Pennsylvania Act 1992-186 — EDUCATION (24 PACS) - AMEND CREDITED SERVICE AND ANNUITIES

Act text

EDUCATION (24 PACS) - AMEND CREDITED SERVICE AND ANNUITIES
                 Act of Dec. 22, 1992, P.L. 1686, No. 186             Cl. 24
                             Session of 1992
                               No. 1992-186

     SB 1790

                                  AN ACT

     Amending Title 24 (Education) of the Pennsylvania Consolidated
        Statutes, further providing for credited school service and
        for termination of annuities.

        The General Assembly of the Commonwealth of Pennsylvania
     hereby enacts as follows:

        Section 1.  Section 8302 of Title 24 of the Pennsylvania
     Consolidated Statutes is amended by adding a subsection to read:
      § 8302.  Credited school service.
        * * *
        (b.2)  Credited service as retirement incentive.--
     Notwithstanding any provisions of this title to the contrary,
     for the period of July 1, 1992, to August 31, 1993, a member who
     is not an annuitant on July 1, 1992, who terminates school
     service between July 1, 1992, and August 31, 1993, inclusive,
     who will be 55 years of age or older on August 31, 1993, with
     ten or more eligibility points, who files an application for
     retirement before September 1, 1993, and who declares his intent
     to retire prior to April 1, 1993, shall be credited with an
     additional 10% of their credited service.
        * * *
        Section 2.  Section 8346(a) of Title 24 is amended to read:
      § 8346.  Termination of annuities.
        (a)  General rule.--If an annuitant returns to school service
     or enters State service and elects multiple service membership,
     any annuity payable to him under this part shall cease and in
     the case of an annuity other than a disability annuity the
     present value of such annuity, adjusted for full coverage in the
     case of a joint coverage member who makes the appropriate back
     contributions for full coverage, shall be frozen as of the date
     such annuity ceases. An annuitant who is credited with an
     additional 10% of membership service as provided in section
     8302(b.2) (relating to credited school service) and who returns
     to school service, except as provided in subsection (b), shall
     forfeit such credited service and shall have his frozen present
     value adjusted as if his 10% retirement incentive had not been
     applied to his account. In the event that the cost-of-living
     increase enacted December 18, 1979 occurred during the period of
     such State or school employment, the frozen present value shall
     be increased, on or after the member attains superannuation age,
     by the percent applicable had he not returned to service.
        * * *
        Section 3.  This act shall take effect immediately.

     APPROVED--The 22th day of December, A. D. 1992.

     ROBERT P. CASEY