Wisconsin 2025-2026 Regular Session

Wisconsin Assembly Bill AB138 Compare Versions

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

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1	1	2025 - 2026 LEGISLATURE
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4	4	2025 ASSEMBLY BILL 138
5	5	March 17, 2025 - Introduced by Representatives DONOVAN, GOEBEN, BEHNKE,
6	6	CALLAHAN, DITTRICH, GREEN, KNODL, MAXEY, MELOTIK, MOSES, MURSAU,
7	7	NOVAK, ANDERSON and SUBECK, cosponsored by Senators TOMCZYK, HUTTON,
8	8	BRADLEY, FEYEN, JAMES, STAFSHOLT, WANGGAARD, DASSLER-ALFHEIM, L.
9	9	JOHNSON, PFAFF and SPREITZER. Referred to Committee on State Affairs.
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11	11	*AUTHORS SUBJECT TO CHANGE*
12	12	AN ACT to amend 40.22 (1), 40.22 (2m) (intro.), 40.22 (2r) (intro.) and 40.22 (3)
13	13	(intro.); to create 40.26 (7) of the statutes; relating to: jailers and protective
14	14	occupation annuitants in the Wisconsin Retirement System who are rehired
15	15	by a participating employer.
16	16	Analysis by the Legislative Reference Bureau
17	17	Under current law, certain persons who receive a retirement or disability
18	18	annuity from the Wisconsin Retirement System and who are hired by an employer
19	19	that participates in the WRS must suspend that annuity and may not receive a
20	20	WRS annuity payment until the employee is no longer in a WRS-covered position.
21	21	This suspension applies to a person who 1) has reached his or her normal
22	22	retirement date; 2) is appointed to a position with a WRS-participating employer or
23	23	provides employee services to a WRS-participating employer; and 3) is expected to
24	24	work at least two-thirds of what is considered full-time employment by the
25	25	Department of Employee Trust Funds.
26	26	This bill creates an exception to this suspension for an annuitant who retired
27	27	from employment with a participating employer and who is subsequently rehired or
28	28	provides employee services after retirement if 1) at the time the annuitant initially
29	29	retires from covered employment with a participating employer, the annuitant does
30	30	not have an agreement with any participating employer to return to employment; 2)
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34	34	4 2025 - 2026 Legislature
35	35	ASSEMBLY BILL 138
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37	37	MIM:klm&emw
38	38	SECTION 1
39	39	the annuitant elects to not become a participating employee at the time the
40	40	annuitant is rehired or enters into a contract after retirement; and 3) either the
41	41	annuitant retired as a protective occupation participant or the annuitant retired as
42	42	a county jailer who was not a protective occupation participant under the WRS.
43	43	Under current law, a county jailer has the opportunity to opt out of becoming
44	44	a protective occupation participant under the WRS. The bill treats county jailers
45	45	who opt out of becoming a protective occupation participant in the same manner as
46	46	county jailers who are protective occupation participants.
47	47	Because this bill relates to public employee retirement or pensions, it may be
48	48	referred to the Joint Survey Committee on Retirement Systems for a report to be
49	49	printed as an appendix to the bill.
50	50	For further information see the local fiscal estimate, which will be printed as
51	51	an appendix to this bill.
52	52	The people of the state of Wisconsin, represented in senate and assembly, do
53	53	enact as follows:
54	54	SECTION 1. 40.22 (1) of the statutes is amended to read:
55	55	40.22 (1) Except as otherwise provided in sub. (2) and s. 40.26 (6) and (7), each
56	56	employee currently in the service of, and receiving earnings from, a state agency or
57	57	other participating employer shall be included within the provisions of the
58	58	Wisconsin retirement system as a participating employee of that state agency or
59	59	participating employer.
60	60	SECTION 2. 40.22 (2m) (intro.) of the statutes is amended to read:
61	61	40.22 (2m) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an
62	62	employee who was a participating employee before July 1, 2011, who is not expected
63	63	to work at least one-third of what is considered full-time employment by the
64	64	department, as determined by rule, and who is not otherwise excluded under sub.
65	65	(2) from becoming a participating employee shall become a participating employee if
66	66	he or she is subsequently employed by the state agency or other participating
67	67	employer for either of the following periods:
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85	85	SECTION 3
86	86	SECTION 3. 40.22 (2r) (intro.) of the statutes is amended to read:
87	87	40.22 (2r) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an
88	88	employee who was not a participating employee before July 1, 2011, who is not
89	89	expected to work at least two-thirds of what is considered full-time employment by
90	90	the department, as determined by rule, and who is not otherwise excluded under
91	91	sub. (2) from becoming a participating employee shall become a participating
92	92	employee if he or she is subsequently employed by the state agency or other
93	93	participating 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 if
103	103	all of the following conditions are met:
104	104	1. The individual is one of the following:
105	105	a. A participant retired from service as a county jailer who was not a
106	106	protective occupation participant.
107	107	b. A protective occupation participant retired from a protective occupation
108	108	under the WRS.
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135	135	SECTION 5
136	136	2. At the time the participant terminates his or her employment with a
137	137	participating employer, the participant does not have an agreement with any
138	138	participating employer to return to employment or enter into a contract to provide
139	139	employee services for the employer.
140	140	3. The participant elects on a form provided by the department to not become
141	141	a participating employee.
142	142	SECTION 6. Initial applicability.
143	143	(1) This act first applies to a participant under the Wisconsin Retirement
144	144	System who terminates employment on the effective date of this subsection.
145	145	(END)
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