SB 133
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AN ACT
RELATING TO EDUCATIONAL RETIREMENT; INCREASING THE SALARY A
RETIRED MEMBER MAY EARN WITHOUT A SUSPENSION OF THE MEMBER'S
RETIREMENT BENEFITS WHEN RETURNING TO WORK; INCREASING THE
TIME ALLOWED FOR RETURNING TO WORK.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. Section 22-11-25.1 NMSA 1978 (being
Laws 2001, Chapter 283, Section 2, as amended) is amended
to read:
"22-11-25.1. RETURN TO EMPLOYMENT--BENEFITS--
CONTRIBUTIONS.--
A. Except as otherwise provided in Subsections B,
F, H and I of this section, until January 1, 2024, a retired
member who begins employment with a local administrative unit
at a level greater than one-quarter full-time employee,
regardless of salary level, is required to suspend the
member's retirement benefits until the end of that employment
unless the member has not rendered service to a local
administrative unit for at least twelve consecutive months
after the date of retirement.
B. Until January 1, 2024, a retired member who
retired on or before January 1, 2001, has not suspended or
been required to suspend retirement benefits pursuant to the
Educational Retirement Act and returns to employment with a SB 133
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local administrative unit is not required to suspend the
member's retirement benefits.
C. A retired member who returns to employment with
a local administrative unit in accordance with this section
is entitled to receive retirement benefits during that
employment but is not entitled to acquire or purchase service
credit for that employment.
D. A retired member may return to employment with
a local administrative unit only if the member submits an
application to return to work, on a form prescribed by the
board, the board approves the application and the applicant
complies with other application rules promulgated by the
board.
E. A retired member who returns to employment
pursuant to Subsection A, B, F or I of this section shall
make nonrefundable contributions to the fund as would be
required by Section 22-11-21 NMSA 1978 if the retired member
were a non-retired employee. The local administrative unit
employing the retired member shall likewise make
contributions as would be required by that section.
F. Until January 1, 2024, a retired member who
retired on or before January 1, 2001, who suspended or was
required to suspend retirement benefits under the Educational
Retirement Act is not required to suspend the member's
retirement benefits if the retired member has not rendered SB 133
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service to a local administrative unit for an additional
twelve or more consecutive months, not including any part of
a summer or other scheduled break or vacation period, after
the initial date of retirement.
G. A retired member who returns to employment with
a local administrative unit shall make contributions to the
retiree health care fund during the period of that employment
and in the amount specified in Section 10-7C-15 NMSA 1978.
The local administrative unit employing the retired member
shall likewise make contributions during the period of that
employment and in the amount specified in that section.
H. A retired member may return to employment with
a local administrative unit without a suspension of the
member's retirement benefits; provided that:
(1) the retired member has not rendered
service to a local administrative unit for at least ninety
days after the date of retirement;
(2) prior to the date of retirement, or
within ninety days after the date of retirement, the retired
member did not enter into any formal or informal agreement
with a local administrative unit or with any contractor
providing services to a local administrative unit to return
to employment; and
(3) the retired member earns a salary of
less than twenty-five thousand dollars ($25,000) per year. SB 133
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I. A retired member may return to employment with
a local administrative unit without a suspension of the
member's retirement benefits; provided that:
(1) the retired member has not rendered
service to a local administrative unit for at least ninety
days after the date of retirement; and
(2) the retired member returns to employment
for a period of no more than sixty consecutive or
nonconsecutive months pursuant to this subsection.
J. As used in this section:
(1) "rendered service" includes employment,
whether full or part time; substitute teaching; voluntarily
performing duties that would otherwise be, or in the past
have been, performed by a paid employee or independent
contractor; and performing duties as an independent
contractor or an employee of an independent contractor; and
(2) "local administrative unit" includes any
entity incorporated, formed or otherwise organized by, or
subject to the control of, a local administrative unit,
regardless of whether the entity is created for profit or
nonprofit purposes."