Bill Text: GA HB202 | 2009-2010 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Retirement and pensions; computing contributions and benefits; define certain terms
Spectrum: Partisan Bill (Republican 5-0)
Status: (Passed) 2009-05-11 - Effective Date [HB202 Detail]
Download: Georgia-2009-HB202-Introduced.html
Bill Title: Retirement and pensions; computing contributions and benefits; define certain terms
Spectrum: Partisan Bill (Republican 5-0)
Status: (Passed) 2009-05-11 - Effective Date [HB202 Detail]
Download: Georgia-2009-HB202-Introduced.html
09 LC
21 0116
House
Bill 202
By:
Representatives Maxwell of the
17th,
Meadows of the
5th,
Golick of the
34th,
and Benton of the
31st
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Title 47 of the Official Code of Georgia Annotated, relating to retirement
and pensions, so as to define certain terms; to provide for a maximum
compensation to be used for computing contributions and benefits; to remove a
requirement that an application for certain creditable service be made within a
certain period; to provide for the payment of benefits; to provide for rollover
of certain funds; to provide for a limit on benefits; to provide for application
of service credits; to provide for the holding of pension funds in trust; to
provide for a normal retirement age; to provide for vesting; to ratify certain
prior changes to public retirement plans; to provide for related changes in
public retirement law to comply with federal law and regulations; to repeal
conflicting laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Title
47 of the Official Code of Georgia Annotated, relating to retirement and
pensions, is amended by revising Code Section 47-1-10, relating to adoption,
amendment, or repeal of rules by boards of trustees of state retirement or
pension systems, procedure, immediate adoption, and filing of rules with
Secretary of State, by adding a new subsection to read as follows:
"(f)
Each board of trustees shall be authorized to adopt rules and regulations which
are appropriate or necessary to maintain the qualified status of its respective
public retirement and pension system under Sections 401(a) and 414(d) of the
federal Internal Revenue Code and such other applicable sections of the federal
Internal Revenue Code."
SECTION
2.
Said
title is further amended by revising subsection (b) of Code Section 47-1-13,
relating to maximum compensation used in computing employee and employer
contributions, as follows:
"(b)
Any other provision of law to the contrary notwithstanding, the maximum
compensation used in computing employee and employer contributions to or
benefits due from any public retirement or pension system shall be the maximum
compensation set forth in Section 401(a)(17) of the
federal
Internal Revenue Code, as now or hereafter amended; provided, however, that
pursuant to
Section 13212(d)(3)(A) of the federal Omnibus Budget Reconciliation Act of 1993
and the regulations issued under such section, eligible members are not subject
to the limits of Section 401(a)(17) of the federal Internal Revenue Code,
and the maximum compensation used for such
computations for eligible
employees
members
shall be the maximum amount allowed by the respective retirement or pension
system to be so used on July 1, 1993."
SECTION
3.
Said
title is further amended by adding a new Code section to read as
follows:
"47-1-13.1.
(a)
As used in this Code section the term:
(1)
'Annual compensation' means compensation during the determination period. Such
term shall include any cost of living adjustment in effect for a calendar year
if the determination period begins with or within such calendar
year.
(2)
'Determination period' means the plan year or such other consecutive 12 month
period over which compensation is otherwise determined under the public
retirement or pension system.
(b)
The annual compensation of a plan member during any plan year beginning on or
after January 1, 2002, which exceeds $200,000.00, as adjusted for cost-of-living
increases in accordance with Section 401(a)(17)(B) of the federal Internal
Revenue Code, shall not be taken into account in determining benefits or
contributions due from the public retirement or pension system for any plan
year. If the determination period consists of fewer than 12 months, the annual
compensation limit shall be an amount equal to the otherwise applicable annual
compensation limit multiplied by a fraction, the numerator of which is the
number of months in the short determination period and the denominator of which
is 12. If the compensation for any prior determination period is taken into
account in determining a plan member's contributions or benefits for the current
plan year, the compensation for such prior determination period shall be subject
to the applicable annual compensation limit in effect for the prior
period.
(c)
The annual compensation of a plan member during any plan year beginning on and
after January 1, 1996, and before January 1, 2002, which exceeds $150,000.00, as
indexed as provided in Section 401(a)(17)(B) of the federal Internal Revenue
Code, shall be disregarded for purposes of computing contributions to or
benefits due from the public retirement or pension
system."
SECTION
4.
Said
title is further amended by revising subsection (a) of Code Section 47-1-62,
relating to procedure for establishment of creditable service, computations,
employer contributions, and system or fund unable to provide creditable service,
as follows:
"(a)
Any qualified returning veteran desiring to establish creditable service for a
period of qualified service shall so notify the board of trustees of the public
retirement system or fund
not later
than six months from the date he or she resumes
employment. The board of trustees shall
calculate the amount of employee or member contribution which the returning
veteran would have paid if he or she had been a member of the system or fund
during the period of qualified service. If such contribution is based on the
member's salary, the returning veteran's salary shall be deemed to be the rate
the member would have received but for the period of qualified service or, if
determination of such rate is not reasonably certain, the member's average rate
of compensation during the 12 month period immediately preceding the period of
qualified service or such lesser time as the member was employed. The returning
veteran shall repay the amount so calculated as his or her employee or member
contribution, which payment must be completed not later than three times the
length of qualified service or five years, whichever period is shorter, computed
from the date the returning veteran resumes employment. The board of trustees
of any public retirement system may provide by rule for computing the amount of
creditable service on payment of less than the total amount of employee
contributions."
SECTION
5.
Said
title is further amended by revising Code Section 47-1-80, relating to
distributions to conform to regulations issued under the Internal Revenue Code,
as follows:
"47-1-80.
Notwithstanding
any other provision of this title to the contrary, distributions from any public
retirement or pension system shall conform to
the
regulations issued under
a good-faith
interpretation of Section 401(a)(9) of the
federal Internal Revenue Code
and the
regulations promulgated pursuant to such
section as applicable to a governmental
plan within the meaning of Section 414(d) of the federal Internal Revenue Code
and shall be implemented in accordance with the grandfathering provisions of
such regulations applicable to annuity option distributions in effect on April
17, 2001."
SECTION
6.
Said
title is further amended by adding a new Code section to read as
follows:
"47-1-80.1.
(a)
Notwithstanding any other provision of this title to the contrary, any public
retirement or pension system shall be subject to the following
provisions:
(1)(A)
Benefits shall begin by the required beginning date, which is the later of April
1 of the calendar year following the calendar year in which the plan member
reaches 70 1/2 years of age or April 1 of the calendar year in which the plan
member terminates employment. If a plan member fails to apply for retirement
benefits by the required beginning date, the applicable public retirement or
pension system shall begin distribution of the benefit as required by Section
401(a)(9) of the federal Internal Revenue Code.
(B)
Notwithstanding the provisions of subparagraph (A) of this paragraph, for any
plan member who was entitled to receive a benefit under the public retirement or
pension as of December 31, 1996, and attained the age of 70 1/2 on or before
December 31, 1998, the required beginning date shall be deemed to be April 1
following the calendar year in which the member attained the age of 70 1/2,
regardless of whether the member was then employed by the employer;
(2)
A plan member's entire interest shall be distributed over the plan member's life
or the lives of the plan member and a designated beneficiary or over a period
not extending beyond the life expectancy of the plan member or the life
expectancy of the plan member and his or her designated
beneficiary;
(3)
The life expectancy of a plan member, the plan member's spouse, or the plan
member's designated beneficiary shall not be recalculated after the initial
determination for purposes of determining benefits;
(4)
If a plan member dies after the required distribution of benefits has begun, the
remaining portion of the plan member's interest shall be distributed at least as
rapidly as under the method of distribution before the plan member's death and
no longer than the remaining period over which the distribution commenced;
and
(5)
If a plan member dies before the required distribution of the plan member's
benefits has begun, the plan member's entire interest shall be either
distributed in accordance with federal regulations over the life or the life
expectancy of the designated beneficiary, with the distributions beginning no
later than December 31 of the calendar year immediately following the calendar
year of the plan member's death or distributed by December 31 of the calendar
year containing the fifth anniversary of the plan member's death.
(b)
The amount of an annuity paid to a plan member's designated beneficiary shall
not exceed the maximum determined under the incidental death benefit
requirements of the federal Internal Revenue Code.
(c)
The death and disability benefits provided by the plan shall be limited by the
incidental benefit rule set forth in Section 401(a)(9)(G) of the federal
Internal Revenue Code and Federal Treasury Regulation Section 1.401-1(b)(l)(i)
or any successor to such
regulation."
SECTION
7.
Said
title is further amended by revising Code Section 47-1-81, relating to election
to have a portion of an eligible rollover distribution paid to an eligible
retirement plan under federal law, as follows:
"47-1-81.
(a)
As used in this Code section, the term:
(1)
'Direct rollover' means a payment by the public retirement or pension system
subject to this title to the eligible retirement plan specified by the
distributee or to the surviving spouse of the distributee.
(2)
'Distributee' means:
(A)
An employee;
(B)
A former employee;
(C)
The employee or former employee's surviving spouse; or
(D)
A nonspouse beneficiary who is a designated beneficiary as defined in Section
401(a)(9)(E) of the federal Internal Revenue Code.
(3)
'Eligible retirement plan' means any of the following that accepts the
distributee's eligible rollover distribution:
(A)
An individual retirement account described in Section 408(a) of the federal
Internal Revenue Code;
(B)
An individual retirement annuity described in Section 408(b) of the federal
Internal Revenue Code;
(C)
An annuity plan described in Section 403(a) of the federal Internal Revenue
Code;
(D)
A qualified trust described in Section 401(a) of the federal Internal Revenue
Code;
(E)
An annuity contract described in Section 403(b) of the federal Internal Revenue
Code.
(F)
An eligible deferred compensation plan under Section 457(b) of the federal
Internal Revenue Code that is maintained by a state, political subdivision or
agency or instrumentality of a state, or a political subdivision of a state and
which agrees to separately account for amounts transferred into that plan from
the public retirement or pension system under this title; and
(G)
A Roth IRA described in Section 408A of the federal Internal Revenue
Code.
(4)
'Eligible rollover distribution' means any distribution of all or any portion of
the balance to the credit of the distributee; provided, however, such term shall
not include:
(A)
Any distribution that is one of a series of substantially equal periodic
payments made not less frequently than annually for the life or life expectancy
of the distributee or the joint lives or joint life expectancies of the
distributee and the distributee's designated beneficiary, or for a specified
period of ten years or more;
(B)
Any distribution to the extent such distribution is required under Section
401(a)(9) of the federal Internal Revenue Code;
(C)
The portion of any distribution that is not includable in gross income;
or
(D)
Any other distribution that is reasonably expected to total less than $200.00
during the year.
Such
term shall include a distribution to a surviving spouse made on or after January
1, 2002.
(b)
Notwithstanding any other provisions of this title to the contrary that would
otherwise limit a person's election under this Code section, a member of a
retirement or pension system subject to this title may elect, at the time and in
the manner prescribed by the board of trustees of such system, to have any
portion of an eligible rollover distribution, as such term is defined in Section
402(c) of the federal Internal Revenue Code, paid directly to an eligible
retirement plan, as such term is defined in Section 402(c) of the federal
Internal Revenue Code, specified by the person in a direct
rollover.
(c)
A portion of a distribution made on or after January 1, 2002, shall not fail to
be an eligible rollover distribution merely because the portion consists of
after-tax employee contributions that are not includable in gross income;
provided, however, that such portion may be transferred only to:
(1)
An individual retirement account or annuity described in Section 408(a) or (b)
of the federal Internal Revenue Code;
(2)
A qualified defined contribution plan described in Sections 401(a) or 403(a) of
the federal Internal Revenue Code;
(3)
A qualified defined benefit plan described in Section 401(a) of the federal
Internal Revenue Code; or
(4)
An annuity contract described in Section 403(b) of the federal Internal Revenue
Code which agrees to account separately for amounts so transferred, and earnings
thereon, including accounting separately for the portion of such distribution
that is includable in gross income and the portion that is not so
includable.
(d)
Notwithstanding any other provision of this title to the contrary, a nonspouse
designated beneficiary may roll over the distribution only to an individual
retirement account or individual retirement annuity established for the purpose
of receiving the distribution, and the account or annuity shall be treated as an
inherited individual retirement account or
annuity."
SECTION
8.
Said
title is further amended by revising Code Section 47-1-82, relating to maximum
benefits limited to that allowed by federal law, as follows:
"47-1-82.
(a)
As used in this Code section, the term:
(1)
'Annual benefit' means a retirement benefit under the public retirement or
pension system which is payable annually in the form of a straight life
annuity.
(2)
'Applicable mortality table' means the table prescribed by the secretary of the
treasury of the United States in Revenue Ruling 95-6 or any successor thereto
which prescribes the mortality table to be applied pursuant to Section
415(b)(2)(E)(v) of the federal Internal Revenue Code. To the extent that a
forfeiture does not occur upon death, the mortality decrement may be ignored
prior to age 62 and shall be ignored after social security retirement age, as
prescribed by federal Internal Revenue Service Notice 83-10, Q&A G-3 and
G-4, or any successor thereto.
(3)
'Compensation' means, for purposes of applying the limitations of Section 415 of
the federal Internal Revenue Code and for no other purpose, a plan member's
wages as defined in Section 3401(a) of the federal Internal Revenue Code (wages
subject to income tax withholding at the source, but without regard to
exceptions contained in Section 3401(a) of the federal Internal Revenue Code for
wages based on the nature or location of the employment or the services
performed). The term shall also include the following:
(A)
For limitation years beginning on or after December 31, 1997, for purposes of
applying the limitations of Section 415 of the federal Internal Revenue Code,
amounts that would otherwise be included in compensation but for an election
under Sections 125(a), 402(e)(3), 402(h)(1)(B), 402(k), and 457(b) of the
federal Internal Revenue Code;
(B)
For limitation years beginning after December 31, 2000, any elective amounts
that are not includable in the plan member's gross income by reason of Section
132(f) of the federal Internal Revenue Code, relating to qualified
transportation plan; and
(C)
For limitation years beginning on and after January 1, 2007, compensation paid
by the later of 2 1/2 months after the plan member's severance from employment
or the end of the limitation year that includes the date of the plan member's
severance from employment if:
(i)
The payment is regular compensation for services during the plan member's
regular working hours or compensation for services outside the plan member's
regular working hours, including without limitation overtime or shift
differential, commissions, bonuses, or other similar payments, and, absent a
severance from employment, the payment would have been paid to the plan member
while he or she continued in employment with the employer; or
(ii)
The payment is for unused accrued bona fide sick leave, vacation leave, or the
leave that the member would have been able to use if employment had
continued.
'Compensation'
also includes back pay, within the meaning of Treasury Regulation Section 1.415
(c)-2(g)(8), for the limitation year to which the back pay relates to the extent
the back pay represents wages and compensation that would otherwise be included
in this definition.
(4)
'Dollar limitation' means the maximum permissible amount as such term is defined
in paragraph (6) of this subsection.
(5)
'Limitation year' means the plan year.
(6)
'Maximum permissible amount' means:
(A)
For limitation years beginning prior to January 1, 1995, 100 percent of the plan
member's average compensation for the period of three consecutive years during
which the plan member has the highest aggregate compensation from the
employer;
(B)
For limitation years beginning on and after January 1, 1995, but before January
1, 2001, $90,000; and
(C)
For limitation years beginning on and after January 1, 2002, $160,000.00, as
adjusted by the secretary of the treasury of the United States for each calendar
year, with the new limitation to apply to limitation years ending within the
calendar year of the date of the adjustment.
(7)
'Nonannuity benefit form' means a benefit, whether a normal form or an optional
form, which is not payable in a straight life annuity for the life of the plan
member.
(b)
Notwithstanding any other provisions of this title to the contrary, the maximum
benefit payable to any active or retired member or beneficiary of a retirement
or pension system subject to this title shall be limited to such extent as may
be necessary to conform to the requirements of Section 415 of the federal
Internal Revenue Code for a qualified retirement plan.
(c)
If a plan member's benefit is payable in a nonannuity benefit form, whether as
the normal form of benefit or as an optional form which the plan member or his
or her designated beneficiary elects, the nonannuity benefit form shall be
adjusted to an annual benefit as described in subsections (d) and (e) of this
Code section. No actuarial adjustment to the nonannuity benefit form shall be
required for:
(1)
The value of a qualified joint and survivor annuity;
(2)
The value of benefits that are not directly related to retirement benefits, such
as a disability benefit, preretirement death benefits, and postretirement
medical benefits; or
(3)
The value of postretirement cost-of-living increases provided that the amount
payable to the plan member under the nonannuity benefit form in any limitation
year shall not be greater than the Section 415(b) of the federal Internal
Revenue Code limit applicable at the annuity starting date as increased in
subsequent years pursuant to Section 415(d) of the federal Internal Revenue Code
and Section 1.415(d)-1 of the Treasury Regulations. The determination of the
annual benefit shall disregard benefits attributable to employee contributions
or rollover contributions or the assets transferred from a qualified plan that
was not maintained by an employer.
(d)
If the annual benefit commences when the plan member has fewer than ten years of
participation in the applicable public retirement or pension system or any
predecessor public retirement or pension system, the dollar limitation shall be
reduced by one-tenth for each year less than ten, but in no event shall be less
than one-tenth of the unreduced dollar limitation.
(e)(1)
If the payment of benefits under the public retirement or pension system
commences before age 62 or after age 65, the dollar limitation shall be adjusted
as the actuarial equivalent of the dollar limitation payable at age 62 or age
65, as follows:
(A)
If the age at which the benefit is payable is less than 62, the dollar
limitation shall be reduced to reflect the lesser of the following
calculations:
(i)
Reduce the dollar limitation using the interest rate and mortality table or
tabular factors, as applicable, which are set forth in the public retirement or
pension system for the reduction of benefits for early retirement benefits;
or
(ii)
Reduce the dollar limitation using 5 percent interest and the applicable
mortality table;
(B)
For limitation years beginning before January 1, 2002, nothing in this paragraph
shall reduce the applicable dollar limitation below $75,000.00 if the annual
benefit begins at or after age 55; and
(C)
For limitation years beginning before January 1, 2002, if the annual benefit
begins before age 55, nothing in this paragraph shall reduce the dollar
limitation below the actuarial equivalent of the $75,000.00 limitation for age
55.
(2)
If a plan member is a qualified member as such term is defined under Section
415(b)(2)(G) of the federal Internal Revenue Code, he or she may retire before
age 62 without a reduction in the dollar limitation if at least 15 years of
service is required to receive a full benefit under the public retirement or
pension system.
(3)
If the age at which the benefit is payable is greater than age 65, the
age-adjusted dollar limitation shall be determined by increasing the dollar
limitation on an actuarially equivalent basis. The increased age-adjusted
dollar limitation shall be the amount computed using 5 percent interest and the
applicable mortality
table."
SECTION
9.
Said
title is further amended by adding three new Code sections to read as
follows:
"47-1-83.
(a)
Notwithstanding anything in this Code section to the contrary, the annual
benefit payable to a plan member shall not be deemed to exceed the limits of
Section 415 of the federal Internal Revenue Code if the annual benefit payable
to the plan member under a public retirement or pension system does not exceed
$10,000.00 for the plan year or any prior plan year and the employer has not at
any time maintained a defined contribution plan in which the plan member
participated.
(b)
Notwithstanding anything contained in this Code section to the contrary, the
adjustment prescribed by this Code section for benefits that commence before age
62 and the reduction described in this Code section for fewer than ten years of
participation shall not apply to any benefit paid from a public retirement or
pension system on account of a plan member's becoming disabled by reason of
personal injuries or sickness or to amounts received by a designated beneficiary
as a result of the plan member's death. This subsection shall be interpreted in
accordance with Section 415(b)(2)(I) of the federal Internal Revenue Code and
any regulations promulgated thereunder.
(c)
For purposes of applying the limits under Section 415(b) of the federal Internal
Revenue Code, a plan member's maximum permissible amount shall be applied taking
into consideration cost-of-living increases as required by Section 415(b) of the
federal Internal Revenue Code and applicable Treasury Regulations.
(d)
In no event shall a plan member's annual benefit payable in any limitation year
from a retirement or pension system be greater than the limit applicable at the
annuity starting date, as increased in subsequent years pursuant to Section
415(d) of the federal Internal Revenue Code and regulations promulgated
thereunder. If the form of benefit without regard to the automatic benefit
increases feature is not a straight life annuity, then the preceding sentence is
applied by reducing the Section 415(b) of the federal Internal Revenue Code
limit applicable at the annuity starting date to an actuarially equivalent
amount, to be determined by using the assumption specified in Treasury
Regulation Section 1.415(b)-1(c)(2)(ii) that takes into account the death
benefit under the form of benefit.
47-1-84.
(a)
Notwithstanding any other provision of this title to the contrary, the board of
trustees of a retirement or pension system may modify a request by a plan member
to make a contribution to the public retirement or pension system if the amount
of the contribution would exceed the limits provided under Section 415 of the
federal Internal Revenue Code by using the following methods:
(1)
If the law requires a lump sum payment for the purchase of service credit, the
board of trustees may establish a periodic payment plan for the plan member to
avoid a contribution in excess of the limits under Section 415(c) or 415(n) of
the federal Internal Revenue Code; and
(2)
If the payment plan pursuant to paragraph (1) of this subsection will not avoid
a contribution in excess of the limits, the board of trustees may refuse the
plan member's contribution.
(b)
For any plan member who first became a plan member in the public retirement or
pension system before January 1, 1998, the limitation of Section 415(c)(1) of
the federal Internal Revenue Code shall not be applied to reduce the amount of
permissive service credit which may be purchased to an amount less than the
amount which was allowed to be purchased under state law on August 5,
1997.
47-1-85.
(a)
The assets of a public retirement or pension system shall be held in trust, and
it shall not be possible at the time prior to satisfaction of all liabilities to
plan members and their beneficiaries under the public retirement or pension
system for any part of said assets to be used for, or diverted to, purposes
other than for the exclusive benefit of plan members and their designated
beneficiaries and for paying reasonable expenses of the public retirement or
pension system and trust fund.
(b)
The board of trustees of a public retirement or pension system shall not engage
in a transaction prohibited by Section 503(b) of the federal Internal Revenue
Code."
SECTION
10.
Said
title is further amended by revising paragraph (1) of Code Section 47-2-1,
relating to definitions relative to the Employees' Retirement System of Georgia,
as follows:
"(1)
'Accumulated contributions' means the sum of all the amounts deducted from the
earnable
compensation of a member
and
or paid by the
member to establish or reestablish credit for service, which amounts
are credited to
his
the
member's individual account in the annuity
savings fund, together with regular interest thereon. Beginning July 1, 1980,
'accumulated contributions' also includes the amount of employee contributions
paid by the employer on behalf of the employee and credited to the employee's
individual account in the annuity savings fund, together with regular interest
thereon,
excluding employee contributions paid by the employer or the employee for group
term life insurance."
SECTION
11.
Said
title is further amended by revising paragraph (15) of Code Section 47-2-1,
relating to definitions relative to the Employees' Retirement System of Georgia,
as follows:
"(15)
'Earnable compensation' means the full rate of regular compensation payable to a
member employee for his
or
her full normal working time, excluding
any supplements from local funds. In cases where compensation includes
maintenance, the board of trustees shall fix the value of that part of the
compensation not paid in cash.
Such term
shall include contributions made to a qualified transportation plan, within the
meaning of Section 132(f) of the federal Internal Revenue Code, and before tax
or salary deferral contributions made under Sections 125, 401(k), 402(g)(3),
457, or 414(h) of the federal Internal Revenue Code to this retirement system or
to any other retirement plan maintained by an
employer."
SECTION
12.
Said
title is further amended by revising paragraph (17) of Code Section 47-2-1,
relating to definitions relative to the Employees' Retirement System of Georgia,
as follows:
"(17)
'Employer' means:
(A)
The state or any department, bureau, institution, board, or commission of the
state or any county, city-county, or city board, the employees of which are
under a state merit system of personnel administration, including a merit system
for employees of the Department of Public Safety, and all state departments
under a tenure system as established by law, provided that such county,
city-county, or city board may notify the board of trustees that it will not
participate in the benefits of the retirement system, such notice to be given in
writing on or before the commencement date or before persons are employed by it.
Any employee of a county, city-county, or city board having an existing local
retirement system may elect to continue to participate in such existing local
system but shall not participate in two systems, and his
or
her election shall be final on the
commencement date under this chapter. Any county, city-county, or city employee
who elects to become a member of this retirement system and who was a member of
an existing local retirement system shall transfer to the board of trustees any
equity he or
she has in the local system.
(B)
Any other provisions of law to the contrary notwithstanding, the adjutant
general is authorized, though not directed, to establish a merit system and to
perform all of the duties and obligations of an 'employer' for all civilians
employed in or with the Army National Guard of Georgia and the Air National
Guard of Georgia, even though such employees may be paid with federal funds.
The adjutant general is further authorized to make and enter into such
agreements and take such actions as are necessary to provide for all
contributions and payments specified in this chapter, from funds made available
by the federal government, and otherwise to comply with this chapter so as to
make this chapter applicable to such civilian employees.
(C)
'Employer' shall include any new state agency described under Code Section
47-2-70.1 and any other entity authorized by law to report any of its employees
as members of this
system."
SECTION
13.
Said
title is further amended by revising Code Section 47-2-1, relating to
definitions relative to the Employees' Retirement System of Georgia, by adding
two new paragraphs to read as follows:
"(16.6)
'Employee' shall not include an individual classified by an employer as an
independent contractor or a leased employee within the meaning of Section 414(n)
of the federal Internal Revenue Code, even if such individual is later
reclassified by the Internal Revenue Service as a common law
employee."
"(28.1)
'Plan year' means the 12 month period beginning on July 1 of each
year."
SECTION
14.
Said
title is further amended by adding a new Code section to read as
follows:
"47-2-33.
For
purposes of complying with federal Internal Revenue Service rules and
regulations, the plan year for this retirement system shall be the 12 month
period beginning on July 1 of each
year."
SECTION
15.
Said
title is further amended by revising Code Section 47-2-54, relating to employee
contributions under the Employees' Retirement System of Georgia, by adding a new
subsection to read as follows:
"(j)
The employee contributions described in this Code section that are credited to
the member's annuity savings account, although designated as employee
contributions, are being paid by the employer as 'pick-up' contributions in
accordance with Section 414(h) of the federal Internal Revenue Code. As such,
these contributions are mandatory and no member is entitled under any
circumstances to receive such contributions in cash in lieu of having them
contributed to the retirement system. Such contributions shall be 100 percent
vested for all purposes under the retirement
system."
SECTION
16.
Said
title is further amended by revising subsection (a) of Code Section 47-2-70.1,
relating to employees of new state agencies, as follows:
"(a)
As used in this Code section, the term:
(1)
'Employee' means full-time officers and employees of a new state
agency;
provided, however, that such term shall not mean an individual classified by an
employer as an independent contractor or a leased employee within the meaning of
Section 414(n) of the Internal Revenue Code, even if such individual is later
reclassified by the Internal Revenue Service as a common law
employee.
(2)
'Employer' means a new state agency paying the compensation of an
employee.
(3)
'New state agency' means any department, division, board, bureau, commission,
institution, or other agency of the state or any state public authority which
first becomes established or active on or after July 1, 1992.
(4)
'State public authority' means any public authority or public corporation
created by general law to carry out state purposes or functions, and the term
does not include public authorities created by general law to carry out purposes
or functions within or on behalf of counties, municipalities, or other political
subdivisions and which are activated by action of individual political
subdivisions."
SECTION
17.
Said
title is further amended by revising Code Section 47-2-92, relating to
reestablishment of service credit after withdrawal of accumulated contributions
from this retirement system or the Teachers Retirement System of Georgia and
payments required to obtain credits, as follows:
"47-2-92.
Any
present member who has withdrawn accumulated contributions from either the
Employees' Retirement System of Georgia or the Teachers Retirement System of
Georgia, or both, may, after two years of service as a contributing member,
reestablish the creditable service for which the member would have been eligible
if the accumulated contributions had not been withdrawn, provided that the
member repays into the retirement system an amount equal to the amount
withdrawn, together with regular interest at the rate of 4 1/4 percent per annum
from the date of withdrawal to the date of repayment, which
contributions
and interest shall be placed in the
pension
accumulation fund
participant's
individual account in the annuity savings
fund. Upon receipt of notice from this
retirement system to the Teachers Retirement System of Georgia that a member has
repaid to this retirement system contributions previously withdrawn from the
Teachers Retirement System of Georgia, the Teachers Retirement System of Georgia
shall pay an employer contribution plus regular interest into the Employees'
Retirement System of Georgia. The amount of the employer contribution shall be 6
percent of the reported compensation of the member during membership in the
Teachers Retirement System of Georgia."
SECTION
18.
Said
title is further amended by revising Code Section 47-2-110, relating to
retirement ages, application and eligibility for a retirement allowance,
suspension of retirement allowance upon reemployment, and health benefits, as
follows:
"47-2-110.
(a)(1)
Upon written application to the board of trustees, any member in service who has
reached 60 years of age or who has 30 years of creditable service may retire on
a service retirement allowance, provided that he or she has at least five years
of creditable service; provided, further, that if he or she became a member
after July 1, 1968, he or she has at least ten years of creditable service. The
effective date of retirement shall be the first of the month in which the
application is received by the board of trustees, provided that no retirement
application will, in any case, be effective earlier than the first of the month
following the final month of the applicant's employment. Applications for
retirement will not be accepted more than 90 days in advance of the effective
date of retirement. Separation from service pending approval of the retirement
application shall not affect eligibility for a retirement allowance. The
provisions of this subsection regarding the effective date of retirement shall
apply to all persons making application for retirement on or after March 15,
1979, and to all persons who have made application prior to March 15, 1979, but
to whom payments from the retirement system have not commenced as of that date.
Each employer
shall certify to the board of trustees the date on which the employee's
employment is or will be severed and that no agreement exists to allow the
employee to return to service, including service as or for an independent
contractor. Any return to employment or rendering of any paid service,
including service as or for an independent contractor, for any employer within
two consecutive calendar months of the effective date of retirement shall render
the severance invalid, nullifying the application for retirement.
(2)
Normal retirement age, for purposes of the retirement system, shall be the date
the employee has reached 60 years of age, provided that he or she has at least
ten years of creditable service or the age of an employee on the date he or she
attains 30 years of creditable service; provided, however, that the provisions
of this paragraph are subject to change by future legislation in order to comply
with federal regulations. For those members who are in service with the Uniform
Division of the Department of Public Safety as an officer, noncommissioned
officer, or trooper, officers and agents of the Georgia Bureau of Investigation,
conservation rangers of the Department of Natural Resources, or in the
Department of Revenue as an alcohol and tobacco officer or agent, normal
retirement age shall be the date the employee has reached 55 years of age,
provided that he or she has at least ten years of creditable service. For
purposes of Section 402(l) of the federal Internal Revenue Code regarding
distributions from governmental plans for health and long-term care insurance
for public safety officers, normal retirement age shall be the earliest date
when the employee has satisfied the requirements for a retirement allowance
under the retirement system. Except as provided under Article 2 of Chapter 1 of
this title, a member's right to his or her retirement allowance is
nonforfeitable upon attainment of normal retirement age.
(b)(1)
Effective July 1, 1983, no member of the retirement system may be required to
retire because of age except the following members:
(A)
Those employed as prison guards by the Department of Corrections;
(B)
Those employed by the Uniform Division of the Department of Public Safety as
officers and troopers;
(C)
Those employed by the Department of Natural Resources as conservation
rangers;
(D)
Those employed by the Department of Revenue as alcohol and tobacco officers or
agents;
(E)
Those employed as officers or agents of the Georgia Bureau of
Investigation;
(F)
Those employed by the Department of Transportation as enforcement officers prior
to July 1, 2001;
(G)
Those employed by the Department of Motor Vehicle Safety as enforcement officers
on or after July 1, 2001; and
(H)
Those employed by the State Board of Pardons and Paroles as parole officers as
well as other employees of said board who possess the power of
arrest.
(2)
Those members specified by paragraph (1) of this subsection who may be required
to retire because of age shall be subject to the laws specifying retirement ages
for the various classifications of such members or subject to the rules,
regulations, or policies specifying retirement ages of the various state
departments or agencies employing such members, provided such rules,
regulations, or policies are in compliance with other laws of this state. Any
state department or agency specified in paragraph (1) of this subsection shall
be authorized to employ or continue the employment of any member, regardless of
age, with professional, scientific, or technical skills who is so certified to
the board of trustees by the state department or agency.
(c)(1)
As used in
this subsection, in addition to the definition provided in Code Section 47-2-1,
the term 'employer' shall also include the retired member's last employer which
reported to the retirement system prior to the member's effective date of
retirement. Such term shall also include the Board of Regents of the University
System of Georgia.
(2)
Except as provided in this subsection, if a member accepts
paid
employment with or renders services
for
pay to any
employer,
including, without limitation, service directly or indirectly as or for an
independent contractor, after his or her
retirement, payment of his or her retirement allowance shall be suspended and no
contributions to the retirement system shall be made on account of such service
either by that member or his or her employer, provided that, upon termination of
such service, all rights shall vest in that member as if he or she had continued
his or her option to retire.
(2)(3)
The retirement allowance of a retired member who accepts employment with or
renders services to any employer after his or her retirement shall not be
suspended if the employee
has attained
normal retirement age or has not been employed by or rendered service for any
employer for at least two consecutive calendar months
and performs no more than 1,040 hours of
paid
employment or paid
service,
including, without limitation, service as or for an independent
contractor, for the employer in any
calendar
year;
provided, however, that no such employee so employed shall be eligible for
employee health benefits other than those available to the member as a part of
his or her retirement benefits or for any annual leave, any sick leave, or any
other employee benefit available to a state employee in the classified service
of the State Merit System of Personnel Administration established by Chapter 20
of Title 45.
(3)
The retirement benefits of a retired member who retired on a normal service
retirement with at least ten years of actual service as an officer or trooper of
the Uniform Division of the Department of Public Safety shall not be suspended
if he or she accepts full-time or part-time employment with the Department of
Public Safety or the Department of Motor Vehicle Safety as a radio operator or a
driver's license examiner; provided, however, that this paragraph shall cease to
apply on or after July 1, 2007. No such employee so employed shall be eligible
for employee health benefits other than those available to the member as a part
of his or her retirement benefits or for any annual leave, any sick leave, or
any other employee benefit available to a state employee in the classified
service of the State Merit System of Personnel Administration established by
Chapter 20 of Title 45. No employer or employee contributions to this
retirement system shall be paid for or on behalf of any such member. The salary
paid to any such person shall be commensurate with the position for which he or
she is employed with credit for no more than five years of prior
experience.
(4)
Any employer that employs a retired plan member shall within 30 days of the
employee's accepting employment notify the board of trustees in writing stating
the name of the plan member and the number of hours the employee is expected to
work annually and shall provide such other information as the board may request.
If the retired plan member performs more than 1,040 hours in any calendar year,
the employer shall so notify the board of trustees as soon as such information
is available. Any employer that fails to notify the board of trustees as
required by this subsection shall reimburse the retirement system for any
benefits wrongfully paid. It shall be the duty of the retired plan member
seeking employment by the employer to notify the employer of his or her
retirement status prior to accepting such position. If a retired plan member
fails to so notify the employer and the employer becomes liable to the
retirement system, the plan member shall hold the employer harmless for all such
liability.
(d)
The board of trustees is authorized to provide by rule or regulation for the
payment of benefits to members or beneficiaries of the retirement system at a
time and under circumstances not provided for in this chapter to the extent that
such payment is required to maintain the retirement system as a 'qualified
retirement plan' for the purposes of federal income tax laws."
SECTION
19.
Said
title is further amended by revising subsection (d) of Code Section 47-2-120,
relating to retirement allowances, as follows:
"(d)
Anything in this chapter to the contrary notwithstanding, any member
with
whose current
membership began prior to July 1, 1982, and who
has at least 34 years of service shall be
eligible to retire forthwith and upon retirement shall be paid not less than the
service retirement allowance which would have been payable upon service
retirement at the age of 65 had
he
the
member continued in service without
further change in compensation."
SECTION
20.
Said
title is further amended by revising Code Section 47-2-122, relating to vesting
of rights to a retirement allowance despite early retirement and retirement
allowance payable to such persons, as follows:
"47-2-122.
Except
as provided in Article 2 of Chapter 1 of this title, a member's accumulated
contributions shall be 100 percent vested and nonforfeitable at all
times. The right to a service retirement
allowance under this chapter shall vest in any member who withdraws from service
with at least ten years of membership service subsequent to January 1, 1954,
although
he
the
member has not yet attained 60 years of
age, provided that
he
the
member has not withdrawn
his
the
member's contributions. Such member shall
become entitled to a service retirement allowance (1) upon filing an application
as provided in Code Section 47-2-110 and (2) upon attaining the age of 60 or, at
his
the
member's option, at any time subsequent
thereto after filing such application. The retirement allowance in the case of
any such member shall be the monthly amount
he
the
member would have received had
he
the
member retired on the last day
he
the
member contributed to the retirement
system and at that time had been the same age as when
he
the
member actually retired. If a member with
vested rights dies before reaching age 60,
his
the
member's accumulated contributions shall
be paid to
his
the
member's named living beneficiary,
otherwise to
his
the
member's estate."
SECTION
21.
Said
title is further amended by revising paragraph (1) of Code Section 47-4-2,
relating to definitions relative to the Public School Employees Retirement
System, as follows:
"(1)
'Accumulated contributions' means
an
employee's contributions
the sum of all
of the amounts deducted from the earnable compensation of a member and paid by
the member to establish or reestablish credit for service, which amounts are
credited to the member's individual account in this retirement
system, together with regular interest
thereon."
SECTION
22.
Said
title is further amended by adding a new Code section to read as
follows:
"47-4-30.
For
purposes of complying with federal Internal Revenue Service rules and
regulations, the plan year for this retirement system shall be the 12 month
period beginning on July 1 of each
year."
SECTION
23.
Said
title is further amended by revising subsection (e) of Code Section 47-4-100,
relating to normal, early, and delayed retirement and vesting of a right to a
retirement benefit under the Public School Employees Retirement System, as
follows:
"(e)
The right to a retirement benefit under this chapter shall vest in a member who
has ten or more years of creditable service if
he
the
member has not withdrawn
his
the
member's contributions.
Except as
otherwise provided in Article 2 of Chapter 1 of this title, a member's
accumulated contributions shall be 100 percent vested and nonforfeitable at all
times. A member shall be 100 percent vested in all benefits under the plan upon
attainment of normal retirement age. Upon
attaining
his
the
member's normal retirement age or
his
the
member's early retirement age,
he
the
member shall begin receiving the
appropriate retirement benefit provided by Code Section 47-4-101."
SECTION
24.
Said
title is further amended by adding a new Code section to read as
follows:
"47-4-106.
(a)
Except as provided in subsection (b) of this Code section, if any retired member
who has not yet reached normal retirement age returns to service as a public
school employee in any position which normally requires membership in this
retirement system, such member's retirement benefit shall cease and the retired
member shall reestablish active membership in this retirement system. The
member shall have the same creditable service which the member possessed at the
time of retirement and shall accumulate additional creditable service so long as
such active membership continues. Upon cessation of such service, the retired
member, after proper notification to the board, shall receive a retirement
benefit based on the member's total accrued service.
(b)
Notwithstanding any other provisions in this chapter to the contrary, the
retirement benefit of a retired member who has reached normal retirement age and
who returns to the service of the public schools as a public school employee in
any position which normally requires membership in this retirement system,
including, without limitation, service directly or indirectly as or for an
independent contractor, shall cease and the retired member shall not be eligible
for active membership in this retirement system; provided, however, that the
retirement benefit shall not cease provided that such member performs no more
than 1,040 hours of such service in any calendar
year."
SECTION
25.
Said
title is further amended by revising paragraph (1) of Code Section 47-6-1,
relating to definitions relative to the Georgia Legislative Retirement System,
as follows:
"(1)
'Accumulated contributions' means the sum of all amounts deducted from the
compensation of a member
and
or paid by the
member to establish or reestablish credit for service, which amounts
are credited to his
or
her individual account in the system,
together with regular interest thereon. Beginning on January 12, 1981, this term
shall include the amount of employee contributions paid by the employer on
behalf of members, together with regular interest thereon, excluding employee
contributions paid by the employer for group term life insurance
coverage."
SECTION
26.
Said
title is further amended by adding a new Code section to read as
follows:
"47-6-25.
For
purposes of complying with federal Internal Revenue Service rules and
regulations, the plan year for this retirement system shall be the 12 month
period beginning on July 1 of each
year."
SECTION
27.
Said
title is further amended by revising subsection (c) of Code Section 47-6-80,
relating to eligibility and application for a retirement allowance, early
retirement, amount of retirement allowance, and increases in retirement
allowance, as follows:
"(c)
Normal
retirement age for a member with at least eight years of membership service
shall be the date the member has reached 62 years of age. Normal retirement age
for a member with less than eight years of membership service but with at least
eight years of creditable service shall be the date the member has reached 65
years of age. Any member of the system
who has completed eight or more years of membership service and who has attained
age 60 may elect to retire prior to age 62, provided that in such event,
his
the
member's retirement allowance shall be
reduced by 5 percent for each year below age 62."
SECTION
28.
Said
title is further amended by revising Code Section 47-6-84, relating to
termination of retirement allowance upon return to service and retirement
benefits for retired members returning to service in the General Assembly, as
follows:
"47-6-84.
(a)(1)
Except as provided in paragraph (2) of this subsection, if any retired member
who has not
yet reached normal retirement age returns
to the service of the state in any
position,
including, without limitation, service directly or indirectly as or for an
independent contractor, except as a member
of the General Assembly,
his
the
member's retirement allowance shall cease.
Upon cessation of such service, the retired member, after proper notification to
the board, shall receive the same retirement allowance which
he
the
member was receiving prior to returning to
state service.
(2)
Notwithstanding any other provisions in this chapter to the contrary, the
retirement allowance of a retired member
who has
reached normal retirement age or has not been employed by or rendered service
for the state and who returns to the
service of the state in any
position,
including, without limitation, service directly or indirectly as or for an
independent contractor, other than as a
member of the General Assembly shall not cease provided that such member
performs no more than 1,040 hours of such service in any calendar
year;
provided, however, that no such retired member shall be eligible for employee
health benefits other than those available to the member as a part of his
retirement benefits or for any annual leave, any sick leave, or any other
employee benefits available to a state employee in the classified service of the
State Merit System of Personnel
Administration.
(b)(1)
If a retired member returns to service as a member of the General Assembly
after the
member has reached normal retirement age,
the retired member may either continue to receive a retirement benefit while
serving as a member of the General Assembly or reestablish active membership in
the retirement system. If the election is to reestablish active membership in
the retirement system, the member shall have the same creditable service which
the member possessed at the time of retirement and shall accumulate additional
creditable service
as
so
long as such active membership continues. Except as otherwise provided by
paragraph (2) of this subsection, a retired member who returns to service in the
General Assembly shall make the election provided for in this paragraph within
30 days after taking office. Such election shall be made in writing to the board
of trustees and shall be irrevocable.
If a retired
member returns to service as a member of the General Assembly before the member
has reached normal retirement age, the retired member shall reestablish active
membership in the retirement system. The member shall have the same creditable
service which the member possessed at the time of retirement and shall
accumulate additional creditable service so long as such active membership
continues.
(2)
A retired member who returned to service in the General Assembly prior to the
existence of the option to reestablish active membership in the retirement
system shall have the right to make the election provided for in paragraph (1)
of this subsection at any time prior to January 1, 1991. In addition to
creditable service provided for in paragraph (1) of this subsection, any
such retired member who elects to reestablish active membership in the
retirement system may obtain creditable service for service in the General
Assembly rendered from the time of returning to service in the General Assembly
until the date of reestablishing active membership in the retirement system. In
order to obtain such creditable service, the member shall pay to the board of
trustees the employee contributions which would have been paid to the retirement
system during the period for which such creditable service is claimed, plus
regular interest thereon compounded annually from the time the service in the
General Assembly was rendered until the date of payment."
SECTION
29.
Said
title is further amended by revising Code Section 47-6-85, relating to refund of
accumulated contributions upon termination of membership, as
follows:
"47-6-85.
Except
as otherwise provided in Article 2 of Chapter 1 of this title, a member's
accumulated contributions shall be 100 percent vested and nonforfeitable at all
times. Upon the request of a member who
ceases to be a member of the system for reasons other than retirement or death,
he
the
member shall be paid
his
the
member's accumulated contributions as soon
as feasible after such request. If
he
the
member dies before payment has been made,
the amount of
his
the
member's accumulated contributions shall
be paid to such person as
he
the
member has nominated by written
designation filed with the board, otherwise to
his
the
member's estate."
SECTION
30.
Said
title is further amended by revising Code Section 47-22-1, relating to
definitions relative to the Georgia Deferred Contribution Plan, by adding new
paragraph to read as follows:
"(8)
'Plan year' means the 12 month period beginning July 1 of each
year."
SECTION
31.
Said
title is further amended by revising Code Section 47-22-9, relating to payment
of lump sum on termination of employment and continued accrual of earnings
absent request for lump sum payment, as follows:
"47-22-9.
(a)
Upon the written request of a member who ceases to be an employee, a lump sum
amount shall be paid to such person equal to the total amount credited to such
member's account at the time the member ceases to be an employee. If such
member dies before payment has been made, such payment shall be made to such
person as the member has nominated, by written designation filed with the board;
otherwise to the member's estate. If no such request is made, the member's
account shall continue to accrue earnings in the same manner as any member's
account;
provided, however,
that.
(b)
Notwithstanding the provisions of subsection (a) of this Code
section, if any member who ceases to be an
employee has less than such minimum amount as determined by the
board, but not
more than $5,000.00, credited to such
member's account, the board may, at its option, require such member to withdraw
all such moneys and the member's account shall be
closed;
provided, however, that the board's option to require withdrawal of small
account balances shall be applied in a consistent manner; provided, further,
that if the board provides for mandatory distributions of account balances
greater than $1,000.00 and if a member does not elect to have such distribution
paid directly to an eligible retirement plan specified by the member in a direct
rollover or to receive the distribution directly, the plan shall pay the
distribution in a direct rollover to an individual retirement plan designated by
the board in accordance with Section 401(a)(31)(B) of the federal Internal
Revenue Code.
(c)
Except as otherwise provided in Article 2 of Chapter 1 of this title, a member's
account balance in the plan shall at all times be 100 percent vested and
nonforfeitable."
SECTION
32.
Said
title is further amended by revising Code Section 47-23-1, relating to
definitions relative to the Georgia Judicial Retirement System, as
follows:
"47-23-1.
As
used in this chapter, the term:
(1)
'Accumulated contributions' means the sum of all amounts deducted from the
earnable compensation of a member or paid by the member to establish or
reestablish credit for service, which amounts are credited to his or her
individual account together with regular interest thereon. Such term shall also
include the amount of employee contributions paid by the employer on behalf of
members, together with regular interest thereon, excluding employee
contributions paid by the employer or the employee for group term life insurance
coverage.
(1)(2)
'Average earnable monthly compensation' means the average earnable monthly
compensation of a member during the 24 consecutive months of creditable service
producing the highest such average.
(2)(3)
'Beneficiary' means any person other than a retired member of a retirement
system who is receiving a benefit from that retirement system.
(3)(4)
'Board' means the Board of Trustees of the Georgia Judicial Retirement
System.
(4)(5)
'County pension or retirement fund' means only those certain pension and
retirement funds provided for by local Acts applicable to certain named
counties.
(5)(6)
'Covered position' means an employment position eligible for membership under
this chapter.
(6)(7)
'Creditable service' means prior service and membership service for which credit
is allowable under this chapter, but in no case shall more than one year of
service be creditable for all service in one calendar year, nor shall it include
any service which has been or may be credited to a member by any other public
retirement system of this state.
(7)(8)
'District attorney' means any district attorney holding office on July 1, 1998,
and any district attorney taking office on or after July 1, 1998, except that
the term district attorney shall not include any district attorney:
(A)
Who was serving as a district attorney on June 30, 1998, and who was not a
member of the District Attorneys' Retirement System; or
(B)
Who is a member of any other publicly supported retirement or pension system or
fund created by any law of this state, if the retirement or pension benefits
under such other publicly supported retirement or pension system or fund are
based wholly or partially on the compensation payable to the district attorney
from state funds.
(8)(9)
'District Attorneys' Retirement System' means that retirement system created by
Chapter 13 of this title as such chapter existed prior to July 1,
1998.
(9)(10)
'Earnable monthly compensation' means the full rate of regular monthly
compensation payable to a member employee for his or her full working time,
excluding any local supplements.
(10)(11)
'Fund' means the Georgia Judicial Retirement System Fund provided for by Code
Section 47-23-22. The fund shall include, but is not limited to, a pension
accumulation fund in which the benefits described in Article 6 of this chapter
will be held and an employee contribution accumulation fund in which the
contributions described in Article 5 of this chapter will be held.
(11)(12)
'Judge, solicitor, or solicitor-general of a state court' means a person elected
or appointed to such office for a specific term. Such term shall not include any
person acting as a judge or solicitor of a state court on a temporary basis or
serving as judge or solicitor-general pro tempore of a state court.
(12)(13)
'Juvenile court judge' means a juvenile court judge now or hereafter appointed
or otherwise holding office pursuant to Code Section 15-11-18 relative to the
creation of juvenile courts, except judges of the superior courts sitting as
juvenile court judges and juvenile court judges who are members of local
retirement or pension systems created by local law.
(13)(14)
'Predecessor retirement system' means the District Attorneys' Retirement System,
the Superior Court Judges Retirement System, and the Trial Judges and Solicitors
Retirement Fund, collectively or individually.
(14)(15)
'Regular interest' means interest at such rate as shall be determined by the
board of trustees, which interest shall be compounded annually.
(15)(16)
'Retirement system' means the Georgia Judicial Retirement System.
(16)(17)
'State court' means any court created pursuant to the provisions of Chapter 7 of
Title 15 or any court continued as a state court by Article VI, Section X of the
Constitution of the State of Georgia; provided, however, that such term shall
include the State Court of Fulton County subject to the provisions of Code
Section 47-23-50.
(17)(18)
'Superior Court Judges Retirement System' means that retirement system created
by Chapter 9 of this title as such chapter existed prior to July 1,
1998.
(18)(19)
'Trial Judges and Solicitors Retirement Fund' means that retirement fund created
by Chapter 10 of this title as such chapter existed prior to July 1,
1998."
SECTION
33.
Said
title is further amended by adding a new Code section to read as
follows:
"47-23-30.
For
purposes of complying with federal Internal Revenue Service rules and
regulations, the plan year for this retirement system shall be the 12 month
period beginning on July 1 of each
year."
SECTION
34
Said
title is further amended by revising Code Section 47-23-102, relating to vesting
and benefits upon retirement, as follows:
"47-23-102.
The
right of a member to receive benefits under this chapter shall vest after the
member obtains ten years of creditable service; provided, however, that no
member shall receive a retirement benefit prior to attaining the age of 60
years. Except
as otherwise provided in Article 2 of Chapter 1 of this title, a member's
accumulated contributions shall be 100 percent vested and nonforfeitable at all
times. Any member retiring on or after
July 1, 1996, and any member who was retired on July 1, 1996, with 16 years or
more of creditable service shall receive a benefit equal to 66.66 percent, plus
1 percent for each year of creditable service over 16 years, of the member's
salary; provided, however, that no member shall receive more than 24 years of
creditable service. Any member retiring with less than 16 years of creditable
service may retire at a reduced benefit pursuant to Code Section 47-23-103.
Normal
retirement age under this retirement system shall be the date the member has
reached age 60 years of age, provided that he or she has at least ten years of
creditable service. For purposes of Section 402(1) of the federal Internal
Revenue Code regarding distributions from governmental plans for health and
long-term care insurance for public safety officers, normal retirement age shall
be the earliest date when the member has satisfied the requirements for a
retirement under this or the predecessor retirement system. Except as otherwise
provided in Article 2 of Chapter 1 of this title, a member's right to his or her
retirement allowance is nonforfeitable upon attainment of normal retirement
age. Any member who was retired on July
1, 1996, with more than 16 years of creditable service shall receive in July,
1998, a one-time benefit payment equal to two times the product of 1 percent of
the salary paid to such judge at the time of his or her retirement multiplied by
the number of years of creditable service in excess of 16
years."
SECTION
35.
Said
title is further amended by revising Code Section 47-23-109, relating to
cessation of retirement allowance for resuming state service, as
follows:
"47-23-109.
(a)
Except as provided in subsection (b) of this Code section, if any retired member
who has not
yet reached normal retirement age returns
to the service of the state in any
position,
including, without limitation, service directly or indirectly as or for an
independent contractor, except as a member
of the General Assembly, his or her retirement allowance shall cease. Upon
cessation of such service, the retired member, after proper notification to the
board, shall receive the same retirement allowance which he or she was receiving
prior to returning to state service, calculated with any increases granted
during the period of compensation.
(b)
The retirement allowance of a retired member
who has
reached normal retirement age and who
returns to the service of the state in any
position,
including, without limitation, service directly or indirectly as or for an
independent contractor, other than as a
member of the General Assembly shall not cease provided that such member
performs no more than 1,040 hours of such service in any calendar
year;
provided, however, that no such retired member shall be eligible for employee
health benefits other than those available to the member as a part of his or her
retirement benefits or for any annual leave, any sick leave, or any other
employee benefits available to a state employee in the classified service of the
State Merit System of Personnel
Administration."
SECTION
36.
All
laws and parts of laws in conflict with this Act are repealed.