Georgia House of Representatives - 1995/1996 Sessions

HB 17 - Emp & Teachers Ret; membership as condition of employment

Page Numbers - 1/ 2/ 3

Code Sections - 47-2-72/ 47-3-69

1. Kaye  37th


House Comm: Ret        /                Senate Comm:            /                                   
House Vote: Yeas       Nays             Senate Vote: Yeas     Nays                                  
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               House          Action         Senate                                                 
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              1/23/95  Read 1st Time                                                                
              1/24/95  Read 2nd Time                                                                
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Code Sections amended:                                                                              


HB 17                                             LC 21 2920






                        A BILL TO BE ENTITLED
                               AN ACT


  1- 1  To amend Title 47 of the Official Code of Georgia Annotated,
  1- 2  relating to retirement and pensions, so as to provide that
  1- 3  certain persons otherwise eligible for membership in the
  1- 4  Employees' Retirement System of Georgia and the Teachers
  1- 5  Retirement System of Georgia shall have the option during
  1- 6  the first five years of employment to become members of
  1- 7  such retirement systems; to provide that after five years of
  1- 8  continuous employment, such persons shall be members of such
  1- 9  retirement systems as a condition of employment; to provide
  1-10  for certain creditable service for prior service; to provide
  1-11  conditions for an effective date and automatic repeal; to
  1-12  repeal conflicting laws; and for other purposes.

  1-13       BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

                         SECTION 1.

  1-14  Title 47 of the Official Code of Georgia Annotated, relating
  1-15  to retirement and pensions, is amended by inserting at the
  1-16  end of Article 4 of Chapter 2, relating to membership in the
  1-17  Employees' Retirement System of Georgia, the following:

  1-18    "47-2-72. (Index)

  1-19    (a) Any other provisions of this chapter to the contrary
  1-20    notwithstanding, any employee employed on or after July 1,
  1-21    1996, shall not be required to be a member of the
  1-22    retirement system as a condition of employment but rather
  1-23    may, at his or her option, become a member of the
  1-24    retirement system; provided, however, that at the end of
  1-25    five full years of continuous employment in one or more
  1-26    positions which would render such person eligible for
  1-27    membership in the retirement system, he or she shall
  1-28    become a member of the retirement system as a condition of
  1-29    employment.

  1-30      (b)(1) Any member who elects not to be a member of the
  1-31      retirement system upon first becoming eligible for
  1-32      membership and who subsequently becomes a member of the
  1-33      retirement system may, but is not required to, obtain


                                 -1- (Index)

                                                  LC 21 2920

  2- 1      creditable service for the period of employment for
  2- 2      which he or she did not elect to be a member of the
  2- 3      retirement system, subject to the conditions of this
  2- 4      subsection.

  2- 5      (2) Any member wishing to obtain creditable service as
  2- 6      provided in paragraph (1) of this subsection shall make
  2- 7      application to the board in a form required by the
  2- 8      board; shall provide such proof of the prior employment
  2- 9      as the board deems appropriate; and shall pay the
  2-10      employee contributions which he or she would have paid
  2-11      if he or she had been a member of the retirement system,
  2-12      together with regular interest thereon. The payments
  2-13      required of the member may be made over a period of five
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  2-15      creditable service or from the date the member completes
  2-16      five years of continuous employment, whichever date
  2-17      comes first, and may be made in one or more lump sum
  2-18      payments or in monthly installments in an amount equal
  2-19      to the unpaid balance divided by the number of months
  2-20      remaining until expiration of the five-year period;
  2-21      provided, however, that no credit shall be given for any
  2-22      portion of the prior service until the entire amount has
  2-23      been paid.  Upon completion of the payments required by
  2-24      this paragraph, the employer shall pay the full amount
  2-25      of employer contributions that would have been paid on
  2-26      behalf of such member as if he or she had been a member
  2-27      of the retirement system."

                         SECTION 2.

  2-28  Said title is further amended by inserting at the end of
  2-29  Article 4 of Chapter 3, relating to membership in the
  2-30  Teachers Retirement System of Georgia, the following:

  2-31    "47-3-69. (Index)

  2-32    (a) Any other provisions of this chapter to the contrary
  2-33    notwithstanding, any teacher employed on or after July 1,
  2-34    1996, shall not be required to be a member of the
  2-35    retirement system as a condition of employment but rather
  2-36    may, at his or her option, become a member of the
  2-37    retirement system; provided, however, that at the end of
  2-38    five full years of continuous employment in one or more
  2-39    positions which would render such person eligible for
  2-40    membership, he or she shall become a member of the
  2-41    retirement system as a condition of employment.




                                 -2- (Index)

                                                  LC 21 2920

  3- 1      (b)(1) Any member who elects not to be a member of the
  3- 2      retirement system upon first becoming eligible for
  3- 3      membership and who subsequently becomes a member of the
  3- 4      retirement system may, but is not required to, obtain
  3- 5      creditable service for the period of employment for
  3- 6      which he or she did not elect to be a member of the
  3- 7      retirement system subject to the conditions of this
  3- 8      subsection.

  3- 9      (2) Any member wishing to obtain creditable service as
  3-10      provided in paragraph (1) of this subsection shall make
  3-11      application to the board in a form required by the
  3-12      board; shall provide such proof of the prior employment
  3-13      as the board deems appropriate; and shall pay the
  3-14      employee contributions which he or she would have paid
  3-15      if he or she had been a member of the retirement system,
  3-16      together with regular interest thereon. The payments
  3-17      required of the member may be made over a period of five
  3-18      years from the time the member applies for the
  3-19      creditable service or from the date the member completes
  3-20      five years of continuous employment, whichever date
  3-21      comes first, and may be made in one or more lump sum
  3-22      payments or in monthly installments in an amount equal
  3-23      to the unpaid balance divided by the number of months
  3-24      remaining until the expiration of the five-year period;
  3-25      provided, however, that no credit shall be given for any
  3-26      portion of the prior service until the entire amount has
  3-27      been paid.  Upon completion of the payments required by
  3-28      this paragraph, the employer shall pay the full amount
  3-29      of employer contributions that would have been paid on
  3-30      behalf of such member as if he or she had been a member
  3-31      of the retirement system."

                         SECTION 3.

  3-32  This Act shall become effective on July 1, 1996, only if it
  3-33  is determined to have been concurrently funded as provided
  3-34  in Chapter 20 of Title 47 of the Official Code of Georgia
  3-35  Annotated, the "Public Retirement Systems Standards Law";
  3-36  otherwise, this Act shall not become effective and shall be
  3-37  automatically repealed in its entirety on July 1, 1996, as
  3-38  required by subsection (a) of Code Section 47-20-50.

                         SECTION 4.

  3-39  All laws and parts of laws in conflict with this Act are
  3-40  repealed.




                                 -3- (Index)