SB 5659 — Addressing the eligibility of emergency medical technicians employed by public hospital districts for membership in the law enforcement officers' and firefighters' retirement system.

S-1755.1SUBSTITUTES-0466.1SENATE SENATE BILL 5659State of Washington65th Legislature2017 Regular SessionBy Senate Ways & Means (originally sponsored by Senators Bailey, Hawkins, Schoesler, and Warnick)READWarnickRead FIRSTfirst TIMEtime 02/24/17.AN02/01/17. ACT Relating to the eligibility of emergency medical technicians employed by public hospital districts for membership in the law enforcement officers' and firefighters' retirement system;

Referred to Committee on Ways & Means.AN ACT Relating to the eligibility of emergency medical technicians employed by public hospital districts for membership in the law enforcement officers' and firefighters' retirement system;

and creating a new sections.BEsection.BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:NEW SECTION.  Sec. 1.  (1)SECTION.  Sec. 1.  This Inact amendingis thecurative definitionand ofremedial firefighterand inis RCWintended 41.26.030to inclarify chapterthat 459,an Lawsemergency ofmedical 2005,technician toemployed includeby emergencya medicalpublic technicians,hospital thedistrict legislaturedoes intendednot toqualify limitfor membership toin personsa whoretirement providedsystem emergencyunder medicalchapter services41.26 asRCW definedunless insuch RCWemergency 18.73.030(10).(2)medical Thetechnician purposewas a member of thisthe actpublic isemployees' toretirement clarifysystem thatwhile onlyproviding emergency medical technicians who provide such services qualifyfor as firefighters under the 2005public act.hospital district.

This actstatute isapplies curativeretroactively.Sec. 2.  RCW and remedial and is retroactive to July 24, 2005.Sec. 2.  RCW 41.26.030 and 2012 c 236 s 2 are each amended to read as follows:As used in this chapter, unless a different meaning is plainly required by the context:(1) "Accumulated contributions" means the employee's contributions made by a member, including any amount paid under RCW 41.50.165(2), plus accrued interest credited thereon.(2) "Actuarial reserve" means a method of financing a pension or retirement plan wherein reserves are accumulated as the liabilities for benefit payments are incurred in order that sufficient funds will be available on the date of retirement of each member to pay the member's future benefits during the period of retirement.(3) "Actuarial valuation" means a mathematical determination of the financial condition of a retirement plan.

The definition contained in this subsection shall apply only to plan 1 members.(11) "Disability retirement" for plan 1 members, means the period following termination of a member's disability leave, during which the member is in receipt of a disability retirement allowance.(12) "Domestic partners" means two adults who have registered as domestic partners under RCW 26.60.020.(13) "Employee" means any law enforcement officer or firefighter as defined in subsections (16) and (18) of this section.(14)(a) "Employer" for plan 1 members, means the legislative authority of any city, town, county, or district or the elected officials of any municipal corporation that employs any law enforcement officer and/or firefighter, any authorized association of such municipalities, and, except for the purposes of RCW 41.26.150, any labor guild, association, or organization, which represents the firefighters or law enforcement officers of at least seven cities of over 20,000 population and the membership of each local lodge or division of which is composed of at least sixty percent law enforcement officers or firefighters as defined in this chapter.(b) "Employer" for plan 2 members, means the following entities to the extent that the entity employs any law enforcement officer and/or firefighter:(i) The legislative authority of any city, town, county, ((or)) district, or publicdistrict;(ii) corporation established under RCW 35.21.730 to provide emergency medical services as defined in RCW 18.73.030(10);(ii) The elected officials of any municipal corporation;(iii) The governing body of any other general authority law enforcement agency;

and(h) Any person who is employed on a full-time, fully compensated basis by an employer as an emergency medical techniciantechnician. whose duties include providing emergency medical services as defined in RCW 18.73.030(10).(17) "General authority law enforcement agency" means any agency, department, or division of a municipal corporation, political subdivision, or other unit of local government of this state, and any agency, department, or division of state government, having as its primary function the detection and apprehension of persons committing infractions or violating the traffic or criminal laws in general, but not including the Washington state patrol.

This subsection (16)(h) does not apply to any person employed by a public hospital district unless such a person was a member of the public employees' retirement system while providing emergency medical services for the public hospital district.(17) "General authority law enforcement agency" means any agency, department, or division of a municipal corporation, political subdivision, or other unit of local government of this state, and any agency, department, or division of state government, having as its primary function the detection and apprehension of persons committing infractions or violating the traffic or criminal laws in general, but not including the Washington state patrol.

"Surviving spouse" shall not include the divorced spouse of a member except as provided in RCW 41.26.162.NEW41.26.162.--- SECTION.  Sec. 3.  (1)END A--- member who provided emergency medical services on behalf of a public hospital district or public corporation established under RCW 35.21.730 to provide emergency medical services as defined in RCW 18.73.030(10) may establish credit for such service rendered on or after July 24, 2005.

Upon receipt of a written request the department of retirement systems must notify the member of the cost to establish credit for all or part of such service.(a) Except as provided in subsection (4) of this section, a member has one year from July 1, 2017, to elect to establish credit in plan 2 under this section.

Such election must be filed in writing with the department of retirement systems by June 30, 2018.

The elected period must be in contiguous monthly increments beginning with the most recent service.(i) To establish service under this section, the member must pay the employee contributions he or she would have paid if participating in the retirement system at the time of the service:(A) No later than five years from the effective date of the election made under this section;(B) Prior to retirement;

and(C) Except as provided in section 4 of this act.(ii) Upon full payment of employee contributions for the elected period of service the department of retirement systems must:(A) Credit the member with the service;

and(B) Bill the employer for the employer contributions it would have paid if participating in the retirement system at the time of such service.

The employer shall pay the required amount within five years of the member completing payment.(b)(i) A member of the public employees' retirement system who is eligible for membership in plan 2 under this act may:(A) Make an election in writing to the department of retirement systems by July 1, 2017, to remain a member of the public employees' retirement system;

or(B) Leave any service credit earned as a member of the public employees' retirement system in the public employees' retirement system, and have service rendered on or after July 1, 2017, as an emergency medical technician in the law enforcement officers' and firefighters' retirement system plan 2, becoming a dual member under the provisions of chapter 41.54 RCW.(ii) Except as provided in subsection (4) of this section, a member has one year from July 1, 2017, to elect to transfer service credit previously earned as an emergency medical technician for a public hospital district or public corporation established under RCW 35.21.730 to provide emergency medical services as defined in RCW 18.73.030(10) to the law enforcement officers' and firefighters' retirement system plan 2 as defined in RCW 41.26.030.

Such election must be filed in writing with the department of retirement systems by June 30, 2018.(A) A member who elects to transfer service credit under this subsection shall pay, for the applicable period of service, the difference between the contributions the employee paid to the public employees' retirement system plan and the contributions that would have been paid by the employee had the employee been a member of the law enforcement officers' and firefighters' retirement system plan 2, plus interest on this difference as determined by the director.(B) The payment under (a) of this subsection must be made no later than five years from the effective date of the election and must be made prior to retirement, except as provided under section 4 of this act.(2) Upon transfer or establishment of service credit, contributions, and interest under this section, the employee is permanently excluded from membership in the public employees' retirement system for all service transfers related to their time served as an emergency medical technician for a public hospital district or public corporation established under RCW 35.21.730 to provide emergency medical services as defined in RCW 18.73.030(10) under the public employees' retirement system.(3) A public hospital district or public corporation established under RCW 35.21.730 to provide emergency medical services as defined in RCW 18.73.030(10) shall provide the department of retirement systems with a list of former employees who were employed as emergency medical technicians on or after July 24, 2005, and who are eligible to establish credit for service under this section.

The list must include a former employee's name, last known address, and period of employment.

The department of retirement systems must notify former employees of the process and cost to establish credit for service under this section.(4)(a) To the extent permitted by applicable state and federal law, the payments required to establish or transfer service credit pursuant to this section shall be funded in whole or in part from money transferred by rollover or trust-to-trust transfer from the member's account in the retirement plan maintained by the employer.

To the extent permitted by applicable state and federal law, if money is transferred from the retirement plan maintained by the employer, the portion of the money transferred attributable to contributions made by the employee to the retirement plan maintained by the employer shall be credited to the employee's payment obligation under this section and the portion of the money transferred attributable to contributions made by the employer to the retirement plan maintained by the employer shall be credited to the employer's payment obligation under this section.(b) The department of retirement systems shall determine whether the requirements of (a) of this subsection are permissible under applicable state and federal law.

The determination by the department shall be final and not subject to appeal.(c) The one-year period for the member to elect to establish or transfer service credit pursuant to this section shall:(i) Be determined by the department of retirement systems;

and(ii) Not begin until after the department of retirement systems has notified members of the determination and the dates of the new one-year election period.NEW SECTION.  Sec. 4.  If a member who elected to transfer pursuant to section 3 of this act dies or retires for disability prior to five years from their election date, the member's benefit is calculated as follows:(1) All of the applicable service credit, accumulated contributions, and interest is transferred to or established in the law enforcement officers' and firefighters' retirement system plan 2 and used in the calculation of a benefit.(2) If a member's obligation under section 3 of this act has not been paid in full at the time of death or disability retirement, the member, or in the case of death the surviving spouse or eligible minor children, have the following options:(a) Pay the bill in full;(b) If a continuing monthly benefit is chosen, have the benefit actuarially reduced to reflect the amount of the unpaid obligation under section 3 of this act;

or(c) Continue to make payment against the obligation under section 3 of this act, provided that payment in full is made no later than five years from the member's original election date.NEW SECTION.  Sec. 5.  This act is curative and remedial and is effective retroactively to July 24, 2005.--- END ---