California 2009-2010 Regular Session Status: Enacted

AB 654 — State teachers' retirement.

Last action — Chaptered by Secretary of State - Chapter 249, Statutes of 2009.

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  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Assembly
  4. ✓
    Passed Senate
  5. ✓
    To Executive
  6. 6
    Enacted

This bill has been enacted into law. Introduced February 25, 2009. Enacted.

Prognosis

Likely to advance 70% · moderate confidence

Where this bill stands today.

Odds of enactment

High

How often bills like it became law.

  • Enacted

    Current position in the legislative process.

  • 1 sponsor

    1 primary, 0 co-sponsors signed on.

  • Cleared a recorded vote

    Passed 7 recorded votes so far.

Prognosis reads this bill's own signals — stage, sponsorship breadth, committee status, recorded votes and cross-state momentum. Odds come from a model trained on which bills have become law.

Summary

(1) The State Teachers' Retirement Law prescribes the rights and benefits of members of the State Teachers' Retirement System. The law provides that retirement benefits under the Defined Benefit Program of the State Teachers' Retirement Plan are based on the member's final compensation and years of credited service. Generally, final compensation is the highest average annual compensation earnable by the member during a 3-year period. However, for a member with 25 or more years of credited service, final compensation is the highest average annual compensation earnable by the member during a one-year period. That law authorizes the Governor, a school district, community college district, or county office of education to grant members of the Defined Benefit Program of the State Teachers' Retirement Plan 2 additional years of service credit, if the member retires for service within a designated period and certain conditions are satisfied, including the transfer of a specified amount to the Teachers' Retirement Fund. This bill would require regular interest to be charged on the unpaid balance if the transfer to the retirement fund is made in installments. The bill would modify the definition of "regular interest" for purposes of the State Teachers' Retirement Law. (2) The law specifies the date by which member and employer contributions are due in the office of the State Teachers' Retirement System, and provides that payments thereafter shall be delinquent and subject to interest, as specified. If a county superintendent of schools, employing agency, school district, or community college district that reports directly to the system fails to pay the contributions, the Teachers' Retirement Board may assess penalties and charge regular interest on the delinquent contributions. This bill, instead, would require the board, in accordance with regulations, to assess penalties and charge regular interest for any delinquent contributions, as specified. The bill would provide that any penalties or interest may be appealed, as specified. (3) The law requires the county superintendent of schools or employing agency, and authorizes a school district or community college district, with approval of the Teachers' Retirement Board, to submit a report monthly to the State Teachers' Retirement System containing information as the board may require in the administration of the State Teachers' Retirement Plan. If those monthly reports are submitted late or in an unacceptable form, or include late or improper adjustments, the board is authorized to assess penalties pursuant to a specified formula, or a fee of $500, whichever is greater. This bill, instead, would require the board, in accordance with regulations, to assess those penalties, pursuant to a specified formula, or a fee of $500, whichever is greater. The bill would provide that any penalties may be appealed, as specified. (4) The law permits an employer to offer benefits under the Cash Balance Benefit Program to certain employees who are employed less than 50% of full time, and requires employers to transmit and report contributions paid on behalf of each participant in each pay period, along with all other information required by the system by specified due dates. The board is authorized to collect interest for delinquent contributions and to assess a penalty for a report submitted late or in an unacceptable form pursuant to a specified formula, or a fee of $500, whichever is greater. This bill, instead, would require the board to collect interest on delinquent contributions, as specified, and to assess a penalty, in accordance with regulations, against the employer for a report submitted late or in an unacceptable form pursuant to a specified formula, or a fee of $500, whichever is greater. The bill would provide that any penalty or interest may be appealed, as specified.

Bill Text

Action History

  1. Chaptered by Secretary of State - Chapter 249, Statutes of 2009.

  2. Approved by the Governor.

  3. Enrolled and to the Governor at 7 p.m.

  4. In Assembly. To enrollment.

  5. Read third time, passed, and to Assembly. (Ayes 32. Noes 0. Page 2114.)

  6. Read second time. To third reading.

  7. (received by desk August 28, 2009 pursuant to JR61(a)(11))

  8. From committee: Do pass. (Ayes 13. Noes 0.) (August 27).

  9. In committee: Placed on Appropriations suspense file.

  10. From committee: Do pass, and re-refer to Com. on APPR with recommendation: To Consent Calendar. Re-referred. (Ayes 7. Noes 0.) (June 22).

  11. Referred to Com. on P.E. & R.

  12. In Senate. Read first time. To Com. on RLS. for assignment.

  13. Read third time, passed, and to Senate. (Ayes 77. Noes 0. Page 1957.)

  14. Read second time. To third reading.

  15. Read second time and amended. Ordered returned to second reading.

  16. From committee: Amend, and do pass as amended. (Ayes 17. Noes 0.) (May 28).

  17. In committee: Set, first hearing. Referred to APPR. suspense file.

  18. Re-referred to Com. on APPR.

  19. Read second time and amended.

  20. From committee: Amend, and do pass as amended, and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 6. Noes 0.) (April 22).

  21. Re-referred to Com. on P.E.,R. & S.S.

  22. From committee chair, with author's amendments: Amend, and re-refer to Com. on P.E.,R. & S.S. Read second time and amended.

  23. Referred to Com. on P.E.,R. & S.S.

  24. From printer. May be heard in committee March 28.

  25. Read first time. To print.

Sponsors

  • Mendoza · Primary

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 121 not signed on

Sponsors (1)

  • Mendoza

Co-sponsors (0)

None.

Not signed on (121)

121 members have not signed on to this bill.

Show all 121 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

Assembly 3rd Reading AB654 Mendoza By Ashburn

Passed 33 Yea · 0 Nay · 8 Other
Party YeaNayPresentNot Voting
Unaffiliated 31007
Republican 1000
Democratic 1001
Total 33008
% of votes cast 80%0%0%20%
How each member voted (41)
Member Party Vote
Yee — Yea
Hancock — Yea
Cedillo — Yea
Corbett — Yea
Ducheny — Not Voting
Harman — Not Voting
Hollingsworth — Yea
Kehoe — Yea
Wyland — Yea
Lowenthal — Yea
Negrete — Yea
Runner — Yea
Leno — Yea
McLeod — Yea
Dutton — Yea
Oropeza — Not Voting
Pavley — Yea
Ashburn — Yea
Benoit — Not Voting
Price — Yea
Romero — Yea
Simitian — Not Voting
Steinberg — Yea
Wiggins — Yea
Wolk — Yea
Aanestad — Yea
Alquist — Yea
Huff — Yea
Liu — Yea
Maldonado — Yea
Walters — Yea
Wright — Yea
Cogdill — Yea
Correa — Yea
Cox — Not Voting
DeSaulnier — Yea
Denham — Yea
Florez — Not Voting
Calderon, Lisa Democratic Not Voting
Padilla, Stephen C. Democratic Yea
Strickland, Tony Republican Yea

Official roll call →

Do pass.

Passed 13 Yea · 0 Nay
Party YeaNayPresentNot Voting
Unaffiliated 13000
Total 13000
% of votes cast 100%0%0%0%
How each member voted (13)
Member Party Vote
Yee — Yea
Hancock — Yea
Wyland — Yea
Runner — Yea
Corbett — Yea
Leno — Yea
Oropeza — Yea
Price — Yea
Kehoe — Yea
Walters — Yea
Wolk — Yea
Cox — Yea
Denham — Yea

Official roll call →

Placed on Appropriations Suspense file.

Passed 11 Yea · 0 Nay · 2 Other
Party YeaNayPresentNot Voting
Unaffiliated 11002
Total 11002
% of votes cast 85%0%0%15%
How each member voted (13)
Member Party Vote
Hancock — Yea
Corbett — Yea
Yee — Yea
Runner — Yea
Leno — Yea
Oropeza — Not Voting
Price — Yea
Walters — Yea
Wolk — Yea
Kehoe — Yea
Wyland — Yea
Cox — Yea
Denham — Not Voting

Official roll call →

AB 654 MENDOZA Assembly Third Reading

Passed 88 Yea · 0 Nay · 4 Other
Party YeaNayPresentNot Voting
Unaffiliated 82004
Democratic 3000
Republican 3000
Total 88004
% of votes cast 96%0%0%4%
How each member voted (92)
Member Party Vote
Hagman — Yea
Carter — Yea
Chesbro — Yea
Conway — Yea
Tom — Yea
Evans — Yea
Feuer — Yea
Fuller — Yea
Furutani — Yea
Charles — Yea
Garrick — Yea
Gilmore — Yea
Hall — Yea
Harkey — Yea
Hayashi — Yea
Hill — Yea
De — Yea
La — Yea
Torre — Yea
De — Yea
Leon — Yea
Huber — Yea
Jeffries — Yea
Fletcher — Yea
Fong — Yea
Bonnie — Yea
Lowenthal — Yea
V. — Yea
Ammiano — Yea
Beall — Yea
Blakeslee — Yea
Cook — Yea
Duvall — Yea
Knight — Yea
Lieu — Yea
Logue — Yea
Mendoza — Yea
Miller — Yea
Monning — Yea
Nestande — Yea
Manuel — Yea
Perez — Yea
John — Yea
A. — Yea
Perez — Yea
Portantino — Yea
Salas — Yea
Audra — Yea
Bill — Not Voting
Saldana — Not Voting
Ruskin — Yea
Bass — Yea
Block — Not Voting
Skinner — Yea
Solorio — Yea
Swanson — Yea
Torres — Yea
Torrico — Yea
Tran — Yea
Villines — Yea
Adams — Yea
Anderson — Yea
Blumenfield — Yea
Brownley — Yea
Buchanan — Yea
Hernandez — Yea
Huffman — Yea
Krekorian — Yea
Ma — Yea
Nava — Yea
Nielsen — Yea
Price — Yea
Silva — Yea
Smyth — Yea
Torlakson — Yea
Emmerson — Yea
Coto — Yea
Eng — Yea
Davis — Yea
DeVore — Yea
Yamada — Yea
Fuentes — Yea
Galgiani — Yea
Beth Gaines — Yea
Bill Berryhill — Yea
Bill Berryhill — Not Voting
Arambula, Joaquin Democratic Yea
Caballero, Anna M. Democratic Yea
Calderon, Lisa Democratic Yea
Jones, Brian W. Republican Yea
Niello, Roger W. Republican Yea
Strickland, Tony Republican Yea

Official roll call →

Do pass as amended.

Passed 22 Yea · 0 Nay
Party YeaNayPresentNot Voting
Unaffiliated 20000
Democratic 1000
Republican 1000
Total 22000
% of votes cast 100%0%0%0%
How each member voted (22)
Member Party Vote
Charles — Yea
Hall — Yea
De — Yea
Leon — Yea
John — Yea
A. — Yea
Perez — Yea
Audra — Yea
Duvall — Yea
Harkey — Yea
Miller — Yea
Nielsen — Yea
Ammiano — Yea
Price — Yea
Skinner — Yea
Solorio — Yea
Torlakson — Yea
Krekorian — Yea
Davis — Yea
Fuentes — Yea
Calderon, Lisa Democratic Yea
Strickland, Tony Republican Yea

Official roll call →

Subjects

finance labor education
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Frequently asked questions

What does AB 654 do?
(1) The State Teachers' Retirement Law prescribes the rights and benefits of members of the State Teachers' Retirement System. The law provides that retirement benefits under the Defined Benefit Program of the State Teachers' Retirement Plan are based on the member's final compensation and years of credited service. Generally, final compensation is the highest average annual compensation earnable by the member during a 3-year period. However, for a member with 25 or more years of credited service, final compensation is the highest average annual compensation earnable by the member during a one-year period. That law authorizes the Governor, a school district, community college district, or county office of education to grant members of the Defined Benefit Program of the State Teachers' Retirement Plan 2 additional years of service credit, if the member retires for service within a designated period and certain conditions are satisfied, including the transfer of a specified amount to the Teachers' Retirement Fund. This bill would require regular interest to be charged on the unpaid balance if the transfer to the retirement fund is made in installments. The bill would modify the definition of "regular interest" for purposes of the State Teachers' Retirement Law. (2) The law specifies the date by which member and employer contributions are due in the office of the State Teachers' Retirement System, and provides that payments thereafter shall be delinquent and subject to interest, as specified. If a county superintendent of schools, employing agency, school district, or community college district that reports directly to the system fails to pay the contributions, the Teachers' Retirement Board may assess penalties and charge regular interest on the delinquent contributions. This bill, instead, would require the board, in accordance with regulations, to assess penalties and charge regular interest for any delinquent contributions, as specified. The bill would provide that any penalties or interest may be appealed, as specified. (3) The law requires the county superintendent of schools or employing agency, and authorizes a school district or community college district, with approval of the Teachers' Retirement Board, to submit a report monthly to the State Teachers' Retirement System containing information as the board may require in the administration of the State Teachers' Retirement Plan. If those monthly reports are submitted late or in an unacceptable form, or include late or improper adjustments, the board is authorized to assess penalties pursuant to a specified formula, or a fee of $500, whichever is greater. This bill, instead, would require the board, in accordance with regulations, to assess those penalties, pursuant to a specified formula, or a fee of $500, whichever is greater. The bill would provide that any penalties may be appealed, as specified. (4) The law permits an employer to offer benefits under the Cash Balance Benefit Program to certain employees who are employed less than 50% of full time, and requires employers to transmit and report contributions paid on behalf of each participant in each pay period, along with all other information required by the system by specified due dates. The board is authorized to collect interest for delinquent contributions and to assess a penalty for a report submitted late or in an unacceptable form pursuant to a specified formula, or a fee of $500, whichever is greater. This bill, instead, would require the board to collect interest on delinquent contributions, as specified, and to assess a penalty, in accordance with regulations, against the employer for a report submitted late or in an unacceptable form pursuant to a specified formula, or a fee of $500, whichever is greater. The bill would provide that any penalty or interest may be appealed, as specified.
Who sponsors AB 654?
AB 654 is sponsored by Mendoza.
What is the current status of AB 654?
This bill has been enacted into law. Introduced February 25, 2009. Enacted.
Where can I track AB 654?
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