means the elected or appointed official is
required to provide service to the state government, local
government, or special district for a minimum of five days and 40
hours a week, exclusive of holidays, or otherwise requires the
elected or appointed official to devote his or her entire time and
attention to the duties of the office and prohibits any outside
employment that would interfere with those duties. Designation of an
elective or appointive office as full time shall be enacted by law.
  SEC. 9.  Section 31553 of the Government Code is amended to read:
   31553.   Elective   Except as provided in
Section 31553.5, elective  officers become members of the
retirement association on the first day of the calendar month
following the filing of a declaration with the board to become a
member, provided, however, that any such elective officer may, within
60 days after the expiration of the officer's term of office or
within 60 days after the officer ceases to hold the office, rescind
the declaration and withdraw from the retirement association. In such
cases, all contributions paid by the member shall be refunded in the
same manner as applicable to members terminating service.
  SEC. 10.  Section 31553.5 is added to the Government Code, to read:

   31553.5.  (a) Notwithstanding any other law, a person who is
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013, shall not become a
member of a retirement system established under this chapter by
virtue of that service and shall not acquire any retirement right or
benefit for serving in that elective office. For purposes of this
section, "full time" means the elected or appointed official is
required to provide service to the state government, local
government, or special district for a minimum of five days and 40
hours a week, exclusive of holidays, or otherwise requires the
elected or appointed official to devote his or her entire time and
attention to the duties of the office and prohibits any outside
employment that would interfere with those duties. Designation of an
elective or appointive office as full time shall be enacted by law.
   (b) This section shall not apply to a person who obtained
membership by virtue of holding an elective or appointive local
public office prior to January 1, 2013, for so long as he or she
holds that office or is reelected or reappointed to that office.
  SEC. 11.  Section 31641 of the Government Code is amended to read:
   31641.   "Service"   Except as provided in
Section 31641.5, "service"  means uninterrupted employment of
any person appointed or elected for that period of time:
   (a) For which deductions are made from his  or her 
earnable compensation from the county or district for  such
  that  service while he  or she  is a
member of the retirement association.
   (b) In military service for which the county or district or member
is authorized by other provisions of this chapter to make, and does
make, contributions.
   (c) For which he  or she  receives credit for county
service or for public service or for both pursuant to the provisions
of this article.
   (d) Allowed for prior service.
  SEC. 12.  Section 31641.5 is added to the Government Code, to read:

   31641.5.  Notwithstanding any other law, a person described in
Section 31553.5 shall not be credited with service by virtue of
serving in a local elective office.
  SEC. 13.  Section 45310.2 is added to the Government Code, to read:

   45310.2.  (a) Notwithstanding any other law, a person who is
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013, shall not become a
member of a retirement system established under this chapter by
virtue of that service and shall not acquire any retirement right or
benefit for serving in that elective office. For purposes of this
section, "full time" means the elected or appointed official is
required to provide service to the state government, local
government, or special district for a minimum of five days and 40
hours a week, exclusive of holidays, or otherwise requires the
elected or appointed official to devote his or her entire time and
attention to the duties of the office and prohibits any outside
employment that would interfere with those duties. Designation of an
elective or appointive office as full time shall be enacted by law.
   (b) This section shall not apply to a person who obtained
membership by virtue of holding an elective or appointive local
public office prior to January 1, 2013, for so long as he or she
holds that office or is reelected or reappointed to that office.
  SEC. 14.  Section 50805.5 is added to the Government Code, to read:

   50805.5.  (a) Notwithstanding any other law, a person who is
appointed or publicly elected to a local office of any kind that is
not full time, on and after January 1, 2013, shall not become a
member of a retirement system established under this chapter by
virtue of that service and shall not acquire any retirement right or
benefit for serving in that elective office. For purposes of this
section, "full time" means the elected or appointed official is
required to provide service to the state government, local
government, or special district for a minimum of five days and 40
hours a week, exclusive of holidays, or otherwise requires the
elected or appointed official to devote his or her entire time and
attention to the duties of the office and prohibits any outside
employment that would interfere with those duties. Designation of an
elective or appointive office as full time shall be enacted by law.
   (b) This section shall not apply to a person who obtained
membership by virtue of holding an elective or appointive local
public office prior to January 1, 2013, for so long as he or she
holds that office or is reelected or reappointed to that office.
  SEC. 15.  Section 53060.1 is added to the Government Code, to read:

   53060.1.  (a) The legislative body of an public or municipal
corporation or district shall not provide any of the following
benefits to a person who is first appointed or publicly elected to a
local office of any kind that is not full time, on and after January
1, 2013:
   (1) Retirement benefits, including, but not limited to, a service
pension, a disability pension, and postemployment health care
benefits.
   (2) Health insurance.
   (3) An allowance for a car or home office.
   (4) Professional or other membership dues.
   (b) For purposes of this section, "full time" means the elected or
appointed official is required to provide service to the state
government, local government, or special district for a minimum of
five days and 40 hours a week, exclusive of holidays, or otherwise
requires the elected or appointed official to devote his or her
entire time and attention to the duties of the office and prohibits
any outside employment that would interfere with those duties.
Designation of an elective or appointive office as full time shall be
enacted by law.                              
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