Regular Session 2019-2020 Senate Bill 0997 P.N. 1465

PRINTER'S NO. 1465

THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

No.

997

Session of

2020

INTRODUCED BY STEFANO, JANUARY 24, 2020

REFERRED TO FINANCE, JANUARY 24, 2020

AN ACT

Amending Title 71 (State Government) of the Pennsylvania

Consolidated Statutes, in membership, credited service,

classes of service and eligibility for benefits, providing

for election to purchase nonintervening military service;

and, in administration, funds, accounts and general

provisions, further providing for construction of part.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Title 71 is amended by adding a section to read:

§ 5306.6. Election to purchase nonintervening military service.

(a) General rule.--A State employee who first becomes a

State police officer on or after January 1, 2019, and before the

effective date of this section, may elect to have nonintervening

military service, as provided under section 5304(c)(2) (relating

to creditable nonstate service), that is purchased while a State

police officer apply toward the calculation of pension or

retirement benefits or rights under the binding arbitration

award issued under the act of June 24, 1968 (P.L.237, No.111),

referred to as the Policemen and Firemen Collective Bargaining

Act.

(b) Period for making election.--

(1) Except as provided under paragraph (2), a State

police officer must make the election under subsection (a) by

filing written notice with the board within 90 days after the

effective date of this section or before the State police

officer terminates service as a State police officer,

whichever is first.

(2) A State police officer who may make an election

under subsection (a) and who begins USERRA leave during the

election period without having made an election under

subsection (a) shall have the election period extended by the

number of days on USERRA leave.

shall permit a State police officer to purchase nonintervening

military service toward the eligibility for and calculation of

pension or retirement benefits or rights previously established

by or as a result of a binding arbitration award under the

Policemen and Firemen Collective Bargaining Act. If the election

is made, only nonintervening military service purchased while a

State police officer shall apply toward the eligibility for and

calculation of pension or retirement benefits or rights under

the binding arbitration award. Nonintervening military service

purchased by an electing member while not a State police officer

and other types of creditable nonstate service purchased by an

electing member shall not apply toward the eligibility for and

calculation of pension or retirement benefits or rights under

the binding arbitration award. If an electing member is eligible

for pension or retirement benefits or rights under the binding

arbitration award, the nonintervening military service purchased

while a State police officer may not be applied for eligibility

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or calculation of any other benefit under this part.

(d) Effect of failure to elect.--Failure to elect the

eligibility to purchase nonintervening military service within

the period under subsection (b) shall result in the inability to

apply any purchase of nonintervening military service toward the

eligibility for and calculation of pension or retirement

benefits or rights under the binding arbitration award. If a

State police officer fails to elect to become eligible to

purchase nonintervening military service in the election period,

the provisions under the act of June 12, 2017 (P.L.11, No.5),

entitled, "An act amending Titles 24 (Education), 51 (Military

Affairs) and 71 (State Government) of the Pennsylvania

Consolidated Statutes, extensively revising pension provisions

as follows:

In Title 24:

for retirement for school employees, in the areas of

preliminary provisions, of membership, contributions and

benefits, of school employees' defined contribution plan and of

administration and miscellaneous provisions; and

for health insurance for retired school employees, in the

area of preliminary provisions.

In Title 51:

for employment preferences and pensions, in the area of

military leave of absence.

In Title 71:

for boards and offices, in the area of Independent Fiscal

Office; and

for retirement for State employees and officers, in the areas

of preliminary provisions, of membership, credited service,

classes of service and eligibility for benefits, of

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contributions, of benefits, of State employees' defined

contribution plan and of administration, funds, accounts,

general provisions.

Providing, as to the revisions:

for construction and administration, for applicability, for

liability, for member statements and for suspension of

provisions of the Public Employee Retirement Study Commission

Act," shall be followed.

(e) Purchase required.--Nothing under this section or

section 5955(c) (relating to construction of part) shall do any

of the following:

(1) Imply that the other requirements to obtain

creditable nonstate service under this part shall not apply.

(2) Grant nonstate service credit for nonintervening

military service unless the member completes the purchase as

required under this part and by the board.

Section 2. Section 5955(c)(1), (3) and (4) of Title 71 are

amended to read:

§ 5955. Construction of part.

* * *

(1) Notwithstanding a provision of subsection (a) or

section 12.1 of the act of November 23, 2010 (P.L.1269,

No.120), regarding the continued effectiveness of pension or

retirement benefits or rights previously established by or as

a result of a binding arbitration award issued before July 1,

1989, under the act of June 24, 1968 (P.L.237, No.111),

referred to as the Policemen and Firemen Collective

Bargaining Act, and implemented by the board, the eligibility

for and calculation of pension or retirement benefits or

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rights under the binding arbitration award of a State

employee who first becomes a State police officer on or after

January 1, 2019, and before the effective date of section

5306.6 (relating to election to purchase nonintervening

military service) who does not make the election under

section 5306.6, shall be determined using only service

performed and compensation and eligibility points earned as

an officer or member of the Pennsylvania State Police or

while on USERRA leave from service as an officer or member of

the Pennsylvania State Police and provided that service

credit and eligibility points for service as an officer or

member of the Pennsylvania State Police shall be adjusted for

any other concurrent service as a State employee.

* * *

(3) [(Reserved).] The following shall apply:

(i) The eligibility for and calculation of pension

or retirement benefits or rights under the binding

arbitration award of a Sta te employee who first becomes a

State police officer on or after January 1, 2019, and

before the effective date of section 5306.6 and who makes

the election under section 5306.6, or who first becomes a

State police officer on or after the effective date of

section 5306.6, sh all be determined using only service

performed and compensation and eligibility points earned:

(A) as an officer or member of the Pennsylvania

State Police;

(B) while on USERRA leave from service as an

officer or member of the Pennsylvania State Police;

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under section 5304(c)(2) (relating to creditable

nonstate service) while an officer or member of the

Pennsylvania State Police.

(ii) Service credit and eligibility points for

service as an officer or member of the Pennsylvania State

Police shall be adjusted for any other concurrent service

as a State employee.

(iii) Any service, other than the following,

purchased or performed by a State employee eligible for a

benefit under the binding arbitration award shall be used

to determine benefits as provided under this part in

addition to any benefit an officer or member of the

Pennsylvania State Police is eligible to receive under

the binding arbitration award as provided under this

subsection:

(A) Creditable nonstate service purchased under

section 5304(c)(2) while an officer or member of the

Pennsylvania State Police.

(B) Service as an officer or member of the

Pennsylvania State Police.

(4) A State employee who [first becomes a State police

officer on or after January 1, 2019, who does not have 20 or

more eligibility points as an officer or member of the

Pennsylvania State Police or from USERRA leave from service

as an officer or member of the Pennsylvania State Police]

meets either of the following and who terminates State

service on or after January 1, 2019, shall be eligible to

receive a maximum single life annuity before optional

modification under section 5705 (relating to member's

options) equal to the maximum single life annuity that the

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State employee is eligible to receive under this part

attributable to all credited service, compensation and

eligibility points[.]:

(i) First becomes a State police officer on or after

January 1, 2019, and before the effective date of section

5306.6 and who did not make the election under section

5306.6 who does not have 20 or more eligibility points as

an officer or member of the Pennsylvania State Police or

from USERRA leave from service as an officer or member of

the Pennsylvania State Police.

(ii) First becomes a State police officer on or

after January 1, 2019, and who made the election under

section 5306.6, or who first becomes a State police

officer on or after the effective date of section 5306.6

who does not have 20 or more eligibility points as an

officer or member of the Pennsylvania State Police or

from USERRA leave from service as an officer or member of

the Pennsylvania State Police or from creditable nonstate

service purchased under section 5304(c)(2).

* * *

Section 3. This act shall take effect immediately.

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