0001|                       HOUSE JOINT MEMORIAL 72
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0002|     43rd legislature - STATE OF NEW MEXICO - first session, 1997
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0003|                            INTRODUCED BY
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0004|                              BEN LUJAN
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0005|     
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0006|                                   
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0007|     
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0008|     
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0009|     
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0010|                           A JOINT MEMORIAL
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0011|     REQUESTING THAT THE PUBLIC EMPLOYEES RETIREMENT ASSOCIATION
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0012|     SEEK WRITTEN TAX ADVICE FROM THE FEDERAL INTERNAL REVENUE
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0013|     SERVICE REGARDING ALLOWING CERTAIN MEMBERS TO PURCHASE SERVICE
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0014|     CREDIT FOR PRIOR SERVICE AS GUARDS OR COURIERS WITH THE UNITED
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0015|     STATES DEPARTMENT OF ENERGY.
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0016|     
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0017|          WHEREAS, House Bill 945, introduced in this legislative
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0018|     session, proposes to amend the Public Employees Retirement Act
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0019|     to allow certain members who are employees of Los Alamos county
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0020|     to purchase service credit pursuant to the Public Employees
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0021|     Retirement Act for prior service as a guard or courier with the
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0022|     United States department of energy; and
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0023|          WHEREAS, members of the public employees retirement
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0024|     association who were firefighters when the United States
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0025|     department of energy firefighting function was taken over by
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0001|     Los Alamos county, an affiliated public employer under the
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0002|     Public Employees Retirement Act, were authorized pursuant to a
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0003|     law enacted in 1993 to purchase service credit for the period
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0004|     of their service in that department of energy firefighting
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0005|     unit; and
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0006|          WHEREAS, when the firefighting function was transferred to
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0007|     Los Alamos county, certain persons who were employed as guards
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0008|     or couriers for the United States department of energy lost
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0009|     their federal employment and were employed as firefighters by
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0010|     Los Alamos county; and
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0011|          WHEREAS, those persons now seek to purchase service credit
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0012|     under the Public Employees Retirement Act for their service as
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0013|     guards or couriers with the United States department of energy;
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0014|     and
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0015|          WHEREAS, the public employees retirement association has
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0016|     raised the concern that the qualified status of the Public
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0017|     Employees Retirement Act as a governmental plan may be in
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0018|     jeopardy if service credit is granted to members for service
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0019|     with a federal employer that is not service under the state's
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0020|     governmental plan; and
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0021|          WHEREAS, if a plan fails to meet the qualification
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0022|     requirements, the tax advantages to the plan and its members
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0023|     could be lost during the period the qualification requirements
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0024|     are not met;
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0025|          NOW, THEREFORE, BE IT RESOLVED BY THE LEGISLATURE OF THE
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0001|     STATE OF NEW MEXICO that the public employees retirement
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0002|     association be requested to seek written tax advice from the
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0003|     internal revenue service regarding the effect on the
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0004|     association's tax status of allowing the purchase of service
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0005|     credit by members for the period they were employed as guards
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0006|     or couriers by the United States department of energy
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0007|     immediately prior to their employment as firefighters for Los
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0008|     Alamos county; and
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0009|          BE IT FURTHER RESOLVED that copies of this memorial be
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0010|     transmitted to the public employees retirement association and
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0011|     to the retirement board.
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0012|                              
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