PRINTER'S NO. 2593

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2106 Session of 1993


        INTRODUCED BY M. COHEN, LUCYK, O'BRIEN, THOMAS, CAWLEY, KENNEY,
           MIHALICH, GIGLIOTTI, JAROLIN, DALEY, VEON, TRELLO, KING,
           WAUGH, STABACK, ROONEY, McCALL, HENNESSEY, JOSEPHS, FREEMAN,
           WILLIAMS, WOGAN, KASUNIC, PETRARCA, LaGROTTA, CURRY, DEMPSEY
           AND NAILOR, OCTOBER 6, 1993

        REFERRED TO COMMITTEE ON EDUCATION, OCTOBER 6, 1993

                                     AN ACT

     1  Amending Titles 24 (Education) and 71 (State Government) of the
     2     Pennsylvania Consolidated Statutes, providing for special
     3     supplemental postretirement adjustments.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  Title 24 of the Pennsylvania Consolidated
     7  Statutes is amended by adding a section to read:
     8  § 8348.3.  Special supplemental postretirement adjustment.
     9     (a)  Eligibility.--An annuitant who:
    10         (1)  retired after October 1, 1975, and before January
    11     19, 1984;
    12         (2)  has military service as set forth in section
    13     8304(b)(1) or (2) (relating to creditable nonschool service);
    14         (3)  is receiving or will receive retirement pay under 10
    15     U.S.C. Ch. 67 (relating to retired pay for nonregular
    16     service) for this military service; and
    17         (4)  has not purchased nonschool service credit for this

     1     military service;
     2  shall be eligible for this special supplemental postretirement
     3  adjustment.
     4     (b)  Calculation of adjustment.--The monthly amount of this
     5  special supplemental postretirement adjustment shall be equal to
     6  the final average salary multiplied by 2% multiplied by the
     7  years of this military service divided by 12 multiplied by any
     8  applicable early retirement or option factors.
     9     (c)  Adjustment paid.--Upon receipt of a timely request by an
    10  eligible annuitant, the system shall pay this special
    11  supplemental postretirement adjustment monthly from the
    12  effective date of this section.
    13     (d)  Adjustment enacted after death of annuitant.--No special
    14  supplemental postretirement adjustment enacted after the death
    15  of an annuitant shall be payable to the beneficiary or survivor
    16  annuitant of the deceased annuitant.
    17     (e)  Future supplemental annuities.--This special
    18  supplemental postretirement adjustment shall be included in the
    19  total annuity, and this military service shall be included in
    20  the total credited service in determining all future
    21  supplemental annuities.
    22     (f)  Court-ordered purchase of nonschool service.--If a court
    23  of competent jurisdiction rules that an annuitant who is
    24  receiving or will receive retirement pay under 10 U.S.C. Ch. 67
    25  for this military service is eligible under section 8304(b)(1)
    26  or (2) to purchase nonschool service credit for this military
    27  service, this special supplemental postretirement adjustment
    28  shall stop with the annuitant's purchase of nonschool service
    29  credit for this military service, and the total amount of this
    30  special supplemental postretirement paid to the annuitant from
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     1  the effective date of this section shall be subtracted from any
     2  increase in the annuity caused by the court-ordered purchase of
     3  nonschool service credit for this military service.
     4     Section 2.  Title 71 is amended by adding a section to read:
     5  § 5708.3.  Special supplemental postretirement adjustment.
     6     (a)  Eligibility.--An annuitant who:
     7         (1)  retired after February 28, 1974, and before January
     8     19, 1984;
     9         (2)  has military service as set forth in section
    10     5304(c)(1) or (2) (relating to creditable nonstate service);
    11         (3)  is receiving or will receive retirement pay under 10
    12     U.S.C. Ch. 67 (relating to retired pay for nonregular
    13     service) for this military service; and
    14         (4)  has not purchased nonstate service credit for this
    15     military service;
    16  shall be eligible for this special supplemental postretirement
    17  adjustment.
    18     (b)  Calculation of adjustment.--The monthly amount of this
    19  special supplemental postretirement adjustment shall be equal to
    20  the final average salary multiplied by 2% multiplied by the
    21  years of this military service divided by 12 multiplied by any
    22  applicable early retirement or option factors.
    23     (c)  Adjustment paid.--Upon receipt of a timely request by an
    24  eligible annuitant, the system shall pay this special
    25  supplemental postretirement adjustment monthly from the
    26  effective date of this section.
    27     (d)  Adjustment enacted after death of annuitant.--No special
    28  supplemental postretirement adjustment enacted after the death
    29  of an annuitant shall be payable to the beneficiary or survivor
    30  annuitant of the deceased annuitant.
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     1     (e)  Future supplemental annuities.--This special
     2  supplemental postretirement adjustment shall be included in the
     3  total annuity, and this military service shall be included in
     4  the total credited service in determining all future
     5  supplemental annuities.
     6     (f)  Court-ordered purchase of nonstate service.--If a court
     7  of competent jurisdiction rules that an annuitant who is
     8  receiving or will receive retirement pay under 10 U.S.C. Ch. 67
     9  for this military service is eligible under section 5304(c)(1)
    10  or (2) to purchase nonstate service credit for this military
    11  service, this special supplemental postretirement adjustment
    12  shall stop with the annuitant's purchase of nonstate service
    13  credit for this military service, and the total amount of this
    14  special supplemental postretirement adjustment paid to the
    15  annuitant from the effective date of this section shall be
    16  subtracted from any increase in the annuity caused by the court
    17  ordered purchase of nonstate service credit for this military
    18  service.
    19     Section 3.  This act shall be retroactive to January 1, 1974.
    20     Section 4.  This act shall take effect immediately.







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