RELATING TO GOVERNMENT.

SB2555

THE SENATE

S.B. NO.

2555

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

relating
to government
.

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

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SECTION 1.
�
The legislature finds that in 2010, chapter
88, Hawaii Revised Statutes, was amended to clarify the circumstances under
which an employees' retirement system retirant may be reemployed without the
suspension of the retirant's benefits and to provide remedies for the
employees' retirement system if a retirant is reemployed in violation of that
chapter or any administrative rule adopted thereunder.

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The
legislature further finds that there is a labor shortage in the State that
makes it difficult to fill certain positions in the public sector.

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Accordingly,
the purpose of this Act is to include positions needed for succession planning
in the types of positions
that may be filled by
retirants without reenrollment in the employees' retirement system and without
loss or interruption of benefits.

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SECTION
2
.
�
Section 88-9, Hawaii Revised Statutes, is
amended by amending subsection (d) to read as follows:

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"(d)
�

A retirant may be employed without reenrollment in the system and suffer
no loss or interruption of benefits provided by the system or under chapter 87A
if the retirant is employed:

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(1)
�
As an elective officer pursuant to
section 88-42.6(c) or as a member of the legislature pursuant to section 88-73(d);

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(2)
�
As a juror or precinct official;

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(3)
�
As a part-time or temporary employee
excluded from membership in the system pursuant to section 88-43, as a session
employee excluded from membership in the system pursuant to section 88-54.2[
[
],[
]
]
or as any other employee expressly excluded by law from membership in the
system; provided that:

���������
(A)
�
The retirant was not employed by the
State or a county during the six calendar months [
prior to
]
before

the first day of reemployment; and

���������
(B)
�
No agreement was entered into between
the State or a county and the retirant, [
prior to
]
before
the
retirement of the retirant, for the return to work by the retirant after
retirement;

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(4)
�
In a position identified by the
appropriate jurisdiction as a labor shortage or difficult-to-fill [
position;
]

position, or a position needed for succession planning;
provided that:

���������
(A)
�
The retirant was not employed by the
State or a county during the twelve calendar months [
prior

to
]
before

the first day of reemployment;

���������
(B)
�
No agreement was entered into between
the State or a county and the retirant, [
prior to
]
before
the
retirement of the retirant, for the return to work by the retirant after
retirement; and

���������
(C)
�
Each employer shall contribute to the
pension accumulation fund the required percentage of the rehired retirant's
compensation to amortize the system's unfunded actuarial accrued liability; or

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(5)
�
As a teacher or an administrator in a
teacher shortage area identified by the department of education or in a charter
school or as a mentor for new classroom teachers; provided that:

���������
(A)
�
The retirant was not employed by the
State or a county during the twelve calendar months [
prior

to
]
before

the first day of reemployment;

���������
(B)
�
No agreement was entered into between
the State or a county and the retirant [
prior to
]
before
the
retirement of the retirant, for the return to work by the retirant after
retirement; and

���������
(C)
�
The department of education or charter
school shall contribute to the pension accumulation fund the required
percentage of the rehired retirant's compensation to amortize the system's
unfunded actuarial accrued liability."

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SECTION 3.
�

This Act does not affect rights and duties that matured, penalties that
were incurred, and proceedings that were begun before its effective date.

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SECTION
4.
�
Statutory material to be repealed is
bracketed and stricken.
�
New statutory
material is underscored.

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SECTION 5.
�

This Act shall take effect upon its approval.

INTRODUCED
BY:

_____________________________

Report Title:

ERS; Retirants; Employment; Succession Planning

Description:

Allows a retirant to be employed without reenrollment in
the Employees' Retirement System and without loss or interruption of benefits
if the retirant is employed in a position identified for succession planning
purposes.

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