Wisconsin 2023-2024 Regular Session

Wisconsin Senate Bill SB1051 Compare Versions

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

Old	New	Differences
1	1	LRB-5904/1
2	2	MIM:skw/cdc/emw
3	3	2023 - 2024 LEGISLATURE
4	4	2023 SENATE BILL 1051
5	5	February 21, 2024 - Introduced by LAW REVISION COMMITTEE. Referred to
6	6	Committee on Senate Organization.
7	7	*AUTHORS SUBJECT TO CHANGE*
8	8	AN ACT to amend 40.05 (1) (b) 1a., 40.23 (1) (bm) and 40.63 (7) of the statutes;
9	9	relating to: contributions by protective occupation participants and
10	10	separation from service for retirement benefits under the W isconsin
11	11	Retirement System (suggested as remedial legislation by the Department of
12	12	Employee Trust Funds).
13	13	Analysis by the Legislative Reference Bureau
14	14	This bill corrects a reference to a date for the purposes of contributions to the
15	15	Wisconsin Retirement System by county jailers who are first certified as protective
16	16	occupation participants for purposes of the WRS on or after January 1, 2024, in a
17	17	county that did not classify county jailers as protective occupation participants
18	18	before that date.
19	19	Under current law, if an application for long-term disability benefits or an
20	20	application for a disability annuity by a participant who is at least minimum
21	21	retirement age under the WRS is denied, and the applicant applies for a regular
22	22	annuity, the effective date of the annuity is set as the date on which the disability
23	23	benefits or disability annuity would have been effective. Federal law prohibits a
24	24	participant in a qualified retirement plan, such as the WRS, from having a benefit
25	25	effective date that is before the participant has a bona fide separation from service.
26	26	The bill sets the effective date for a regular retirement annuity for participants
27	27	whose application for long-term disability benefits or a disability annuity is denied
28	28	as the later of the date that would have been the effective date of that annuity or those
29	29	benefits or the day after the participant's separation from service.
30	30	1
31	31	2
32	32	3
33	33	4
34	34	5 - 2 -2023 - 2024 Legislature LRB-5904/1
35	35	MIM:skw/cdc/emw
36	36	SENATE BILL 1051
37	37	For further information, see the NOTES provided by the Law Revision
38	38	Committee of the Joint Legislative Council.
39	39	The people of the state of Wisconsin, represented in senate and assembly, do
40	40	enact as follows:
41	41	LAW REVISION COMMITTEE PREFATORY NOTE: This bill is a remedial legislation
42	42	proposal, requested by the Department of Employee Trust Funds and introduced by the
43	43	Law Revision Committee under s. 13.83 (1) (c) 4. and 5., stats. After careful consideration
44	44	of the various provisions of the bill, the Law Revision Committee has determined that this
45	45	bill makes minor substantive changes in the statutes, and that these changes are
46	46	desirable as a matter of public policy.
47	47	SECTION 1. 40.05 (1) (b) 1a. of the statutes, as created by 2023 Wisconsin Act
48	48	4, is amended to read:
49	49	40.05 (1) (b) 1a. Contributions under par. (a) 7. that are made by county jailers
50	50	who are first certified as protective occupation participants on or after January 1,
51	51	2024, and who are employed in a county that did not classify county jailers as
52	52	protective occupation participants on July 1, 2022 January 1, 2024, shall be treated
53	53	as employee contributions.
54	54	NOTE: This SECTION changes a date for purposes of contributions to the Wisconsin
55	55	Retirement System made by county jailers who were not classified as protective
56	56	occupation participants before that date.
57	57	SECTION 2. 40.23 (1) (bm) of the statutes is amended to read:
58	58	40.23 (1) (bm) If an application by a participant age 55 or over, or by a protective
59	59	occupation participant age 50 or over, for long-term disability insurance benefits is
60	60	disapproved under rules promulgated by the department, the date which would have
61	61	been the effective date for the insurance benefits, or the day after the date of
62	62	separation from the last participating employer, whichever is later, shall be the
63	63	retirement annuity effective date if requested by the applicant within 60 days of the
64	64	disapproval or, if the disapproval is appealed, within 60 days of the final disposition
65	65	of the appeal.
66	66	NOTE: This SECTION establishes that if certain participants in the Wisconsin
67	67	Retirement System apply for long-term disability insurance benefits and the application
68	68	1
69	69	2
70	70	3
71	71	4
72	72	5
73	73	6
74	74	7
75	75	8
76	76	9
77	77	10
78	78	11
79	79	12
80	80	13
81	81	14
82	82	15
83	83	16 - 3 -2023 - 2024 Legislature
84	84	LRB-5904/1
85	85	MIM:skw/cdc/emw
86	86	SECTION 2
87	87	SENATE BILL 1051
88	88	is not approved under rules promulgated by the Department of Employee Trust Funds,
89	89	the effective date for a regular retirement annuity will be the later of the date that would
90	90	have been the effective date of the insurance benefits had the application been approved,
91	91	or the day after the date of separation from the last participating employer.
92	92	SECTION 3. 40.63 (7) of the statutes is amended to read:
93	93	40.63 (7) If an application, by a participant age 55 or over, or by a protective
94	94	occupation participant age 50 or over, for any disability annuity is disapproved, the
95	95	date which would have been the disability annuity effective date, or the day after the
96	96	date of separation from the last participating employer, whichever is later, shall be
97	97	the retirement annuity effective date if so requested by the applicant within 60 days
98	98	of the disapproval or, if the disapproval is appealed, within 60 days of final
99	99	disposition of the appeal.
100	100	NOTE: This SECTION establishes that if certain participants in the Wisconsin
101	101	Retirement System apply for disability insurance benefits and the application is not
102	102	approved, the effective date for a regular retirement annuity will be the later of the date
103	103	that would have been the effective date of the insurance benefits had the application been
104	104	approved, or the day after the date of separation from the last participating employer.
105	105	SECTION 4.0Effective dates. This act takes effect on the day after publication,
106	106	except as follows:
107	107	(1) The treatment of s. 40.05 (1) (b) 1a. takes effect retroactively to January 1,
108	108	2024.
109	109	(END)
110	110	1
111	111	2
112	112	3
113	113	4
114	114	5
115	115	6
116	116	7
117	117	8
118	118	9
119	119	10
120	120	11
121	121	12
122	122	13