LRB-4738/1
MIM:klm&skw
2023 - 2024 LEGISLATURE
November 7, 2023 - Introduced by Senators Tomczyk, Ballweg, Bradley,
Cabral-Guevara, Feyen, Hutton, Knodl, Marklein, Quinn, Roys, Spreitzer
and Wanggaard, cosponsored by Representatives Rettinger, Donovan, C.
Anderson
, Bare, Behnke, Callahan, Dittrich, Goeben, Green, Jacobson,
Kurtz, Melotik, Michalski, Moses, Mursau, Nedweski, O'Connor, Ohnstad,
Rozar, Spiros, Subeck, Tittl, Wichgers and Magnafici. Referred to
Committee on Government Operations.
SB630,1,4 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 (7) of the statutes; relating to: protective
3occupation annuitants in the Wisconsin Retirement System who are rehired by
4a participating employer.
Analysis by the Legislative Reference Bureau
Under current law, certain persons who receive a retirement or disability
annuity from the Wisconsin Retirement System and who are hired by an employer
that participates in the WRS must suspend that annuity and may not receive a WRS
annuity payment until the employee is no longer in a WRS-covered position. This
suspension applies to a person who 1) has reached his or her normal retirement date;
2) is appointed to a position with a WRS-participating employer or provides
employee services to a WRS-participating employer; and 3) is expected to work at
least two-thirds of what is considered full-time employment by the Department of
Employee Trust Funds.
This bill creates an exception to this suspension 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 retired as a protective
occupation participant; 2) at the time the annuitant initially retires from covered
employment with a participating employer, the annuitant does not have an
agreement with any participating employer to return to employment; and 3) the
annuitant elects to not become a participating employee at the time the annuitant
is rehired or enters into a contract after retirement. In other words, the bill allows

an annuitant who retired as a protective occupation participant 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.
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:
SB630,1 1Section 1. 40.22 (1) of the statutes is amended to read:
SB630,2,62 40.22 (1) Except as otherwise provided in sub. (2) and s. 40.26 (6) and (7), each
3employee currently in the service of, and receiving earnings from, a state agency or
4other participating employer shall be included within the provisions of the Wisconsin
5retirement system as a participating employee of that state agency or participating
6employer.
SB630,2 7Section 2. 40.22 (2m) (intro.) of the statutes is amended to read:
SB630,2,148 40.22 (2m) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an
9employee who was a participating employee before July 1, 2011, who is not expected
10to work at least one-third of what is considered full-time employment by the
11department, as determined by rule, and who is not otherwise excluded under sub. (2)
12from becoming a participating employee shall become a participating employee if he
13or she is subsequently employed by the state agency or other participating employer
14for either of the following periods:
SB630,3 15Section 3. 40.22 (2r) (intro.) of the statutes is amended to read:
SB630,3,316 40.22 (2r) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), an
17employee who was not a participating employee before July 1, 2011, who is not
18expected to work at least two-thirds of what is considered full-time employment by
19the department, as determined by rule, and who is not otherwise excluded under sub.

1(2) from becoming a participating employee shall become a participating employee
2if he or she is subsequently employed by the state agency or other participating
3employer for either of the following periods:
SB630,4 4Section 4. 40.22 (3) (intro.) of the statutes is amended to read:
SB630,3,75 40.22 (3) (intro.) Except as otherwise provided in s. 40.26 (6) and (7), a person
6who qualifies as a participating employee shall be included within, and shall be
7subject to, the Wisconsin retirement system effective on one of the following dates:
SB630,5 8Section 5. 40.26 (7) of the statutes is created to read:
SB630,3,139 40.26 (7) (a) Subsections (1) to (5) do not apply to a participant who applies for
10an annuity or lump sum payment during the period in which at least 75 days have
11elapsed between the participant's termination of employment and becoming an
12employee or contractor providing employee services with a participating employer
13if all of the following conditions are met:
SB630,3,1514 1. The individual is a protective occupation participant retired from a
15protective occupation under the WRS.
SB630,3,1916 2. At the time the participant terminates his or her employment with a
17participating employer, the participant does not have an agreement with any
18participating employer to return to employment or enter into a contract to provide
19employee services for the employer.
SB630,3,2120 3. The participant elects on a form provided by the department to not become
21a participating employee.
SB630,6 22Section 6 . Initial applicability.
SB630,3,2423 (1) This act first applies to a participant under the Wisconsin Retirement
24System who terminates employment on the effective date of this subsection.
SB630,3,2525 (End)
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