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AB36: Bill Text
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2025 - 2026 LEGISLATURE
LRB-1577/1
MIM:wlj
2025 ASSEMBLY BILL 36
February 17, 2025 - Introduced by Representatives
Wichgers
,
Behnke
,
Goodwin
,
Green
,
Kreibich
,
Melotik
,
Miresse
,
Murphy
and
Subeck
, cosponsored by Senators
Jacque
,
Bradley
and
Cabral-Guevara
. Referred to Committee on Workforce Development, Labor, and Integrated Employment.
AB36,1,4
1
An Act
to amend
40.22 (1), 40.22 (2m) (intro.), 40.22 (2r) (intro.) and 40.22 (3)
2
(intro.);
to create
40.26 (7) of the statutes;
relating to:
law enforcement and
3
firefighter annuitants in the Wisconsin Retirement System who are rehired by
4
a participating employer.
Analysis by the Legislative Reference Bureau
Under current law, certain persons who receive a retirement or disability annuity from the Wisconsin Retirement System and who are hired by an employer that participates in the WRS must suspend that annuity and may not receive a WRS annuity payment until the employee is no longer in a WRS-covered position. This suspension applies to a person who 1) has reached his or her normal retirement date; 2) is appointed to a position with a WRS-participating employer or provides employee services to a WRS-participating employer; and 3) is expected to work at least two-thirds of what is considered full-time employment by the Department of Employee Trust Funds.
This bill creates an exception to this suspension for an annuitant who retired from employment with a participating employer and who is subsequently rehired or provides employee services after retirement if 1) the annuitant is a retired law enforcement officer or firefighter; 2) at the time the annuitant initially retires from covered employment with a participating employer, the annuitant does not have an agreement with any participating employer to return to employment; and 3) the annuitant elects to not become a participating employee at the time the annuitant is rehired or enters into a contract after retirement. In other words, the bill allows an annuitant who was a law enforcement officer or firefighter to return to work with an employer that participates in the WRS and elect to not become a participating employee for purposes of the WRS but instead continue to receive an annuity from the WRS.
For further information see the local fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
AB36,1
1
Section
1
.
40.22 (1) of the statutes is amended to read:
AB36,2,6
2
40.22
(1)
Except as otherwise provided in sub. (2) and s. 40.26 (6)
and (7)
, each
3
employee currently in the service of, and receiving earnings from, a state agency or
4
other participating employer shall be included within the provisions of the
5
Wisconsin retirement system as a participating employee of that state agency or
6
participating employer.
AB36,2
7
Section
2
.
40.22 (2m) (intro.) of the statutes is amended to read:
AB36,2,14
8
40.22
(2m)
(intro.) Except as otherwise provided in s. 40.26 (6)
and (7)
, an
9
employee who was a participating employee before July 1, 2011, who is not expected
10
to work at least one-third of what is considered full-time employment by the
11
department, as determined by rule, and who is not otherwise excluded under sub.
12
(2) from becoming a participating employee shall become a participating employee if
13
he or she is subsequently employed by the state agency or other participating
14
employer for either of the following periods:
AB36,3
15
Section
3
.
40.22 (2r) (intro.) of the statutes is amended to read:
AB36,3,6
16
40.22
(2r)
(intro.) Except as otherwise provided in s. 40.26 (6)
and (7)
, an
1
employee who was not a participating employee before July 1, 2011, who is not
2
expected to work at least two-thirds of what is considered full-time employment by
3
the department, as determined by rule, and who is not otherwise excluded under
4
sub. (2) from becoming a participating employee shall become a participating
5
employee if he or she is subsequently employed by the state agency or other
6
participating employer for either of the following periods:
AB36,4
7
Section
4
.
40.22 (3) (intro.) of the statutes is amended to read:
AB36,3,10
8
40.22
(3)
(intro.) Except as otherwise provided in s. 40.26 (6)
and (7)
, a person
9
who qualifies as a participating employee shall be included within, and shall be
10
subject to, the Wisconsin retirement system effective on one of the following dates:
AB36,5
11
Section
5
.
40.26 (7) of the statutes is created to read:
AB36,3,13
12
40.26
(7)
(a) In this subsection, “law enforcement officer” has the meaning
13
given in s. 165.85 (2) (c).
AB36,3,18
14
(b) Subsections (1) to (5) do not apply to a participant who applies for an
15
annuity or lump sum payment during the period in which at least 75 days have
16
elapsed between the participant’s termination of employment and becoming an
17
employee or contractor providing employee services with a participating employer if
18
all of the following conditions are met:
AB36,3,19
19
1. The participant is a retired law enforcement officer or firefighter.
AB36,3,23
20
2. At the time the participant terminates his or her employment with a
21
participating employer, the participant does not have an agreement with any
22
participating employer to return to employment or enter into a contract to provide
23
employee services for the employer.
AB36,4,2
1
3. The participant elects on a form provided by the department to not become
2
a participating employee.
AB36,6
3
Section
6
. Initial applicability.
AB36,4,5
4
(
1
)
This act first applies to a participant under the Wisconsin Retirement
5
System who terminates employment on the effective date of this subsection.
AB36,4,6
6
(end)
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