HOUSE OF REPRESENTATIVES	H.B. NO.	1229
THIRTY-FIRST LEGISLATURE, 2021
STATE OF HAWAII

A BILL FOR AN ACT

relating to the employees' retirement system.

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

SECTION 1. Section 88-63, Hawaii Revised Statutes, is amended to read as follows:

"[[]§88-63[]] Credit for unused sick leave. (a) A public employee who retires or leaves government service in good standing with sixty days or more of unused sick leave shall be entitled to additional service credit in the retirement system as follows:

(1) An employee with sixty days of unused sick leave to the employee's credit shall have the employee's years of service increased by three months for the purpose of computing the employee's retirement allowance.

(2) For each additional twenty days or major fraction thereof of unused sick leave in excess of sixty days that the employee has to the employee's credit the employee shall have the employee's years of service increased by one month for the purpose of computing the employee's retirement allowance[.];

provided that a public employee who becomes a member on or after July 1, 2021, shall be entitled to a maximum additional service credit of ninety days and any unused sick leave in excess of ninety days shall be forfeited.

(b) The allowance on service retirement of section 88-74 and the service benefit limitation therein shall not apply to retirement allowances which exceed such limitations by virtue of the application of this section in the computation of retirement allowances and no reduction in such retirement allowances shall be made on account of such limitations."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect on July 1, 2021.

INTRODUCED BY:

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Report Title:

Employees' Retirement System; Sick Leave; Service Credit

Description:

Caps the service credit for unused sick leave for employees who become members of the employees' retirement system on or after 7/1/2021 at a maximum credit of ninety days. Specifies that any unused sick leave in excess of ninety days shall be forfeited.

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