California Senate Bill SB1390 Latest Draft

 BILL NUMBER: SB 1390AMENDED BILL TEXT AMENDED IN SENATE MARCH 28, 2016 INTRODUCED BY Senator Block FEBRUARY 19, 2016  An act relating to teachers.   An act to amend Section 24214.5 of the Education Code, relating to teachers.  LEGISLATIVE COUNSEL'S DIGEST SB 1390, as amended, Block. Teachers:  recruitment and retention.   retention: retirement.   Existing law, the Teachers' Retirement Law, establishes the State Teachers' Retirement System (STRS) and creates the Defined Benefit Program of the State Teachers' Retirement Plan, which provides a defined benefit to members of the program, based on final compensation, credited service, and age at retirement, subject to certain variations. STRS is governed by the Teachers' Retirement Board. Existing law permits members retired for service from STRS to perform member activities without reinstatement into the system if certain conditions are met and requires payment for the performance of retired member activities to be $0 during the first 180 calendar days after the most recent retirement of a retired member, as specified.   This bill would authorize a member retired from service to perform member activities for a school district, notwithstanding the above-mentioned 180 calendar days compensation limitation, if certain conditions are met, including that there is a current or projected teacher shortage in a subject area, as designated by the Superintendent of Public Instruction.   Existing law establishes various programs for the recruitment of teachers.   This bill would state that it is the intent of the Legislature to enact legislation that would address the teacher shortage in California.  Vote: majority. Appropriation: no. Fiscal committee:  no   yes  . State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:  SECTION 1.   Section 24214.5 of the   Education Code   is amended to read:  24214.5. (a) (1) Notwithstanding subdivision (f) of Section 24214, the postretirement compensation limitation that shall apply to the compensation paid in cash to the retired member for performance of retired member activities, excluding reimbursements paid by an employer for expenses incurred by the member in which payment of the expenses by the member is substantiated, shall be zero dollars ($0) during the first 180 calendar days after the most recent retirement of a member retired for service under this part. (2) For written agreements pertaining to the performance of retired member activities entered into, extended, renewed, or amended on or after January 1, 2014, the limitation in paragraph (1) shall also apply to payments made for the performance of retired member activities, including, but not limited to, those for participation in a deferred compensation plan; to purchase an annuity contract, tax-deferred retirement plan, or insurance program; and for contributions to a plan that meets the requirements of Section 125, 401(a), 401(k), 403(b), 457(b), or 457(f) of Title 26 of the United States Code when the cost is covered by an employer. (b) If the retired member has attained normal retirement age at the time the compensation is earned, subdivision (a) shall not apply and Section 24214 shall apply if the appointment has been approved by the governing body of the employer in a public meeting, as reflected in a resolution adopted by the governing body of the employer prior to the performance of retired member activities, expressing its intent to seek an exemption from the limitation specified in subdivision (a). Approval of the appointment may not be placed on a consent calendar. Notwithstanding any other provision of Article 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code or any state or federal law incorporated by subdivision (k) of Section 6254 of the Government Code, the resolution shall be subject to disclosure by the entity adopting the resolution and the system. The resolution shall include the following specific information and findings: (1) The nature of the employment. (2) A finding that the appointment is necessary to fill a critically needed position before 180 calendar days have passed. (3) A finding that the member is not ineligible for application of this subdivision pursuant to subdivision (d). (4) A finding that the termination of employment of the retired member with the employer is not the basis for the need to acquire the services of the member. (c) Subdivision (b) shall not apply to a retired member whose termination of employment with the employer is the basis for the need to acquire the services of the member. (d) Subdivision (b) shall not apply if the retired member received additional service credit pursuant to Section 22714 or 22715 or received from any public employer any financial inducement to retire. For purposes of this section, "financial inducement to retire" includes, but is not limited to, any form of compensation or other payment that is paid directly or indirectly by a public employer to the member, even if not in cash, either before or after retirement, if the participant retires for service on or before a specific date or specific range of dates established by a public employer on or before the date the inducement is offered. The system shall liberally interpret this subdivision to further the Legislature's intent to make subdivision (b) inapplicable to members if the member received a financial incentive from any public employer to retire or otherwise terminate employment with a public employer. (e) The Superintendent, the county superintendent of schools, or the chief executive officer of a community college shall submit all documentation required by the system to substantiate the eligibility of the retired member for application of subdivision (b), including, but not limited to, the resolution adopted pursuant to that subdivision. (f) The documentation required by this section shall be received by the system prior to the retired member's performance of retired member activities. (g) Within 30 calendar days after the receipt of all documentation required by the system pursuant to this section, the system shall inform the entity seeking application of the exemption specified in subdivision (b), and the retired member whether the compensation paid to the member will be subject to the limitation specified in subdivision (a). (h) If a member retired for service under this part earns compensation for performing retired member activities in excess of the limitation specified in subdivision (a), the member's retirement allowance shall be reduced by the amount of the excess compensation. The amount of the reduction in an individual month shall be no more than the monthly allowance payable in that month, and the total amount of the reduction shall not exceed the amount of the allowance payable during the first 180 calendar days, after a member retired for service under this part.  (i) Notwithstanding subdivision (a), a member retired from service under this part may perform retired member activities for any school district during the first 180 calendar days after the most recent retirement of the retired member if all of the following conditions are met:   (1) There is a current or projected teacher shortage in a subject area, as designated by the Superintendent.   (2) The retired member is needed as a substitute teacher for special education, mathematics, or science classes.   (3) The school where the retired member is performing retired member activities meets either of the following:   (A) The enrollment of English language learners, students eligible for free or reduced-price meals, or foster youth at the school is equal to or greater than 55 percent of the school's student enrollment.   (B) The school meets federal Provision 1, Provision 2, or Provision 3 for participation in the National School Lunch Program, as authorized by Section 11(a)(1) of the Richard B. Russell National School Lunch Act (Public Law 113-79).   (i)   (j)  The amendments to this section enacted during the first year of the 2013-14 Regular Session shall apply to compensation paid on or after January 1, 2014.  SECTION 1.   It is the intent of the Legislature to enact legislation that would address the teacher shortage in California.