Senate File 66 - Introduced SENATE FILE 66 BY DANIELSON A BILL FOR An Act relating to funding for retirement incentive programs 1 offered by school districts and including applicability 2 provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1701XS (4) 85 md/sc
S.F. 66 Section 1. Section 279.46, Code 2013, is amended to read as 1 follows: 2 279.46 Retirement incentives —— tax. 3 The board of directors of a school district may adopt a 4 program for payment of a monetary bonus, continuation of 5 health or medical insurance coverage, or other incentives 6 for encouraging its employees to retire before the normal 7 retirement date as defined in chapter 97B . The program is 8 available only to employees who notify the board of directors 9 prior to April 1 of the fiscal year that they intend to retire 10 not later than the start of the next following school calendar. 11 The age at which employees shall be designated eligible for 12 the program shall be at the discretion of the board. An 13 employee retiring under this section may apply for a retirement 14 allowance under chapter 97B or chapter 294 . The board may 15 include in the district management levy an amount to pay the 16 total estimated accumulated cost to the school district of 17 the health or medical insurance coverage, bonus, or other 18 incentives for employees within the age range of fifty-five to 19 sixty-five years of age or older who retire under this section . 20 Sec. 2. APPLICABILITY. This Act applies to retirement 21 incentive programs in existence on or after July 1, 2013. 22 EXPLANATION 23 This bill makes changes affecting the retirement incentive 24 programs school districts may offer to employees and pay for 25 through the district management levy under Code section 298.4. 26 Currently, districts can pay for the program through the 27 district management levy for employees between the ages of 55 28 and 65. The bill allows the district to pay for such a program 29 through the district management levy for employees who are 55 30 years of age or older. 31 The Act applies to retirement incentive programs in 32 existence on or after July 1, 2013. 33 -1- LSB 1701XS (4) 85 md/sc 1/ 1