TEACHERS & SUPPLEMENTAL EMPLOYEE BENEFITS

Plain English Breakdown

The bill summary and digest do not provide specific details about the types of benefits available under the supplemental employee benefits program.

Teacher Benefits Act

This act allows employers in Alaska's teacher retirement system and public employee retirement system who do not participate in the federal social security system to join a supplemental employee benefits program, while allowing employees to opt-out.

What This Bill Does

• Amends existing laws to allow employers in the teachers' retirement system or the Public Employees' Retirement System of Alaska, which are not part of the federal social security system, to become participating employers in the supplemental employee benefits program.
• Updates the definition of 'participating employer' to include more types of employers who do not participate in the federal social security system.

Who It Names or Affects

• Teachers and other employees in Alaska's teacher retirement system or public employee retirement system.
• Employers who are part of these retirement systems and do not participate in the federal social security system.

Terms To Know

Supplemental Employee Benefits Program

A special program that provides extra benefits to employees, separate from regular retirement systems or federal social security.

Participating Employer

An employer who is part of the supplemental employee benefit program and meets certain criteria, such as not participating in the federal social security system.

Limits and Unknowns

• The bill does not specify what kind of extra benefits are available in the supplemental employee benefits program.
• It's unclear how many employers will choose to join this new program or if teachers will opt-in once it is available.

Official Summary Text

TEACHERS & SUPPLEMENTAL EMPLOYEE BENEFITS
An Act relating to supplemental employee benefits; and providing for an effective date.

Current Bill Text

HB0038b -1- SSHB 38
New Text Underlined [DELETED TEXT BRACKETED]

34-LS0166\N

SPONSOR SUBSTITUTE FOR HOUSE BILL NO. 38

IN THE LEGISLATURE OF THE STATE OF ALASKA

THIRTY-FOURTH LEGISLATURE - FIRST SESSION

BY REPRESENTATIVE SADDLER

Introduced: 3/5/25
Referred: Labor and Commerce, Finance

A BILL

FOR AN ACT ENTITLED

"An Act relating to supplemental employee benefits; and providi ng for an effective 1
date." 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
* Section 1. AS 39.30.170(a) is amended to read: 4
(a) An employer in the teachers' retirem ent system (AS 14.25) or the 5
Public Employees' Retirement System of Alaska (AS 39.35) that d oes not 6
participate in the federal social security system m a y b e c o m e a p a r t i c i p a t i n g 7
employer in the employee benefits program under AS 39.30.150 - 39.30.180; 8
however, an employee who is a member of the teachers' retiremen t system may 9
choose not to participate in the employee benefits program unde r AS 39.30.150 - 10
39.30.180 [, IF 11
(1) THE EMPLOYER PARTICIPATES AS AN EMPLOYER IN 12
THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM UNDER AS 39.35; AND 13
(2) THE EMPLOYER 14
34-LS0166\N
SSHB 38 -2- HB0038b
New Text Underlined [DELETED TEXT BRACKETED]

(A) IS ELIGIBLE FOR MEMBERSHIP IN BUT HAS 1
NEVER ELECTED TO BECOME A MEMBER OF THE FEDERAL 2
SOCIAL SECURITY SYSTEM; OR 3
(B) WITHDRAWS FROM MEMBERSHIP IN THE 4
FEDERAL SOCIAL SECURITY SYSTEM]. 5
* Sec. 2. AS 39.30.180(3) is amended to read: 6
(3) "participating employer" means 7
(A) the State of Alaska; [AND] 8
(B) an employer who 9
(i) [WHO] is an employer as defined in AS 14.25.220, 10
14.25.590, AS 39.35.680, or 39.35.990; and 11
(ii) d o e s n o t p a r t i c i p a t e [WHO HAS NEVER 12
PARTICIPATED IN OR HAS WITHDRAWN FROM 13
PARTICIPATION] in the federal social security system [; AND 14
(iii) WHOSE PARTICIPATION IN THE 15
SUPPLEMENTAL EMPLOYEE BENEFIT PROGRAM HAS BEEN 16
APPROVED BY THE COMMISSIONER]. 17
* Sec. 3. This Act takes effect July 1, 2025. 18