SF 2328

as introduced - 87th Legislature (2011 - 2012) Posted on 03/30/2012 08:38am

A bill for an act
relating to the military; amending the pay differential law as it applies to school
district employees who are members of the National Guard or any other reserve
unit; amending Minnesota Statutes 2010, section 471.975.

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

Section 1.

Minnesota Statutes 2010, section 471.975, is amended to read:

471.975 MAY PAY DIFFERENTIAL OF RESERVE ON ACTIVE DUTY.

(a) Except as provided in paragraph (b), a statutory or home rule charter city, county,
town, or other political subdivision may pay to each eligible member of the National
Guard or other reserve component of the armed forces of the United States an amount
equal to the difference between the member's base active duty military salary and the
salary the member would be paid as an active political subdivision employee, including
any adjustments the member would have received if not on leave of absence. This
payment may be made only to a person whose base active duty military salary is less than
the salary the person would be paid as an active political subdivision employee. Back pay
authorized by this section may be paid in a lump sum. Payment under this section must
not extend beyond four years from the date the employee reported for active service, plus
any additional time the employee may be legally required to serve.

(b) Subject to the limits under paragraph (g), each school district shall pay to each
eligible member of the National Guard or other reserve component of the armed forces
of the United States an amount equal to the difference between the member's base active
duty military salary and the salary the member would be paid as an active school district
employee, including any adjustments the member would have received if not on leave
of absence. The pay differential must be based on a comparison between the member's
daily base rate of active duty pay, calculated by dividing the member's base military
monthly salary by the number of paid days in the month, and the member's daily rate of
pay for the member's school district salary, calculated by dividing the member's total
school district salary by the number of contract days. The member's salary as a school
district employee must include the member's basic salary and any additional salary the
member earns from the school district for cocurricular and extracurricular activities. The
differential payment under this paragraph must be the difference between the daily base
rates of military pay times the number of school district contract days the member misses
because of military active duty. This payment may be made only to a person whose daily
base rate of active duty pay is less than the person's daily rate of pay as an active school
district employee. Payments may be made at the intervals at which the member received
pay as a school district employee. Payment under this section must not extend beyond
four years from the date the employee reported for active service, plus any additional time
the employee may be legally required to serve.

(c) An eligible member of the reserve components of the armed forces of the United
States is a reservist or National Guard member who was an employee of a political
subdivision at the time the member reported for active service on or after May 29, 2003,
or who is on active service on May 29, 2003.

(d) Except as provided in paragraph (e) and elsewhere in Minnesota Statutes, a
statutory or home rule charter city, county, town, or other political subdivision has total
discretion regarding employee benefit continuation for a member who reports for active
service and the terms and conditions of any benefit.

(e) A school district must continue the employee's enrollment in health and dental
coverage, and the employer contribution toward that coverage, until the employee is
covered by health and dental coverage provided by the armed forces. If the employee had
elected dependent coverage for health or dental coverage as of the time that the employee
reported for active service, a school district must offer the employee the option to continue
the dependent coverage at the employee's own expense. A school district must permit
the employee to continue participating in any pretax account in which the employee
participated when the employee reported for active service, to the extent of employee pay
available for that purpose.

(f) For purposes of this section, "active service" has the meaning given in section
190.05, subdivision 5, but excludes service performed exclusively for purposes of:

(1) basic combat training, advanced individual training, annual training, and periodic
inactive duty training;

(2) special training periodically made available to reserve members; and

(3) service performed in accordance with section 190.08, subdivision 3.

(g) deleted text begin A school district making payments under paragraph (b) shall place a sum equal
to any difference between the amount of salary that would have been paid to the employee
who is receiving the payments and the amount of salary being paid to substitutes for
that employee into a special fund that must be used to pay or partially pay the deployed
employee's payments under paragraph (b). A school district is required to pay only this
amount to the deployed school district employee. deleted text end new text begin When an employee of a school district
who as a member of the National Guard or any other reserve unit of the United States
armed forces, reports for active service as defined in section 190.05, subdivision 5, the
district must place into a special service members' aggregate salary savings account a sum
equal to the positive difference between the amount of salary the district would have paid
to the employee and the amount of salary paid to any substitute for the employee's position
during the employee's leave for military service. The district must use the combined
proceeds in the account only to fully pay, or partially pay in proportionate amounts, the
salary differentials of all eligible deployed employees in the district, as determined under
paragraph (b). A school district's obligation to make payments under this section is limited
to the amount of money in the account in any fiscal year.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2012, for school district
employees serving in active military duty on or after that date.
new text end