0001|                           SENATE BILL 1027
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0002|     43rd legislature - STATE OF NEW MEXICO - first session, 1997
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0003|                            INTRODUCED BY
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0004|                          CARLOS R. CISNEROS
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0005|     
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0006|                                   
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0007|     
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0008|                                   
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0009|     
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0010|                                AN ACT
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0011|     RELATING TO RETIREMENT; PROVIDING FOR THE PURCHASE OF SERVICE-
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0012|     CREDIT UNDER THE EDUCATIONAL RETIREMENT ACT FOR TIME SERVED IN
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0013|     THE MILITARY OR PUBLIC HEALTH SERVICE.
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0014|     
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0015|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0016|          Section 1.  Section 22-11-34 NMSA 1978 (being Laws 1967,
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0017|     Chapter 16, Section 157, as amended) is amended to read:
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0018|          "22-11-34.  ALLOWED SERVICE-CREDIT.--
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0019|               A.  A member shall be certified to have acquired
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0020|     allowed service-credit for those periods of time when he was:
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0021|                    (1)  employed prior to the effective date of
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0022|     the Educational Retirement Act in any federal educational
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0023|     program within New Mexico, including United States Indian
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0024|     schools and civilian conservation corps camps.  This service-
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0025|     credit shall be allowed without contribution;
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0001|                    (2)  engaged in military service that
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0002|     interrupted his employment in New Mexico, if he returned to his
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0003|     employment within eighteen months following honorable
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0004|     discharge.  This service-credit shall be allowed without
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0005|     contribution;
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0006|                    (3)  engaged in United States military service
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0007|     or the commissioned corps of the public health service from
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0008|     which he was honorably discharged if he contributes to the fund
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0009|     a sum equal to ten and one-half percent of his average annual
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0010|     salary for that period of time for which he has acquired earned
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0011|     service-credit under the Educational Retirement Act for each
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0012|     year of service-credit he desires to purchase.  Average annual
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0013|     salary shall be determined in accordance with rules promulgated
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0014|     by the board, but shall always be based upon actual salaries
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0015|     earned by the member where the actual salaries can be
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0016|     ascertained by the board.  The employer's contributions for
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0017|     service-credit shall not be paid by the employer; <s>[The
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<s></s>0018| <s>    purchase of service-credit provided in this section shall be
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<s></s>0019| <s>    carried out by the member prior to July 1, 1992 or within three
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<s></s>0020| <s>    years after the date of the member's employment following
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<s></s>0021| <s>    service, whichever is later]</s> or
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0022|                    (4)  employed:
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0023|                         (a)  in any public school or public
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0024|     institution of higher learning in another state, territory or
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0025|     possession of the United States;
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0001|                         (b)  in any United States military
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0002|     dependents' school operated by a branch of the armed forces of
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0003|     the United States;                 
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0004|                         (c)  as provided in Paragraph (1) of this
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0005|     subsection after the effective date of the Educational
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0006|     Retirement Act; or
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0007|                         (d)  in any private school or institution
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0008|     of higher learning in New Mexico whose education program is
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0009|     accredited or approved by the state board at the time of
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0010|     employment.
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0011|               B.  The member or employer under Paragraph (4) of
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0012|     Subsection A of this section shall contribute to the fund for
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0013|     each year of allowed service-credit desired an amount equal to
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0014|     twelve percent of the member's annual salary at the time
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0015|     payment is made if the member is employed or twelve percent
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0016|     times the member's annual salary during the member's last year
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0017|     of employment if the member is not employed at the time of
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0018|     payment.  Contributions paid for the member who is not employed
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0019|     shall bear interest at the average rate earned by the fund
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0020|     during the five-fiscal-year period immediately preceding the
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0021|     date of payment.  Such interest shall run from the date the
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0022|     member last terminated employment to the date of payment. 
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0023|     Payment pursuant to Paragraph (4) of Subsection A of this
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0024|     section may be made in installments, at the discretion of the
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0025|     board, over a period of not to exceed one year, and, if the sum
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0001|     paid does not equal the amount required for any full year of
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0002|     allowed service-credit, the member shall acquire allowed
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0003|     service-credit for that period of time which is proportionate
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0004|     to the payment made.  Half credit may be allowed without
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0005|     contribution for not more than ten years of the educational
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0006|     service described by Subparagraph (a) of Paragraph (4) of
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0007|     Subsection A of this section if that service was prior to June
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0008|     13, 1953 and if the member was employed in New Mexico prior to
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0009|     June 13, 1953 in any position covered by the Educational
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0010|     Retirement Act or any law repealed thereby.
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0011|               C.  No member shall be certified to have acquired
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0012|     allowed service-credit:
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0013|                    (1)  under any single paragraph or the
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0014|     combination of only Paragraphs (1) and (4) or only Paragraphs
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0015|     (2) and (3) of Subsection A of this section in excess of five
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0016|     years; or
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0017|                    (2)  in excess of ten years for any other
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0018|     combination of Paragraphs (1) through (4) of Subsection A of
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0019|     this section.
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0020|               D.  The provisions of this section are made
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0021|     applicable to the services described prior to as well as after
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0022|     the effective date of the Educational Retirement Act."
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0023|                                    
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0024|   
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0025|                      FORTY-THIRD LEGISLATURE
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0001|                        FIRST SESSION, 1997
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0002|   
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0003|   
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0004|                                                   March 7, 1997
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0005|   
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0006|   Mr. President:
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0007|   
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0008|       Your EDUCATION COMMITTEE, to whom has been referred
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0009|   
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0010|                          SENATE BILL 1027
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0011|   
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0012|   has had it under consideration and reports same with
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0013|   recommendation that it DO NOT PASS.
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0014|   
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0015|                                Respectfully submitted,
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0016|   
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0017|   
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0018|   
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0019|   
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0020|                                
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0021|   __________________________________
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0022|                                Cynthia Nava, Chairman 
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0023|   
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0024|   
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0025|   
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0001|   Adopted_______________________   Not
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0002|   Adopted_______________________
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0003|             (Chief Clerk)                          (Chief Clerk)
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0004|   
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0005|   
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0006|   
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0007|                     Date ________________________
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0008|   
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0009|   
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0010|   The roll call vote was <u> 4 </u> For <u> 2 </u> Against
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0011|           Yes:    4
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0012|           No:     Garcia, Maloof
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0013|                Excused:     Duran, Gorham, Rawson, Rodriguez
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0014|           Absent: None
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0015|   
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0016|   
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0017|   S1027ED1
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