SENATE BILL No. 1189

 

 

June 14, 2012, Introduced by Senators JANSEN, NOFS, PAVLOV, YOUNG, COLBECK, BOOHER, ANDERSON, KAHN, HANSEN and PAPPAGEORGE and referred to the Committee on Appropriations.

 

 

 

     A bill to amend 2002 PA 100, entitled

 

"Public employee retirement benefit protection act,"

 

(MCL 38.1681 to 38.1689) by amending the title and by adding

 

section 8a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

TITLE

 

     An act to protect certain rights that public employees have in

 

retirement benefits under certain circumstances; to provide for the

 

establishment of certain funds and arrangements; to protect the

 

rights of certain members of the governing boards of retirement

 

systems; and to prescribe the powers and duties of certain

 

retirement systems, state departments, courts, public officials,

 

and public employees.

 

     Sec. 8a. (1) A retirement system that has both members and

 

retirants of its retirement system eligible to be elected to the


 

position of member of the governing board shall comply with this

 

section.

 

     (2) The retirement system and the political subdivision

 

sponsoring the retirement system shall ensure equal treatment of

 

all individuals who are elected or seek to be elected to the

 

position of member of the governing board. The retirement system or

 

the political subdivision sponsoring the retirement system shall

 

not require a retirant who is elected or seeks to be elected to the

 

position of member of the governing board to meet more stringent or

 

additional requirements to serve, be elected, or participate in the

 

election process than a member who is elected or seeks to be

 

elected to the position of member of the governing board.

 

     (3) If the retirement system or the political subdivision

 

sponsoring the retirement system compensates a member who is

 

elected to the position of member of the governing board, the

 

retirement system or the political subdivision sponsoring the

 

retirement system shall compensate a retirant who is elected to the

 

position of member of the governing board at no less than the least

 

amount of compensation given to a member who is elected to the

 

position of member of the governing board.

 

     (4) As used in this section:

 

     (a) "Compensate" or "compensation" mean any form of

 

remuneration for performing duties as a member of the governing

 

board including stipend pay by the retirement system or working at

 

taxpayer expense as an employee of or under contract with the

 

political subdivision sponsoring the system.

 

     (b) "Member of the governing board" means a trustee,


 

commissioner, or other official member of the governing board

 

vested with the general administration, management, and operation

 

of the retirement system or other decision-making body that is

 

responsible for implementation and supervision of a retirement

 

system.