Bill Text: PA SB1015 | 2009-2010 | Regular Session | Introduced


Bill Title: Further providing for creditable nonstate service and for contributions for the purchase of credit.

Spectrum: Slight Partisan Bill (Republican 5-3)

Status: (Introduced - Dead) 2009-07-10 - Referred to FINANCE [SB1015 Detail]

Download: Pennsylvania-2009-SB1015-Introduced.html

  

 

    

PRINTER'S NO.  1285

  

THE GENERAL ASSEMBLY OF PENNSYLVANIA

  

SENATE BILL

 

No.

1015

Session of

2009

  

  

INTRODUCED BY ARGALL, HUGHES, RAFFERTY, ERICKSON, TARTAGLIONE, KASUNIC, GREENLEAF AND M. WHITE, JULY 10, 2009

  

  

REFERRED TO FINANCE, JULY 10, 2009  

  

  

  

AN ACT

  

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Amending Title 71 (State Government) of the Pennsylvania

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Consolidated Statutes, further providing for creditable

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nonstate service and for contributions for the purchase of

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credit.

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The General Assembly of the Commonwealth of Pennsylvania

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hereby enacts as follows:

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Section 1.  Section 5304(c) of Title 71 of the Pennsylvania

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Consolidated Statutes is amended by adding a paragraph and the

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section is amended by adding a subsection to read:

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§ 5304.  Creditable nonstate service.

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* * *

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(b.1)  Prohibition.--

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(1)  In no event shall the service be creditable for

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persons eligible under subsection (c)(9) if the member has

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received, is entitled to receive, is eligible to receive now

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or in the future or is receiving retirement benefits for such

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service or has retirement credit or has now or acquires in

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the future retirement credit under a retirement system

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administered and wholly or partially paid for by any other

 


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governmental agency, private employer or labor organization.

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(2)  In the event that nonstate service credit is granted

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for the service and the member subsequently receives credit

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for the service that is prohibited by this subsection, the

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nonstate service credited shall be canceled and any member

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contributions and interest paid by the member under section

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5505(i)(2) shall be refunded to the member by the board.

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(c)  Limitations on nonstate service.--Creditable nonstate

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service credit shall be limited to:

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* * *

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(9)  Service by mine inspectors, electrical inspectors

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and emergency response training specialists employed in

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accordance with the act of July 7, 2008 (P.L.654, No.55),

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known as the Bituminous Coal Mine Safety Act, or the act of

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November 10, 1965 (P.L.721, No.346), known as the

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Pennsylvania Anthracite Coal Mine Act. This service time may

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be purchased for the period of previous employment in mining

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required for employment and certification, if any, under the

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Bituminous Coal Mine Safety Act or the Pennsylvania

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Anthracite Coal Mine Act, as applicable, not exceeding five

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years, provided that such service is certified by the

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previous employer and contributions are agreed upon and made

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in accordance with section 5505. Persons eligible under this

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paragraph may purchase service only after earning ten

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eligibility points for service performed as a State employee

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and shall purchase service within three years of becoming

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eligible. Failing to purchase service within three years of

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becoming eligible shall preclude the purchase of service

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under this paragraph.

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* * *

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Section 2.  Section 5505(d) of Title 71 is amended and the

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section is amended by adding a subsection to read:

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§ 5505.  Contributions for the purchase of credit for creditable

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nonstate service.

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* * *

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(d)  Nonmilitary and nonmagisterial service.--Contributions

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made under subsection (i) notwithstanding, contributions on

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account of credit for creditable nonstate service other than

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military and magisterial service, shall be determined by

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applying the member's basic contribution rate, the additional

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contribution rate plus the Commonwealth normal contribution rate

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for active members at the time of entry subsequent to such

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creditable nonstate service of the member into State service to

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his compensation at the time of entry into State service and

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multiplying the result by the number of years and fractional

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part of a year of creditable nonstate service being purchased

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together with statutory interest during all periods of

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subsequent State and school service to the date of purchase.

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Upon application for credit for such service payment shall be

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made in a lump sum within 30 days or in the case of an active

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member or eligible school employee who is an active member of

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the Public School Employees' Retirement System it may be

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amortized with statutory interest through salary deductions in

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amounts agreed upon by the member and the board. The salary

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deduction amortization plans agreed to by members and the board

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may include a deferral of payment amounts and statutory interest

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until the termination of school service or State service as the

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board in its sole discretion decides to allow. The board may

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limit salary deduction amortization plans to such terms as the

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board in its sole discretion determines. In the case of an

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eligible school employee who is an active member of the Public

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School Employees' Retirement System, the agreed upon salary

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deduction shall be remitted to the Public School Employees'

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Retirement Board, which shall certify and transfer to the board

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the amounts paid.

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* * *

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(i)  Purchase of service credit by certain mine workers.--

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(1)  The amount due for the purchase of credit for mining

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service as authorized under subsection (a) shall be

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determined by applying the member's basic contribution rate,

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the additional contribution rate plus the Commonwealth normal

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contribution rate for active members at the time of entry,

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subsequent to such mining service, of the member into State

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service to his average annual rate of compensation over the

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first three years of such subsequent State service and

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multiplying the result by the number of years of creditable

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mining service being purchased together with statutory

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interest during all periods of subsequent State service to

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date of purchase. Applicants purchasing credit under this

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subsection shall make only one purchase up to the total

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amount for which they are eligible.

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(2)  The purchase payment may be made in a lump sum by

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the member within 30 days of certification by the board of

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the required purchase amount or may be amortized with

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statutory interest through salary deductions in amounts

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agreed upon by the member and the board. The salary deduction

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amortization plans agreed to by members and the board may

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include a deferral of payment amounts and statutory interest

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until the termination of State service as the board in its

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sole discretion decides to allow. The board may limit salary

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deduction amortization plans to such terms as the board in

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its sole discretion determines.

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Section 3.  This act shall take effect in 120 days.

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