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AB-311 State Teachers’ Retirement System: board.(1999-2000)

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AB311:v93#DOCUMENT

Passed  IN  Senate  September 09, 1999
Passed  IN  Assembly  September 10, 1999

CALIFORNIA LEGISLATURE— 1999–2000 REGULAR SESSION

Assembly Bill
No. 311


Introduced  by  Assembly Member Honda

February 08, 1999


An act to amend Section 22200 of, and to add Section 22200.1 to, the Education Code, relating to the State Teachers’ Retirement System.


LEGISLATIVE COUNSEL'S DIGEST


AB 311, Honda. State Teachers’ Retirement System: board.
Under existing law, the State Teachers’ Retirement System and the State Teachers’ Retirement Plan are administered by the 12-member Teachers’ Retirement Board. Two of the members of the board must be members or participants, who are classroom teachers in kindergarten or grades 1 through 12, and another member must be a retired member or participant. All 3 of these members are appointed by the Governor for 4-year terms from a list submitted by the Superintendent of Public Instruction. Another member of the board is required to be a community college instructor with expertise in business or economics, or both, and is appointed by the Governor for a 4-year term from a list submitted by the Board of Governors of the California Community Colleges. One member of the board is required to be an officer of a life insurance company and one member of the board is required to be an officer of a bank. These members are appointed by the Governor for 4-year terms, subject to confirmation by the Senate.
This bill would increase the number of board members to 15, require that 3 members of the board be elected by active members and participants, at an election provided for by the board, for 4-year terms commencing on January 1, 2001. The bill would require one appointed member to be an active member or participant employed by a K-12 school district or county office of education, one appointed member to be a community college member or participant, and 2 appointed members to be retired members or participants. The bill would delete the requirement that 2 members must be, respectively, officers of a life insurance company and a bank and instead provide that the Governor appoint 3 persons representing the public for 4-year terms, subject to Senate confirmation.
This bill would require the board to adopt regulations regarding these elections, as specified, and would exempt the regulations from the requirements of the Administrative Procedure Act.

The people of the State of California do enact as follows:


SECTION 1.

 It is the intent of the Legislature in enacting this act that the elections for positions on the Teachers’ Retirement Board be conducted as cost efficiently as possible.

SEC. 2.

 Section 22200 of the Education Code is amended to read:

22200.
 (a) The system is administered by the Teachers’ Retirement Board. The members of the board are as follows:
(1) The Superintendent of Public Instruction.
(2) The Controller.
(3) The Treasurer.
(4) The Director of Finance.
(5) One person who, at the time of appointment, is a member of the governing board of a school district or a community college district and who shall be appointed by the Governor for a term of four years, commencing on January 1, 2000; provided that a person serving on the board on December 31, 1999, who was appointed as a member of the governing board of a school district or community college board may continue to serve until the expiration of his or her current term; and further provided that any person appointed after the expiration of the term of that person may serve until January 1, 2004.
(6) Two persons who are either members of the Defined Benefit Program or participants in the Cash Balance Benefit Program, as follows:
(A) One person who, at the time of appointment, is employed by a K-12 school district or the county office of education, appointed by the Governor for a term of four years.
(B) One person who, at the time of appointment, is employed by a community college district appointed by the Governor for a term of four years.
(7) Two persons who are either retired members under this part or retired participants under part 14 (commencing with Section 26000), appointed by the Governor for a term of four years, commencing January 1, 2000, provided that a person serving on the board on December 31, 1999, who was appointed as a retired member or a retired participant may continue to serve until the expiration of his or her current term; and further provided that any person appointed after the expiration of the term of that person may serve until January 1, 2004.
(8) Three persons representing the public, appointed by the Governor for a term of four years, subject to confirmation by the Senate.
(9) Three persons who, at the time of election, are active members or participants of the system. These members shall be elected pursuant to regulations adopted by the board by the active members of the Defined Benefit Program or participants of the Cash Balance Benefit Program for four-year terms, commencing on January 1, 2001.
(b) Teacher members of the board serving on December 31, 1999, may complete their terms of office provided they remain members of the Defined Benefit Program or participants in the Cash Balance Benefit Program, active or retired. However, the Governor may immediately replace the member described in paragraph (5) of subdivision (a) if he or she is no longer serving on a governing board, and the Governor may fill any vacancy in the member, school board, or public seats due to resignation or death.
(c) The members of the board shall annually elect a chairperson and vice chairperson.
(d) After any elected member of the board has served two consecutive terms, or six consecutive years, on the board, that member may not be elected for an additional term until at least one year after the expiration of the member’s last term.
(e) (1) Notwithstanding any other provision of this section and Section 22200.1, any person serving on the board on December 31, 1999, may continue to serve on the board until the appointment of his or her successor pursuant to this section.
(2) When the Governor appoints the second of the two persons to be appointed pursuant to paragraph (7) of subdivision (a), that person shall be deemed to be the successor of one of the two appointed classroom teachers in kindergarten or grades 1 through 12 serving on the board on December 31, 1999. At the time of that appointment, the Governor shall designate which one of the two appointed classroom teacher members is being replaced.

SEC. 3.

 Section 22200.1 is added to the Education Code, to read:

22200.1.
 (a) The board shall provide for the election of members described in paragraph (9) of subdivision (a) of Section 22200 pursuant to regulations adopted by the board. The Secretary of State shall certify the results of the election. The board shall reimburse the Secretary of State for all services performed in the election.
(b) Except as provided in subdivision (e) of Section 22200, special elections shall be held to fill vacancies that occur during the term of the elected members of the board. If, at the time a vacancy occurs, the unexpired term is less than two years, the new member elected to fill the vacancy shall hold office for a period equal to the remainder of the term of the vacated office plus four years.
(c) Except as provided in paragraphs (5) and (7) of subdivision (a), subdivision (b), and subdivision (e) of Section 22200, if an appointed member of the board ceases to hold the position that qualified the member to be appointed to the board, the office shall be immediately deemed vacated and the Governor shall appoint a qualified person to fill that vacancy.
(d) The regulations adopted by the board pursuant to this section and Section 22200 shall not be subject to Article 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(e) The regulations adopted by the board shall provide that the elections be conducted in the most cost-effective manner deemed feasible. The board, where practicable, shall consolidate election mailings with other mailings and shall address any other feasible cost-saving measures.
(f) The board shall contract with a private firm to conduct the elections if the board determines that the contract would result in a cost savings to the board.
(g) The regulations adopted by the board shall authorize candidates for positions on the board to submit candidate’s statements expressing their opinions and ideas, and the regulations shall not restrict the reasonable content of those statements. Notwithstanding subdivision (e), copies of the candidates’ statements submitted to the board in a timely manner shall be mailed by the board to all members at no cost to the candidates.