Louisiana 2016 2016 Regular Session

Louisiana House Bill HB907 Comm Sub / Analysis

                    DIGEST
The digest printed below was prepared by House Legislative Services.  It constitutes no part of the
legislative instrument.  The keyword, one-liner, abstract, and digest do not constitute part of the law
or proof or indicia of legislative intent.  [R.S. 1:13(B) and 24:177(E)]
HB 907 Engrossed	2016 Regular Session	LeBas
Abstract:  Provides for a salary cap increase for a retiree of the Teachers' Retirement System of La.
(TRSL) who returns to work as a substitute classroom teacher in an extended leave vacancy.
Present law prohibits a retired member of TRSL from receiving his benefit check while he is
reemployed in a position covered by TRSL.  Present law provides exceptions to this prohibition. 
Proposed law retains present law.
Present law further provides that for the first 12 months after a retiree's date of retirement, his
benefits are suspended entirely if the retiree returns to work (hereafter referred to as the "waiting
period").  Proposed law retains present law.
Present law provides that after his waiting period terminates, a retired member may return to work
as a substitute classroom teacher and draw his full benefit check while working, but may only earn
up to 25% of his annual benefit.  Provides that any amount earned in excess of the earnings limit is
deducted from the retiree's benefit check.
Proposed law increases the earnings limit to 50% of annual benefit for a person who returns to work
as a substitute classroom teacher to fill an extended leave vacancy, which is a vacancy created by
extended sick leave, maternity leave, military leave, or sabbatical taken by a K-12 teacher in a
regular or special school. Proposed law otherwise retains present law.
Proposed law requires that in addition to the employers' reporting requirements imposed by present
law, employers must also report if a retired teacher is filling an extended leave vacancy.
Proposed law requires that any cost of proposed law be funded with additional employer
contributions in compliance with Art. X, ยง29(F) of the state constitution.
Effective July 1, 2016.
(Amends R.S. 11:710(B)(1)(b) and (D); Adds R.S. 11:710(A)(9))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Retirement to the original bill:
1. Define extended leave vacancy. 2. Increase the earnings cap to 50% of a retired teacher's retirement benefit for retired
teachers filling extended leave vacancies.
3. Require employers to report if a rehired teacher is filling an extended leave vacancy.