Wisconsin 2023-2024 Regular Session

Wisconsin Assembly Bill AB671 Compare Versions

Only one version of the bill is available at this time.

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3	3	2023 - 2024 LEGISLATURE
4	4	2023 ASSEMBLY BILL 671
5	5	November 27, 2023 - Introduced by Representatives RETTINGER, DONOVAN, C.
6	6	ANDERSON, BARE, BEHNKE, CALLAHAN, DITTRICH, GOEBEN, GREEN, JACOBSON,
7	7	KURTZ, MELOTIK, MICHALSKI, MOSES, MURSAU, NEDWESKI, O'CONNOR, OHNSTAD,
8	8	ROZAR, SPIROS, SUBECK, TITTL, WICHGERS, MAGNAFICI and OLDENBURG,
9	9	cosponsored by Senators TOMCZYK, BALLWEG, BRADLEY, CABRAL-GUEVARA,
10	10	FEYEN, HUTTON, KNODL, MARKLEIN, QUINN, ROYS, SPREITZER, WANGGAARD and
11	11	HESSELBEIN. Referred to Committee on State Affairs.
12	12	*AUTHORS SUBJECT TO CHANGE*
13	13	AN ACT to amend 40.22 (1), 40.22 (2m) (intro.), 40.22 (2r) (intro.) and 40.22 (3)
14	14	(intro.); and to create 40.26 (7) of the statutes; relating to: protective
15	15	occupation annuitants in the Wisconsin Retirement System who are rehired by
16	16	a participating employer.
17	17	Analysis by the Legislative Reference Bureau
18	18	Under current law, certain persons who receive a retirement or disability
19	19	annuity from the Wisconsin Retirement System and who are hired by an employer
20	20	that participates in the WRS must suspend that annuity and may not receive a WRS
21	21	annuity payment until the employee is no longer in a WRS-covered position. This
22	22	suspension applies to a person who 1) has reached his or her normal retirement date;
23	23	2) is appointed to a position with a WRS-participating employer or provides
24	24	employee services to a WRS-participating employer; and 3) is expected to work at
25	25	least two-thirds of what is considered full-time employment by the Department of
26	26	Employee Trust Funds.
27	27	This bill creates an exception to this suspension for an annuitant who retired
28	28	from employment with a participating employer and who is subsequently rehired or
29	29	provides employee services after retirement if 1) the annuitant retired as a protective
30	30	occupation participant; 2) at the time the annuitant initially retires from covered
31	31	employment with a participating employer, the annuitant does not have an
32	32	agreement with any participating employer to return to employment; and 3) the
33	33	annuitant elects to not become a participating employee at the time the annuitant
34	34	is rehired or enters into a contract after retirement. In other words, the bill allows
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38	38	4 - 2 -2023 - 2024 Legislature LRB-4462/1
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40	40	ASSEMBLY BILL 671
41	41	an annuitant who retired as a protective occupation participant to return to work
42	42	with an employer who participates in the WRS and elect to not become a
43	43	participating employee for purposes of the WRS, and instead continue to receive his
44	44	or her annuity.
45	45	For further information see the local fiscal estimate, which will be printed as
46	46	an appendix to this bill.
47	47	The people of the state of Wisconsin, represented in senate and assembly, do
48	48	enact as follows:
49	49	SECTION 1. 40.22 (1) of the statutes is amended to read:
50	50	40.22 (1) Except as otherwise provided in sub. (2) and s. 40.26 (6) and (7), each
51	51	employee currently in the service of, and receiving earnings from, a state agency or
52	52	other participating employer shall be included within the provisions of the Wisconsin
53	53	retirement system as a participating employee of that state agency or participating
54	54	employer.
55	55	SECTION 2. 40.22 (2m) (intro.) of the statutes is amended to read:
56	56	40.22 (2m) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an
57	57	employee who was a participating employee before July 1, 2011, who is not expected
58	58	to work at least one-third of what is considered full-time employment by the
59	59	department, as determined by rule, and who is not otherwise excluded under sub. (2)
60	60	from becoming a participating employee shall become a participating employee if he
61	61	or she is subsequently employed by the state agency or other participating employer
62	62	for either of the following periods:
63	63	SECTION 3. 40.22 (2r) (intro.) of the statutes is amended to read:
64	64	40.22 (2r) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an
65	65	employee who was not a participating employee before July 1, 2011, who is not
66	66	expected to work at least two-thirds of what is considered full-time employment by
67	67	the department, as determined by rule, and who is not otherwise excluded under sub.
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89	89	SECTION 3
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91	91	(2) from becoming a participating employee shall become a participating employee
92	92	if he or she is subsequently employed by the state agency or other participating
93	93	employer for either of the following periods:
94	94	SECTION 4. 40.22 (3) (intro.) of the statutes is amended to read:
95	95	40.22 (3) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), a person
96	96	who qualifies as a participating employee shall be included within, and shall be
97	97	subject to, the Wisconsin retirement system effective on one of the following dates:
98	98	SECTION 5. 40.26 (7) of the statutes is created to read:
99	99	40.26 (7) (a) Subsections (1) to (5) do not apply to a participant who applies for
100	100	an annuity or lump sum payment during the period in which at least 75 days have
101	101	elapsed between the participant's termination of employment and becoming an
102	102	employee or contractor providing employee services with a participating employer
103	103	if all of the following conditions are met:
104	104	1. The individual is a protective occupation participant retired from a
105	105	protective occupation under the WRS.
106	106	2. At the time the participant terminates his or her employment with a
107	107	participating employer, the participant does not have an agreement with any
108	108	participating employer to return to employment or enter into a contract to provide
109	109	employee services for the employer.
110	110	3. The participant elects on a form provided by the department to not become
111	111	a participating employee.
112	112	SECTION 6.0Initial applicability.
113	113	(1) This act first applies to a participant under the Wisconsin Retirement
114	114	System who terminates employment on the effective date of this subsection.
115	115	(END)
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