PUBLIC SAFETY PERSONNEL RETIREMENT SYSTEM
2004 PROPOSED LEGISLATION

Updated June 7, 2004

FINAL

 

***The 46th Legislature, Second Regular Session, adjourned sine die Wednesday, May 26, 2004 at 9:58 pm.*** 

 

Bills enclosed in a border have been passed.
To review a bill in its entirety, please visit the State Legislature’s Website: www.azleg.state.az.us

 

 

H 2010  Public Safety Department Reserves

 

DPS reserves are not entitled to receive benefits under the Public Safety Personnel Retirement System. 

Sponsor: Rep. Huppenthal

 

Current Action: 2/16 referred to House rules only; 3/1 additionally referred to house gov-ret; 3/2 from House gov-ret with amend #3477. STRIKER AMENDMENT

 

 

H 2050  Firefighter Cancer Insurance; PSPRS

 

A former firefighter who was diagnosed with cancer subsequent to his becoming a member of the PSPRS and whose eligibility to receive insurance benefits is expiring (the system pays premiums for retirees at a rate of 5 months of coverage per year of service) may elect to continue coverage by paying the cost of the premium as determined by the fund manager.  Additionally, the amount the fund can charge participating employers is capped at $180 per fire fighter employee. 

Sponsor: Rep. Huppenthal

 

Current Action: 1/12 referred to House gov-ret; 1/13 from House gov-ret do pass; 1/15 from House rules with a technical amendment.  House COW approved with the rules tech amendment; 1/22 passed House 57-0; ready for Senate; 3/1 referred to Senate fin; 3/9 from Senate fin with amend #3628; 3/23 from Senate rules okay; 4/1 Senate COW approved with amend #3628; 4/6 passed Senate 29-0; ready for House action on Senate amendments; 4/27 House concurred in Senate amendments and passed on final reading 54-1; ready for governor; 5/3 signed by governor. Chap. 177, Laws 2004.

 

 

H 2051  Retirement; PSPRS, Excess Investment Earnings

 

Changes the excess earnings threshold for the PSPRS from 9.0% to the assumed rate of return as determined by the fund manager, or eight percent, whichever is greater. States that the excess earnings shall be transferred to the excess earnings account only if the fund is at least 85 percent funded.  Retroactive to June 30, 2004.

Sponsor: Rep. Huppenthal

 

Current Action: 1/12 referred to House gov-ret; 1/13 from House gov-ret do pass; 1/14 to House consent calendar; 1/15 from House rules okay; 1/22 passed house 57-0; ready for Senate; 3/1 referred to Senate fin; 3/24 from Senate fin with amend #3991; 4/28 from Senate rules okay.

 

 

H 2081  Retirement; PSPRS, Disability Offset

 

A member receiving a pension for "accidental disability" will no longer have the amount of the pension reduced if he/she finds work. The statutory reduction for those whose disability is classified as "ordinary" remains unchanged.

Sponsor: Rep. Huppenthal

 

Current Action: 1/14 referred to House gov-ret; 1/20 House gov-ret amended; 1/21 from House gov-ret with amend #3013; 1/29 from House rules okay; House COW approved with amend #3013; 2/9 passed House 58-0; ready for Senate; 3/1 referred to Senate fin; 3/16 from Senate fin with amend #3857; 3/23 from Senate rules okay; 3/31 Senate COW approved with amend #3857; 4/1 passed Senate 28-0; ready for House action on Senate amendments; 4/12 House concurred in Senate amendments and passed on final reading 57-0; ready for governor; 4/16 signed by governor. Chap. 91, Laws 2004.

 

 

H 2082  Retirement; PSPRS, Military Credit

 

Exclusion of credit for the military service of members of the PSPRS, if that service is on account with any other retirement system, is repealed.

Sponsor: Rep. Huppenthal

 

Current Action: 1/14 referred to House gov-ret; 3/2 from House gov-ret with amend #3475.  STRIKER AMENDMENT

 

 

H 2185  State Sick Leave Pay, Direct Transfer

 

Upon retirement, a state or county officer or employee may elect to have accumulated sick leave payouts transferred directly to an eligible retirement plan.

Sponsor: Rep. L. Gray

 

Current Action: 1/19 referred to House educ, gov-ret; 1/21 from House educ do pass; 1/27 from House gov-ret do pass; 2/4 to House consent calendar; 2/4 stricken from House consent calendar by L. Gray; 2/5 from House rules okay; 2/12 retained on House COW calendar; 2/19 retained on House COW calendar; 2/26 House COW approved with floor amend #3409; 3/3 passed House 57-0; ready for Senate; 3/4 referred to Senate gov; 3/16 Senate gov held; 3/23 Senate gov held; 4/7 from Senate gov with amend #4178; 4/13 from Senate rules okay.  STRIKER AMENDMENT

 

 

H 2361  State Agencies, Outside Council, Procurement

 

State agencies authorized to retain outside counsel to perform legal services must comply with provisions of the state procurement code and must submit copies of the RFP and name of the proposed outside counsel to JLBC.  At conclusion of the proceeding, outside counsel must submit a detailed statement of hours worked, expenses, etc.  If the proceeding is a contingent fee case, the state agency is prohibited from paying an hourly rate in excess of $500.

Sponsor: Rep. Biggs

 

Current Action: 1/28 referred to House gov-ret, appro; 2/10 House gov-ret held.

 

 

H 2433  Health Care District; Self Insurance

 

Allows special health care districts and other special districts in Maricopa County whose governing board is the county board of supervisors to establish a self-insurance program.

Sponsor: Rep. Hanson

 

Current Action: 1/28 referred to House gov-ret, fin-ins; 2/10 from House gov-ret with amend #3137; 3/3 from House fin-ins with amend #3502; 3/9 from House rules okay; 3/10 House COW approved with amend #3137 and #3502; note short title change; 3/11 passed House 40-18; ready for Senate; 3/18 referred to Senate gov; 4/7 from Senate gov do pass; 4/12 to Senate consent calendar; 4/13 from Senate rules okay; 4/15 passed Senate 26-3; ready for governor; 4/23 signed by governor. Chap. 141, Laws 2004.

 

 

H 2447  Administration Dept Insurance

 

Authority for the sate Dept of Administration to self-insure for health and accident coverage for state officers and employees is repealed.

Sponsor: Rep. Pearce

 

Current Action: 1/29 referred to House gov-ret, appro; 2/10 House gov-ret held.

 

 

H 2542  Retirement; Pensions, Health Insurance

 

1) Creates a “Catastrophic Disability” for members injured in the line of duty who cannot engage in gainful employment.  For the first 60 months, the benefit is equal to 90% of the member’s average monthly benefit compensation before termination of employment.  After 60 months the benefit is the greater of 62.5% of the member’s average monthly benefit compensation before termination of employment OR computed in the same manner as a normal pension using the member’s average monthly benefit compensation before termination of employment and the member’s actual credited service; 2) provides that a member’s pension may be subject to restitution and fines imposed by a court if the member is convicted of or discharged because of theft, embezzlement, fraud or misappropriation of property under the control of the employer; 3) effective June 30, 2008, extends medical reimbursement subsidy to out-of-state retired members and survivors who purchase their own insurance.  Those benefiting from the insurance subsidy prior to June 30, 2008 will see no change in the amount they are eligible to receive, however those electing to purchase their own insurance for the first time after June 30, 2008 will be allowed payment of no more than twenty-five dollars per month; 4) requires System to provide a final report of its health insurance study to the certain elected officials and state agencies.  

Sponsor: Rep. Huppenthal

 

Current Action: 2/4 referred to House gov-ret; 2/18 from House gov-ret do pass; 2/25 to House consent calendar; 2/26 from House rules okay; 2/26 stricken from House consent calendar by Huppenthal; 3/4 House COW approved with floor amend #3610; 3/10 passed House 56-4; ready for Senate; 3/18 referred to Senate fin; 4/5 Senate fin held: 4/12 from Senate fin with amend #4273; 4/28 from Senate rules okay; 5/19 retained on Senate COW calendar; 5/24 Senate COW approved with amend #4273 and floor amend #4603, #4604, #4605 and #4606; 5/25 passed Senate 29-0; ready for House action on Senate amendments. House refused to concur in Senate amendments and named Rep. Huppenthal, Boone and Prezelski to a FREE conference committee. Senate conferees awaited; 5/25 Senate named Sen. Martin, Cheuvront and Harper to the FREE conference committee; 5/26 Sen. Garcia replaces Cheuvront on conference committee. Note short title change; 5/26 Senate adopted conference report #4645. House adopted conference report #4645 and passed on final reading 56-0. Passed Senate on final reading 26-0; ready for governor; 6/3 signed by governor. Chap. 325, Laws 2004.

 

 

H 2596  State Employees; Active Military

 

Military reservists who are state employees and are called to active service as a result of a declaration of an emergency by the President or governor are automatically given a leave of absence.  The state will make up the difference between the person’s state pay and his/her military pay.  This bill repeals and replaces a similar provision in Laws 2002, Ch. 321 that is set to expire July 1, 2004.  Retroactive to Sept. 1, 2002.

Sponsor: Rep. A. Aguirre

 

Current Action: 2/11 referred to House com-mil, appro.

 

 

H 2599  Retirement; ASRS, Retiree Health Insurance

 

Group health insurance offered by ASRS shall have comparable premiums, deductibles and co-payments for all participants regardless of where they live in the state.

Sponsor: Rep. Konopnicki

 

Current Action: 2/11 referred to House gov-ret, appro.

 

 

H 2600  Retiree Health Insurance Study

 

Legislative Council shall contract with a private entity to perform a study on various alternatives to provide health care coverage to retirees, including the feasibility of a single health insurance program for retirees of all state retirement plans or of allowing retirees to remain in the same health care plan as their previous employers; others.  Report due Dec. 1, 2004.

Sponsor: Rep. Konopnicki

 

Current Action: 2/11 referred to House gov-ret, appro; 2/17 from House gov-ret do pass; 2/24 House appro held; 3/3 from House appro with amend #3505.

 

 

H 2650  Investment Protection Committee

 

Establishes an Investment Protection Committee, in conjunction with the State Treasurer, to share information and ideas between the State Compensation Fund (SCF), the Arizona State Retirement System (ASRS), and the Public Safety Personnel Retirement System (PSPRS) to collectively improve the return on investments and to reduce the risks of investments within the participating groups.

Sponsor: Rep. Rosati

 

Current Action: 2/12 referred to House gov-ret, pub inst-county; 2/24 from House gov-ret do pass; 3/2 from House pub inst-county with amend #3470.

 

 

H 2657  Public Safety Meet & Confer Study

 

A committee of legislators and local officials is created to make recommendations on “meet and confer” legislation for police and fire fighters and study their working conditions.  Report is due by Dec. 1, 2004.

Sponsor: Rep. Chase

 

Current Action: 2/16 referred to House util-muni, pub inst-county; 2/25 from House util-muni do pass; 3/2 from House pub inst-county with amend #3470.

 

 

S 1176  Retirement; ASRS, Retiree Health Insurance

 

Premiums, coverage, co-pay costs, and deductible amounts for health insurance offered by ASRS for its retirees must be comparable for all eligible persons in the state.

Sponsor: Sen. Arzberger

 

Current Action: 1/27 referred to Senate fin, appro; 2/23 Senate fin held; 3/4 from Senate fin with amend #3526.

 

 

S 1192  Retiree Health Insurance Study

 

JLBC will contract with a private entity to conduct a study and make recommendations on various suggestions to provide a single health insurance plan for retirees in all four state retirement systems.

Sponsor: Sen. Arzberger

 

Current Action: 1/27 referred to Senate fin, appro; 2/24 from Senate fin do pass.

 

 

S 1229  Retirement; PSPRS, Pension Limitation

 

Conditions under which a member is not entitled to receive a pension are expanded to include conviction of the charge of theft, embezzlement, fraud or misappropriation of an employer’s property.  Previously, only being discharged for these offenses was cause to forfeit a pension.  See also H 2542.

Sponsor: Sen. Martin

 

Current Action: 1/28 referred to Senate fin; 2/2 Senate fin held; 2/10 from Senate fin with amend #3130; 3/16 from Senate rules okay; 3/18 Senate COW approved with floor amend #3959 and #3960, a substitute for amend #3130; 3/22 passed Senate 30-0; ready for House; 3/24 referred to House gov-ret; 3/30 House gov-ret held; 4/6 from House gov-ret with amend #4154; 4/8 additionally referred to House appro.  STRIKER AMENDMENT

 

 

S 1230  Airport Police Officers

 

In a definition that applies to all statutes and laws of the state, unless required otherwise by context, the meaning of “peace officer” is expanded to include those appointed by the governing body of a public airport who have “received a certificate” from the Peace Officer Standards and Training Board.

Sponsor: Sen. Bee

 

Current Action: 1/29 referred to Senate jud, fin; 2/4 withdrawn from Senate fin; 2/19 from Senate jud do pass; 2/23 to Senate consent calendar; 2/24 from Senate rules okay; 2/26 passed Senate 28-0; ready for House; 3/4 referred to House trans, jud; 3/15 from House trans do pass; 3/25 from House jud do pass; 3/31 to House consent calendar; 4/1 from House rules okay; 4/6 PASSED house 57-0; ready for governor; 4/13 signed by governor. Chap. 82, Laws 2004.

 

 

S 1290  Retirement; State, Retiree Health Insurance

 

Retired members of must provide written evidence of health care coverage to the fund manager before the fund begins payment of the health care insurance subsidy.

Sponsor: Sen. Martin

 

Current Action: 2/3 referred to Senate fin; 2/24 from Senate fin do pass; 3/1 to Senate consent calendar; 3/2 from Senate rules okay; 3/3 stricken from Senate consent calendar by Sen. Martin; 3/11 retained on Senate COW calendar.

 

 

S 1297  Retirement; Public Safety

 

Payment for compensatory time is to be included in calculating compensation for retirees under the PSPRS.

Sponsor: Sen. Mead

 

Current Action: 2/3 referred to Senate fin; from Senate fin do pass.

 

 

S 1305  Retirement; PSPRS, Accidental Disability

 

The provision for a reduction in pension benefits imposed on retired members of the PSPRS who retired under “accidental disability” is deleted.

Sponsor: Sen. Weiers

 

Current Action: 2/4 referred to Senate fin; 2/24 from Senate fin do pass; 3/1 to Senate consent calendar; 3/2 from Senate rules okay; 3/4 passed Senate 29-0; ready for House; 3/11 referred to House gov-ret; 3/24 withdrawn from House gov-ret and referred to House com-mil; 4/6 from House com-mil with amend #4151.  STRIKER AMENDMENT

 

 

S 1343  State Investment; Terrorist Ties

 

The state treasurer and the retirement system fund manager must report annually to the Legislature on the economic impact of global security risks of investments under their management, including a list of companies in their portfolios known or suspected of doing business in terrorist-sponsoring countries, the total amount invested in each company and an assessment of the level of global security risk based on the “prudent investor rule.”

Sponsor: Sen. Verschoor

 

Current Action: 2/4 referred to Senate fin; 3/1 Senate fin held; 3/4 from Senate fin with amend #3530; 3/9 from Senate rules okay; 3/11 Senate COW approved with amend #3530; 3/16 passed Senate 23-7; ready for House; 3/22 referred to House gov-ret, fin-ins; 3/30 from House gov-ret do pass; 3/30 House fin-ins held; 4/7 from House fin-ins with amend #4185; 4/15 from House rules okay; 4/15 House COW approved with amend #4185; passed House 49-6; ready for Senate action on House amendments; 5/3 Senate concurred in House amendments and passed on final reading 27-0; ready for governor; 5/10 signed by governor. Chap. 217, Laws 2004.

 

 

S 1366  Administration Dept Self-Insurance

 

If the state Administration Dept self-insures, it must include all mandated health coverage benefits as well as provide for grievance procedures for issues such as: treatment denials, creditable coverage determinations, dissatisfaction with care, and access to care.

Sponsor: Sen. Martin

 

Current Action: 2/5 referred to Senate fin; 2/17 from Senate fin do pass; 2/23 to Senate consent calendar; 2/23 stricken from Senate consent calendar by Leff; 2/24 from Senate rules okay; 2/26 Senate COW approved with floor amendment #3414; 3/1 passed Senate 27-0; ready for House; 3/4 referred to House gov-ret; 3/9 from House gov-ret do pass; 3/31 to House consent calendar; 3/31 stricken from House consent calendar by Rep. Carpenter; 4/1 from House rules okay; 4/8 retained on House COW calendar; 4/26 House COW approved with floor amend #4404; 4/29 passed House 49-2; ready for Senate action on House amendments; Senate refused to concur in House amendments and named Sen. Martin, Garcia and Leff to a FREE conference committee; 5/10 House named Rep. Huppenthal, Carpenter and Loredo to FREE conference committee; 5/26 House adopted conference report #4638. Senate adopted conference report #4638 and passed on final reading 28-0. Passed House on final reading 43-13; ready for governor; 6/3 signed by governor. Chap. 335, Laws 2004.