Louisiana 2022 2022 Regular Session

Louisiana Senate Bill SB434 Comm Sub / Analysis

                    HASBSB434 SULLIVAN 4497
SENATE SUMMARY OF HOUSE AMENDMENTS
SB 434	2022 Regular Session	Fields
KEYWORD AND SUMMARY AS RETURNED TO THE SENATE
TEACHERS RETIREMENT.  Provides relative to the reemployment of retirees to meet
critical shortage needs. (2/3 - CA10s29(F))(see Act)
SUMMARY OF HOUSE AMENDMENTS TO THE SENATE BILL
1. Make technical changes.
2. Make proposed law advertising and posting requirements permanent.
3. Retain present law requirement that a retiree employed without benefit
suspension due to a critical shortage must be certified in the critical shortage
area.
4. Relative to employment of retirees without suspension of benefits to fill
vacancies created by extended teacher leave, require the retiree to be
certified, to have at least 30 years of creditable service, and be at least 62.
5. Relative to employment of retirees as instructors in certain nursing programs,
add requirement that the retiree retired prior to July 1, 2020.
6. Make proposed law contingent on enactment of Senate Bill No. 377.
DIGEST OF THE SENATE BILL AS RETURNED TO THE SENATE
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, allowing for the retiree
to receive benefits without suspension during reemployment.  Requires the employer to
advertise twice in the employer's official journal and to post notice at each postsecondary
education institution within a 120-mile radius of the employer's governing authority. HASBSB434 SULLIVAN 4497
Proposed law, delineating requirements to be met before certifying the existence of a critical
shortage, requires monthly publication of notice in the employer's official journal and
requires posting of notice at postsecondary institutions every semester.  Requires
prominently displaying a list of positions that are unfilled or that are filled by reemployed
retirees on specified websites.
Proposed law allows anyone who retired before July 1, 2020, to be rehired under present
critical shortage law.
Proposed law allows, until July 1, 2027, the following employment of retirees without
benefit suspension and without certifying the existence of a critical shortage:
(1)Employment of a retiree certified in math, science, English language arts, or special
education, excluding gifted and talented, to fill a position in the certified area. 
Provides that, if a certified teacher applies to fill a position held by a retiree
employed under proposed law, the certified teacher shall replace the retiree at the
beginning of the next grading period.
(2)Employment of a retiree with at least 30 years of service credit who is at least age
62 to fill a vacancy created by extended leave.
Proposed law authorizes, until July 1, 2027, employment of a retiree to fill a position for an
adjunct professor to teach in a nursing program at a public postsecondary education
institution where a critical shortage exists, if the retiree and the institution satisfy certain
criteria.  Requires the retiree to meet all of the following:
(1)He retired on or before June 30, 2020.
(2)He has been retired for at least 12 months.
(3)He did not retire based on a disability.
(4)He has at least 30 years of creditable service in the retirement system.
(5)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 Bd. 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 (DOE) to determine whether non-Teachers'
public schools are having 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 without reemployment of retirees.
Requires a report of findings and proposals by Jan. 20, 2023.
If enacted, proposed law outlined in this digest becomes effective when Senate Bill No. 377
becomes effective.  Senate Bill No. 377 was effective upon signature by the governor on
May 31, 2022.
(Amends R.S. 11:710(A)(3), (F)(1), and (G) and 710.1(A)(intro para); adds R.S. 11:710(H),
710.1(F), and 710.2)
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LG Sullivan
Senate Counsel