LRB-2237/1
MIM:cdc
2019 - 2020 LEGISLATURE
April 4, 2019 - Introduced by Senators Jacque, Wanggaard and Marklein,
cosponsored by Representatives Brandtjen, Ballweg, Horlacher, James,
Kulp, Loudenbeck, Murphy, Mursau, Novak, Pronschinske, Ramthun,
Skowronski, Tittl, Tusler, Wichgers and Anderson. Referred to Committee
on Government Operations, Technology and Consumer Protection.
SB149,1,5 1An Act to amend 40.22 (1), 40.22 (2m) (intro.), 40.22 (2r) (intro.) and 40.22 (3)
2(intro.); and to create 40.26 (6) (intro.), (a), (b) and (c) of the statutes; relating
3to:
law enforcement and fire fighter annuitants in the Wisconsin Retirement
4System who are rehired by a participating employer and granting rule-making
5authority.
Analysis by the Legislative Reference Bureau
Under current law, if a Wisconsin Retirement System annuitant, or a disability
annuitant who has attained his or her normal retirement date, is appointed to a
position with a WRS-participating employer, or provides employee services to a
WRS-participating employer in which he or she is expected to work at least
two-thirds of what is considered full-time employment by the Department of
Employee Trust Funds, the annuity must be suspended and no annuity payment is
payable until after the participant again terminates covered employment.
This bill creates an exception to this requirement for an annuitant who retired
from employment with a participating employer and who is subsequently rehired or
provides employee services after retirement, if 1) the annuitant is a retired law
enforcement officer or fire fighter; 2) at the time the person initially retires from
covered employment with a participating employer, the person does not have an
agreement with any participating employer to return to employment; and 3) the
person elects to not become a participating employee at the time the person is rehired
by a participating employer or enters into a contract to provide employee services

after retirement. In other words, the bill allows an annuitant who was a law
enforcement officer or fire fighter to return to work with an employer who
participates in the WRS, and elect to not become a participating employee for
purposes of the WRS, and instead continue to receive his or her annuity.
Because this bill relates to public employee retirement or pensions, it may be
referred to the Joint Survey Committee on Retirement Systems for a report to be
printed as an appendix to the bill.
For further information see the local fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB149,1 1Section 1. 40.22 (1) of the statutes is amended to read:
SB149,2,62 40.22 (1) Except as provided in sub. (2) and s. 40.26 (6), each employee
3currently in the service of, and receiving earnings from, a state agency or other
4participating employer shall be included within the provisions of the Wisconsin
5retirement system as a participating employee of that state agency or participating
6employer.
SB149,2 7Section 2. 40.22 (2m) (intro.) of the statutes is amended to read:
SB149,2,148 40.22 (2m) (intro.) An Except as otherwise provided in s. 40.26 (6), an employee
9who was a participating employee before July 1, 2011, who is not expected to work
10at least one-third of what is considered full-time employment by the department,
11as determined by rule, and who is not otherwise excluded under sub. (2) from
12becoming a participating employee shall become a participating employee if he or she
13is subsequently employed by the state agency or other participating employer for
14either of the following periods:
SB149,3 15Section 3. 40.22 (2r) (intro.) of the statutes is amended to read:
SB149,3,516 40.22 (2r) (intro.) An Except as otherwise provided in s. 40.26 (6), an employee
17who was not a participating employee before July 1, 2011, who is not expected to work

1at least two-thirds of what is considered full-time employment by the department,
2as determined by rule, and who is not otherwise excluded under sub. (2) from
3becoming a participating employee shall become a participating employee if he or she
4is subsequently employed by the state agency or other participating employer for
5either of the following periods:
SB149,4 6Section 4. 40.22 (3) (intro.) of the statutes is amended to read:
SB149,3,97 40.22 (3) (intro.) A Except as otherwise provided in s. 40.26 (6), a person who
8qualifies as a participating employee shall be included within, and shall be subject
9to, the Wisconsin retirement system effective on one of the following dates:
SB149,5 10Section 5. 40.26 (6) (intro.), (a), (b) and (c) of the statutes are created to read:
SB149,3,1611 40.26 (6) (intro.) As used in this subsection, “law enforcement officer” has the
12meaning given in s. 165.85 (2) (c). Subsections (1) to (5) do not apply to a participant
13who applies for an annuity or lump sum payment during the period in which at least
1475 days have elapsed between the participant's termination of employment and
15becoming an employee or contractor providing employee services with a
16participating employer if all of the following conditions are met:
SB149,3,1717 (a) The annuitant is a retired law enforcement officer or fire fighter.
SB149,3,2118 (b) At the time the participant terminates his or her employment with a
19participating employer, the participant does not have an agreement with any
20participating employer to return to employment or enter into a contract to provide
21employee services for the employer.
SB149,3,2322 (c) The participant elects on a form provided by the department to not become
23a participating employee.
SB149,6 24Section 6. Initial applicability.
SB149,4,2
1(1) This act first applies to participants under the Wisconsin Retirement
2System who terminate employment on the effective date of this subsection.
SB149,4,33 (End)
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