H. B. 2171
(By Delegates Hubbard and Doyle)
[Introduced February 14, 2001; referred to the
Committee on Pensions and Retirement then Finance.]
A BILL to amend and reenact section four-a, article twenty-three,
chapter eighteen of the code of West Virginia, one thousand
nine hundred thirty-one, as amended, relating to additional
power, duties and responsibilities of governing boards of
state institutions of higher education; and the amount of
employee and employer contributions made to supplemental and
additional retirement plans.
Be it enacted by the Legislature of West Virginia:
That section four-a, article twenty-three, chapter eighteen of
the code of West Virginia, one thousand nine hundred thirty-one,
as amended, be amended and reenacted to read as follows:
ARTICLE 23. ADDITIONAL POWERS, DUTIES AND RESPONSIBILITIES OF GOVERNING BOARDS OF STATE INSTITUTIONS OF HIGHER
EDUCATION.
§18-23-4a. Supplemental and additional retirement plans for
employees; payroll deductions; authority to match
employee contributions; retroactive curative and
technical corrective action.
The governing boards shall have the authority are authorized
to contract for a supplemental retirement plan for any or all of
its employees to supplement the benefits such its employees will
receive under the state teachers retirement system. The governing
boards shall have the authority are further authorized to make
additional periodic deductions from the salary payments due such
employees in the amount they are required to contribute for the
supplemental retirement plan selected by the board. The additional
deductions shall not exceed five percent of the salary of employees
under thirty-five years of age, six percent of the salary of those
thirty-five through forty-four years of age, and seven and one-half
percent of the salary of those forty-five years of age and above,
of four and one-half percent and shall may not cover any portion
of an employee's salary which is covered by the state teachers
retirement system.
The governing boards shall also have the authority are also
authorized to contract for an additional retirement plan for any
of its employees who elect to participate solely in such a
retirement plan selected by the governing boards without
participating in the state retirement system. The governing boards
shall have the authority are authorized to make periodic deductions
from the salary payments due such employees in the amount they are
required to contribute to the additional plan, which deductions
shall be the same percentage of four and one-half percent of the
participating employees' salaries. as that deducted from the
salaries of members of the state retirement system
The board is further authorized, by way of additional
compensation to such its employees, to pay an amount equal to the
contributions of such employees seven and one-half percent of the
participating employees' salaries into either the supplemental or
additional retirement plan from funds appropriated to it for
personal services. Each participating employee shall have a full
and immediate vested interest in the retirement and death benefits
accrued from all the moneys paid into such the supplemental or
additional retirement plan for his benefit. Upon proper
requisition of the board, the auditor shall periodically issue a warrant, payable as specified in the requisition, for the total
contributions so withheld from the salaries of all participating
employees and for the governing board's matching funds
contribution.
Pursuant to the provisions contained in article seven-a and
article twenty-three of this chapter, once a member has elected one
of the options contained in section fourteen-a, article seven-a of
this chapter and section four-a, article twenty-three of this
chapter, he or she cannot thereafter change such the election. The
Legislature declares that the amendment of this section in Enrolled
Committee Substitute for House Bill No. 4672, enacted at the
regular session, one thousand nine hundred eighty-eight, was
inadvertent and remained in said the bill contrary to legislative
intent that the same be deleted; therefore, such the language is
hereby retroactively deleted and expunged as of the effective date
of said Enrolled Committee Substitute for House Bill No. 4672 as
curative and technical corrective action. The Legislature further
declares that such the ambiguous and deficient language
inadvertently enacted in said the bill shall be given no force and
effect whatsoever in any litigation involving such that language.
Beginning on the first day of July, one thousand nine hundred ninety-one, any person whose employment commences on or after that
date and is eligible to participate in an additional retirement
plan provided pursuant to this section shall be is required to
participate in said the additional plan and shall not be is not
eligible to participate in any other state retirement system.
NOTE: The purpose of this bill is to specifically determine
the amount of employee and board contributions to the supplemental
and additional retirement plans selected by the governing boards of
higher education.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.