No. SB 1432
Filed under Local Government.
Public Employee Housing Benefits; Authorizing specified public employers to provide a one-time payout of sick leave and annual leave to certain employees for a specified purpose; requiring the employer to remit payment and disburse funds in a specified manner; requiring an escrow agent to return funds under certain circumstances, etc.
Plain English Summary
AI-GENERATEDPublic employers may let employees cash out sick and annual leave in a single payout to help buy a primary residence, but nothing requires any employer to offer this.
Annual leave can be cashed out with no cap, but a sick-leave payout must still leave the employee with at least 21 days banked afterward.
The payout doesn't count as pay for pension calculations, and leave used this way can't later be paid out again as terminal leave.
At the employee's request, the employer must wire the money straight to the closing agent within three business days of the scheduled closing.
AIA public employer may give a full-time, benefits-eligible employee a one-time payout of accrued sick or annual leave, or both, to help buy a primary residence -- verified by a signed purchase agreement and a final closing disclosure, not estimated or unsigned paperwork.
AIThe payout is not terminal pay, severance pay, or compensation for retirement calculations under chapter 121, and leave already paid out this way cannot later be counted toward a terminal leave payout or other leave-conversion program.
AIAn employee must keep at least 21 days of accrued sick leave after the payout, but may redeem any amount of accrued annual leave with no maximum cap, as long as the other conditions in this section are met.
AIAt the employee's written request, the employer must send the approved payout by wire transfer directly to the closing or escrow agent, no later than three business days after the scheduled closing date.
AIThe Department of Management Services must adopt rules to implement the program, a political subdivision may adopt it by ordinance, resolution, policy, or bargaining agreement, and no public employer is required to establish or maintain the benefit at all.