The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by LG Sullivan.
DIGEST
SB 434 Reengrossed 2022 Regular Session Fields
Present law governs the payment of benefits to retirees of the Teachers' Retirement System of
Louisiana (Teachers') including retirees who return to work in positions covered by the retirement
system. Present law generally requires payment of a retiree's benefit to be suspended for the duration
of reemployment with some exceptions. Requires suspension of benefit without exception for any
reemployment within the first 12 months of retirement. Requires payment of employer and employee
contributions during reemployment. Provides for refund of employee contributions without interest
after the reemployment ends.
Proposed law retains present law.
One present law exception (commonly referred to as "critical shortage") allows the receipt of
retirement benefits without suspension for the duration of reemployment if all of the following apply
to the retiree:
(1)He retired on or before June 30, 2010, OR retired after that date and returned to a Teachers'-
covered position on or before June 30, 2020.
(2)He is employed to fill a position certified as a critical shortage position.
(3)He is certified to teach in the critical shortage area.
Present law, applicable to anyone who retired after June 30, 2010, and who first returned to work
in a Teachers'-covered position after June 30, 2020, does not contain a critical shortage provision.
Present critical shortage law requires the employer to meet certain advertising and posting
requirements before certifying the existence of a critical shortage. Requires the employer to advertise
twice in the locality's official journal and to post notice at each post-secondary institution within a
120-mile radius of the employer's governing authority.
Proposed law generally retains present law. Proposed law additionally:
(1)Applies present critical shortage law to allow employment of any certified retiree, not just
to one certified in the critical shortage area.
(2)Allows anyone who retired before July 1, 2020, to be rehired under present critical shortage
law.
(3)Until July 1, 2027, allows the employer to fulfill the advertising and posting requirements of present law by (a) posting notice each semester at the specified post-secondary institutions
and advertising monthly in the official journal that the employer is soliciting applications for
future employment of certified teachers and (b) prominently displaying a list of positions that
are unfilled or that are filled by reemployed retirees on specified websites.
(4)Until July 1, 2027, allows an employer to hire a retiree certified in math, science, English
language arts, or special ed excluding gifted and talented to fill a position in the certified area
without complying with the advertising and posting requirements in present law.
Until July 1, 2027, proposed law allows a public postsecondary education institution to hire a retiree
to fill a position for an adjunct professor to teach in a nursing program where a critical shortage
exists, if the retiree and the institution satisfy certain criteria. Requires the retiree to meet all of the
following:
(1)The retiree has been retired for at least 12 months.
(2)He did not retire based on a disability.
(3)He has at least 30 years of creditable service in the retirement system.
(4)He has attained at least age 62.
Proposed law requires the institution to post a listing of positions that are unfilled or that are filled
by reemployed retirees on the websites of the institution, of the institution's management board, and
of the Board of Regents in order to declare the existence of a critical shortage.
Present law requires the employer of a retiree to satisfy certain notice and reporting requirements.
Provides that if failure to provide any required notice or report causes the retirement system to pay
a benefit that is not due, the employer is liable to the system for repayment.
Proposed law retains present law and applies the notice, reporting, and liability provisions to any
institution employing a retiree under proposed law.
Proposed law specifies that proposed law shall not apply to anyone reemployed by contract or
corporate contract.
Proposed law requires the Dept. of Education to determine whether non-Teachers' schools are having
the same critical shortage issues, to find the reasons for the shortages and for any disparity if those
non-Teachers' schools are not having shortages, and to propose policy changes that will reduce or
eliminate the shortages. Requires a report of findings and proposals by Jan. 20, 2023.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 11:710(F)(1) and (G) and 710.1(A)(intro para); adds R.S. 11:710(H), 710.1(F), and
710.2)
Summary of Amendments Adopted by Senate Committee Amendments Proposed by Senate Committee on Retirement to the original bill
1. Make technical changes.
2. Until July 1, 2025, allow the employer to fulfill the advertising and posting
requirements of present law by (a) posting notice each semester at the specified
post-secondary institutions and advertising monthly in the official journal that the
employer is soliciting applications for future employment of certified teachers and
(b) prominently displaying a list of positions that are unfilled or that are filled by
reemployed retirees on specified websites.
Senate Floor Amendments to engrossed bill
1. For five years, allow retirees who meet certain criteria to be reemployed as adjunct
professors in a nursing programs at public postsecondary education institutions where
a critical shortage exists without suspension or reduction of benefit.
2. Make changes to provide a single termination date for all temporary changes to
present law.