1.1A bill for an act
1.2relating to retirement; general state employees retirement plan of the Minnesota
1.3State Retirement System; providing retirement coverage for employees of the
1.4Minnesota Association of Professional Employees; amending Minnesota Statutes
1.52012, sections 352.01, subdivision 2a; 352.029, subdivisions 1, 2a, 2b, 3, 5.
1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7    Section 1. Minnesota Statutes 2012, section 352.01, subdivision 2a, is amended to read:
1.8    Subd. 2a. Included employees. (a) "State employee" includes:
1.9    (1) employees of the Minnesota Historical Society;
1.10    (2) employees of the State Horticultural Society;
1.11    (3) employees of the Minnesota Crop Improvement Association;
1.12    (4) employees of the adjutant general whose salaries are paid from federal funds and
1.13who are not covered by any federal civilian employees retirement system;
1.14    (5) employees of the Minnesota State Colleges and Universities who are employed
1.15under the university or college activities program;
1.16    (6) currently contributing employees covered by the system who are temporarily
1.17employed by the legislature during a legislative session or any currently contributing
1.18employee employed for any special service as defined in subdivision 2b, clause (8);
1.19    (7) employees of the legislature who are appointed without a limit on the duration
1.20of their employment and persons employed or designated by the legislature or by a
1.21legislative committee or commission or other competent authority to conduct a special
1.22inquiry, investigation, examination, or installation;
1.23    (8) trainees who are employed on a full-time established training program
1.24performing the duties of the classified position for which they will be eligible to receive
1.25immediate appointment at the completion of the training period;
2.1    (9) employees of the Minnesota Safety Council;
2.2    (10) any employees who are on authorized leave of absence from the Transit
2.3Operating Division of the former Metropolitan Transit Commission and who are employed
2.4by the labor organization which is the exclusive bargaining agent representing employees
2.5of the Transit Operating Division;
2.6    (11) employees of the Metropolitan Council, Metropolitan Parks and Open Space
2.7Commission, Metropolitan Sports Facilities Commission, or Metropolitan Mosquito
2.8Control Commission unless excluded under subdivision 2b or are covered by another
2.9public pension fund or plan under section 473.415, subdivision 3;
2.10    (12) judges of the Tax Court;
2.11    (13) personnel who were employed on June 30, 1992, by the University of
2.12Minnesota in the management, operation, or maintenance of its heating plant facilities,
2.13whose employment transfers to an employer assuming operation of the heating plant
2.14facilities, so long as the person is employed at the University of Minnesota heating plant
2.15by that employer or by its successor organization;
2.16    (14) personnel who are employed as seasonal employees in the classified or
2.17unclassified service;
2.18    (15) persons who are employed by the Department of Commerce as a peace officer
2.19in the Insurance Fraud Prevention Division under section 45.0135 who have attained the
2.20mandatory retirement age specified in section 43A.34, subdivision 4;
2.21    (16) employees of the University of Minnesota unless excluded under subdivision
2.222b, clause (3);
2.23    (17) employees of the Middle Management Association whose employment began
2.24after July 1, 2007, and to whom section 352.029 does not apply;
2.25    (18) employees of the Minnesota Government Engineers Council to whom section
2.26352.029 does not apply; and
2.27(19) employees of the Minnesota Sports Facilities Authority.; and
2.28(20) employees of the Minnesota Association of Professional Employees.
2.29    (b) Employees specified in paragraph (a), clause (13), are included employees under
2.30paragraph (a) if employer and employee contributions are made in a timely manner in the
2.31amounts required by section 352.04. Employee contributions must be deducted from
2.32salary. Employer contributions are the sole obligation of the employer assuming operation
2.33of the University of Minnesota heating plant facilities or any successor organizations to
2.34that employer.

2.35    Sec. 2. Minnesota Statutes 2012, section 352.029, subdivision 1, is amended to read:
3.1    Subdivision 1. Qualifications. Unless already specifically included under section
3.2352.01, subdivision 2a, or unless specifically excluded under section 352.01, subdivision
3.32b
, a state employee on leave of absence without pay to provide service as an employee
3.4or officer of a labor organization that is an exclusive bargaining agent representing state
3.5employees may elect under subdivision 2 to be covered by the general state employees
3.6retirement plan of the Minnesota State Retirement System for service with the labor
3.7organization, subject to the limitations set forth in subdivisions 2a and 2b.

3.8    Sec. 3. Minnesota Statutes 2012, section 352.029, subdivision 2a, is amended to read:
3.9    Subd. 2a. Limitations on salary for benefits and contributions. (a) The covered
3.10salary for a labor organization employee who is a member under section 352.01,
3.11subdivision 2a, paragraph (a), clause (20), or who qualifies for membership under this
3.12section or section 352.75 is limited to the lesser of:
3.13(1) the employee's actual salary as defined under section 352.01, subdivision 13; or
3.14(2) 75 percent of the salary of the governor as set under section 15A.082.
3.15(b) The limited covered salary determined under this subdivision must be used in
3.16determining employee, employer, and employer additional contributions under section
3.17352.04 , subdivisions 2 and 3, and in determining retirement annuities and other benefits
3.18under this chapter and chapter 356.

3.19    Sec. 4. Minnesota Statutes 2012, section 352.029, subdivision 2b, is amended to read:
3.20    Subd. 2b. Earning restrictions apply. A retirement annuity is only payable, if the
3.21person has met any other applicable requirements, upon the termination of employment by
3.22the labor organization by the person who is a member under section 352.01, subdivision
3.232a, paragraph (a), clause (20), or who elected coverage under subdivision 1 of employment
3.24by the labor organization. The reemployed annuitant earnings limitation set forth in
3.25section 352.115, subdivision 10, applies in the event that the person who is a member
3.26under section 352.01, subdivision 2a, paragraph (a), clause (20), or who elected coverage
3.27under subdivision 1 retires and is subsequently reemployed while an annuitant by the labor
3.28organization or by any other entity employing persons who are covered by the Minnesota
3.29State Retirement System by virtue of that employment.

3.30    Sec. 5. Minnesota Statutes 2012, section 352.029, subdivision 3, is amended to read:
3.31    Subd. 3. Contributions. The employee and employer contributions required
3.32by section 352.04, or by section 352.92 for employees covered by section 352.91, are
3.33the obligation of the employee who is a member under section 352.01, subdivision 2a,
4.1paragraph (a), clause (20), or who chooses coverage under this section. However, the
4.2employing labor organization may pay the employer contributions. Contributions made by
4.3the employee must be made by salary deduction. The employing labor organization shall
4.4pay all contributions to the system as required by section 352.04, or by section 352.92
4.5for employees covered by section 352.91.

4.6    Sec. 6. Minnesota Statutes 2012, section 352.029, subdivision 5, is amended to read:
4.7    Subd. 5. Board membership excluded. Employees of a labor organization who
4.8become members of the system under section 352.01, subdivision 2a, paragraph (a),
4.9clause (20), or under this section are not eligible for election to the board of directors.

4.10    Sec. 7. EFFECTIVE DATE.
4.11Sections 1 to 6 are effective July 1, 2013.