H. B. 4464
(By Delegates Modesitt (By Request), Schadler,
Wills, Angotti, L. Smith and Perdue)
[Introduced February 9, 2000; referred to the
Committee on Education then Finance.]
A BILL to amend article seven-a, chapter eighteen of the code of
West Virginia, one thousand nine hundred thirty-one, as
amended, by adding thereto a new section, designated section
thirty-seven; and to amend and reenact section seven,
article seven-b of said chapter, all relating to
reemployment of retired school teachers and principals;
permitting retired teachers to substitute teach an unlimited
number of days without losing retirement benefits and
permitting certain reemployed retired teachers and
principals to participate in the teachers defined
contribution retirement system.
Be it enacted by the Legislature of West Virginia:
That article seven-a, chapter eighteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be
amended by adding thereto a new section, designated section
thirty-seven; and that section seven, article seven-b of said
chapter be amended and reenacted, all to read as follows:
ARTICLE 7A. STATE TEACHERS RETIREMENT SYSTEM.
§18-7A-37. Retirants permitted unlimited number of days of
substitute teaching without reduction of normal
monthly retirement benefits.
The Legislature hereby finds and declares that due to a
shortage of qualified substitute teachers, a compelling state
interest exists in permitting retired teachers to provide service
as substitute teachers. Notwithstanding any other provision of
this code, a retirant, except those receiving an annuity because
of disability, may accept employment as a substitute teacher for
an unlimited number of days each year without affecting the
normal monthly retirement benefit to which the retirant is
otherwise entitled.
ARTICLE 7B. TEACHERS DEFINED CONTRIBUTION RETIREMENT SYSTEM.
§18-7B-7. Participation in teachers defined contribution
retirement system; limiting participation in
existing teachers retirement system.
(a) Beginning the first day of July, one thousand nine hundred ninety-one, the teachers defined contribution retirement
system shall be the single retirement program for all new
employees whose employment commences on or after that date. No
additional new employees except as may be provided herein may be
admitted to the existing retirement system. Members of the
existing retirement system whose employment continues beyond the
first day of July, one thousand nine hundred ninety-one, are not
affected by this article and shall continue to contribute and
participate in the existing system without change in provisions
or benefits.
(b) Notwithstanding the provisions of section twenty-three,
article seven-a of this chapter, any employee whose employment
terminates after the thirtieth day of June, one thousand nine
hundred ninety-one, who is later reemployed by an employer shall
be eligible for membership only in the teachers defined
contribution system: Provided, That if such reemployment with an
existing employer occurs not more than six months after the
employee's previous employment, he or she shall be entitled to
readmission to the existing retirement system in which he or she
was originally a member: Provided, however, That if such
employee has five or more years of credited service in the existing retirement system, he or she shall be entitled to
readmission into the existing retirement system in which he or
she was originally a member so long as he or she has not
withdrawn his or her contributions from the existing retirement
system: Provided further, That if such employee has withdrawn
his or her contribution from the existing retirement system, then
readmission shall not be permitted and the employee will be
entitled only to the defined contribution system.
(c) Notwithstanding any other provisions of this code,
teachers and principals retired under the state teachers
retirement system except those receiving an annuity because of
disability, who are reemployed as teachers or principals on a
full-time basis, may participate in the defined contribution
retirement system while continuing to receive the normal monthly
retirement benefits to which they are otherwise entitled.
(d) An employee whose employment with an employer was
suspended or terminated while he or she served as an officer with
a statewide professional teaching association is eligible for
readmission to the existing retirement system in which he or she
was a member. Any employee reemployed with an employer on or
after the first day of July, one thousand nine hundred ninety-one, who had five or more years credited service in the
teachers defined benefit retirement system may elect readmission
to the teachers defined benefit retirement system in which he or
she was originally a member. Any employee reemployed between the
first day of July, one thousand nine hundred ninety-one, and the
first day of July, one thousand nine hundred ninety-five, and who
was required to participate in the teachers defined contribution
system but now elects, pursuant to the provisions of this
section, readmission to the teachers defined benefit retirement
system shall pay an additional contribution to the teachers
defined benefit retirement system equal to one and one-half
percent of his or her annual gross compensation earned for each
year he or she participated in the teachers defined contribution
system and shall transfer all member and employer contributions
and investment earnings therefrom from the teachers defined
contribution system to the teachers defined benefit retirement
system and shall receive service credit for the time the member
participated in the defined contribution system as if that
participation had been in the teachers defined benefit retirement
system. Any member making an election under the provisions of
this section to reenter the teachers defined benefit retirement system who is currently a member of the defined contribution
retirement system must do so on or before the first day of
January, one thousand nine hundred ninety-six. Any other member
reemployed must make the election as to the retirement system
that he or she will be a member of at the time he or she is
reemployed.
(e) An employee whose employment with an employer or an
existing employer is suspended as a result of an approved leave
of absence, approved maternity or paternity break in service, or
any other approved break in service authorized by the board, is
eligible for readmission to the existing retirement system in
which he or she was a member.
(f) In all cases where a question exists as to readmission
to membership in the existing retirement system, the board shall
decide the question.
NOTE: The purpose of this bill is to remove the limitation
of no more than 100 days that a retired teacher may substitute
teach before losing retirement benefits. It also permits
reemployed teachers and principals to participate in the defined
contribution retirement system while continuing to draw monthly
retirement benefits.
Strike-throughs indicate language that would be stricken
from the present law, and underscoring indicates new language
that would be added.
§18-7A-37 is new; therefore, strike-throughs and
underscoring have been omitted.