2008 Legislation
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SENATE BILL NO. 1290<br /> – Teachers, alternate pay plan

SENATE BILL NO. 1290

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S1290..........................................................by EDUCATION
TEACHERS - Adds to and amends existing law relating to alternative pay for
certificated public school employees to provide an alternative pay plan; to
provide an alternative pay funding formula; to provide a state framework
for locally developed knowledge and skills-based compensation pay plans;
and to provide a state framework for locally developed group-based
performance awards.

01/17    Senate intro - 1st rdg - to printing
01/18    Rpt prt - to Educ

Bill Text




                                                                       
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-ninth Legislature                   Second Regular Session - 2008

                                                                       

                                       IN THE SENATE

                                    SENATE BILL NO. 1290

                                   BY EDUCATION COMMITTEE

  1                                        AN ACT
  2    RELATING TO ALTERNATIVE PAY FOR CERTIFICATED PUBLIC SCHOOL EMPLOYEES; AMENDING
  3        SECTION 33-521, IDAHO CODE, TO PROVIDE A CORRECT CODE REFERENCE;  AMENDING
  4        SECTION  33-1002,  IDAHO  CODE, TO PROVIDE A CORRECT CODE REFERENCE AND TO
  5        MAKE TECHNICAL CORRECTIONS; AMENDING CHAPTER 10, TITLE 33, IDAHO CODE,  BY
  6        THE ADDITION OF A NEW SECTION 33-1004B, IDAHO CODE, TO PROVIDE AN ALTERNA-
  7        TIVE  PAY PLAN; AMENDING CHAPTER 10, TITLE 33, IDAHO CODE, BY THE ADDITION
  8        OF A NEW SECTION 33-1004G, IDAHO CODE, TO PROVIDE AN ALTERNATIVE PAY FUND-
  9        ING FORMULA; AMENDING CHAPTER 10, TITLE 33, IDAHO CODE, BY THE ADDITION OF
 10        A NEW SECTION 33-1004H, IDAHO CODE,  TO  PROVIDE  A  STATE  FRAMEWORK  FOR
 11        LOCALLY  DEVELOPED  KNOWLEDGE  AND  SKILLS-BASED  COMPENSATION  PAY PLANS;
 12        AMENDING CHAPTER 10, TITLE 33, IDAHO CODE, BY THE ADDITION OF A  NEW  SEC-
 13        TION 33-1004I, IDAHO CODE, TO PROVIDE A STATE FRAMEWORK FOR LOCALLY DEVEL-
 14        OPED  GROUP-BASED  PERFORMANCE  AWARDS;  AMENDING  SECTION 33-1004G, IDAHO
 15        CODE, TO REDESIGNATE THE SECTION; AMENDING SECTION 33-1004H,  IDAHO  CODE,
 16        TO  REDESIGNATE  THE  SECTION AND TO PROVIDE A CORRECT CODE REFERENCE; AND
 17        AMENDING SECTION 59-1356, IDAHO CODE, TO PROVIDE CORRECT  CODE  REFERENCES
 18        AND TO MAKE TECHNICAL CORRECTIONS.

 19    Be It Enacted by the Legislature of the State of Idaho:

 20        SECTION  1.  That  Section  33-521, Idaho Code, be, and the same is hereby
 21    amended to read as follows:

 22        33-521.  EMPLOYEE  SEVERANCE  IN  CONSOLIDATED  DISTRICT.  The  board   of
 23    trustees  of  any  school  district  newly  formed within the last twelve (12)
 24    months through the consolidation of two (2) or more school districts may offer
 25    a one (1) time severance payment to a maximum of  ten  percent  (10%)  of  the
 26    employees that were previously employed by the separate school districts. Such
 27    severance  offers  shall  be  made  entirely at the discretion of the board of
 28    trustees, and shall not be bound by custom, seniority or  contractual  commit-
 29    ment.  Employees  are  under  no  obligation  to accept a severance offer. Any
 30    employee accepting a severance payment shall not be eligible for  reemployment
 31    by the school district for a one (1) year period thereafter.
 32        The  severance  payment  shall  consist of fifty-five percent (55%) of the
 33    salary-based apportionment funds allocated for the employee in the last  year,
 34    plus  any  applicable  state  paid  employee benefits. Such severance shall be
 35    reduced by one-half (1/2) for any employee who is simultaneously  receiving  a
 36    disbursement   of  early  retirement  incentive  funds,  pursuant  to  section
 37    33-1004GJ, Idaho Code. The state department of education shall reimburse  eli-
 38    gible  school  districts  for  one  hundred percent (100%) of such costs, upon
 39    application by the school district.

 40        SECTION 2.  That Section 33-1002, Idaho Code, be, and the same  is  hereby
 41    amended to read as follows:

                                       2

  1        33-1002.  EDUCATIONAL  SUPPORT PROGRAM. The educational support program is
  2    calculated as follows:
  3        (1)  State Educational Support Funds. Add the state appropriation, includ-
  4    ing the moneys available in the public school income fund,  together with  all
  5    miscellaneous revenues to determine the total state funds.
  6        (2)  From  the total state funds subtract the following amounts needed for
  7    state support of special programs provided by a school district:
  8        (a)  Pupil tuition-equivalency allowances as provided in section 33-1002B,
  9        Idaho Code;
 10        (b)  Transportation support program as provided in section 33-1006,  Idaho
 11        Code;
 12        (c)  Feasibility  studies allowance as provided in section 33-1007A, Idaho
 13        Code;
 14        (d)  The approved costs for border district allowance, provided in section
 15        33-1403, Idaho Code, as determined by the state superintendent  of  public
 16        instruction;
 17        (e)  The approved costs for exceptional child approved contract allowance,
 18        provided in subsection 2. of section 33-2004, Idaho Code, as determined by
 19        the state superintendent of public instruction;
 20        (f)  Certain expectant and delivered mothers allowance as provided in sec-
 21        tion 33-2006, Idaho Code;
 22        (g)  Salary-based apportionment calculated as provided in sections 33-1004
 23        through 33-1004FI, Idaho Code;
 24        (h)  Unemployment  insurance  benefit payments according to the provisions
 25        of section 72-1349A, Idaho Code;
 26        (i)  For expenditure as provided by the public school technology program;
 27        (j)  For employee severance payments as provided in section 33-521,  Idaho
 28        Code;
 29        (k)  For  distributions  to the Idaho digital learning academy as provided
 30        in section 33-1020, Idaho Code;
 31        (kl)  For the support of provisions that provide a safe environment condu-
 32        cive to student learning and maintain classroom discipline, an  allocation
 33        of $300 per support unit; and
 34        (lm)  Any  additional amounts as required by statute to effect administra-
 35        tive adjustments or as specifically required by the provisions of any bill
 36        of appropriation;
 37    to secure the total educational support distribution funds.
 38        (3)  Average Daily Attendance. The total state  average  daily  attendance
 39    shall  be  the  sum  of the average daily attendance of all of the school dis-
 40    tricts of the state. The state board of education shall establish  rules  set-
 41    ting  forth  the  procedure to determine average daily attendance and the time
 42    for, and method of, submission of such report. Average daily attendance calcu-
 43    lation shall be carried out to the nearest hundredth. Computation  of  average
 44    daily attendance shall also be governed by the provisions of section 33-1003A,
 45    Idaho Code.
 46        (4)  Support  Units.  The total state support units shall be determined by
 47    using the tables set out hereafter called computation of kindergarten  support
 48    units,  computation of elementary support units, computation of secondary sup-
 49    port units, computation of exceptional education support units,  and  computa-
 50    tion  of  alternative  school  secondary  support units. The sum of all of the
 51    total support units of all school districts of the state shall  be  the  total
 52    state support units.

                                       3

  1                      COMPUTATION OF KINDERGARTEN SUPPORT UNITS
  2    Average Daily
  3    Attendance            Attendance Divisor         Units Allowed
  4    41 or more     ....   40.......................  1 or more as computed
  5    31 -  40.99 ADA....    -.......................  1
  6    26 -  30.99 ADA....    -.......................   .85
  7    21 -  25.99 ADA....    -.......................   .75
  8    16 -  20.99 ADA....    -.......................   .6
  9     8 -  15.99 ADA....    -.......................   .5
 10     1 -   7.99 ADA....    -.......................  count as elementary

 11                       COMPUTATION OF ELEMENTARY SUPPORT UNITS
 12    Average Daily
 13    Attendance            Attendance Divisor         Minimum Units Allowed
 14    300 or more ADA........................................  15
 15                        ..23...grades 4,5 & 6....
 16                        ..22...grades 1,2 & 3....1994-95
 17                        ..21...grades 1,2 & 3....1995-96
 18                        ..20...grades 1,2 & 3....1996-97
 19                              and each year thereafter.
 20    160   to  299.99 ADA... 20.....................         8.4
 21    110   to  159.99 ADA... 19.....................         6.8
 22     71.1 to  109.99 ADA... 16.....................         4.7
 23     51.7 to   71.0  ADA... 15.....................         4.0
 24     33.6 to   51.6  ADA... 13.....................         2.8
 25     16.6 to   33.5  ADA... 12.....................         1.4
 26      1.0 to   16.5  ADA... n/a....................         1.0

 27                        COMPUTATION OF SECONDARY SUPPORT UNITS
 28    Average Daily
 29    Attendance            Attendance Divisor         Minimum Units Allowed
 30    750 or more      .... 18.5.....................        47
 31    400 -  749.99 ADA.... 16.......................        28
 32    300 -  399.99 ADA.... 14.5.....................        22
 33    200 -  299.99 ADA.... 13.5.....................        17
 34    100 -  199.99 ADA.... 12.......................         9
 35     99.99 or fewer       Units allowed as follows:
 36             Grades 7-12  .........................         8
 37             Grades 9-12  .........................         6
 38             Grades 7- 9  .........................         1 per 14 ADA
 39             Grades 7- 8  .........................         1 per 16 ADA

 40                  COMPUTATION OF EXCEPTIONAL EDUCATION SUPPORT UNITS
 41    Average Daily
 42    Attendance            Attendance Divisor         Minimum Units Allowed
 43    14 or more ....       14.5.....................  1 or more as computed
 44    12 -  13.99....        -.......................  1
 45     8 -  11.99....        -.......................   .75
 46     4 -   7.99....        -.......................   .5
 47     1 -   3.99....        -.......................   .25

 48              COMPUTATION OF ALTERNATIVE SCHOOL SECONDARY SUPPORT UNITS
 49    Pupils in Attendance  Attendance Divisor         Minimum Units Allowed
 50    12 or more..........  12......................   1 or more as computed

                                       4

  1        In  applying these tables to any given separate attendance unit, no school
  2    district shall receive less total money than it would  receive  if  it  had  a
  3    lesser  average daily attendance in such separate attendance unit. In applying
  4    the kindergarten table to a kindergarten program of  less  days  than  a  full
  5    school  year,  the  support  unit allowance shall be in ratio to the number of
  6    days of a full school year. The tables for exceptional education and  alterna-
  7    tive  school  secondary  support  units  shall be applicable only for programs
  8    approved by the state department of education following rules  established  by
  9    the  state  board  of  education. Moneys generated from computation of support
 10    units for alternative schools shall be utilized for  alternative  school  pro-
 11    grams.  School  district  administrative and facility costs may be included as
 12    part of the alternative school expenditures.
 13        (5)  State Distribution Factor per Support Unit. Divide  educational  sup-
 14    port    program distribution funds, after subtracting the amounts necessary to
 15    pay the obligations specified in subsection (2) of this section, by the  total
 16    state support units to secure the state distribution factor per support unit.
 17        (6)  District  Support  Units. The number of support units for each school
 18    district in the state shall be determined as follows:
 19        (a)  (i)   Divide the actual average daily attendance, excluding  students
 20             approved  for inclusion in the exceptional child educational program,
 21             for the administrative schools and each of the separate  schools  and
 22             attendance  units  by the appropriate divisor from the tables of sup-
 23             port units in this section, then add  the  quotients  to  obtain  the
 24             district's support units allowance for regular students, kindergarten
 25             through  grade  12  including  alternative school secondary students.
 26             Calculations in application of this subsection shall be  carried  out
 27             to the nearest tenth.
 28             (ii)  Divide  the  combined totals of the average daily attendance of
 29             all preschool, handicapped, kindergarten, elementary,  secondary  and
 30             juvenile  detention  center  students  approved  for inclusion in the
 31             exceptional child program of the district by the appropriate  divisor
 32             from the table for computation of exceptional education support units
 33             to  obtain  the  number  of  support units allowed for the district's
 34             approved exceptional child program. Calculations for this  subsection
 35             shall be carried out to the nearest tenth when more than one (1) unit
 36             is allowed.
 37             (iii) The  total number of support units of the district shall be the
 38             sum of the total  support  units  for  regular  students,  subsection
 39             (6)(a)(i)  of  this  section, and the support units allowance for the
 40             approved exceptional child program,  subsection  (6)(a)(ii)  of  this
 41             section.
 42        (b)  Total District Allowance Educational Program. Multiply the district's
 43        total  number  of  support units, carried out to the nearest tenth, by the
 44        state distribution factor per support unit and to  this  product  add  the
 45        approved  amount of programs of the district provided in subsection (2) of
 46        this section to secure the district's total allowance for the  educational
 47        support program.
 48        (c)  District  Share.  The  district's share of state apportionment is the
 49        amount of the total district allowance, subsection (6)(b) of this section.
 50        (d)  Adjustment of District Share. The contract salary of every  noncerti-
 51        ficated  teacher  shall  be subtracted from the district's share as calcu-
 52        lated from the provisions of subsection (6)(c) of this section.
 53        (7)  Property Tax Computation Ratio. In order to receive state funds  pur-
 54    suant  to  this  section a charter district shall utilize a school maintenance
 55    and operation property tax computation ratio for the  purpose  of  calculating

                                       5

  1    its maintenance and operation levy, that is no greater than that which it uti-
  2    lized in tax year 1994, less four-tenths of one percent (.4%). As used herein,
  3    the  term  "property  tax  computation ratio" shall mean a ratio determined by
  4    dividing the district's certified property tax maintenance and operation  bud-
  5    get  by  the  actual  or adjusted market value for assessment purposes as such
  6    values existed on December 31, l993. Such maintenance and operation levy shall
  7    be based on the property tax computation ratio multiplied  by  the  actual  or
  8    adjusted market value for assessment purposes as such values existed on Decem-
  9    ber 31 of the prior calendar year.

 10        SECTION  3.  That  Chapter  10,  Title 33, Idaho Code, be, and the same is
 11    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 12    ignated as Section 33-1004B, Idaho Code, and to read as follows:

 13        33-1004B.  ALTERNATIVE  PAY  PLAN.  (1)  The state shall make available to
 14    each school district, including public charter schools,  a  framework,  guide-
 15    lines  and  funding  to  develop and implement an alternative pay plan for all
 16    certificated employees serving in nonadministrative roles, except as  provided
 17    in  section 33-1004H, Idaho Code, that recognizes and rewards student success,
 18    demonstrated professional practice and collaboration.
 19        (2)  The state shall provide funding for three (3) tiers of compensation:
 20        (a)  Base salary, as provided in section 33-1004C, Idaho Code;
 21        (b)  Knowledge and skills-based pay,  as  provided  in  section  33-1004H,
 22        Idaho Code; and
 23        (c)  Group-based  performance  awards,  as  provided  in section 33-1004I,
 24        Idaho Code.
 25        (3)  Locally developed plans shall be submitted for approval to the  state
 26    department  of  education  in accordance with the framework established by the
 27    legislature. The department is hereby authorized and shall:
 28        (a)  Develop and distribute the basic guidelines that districts shall  use
 29        as a model for developing district plans;
 30        (b)  Establish  procedures  for districts to submit plans for approval and
 31        to allow districts to amend previously approved or denied plans; and
 32        (c)  Approve or deny proposed school district plans  based  on  the  state
 33        framework and guidelines. Such guidelines shall include an appeal process.

 34        SECTION  4.  That  Chapter  10,  Title 33, Idaho Code, be, and the same is
 35    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 36    ignated as Section 33-1004G, Idaho Code, and to read as follows:

 37        33-1004G.  ALTERNATIVE  PAY  FUNDING  FORMULA.  Annually,  the legislature
 38    shall provide an alternative pay apportionment for use by school districts  to
 39    fund  state-approved  plans  as  specified  in sections 33-1004H and 33-1004I,
 40    Idaho Code. Such apportionment shall be distributed as follows:
 41        (a)  Each district and charter school shall receive  an  equal  amount  of
 42        base funding; and
 43        (b)  Each  district  shall  receive  an  apportionment  based on the prior
 44        year's ADA. This  apportionment  shall  be  distributed  to  participating
 45        school  districts  and used to compensate employees who take part in their
 46        local  alternative  pay  system  as  provided  in  sections  33-1004H  and
 47        33-1004I, Idaho Code. Nothing shall preclude a local school district  from
 48        using local funds to enhance said plans.

 49        SECTION  5.  That  Chapter  10,  Title 33, Idaho Code, be, and the same is
 50    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-

                                       6

  1    ignated as Section 33-1004H, Idaho Code, and to read as follows:

  2        33-1004H.  FRAMEWORK FOR LOCALLY DEVELOPED KNOWLEDGE AND SKILLS-BASED COM-
  3    PENSATION  PAY PLANS. (1) Locally developed knowledge and skills-based compen-
  4    sation pay plans shall contain:
  5        (a)  The criteria and procedures for the  supervision  and  evaluation  of
  6        certificated teachers as provided in chapter 5, title 33, Idaho Code;
  7        (b)  Mandatory  assurance  that  at no time will the local school district
  8        require any certificated employee serving in a nonadministrative  position
  9        to participate in this portion of the pay plan; and
 10        (c)  A  provision  for three (3) levels of knowledge and skills-based per-
 11        formance through which teachers may advance during their careers.
 12        (2)  The three (3) levels of knowledge and skills-based performance  shall
 13    be as follows:
 14        (a)  Novice.  Novice  level  is  intended  to be a time of development and
 15        growth in the first few years of a teacher's career. At a minimum, locally
 16        developed plans shall require the teacher to:
 17             (i)   Participate in a comprehensive mentoring program;
 18             (ii)  Create an annual individual professional development plan  that
 19             outlines  how the teacher will improve competence in at least one (1)
 20             area within each of the following domains of  professional  practice:
 21             planning  and preparation; the classroom and educational environment;
 22             instruction; or professional responsibility;
 23             (iii) Assess the teacher's positive impact on students; and
 24             (iv)  Implement the school and district continuous improvement plans.
 25        (b)  Professional. A professional educator achieves and maintains  a  high
 26        level  of  competence,  which  is demonstrated through a variety of accom-
 27        plishments. At a  minimum,  locally  developed  plans  shall  require  the
 28        teacher to:
 29             (i)   Develop  a  biennial  individual  professional development plan
 30             that outlines how the teacher will improve practice in at  least  two
 31             (2)  areas within each of the following domains of professional prac-
 32             tice:  planning and preparation; the classroom and educational  envi-
 33             ronment; instruction; or professional responsibility;
 34             (ii)  Assess the teacher's positive impact on students;
 35             (iii) Participate  in  programs  and activities to improve and assess
 36             student learning;
 37             (iv)  Develop  and  implement  the  school  and  district  continuous
 38             improvement plans; and
 39             (v)   Create a continuing education  plan  that  is  related  to  the
 40             teacher's content area or professional growth.
 41        (c)  Master.  The  master teacher is reflective, consistently demonstrates
 42        the highest degree of competence, and strives  to  encourage  and  inspire
 43        others  toward  excellence.  At  a  minimum, locally developed plans shall
 44        require the teacher to:
 45             (i)    Develop a three (3) year individual  professional  development
 46             plan  that outlines how the teacher will improve practice in at least
 47             three (3) areas within each of the following domains of  professional
 48             practice:   planning  and  preparation; the classroom and educational
 49             environment; instruction; or professional responsibility;
 50             (ii)   Assess the teacher's positive impact on students;
 51             (iii)  Participate in programs and activities to improve  and  assess
 52             student learning;
 53             (iv)   Develop  and  implement  the  school  and  district continuous
 54             improvement plans;

                                       7

  1             (v)    Create a continuing education plan that is  connected  to  the
  2             teacher's content area or professional growth;
  3             (vi)   Serve as a peer instructor, mentor or expert in the demonstra-
  4             tion of specific skills as determined by the local school district;
  5             (vii)  Develop  and  complete  a  plan  for studying and implementing
  6             research on a topic vital to  the  teacher's  continued  professional
  7             development or for the achievement of school goals as approved by the
  8             local professional development committee; and
  9             (viii) Share the teacher's expertise with colleagues.
 10        (3)  Local  school  district plans shall describe the process for a novice
 11    teacher to transition to the professional level of knowledge and  skills-based
 12    performance. At a minimum, the local plan shall require that the teacher pres-
 13    ent a portfolio of work to the teacher's immediate supervisor and members of a
 14    local  professional  development committee for review. At least one (1) member
 15    of the local professional development committee shall be a teacher selected by
 16    teachers employed in the district. The local professional development  commit-
 17    tee,  in  coordination with the immediate supervisor, shall have the authority
 18    to approve or deny the novice teacher's transition to the professional level.
 19        (4)  Local school district plans shall describe the process for a  profes-
 20    sional teacher to transition to the master level of knowledge and skills-based
 21    performance.  At  a  minimum, the local plan shall provide that a teacher will
 22    advance to the third level of alternative compensation when  the  teacher  has
 23    demonstrated exceptional knowledge and skills by achieving one (1) of the fol-
 24    lowing benchmarks:
 25        (a)  Earning national board certification.
 26        (b)  Earning  an  advanced  degree  in  an  area relevant to the teacher's
 27        classroom or content area or in an area of greatest need as determined  by
 28        the school district.
 29        (c)  Completing  a  multiyear,  research-based professional portfolio that
 30        documents the development of the expertise essential for a master teacher,
 31        as determined by the local professional development committee.

 32        SECTION 6.  That Chapter 10, Title 33, Idaho Code, be,  and  the  same  is
 33    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 34    ignated as Section 33-1004I, Idaho Code, and to read as follows:

 35        33-1004I.  FRAMEWORK FOR LOCALLY DEVELOPED GROUP-BASED PERFORMANCE AWARDS.
 36    (1)  The department shall create a framework for local school districts to use
 37    to develop and implement group-based performance awards.  Group-based  perfor-
 38    mance  awards are provided to promote collaboration among employees and ensure
 39    student success. Awards are additional monetary remuneration for  school  dis-
 40    trict employees who achieve predetermined local goals.
 41        (2)  Groups  may  consist  of  all employees within a school, teams within
 42    schools or across a district including, but not limited to,  grade  levels  or
 43    departments  or  any configuration of employees as determined by the district.
 44    Group goals may focus on improving student performance, increasing  attendance
 45    or  graduation  rates,  increasing  parental involvement, or other educational
 46    goals as established by the local school district.
 47        (3)  Locally developed plans for group-based performance awards shall con-
 48    form to the state framework and guidelines and shall assure that  at  no  time
 49    will  the  local school district mandate that any employee accept compensation
 50    under this portion of the pay plan.
 51        (4)  At a minimum, the  local  plan  shall  promote  progress  toward  the
 52    achievement  of  the  district  or school continuous improvement plan, or both
 53    such plans, and reward collaboration in reaching district or school goals,  or

                                       8

  1    both such goals.

  2        SECTION  7.  That Section 33-1004G, Idaho Code, be, and the same is hereby
  3    amended to read as follows:

  4        33-1004GJ.  EARLY RETIREMENT INCENTIVE -- ADMINISTRATIVE  STAFF  EXCLUDED.
  5    (1)  Except  as  provided in subsection (8) of this section, each certificated
  6    employee of an Idaho public school district as defined in section 33-1001(16),
  7    Idaho Code, is eligible for an early retirement incentive, provided they  meet
  8    the following criteria:
  9        (a)  The  employee has completed a minimum of ten (10) years of continuous
 10        full-time certified employment, which may include time spent on a sabbati-
 11        cal leave, in Idaho public school districts at the time of application.
 12        (b)  The employee is not eligible for unreduced service, early or disabil-
 13        ity retirement from the public employee retirement system of Idaho at  the
 14        time of application.
 15        (c)  The  employee  is fifty-five (55) years old before September 1 of the
 16        year the application is made; provided that persons turning fifty-six (56)
 17        years old or greater between August 15 and 31, 2000, will be  eligible  to
 18        receive  the  retirement incentive option percentage provided in this sec-
 19        tion that reflects their age on August 15, 2000.
 20        (d)  The employee submits his/her application to the state  superintendent
 21        of public instruction on or before April 1 of the  year of application.
 22        (e)  The  employee  is contracted with an Idaho public school district for
 23        the entire school year  during the year of application and  has  not  been
 24        terminated  or  on  a  leave of absence for the current or upcoming school
 25        year.
 26        (2)  (a) Full-time qualifying applicants shall receive as a one  (1)  time
 27        incentive  the following amount of the  employee's qualifying salary allo-
 28        cation as provided in section 33-1004E, Idaho Code:
 29        at 55 years of age            55% of allocation
 30        at 56 years of age            50% of allocation
 31        at 57 years of age            45% of allocation
 32        at 58 years of age            40% of allocation
 33        at 59 years of age            30% of allocation
 34        at 60 years of age            30% of allocation
 35        at 61 years of age            20% of allocation
 36        at 62 years of age            20% of allocation
 37        at 63 years of age and over    0% of allocation
 38        (b)  Certified employees working less than full-time  in  the  application
 39        year will have the incentive payment prorated according to their full-time
 40        equivalent (FTE) percentage.
 41        (c)  Incentive  payments for certified employees not placed on the experi-
 42        ence and education multiplier table as provided in section 33-1004A, Idaho
 43        Code, will be calculated using the BA column of the table.
 44        (3)  Incentives and the employer's share of FICA benefits shall be paid by
 45    the state department of education to the Idaho  public  school  district  with
 46    which  the  applicant  was last contracted on or before July 31 of the year of
 47    application and acceptance.
 48        (4)  Incentives shall be considered additional compensation  flowing  from
 49    the  employment relationship and subject to federal and state tax laws. Incen-
 50    tives  shall not be considered salary for  purposes  of  the  public  employee
 51    retirement system.
 52        (5)  Any  employee  receiving an early retirement incentive as provided in
 53    this section shall not be eligible for future employment with an Idaho  school

                                       9

  1    district  where  such employment would again qualify him/her for participation
  2    in the state retirement system.
  3        (6)  Any applicant choosing to withdraw their application must notify  the
  4    state superintendent of public instruction in writing no later than June 20 in
  5    the year of application.
  6        (7)  A  special application of the early retirement incentive shall super-
  7    sede the limitations of this section to the extent necessary  to  comply  with
  8    this subsection. An otherwise qualified certificated employee who becomes med-
  9    ically  unable  to work prior to July 1 of any year shall be eligible to apply
 10    for the early retirement incentive for which the employee would have been eli-
 11    gible retroactive to April 1.
 12        (8)  Administrative staff shall not be allowed to participate in the early
 13    retirement incentive program as provided in this section and  such  staff  are
 14    hereby excluded from participation in the program.

 15        SECTION  8.  That Section 33-1004H, Idaho Code, be, and the same is hereby
 16    amended to read as follows:

 17        33-1004HK.  EMPLOYING RETIRED TEACHERS AND  ADMINISTRATORS.  (1)  Notwith-
 18    standing  the  provisions  of  section 33-514, 33-1271 or 33-1273, Idaho Code,
 19    school districts may employ certificated school  teachers  and  administrators
 20    who are receiving retirement benefits from the public employee retirement sys-
 21    tem  of  Idaho,  except those who received benefits under the early retirement
 22    program provided in section 33-1004GJ, Idaho Code, in positions requiring such
 23    certification, as at-will  employees.  Any  employment  contract  between  the
 24    retiree  and  the school district shall be separate and apart from the collec-
 25    tive bargaining agreement of the school district.
 26        (2)  Retirees employed under this section shall accrue  one  (1)  day  per
 27    month  of sick leave, with no annual sick leave accumulation unless additional
 28    sick leave is negotiated between the candidate and the school district at  the
 29    time  of  employment.  No  sick leave accrued under this section qualifies for
 30    unused sick leave benefits under section 33-1228, Idaho Code.
 31        (3)  School districts are not required to provide health insurance or life
 32    insurance benefits to persons employed under  this  section.  Post-termination
 33    benefits  may  be  negotiated between the school district and the certificated
 34    employee at the time of rehiring but in no event can  the  parties  affect  or
 35    attempt to affect the provisions governing the public employee retirement sys-
 36    tem.

 37        SECTION  9.  That  Section 59-1356, Idaho Code, be, and the same is hereby
 38    amended to read as follows:

 39        59-1356.  REEMPLOYMENT OF RETIRED MEMBERS. (1) If an early retired  member
 40    is reemployed with the same employer within ninety (90) days from retiring, or
 41    the early retired member is guaranteed reemployment with the same employer the
 42    member  shall be considered to have continued in the status of an employee and
 43    not to have separated from service. Any retirement allowance payments received
 44    by the retired member shall be repaid to the system and the  retirement  shall
 45    be negated. The month of last contribution prior to the negated retirement and
 46    the  month  of initial contribution upon return to reemployment shall be  con-
 47    sidered consecutive months of contributions in the determination of an  appro-
 48    priate  salary base period upon subsequent retirement. A retired member is not
 49    considered to have separated from service if he continues performing  services
 50    for  the same employer in any capacity including, but not limited to, indepen-
 51    dent contractor, leased employee, or temporary services.

                                       10

  1        (2)  Except as provided in subsection (3) of this section, when a  retired
  2    member   meets   the   definition   of  an  employee  as  defined  in  section
  3    59-1302(14)(A)(a), Idaho Code, any benefit payable on behalf  of  such  member
  4    shall be suspended and any contributions payable by such member under sections
  5    59-1331 through 59-1334, Idaho Code, shall again commence. The suspended bene-
  6    fit,  as  adjusted  pursuant to section 59-1355, Idaho Code, shall resume upon
  7    subsequent retirement, along with a separate allowance computed  with  respect
  8    to  only  that  salary and service credited during the period of reemployment.
  9    Any death benefit that becomes payable under the suspended  benefit  shall  be
 10    payable  under  section 59-1361(2), Idaho Code. Any death benefit that becomes
 11    payable with respect to salary and service accrued during the period of  reem-
 12    ployment  shall be payable under section 59-1361(3), Idaho Code, if the member
 13    dies during the period of reemployment.
 14        (3)  If a retired member, who is receiving a benefit that is  not  reduced
 15    under  section 59-1346, Idaho Code, and who has been retired for more than six
 16    (6) months, again becomes employed as defined  in  this  section  and  section
 17    59-1302(14)(A)(b), Idaho Code, as a result of being elected to a public office
 18    other than an office held prior to retirement, the retired member may elect to
 19    continue  receiving benefits and not accrue additional service, in which event
 20    no contributions shall be made by the member or employer during such reemploy-
 21    ment and any benefit payable on behalf of such member shall continue.
 22        (4)  If a retired school teacher or administrator, who retired on or after
 23    age sixty-two (62) years and is receiving a benefit that is not reduced  under
 24    section 59-1346, Idaho Code, again becomes an employee as defined in this sec-
 25    tion  and section 59-1302(14), Idaho Code, as a result of returning to employ-
 26    ment with a school district as provided in section 33-1004HK, Idaho Code,  the
 27    retired  member  may elect to continue receiving benefits and not accrue addi-
 28    tional service, in which event no contributions shall be made  by  the  member
 29    during  such  reemployment  and  any  benefit payable on behalf of such member
 30    shall continue. However, the school district shall pay the  required  employer
 31    contribution for that employee to the public employee retirement system. After
 32    June  30, 2012, this subsection (4) shall no longer be in force and effect and
 33    the other provisions of this section shall be applicable  to  all  employment,
 34    including   the  employment  of  retirees  who  were  employed  under  section
 35    33-1004HK, Idaho Code, before that date.
 36        (5)  It is the responsibility of each employer to  immediately  report  to
 37    the retirement board the employment of any retired member so that benefit pay-
 38    ments  can  be  suspended as provided in this section. If an employer fails to
 39    properly report the employment of a retired  member  and  it  results  in  the
 40    retirement  board making benefit payments that should have been suspended, the
 41    employer shall, in addition to paying delinquent employee and employer contri-
 42    butions from the date of eligibility, also be responsible for repaying to  the
 43    retirement  board  the benefit payments made to the retired member that should
 44    have been suspended, plus interest. The employer may then recoup such payments
 45    from the retired member.
 46        (56)  For purposes of this section, "same employer" means the employer for
 47    which the retired member last worked prior to retirement.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE

                             RS 17629

The purpose of this legislation is to outline a state framework
and funding method for a voluntary alternative pay system that
provides for two (2) levels of teacher compensation: knowledge
and skills-based pay, and group-based performance awards to be
provided as an incentive to improve teaching practice and student
success; to direct the State Department of Education to develop
and distribute guidelines to school authority to the department
to approve or deny plans submitted by local school districts.

                         
                          FISCAL NOTE

The formula outlined in this legislation can accommodate any
level of funding appropriated by the legislature.  All three
levels of compensation, foundation pay (as outlined in Idaho Code
33-1004E) and the two levels of alternative pay outlined in this
legislation, can be funded within the Governor's recommendation
of $36 million with $21 million distributed in foundation pay (a
3% increase on the current base) and the remaining $15 million
distributed as follows: (1) a base amount, based on the number of
teachers employed by the district, provided to each school
district and (2) an amount provided to each school district based
on the previous year's Average Daily Attendance.  The total
alternative pay funding for each district would be designated to
be spent to compensate the teachers in that district who choose
to participate in the manner outlined in the local plan developed
by the district.




Contact
Name: Senator Mike Burkett 
Phone: 332-1351
Senator Gary Schroeder
Phone: 332-1323


STATEMENT OF PURPOSE/FISCAL NOTE                        S 1290