H. B. 4317
(By Delegate Rodighiero)
[Introduced February 3, 2010; referred to the
Committee on Pensions and Retirement then Finance.]
A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §5-5-7; to amend said
code by adding thereto a new section, designated §5-10-22k;
and to amend said code by adding thereto a new section,
designated
§18-7A-26v,
all relating to providing cost-of-
living adjustments for certain current and former public
employees generally; providing a $1,000 cost of living
adjustment to be paid in full by June 30, 2010; providing for
selection of payment date by State Auditor; requiring payment
of the cost-of-living adjustments upon authorization;
providing for transfer and expenditure of funding appropriated
to State Budget Office to spending units and county boards of
education for payment of the cost-of-living adjustments;
defining terms; providing for $1,000 cost-of-living adjustment
to certain retirees of the Public Employees Retirement System
and the State Teachers Retirement System by June 30, 2010; and providing for the pro rata distribution of the cost-of-living
adjustment to certain beneficiaries.
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new section, designated §5-5-7; that said code
be amended by adding thereto a new section, designated §5-10-22k;
and that said code be amended by adding thereto a new section,
designated §18-7A-26v, all to read as follows:
CHAPTER 5. GENERAL POWERS AND AUTHORITY OF THE GOVERNOR,
SECRETARY OF STATE AND ATTORNEY GENERAL; BOARD
OF PUBLIC WORKS; MISCELLANEOUS AGENCIES, COMMISSIONS,
OFFICES, PROGRAMS, ETC.
ARTICLE 5. SALARY INCREASE FOR STATE EMPLOYEES.
§5-5-7. Authorizing cost-of-living adjustments to full-time public
employees.
(a) A $1,000 cost-of-living adjustment is authorized for
public employees with at least one hundred eighty calendar days of
continuous service as of July 1, 2009. The cost-of-living
adjustment authorized by the provisions of this section shall be
paid no later than June 30, 2010.
(b) The cost-of-living adjustment authorized pursuant to this
section shall be timely paid to eligible public employees:
Provided, That a pro rata lump-sum payment shall be paid on a date
selected by the Auditor of West Virginia, retroactive to July 1, 2009, for eligible public employees, or, in the case of a public
employee who is employed by a county board of education, by the
appropriate county official, retroactive to July 1, 2009:
Provided, however, That all employees shall be paid in full by June
30, 2010.
(c) The cost-of-living adjustment authorized pursuant to this
section is in addition to any across-the-board salary increase
which may be granted by the Legislature, or incremental salary
increase based on years of service in accordance with the
provisions of section two of this article. However, this section
may not be construed to limit any other increase of the base salary
of any public employee or education employee.
(d) This section may not be construed to prohibit other pay
increases based on merit, seniority, promotion or other reason if
funds are available for the other pay increases.
(e) It is the intent of the Legislature that the
cost-of-living adjustment authorized by this section be paid to
each eligible public employee in full by June 30, 2010.
Accordingly, the cost-of-living adjustments paid in accordance with
this section shall be provided to each eligible public employee by
the spending unit, or in the case of school personnel by the county
board of education, which employs the eligible public employee.
(f) Upon authorization of the cost-of-living adjustment, from
the funding appropriated to the Department of Revenue, State Budget
Office, as realized from the surplus in fiscal year 2009, the funds necessary to pay in full each eligible public employee's $1,000
cost-of-living adjustment and any necessary employer match or such
proportionate share thereof that the spending unit or county board
of education demonstrates to the State Budget Office it is without
sufficient funds from other sources to provide, shall be
transferred by the State Budget Office to the appropriate spending
unit or county board of education, each of which are hereby
authorized to expend such amounts to provide the cost-of-living
adjustment.
(f) For purposes of this section, "public employee" means a
full-time employee who is an "eligible employee," as that term is
defined in section one of this article, "school personnel," as that
term is defined in section one, article one, chapter eighteen-a of
this code, a member of the West Virginia State Police whose salary
is fixed and specified pursuant to section five, article two,
chapter fifteen of this code, a conservation officer whose salary
is fixed and specified pursuant to section one-c, article seven,
chapter twenty of this code, and a "nonclassified employee" as that
term is defined in section two, article nine, chapter eighteen-b of
this code.
(g) The cost-of-living adjustment authorized pursuant to this
section shall be paid to all eligible employees in an aggregate
lump sum pro rated so that all eligible employees are paid in full
no later than June 30, 2010. It is the intent of the Legislature
that the cost-of-living adjustment authorized by this section be retroactive to July 1, 2009, when the budget surplus was realized.
ARTICLE 10. WEST VIRGINIA PUBLIC EMPLOYEES RETIREMENT ACT.
§5-10-22k. Cost-of-living adjustments for certain annuitants
effective on or before June 30, 2010.
(a) As an additional cost-of-living adjustment to other
retirement allowances provided, a cost-of-living adjustment to
retirement benefits shall be paid to retirees of the system as
provided in subsection (b) of this section. The cost-of-living
adjustment shall equal $1,000 and shall be paid in full by June 30,
2010.
(b) The cost-of-living adjustment provided by this section
applies to any retiree who currently receives an annual retirement
annuity. This cost-of-living adjustment is subject to any
applicable limitations under section 415 of the Internal Revenue
Code of 1986, as amended.
(c) The cost-of-living adjustment provided by this section
shall be payable pro rata to any beneficiaries of a qualifying
retiree who currently receive an annuity or other benefit payable
by the system. It is the intent of the Legislature that the
cost-of-living adjustment authorized by this section be
retro-active to July 1, 2009, when the budget surplus was realized.
CHAPTER 18. EDUCATION.
ARTICLE 7A. STATE TEACHERS RETIREMENT SYSTEM
§18-7A-26v. Cost-of-living adjustments for certain annuitants effective on or before June 30, 2010.
(a) As an additional cost-of-living adjustment to other
retirement allowances provided, a cost-of-living adjustment to
retirement benefits shall be paid to certain retirees of the
retirement system as provided in subsection (b) of this section.
The cost-of-living adjustment shall equal $1,000 and shall be paid
in full by June 30, 2010
(b) The cost-of-living adjustment provided in this section
applies to any retiree who currently receives an annual retirement
annuity. This cost-of-living adjustment is subject to any
applicable limitations under section 415 of the Internal Revenue
Code of 1986, as amended.
(c) The cost-of-living adjustment provided by this section
shall be payable pro rata to any beneficiaries of a qualifying
retiree who currently receives an annuity or other benefit payable
by the retirement system. It is the intent of the Legislature that
the cost-of-living adjustment authorized by this section be retro-
active to July 1, 2009, when the budget surplus was realized.
NOTE:
The purpose of this bill is to provide a $1,000 cost-of-
living adjustment to all eligible state employees and retirees.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.