LRB-4055/1
RAC:skg:jlb
1995 - 1996 LEGISLATURE
AB551,1,3
1An Act to repeal 40.02 (15) (c) 1. and 40.02 (15) (c) 5.; and
to create 40.02 (15)
2(c) 1g. and 40.02 (15) (c) 1r. of the statutes;
relating to: creditable military
3service under the Wisconsin retirement system.
Analysis by the Legislative Reference Bureau
Under current law, a participating employe under the Wisconsin retirement
system (WRS) may receive one year of creditable service under the WRS for each year
of military service, up to a maximum of 4 years of military service credit, at the time
of retirement in either of the following ways:
1. If the participant left employment covered under the WRS to enter military
service and returned to the same employer within 180 days after being discharged,
the participant may receive one year of military service credit for each year of
military service (regardless of the amount of the participant's creditable service).
2. If the participant's military service was performed before 1974 and the
participant terminates employment covered under the WRS on or after March 9,
1984, the participant may receive up to 1, 2, 3 or 4 years of military service credit if
the participant has at least 5, 10, 15 or 20 years, respectively, of creditable service
(not counting previously granted military service credit).
A participant under the WRS who terminated employment covered under the
WRS during the period beginning on January 1, 1982, the effective date of the merger
of the Wisconsin retirement fund (WRF), the state teachers retirement system
(STRS) and the Milwaukee teachers retirement fund (MTRF), and ending on March
8, 1984, and a participant under WRF who terminated employment before January
1, 1982, was eligible to receive creditable military service as provided under item 1,
above, but the proration of military service credit based on the period of creditable
service under item 2, above, did not exist; instead, the participant was eligible to
receive up to 4 years of creditable service for military service performed before 1974
only if he or she had at least 20 years of creditable service under the WRS at the time
of retirement. A participant under STRS or MTRF who terminated employment
before January 1, 1982, was eligible to receive creditable military service at the time
of retirement only as provided under item 1, above.
This bill provides that a participating employe in the WRS who terminates
covered service on or after the effective date of the bill may receive creditable military
service for active military service served prior to December 31, 1995.
This bill will be referred to the joint survey committee on retirement systems
for a detailed analysis, which will be printed as an appendix to this bill.
For further information see the state and 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:
AB551, s. 1
1Section
1. 40.02 (15) (c) 1. of the statutes is repealed.
AB551, s. 2
2Section
2. 40.02 (15) (c) 1g. of the statutes is created to read:
AB551,2,53
40.02
(15) (c) 1g. For a participant who terminates creditable service on or after
4January 1, 1982, but before the effective date of this subdivision .... [revisor inserts
5date], this paragraph applies only to active military service prior to January 1, 1974.
AB551, s. 3
6Section
3. 40.02 (15) (c) 1r. of the statutes is created to read:
AB551,2,97
40.02
(15) (c) 1r. For a participant who terminates creditable service on or after
8the effective date of this subdivision .... [revisor inserts date], this paragraph applies
9only to active military service prior to December 31, 1995.
AB551, s. 4
10Section
4. 40.02 (15) (c) 5. of the statutes is repealed.
