Pennsylvania Act 1992-112 — EDUCATION (24 PA.C.S.) AND STATE GOVERNMENT (71 PA.C.S.) - AMEND

Act text

EDUCATION (24 PA.C.S.) AND STATE GOVERNMENT (71 PA.C.S.) - AMEND
                 Act of Nov. 30, 1992, P.L. 737, No. 112              Cl. 24
                             Session of 1992
                               No. 1992-112

     SB 1421

                                  AN ACT

     Amending Titles 24 (Education) and 71 (State Government) of the
        Pennsylvania Consolidated Statutes, further defining
        "approved leave of absence"; adding a definition of "leave
        for service with a collective bargaining organization";
        providing an employer contribution rate for members of an
        independent retirement system; and further providing for
        credited service, for creditable non-State service, for
        membership of the board, for appointment of members of the
        board and for terms of office of members of the board.

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

        Section 1.  The definition of "approved leave of absence" in
     section 8102 of Title 24 of the Pennsylvania Consolidated
     Statutes is amended and the section is amended by adding a
     definition to read:
      § 8102.  Definitions.
        The following words and phrases when used in this part shall
     have, unless the context clearly indicates otherwise, the
     meanings given to them in this section:
        * * *
        "Approved leave of absence."  A leave of absence for
     activated military service or which has been approved by the
     employer for sabbatical leave, service as an exchange teacher,
     service with a collective bargaining organization or
     professional study.
        * * *
        "Leave for service with a collective bargaining
     organization."  Paid leave granted to an active member by an
     employer for purposes of serving as an elected full-time officer
     for a Statewide employee organization which is a collective
     bargaining representative under the act of July 23, 1970
     (P.L.563, No.195), known as the Public Employe Relations Act:
     Provided, That greater than one-half of the members of the
     Statewide employee organization are active members of the
     system; that such leave shall not be for more than two
     consecutive terms of the same office; that the employer shall
     fully compensate the member, including, but not limited to,
     salary, wages, pension and retirement contributions and
     benefits, other benefits and seniority, as if he were in full-
     time active service; and that the Statewide employee
     organization shall fully reimburse the employer and the
     Commonwealth for all expenses and costs of such paid leave,
     including, but not limited to, contributions and payment on
     account of such service made to the system in accordance with
     sections 8326 (relating to contributions by the Commonwealth)
     and 8327 (relating to payments by employers) and made by the
     Commonwealth to the employer, made in accordance with section
     8329 (relating to payments on account of social security
     deductions from appropriations).
        * * *
        Section 2.  Sections 5301(a)(12) and 5302(b) of Title 71 are
     amended to read:
      § 5301.  Mandatory and optional membership.
        (a)  Mandatory membership.--Membership in the system shall be
     mandatory as of the effective date of employment for all State
     employees except the following:
            * * *
            (12)  School employees who have elected membership in an
        independent retirement program approved by the employer,
        provided that in no case, except as hereinafter provided,
        shall the employer contribute on account of such elected
        membership at a rate greater than the employer normal
        contribution rate as determined in section 5508(b) (relating
        to actuarial cost method). For the fiscal year 1986-1987 an
        employer may contribute on account of such elected membership
        at a rate which is the greater of 7% or the employer normal
        contribution rate as determined in section 5508(b) and for
        the fiscal year 1992-1993 and all years after that at a rate
        of [8.95%] 9.29%.
            * * *
      § 5302.  Credited State service.
        * * *
        (b)  Creditable leaves of absence.--
            (1)  A member on leave without pay who is studying under
        a Federal grant approved by the head of his department or who
        is engaged up to a maximum of two years of temporary service
        with the United States Government, another state or a local
        government under the Intergovernmental Personnel Act of 1970,
        5 U.S.C. §§ 1304, 3371-3376; 42 U.S.C. §§ 4701-4772, shall be
        eligible for credit for such service: Provided, That
        contributions are made in accordance with sections 5501
        (relating to regular member contributions for current
        service), 5505.1 (relating to additional member
        contributions) and 5507 (relating to contributions by the
        Commonwealth and other employers), the member returns from
        leave without pay to active State service for a period of at
        least one year, and he is not entitled to retirement benefits
        for such service under a retirement system administered by
        any other governmental agency.
            (2)  An active member on paid leave granted by an
        employer for purposes of serving as an elected full-time
        officer for a Statewide employee organization which is a
        collective bargaining representative under the act of July
        23, 1970 (P.L.563, No.195), known as the Public Employe
        Relations Act: Provided, That such leave shall not be for
        more than three consecutive terms of the same office; that
        the employer shall fully compensate the member, including,
        but not limited to, salary, wages, pension and retirement
        contributions and benefits, other benefits and seniority, as
        if he were in full-time active service; and that the
        Statewide employee organization shall fully reimburse the
        employer for all expenses and costs of such paid leave,
        including, but not limited to, contributions and payment in
        accordance with sections 5501, 5505.1 and 5507, if the
        employee organization either directly pays, or reimburses the
        Commonwealth or other employer for, contributions made in
        accordance with section 5507.
        * * *
        Section 3.  Section 5304 of Title 71 is amended by adding a
     subsection to read:
      § 5304.  Creditable nonstate service.
        * * *
        (c.1)  Nonstate service exception.--Notwithstanding the
     limitations on eligibility enumerated in subsection (c)(3), any
     person who was an officer or employee in the Office of the
     Chancellor of the State System of Higher Education at any time
     between July 1, 1983, and August 4, 1991, inclusive, and was an
     active member during that period or has continued as an active
     member without interruption of service since August 4, 1991,
     shall be eligible to purchase creditable nonstate service under
     this section, subject to the same terms, conditions and
     limitations, including the calculation of the amount and method
     of paying for the purchase, as was enjoyed by officers and
     employees of the Department of Education between July 1, 1983,
     and August 4, 1991. Service rendered in the Chancellor's Office
     for purposes of the purchase of creditable nonstate service
     under this subsection shall be deemed to be service as an
     officer or employee in the Department of Education.
        * * *
        Section 4.  Section 5901(a) and (b) of Title 71 are amended
     to read:
      § 5901.  The State Employees' Retirement Board.
        (a)  Status and membership.--The board shall be an
     independent administrative board and consist of 11 members: the
     State Treasurer, ex officio, two Senators or former Senators,
     two members or former members of the House of Representatives
     and six members appointed by the Governor, one of whom shall be
     an annuitant of the system, for terms of four years, subject to
     confirmation by the Senate. At least five board members shall be
     active members of the system, and at least two shall have ten or
     more years of credited State service. The chairman of the board
     shall be designated by the Governor from among the members of
     the board.
        (b)  Appointments and terms.--The two members elected by the
     board and serving on the effective date of this title shall
     continue to serve until the expiration of their respective
     terms. The members or former members of the Senate shall be
     appointed by the President pro tempore of the Senate and shall
     consist of a majority and a minority member or former member.
     The members or former members of the House of Representatives
     shall be appointed by the Speaker of the House of
     Representatives and shall consist of a majority and a minority
     member or former member. The legislative members shall serve on
     the board for the duration of the terms for which they were
     elected and former legislative members shall serve a term of two
     years. Of the remaining four appointees, one shall be appointed
     for an initial term of two years, one for an initial term of
     three years, and two for an initial term of four years. A
     vacancy occurring during the term of an appointed member shall
     be filled for the unexpired term by the appointment and
     confirmation of a successor in the same manner as his
     predecessor.
        * * *
        Section 5.  The rate shall continue without modification for
     three years, but the Public Employee Retirement Commission shall
     study the rate two years after it was last set and shall
     recommend to the Governor and the General Assembly not later
     than March 31, 1995, a rate for the next three years. The rate
     last set shall continue in effect until it is changed. The
     recommendation of the Public Employee Retirement Commission on
     the rate of employer contribution shall be designed to produce
     parity of contributions between the alternate retirement program
     and the State Employes' Retirement System program.
        Section 6.  This act shall take effect immediately.

     APPROVED--The 30th day of November, A. D. 1992.

     ROBERT P. CASEY