The school employer must:
- Demonstrate a cost savings over a period of time of their choice. Determine that the net effect of granting the two additional years of service credit will result in a net savings to the employer.
- Take formal action at any time to offer the 2-Year Retirement Incentive Program (adopt a resolution consistent with the provisions of California Education Code (EC) sections 22714 and 44929), specifying the inclusive period of participation (window period), which for the two additional years of service must be at least 60, but not more than 120, consecutive days.
- Pay for the entire cost of the incentive, including administrative fees. Payment may be made in one lump sum or in deferred payments over an eight-year period.
- Offer the retirement incentive within a designated period of time (referred to as a window period).
- Offer the retirement incentive program to all employees eligible to retire in the program.
- Prepare and submit for certification the following forms to the County Superintendent of Schools (County Superintendent) or State Superintendent of Public Instruction (SSPI), as appropriate:
- Certification of Employer Participation, Form MS 1169-1
- Certification Information, Forms MS 1169-2 and MS 1169-3
- Employer Certification of Member Eligibility, Form MS 187
Upon approval, the County Superintendent or SSPI, as appropriate, must submit the forms listed above to the California State Teachers’ Retirement System (CalSTRS) certifying that the employer and employee meet all requirements of EC sections 22714 and 44929, authorizing two additional years of service credit.
The entire Employer Directive 2003-06 is located on the California State Teachers’ Retirement System Web site .