HB303 Alabama 2023 Session

Summary

Primary Sponsor

Jim HillRepresentative

Republican

Session

Regular Session 2023

Title

To reopen the Teachers' Retirement System to permit purchase of credit in the system for prior service rendered to the St. Clair County DAY Program, Inc.

Summary

HB303 would reopen the Teachers' Retirement System to let active employees of St. Clair County DAY Program, Inc. purchase credit for prior service and participate in TRS, with employer funding support.

What This Bill Does

The bill allows St. Clair County DAY Program, Inc. to elect, by resolution, to have its executive officers and full-time employees participate in the Teachers' Retirement System. After election, participating employees would contribute from their salaries, and the employer would pay employer contributions as a percentage of salaries, funded monthly along with employee contributions. The program could grant credit for prior service to eligible employees who were actively serving on the election date, with the program paying the funding costs as determined by TRS actuaries. Benefits payable would be limited to the amount contributed by the employee and employer, plus interest and investment gains, minus administration costs, and there would be no cost to the State of Alabama.

Who It Affects

• Active, vested, and contributing employees and executive officers of St. Clair County DAY Program, Inc. who elect to participate in the Teachers' Retirement System and may receive credit for prior service.
• St. Clair County DAY Program, Inc. as the employer, which would fund and manage employer contributions and costs to enable participation and any prior-service credit.

Key Provisions

• The program's governing body may elect, by resolution, to have its executive officers and full-time employees participate in TRS, subject to TRS rules and conditions.
• After election, participating employees may join TRS and have contributions deducted from salaries; the program must pay employer contributions as a percentage of salaries, on the same schedule as employee contributions, per Section 16-25-21.
• The program may specify that prior service rendered to St. Clair County DAY Program, Inc. before the election date is creditable for eligible employees who were active on the election date, with costs funded as determined by the TRS actuary.
• The employer and employee contributions, plus any interest and investment gains, may be used to fund the credited service, with administration costs deducted and no cost to the State.
• Section 2 provides that the act takes effect on the first day of the third month after its passage and approval.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.