AB 2663 Summary

• Expands definition of "creditable compensation" to include various forms of remuneration and specifies that compensation determined to enhance member benefits shall be credited to the Defined Benefit Supplement Program rather than the Defined Benefit Program.

• Revises annual reporting requirements for the Teachers' Retirement Board to consolidate and recast provisions, requiring certification letters from actuaries to include funding progress analysis and actual payroll information, and adding reports on investment contract services and purchasing power protection of benefits.

• Modifies sick leave credit provisions to grant service retirement credit for accumulated sick leave accumulated during the last school year of employment with any employer, and clarifies billing procedures for excess sick leave when members work for multiple employers in their final year.

• Expands authority for retired members to perform postretirement work within California public schools without reinstating or accruing service credit, including activities under the Cash Balance Benefit Program, while establishing limitations on compensation before retirement allowance reductions apply.

• Changes survivor benefit allowance eligibility by removing the requirement that death occur within 4 months after termination of a disability allowance, and modifies annuity reduction limits for early retirees under the Cash Balance Benefit Program to cap reductions at the amount payable during the first 180 calendar days after retirement.