Chapter 556. To amend the Act entitled “An Act for the retirement of public-school teachers in the District of Columbia,” approved January 15, 1920, and for other purposes
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CHAP. 556.— An Act To amend the Act entitled “An Act for the retirement of public-school teachers in the District of Columbia,” approved January 15, 1920, and for other purposes.June 11, 1926. [[H. R. 12266](/us/bill/69/hr/12266).] [[Public, No. 373](/us/pl/69/373).] *Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled*,Public schools, District of Columbia.Retirement of teachers.Vol. 41, p. 387, amended. That the Act entitled “An Act for the retirement of public-school teachers in the District of Columbia,” approved January 15, 1920, be, and is hereby, amended to read as follows:
" “Section 1. That there shall be deducted and withheld from, theDeduction from pay of teachers to provide annuity on retirement. annual salary of every teacher in the public schools of the District of Columbia an amount computed to the nearest tenth of a dollar that will be sufficient, with interest thereon at 4 per centum per annum, compounded annually, to purchase, under the provisions of this Act, an annuity equal to 1 per centum of his average annualPercentage of average salary. salary received during the ten years immediately preceding retirement, for each year of his whole term of service rendered after June 30, 1926, payable monthly throughout life, for every such teacher who shall be retired, as herein provided.
“The deductions herein provided for shall be based on suchBasis of deductions. annuity table or tables as the Commissioners of the District of Columbia shall direct: *Provided, however*, That said deductions*Proviso*.Maximum. shall in no case exceed 8 per centum of his annual salary: *And provided further*, That when the annual salary exceeds $2,000 theLimited to annual pay of $2,000. deductions and benefits shall be made as on an annual salary of $2,000. “The Commissioners of the District of Columbia shall cause to beCertificate of deduction for each year. filed with the Board of Education on September 10 of each year a certificate showing the amount of deduction to be made from the salary of each teacher during the year, said deduction to be made in equal amounts, one to be deducted for each school month.
A similar certificate shall be filed not later than the 15th day of each calendar month to cover cases of new entrants. No deduction shall be made from less than an entire month’s salary. “Sec. 2. That the amount so deducted and withheld from theDeduction deposited to credit of the teacher. annual salary of ever teacher shall be deposited in the Treasury of the United States and shall be credited, together with interest at 4 per centum per annum, compounded annually, to an individual 728account of the teacher from whose salary the deduction is made, which account shall be kept by the auditor of the District of Columbia.
The fund thus created shall be held and invested by theInvestment of fund. Treasurer of the United States until paid out as hereinafter provided, and the income derived from such investments shall constitute a part of said fund for the purpose of carrying out the provisions of this Act. “Sec. 3. That any teacher who shall have reached the age ofRetirement age. sixty-two may be retired by the Board of Education on its own motion, or shall be retired if application is made by the teacher.
Any teacher who shall have reached the age of seventy shall be retired unless, in the judgment of two-thirds of the Board of Education, such teacher should be longer retained for the good of the service: *Provided*, That no sum shall be paid to any teacher*Proviso*.Continuous employment requirement. upon his retirement under the provisions of this section unless he shall have been continuously employed as a teacher in the public schools of the District of Columbia from the time of his attainment of the age of fifty-two years.
“Sec. 4. That any teacher who shall have reached the age ofRetirement for disability after age of 45. forty-five, and who shall have been continuously employed in the public schools of the District of Columbia for not less than ten years immediately prior to his retirement, or who shall have been continuously employed for not less than fifteen years prior to his retirement and who by reason of accident or illness not due to vicious habits has become physically or mentally disabled and incapable of satisfactorily performing the duties of his position, may be retired by the Board of Education under the provisions hereinafter stated: *Provided*, That absence of any teacher on authorized leave*Proviso*.Leave of absence without pay. of absence without pay for a period not in excess of two years shall not constitute a break in continuous employment: *Provided further*, That no teacher shall be retired by the Board of EducationMedical examination required. under the provisions of this section until said teacher shall have been examined under the direction of the health officer of the District of Columbia, and as a result of said examination, in his judgment, or in the judgment of two-thirds of the members of the Board of Education, shall have been found to be physically or mentally incapacitated for efficient service.
“Sec. 5. That following the passage of this Act, every teacherAnnuity allowance. who shall be retired under the provisions of section 3 or section 4 hereof shall receive during the remainder of his life a combined annuity composed of
(1)an annuity equal to 1 per centum of hisSalary basis after June 30, 1926. average annual salary’ received during the ten years immediately preceding retirement for each year of his whole term of service after June 30, 1926;
(2)a sum equal to 1 per centum of bis averagePrior to July 1, 1926. annual salary received during the ten years immediately preceding retirement for each year of his whole term of service prior to July 1, 1926, but not to exceed 40 years; and
(3)an additionalAdditional sum. sum of $15 for each year of said service, but in neither case to exceed forty years, such annuity to be fixed at the nearest multiple of 12 cents and to be payable monthly and to cease and determine at his death. “Sec. 6. That in calculating, as provided in section 5, the thirdCredit for disability retirement. part of the annuity of a teacher retired under the provisions of section 4 hereof, a minimum credit of twenty years shall be used in determining the sum allowable to a teacher with less than twenty years of service. “Sec. 7. That the second and third parts of the annuity providedLongevity payable from District revenues. for by section 5 hereof shall be paid by appropriations from the same fund as the current expenses of the District of Columbia are now paid or may hereafter be paid. The amount of each year’sCalculation of each year’s appropriation. appropriation shall be calculated, on an actuarial basis, as a level 729percentage of the pay roil of all participants which shall be adequate to cover the liability normally accrued plus a further level percentage of the pay roll computed to be sufficient to liquidate, within a period of approximately thirty years after duly 1, 1926, the amount of the accrued liability as of that date. The amount of theCertification to Budget Bureau. necessary appropriations shall be certified each year by the Commissioners of the District of Columbia to the Bureau of the Budget, and shall be transmitted by it to Congress. “The reserves created as the result of such annual appropriationsSeparation of funds. shall be held by the Treasurer of the United States separate from the fund created by the contributions of the teachers, and the fund shall be credited with interest at 4 per centum per annum, com-pounded annually. The fund thus created shall be held andInvestment, etc. invested by the Treasurer of the United States until paid out as hereinafter provided, and the income derived from such investments shall constitute a part of said fund for the purpose of carrying out the provisions of this Act. “Sec. 8. That in computing length of service of retiring teachersCredit for outside school service. credit may be given, year for year, but not to exceed ten years, for public-school service or its equivalent outside the District of Columbia: *Provided*, That no credit for service outside of the public*Provisos*.Deposit required it enuring after June 30, 1926. schools of the District of Columbia shall be given to any teacher entering the said public schools after June 30, 1926, until he shall have deposited to the credit of the teachers’ retirement fund of the District of Columbia a sum equal to the contributions that would have been required of the teacher if such service had been rendered in the public schools of the District of Columbia, with interest thereon at 4 per centum per annum, compounded annually, said contributions to be based on the average annual salary of the class to which the teacher is appointed: *Provided further*, That when theBasis of $2,000. average annual salary of the class exceeds $2,000 the contributions shall be based on a salary of $2,000: *Provided further*, That if theInstallment deposits allowed. teacher so elects he may deposit the required sum in the fund in any number of monthly installments not exceeding one hundred, with interest at 4 per centum per annum, compounded annually: *And provided further*, That nothing contained herein shall be construedRestrictions.Vol. 41, p. 390. to repeal section 19 of said Act of January 15, 1920, nor to allow any teacher more than one year’s credit for all services rendered in any one fiscal year. “Sec. 9. That upon separation of any teacher from the serviceRefund on leaving service. . of the public schools of the District of Columbia, except for retirement under section 3 or section 4, he shall receive the amount of his deductions, together with the interest then credited thereon. “No teacher who shall withdraw the amount of his deductionsDeposit of withdrawal if reinstated. under this section shall, after reinstatement, be entitled to credit for previous service unless he shall deposit in the fund the amount so withdrawn by him: *Provided*, That the amount required to be so*Proviso*.Installment deposits allowed. deposited may be paid by the teacher, if he so elects, in any number of monthly installments, not exceeding one hundred, with interest at 4 per centum, compounded annually, but no credit for previousNo credit if separated from teaching more than five years. service shall be given in any case of reinstatement where the teacher has been separated from teaching service in any public school system for more than five years. “Sec. 10. That in case of the death of a teacher while in thePayment from fund it dying in service. service the amount of his deductions, together with the interest then credited thereon, as provided in section 2 hereof, shall be paid to his legal representatives. “In the case of the death of an annuitant no part of the deductionsAnnuitant dying before receiving amount deducted, etc.Disposition of credit. made from his salary, with the interest thereon to the credit of his account shall be returned to his estate unless prior to his retirement 730he shall have selected, under the provisions of such rides and regulations as the Commissioners of the District of Columbia shall prescribe, an annuity which shall carry with it a provision for the return of the unpaid principal or for the continuance of all or part of the annuity as a survivorship annuity. “Sec. 11. That every teacher who shall continue in the serviceContinuance in service deemed a consent to deductions. of the public schools of the District of Columbia after the passage of this Act, as well as every person who hereafter may be appointed to a position as teacher in the public schools of the District of Columbia, shall be deemed to consent and agree to the deductions made and provided for herein; and the salary, pay, or compensation, which may be paid monthly or at any other time, shall be full and complete discharge and acquittance of all claims and demands whatsoever for all services rendered by such teacher during the period covered by such payment, except his claim for the benefits to which he may be entitled under the provisions of this Act,Vol. 34, p. 316. notwithstanding the provisions of said Public Act Numbered 254, approved June 20, 1906, and of any other law, rule, or regulation affecting the salary, pay, or compensation of the teachers employed in the service of the public schools of the District of Columbia. “Sec. 12. That nothing in this Act shall be construed to preventDischarges not prevented. the discharge of any teacher at any time in the discretion of the Board of Education of the District of Columbia under the provisions of law. “Sec. 13. That the term ‘teacher,’ under this Act, shall includeDefinitions. all teachers permanently employed by the Board of Education in“Teacher” the public day schools of the District of Columbia, including other educational employees whose salaries are established in the ActExceptions. approved June 20, 1906, and Acts amendatory thereof, except the employees of the Community Center Department and the Department of School Attendance and Work Permits; the term ‘annual“Annual salary” salary’ shall be construed to mean the total annual income received during the fiscal year for services rendered in the public day schools of the District of Columbia, including basic salary, longevity allowance, session room allowance, and increase of compensation (bonus); and whenever the pronoun ‘his’ occurs in this Act it shall be“His.” construed to mean both male and female teachers. “Sec. 14. That the Commissioners of the District of ColumbiaRecords, etc., to be kept by the Commissioners. shall prepare and keep all needful tables, records, and accounts required for carrying out the provisions of this Act. The records to be kept shall include data showing the mortality experience of the teachers in the service of the public schools of the District of Columbia and the rate of withdrawal from such service, and any other information pertaining to such service that may be of value and may serve as a guide for future valuations and adjustments of the plan for the retirement of teachers. The Commissioners ofAnnual report to Congress. the District of Columbia shall make a detailed comparative report annually to Congress showing all receipts and disbursements under the provisions of this Act, together with the total number of personsValuation each year of retirement fund, etc. receiving annuities and the amounts paid them. And the Commissioners of the District of Columbia shall have made each year after the passage of this Act an actuarial valuation of this retirement fund and the operation thereof, which shall show the financial condition of the fund, and shall report the findings of such investigations to Congress at the opening of the following session.Annual estimates. “Sec. 15. That the Commissioners of the District of Columbia shall include in their annual estimates of appropriations a sum sufficient to carry out the provisions of this Act and Acts amendatory thereof. No officer or employee receiving a regular salary orNo extra pay for retirement services. 731compensation from the Government shall receive any additional salary or compensation for any service rendered in connection with the system of retiring teachers provided for by this Act. “Sec. 16. That the Commissioner’s of the District of ColumbiaAuthority of Commissioners. are hereby authorized to perform, or cause to be performed, any or all acts and to make such rules and regulations as may be necessary and proper for the purpose of carrying the provisions of this Act into full force and effect. “Sec. 17. That none of the money mentioned in this Act shallNo assignment, attachment, etc. be assignable, either in law or equity, or be subject to execution or levy by attachment, garnishment, or other legal process. “Sec. 18. That the provisions of this Act shall not apply toNot applicable it receiving annuities elsewhere. any teacher who receives an annuity from any State or municipality other than the District of Columbia. “Sec. 19. That the provisions of ‘An Act for the retirement ofApplication of provisions of former Act.Vol. 41, p. 387. public-school teachers in the District of Columbia,’ approved January 15, 1920, and Acts amendatory thereof, shall apply to
(A)all teachers who were on the rolls of the public schools of the District of Columbia for the month of June, 1926, if otherwise eligible; and
(B)all teachers who, on June 30, 1926, were receiving an annuity under the provisions of said Act of January 15, 1920, and Acts amendatory thereof, the annuity to be paid each such teacher after June 30, 1926, to be computed in the manner provided herein: *Provided*, That nothing in this Act shall be construed to*Proviso*.No reduction of any present annuity. require a reduction in the amount of the annuity being paid to any teacher at the time this Act becomes effective.” " Sec. 2. The amendments herein provided to “An Act for theAmendments effective July 1, 1926. retirement of public-school teachers in the District of Columbia,” approved January 15, 1920, shall take effect July 1, 1926. Approved, June 11, 1926.