1.1                          A bill for an act 
  1.2             relating to teachers retirement; making changes 
  1.3             affecting members employed by certain professional 
  1.4             education organizations; amending Minnesota Statutes 
  1.5             1998, section 354.41, subdivisions 4 and 9. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1998, section 354.41, 
  1.8   subdivision 4, is amended to read: 
  1.9      Subd. 4.  [MEMBER EMPLOYEES OF TEACHERS ORGANIZATIONS; 
  1.10  EXCEPTION.] (a) A person who is a member on an authorized leave 
  1.11  of absence and is employed by the interfaculty organization, the 
  1.12  Minnesota federation of teachers or its affiliated branches 
  1.13  within the state, the Minnesota education association, the 
  1.14  Minnesota association of school principals, the Minnesota 
  1.15  association of secondary school principals or the Minnesota 
  1.16  association of school administrators may elect to be a 
  1.17  coordinated member of the association based on that employment, 
  1.18  subject to the limitations set forth in subdivisions 4a and 4b.  
  1.19  However, no person is entitled to membership under this section 
  1.20  if the person also is a member of a teachers retirement 
  1.21  association in a city of the first class organized under chapter 
  1.22  354A for the same period of service.  
  1.23     (b) The election must be made within 90 days of commencing 
  1.24  employment by the labor organization. 
  1.25     Sec. 2.  Minnesota Statutes 1998, section 354.41, 
  2.1   subdivision 9, is amended to read: 
  2.2      Subd. 9.  [SERVICE CREDIT FOR OFFICERS OF TEACHERS 
  2.3   ORGANIZATIONS.] Any member who has been granted a leave of 
  2.4   absence to serve as an elected officer of a professional 
  2.5   teachers organization shall be entitled to acquire allowable 
  2.6   service credit for the period of leave.  To acquire the 
  2.7   allowable service credit, the member shall make any required 
  2.8   employee contributions currently during the period of the leave, 
  2.9   which shall be based upon the contract salary for which the 
  2.10  member would have been eligible if the member had not been 
  2.11  granted the leave of absence and shall be consistent with the 
  2.12  contract in force for the year occurring immediately prior to 
  2.13  the commencement of the leave of absence.  If a member works 
  2.14  year-round for the professional teachers organization, the 
  2.15  contributions must be based on the employee's actual salary, but 
  2.16  must not be based on a salary that exceeds 133 percent of the 
  2.17  base contract salary for which the member would have been 
  2.18  eligible if the member had not been on a leave of absence.  Any 
  2.19  shortage which occurs in the amount of required employee 
  2.20  contributions for any year may be paid directly to the fund with 
  2.21  interest at an annual rate of 8.5 percent compounded annually on 
  2.22  or prior to the last day of the fiscal year next following the 
  2.23  occurrence of the shortage.  
  2.24     Sec. 3.  [EFFECTIVE DATE.] 
  2.25     Sections 1 and 2 are effective the day after their final 
  2.26  enactment and apply to persons retiring on or after that date.