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PA Bulletin, Doc. No. 05-1635

PROPOSED RULEMAKING

[4 PA. CODE CH. 241]

Preliminary Provisions

[35 Pa.B. 4923]

   The State Employees' Retirement Board (Board) proposes to amend § 241.1 (relating to definitions) by de- leting the definition of ''class of service multiplier.''

A.  Effective Date

   The proposed rulemaking will go into effect upon final-form publication in the Pennsylvania Bulletin.

B.  Contact Person

   For further information, contact Robert Gentzel, Director of Communications and Policy, State Employees' Retirement System, 30 North Third Street, Harrisburg, PA 17101, (717) 787-9657; or Salvatore A. Darigo, Jr., Counsel, State Employees' Retirement System, 30 North Third Street, Harrisburg, PA 17101, (717) 787-7317. Information regarding submitting comments on this proposed rulemaking appears in Section H of this preamble.

C.  Statutory Authority

   This proposed rulemaking is being made under the authority of 71 Pa.C.S. § 5902(h) (relating to administrative duties of the board).

D.  Background and Purpose

   Prior to March 1, 1974, 24 Pa.C.S. Part IV (relating to Public School Employees' Retirement Code) (Retirement Code) contained various benefit formulas which applied a benefit multiplier factor to a State employee's final average salary and total credited service to determine the amount of the employee's retirement benefit. The definition proposed to be deleted clarified the Board's determination that persons who entered State service after March 1, 1974, would not be able to have their post-1974 retirement benefits calculated under earlier law. Subsequent amendments to the Retirement Code removed the various class of service multipliers and substituted a Class ''A'' retirement benefit formula.

   The definition proposed to be deleted is unnecessary, outmoded and irrelevant. Deleting this definition will avoid confusion on the part of members of the State Employees' Retirement System (SERS) and the Board's personnel, reduce paperwork and potentially reduce the number of administrative hearings for redress of grievances.

E.  Benefits, Costs and Compliance

Benefits

   This proposed deletion of this definition would benefit SERS and its members. This definition is unnecessary, outmoded and irrelevant. Deleting this definition will avoid confusion on the part of members of SERS and the agency's personnel, reduce paperwork and potentially reduce the number of administrative hearings for redress of grievances.

Costs

   There are no costs to the Commonwealth, its citizens or State employees associated with this proposed rulemaking.

Compliance Costs

   The proposed rulemaking is not expected to impose any additional compliance costs on State employees.

F.  Sunset Review

   Sunset review does not apply in this instance.

G.  Regulatory Review

   Under section 5(a) of the Regulatory Review Act (71 P. S. § 745.5(a)), on August 18, 2005, the Board submitted a copy of this proposed rulemaking and a copy of a Regulatory Analysis Form to the Independent Regulatory Review Commission (IRRC) and to the Chairpersons of the House State Government Committee and the Senate Finance Committee. A copy of this material is available to the public upon request.

   Under section 5(g) of the Regulatory Review Act, IRRC may convey any comments, recommendations or objections to the proposed rulemaking within 30 days of the close of the public comment period. The comments, recommendations or objections must specify the regulatory review criteria which have not been met. The Regulatory Review Act specifies detailed procedures for review, prior to final publication of the rulemaking, by the Board, the General Assembly and the Governor of comments, recommendations or objections raised.

H.  Public Comments

   Written Comments--Interested persons are invited to submit comments, suggestions or objections regarding the proposed rulemaking to Robert Gentzel, Director of Communications and Policy, State Employees' Retirement System, 30 North Third Street, 5th Floor, Harrisburg, PA 17101. Comments submitted by facsimile will not be accepted. The Board must receive comments, suggestions or objections within 30 days of publication in the Pennsylvania Bulletin.

   Electronic Comments--Comments may be submitted electronically to the Board at rgentzel@state.pa.us and must be received by the Board within 30 days of publication in the Pennsylvania Bulletin. A subject heading of the proposal and a return name and address must beincluded in each transmission. If an acknowledgment of electronic comments is not received by the sender within 2 working days, the comments should be retransmitted to ensure receipt.

NICHOLAS J. MAIALE,   
Chairperson

   Fiscal Note:  31-3. No fiscal impact; (8) recommends adoption.

Annex A

TITLE 4.  ADMINISTRATION

PART X.  STATE EMPLOYEES' RETIREMENT BOARD

CHAPTER 241.  PRELIMINARY PROVISIONS

§ 241.1.  Definitions.

   The following words and terms, when used in this part, have the following meanings, unless the context clearly indicates otherwise:

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   [Class of service multiplier--Relates only to those members who are eligible for and so elected their classes as specified under prior law and who remain in those classes subsequent to March 1, 1974, and thereafter, until termination of State service. All members who enter or reenter after March 1, 1974, shall be in the A class of service and have a multiplier of one for service rendered thereafter. Certain members may be eligible to have previous service credited to another class under section 5303(b) of the code, if they return to service after March 1, 1974. The reference in the code to additional legislative compensation for certain members of Class D-3 applies only to Constitutional officers of the General Assembly and other legislator--officers as elsewhere provided by law.]

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[Pa.B. Doc. No. 05-1635. Filed for public inspection September 2, 2005, 9:00 a.m.]


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