2004 Legislation

Assembly Bill

AB 79 (Dutra) – Moratorium on submitted reports

Places a moratorium until January 1, 2008, on certain written reports required by state and local agencies to be submitted to the Governor and Legislature.

  • Version: Chaptered (Chapter 409, Statutes of 2004)
  • Sponsor: Author
  • Location: Signed by Governor
  • Board Position: N/A
Assembly Bill

AB 419 (PER&SS) – Teachers’ Retirement Board elections

Allows Cash Balance Benefit Program participants to vote in all board elections; specifies candidates must run for the seat in which they accrued the most service during prior school year and extends reimbursement provisions.

  • Version: Chaptered (Chapter 11, Statutes of 2004)
  • Sponsor: Teachers’ Retirement Board, CFT, CTA, ACSA, FACCC
  • Location: Signed by Governor
  • Board Position: Sponsor

CalSTRS Analysis:

As Amended 6/27/2003

As Introduced 2/14/2003

Assembly Bill

AB 434 (Hancock) – Extend Post-Retirement Earnings Limit

As of the March 20, 2003, amendments, this bill no longer applies to CalSTRS. In the introduced version, the bill would have provided an exemption from the post-retirement earnings limit to  members retired on or before 1/1/03, if the member returns to provide direct classroom instruction to pupils in K-12 or to provide support to various teacher groups. 

  • Version: Chaptered (Chapter 147, Statutes of 2004)
  • Sponsor: N/A
  • Location: Signed by Governor
  • Board Position: N/A

CalSTRS Analysis:

As Amended 3/20/2003

Assembly Bill

AB 849 (Lieber) – Public Funds Investments

Requires state or local agencies that invest public funds with, or purchase financial instruments from, financial institutions to utilize a financial institution that has a specified rating under the federal Community Reinvestment Act.

  • Version: Amended 1/5/2004
  • Sponsor: Author
  • Location:Assembly
  • Board Position: N/A
Assembly Bill

AB 1209 (Nakano) – Public Records Act requirements

Makes minor changes to Public Records Act requirements related to agencies’ plans in dealing with acts of terrorism or other criminal acts.

  • Version: Chaptered (Chapter 8, Statutes of 2004)
  • Sponsor: SCSA, Office of Homeland Security
  • Location: Signed by Governor
  • Board Position: Support

CalSTRS Analysis:

As Amended 8/25/2003

As Amended 7/27/2003

As Amended 7/15/2003

As Amended 4/21/2003

As Amended 3/27/2003

Assembly Bill

AB 1586 (PER&SS) – Benefit Comparison for Part-Time Community College Faculty

Allows CalSTRS to calculate benefits for certain part-time community college faculty under the benefit structure that was in place on June 30, 1996, and compare that benefit to the benefit that is currently payable or would be payable under the existing benefit structure and provide the member with the higher of the two benefits. 

  • Version: Chaptered (Chapter 442, Statutes of 2004)
  • Sponsor: Teachers’ Retirement Board, FACCC
  • Location: Signed by Governor
  • Board Position: Sponsor

CalSTRS Analysis:

As Amended 1/29/2004

Assembly Bill

AB 1852 (Mullin) – Minor Policy/Program Changes

Expands eligibility to receive a partial lump-sum benefit. Eliminates the one-year prohibition on employment in a California public school for retired members who receive a retirement incentive. Also includes community colleges and  county offices of education in the five-year prohibition on employment with the employer that granted a retirement incentive.

  • Version: Chaptered (Chapter 935, Statutes of 2004)
  • Sponsor: CTA
  • Location: Signed by Governor
  • Board Position: Support

CalSTRS Analysis:

As Amended 8/23/2004

Assembly Bill

AB 2036 (La Suer) – Benefit Enhancements: Concurrent Retirement

Allows Community College instructors who are concurrent members of the DB Program and CalPERS to use a portion of CalPERS service credit to qualify for CalSTRS benefit enhancements. Also allows members, who first retired prior to 1/1/1999, and reinstated to active service, to qualify for the benefit enhancements upon subsequent retirement.

  • Version: Introduced 2/17/2004
  • Sponsor: Author
  • Location: Assembly
  • Board Position: N/A
Assembly Bill

AB 2233 (PER&SS) – Technical Housekeeping

Makes a variety of technical and conforming changes to the Teachers’ Retirement Law to facilitate efficient administration of the Teachers’ Retirement Plan.

  • Version: Chaptered (Chapter 912, Statutes of 2004)
  • Sponsor: Teachers’ Retirement Board
  • Location: Signed by Governor
  • Board Position: Sponsor

CalSTRS Analysis:

As amended 8/23/04

As amended 8/17/04

As amended 6/08/04

As amended 2/18/04

Assembly Bill

AB 2364 (Correa) – Credit Enhancement Program

Clarifies that state public pension systems may establish credit enhancement programs to assist entities in securing more favorable financing terms for bonds, notes, and other indebtedness.

  • Version: Chaptered (Chapter 266, Statutes of 2004)
  • Sponsor: CalPERS
  • Location: Signed by Governor
  • Board Position: N/A
Assembly Bill

AB 2391 (Koretz) – Legal Services Contracts

Prohibits state agencies from contracting for legal services if the hourly rate is more than 250% of the hourly rate billed to state agencies for attorneys in State Bargaining Unit 2.

  • Version: Amended 5/20/2004
  • Sponsor: CA Attorneys, Administrative Law Judges, Hearing Officers and Deputy Labor Commissioners in State Employment
  • Location: Assembly
  • Board Position: N/A
Assembly Bill

AB 2554 (Pavley) – Post-Retirement Earnings Limit Exemptions

Extends the sunset date on the existing exemption from the earnings limit for retired Defined Benefit Program members who provide direct K-12 classroom instruction; also broadens the K-12 exemption to include instruction in special education and English language learner programs. Extends the date a member must retire by to qualify for the existing exemption for providing direct remedial instruction and K-12 classroom instruction. Establishes a two-year maximum on the earnings limit exemption for postretirement employment under a vacant administrative position.

Assembly Bill

AB 2753 (Corbett) – Retirement Incentive Program

Prohibits any member who retires with a Retirement Incentive Program benefit from accepting any job for up to one year from after their retirement date fom the district that granted the retirement incentive and makes technical amendments to the incentive programs established by Chapter 313, Statutes of 2003 (AB 1207—Corbett)

  • Version: Amended 7/19/2004
  • Sponsor: Author
  • Location: Senate
  • Board Position: Support

CalSTRS Analysis:

As Amended 7/19/2004

As Amended 5/10/2004

Assembly Bill

AB 3076 (Mullin) – Mandatory Membership

Bases the threshold for mandatory membership in the Defined Benefit Program for community college instructors on the employee’s basis of employment for the school year, as defined by the employer, rather than on the amount of service performed in one pay period.

  • Version: Chaptered (Chapter 474, Statutes of 2004)
  • Sponsor: Teachers’ Retirement Board, CTA, FACCC
  • Location: Signed by Governor
  • Board Position: Sponsor

CalSTRS Analysis:

As Amended 6/1/2004

Assembly Bill

AB 3094 (PER&SS) – Recovery of Benefits after Death of Member

Permits state and county retirement systems to recover funds that were directly deposited to a member’s account at a financial institution, following the death of the member.

  • Version: Chaptered (Chapter 506, Statutes of 2004)
  • Sponsor: Teachers’ Retirement Board, CalPERS
  • Location: Signed by Governor
  • Board Position: Co-Sponsor

CalSTRS Analysis:

As Amended 8/11/2004

As Amended 5/24/2004

As Amended 4/12/2004