Senate File 366 - Enrolled




                              SENATE FILE       
                              BY  COMMITTEE ON STATE
                                  GOVERNMENT

                              (SUCCESSOR TO SSB
                                  1213)
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                                   A BILL FOR
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                                        Senate File 366

                             AN ACT
 RELATING TO THE REEXAMINATION AND RECALCULATION OF DISABILITY
    RETIREMENT BENEFITS FOR BENEFICIARIES UNDER THE PUBLIC
    SAFETY PEACE OFFICERS' RETIREMENT, ACCIDENT, AND DISABILITY
    SYSTEM.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    Section 1.  Section 97A.6, subsection 7, paragraph a,
 subparagraph (1), Code 2015, is amended to read as follows:
    (1)  Should any beneficiary for either ordinary or
 accidental disability, except a beneficiary who is fifty=five
 years of age or over and would have completed twenty=two years
 of service if the beneficiary had remained in active service,
 be engaged in a gainful occupation paying more than the
 difference between the member's net retirement allowance and
 one and one=half times the current earnable compensation of an
 active member at the same position on the salary scale within
 the member's rank as the member held at retirement, then the
 amount of the retirement allowance shall be reduced, subject to
 the requirements of this subparagraph, to an amount such that
 the member's net retirement allowance plus the amount earned by
 the member shall equal one and one=half times the amount of the
 current earnable compensation of an active member at the same
  position on the salary scale within the member's rank as
 the member held at retirement. Should the member's earning
 capacity be later changed, the amount of the retirement
 allowance may be further modified, subject to the requirements
 of this subparagraph, provided that the new retirement
 allowance shall not exceed the amount of the retirement
 allowance originally granted adjusted by annual readjustments
 of pensions pursuant to subsection 14 of this section nor an
 amount which would cause the member's net retirement allowance,
 when added to the amount earned by the beneficiary, to equal
 one and one=half times the amount of the current earnable
 compensation of an active member at the same position on the
 salary scale within the member's rank as the member held
 at retirement.  However, a member's retirement allowance
 payable in a calendar year shall not be reduced pursuant to
 this subparagraph to an amount that is less than half of
 the member's ordinary disability or accidental disability
 retirement benefit allowance calculated without regard to
 this paragraph "a", and otherwise payable to the member in a
 calendar year. A beneficiary restored to active service at a
 salary less than the average final compensation upon the basis
 of which the member was retired at age fifty=five or greater,
 shall not again become a member of the retirement system and
 shall have the member's retirement allowance suspended while
 in active service. If the rank or position held by the retired
 member is subsequently abolished, adjustments to the allowable
 limit on the amount of income which can be earned in a gainful
 occupation shall be computed in the same manner as provided in
 subsection 14, paragraph "c", of this section for readjustment
 of pensions when a rank or position has been abolished. If
 the salary scale associated with a member's rank at retirement
 is changed after the member retires, earnable compensation for
 purposes of this section shall be based upon the salary an
 active member currently would receive at the same rank and with
 seniority equal to that of the retired member at the time of
 retirement. For purposes of this paragraph, "net retirement
 allowance" means the amount determined by subtracting the amount
 paid during the previous calendar year by the beneficiary
 for health insurance or similar health care coverage for the
 beneficiary and the beneficiary's dependents from the amount of
 the member's retirement allowance paid for that year pursuant
 to this chapter. The beneficiary shall submit sufficient
 documentation to the board of trustees to permit the system
 to determine the member's net retirement allowance for the
 applicable year.


                                                             
                               PAM JOCHUM
                               President of the Senate


                                                             
                               KRAIG PAULSEN
                               Speaker of the House
    I hereby certify that this bill originated in the Senate and
 is known as Senate File 366, Eighty=sixth General Assembly.


                                                             
                               MICHAEL E. MARSHALL
                               Secretary of the Senate
 Approved                , 2015


                                                             
                               TERRY E. BRANSTAD
                               Governor

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