Text: H02005 Text: H02007 Text: H02000 - H02099 Text: H Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Amend Senate File 476, as amended, passed, and
1 2 reprinted by the Senate, as follows:
1 3 #1. Page 17, by inserting after line 8, the
1 4 following:
1 5 "Sec. . Section 97B.42, Code 2001, is amended
1 6 by adding the following new unnumbered paragraph:
1 7 NEW UNNUMBERED PARAGRAPH. Notwithstanding any
1 8 other provision of this section, commencing July 1,
1 9 2002, a member who is employed by a school district or
1 10 area education agency as an elementary or secondary
1 11 school teacher may elect coverage under the eligible
1 12 alternative retirement benefits system as provided in
1 13 section 294.17, in lieu of continuing or commencing
1 14 contributions to the Iowa public employees' retirement
1 15 system. However, the employer's and employee's annual
1 16 contribution in dollars to the eligible alternative
1 17 retirement benefits system shall equal, but not
1 18 exceed, the annual contribution in dollars which the
1 19 employer and employee would contribute if the employee
1 20 had elected to remain an active member under this
1 21 chapter, as set forth in section 97B.11. A member who
1 22 elects coverage under the eligible alternative
1 23 retirement benefits system as provided by this
1 24 paragraph may withdraw the member's accumulated
1 25 contributions effective when coverage under the
1 26 eligible alternative retirement benefits system
1 27 commences. A member who is employed by a school
1 28 district or area education agency as an elementary or
1 29 secondary school teacher prior to July 1, 2002, must
1 30 file an election for coverage under the eligible
1 31 alternative retirement benefits system described in
1 32 section 294.17, with the department and the employing
1 33 school district or area education agency within
1 34 eighteen months of the first day on which coverage
1 35 commences under the eligible alternative retirement
1 36 benefits system described in section 294.17, or the
1 37 employee shall remain a member under this chapter and
1 38 shall not be eligible to elect to participate in the
1 39 eligible alternative retirement benefits system at a
1 40 later date. A person hired on or after July 1, 2002,
1 41 by a school district or area education agency as an
1 42 elementary or secondary school teacher must file an
1 43 election for coverage under the eligible alternative
1 44 retirement benefits system with the department and the
1 45 employing school district or area education agency
1 46 within sixty days of commencing employment, or the
1 47 employee shall remain a member under this chapter and
1 48 shall not be eligible to elect to participate in the
1 49 eligible alternative retirement benefits system at a
1 50 later date. The department shall cooperate with the
2 1 state board of education and with applicable school
2 2 districts and area education agencies to facilitate
2 3 the implementation of this provision.
2 4 Sec. . Section 256.7, Code 2001, is amended by
2 5 adding the following new subsection:
2 6 NEW SUBSECTION. 25. By July 1, 2002, provide for
2 7 the establishment of an eligible alternative
2 8 retirement benefits system for elementary and
2 9 secondary school teachers employed by a school
2 10 district or area education agency consistent with the
2 11 requirements of section 294.17."
2 12 #2. Page 19, by inserting after line 24, the
2 13 following:
2 14 "Sec. . NEW SECTION. 294.17 ELIGIBLE
2 15 ALTERNATIVE PENSION AND ANNUITY RETIREMENT SYSTEM.
2 16 1. The state board of education shall establish an
2 17 eligible alternative pension and annuity retirement
2 18 system, hereafter called the "retirement system",
2 19 effective July 1, 2002, for elementary and secondary
2 20 school teachers employed by a school district or area
2 21 education agency pursuant to the requirements of this
2 22 section. The state board of education shall be the
2 23 plan sponsor of the retirement system and shall file
2 24 an application for a favorable determination letter
2 25 for the retirement system with the Internal Revenue
2 26 Service.
2 27 2. The state board of education shall select a
2 28 provider of the retirement system that is a financial
2 29 institution capable of providing bundled services for
2 30 the retirement system, including, but not limited to,
2 31 administration, investment management, employee
2 32 education, and recordkeeping. In selecting a
2 33 provider, the state board of education shall place
2 34 primary emphasis on the reasonableness of services in
2 35 relation to cost, the ability and experience of the
2 36 provider in providing bundled retirement services to
2 37 the educational community, the financial stability of
2 38 the provider, and the ability of the provider to
2 39 provide services as required by this section.
2 40 3. To be an eligible alternative retirement
2 41 benefits system, the retirement system shall meet the
2 42 following requirements:
2 43 a. The retirement system shall be an employer-
2 44 sponsored defined contribution plan requiring
2 45 mandatory employer contributions that meet the
2 46 requirements of section 401(a) of the Internal Revenue
2 47 Code.
2 48 b. The employer's and employee's annual
2 49 contribution in dollars under an eligible alternative
2 50 retirement benefits system described in this section
3 1 shall equal, but not exceed, the annual contribution
3 2 in dollars which the employer and employee would
3 3 contribute if the employee had elected to remain an
3 4 active member pursuant to the Iowa public employees'
3 5 retirement system, as set forth in section 97B.11.
3 6 Contributions under the retirement system shall be
3 7 treated in the same manner as contributions under the
3 8 Iowa public employees' retirement system are treated
3 9 pursuant to section 97B.11A.
3 10 c. Employer and employee contributions under the
3 11 retirement system shall be fully vested immediately.
3 12 d. Upon termination of employment as an elementary
3 13 or secondary school teacher employed by a school
3 14 district or area education agency, the teacher shall
3 15 be eligible to receive a benefit payable in at least
3 16 any of the following forms:
3 17 (1) Payment of all or part of the teacher's
3 18 account balance in the retirement system in a lump
3 19 sum.
3 20 (2) Payment based on the teacher's account balance
3 21 in the retirement system in monthly, quarterly, or
3 22 annual installments over a fixed reasonable period of
3 23 time, not exceeding the life expectancy of the teacher
3 24 and the teacher's beneficiary, if applicable.
3 25 (3) Payment based on the teacher's account balance
3 26 in the form of a single life or joint life and
3 27 survivorship annuity.
3 28 4. Persons employed by a school district or area
3 29 education agency as an elementary or secondary school
3 30 teacher on or after July 1, 2002, may elect coverage
3 31 under the retirement system established in this
3 32 section in lieu of coverage under the Iowa public
3 33 employees' retirement system, pursuant to the
3 34 requirements of section 97B.42."
3 35 #3. By renumbering as necessary.
3 36
3 37
3 38
3 39 DIX of Butler
3 40
3 41
3 42
3 43 VAN FOSSEN of Scott
3 44
3 45
3 46
3 47 JOHNSON of Osceola
3 48
3 49
3 50
4 1 MANTERNACH of Jones
4 2
4 3
4 4
4 5 HUSEMAN of Cherokee
4 6
4 7
4 8
4 9 BRADLEY of Clinton
4 10
4 11
4 12
4 13 RAECKER of Polk
4 14
4 15
4 16
4 17 SIEVERS of Scott
4 18
4 19
4 20
4 21 BRUNKHORST of Bremer
4 22
4 23
4 24
4 25 SUKUP of Franklin
4 26
4 27
4 28
4 29 ALONS of Sioux
4 30
4 31
4 32
4 33 DOLECHECK of Ringgold
4 34
4 35
4 36
4 37 KETTERING of Sac
4 38
4 39
4 40
4 41 DRAKE of Pottawattamie
4 42
4 43
4 44
4 45 HORBACH of Tama
4 46
4 47
4 48
4 49 JENKINS of Black Hawk
4 50
5 1
5 2
5 3 LARSON of Linn
5 4 SF 476.1
5 5 ec/es/25
Text: H02005 Text: H02007 Text: H02000 - H02099 Text: H Index Bills and Amendments: General Index Bill History: General Index
© 2001 Cornell College and League of Women Voters of Iowa
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