The bill amends Section 59-1302 of the Idaho Code, which defines terms related to the Public Employee Retirement System of Idaho (PERSI). It revises the definition of "employee" to include individuals who are reemployed within thirty days after a separation of fewer than five consecutive months from a PERSI-participating employer. Additionally, it specifies that certain positions, such as seasonal or casual roles, are not classified as employees if they do not exceed eight consecutive months in a calendar year. The bill also introduces new definitions, including "alternate payee," "approved domestic retirement order," and "average monthly salary," while making technical corrections and streamlining references by replacing "public employee retirement system" with "PERSI."

Moreover, the bill clarifies the definition of "salary" to encompass total wages and voluntary salary reductions, while excluding specific payments like employer contributions to medical savings accounts and lump-sum payments upon termination. It introduces the term "school employee" to cover various staff within school districts and charter schools and defines "segregated account" for alternate payees. The bill establishes criteria for "service" and "service retirement," detailing conditions for service credit and age requirements for retirement based on membership type. It also clarifies the definition of "termination from employment" and vesting criteria for members. An emergency declaration is included, making the bill effective on July 1, 2026.

Statutes affected:
Bill Text: 59-1302