House Amendment 1098 PAG LIN 1 1 Amend House File 414 as follows: 1 2 #1. Page 29, by inserting before line 35 the 1 3 following: 1 4 <Sec. . IOWA PUBLIC EMPLOYEES' RETIREMENT 1 5 SYSTEM == TEMPORARY LAYOFFS == AVERAGE COVERED WAGE 1 6 RECALCULATION. 1 7 1. Notwithstanding any provision of chapter 97B to 1 8 the contrary, a member of the Iowa public employees' 1 9 retirement system who has an employer=mandated 1 10 reduction in hours but remains on the employer's 1 11 payroll, and who would receive a reduction in the 1 12 member's three=year average covered wage as a result 1 13 of the reduction in hours, may have the member's 1 14 retirement allowance calculated based on the 1 15 three=year average covered wage the member would have 1 16 received, based on reasonable assumptions, if the 1 17 member had not been subject to the employer=mandated 1 18 reduction in hours, upon payment by the member of the 1 19 applicable contribution amount. For purposes of this 1 20 section, the applicable contribution amount is an 1 21 amount equal to the employee and employer 1 22 contributions that would have been paid to the system 1 23 based on the wages that the member would have received 1 24 but for the employer=mandated reduction in hours and 1 25 would have been included in the member's three=year 1 26 average covered wage. 1 27 2. The payment of the applicable contribution 1 28 amount under this section shall be treated as pick=up 1 29 contributions in addition to amounts picked up under 1 30 section 97B.11A. The member must notify the Iowa 1 31 public employees' retirement system and the member's 1 32 employer prior to the member terminating employment 1 33 covered under the system so that the appropriate 1 34 calculations can be made and the applicable 1 35 contribution amount for the member can be deducted 1 36 from the member's wages. The Iowa public employees' 1 37 retirement system shall have no liability for a 1 38 member's failure to notify the system and the member's 1 39 employer in time to make such calculations and deduct 1 40 the applicable contribution amount from the member's 1 41 remaining wage payments. 1 42 3. This section shall apply to employer=mandated 1 43 reductions in hours during the period of time 1 44 beginning on or after January 1, 2009, and ending no 1 45 later than June 30, 2010. The system is authorized to 1 46 adopt such rules, including emergency rules, as it 1 47 deems necessary or prudent to implement this section.> 1 48 #2. By renumbering as necessary. 1 49 1 50 2 1 2 2 OLDSON of Polk 2 3 HF 414.203 83 2 4 jp/tm/12075 -1-