What happens after the January 1, 2011, Termination Date?
Unless new legislation passes, beginning January 1, 2011, 1/4 of your 8 percent contributions will no longer be diverted to your DBS Program account and all of your 8 percent contributions again will be credited to your DB Program account. However, AB 2700 was also enacted and reforms the definition of creditable compensation to include money paid for overtime, overload, summer school, intersession, stipends paid to department chairs when release time is not granted by the employer and other specified service. It also requires that member and employer contributions on compensation earned for creditable service in excess of one year of service in a school year, probably beginning July 1, 2002, be credited to the DBS Program. (This provision has no sunset date.
Unless new legislation passes, beginning January 1, 2011, 1/4 of your 8 percent contributions will no longer be diverted to your DBS Program account and all of your 8 percent contributions again will be credited to your DB Program account. However, AB 2700 was also enacted and reforms the definition of creditable compensation to include money paid for overtime, overload, summer school, intersession, stipends paid to department chairs when release time is not granted by the employer and other specified service. It also requires that member and employer contributions on compensation earned for creditable service in excess of one year of service in a school year, probably beginning July 1, 2002, be credited to the DBS Program.
