Utah 2025 Regular Session

Utah Senate Bill SB0025 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~Enrolled Copy~~ S.B. 25
	1	+	12-18 17:10 S.B. 25
2	2		1
3	3		Postretirement Reemployment for Emergency Services Workers
4	4		2025 GENERAL SESSION
5	5		STATE OF UTAH
6	6		Chief Sponsor: Wayne A. Harper
7	7		House Sponsor: Cheryl K. Acton
8	8		2
9	9
10	10		3
11	11		LONG TITLE
12	12		4
	13	+	Committee Note:
	14	+	5
	15	+	The Retirement and Independent Entities Interim Committee recommended this bill.
	16	+	6 Legislative Vote:9 voting for 0 voting against6 absent
	17	+	7
13	18		General Description:
14		-	5
	19	+	8
15	20		This bill modifies provisions of the Utah State Retirement and Insurance Benefits Act
16		-	6
	21	+	9
17	22		relating to postretirement reemployment.
18		-	7
	23	+	10
19	24		Highlighted Provisions:
20		-	8
	25	+	11
21	26		This bill:
22		-	9
	27	+	12
23	28		▸ modifies the earnings limit for postretirement reemployment as an affiliated emergency
24		-	10
	29	+	13
25	30		services worker; and
26		-	11
	31	+	14
27	32		▸ makes technical and conforming changes.
28		-	12
	33	+	15
29	34		Money Appropriated in this Bill:
30		-	13
	35	+	16
31	36		None
32		-	14
	37	+	17
33	38		Other Special Clauses:
34		-	15
	39	+	18
35	40		This bill provides a special effective date.
36		-	16
	41	+	19
37	42		Utah Code Sections Affected:
38		-	17
	43	+	20
39	44		AMENDS:
40		-	18
	45	+	21
41	46		49-11-1205, as last amended by Laws of Utah 2024, Chapter 405
42		-	19
	47	+	22
43	48
44		-	20
	49	+	23
45	50		Be it enacted by the Legislature of the state of Utah:
46		-	21
	51	+	24
47	52		Section 1. Section 49-11-1205 is amended to read:
48		-	22
	53	+	25
49	54		49-11-1205 . Postretirement reemployment restriction exceptions.
50		-	23
51		-	(1)(a) The office may not cancel the retirement allowance of a retiree who is reemployed
52		-	24
53		-	with a participating employer within one year of the retiree's retirement date if:
54		-	25
	55	+	26
	56	+	(1)(a) The office may not cancel the retirement allowance of a retiree who is
	57	+	27
	58	+	reemployed with a participating employer within one year of the retiree's retirement
	59	+	28
	60	+	date if:
	61	+	29
55	62		(i) the retiree is not reemployed by a participating employer for a period of at least 60
56		-	26
57		-	days from the retiree's retirement date;
58		-	27
	63	+	30
	64	+	days from the retiree's retirement date; S.B. 25 12-18 17:10
	65	+	31
59	66		(ii) the retiree has a bona fide termination of employment on the retiree's retirement
60		-	28
61		-	date; ~~S.B. 25 Enrolled Copy~~
62		-	29
	67	+	32
	68	+	date;
	69	+	33
63	70		(iii) upon reemployment after the break in service under Subsection (1)(a)(i), the
64		-	30
	71	+	34
65	72		retiree does not receive any employer paid benefits, including:
66		-	31
	73	+	35
67	74		(A) retirement service credit or retirement-related contributions;
68		-	32
	75	+	36
69	76		(B) medical benefits;
70		-	33
	77	+	37
71	78		(C) dental benefits;
72		-	34
	79	+	38
73	80		(D) other insurance benefits except for workers' compensation as provided under
74		-	35
	81	+	39
75	82		Title 34A, Chapter 2, Workers' Compensation Act, Title 34A, Chapter 3, Utah
76		-	36
	83	+	40
77	84		Occupational Disease Act, and withholdings required by federal or state law
78		-	37
	85	+	41
79	86		for social security, Medicare, and unemployment insurance; or
80		-	38
	87	+	42
81	88		(E) paid time off, including sick, annual, or other type of leave; and
82		-	39
	89	+	43
83	90		(iv)(A) the retiree does not earn in any calendar year of reemployment an amount
84		-	40
	91	+	44
85	92		in excess of the lesser of $15,000 or one-half of the retiree's final average
86		-	41
	93	+	45
87	94		salary upon which the retiree's retirement allowance is based; or
88		-	42
	95	+	46
89	96		(B) the retiree is reemployed as a judge as defined under Section 78A-11-102.
90		-	43
	97	+	47
91	98		(b) The board shall adjust the amounts under Subsection (1)(a)(iv) by the annual change
92		-	44
	99	+	48
93	100		in the Consumer Price Index during the previous calendar year as measured by a
94		-	45
	101	+	49
95	102		United States Bureau of Labor Statistics Consumer Price Index average as
96		-	46
	103	+	50
97	104		determined by the board.
98		-	47
	105	+	51
99	106		(2) A retiree shall be considered as having completed the one-year separation from
100		-	48
	107	+	52
101	108		employment with a participating employer described in Section 49-11-1204, if the
102		-	49
	109	+	53
103	110		retiree:
104		-	50
	111	+	54
105	112		(a) before retiring:
106		-	51
	113	+	55
107	114		(i) was employed with a participating employer as a public safety service employee
108		-	52
	115	+	56
109	116		as defined in Section 49-14-102, 49-15-102, or 49-23-102;
110		-	53
	117	+	57
111	118		(ii) during the employment under Subsection (2)(a)(i), suffered a physical injury
112		-	54
	119	+	58
113	120		resulting from external force or violence while performing the duties of the
114		-	55
	121	+	59
115	122		employment, for which injury the retiree would have been approved for total
116		-	56
	123	+	60
117	124		disability in accordance with the provisions under Chapter 21, Public Employees'
118		-	57
	125	+	61
119	126		Long-Term Disability Act, if years of service are not considered;
120		-	58
	127	+	62
121	128		(iii) had less than 30 years of service credit but had sufficient service credit to retire,
122		-	59
	129	+	63
123	130		with an unreduced allowance making the public safety service employee ineligible
124		-	60
	131	+	64
125	132		for long-term disability payments under Chapter 21, Public Employees'
126		-	61
	133	+	- 2 - 12-18 17:10 S.B. 25
	134	+	65
127	135		Long-Term Disability Act, or a substantially similar long-term disability program;
128		-	62
	136	+	66
129	137		(iv) does not receive any long-term disability benefits from any participating
130		-	- 2 - Enrolled Copy S.B. 25
131		-	63
	138	+	67
132	139		employer; and
133		-	64
	140	+	68
134	141		(v) is at least 50 years old; and
135		-	65
	142	+	69
136	143		(b) is reemployed by a different participating employer.
137		-	66
	144	+	70
138	145		(3)(a) The office may not cancel the retirement allowance of a retiree who is employed
139		-	67
	146	+	71
140	147		as an affiliated emergency services worker within one year of the retiree's retirement
141		-	68
	148	+	72
142	149		date if the affiliated emergency services worker does not receive any compensation,
143		-	69
	150	+	73
144	151		except for:
145		-	70
146		-	[(i) a nominal fee, stipend, discount, tax credit, voucher, or other fixed sum of ~~money~~
147		-	71
148		-	or cash equivalent payment not tied to productivity and paid periodically ~~for~~
149		-	72
150		-	services;]
151		-	73
	152	+	74
	153	+	[(i) a nominal fee, stipend, discount, tax credit, voucher, or other fixed sum of
	154	+	75
	155	+	money or cash equivalent payment not tied to productivity and paid periodically
	156	+	76
	157	+	for services;]
	158	+	77
152	159		[(ii) a length-of-service award;]
153		-	74
	160	+	78
154	161		(i) compensation, including any payment, discount, tax credit, voucher, or cash
155		-	75
	162	+	79
156	163		equivalent, the total of which, excluding any amount described in Subsection
157		-	76
	164	+	80
158	165		(3)(a)(ii) or (iii), does not exceed in any calendar year the amount described in
159		-	77
	166	+	81
160	167		Subsection (1)(a)(iv)(A), as adjusted in accordance with Subsection (1)(b);
161		-	78
	168	+	82
162	169		[(iii)] (ii) insurance policy premiums paid by the participating employer in the event
163		-	79
	170	+	83
164	171		of death of an affiliated emergency services worker or a line-of-duty accidental
165		-	80
	172	+	84
166	173		death or disability; or
167		-	81
	174	+	85
168	175		[(iv)] (iii) reimbursement of expenses incurred in the performance of duties.
169		-	82
	176	+	86
170	177		[(b) For purposes of Subsections (3)(a)(i) and (ii), the total amount of any discounts, tax
171		-	83
	178	+	87
172	179		credits, vouchers, and payments to an affiliated emergency services worker may not
173		-	84
	180	+	88
174	181		exceed $500 per month.]
175		-	85
	182	+	89
176	183		[(c) The board shall adjust the amount under Subsection (3)(b) by the annual change in
177		-	86
	184	+	90
178	185		the Consumer Price Index during the previous calendar year as measured by a United
179		-	87
	186	+	91
180	187		States Bureau of Labor Statistics Consumer Price Index average as determined by the
181		-	88
	188	+	92
182	189		board.]
183		-	89
	190	+	93
184	191		[(d)] (b) A retiree is eligible for an exemption from the requirement to cease service
185		-	90
	192	+	94
186	193		without cancellation of a retirement allowance under this Subsection (3) only if the
187		-	91
	194	+	95
188	195		retiree, at the time of retirement, is at least:
189		-	92
	196	+	96
190	197		(i) 50 years old, if the retiree is retiring from a public safety system or a firefighter
191		-	93
	198	+	97
192	199		system; or
193		-	94
	200	+	98
194	201		(ii) 55 years old.
195		-	95
	202	+	- 3 - S.B. 25 12-18 17:10
	203	+	99
196	204		(4)(a) The office may not cancel the retirement allowance of a retiree who is employed
197		-	96
	205	+	100
198	206		as a part-time appointed or elected board member within one year after the retiree's
199		-	- 3 - S.B. 25 Enrolled Copy
200		-	97
	207	+	101
201	208		retirement date if the part-time appointed or elected board member does not receive
202		-	98
	209	+	102
203	210		any compensation exceeding the amount described in this Subsection (4).
204		-	99
	211	+	103
205	212		(b) A retiree who is a part-time appointed or elected board member for one or more
206		-	~~100~~
	213	+	104
207	214		boards, commissions, councils, committees, panels, or other bodies of participating
208		-	~~101~~
	215	+	105
209	216		employers:
210		-	~~102~~
	217	+	106
211	218		(i) may receive an aggregate amount of compensation, remuneration, a stipend, or
212		-	~~103~~
	219	+	107
213	220		other benefit for service on a single or multiple boards, commissions, councils,
214		-	~~104~~
	221	+	108
215	222		committees, panels, or other bodies of no more than $5,000 per year; and
216		-	~~105~~
	223	+	109
217	224		(ii) may not receive an employer paid retirement service credit or retirement-related
218		-	~~106~~
	225	+	110
219	226		contribution.
220		-	~~107~~
	227	+	111
221	228		(c) For purposes of Subsection (4)(b)(i):
222		-	~~108~~
	229	+	112
223	230		(i) a part-time appointed or elected board member's compensation includes:
224		-	~~109~~
	231	+	113
225	232		(A) an amount paid for the part-time appointed or elected board member's
226		-	~~110~~
	233	+	114
227	234		coverage in a group insurance plan provided by the participating employer; and
228		-	~~111~~
	235	+	115
229	236		(B) the part-time appointed or elected board member's receipt of any other benefit
230		-	~~112~~
	237	+	116
231	238		provided by the participating employer; and
232		-	~~113~~
	239	+	117
233	240		(ii) the part-time appointed or elected board member's compensation does not include:
234		-	~~114~~
	241	+	118
235	242		(A) an amount the participating employer pays for employer-matching
236		-	~~115~~
	243	+	119
237	244		employment taxes, if the participating employer treats the part-time appointed
238		-	~~116~~
	245	+	120
239	246		or elected board member as an employee for federal tax purposes; or
240		-	~~117~~
	247	+	121
241	248		(B) an amount that the part-time appointed or elected board member receives for
242		-	~~118~~
	249	+	122
243	250		per diem and travel expenses for up to 12 approved meetings or activities of
244		-	~~119~~
	251	+	123
245	252		the government board per year, if the per diem and travel expenses do not
246		-	~~120~~
	253	+	124
247	254		exceed the amounts established by the Division of Finance under Sections
248		-	~~121~~
	255	+	125
249	256		63A-3-106 and 63A-3-107 or by rules made by the Division of Finance
250		-	~~122~~
	257	+	126
251	258		according to Sections 63A-3-106 and 63A-3-107.
252		-	~~123~~
	259	+	127
253	260		(d) The board shall adjust the amount under Subsection (4)(b)(i) by the annual change in
254		-	~~124~~
	261	+	128
255	262		the Consumer Price Index during the previous calendar year as measured by a United
256		-	~~125~~
	263	+	129
257	264		States Bureau of Labor Statistics Consumer Price Index average, as determined by
258		-	~~126~~
	265	+	130
259	266		the board.
260		-	127
261		-	(5)(a) The office may not cancel the retirement allowance of a retiree who is reemployed
262		-	128
263		-	with a participating employer within one year of the retiree's retirement date if:
264		-	129
	267	+	131
	268	+	(5)(a) The office may not cancel the retirement allowance of a retiree who is
	269	+	132
	270	+	reemployed with a participating employer within one year of the retiree's retirement
	271	+	- 4 - 12-18 17:10 S.B. 25
	272	+	133
	273	+	date if:
	274	+	134
265	275		(i) the retiree has a bona fide termination of employment on the retiree's retirement
266		-	~~130~~
	276	+	135
267	277		date;
268		-	- 4 - Enrolled Copy S.B. 25
269		-	131
	278	+	136
270	279		(ii) the retiree is not employed, including by a fee-for-service relationship, with any
271		-	~~132~~
	280	+	137
272	281		participating employer for a period of:
273		-	~~133~~
	282	+	138
274	283		(A) at least 90 days if the retiree is a public employee retiree; or
275		-	~~134~~
	284	+	139
276	285		(B) at least 90 days if the retiree is a public safety or firefighter retiree;
277		-	~~135~~
	286	+	140
278	287		(iii) the retiree agrees to a modified retirement allowance as described in Subsections
279		-	~~136~~
	288	+	141
280	289		(5)(b), (c), and (d); and
281		-	~~137~~
	290	+	142
282	291		(iv) the participating employer that reemploys the retiree agrees to pay to the office
283		-	~~138~~
	292	+	143
284	293		the normal cost rate in addition to the amortization rate.
285		-	~~139~~
	294	+	144
286	295		(b) During a period of reemployment, the retiree:
287		-	~~140~~
	296	+	145
288	297		(i) receives a retirement allowance that is 20% less than the retirement allowance the
289		-	~~141~~
	298	+	146
290	299		retiree is entitled to receive in accordance with:
291		-	~~142~~
	300	+	147
292	301		(A) for a retiree who retired under Chapter 12, Public Employees' Contributory
293		-	~~143~~
	302	+	148
294	303		Retirement Act, Section 49-12-402;
295		-	~~144~~
	304	+	149
296	305		(B) for a retiree who retired under Chapter 13, Public Employees' Noncontributory
297		-	~~145~~
	306	+	150
298	307		Retirement Act, Section 49-13-402; or
299		-	~~146~~
	308	+	151
300	309		(C) for a retiree who retired under Chapter 22, Part 3, Tier II Hybrid Retirement
301		-	~~147~~
	310	+	152
302	311		System, Section 49-22-305; or
303		-	~~148~~
	312	+	153
304	313		(ii) a retirement allowance that is 15% less than the retirement allowance the retiree is
305		-	~~149~~
	314	+	154
306	315		entitled to receive in accordance with:
307		-	~~150~~
	316	+	155
308	317		(A) for a retiree who retired under Chapter 14, Public Safety Contributory
309		-	~~151~~
	318	+	156
310	319		Retirement Act, Section 49-14-402;
311		-	~~152~~
	320	+	157
312	321		(B) for a retiree who retired under Chapter 15, Public Safety Noncontributory
313		-	~~153~~
	322	+	158
314	323		Retirement Act, Section 49-15-402;
315		-	~~154~~
	324	+	159
316	325		(C) for a retiree who retired under Chapter 16, Firefighters' Retirement Act,
317		-	~~155~~
	326	+	160
318	327		Section 49-16-402; or
319		-	~~156~~
	328	+	161
320	329		(D) for a retiree who retired under Chapter 23, Part 3, Tier II Hybrid Retirement
321		-	~~157~~
	330	+	162
322	331		System, Section 49-23-304.
323		-	~~158~~
	332	+	163
324	333		(c) During the period of reemployment, the retiree does not receive the annual
325		-	~~159~~
	334	+	164
326	335		cost-of-living adjustment described in:
327		-	~~160~~
	336	+	165
328	337		(i) for a retiree who retired under Chapter 12, Public Employees' Contributory
329		-	~~161~~
	338	+	166
330	339		Retirement Act, Section 49-12-407;
331		-	162
	340	+	- 5 - S.B. 25 12-18 17:10
	341	+	167
332	342		(ii) for a retiree who retired under Chapter 13, Public Employees' Noncontributory
333		-	~~163~~
	343	+	168
334	344		Retirement Act, Section 49-13-407;
335		-	~~164~~
	345	+	169
336	346		(iii) for a retiree who retired under Chapter 14, Public Safety Contributory
337		-	- 5 - S.B. 25 Enrolled Copy
338		-	165
	347	+	170
339	348		Retirement Act, Section 49-14-403;
340		-	~~166~~
	349	+	171
341	350		(iv) for a retiree who retired under Chapter 15, Public Safety Noncontributory
342		-	~~167~~
	351	+	172
343	352		Retirement Act, Section 49-15-403;
344		-	~~168~~
	353	+	173
345	354		(v) for a retiree who retired under Chapter 16, Firefighters' Retirement Act, Section
346		-	~~169~~
	355	+	174
347	356		49-16-403;
348		-	~~170~~
	357	+	175
349	358		(vi) for a retiree who retired under Chapter 22, Part 3, Tier II Hybrid Retirement
350		-	~~171~~
	359	+	176
351	360		System, Section 49-22-308; or
352		-	~~172~~
	361	+	177
353	362		(vii) for a retiree who retired under Chapter 23, Part 3, Tier II Hybrid Retirement
354		-	~~173~~
	363	+	178
355	364		System, Section 49-23-307.
356		-	~~174~~
	365	+	179
357	366		(d)(i) The office shall begin paying the retiree's full retirement allowance on the first
358		-	~~175~~
	367	+	180
359	368		day of the month following the month in which the office receives written
360		-	~~176~~
	369	+	181
361	370		notification that the reemployed retiree has a subsequent retirement date based on
362		-	~~177~~
	371	+	182
363	372		a termination of the reemployment.
364		-	~~178~~
365		-	(ii)(A) For purposes of Subsection (5)(d)(i), the full retirement allowance ~~includes~~
366		-	~~179~~
367		-	the elimination of the allowance reduction described in Subsection ~~(5)(b)(i) or~~
368		-	~~180~~
369		-	(5)(b)(ii) and the annual cost-of-living adjustment that was ~~prohibited under~~
370		-	~~181~~
371		-	Subsection (5)(c) during the period of reemployment.
372		-	~~182~~
	373	+	183
	374	+	(ii)(A) For purposes of Subsection (5)(d)(i), the full retirement allowance
	375	+	184
	376	+	includes the elimination of the allowance reduction described in Subsection
	377	+	185
	378	+	(5)(b)(i) or (5)(b)(ii) and the annual cost-of-living adjustment that was
	379	+	186
	380	+	prohibited under Subsection (5)(c) during the period of reemployment.
	381	+	187
373	382		(B) A retiree may not receive the difference between the full retirement allowance
374		-	~~183~~
	383	+	188
375	384		and the reduced retirement allowance described in Subsection (5)(b)(i) or
376		-	~~184~~
	385	+	189
377	386		(5)(b)(ii) or the annual cost-of-living adjustment that the retiree would have
378		-	~~185~~
	387	+	190
379	388		received if the retiree had not been reemployed.
380		-	~~186~~
	389	+	191
381	390		(6)(a) If a retiree is reemployed under the provisions of Subsection (1) or (4), the
382		-	~~187~~
	391	+	192
383	392		termination date of the reemployment, as confirmed in writing by the participating
384		-	~~188~~
	393	+	193
385	394		employer, is considered the retiree's retirement date for the purpose of calculating the
386		-	~~189~~
	395	+	194
387	396		separation requirement described in Section 49-11-1204.
388		-	~~190~~
	397	+	195
389	398		(b) The office shall cancel the retirement allowance of a retiree for the remainder of the
390		-	~~191~~
	399	+	196
391	400		calendar year if the reemployment with a participating employer exceeds the
392		-	~~192~~
393		-	limitation under Subsection (1)(a)(iv), [(3)(b)] ~~(3)~~(a), or (4)(b).
394		-	~~193~~
	401	+	197
	402	+	limitation under Subsection (1)(a)(iv), (3)[(b)] (a), or (4)(b).
	403	+	198
395	404		(7) A retiree who is reemployed under the provisions of Subsection (5) may not
396		-	~~194~~
	405	+	199
397	406		subsequently be reemployed under Section 49-11-1204 unless the office cancels the
398		-	~~195~~
	407	+	200
399	408		retirement allowance during the subsequent reemployment.
400		-	196
	409	+	- 6 - 12-18 17:10 S.B. 25
	410	+	201
401	411		Section 2. Effective Date.
402		-	~~197~~
	412	+	202
403	413		This bill takes effect on July 1, 2025.
404		-	- 6 -
	414	+	- 7 -