Bill Summary – FastDemocracy

67th Legislature                                                                                                     SB 188.1
                                                   SENATE BILL NO. 188
                                                 INTRODUCED BY M. LANG
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   A BILL FOR AN ACT ENTITLED: “AN ACT REVISING RETURN TO EMPLOYMENT PROVISIONS UNDER
   THE TEACHERS' RETIREMENT SYSTEM; AMENDING SECTION 19-20-732, MCA; AND PROVIDING AN
   IMMEDIATE EFFECTIVE DATE, AN APPLICABILITY DATE, AND A TERMINATION DATE.”
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   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:
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              Section 1. Section 19-20-732, MCA, is amended to read:
              "19-20-732. (Temporary) Reemployment of certain retired teachers, specialists, and
   administrators -- procedure -- definitions. (1) Subject to the provisions of this section:
              (a)   a teacher, specialist, or administrator who has been receiving a retirement allowance for no less
   than 2 months, except a disability retirement allowance pursuant to part 9 of this chapter, may be employed on
   a full-time basis by an employer for a maximum of 3 7 years as a teacher and 3 years as an administrator
   during the lifetime of the retired member without the loss or interruption of any payments or retirement benefits
   if:
              (i)   the retired member completed 27 or more years of creditable service prior to retirement;
              (ii) the retired member holds a valid certificate pursuant to the provisions of 20-4-106; and
              (iii) each year, prior to employing a retired member, the employer certifies to the office of public
   instruction and to the retirement board that after having advertised the position for that year the employer has
   been unable to fill the position because the employer either has received no qualified applications or has not
   received an acceptance of an offer of employment made to a nonretired teacher, specialist, or administrator.
   The office of public instruction shall verify that the employer has advertised the position as required under this
   subsection (1)(a)(iii).
              (b)   the employer certification required by this section must include the retired member's name and
   social security number and a copy of the proposed contract of employment for the retired member;
              (c)   upon receipt of the employer's certification and of the proposed contract of employment, the
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67th Legislature                                                                                                     SB 188.1
   retirement board shall verify whether the retired member meets the requirements of subsection (1)(a)(i) and
   shall notify the employer and the retired member of its findings;
              (d)   a retired member reemployed under this section is ineligible for active membership under 19-20-
   302 and is ineligible to receive service credit under any retirement system identified in Title 19; and
              (e)   by September 15 of each even-numbered year, the retirement board shall report to the education
   interim committee and the state administration and veterans' affairs interim committee, as provided in 5-11-210,
   regarding the implementation of and results arising from this section.
              (2)   An employer employing a retired member pursuant to this section shall contribute monthly to the
   retirement system an amount equal to the sum of the contribution rates required by 19-20-602, 19-20-604, 19-
   20-605, 19-20-607, 19-20-608, and 19-20-609.
              (3)   A retired member reemployed pursuant to this section is exempt from the earnings and
   employment limits provided in 19-20-731.
              (4)   If reemployed in a position covered by a collective bargaining agreement pursuant to Title 39,
   chapter 31, the retired member is subject to all the terms and conditions of the agreement and is entitled to all
   the benefits and protections of the agreement.
              (5)   The board may adopt rules to implement this section.
              (6)   As used in this section, the following definitions apply:
              (a)   "Administrator" means a school principal, or superintendent, or other district administrator other
   than a superintendent.
              (b)   "Employer" means a school district as defined in 20-6-101 and 20-6-701 that employs a retired
   member and is a second-class or third-class elementary district under 20-6-201 or a second-class or third-class
   high school district under 20-6-301.
              (c)   "Year" means all or any part of a school year. (Terminates June 30, 2025--sec. 4, Ch. 307, L.
   2019.)
              19-20-732.    (Effective July 1, 2025) Reemployment of certain retired teachers, specialists, and
   administrators -- procedure -- definitions. (1) Subject to the provisions of this section:
              (a)   a teacher, specialist, or administrator who has been receiving a retirement allowance for no less
   than 2 months, except a disability retirement allowance pursuant to part 9 of this chapter, may be employed on
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67th Legislature                                                                                                     SB 188.1
   a full-time basis by an employer for a maximum of 3 years during the lifetime of the retired member without the
   loss or interruption of any payments or retirement benefits if:
              (i)   the retired member completed 30 or more years of creditable service prior to retirement;
              (ii) the retired member holds a valid certificate pursuant to the provisions of 20-4-106; and
              (iii) each year, prior to employing a retired member, the employer certifies to the office of public
   instruction and to the retirement board that after having advertised the position for that year the employer has
   been unable to fill the position because the employer either has received no qualified applications or has not
   received an acceptance of an offer of employment made to a nonretired teacher, specialist, or administrator;
              (b)   the employer certification required by this section must include the retired member's name and
   social security number and a copy of the proposed contract of employment for the retired member;
              (c)   upon receipt of the employer's certification and of the proposed contract of employment, the
   retirement board shall verify whether the retired member meets the requirements of subsection (1)(a)(i) and
   shall notify the employer and the retired member of its findings;
              (d)   a retired member reemployed under this section is ineligible for active membership under 19-20-
   302 and is ineligible to receive service credit under any retirement system identified in Title 19; and
              (e)   the retirement board shall report to the appropriate committee each legislative session regarding
   the implementation of and results arising from this section.
              (2)   An employer employing a retired member pursuant to this section shall contribute monthly to the
   retirement system an amount equal to the sum of the contribution rates required by 19-20-602, 19-20-604, 19-
   20-605, 19-20-607, 19-20-608, and 19-20-609.
              (3)   A retired member reemployed pursuant to this section is exempt from the earnings and
   employment limits provided in 19-20-731.
              (4)   If reemployed in a position covered by a collective bargaining agreement pursuant to Title 39,
   chapter 31, the retired member is subject to all the terms and conditions of the agreement and is entitled to all
   the benefits and protections of the agreement.
              (5)   The board may adopt rules to implement this section.
              (6)   As used in this section, the following definitions apply:
              (a)   "Employer" means a school district as defined in 20-6-101 and 20-6-701.
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67th Legislature                                                                                                       SB 188.1
              (b)   "Year" means all or any part of a school year."
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              NEW SECTION. Section 2.        Effective date. [This act] is effective on passage and approval.
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              NEW SECTION. Section 3.        Applicability. [This act] applies to contracts initiated on or after [the
   effective date of this act].
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              NEW SECTION. Section 4.        Termination. [This act] terminates June 30, 2025.
                                                           - END -
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Statutes affected: 
SB0188_1.pdf: 19-20-732
SB0188_2.pdf: 19-20-732
Amended: 19-20-732
Introduced: 19-20-732