SB 853: Public employees’ retirement.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

(1)Existing law, the Teachers’ Retirement Law, establishes the State Teachers’ Retirement System (STRS) and creates the Defined Benefit Program of the State Teachers’ Retirement Plan, which provides a defined benefit to members of the program, based on final compensation, creditable service, and age at retirement, subject to certain variations. STRS is administered by the Teachers’ Retirement Board. Existing law requires employers and employees to make contributions to the system based on the member’s creditable compensation. Existing law defines terms for the purposes of STRS.

Existing law defines “employer” or “employing agency” to mean the state or any agency or political subdivision thereof, including a joint powers authority, as specified. Existing law also defines “membership” under the Teachers’ Retirement Law to mean membership in the Defined Benefit Program, except as specified.

This bill would provide that the board has final authority for determining an “employer” or “employing agency” for purposes of the Teachers’ Retirement Law and related provisions governing teachers’ health care benefits. The bill would also provide that the board has final authority for determining membership in STRS, as specified.

Existing law authorizes the governing board of a school district or community college district to establish regulations, subject to specified requirements, to permit an employee who is a member of the Defined Benefit Plan to reduce their workload from full time to part time and have retirement benefits calculated as if the employee was employed full time. Existing law requires the agreement to reduce a member’s workload to be terminated if one of specified actions is taken, including if the member performs less than 12 of the days or hours the employer requires for full time in that position.

This bill would revise that provision to instead require the agreement to be terminated if the member earns less than 12 of the annualized pay rate, as defined.

Existing law makes a continuous annual appropriation from the General Fund to the Controller for transfer to the Supplemental Benefit Maintenance Account in the Teachers’ Retirement Fund, as specified. Existing law requires that transfers made to that account occur on October 15 and April 15 of each fiscal year with each payment to be 50% of the annual appropriation.

Sponsors

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. October 1, 2025Chaptered by Secretary of State. Chapter 239, Statutes of 2025.
2. October 1, 2025Approved by the Governor.
3. September 22, 2025Enrolled and presented to the Governor at 2 p.m.
4. September 11, 2025Assembly amendments concurred in. (Ayes 40. Noes 0. Page 2928.) Ordered to engrossing and enrolling.
5. September 9, 2025Ordered to special consent calendar.
6. September 3, 2025In Senate. Concurrence in Assembly amendments pending.
7. September 2, 2025Read third time. Passed. (Ayes 77. Noes 1. Page 2816.) Ordered to the Senate.
8. July 15, 2025Ordered to third reading.
9. July 15, 2025Read third time and amended.
10. July 7, 2025Ordered to third reading.
11. July 7, 2025From consent calendar on motion of Assembly Member Garcia.
12. July 3, 2025Read second time. Ordered to consent calendar.