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8 LONG TITLE
9 General Description:
10 This bill modifies the postretirement reemployment restrictions for individuals who
11 work as licensed clinical therapists after retirement.
12 Highlighted Provisions:
13 This bill:
14 ▸ defines terms;
15 ▸ provides the circumstances under which a Utah Retirement Systems retiree may be
16 reemployed as a licensed clinical therapist within the one-year separation
17 requirement without cancellation of the retiree's retirement allowance; and
18 ▸ makes technical and conforming changes.
19 Money Appropriated in this Bill:
20 None
21 Other Special Clauses:
22 This bill provides a special effective date.
23 Utah Code Sections Affected:
24 AMENDS:
25 49-11-1202, as last amended by Laws of Utah 2020, Chapter 449
26 49-11-1205, as last amended by Laws of Utah 2021, Chapter 193
27 49-11-1206, as enacted by Laws of Utah 2016, Chapter 310 and last amended by
28 Coordination Clause, Laws of Utah 2016, Chapter 310
29
30 Be it enacted by the Legislature of the state of Utah:
31 Section 1. Section 49-11-1202 is amended to read:
32 49-11-1202. Definitions.
33 As used in this part:
34 (1) (a) "Affiliated emergency services worker" means a person who:
35 (i) is employed by a participating employer;
36 (ii) performs emergency services for another participating employer that is a different
37 agency;
38 (iii) is trained in techniques and skills required for the emergency service;
39 (iv) continues to receive regular training required for the service;
40 (v) is on the rolls as a trained affiliated emergency services worker of the participating
41 employer; and
42 (vi) provides ongoing service for a participating employer, which service may include
43 service as a volunteer firefighter, reserve law enforcement officer, search and rescue worker,
44 emergency medical technician, ambulance worker, park ranger, or public utilities worker.
45 (b) "Affiliated emergency services worker" does not include a person who performs
46 work or service but does not meet the requirements of Subsection (1)(a).
47 (2) "Amortization rate" means the amortization rate, as defined in Section 49-11-102,
48 to be applied to the system that would have covered the retiree if the retiree's reemployed
49 position were deemed to be an eligible, full-time position within that system.
50 (3) "Part-time appointed or elected board member" means an individual who:
51 (a) serves in a position:
52 (i) as a member of a board, commission, council, committee, panel, or other body of a
53 participating employer; and
54 (ii) that is designated in the participating employer's governing statute, charter, creation
55 document, or similar document;
56 (b) is appointed or elected to the position for a definite and fixed term of office by
57 official and duly recorded action of the participating employer;
58 (c) except for the service in the position, does not perform other work or service for
59 compensation for the participating employer, whether as an employee or under a contract; and
60 (d) retires from a participating employer that is different than the participating
61 employer with the position in which the person serves.
62 (4) "Qualifying retiree" means a retiree who:
63 (a) has a bona fide termination from all participating employers and does not have,
64 before the retiree retires, a prearrangement that anticipates postretirement reemployment with a
65 participating employer;
66 (b) is reemployed by the state as a licensed clinical therapist; and
67 (c) is licensed as:
68 (i) a clinical social worker under Title 58, Chapter 60, Part 2, Social Worker Licensing
69 Act:
70 (ii) a marriage and family therapist under Title 58, Chapter 60, Part 3, Marriage and
71 Family Therapist Licensing Act;
72 (iii) a clinical mental health counselor under Title 58, Chapter 60, Part 4, Clinical
73 Mental Health Counselor Licensing Act; or
74 (iv) a psychologist under Title 58, Chapter 61, Psychologist Licensing Act.
75 [
76 performed for a participating employer after retirement, in exchange for compensation.
77 (b) [
78 service performed on a contract for a participating employer if the retiree is:
79 (i) listed as the contractor; or
80 (ii) an owner, partner, or principal of the contractor.
81 [
82 (a) means a person who:
83 (i) retired from a participating employer; and
84 (ii) begins reemployment on or after July 1, 2010, with a participating employer; and
85 (b) does not include a person:
86 (i) (A) who was reemployed by a participating employer before July 1, 2010; and
87 (B) whose participating employer that reemployed the person under Subsection [
88 (6)(b)(i)(A) was dissolved, consolidated, merged, or structurally changed in accordance with
89 Section 49-11-621 on or after July 1, 2010; or
90 (ii) who is working under a phased retirement agreement in accordance with [
91 Chapter 11, Part 13, Phased Retirement.
92 Section 2. Section 49-11-1205 is amended to read:
93 49-11-1205. Postretirement reemployment restriction exceptions.
94 (1) (a) The office may not cancel the retirement allowance of a retiree who is
95 reemployed with a participating employer within one year of the retiree's retirement date if:
96 (i) the retiree is not reemployed by a participating employer for a period of at least 60
97 days from the retiree's retirement date;
98 (ii) upon reemployment after the break in service under Subsection (1)(a)(i), the retiree
99 does not receive any employer paid benefits, including:
100 (A) retirement service credit or retirement-related contributions;
101 (B) medical benefits;
102 (C) dental benefits;
103 (D) other insurance benefits except for workers' compensation as provided under Title
104 34A, Chapter 2, Workers' Compensation Act, Title 34A, Chapter 3, Utah Occupational Disease
105 Act, and withholdings required by federal or state law for social security, Medicare, and
106 unemployment insurance; or
107 (E) paid time off, including sick, annual, or other type of leave; and
108 (iii) (A) the retiree [
109 amount [
110 average salary upon which the retiree's retirement allowance is based; or
111 (B) the retiree is reemployed as a judge as defined under Section 78A-11-102.
112 (b) The board shall adjust the amounts under Subsection (1)(a)(iii) by the annual change
113 in the Consumer Price Index during the previous calendar year as measured by a United States
114 Bureau of Labor Statistics Consumer Price Index average as determined by the board.
115 (2) A retiree shall be considered as having completed the one-year separation from
116 employment with a participating employer required under Section 49-11-1204, if the retiree:
117 (a) before retiring:
118 (i) was employed with a participating employer as a public safety service employee as
119 defined in Section 49-14-102, 49-15-102, or 49-23-102;
120 (ii) during the employment under Subsection (2)(a)(i), suffered a physical injury
121 resulting from external force or violence while performing the duties of the employment, for
122 which injury the retiree would have been approved for total disability in accordance with the
123 provisions under Chapter 21, Public Employees' Long-Term Disability Act, if years of service
124 are not considered;
125 (iii) had less than 30 years of service credit but had sufficient service credit to retire,
126 with an unreduced allowance making the public safety service employee ineligible for
127 long-term disability payments under Chapter 21, Public Employees' Long-Term Disability Act,
128 or a substantially similar long-term disability program;
129 (iv) does not receive any long-term disability benefits from any participating employer;
130 and
131 (v) is at least 50 years old; and
132 (b) is reemployed by a different participating employer.
133 (3) (a) The office may not cancel the retirement allowance of a retiree who is employed
134 as an affiliated emergency services worker within one year of the retiree's retirement date if the
135 affiliated emergency services worker does not receive any compensation, except for:
136 (i) a nominal fee, stipend, discount, tax credit, voucher, or other fixed sum of money or
137 cash equivalent payment not tied to productivity and paid periodically for services;
138 (ii) a length-of-service award;
139 (iii) insurance policy premiums paid by the participating employer in the event of death
140 of an affiliated emergency services worker or a line-of-duty accidental death or disability; or
141 (iv) reimbursement of expenses incurred in the performance of duties.
142 (b) For purposes of Subsections (3)(a)(i) and (ii), the total amount of any discounts, tax
143 credits, vouchers, and payments to an affiliated emergency services worker may not exceed
144 $500 per month.
145 (c) The board shall adjust the amount under Subsection (3)(b) by the annual change in
146 the Consumer Price Index during the previous calendar year as measured by a United States
147 Bureau of Labor Statistics Consumer Price Index average as determined by the board.
148 (d) A retiree is eligible for an exemption from the requirement to cease service without
149 cancellation of a retirement allowance under this Subsection (3) only if the retiree, at the time
150 of retirement, is at least:
151 (i) 50 years old, if the retiree is retiring from a public safety system or a firefighter
152 system; or
153 (ii) 55 years old.
154 (4) (a) The office may not cancel the retirement allowance of a retiree employed as a
155 part-time appointed or elected board member within one year after the retiree's retirement date
156 if the part-time appointed or elected board member does not receive any compensation
157 exceeding the amount described in this Subsection (4).
158 (b) A retiree who is a part-time appointed or elected board member for one or more
159 boards, commissions, councils, committees, panels, or other bodies of participating employers:
160 (i) may receive an aggregate amount of compensation, remuneration, a stipend, or other
161 benefit for service on a single or multiple boards, commissions, councils, committees, panels,
162 or other bodies of no more than $5,000 per year; and
163 (ii) may not receive an employer paid retirement service credit or retirement-related
164 contribution.
165 (c) For purposes of Subsection (4)(b)(i):
166 (i) a part-time appointed or elected board member's compensation includes:
167 (A) an amount paid for the part-time appointed or elected board member's coverage in
168 a group insurance plan provided by the participating employer; and
169 (B) the part-time appointed or elected board member's receipt of any other benefit
170 provided by the participating employer; and
171 (ii) the part-time appointed or elected board member's compensation does not include:
172 (A) an amount the participating employer pays for employer-matching employment
173 taxes, if the participating employer treats the part-time appointed or elected board member as
174 an employee for federal tax purposes; or
175 (B) an amount that the part-time appointed or elected board member receives for per
176 diem and travel expenses for up to 12 approved meetings or activities of the government board
177 per year, if the per diem and travel expenses do not exceed the amounts established by the
178 Division of Finance under Sections 63A-3-106 and 63A-3-107 or by rules made by the
179 Division of Finance according to Sections 63A-3-106 and 63A-3-107.
180 (d) The board shall adjust the amount under Subsection (4)(b)(i) by the annual change
181 in the Consumer Price Index during the previous calendar year as measured by a United States
182 Bureau of Labor Statistics Consumer Price Index average, as determined by the board.
183 (5) The office may not cancel the retirement allowance of a qualifying retiree who is
184 reemployed within one year of the qualifying retiree's retirement date if the qualifying retiree:
185 (a) is not reemployed by a participating employer for a period of at least 60 days from
186 the qualifying retiree's retirement date; and
187 (b) upon reemployment after the break in service under Subsection (5)(a), does not
188 receive any employer-paid retirement service credit or retirement-related contributions.
189 [
190 or (5) the termination date of the reemployment, as confirmed in writing by the participating
191 employer, is considered the retiree's retirement date for the purpose of calculating the
192 separation requirement under Section 49-11-1204.
193 (b) The office shall cancel the retirement allowance of a retiree for the remainder of the
194 calendar year if the reemployment with a participating employer exceeds the limitation under
195 Subsection (1)(a)(iii), (3)(b), or (4)(b).
196 Section 3. Section 49-11-1206 is amended to read:
197 49-11-1206. Notice of postretirement reemployment.
198 (1) A participating employer shall immediately notify the office:
199 (a) if the participating employer reemploys a retiree;
200 (b) whether the reemployment is subject to Section 49-11-1204 or Subsection
201 49-11-1205(1), (2), [
202 (c) of any election by the retiree under Section 49-11-1204.
203 (2) A participating employer shall certify to the office whether the position of an
204 elected official is or is not full time.
205 (3) A retiree subject to this part shall report to the office the status of the reemployment
206 under Section 49-11-1204 or 49-11-1205.
207 Section 4. Effective date.
208 This bill takes effect on January 1, 2023.