Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 348 First Substitute (2022GS)

Sponsor

Rep. Winder, M.

Final action

House/ filed 3/4/2022

Outcome

Failed / filed without passage

Summary

What it does

• This bill:
• defines terms;
• provides the circumstances under which a Utah Retirement Systems retiree may be reemployed as a teacher with a participating employer within the one-year separation requirement without cancellation of the retiree's retirement allowance; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

EDUCATOR RETIREMENT AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Mike Winder
Senate Sponsor: 
____________
LONG TITLE
General Description:
This bill modifies the postretirement reemployment restrictions for individuals who
teach after retirement.
Highlighted Provisions:
This bill:
▸ defines terms;
▸ provides the circumstances under which a Utah Retirement Systems retiree may be
reemployed as a teacher with a participating employer within the one-year
separation requirement without cancellation of the retiree's retirement allowance;
and
▸ makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
AMENDS:
49-11-1202
, as last amended by Laws of Utah 2020, Chapter 449
49-11-1205
, as last amended by Laws of Utah 2021, Chapter 193
49-11-1206
, as enacted by Laws of Utah 2016, Chapter 310 and last amended by
Coordination Clause, Laws of Utah 2016, Chapter 310
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
49-11-1202
 is amended to read:
49-11-1202.
Definitions.
As used in this part:
(1) (a) "Affiliated emergency services worker" means a person who:
(i) is employed by a participating employer;
(ii) performs emergency services for another participating employer that is a different
agency;
(iii) is trained in techniques and skills required for the emergency service;
(iv) continues to receive regular training required for the service;
(v) is on the rolls as a trained affiliated emergency services worker of the participating
employer; and
(vi) provides ongoing service for a participating employer, which service may include
service as a volunteer firefighter, reserve law enforcement officer, search and rescue worker,
emergency medical technician, ambulance worker, park ranger, or public utilities worker.
(b) "Affiliated emergency services worker" does not include a person who performs
work or service but does not meet the requirements of Subsection (1)(a).
(2) "Amortization rate" means the amortization rate, as defined in Section 
49-11-102
,
to be applied to the system that would have covered the retiree if the retiree's reemployed
position were deemed to be an eligible, full-time position within that system.
(3) "Part-time appointed or elected board member" means an individual who:
(a) serves in a position:
(i) as a member of a board, commission, council, committee, panel, or other body of a
participating employer; and
(ii) that is designated in the participating employer's governing statute, charter, creation
document, or similar document;
(b) is appointed or elected to the position for a definite and fixed term of office by
official and duly recorded action of the participating employer;
(c) except for the service in the position, does not perform other work or service for
compensation for the participating employer, whether as an employee or under a contract; and
(d) retires from a participating employer that is different than the participating
employer with the position in which the person serves.
(4) "Qualifying retiree" means a retiree who:
(a) is reemployed with a local education agency to provide educational services; and
(b) holds a license issued in accordance with Subsection 
53E-6-201
(1)(b) or (c).
[
(4)
] 
(5)
 (a) "Reemployed," "reemploy," or "reemployment" means work or service
performed for a participating employer after retirement, in exchange for compensation.
(b) Reemployment includes work or service performed on a contract for a participating
employer if the retiree is:
(i) listed as the contractor; or
(ii) an owner, partner, or principal of the contractor.
[
(5)
] 
(6)
 "Retiree":
(a) means a person who:
(i) retired from a participating employer; and
(ii) begins reemployment on or after July 1, 2010, with a participating employer; and
(b) does not include a person:
(i) (A) who was reemployed by a participating employer before July 1, 2010; and
(B) whose participating employer that reemployed the person under Subsection [
(5)
]
(6)
(b)(i)(A) was dissolved, consolidated, merged, or structurally changed in accordance with
Section 
49-11-621
 on or after July 1, 2010; or
(ii) who is working under a phased retirement agreement in accordance with [
Title 49,
Chapter 11,
] Part 13, Phased Retirement.
Section 2. Section 
49-11-1205
 is amended to read:
49-11-1205.
Postretirement reemployment restriction exceptions.
(1) (a) The office may not cancel the retirement allowance of a retiree who is
reemployed with a participating employer within one year of the retiree's retirement date if:
(i) the retiree is not reemployed by a participating employer for a period of at least 60
days from the retiree's retirement date;
(ii) upon reemployment after the break in service under Subsection (1)(a)(i), the retiree
does not receive any employer paid benefits, including:
(A) retirement service credit or retirement-related contributions;
(B) medical benefits;
(C) dental benefits;
(D) other insurance benefits except for workers' compensation as provided under Title
34A, Chapter 2, Workers' Compensation Act, Title 34A, Chapter 3, Utah Occupational Disease
Act, and withholdings required by federal or state law for social security, Medicare, and
unemployment insurance; or
(E) paid time off, including sick, annual, or other type of leave; and
(iii) (A) the retiree does not earn in any calendar year of reemployment an amount in
excess of the lesser of $15,000 or one-half of the retiree's final average salary upon which the
retiree's retirement allowance is based; or
(B) the retiree is reemployed as a judge as defined under Section 
78A-11-102
.
(b) The board shall adjust the amounts under Subsection (1)(a)(iii) by the annual change
in the Consumer Price Index during the previous calendar year as measured by a United States
Bureau of Labor Statistics Consumer Price Index average as determined by the board.
(2) A retiree shall be considered as having completed the one-year separation from
employment with a participating employer required under Section 
49-11-1204
, if the retiree:
(a) before retiring:
(i) was employed with a participating employer as a public safety service employee as
defined in Section 
49-14-102
, 
49-15-102
, or 
49-23-102
;
(ii) during the employment under Subsection (2)(a)(i), suffered a physical injury
resulting from external force or violence while performing the duties of the employment, for
which injury the retiree would have been approved for total disability in accordance with the
provisions under Chapter 21, Public Employees' Long-Term Disability Act, if years of service
are not considered;
(iii) had less than 30 years of service credit but had sufficient service credit to retire,
with an unreduced allowance making the public safety service employee ineligible for
long-term disability payments under Chapter 21, Public Employees' Long-Term Disability Act,
or a substantially similar long-term disability program;
(iv) does not receive any long-term disability benefits from any participating employer;
and
(v) is at least 50 years old; and
(b) is reemployed by a different participating employer.
(3) (a) The office may not cancel the retirement allowance of a retiree who is employed
as an affiliated emergency services worker within one year of the retiree's retirement date if the
affiliated emergency services worker does not receive any compensation, except for:
(i) a nominal fee, stipend, discount, tax credit, voucher, or other fixed sum of money or
cash equivalent payment not tied to productivity and paid periodically for services;
(ii) a length-of-service award;
(iii) insurance policy premiums paid by the participating employer in the event of death
of an affiliated emergency services worker or a line-of-duty accidental death or disability; or
(iv) reimbursement of expenses incurred in the performance of duties.
(b) For purposes of Subsections (3)(a)(i) and (ii), the total amount of any discounts, tax
credits, vouchers, and payments to an affiliated emergency services worker may not exceed
$500 per month.
(c) The board shall adjust the amount under Subsection (3)(b) by the annual change in
the Consumer Price Index during the previous calendar year as measured by a United States
Bureau of Labor Statistics Consumer Price Index average as determined by the board.
(d) A retiree is eligible for an exemption from the requirement to cease service without
cancellation of a retirement allowance under this Subsection (3) only if the retiree, at the time
of retirement, is at least:
(i) 50 years old, if the retiree is retiring from a public safety system or a firefighter
system; or
(ii) 55 years old.
(4) (a) The office may not cancel the retirement allowance of a retiree employed as a
part-time appointed or elected board member within one year after the retiree's retirement date
if the part-time appointed or elected board member does not receive any compensation
exceeding the amount described in this Subsection (4).
(b) A retiree who is a part-time appointed or elected board member for one or more
boards, commissions, councils, committees, panels, or other bodies of participating employers:
(i) may receive an aggregate amount of compensation, remuneration, a stipend, or other
benefit for service on a single or multiple boards, commissions, councils, committees, panels,
or other bodies of no more than $5,000 per year; and
(ii) may not receive an employer paid retirement service credit or retirement-related
contribution.
(c) For purposes of Subsection (4)(b)(i):
(i) a part-time appointed or elected board member's compensation includes:
(A) an amount paid for the part-time appointed or elected board member's coverage in
a group insurance plan provided by the participating employer; and
(B) the part-time appointed or elected board member's receipt of any other benefit
provided by the participating employer; and
(ii) the part-time appointed or elected board member's compensation does not include:
(A) an amount the participating employer pays for employer-matching employment
taxes, if the participating employer treats the part-time appointed or elected board member as
an employee for federal tax purposes; or
(B) an amount that the part-time appointed or elected board member receives for per
diem and travel expenses for up to 12 approved meetings or activities of the government board
per year, if the per diem and travel expenses do not exceed the amounts established by the
Division of Finance under Sections 
63A-3-106
 and 
63A-3-107
 or by rules made by the
Division of Finance according to Sections 
63A-3-106
 and 
63A-3-107
.
(d) The board shall adjust the amount under Subsection (4)(b)(i) by the annual change
in the Consumer Price Index during the previous calendar year as measured by a United States
Bureau of Labor Statistics Consumer Price Index average, as determined by the board.
(5) The office may not cancel the retirement allowance of a qualifying retiree who is
reemployed with a participating employer within one year of the qualifying retiree's retirement
date if:
(a) the qualifying retiree is not reemployed by a participating employer for a period of
at least 60 days from the qualifying retiree's retirement date; and
(b) upon reemployment after the break in service under Subsection (5)(a), the
qualifying retiree does not receive retirement service credit or retirement-related contributions.
[
(5)
] 
(6)
 (a) If a retiree is reemployed under the provisions of Subsection (1) [
or
]
,
 (4)
,
or (5)
, the termination date of the reemployment, as confirmed in writing by the participating
employer, is considered the retiree's retirement date for the purpose of calculating the
separation requirement under Section 
49-11-1204
.
(b) The office shall cancel the retirement allowance of a retiree for the remainder of the
calendar year if the reemployment with a participating employer exceeds the limitation under
Subsection (1)(a)(iii), (3)(b), or (4)(b).
Section 3. Section 
49-11-1206
 is amended to read:
49-11-1206.
Notice of postretirement reemployment.
(1) A participating employer shall immediately notify the office:
(a) if the participating employer reemploys a retiree;
(b) whether the reemployment is subject to Section 
49-11-1204
 or Subsection
49-11-1205
(1), (2), [
or
] (3)
, or (5)
; and
(c) of any election by the retiree under Section 
49-11-1204
.
(2) A participating employer shall certify to the office whether the position of an
elected official is or is not full time.
(3) A retiree subject to this part shall report to the office the status of the reemployment
under Section 
49-11-1204
 or 
49-11-1205
.
Section 4. 
Effective date.
This bill takes effect on January 1, 2023.