PRINTER'S NO. 2130
No. 1712 Session of 1987
INTRODUCED BY BURNS, SEPTEMBER 28, 1987
REFERRED TO COMMITTEE ON EDUCATION, SEPTEMBER 28, 1987
AN ACT
1 Amending Title 24 (Education) of the Pennsylvania Consolidated
2 Statutes, further providing for creditable nonschool service.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Sections 8304 and 8324(e) of Title 24 of the
6 Pennsylvania Consolidated Statutes are amended to read:
7 § 8304. Creditable nonschool service.
8 (a) Eligibility.--An active member or a multiple service
9 member who is an active member of the State Employees'
10 Retirement System shall be eligible to receive Class T-C service
11 credit for creditable nonschool service as set forth in
12 subsection (b) provided that he is not entitled to receive,
13 eligible to receive now or in the future, or is receiving
14 retirement benefits for such service under a retirement system
15 administered and wholly or partially paid for by any other
16 governmental agency or by any private employer, or a retirement
17 program approved by the employer in accordance with section
1 8301(a)(1) (relating to mandatory and optional membership), and
2 further provided that such service is certified by the previous
3 employer and the manner of payment of the amount due is agreed
4 upon by the member, the employer, and the board.
5 (b) Limitations on nonschool service.--Creditable nonschool
6 service credit shall be limited to:
7 (1) Intervening military service.
8 (2) Other military service not exceeding five years.
9 (3) Service in any public school or public educational
10 institution in any state other than this Commonwealth or in
11 any territory or area under the jurisdiction of the United
12 States.
13 (4) Service as an administrator, teacher, or instructor
14 in the field of public school education for any agency or
15 department of the government of the United States whether or
16 not such area was under the jurisdiction of the United
17 States.
18 (5) Previous service as an employee of a county board of
19 school directors which employment was terminated because of
20 the transfer of the administration of such service or of the
21 entire agency to a governmental entity.
22 (6) Previous service as a county employee as a nurse.
23 For every three years or major fraction thereof in previous
24 work experience, an individual may buy one year of creditable
25 service, not to exceed a total of five years. The purchase of
26 this service shall begin within three years of the employee's
27 eligibility to purchase this creditable service.
28 (7) Otherwise noncredited service while on a furlough
29 from a position as a school employee employed by an employer
30 as defined in section 8102 (relating to definitions). This
19870H1712B2130 - 2 -
1 service shall be creditable up to a maximum of three years.
2 (c) Limitations on years of credit.--Service listed in
3 subsection (b)(3) and (4) must have been for a period of at
4 least one school year and credit for such service shall be
5 limited to the lesser of 12 years or the number of years of
6 school service credited in the system. In no case shall the
7 total credit for nonschool service other than that listed in
8 subsection (b)(5) exceed the number of years of school service
9 credited in the system, plus, in the case of a multiple service
10 member, any additional years of State service credited in the
11 State Employees' Retirement System.
12 (d) Limitations on purchase of credit for service while on
13 furlough.--Service listed in subsection (b)(7) may be purchased
14 only upon return to active membership with the employer that
15 furloughed the employee. Application to purchase service listed
16 in subsection (b)(7) must be received by the Public School
17 Employees' Retirement System within one year after the employee
18 returns to active membership.
19 § 8324. Contributions for purchase of credit for creditable
20 nonschool service.
21 * * *
22 (e) Creditable work experience.--Contributions on account of
23 T-C credit for creditable work experience pursuant to section
24 8304(b)(6) and (7) shall be the present value of the full
25 actuarial cost of the increase in the projected superannuation
26 annuity caused by the additional service credited on account of
27 the purchase of creditable work experience. The amount paid for
28 the purchase of credit for creditable work experience under
29 section 8304(b)(6) or (7) shall not be payable as a lump sum
30 under section 8345(a)(4)(iii) (relating to member's options).
19870H1712B2130 - 3 -
1 The contributions to be paid by an active member to purchase
2 credit under section 8304(b)(7) shall be determined by the
3 compensation the member received during the school year
4 immediately prior to furlough. Any individual eligible to
5 receive an annuity, excluding an annuity received under the
6 Federal Social Security Act (42 U.S.C. § 301 et seq.), in
7 another pension system, other than a military pension system,
8 shall not be eligible to purchase this service.
9 Section 2. This act shall take effect in 60 days.
G21L24CHF/19870H1712B2130 - 4 -