HOUSE OF REPRESENTATIVES	H.B. NO.	2402
TWENTY-FIFTH LEGISLATURE, 2010
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO PUBLIC EMPLOYEES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  Section 88-63, Hawaii Revised Statutes, is amended to read as follows:

     "[[]§88-63[]]  Credit for unused sick leave. (a)  A public employee who retires or leaves government service in good standing prior to January 1, 2011, with sixty days or more of unused sick leave shall be entitled to additional service credit in the retirement system as follows:

(1)  An employee with sixty days of unused sick leave to the employee's credit shall have the employee's years of service increased by three months for the purpose of computing the employee's retirement allowance[.]; and

(2)  For each additional twenty days or major fraction thereof of unused sick leave in excess of sixty days that the employee has to the employee's credit the employee shall have the employee's years of service increased by one month for the purpose of computing the employee's retirement allowance.

(b)  A public employee who retires or leaves government service in good standing after December 31, 2010, with sixty days or more of unused sick leave shall be entitled to additional service credit in the retirement system an amount equal to the lesser of:

(1) The additional service credit to which the employee would have been entitled if the employee had retired or left government service in good standing on December 31, 2010; or

(2) Additional service credit calculated as follows:

(A) An employee with sixty days of unused sick leave to the employee's credit shall have the employee's years of service increased by three months for the purpose of computing the employee's retirement allowance.

(B) For each additional twenty days or major fraction thereof of unused sick leave in excess of sixty days that the employee has to the employee's credit the employee shall have the employee's years of service increased by one month for the purpose of computing the employee's retirement allowance.

(c)  Notwithstanding subsection (a) or (b), a public employee who enters or returns to service after December 31, 2010 and who retires or leaves government service in good standing with sixty days or more of unused sick leave shall have the employee's years of service increased by three months for the purpose of computing the employee's retirement allowance.

(d)  The allowance on service retirement of section 88-74 and the service benefit limitation therein shall not apply to retirement allowances which exceed such limitations by virtue of the application of this section in the computation of retirement allowances and no reduction in such retirement allowances shall be made on account of such limitations."

     SECTION 2.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 3.  This Act shall take effect upon its approval.

INTRODUCED BY:

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Report Title:

Retirement Benefits; Sick Leave

Description:

Caps retirement service credit allowance for unused sick leave to the amount accrued on December 31, 2010.  Limits retirement service credit allowance for unused sick leave for employees hired after January 1, 2011, to three months.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.