Bill Text: CA SB765 | 2023-2024 | Regular Session | Amended
Bill Title: Teachers: retired teachers: compensation limitation.
Spectrum: Bipartisan Bill
Status: (Passed) 2023-10-13 - Chaptered by Secretary of State. Chapter 885, Statutes of 2023. [SB765 Detail]
Download: California-2023-SB765-Amended.html
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Amended
IN
Assembly
August 17, 2023 |
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Amended
IN
Assembly
June 30, 2023 |
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Amended
IN
Assembly
June 19, 2023 |
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Amended
IN
Senate
May 03, 2023 |
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Amended
IN
Senate
April 11, 2023 |
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Amended
IN
Senate
March 20, 2023 |
| Introduced by Senator Portantino (Coauthor: Senator Jones) |
February 17, 2023 |
LEGISLATIVE COUNSEL'S DIGEST
Existing law limits the postretirement compensation of a member of the Defined Benefit Program of the Teachers’ Retirement Plan to an amount calculated by STRS, as specified. If the member’s postretirement compensation exceeds this amount, the law requires the member’s
retirement allowance to be reduced by the amount of excess compensation. Existing law, however, permits members retired for service from STRS to perform retired member activities, as defined, without being subject to the compensation limit under certain limited conditions and circumstances.
This bill would, commencing July 1, 2024, exempt a retired member, who has returned to perform retired member activities for an employer, after retirement to fulfill a critical need in a teaching position, as defined, from the postretirement compensation limitation, as specified. The bill would require an employer to submit specified documentation, certified under penalty of perjury, to substantiate a retired member’s eligibility. By expanding the crime of perjury, the bill would impose a state-mandated local program.
This bill would prohibit a retired member from performing retired member activities until after the system has received the specified documentation. The bill’s exemption to existing law’s
postretirement compensation limitation would commence on the date the retired member is appointed or assigned to the teaching position and end on June 30 of that school year. The bill would prohibit a retired member from utilizing the exemption for more than 3 school years.
(2)Existing law establishes the Teacher Residency Grant Program and appropriates $350,000,000 from the General Fund to the Commission on Teacher Credentialing for the 2021–22 fiscal year to award grants to certain applicant local educational agencies to support teacher residency programs that recruit and support the preparation of teachers, as provided. Under the program, a grant award can be no greater than $25,000 per teacher candidate, as provided.
This bill would increase the maximum grant award to instead be no greater than $40,000 per teacher candidate, as provided.
(3)
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESBill Text
The people of the State of California do enact as follows:
SECTION 1.
The Legislature finds and declares all of the following:(i)Although the state has made significant investments in the state budget for teacher candidate recruitment, professional development, and retention programs, those investments will take three or more years to develop fully credentialed teachers who can enter the profession.
(j)Providing retired educational staff with a streamlined process to reenter the classroom
(a)Commencing July 1, 2024, the compensation earned by a member who retired for service under this part shall be exempt from subdivisions (d), (f), and (g) of Section 24214 if the member performs retired member activities for an employer, excluding a community college district, and all requirements provided in this section are met.
(b)An employer, excluding a community college district, shall submit all completed documentation required by the system to substantiate the eligibility of the retired member for the exemption pursuant to subdivision (a), including compliance with subdivision (c).
(c)The retired member shall not perform retired member activities until after the completed documentation has been received by the system. The documentation required by subdivision (b) shall include certification, under penalty of perjury, of the following:
(1)The member is returning to fulfill a critical need in a teaching position as defined in subdivision (e).
(2)The employer first publicly advertised the teaching position for appointment to those individuals with the necessary qualifications to perform the requirements of the position, and no one qualified accepted the appointment.
(3)The employer, having tried and failed to hire someone pursuant to paragraph (2), hired a retired member, and the salary offered to the retired member subject to this paragraph does not exceed the salary that was offered as first publicly advertised pursuant to paragraph (2).
(4)The compensation paid for the teaching position meets the requirements set forth in subdivision (b) of Section 24214.
(5)The teaching position vacancy occurred due to circumstances beyond the control of the employer.
(6)The termination of employment of the retired member with the employer is not the basis for the need to acquire the services of the retired member.
(7)The member did not receive additional service credit pursuant to Section 22714 or 22715, or receive from any public employer any financial inducement to retire. For purposes of this section, “financial inducement to retire” includes, but is not limited to, any form of compensation or other payment that is paid directly or indirectly by a public employer to the member, even if not in cash, either before or after retirement, if the member retires for service on or before a specific date or specific range of dates established by a public employer on or before the date the inducement is offered. The system shall liberally interpret this subdivision to further the Legislature’s intent to make subdivision (a) inapplicable to members if the member received a financial incentive from any public employer to retire or otherwise terminate employment with a public employer.
(d)(1)The period of exemption shall commence on the date the retired member is appointed or assigned to the teaching position and shall end on June 30 of
that school year, after which the limitation specified in subdivisions (d), (f), and (g) of Section 24214 shall apply.
(2)A retired member is only eligible to utilize the exemption created by subdivision (a) for a maximum of three school years.
(e)For the purposes of this section, “teaching
position” means a position requiring certification qualifications authorized by the Commission on Teacher Credentialing pursuant to Section 44001.
(a)(1)Notwithstanding subdivision (f) of Section 24214, the postretirement compensation limitation that shall apply to the compensation paid in cash to the retired member for performance of retired member activities, excluding reimbursements paid by an employer for expenses incurred by the member in which payment of the expenses by the member is substantiated, shall be zero dollars ($0) during the first 180 calendar days after the most recent retirement of a member retired for service under this part.
(2)For written agreements pertaining to the performance of retired member activities entered into, extended, renewed, or amended on or after January 1, 2014, the limitation in paragraph (1) shall also apply to payments made for the performance of retired member activities, including, but not limited to, those for participation in a deferred compensation plan; to purchase an annuity contract, tax-deferred retirement plan, or insurance program; and for contributions to a plan that meets the requirements of Section 125, 401(a), 401(k), 403(b), 457(b), or 457(f) of Title 26 of the United States Code when the cost is covered by an employer.
(b)Subdivision (a) shall not apply and Section 24214 shall apply if the Superintendent, the county superintendent of schools, or the chief executive officer of a community college submits a request for exemption to the system with certification, under penalty of perjury, of the following:
(1)The nature of the employment.
(2)That the appointment is necessary to fill a critically needed position before 180 calendar days have passed.
(3)That the member is not ineligible for application of this subdivision pursuant to subdivision (c).
(4)That the termination of employment of the retired member with the employer is not the basis for the need to acquire the services of the member.
(c)Subdivision (b) shall not apply to a retired member if any of the following conditions exist:
(1)The member has not attained normal retirement age at the time the compensation is earned.
(2)The member’s termination of employment with the employer is the basis for the need to acquire the services of the member.
(3)The member received additional service credit pursuant to Section 22714 or 22715 or received from any public employer any financial inducement to retire. For purposes of this section, “financial inducement to retire” includes, but is not limited to, any form of compensation or other payment that is paid directly or indirectly by a public employer to the member, even if not in cash, either before or after retirement, if the member retires for service on or before a specific date or specific range of dates established by a public employer on or before the date the inducement is offered. The system shall liberally interpret this paragraph to further the Legislature’s intent to make subdivision (b) inapplicable to members if the member received a financial incentive from any public employer to retire or otherwise terminate employment with a public employer.
(d)The completed documentation required by this section shall be received by the system prior to the retired member’s performance of retired member
activities.
(e)Within 30 calendar days after the receipt of all documentation required by the system pursuant to this section, the system shall inform the entity seeking application of the exemption specified in subdivision (b), and the retired member whether the compensation paid to the member will be subject to the limitation specified in subdivision (a).
(f)If a member retired for service under this part earns compensation for performing retired member activities in excess of the limitation specified in subdivision (a), the member’s retirement allowance shall be reduced by the amount of the excess compensation. The amount of the reduction in an individual month shall be no more than the monthly allowance payable in that month, and the total amount of the reduction shall not exceed the amount of the allowance payable during the first 180
calendar days, after a member retired for service under this part.
(g)The amendments to this section enacted during the first year of the 2013–14 Regular Session shall apply to compensation paid on or after January 1, 2014.
(a)For purposes of this section, the following definitions apply for the Teacher Residency Grant Program:
(1)“Experienced mentor teacher” means an educator who meets all of the following requirements:
(A)Has at least three years of teaching experience and holds a clear credential in the subject in which the mentor teacher will be mentoring. For programs leading to the issuance of new PK-3 early childhood education specialist credentials, the mentor teacher must have at least three years of teaching experience in prekindergarten, transitional kindergarten, kindergarten, or any of grades 1 to 3, inclusive, and hold a clear multiple subject credential.
(B)Has a record of successful teaching as demonstrated, at a minimum, by satisfactory annual performance evaluations for the preceding three years.
(C)Receives specific training for the mentor teacher role, and engages in ongoing professional learning and networking with other mentors.
(D)Receives compensation, appropriate release time, or both, to serve as a mentor in the initial preparation or beginning teacher induction component of the teacher residency program.
(2)“Teacher residency program” is a grant applicant-based program that partners with one or more commission-approved teacher preparation programs offered by a regionally accredited institution of higher education in which a prospective teacher teaches at least one-half time alongside a teacher of record, who is designated as the experienced mentor teacher, for at least one full school year while engaging in initial preparation coursework.
(b)For the 2021–22 fiscal year, the sum of three hundred fifty million dollars ($350,000,000) is hereby appropriated from the General Fund to the commission for the Teacher Residency Grant Program to support teacher residency programs that recruit and support the preparation of teachers pursuant to this section. This funding shall be available for encumbrance until June 30, 2026.
(c)(1)The commission shall make grants to applicants to establish new teacher residency programs, or
expand, strengthen, or improve access to existing teacher residency programs that support either of the following:
(A)Designated shortage fields, including, but not limited to, special education, bilingual education, science, computer science, technology, engineering, mathematics, transitional kindergarten, or kindergarten, school counselors, and any other fields identified by the commission based on an annual analysis of state and regional hiring and vacancy data.
(B)Local efforts to recruit, develop support systems for, provide outreach and communication strategies to, and retain a diverse teacher workforce that reflects a local educational agency community’s diversity.
(2)Grant recipients shall work with one or more commission-accredited teacher preparation programs and may work with other community partners or nonprofit organizations to develop and implement programs of preparation and mentoring for resident teachers who will be supported through program funds and subsequently employed by the sponsoring grant recipient.
(3)A grant applicant may consist of one or more, or any combination, of the following:
(A)A school district.
(B)A county office of education.
(C)A charter school.
(D)A regional occupational center or program operated by a joint powers authority or a county office of education.
(d)Grants allocated pursuant to subdivision (c) shall be up to forty thousand dollars ($40,000) per teacher candidate in the residency program of the jurisdiction of the grant recipient, matched by that grant recipient at a rate of 80 percent of the grant amount received per participant, as described in subdivision (f). Residents are also eligible for other forms of federal, state, and
local educational agency financial assistance to support the cost of their preparation. Grant program funding shall be used for, but is not limited to, any of the following:
(1)Teacher preparation costs.
(2)Stipends for mentor teachers, including, but not limited to, housing stipends.
(3)Residency program staff costs.
(4)Mentoring and beginning teacher induction costs following initial preparation.
(e)A grant recipient shall not use more than 5 percent of a grant award for program administration costs.
(f)A grant
recipient shall provide a match of grant funding in the form of one or both of the following:
(1)Eighty cents ($0.80) for every one dollar ($1) of grant funding received per participant, to be used in a manner consistent with allowable grant activities pursuant to subdivision (d).
(2)An in-kind match of program director personnel costs, mentor teacher personnel costs, or other personnel costs related to the Teacher Residency Grant Program, provided by the grant recipient.
(g)Grant recipients shall do all of the following:
(1)Ensure that candidates are prepared to earn a preliminary teaching credential, including a PK-3 early childhood education specialist credential, in furtherance of paragraph (1) of subdivision (c) upon completion of the program.
(2)Ensure that candidates are provided instruction in all of the following:
(A)Teaching the content area or areas in which the teacher will become certified to teach.
(B)Planning, curriculum development, and assessment.
(C)Learning and child development.
(D)Management of the classroom environment.
(E)Use of culturally responsive practices, supports for language development, and supports for serving pupils with disabilities.
(F)Professional responsibilities, including interaction with families and colleagues.
(3)Provide each candidate mentoring and beginning teacher induction support following the completion of the initial credential program necessary to obtain a clear credential and ongoing professional development and networking opportunities during the candidate’s first years of teaching at no cost to the candidate.
(4)Prepare candidates to teach in a school within the jurisdiction of the grant recipient in which they will work and learn the instructional initiatives and curriculum of the grant recipient.
(5)Group teacher candidates in cohorts to facilitate professional collaboration among residents, and ensure candidates are enrolled in a teaching school or professional development program that is organized to support a high-quality teacher learning experience in a supportive work environment.
(h)To receive a grant, an applicant shall submit an application to the commission at a time, in a manner, and containing information prescribed by the commission.
(i)When selecting grant recipients, the commission shall do both of the following:
(1)Require applicants to demonstrate a need for teachers in one or more designated shortage fields or for the purposes described in subparagraph (B) of paragraph (1) of subdivision (c), and to propose to establish a new, or expand, strengthen, or improve access to an existing, teacher residency program that recruits, prepares, and supports teachers to teach in either one or more such fields or in furtherance of subparagraph (B) of paragraph (1) of subdivision (c) in a school within the jurisdiction of the sponsoring grant applicant.
(2)Give priority consideration to grant applicants who demonstrate a commitment to increasing diversity in the teaching workforce, have a higher percentage than other applicants of unduplicated pupils, as defined in Section 42238.02, and have one or more schools that exhibit one or both of the following characteristics:
(A)A school where 50 percent or more of the enrolled pupils are eligible for free or reduced-price meals.
(B)A school that is located in either a rural location or a densely populated region.
(j)A candidate in a teacher residency program sponsored by a grant provided pursuant to subdivision (c) shall agree in writing to serve in a school within the jurisdiction of the grant recipient that sponsored the candidate for a period of at least four school years beginning with the school year that begins after the candidate successfully completes the initial year of preparation and obtains a preliminary teaching credential, including a PK-3 early childhood education specialist credential. A candidate who fails to earn a preliminary credential, or who fails to complete the period of the placement, shall reimburse the sponsoring grant recipient the amount of grant funding invested in the candidate’s residency training. The amount to be reimbursed shall be adjusted proportionately
to reflect the service provided if the candidate taught at least one year, but less than four years, at a school within the jurisdiction of the sponsoring grant recipient. A candidate shall have five school years to complete the four-school-year teaching commitment.
(k)If a candidate is unable to complete a school year of teaching, that school year may still be counted toward the required four complete school years if any of the following occur:
(1)The candidate has completed at least one-half of the school year.
(2)The employer deems the candidate to have fulfilled their contractual requirements for the school year for the purposes of salary increases, probationary or permanent status, and retirement.
(3)The candidate was not able to teach due to the financial circumstances of the sponsoring grant recipient, including a decision to not reelect the employee for the succeeding school year.
(4)The candidate has a condition covered under the federal Family and Medical Leave Act of 1993 (29 U.S.C. Sec. 2061 et seq.) or similar state law.
(5)The candidate was called or ordered to active duty status for more than 30 days as a member of a reserve component of the Armed Forces of the United States.
(l)For purposes of administering the grant program pursuant to subdivision (c), the commission shall do all of the following:
(1)Determine the number of grants to be awarded and the total amount awarded to each grant applicant.
(2)Require grant recipients to submit program and expenditure reports, as specified by the commission, as a condition of receiving grant funds.
(3)Annually review each grant recipient’s program and expenditure reports to determine if any candidate has failed to meet their commitment pursuant to subdivision (j).
(m)If the commission determines or is informed that a sponsored candidate failed to earn a preliminary credential or failed to meet their commitment to teach pursuant to subdivision (j), the commission shall confirm with the grant recipient the
applicable grant amount to be recovered from the candidate and the grant recipient. The amount to be recovered shall be adjusted proportionately to reflect the service provided if the candidate taught at least one year, but less than four years, at the sponsoring grant recipient.
(n)Upon confirming the amount to be recovered from the grant recipient pursuant to subdivision (m), the commission shall notify the grant recipient of the amount to be repaid within 60 days. The grant recipient shall have 60 days from the date of the notification to make the required repayment to the commission. If the grant recipient fails to make the required payment within 60 days, the commission shall notify the Controller and the grant recipient of the failure to repay the amount owed. The Controller shall deduct an amount equal to the amount owed to
the commission from the grant recipient’s next principal apportionment or apportionments of state funds, other than basic aid apportionments required by Section 6 of Article IX of the California Constitution. If the grant recipient is a regional occupational center or program operated by a joint powers authority that does not receive a principal apportionment or apportionments of state funds, or a consortia of local educational agencies, the commission shall notify the Controller of the local educational agency where the candidate taught and the Controller shall deduct the amount owed from the applicable local educational agency’s next principal apportionment or apportionments of state funds, other than basic aid apportionments required by Section 6 of Article IX of the California Constitution.
(o)An amount recovered by the commission
or deducted by the Controller pursuant to subdivision (n) shall be deposited into the Proposition 98 Reversion Account.
(p)Grant recipients may recover from a sponsored candidate who fails to earn a preliminary credential, or who fails to complete the period of placement, the amount of grant funding invested in the candidate’s residency training. The amount to be recovered shall be adjusted proportionately to reflect the service provided if the candidate taught at least one year, but less than four years, at a school within the jurisdiction of the sponsoring grant recipient.
(q)Grant recipients shall not charge a teacher resident a fee to participate in the Teacher Residency Grant Program.
(r)(1)Notwithstanding subdivision (c), the commission may allocate up to twenty-five million dollars ($25,000,000) of the
amount appropriated pursuant to subdivision (b) to capacity grants that shall be awarded on a competitive basis to local educational agencies or consortia, as designated pursuant to this section, partnering with regionally accredited institutions of higher education to expand, strengthen, improve access to, or create teacher residency programs.
(2)(A)The commission shall determine the number of capacity grants to be awarded and the amount of the applicable grants.
(B)Individual capacity grants shall not exceed two hundred fifty thousand dollars ($250,000) per grant recipient.
(s)For purposes of making the computations required by Section 8 of Article XVI of the California Constitution,
the appropriation made by subdivision (b) shall be deemed to be “General Fund revenues appropriated for school districts,” as defined in subdivision (c) of Section 41202, for the 2020–21 fiscal year, and included within the “total allocations to school districts and community college districts from General Fund proceeds of taxes appropriated pursuant to Article XIII B,” as defined in subdivision (e) of Section 41202, for the 2020–21 fiscal year.
(a)This section shall apply to any person who is receiving a pension benefit from a public retirement system and shall supersede any other provision in conflict with this section.
(b)A retired person shall not serve, be employed by, or be employed through a contract directly by, a public employer in the same public retirement system from which the retiree receives the benefit without reinstatement from retirement, except as permitted by this section.
(c)A person who retires from a public employer may serve without reinstatement from retirement or loss or interruption of benefits provided by the retirement system upon
appointment by the appointing power of a public employer either during an
emergency to prevent stoppage of public business or because the retired person has skills needed to perform work of limited duration.
(d)Appointments of the person authorized under this section shall not exceed a total for all employers in that public retirement system of 960 hours or other equivalent limit, in a calendar or fiscal year, depending on the administrator of the system. The rate of pay for the employment shall not be less than the minimum, nor exceed the maximum, paid by the employer to other employees performing comparable duties, divided by 173.333 to equal an hourly rate. A retired person whose employment without reinstatement is authorized by this section shall acquire no service credit or retirement rights under this section with respect to the employment unless they reinstate from retirement.
(e)(1)Notwithstanding subdivision (c), any retired person shall not be eligible to serve or be employed by a public employer if, during the 12-month period prior to an appointment described in this section, the retired person received any unemployment insurance compensation arising out of prior employment subject to this section with a public employer. A retiree shall certify in writing to the employer upon accepting an offer of employment that they are in compliance with this requirement.
(2)A retired person who accepts an appointment after receiving unemployment insurance compensation as described in this subdivision shall terminate that employment on the last day of the current pay period and shall not be eligible for reappointment subject to this section for a period of 12 months following the last day of employment.
(f)A retired person shall not be eligible to be employed pursuant to this section for a period of 180 days following the date of retirement unless they meet one of the following conditions:
(1)The employer certifies the nature of the employment and that the appointment is necessary to fill a critically needed position before 180 days have passed and the appointment has been approved by the governing body of the employer in a public meeting. The appointment may not be placed on a consent calendar.
(2)(A)Except as otherwise provided in this paragraph, for state employees, the state employer certifies the nature of the employment and that the appointment is necessary to fill a critically needed state employment position before 180 days have passed and the appointment has been approved by the Department of Human Resources. The department may establish a process to delegate appointing authority to individual state agencies, but shall audit the process to determine if abuses of the system occur. If necessary, the department may assume an agency’s appointing authority for retired workers and may charge the department an appropriate amount for administering that authority.
(B)For legislative employees, the Senate Committee on Rules or the Assembly Rules Committee certifies the nature of the employment and that the appointment is necessary to fill a critically needed position before 180 days have passed and approves the appointment in a public meeting. The appointment may not be placed on a consent calendar.
(C)For employees of the California State University, the Trustees of the California State University certifies the nature of the employment and that the appointment is necessary to fill a critically needed position before 180 days have passed and approves the appointment in a public meeting. The appointment may not be placed on a consent calendar.
(3)The retiree is eligible to participate in the Faculty Early Retirement Program pursuant to a collective bargaining agreement with the California State University that existed prior to January 1, 2013, or has been included in subsequent agreements.
(4)The retiree is a public safety officer or firefighter hired to perform a function or functions regularly performed by a public safety officer or firefighter.
(g)A retired person who accepted a retirement incentive upon retirement shall not be eligible to be employed pursuant to this section for a period of 180 days following the date of retirement and subdivision (f) shall not apply.
(h)This section shall not apply to a person who is retired from the State Teachers’ Retirement System, and who is subject to Section 24214, 24214.1, 24214.5, or 26812 of the Education Code.
(i)This section shall not apply to (1) a subordinate judicial officer whose position, upon retirement, is converted to a judgeship pursuant to Section 69615, and they return to work in the converted position, and the employer is a
trial court, or (2) a retiree of the Judges’ Retirement System or the Judges’ Retirement System II who is assigned to serve in a court pursuant to Section 68543.5.
SEC. 2.
Section 24214 of the Education Code is amended to read:24214.
(a) A member retired for service under this part may perform retired member activities, but the member shall not make contributions to the retirement fund or accrue service credit based on compensation earned from that service. The employer shall maintain accurate records of the earnings of the retired member and report those earnings monthly to the system and retired member as described in Section 22461.(i)This section shall become operative on July 1, 2017.
