HF 2029 (LSB 5472YH (5) 83)

HOUSE FILE 2029

BY  ZIRKELBACH

A BILL FOR

An Act concerning bona fide retirement rules under the Iowa public employees retirement system.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 97B.52A, subsection 1, paragraph c, Code 2009, is amended to read as follows:
   c.  For a member whose first month of entitlement is July 2000 or later, the member does not return to any employment with a covered employer until the member has qualified for at least one calendar month of retirement benefits, and the member does not return to covered employment until the member has qualified for no fewer than four calendar months of retirement benefits. For purposes of this paragraph, effective July 1, 2000, any employment with a covered employer does not include employment as an elective official or member of the general assembly if the member is not covered under this chapter for that employment. For purposes of determining a bona fide retirement under this paragraph and for a member whose first month of entitlement is July 2004 or later, but before July 2010, covered employment does not include employment as a licensed health care professional by a public hospital as defined in section 249J.3, with the exception of public hospitals governed pursuant to chapter 226.  For purposes of this paragraph, effective July 1, 2010, returning to covered employment means returning to employment with a different employer than the employer that employed the member immediately prior to retirement unless the member is returning to employment as an elective official or member of the general assembly, a teacher, or a health care professional.
    Sec. 2.  Section 97B.52A, subsection 1, Code 2009, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  d.  Notwithstanding any provision of this subsection to the contrary, for a member whose first month of entitlement is July 2010 or later, the member does not return to covered employment with the same employer that employed the member immediately prior to retirement until the member has qualified for no fewer than twelve calendar months of retirement benefits. However, this paragraph does not apply to returning to employment as an elective official or member of the general assembly, a teacher, or a health care professional.
EXPLANATION
   This bill provides that, beginning July 2010, a person who retires under the Iowa public employees retirement system (IPERS) and receives a retirement allowance shall not return to covered employment under IPERS with the same employer the person had just prior to retirement, and still receive a retirement allowance, for 12 months. Current law, and the law as it relates to returning to employment with a different employer under the bill, allows a person to return to covered employment after four months and still receive a retirement allowance. The bill provides that the requirement to not return to covered employment with the same employer for 12 months does not apply to returning to employment as an elective official or member of the general assembly, teacher, or health care professional. In these cases, the current bona fide retirement rules applicable to those categories of employment still apply.