Bill Text: MN SF764 | 2013-2014 | 88th Legislature | Introduced
Bill Title: Minnesota state colleges and universities (MnSCU) faculty member retirement coverage transfer and service credit purchase authority modification
Sponsorship: Moderate Partisan Bill (Democrat 4-1)
Status: (Introduced - Dead) 2013-02-25 - Referred to State and Local Government [SF764 Detail]
Download: Minnesota-2013-SF764-Introduced.html
1.2relating to retirement; Minnesota State Colleges and Universities system faculty
1.3retirement coverage elections; eliminating a sunset date; amending Minnesota
1.4Statutes 2012, section 354B.21, subdivision 2.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2012, section 354B.21, subdivision 2, is amended to read:
1.7 Subd. 2. Coverage; election. (a) An eligible person employed by the board has
1.8the default coverage specified in subdivision 3, or other subdivisions of this section,
1.9whichever is applicable, and retains that coverage for the period of covered employment
1.10unless a timely election to change that coverage is made as specified in this section.
1.11(b) An eligible person under subdivision 3, paragraph (b) or (c), is authorized to elect
1.12prospective Teachers Retirement Association plan coverage.
1.13(c) An eligible person under subdivision 3, paragraph (d), is authorized to elect
1.14prospective coverage by the plan established by this chapter.
1.15(d) The election under paragraph (a) must be made within one year of commencing
1.16eligible Minnesota State Colleges and Universities system employment. If an election
1.17is not made within the specified election period due to a termination of Minnesota State
1.18Colleges and Universities system employment, an election may be made within 90 days
1.19of returning to eligible Minnesota State Colleges and Universities system employment.
1.20Except as specified in paragraph (f), all elections are irrevocable.
1.21(e) Except as provided in paragraph (f), a purchase of service credit in the Teachers
1.22Retirement Association plan for any period or periods of Minnesota State Colleges
1.23and Universities system employment occurring before the election under this section
1.24is prohibited.
2.1(f) Notwithstanding other paragraphs in this subdivision, a faculty member who
2.2is a member of the individual retirement account plan may elect to transfer retirement
2.3coverage to the teachers retirement plan within one year of the faculty member first
2.4achieving tenure or its equivalent at a Minnesota state college or university. The faculty
2.5member electing Teachers Retirement Association coverage under this paragraph must
2.6purchase service credit in the Teachers Retirement Association for the entire period of
2.7time covered under the individual retirement account plan and the purchase payment
2.8amount must be determined under section356.551 . The Teachers Retirement Association
2.9may charge a faculty member transferring coverage a reasonable fee to cover the costs
2.10associated with computing the actuarial cost of purchasing service credit and making the
2.11transfer. A faculty member transferring from the individual retirement account plan to the
2.12Teachers Retirement Association may use any balances to the credit of the faculty member
2.13in the individual retirement account plan, any balances to the credit of the faculty member
2.14in the higher education supplemental retirement plan established under chapter 354C, or
2.15any source specified in section356.441, subdivision 1 , to purchase the service credit in the
2.16Teachers Retirement Association. If the total amount of payments under this paragraph are
2.17less than the total purchase payment amount under section356.551 , the payment amounts
2.18must be refunded to the applicable source.The retirement coverage transfer and service
2.19credit purchase authority under this paragraph expires with respect to any Minnesota State
2.20Colleges and Universities System faculty initially hired after June 30, 2014.
2.21EFFECTIVE DATE.This section is effective July 1, 2013.
1.3retirement coverage elections; eliminating a sunset date; amending Minnesota
1.4Statutes 2012, section 354B.21, subdivision 2.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2012, section 354B.21, subdivision 2, is amended to read:
1.7 Subd. 2. Coverage; election. (a) An eligible person employed by the board has
1.8the default coverage specified in subdivision 3, or other subdivisions of this section,
1.9whichever is applicable, and retains that coverage for the period of covered employment
1.10unless a timely election to change that coverage is made as specified in this section.
1.11(b) An eligible person under subdivision 3, paragraph (b) or (c), is authorized to elect
1.12prospective Teachers Retirement Association plan coverage.
1.13(c) An eligible person under subdivision 3, paragraph (d), is authorized to elect
1.14prospective coverage by the plan established by this chapter.
1.15(d) The election under paragraph (a) must be made within one year of commencing
1.16eligible Minnesota State Colleges and Universities system employment. If an election
1.17is not made within the specified election period due to a termination of Minnesota State
1.18Colleges and Universities system employment, an election may be made within 90 days
1.19of returning to eligible Minnesota State Colleges and Universities system employment.
1.20Except as specified in paragraph (f), all elections are irrevocable.
1.21(e) Except as provided in paragraph (f), a purchase of service credit in the Teachers
1.22Retirement Association plan for any period or periods of Minnesota State Colleges
1.23and Universities system employment occurring before the election under this section
1.24is prohibited.
2.1(f) Notwithstanding other paragraphs in this subdivision, a faculty member who
2.2is a member of the individual retirement account plan may elect to transfer retirement
2.3coverage to the teachers retirement plan within one year of the faculty member first
2.4achieving tenure or its equivalent at a Minnesota state college or university. The faculty
2.5member electing Teachers Retirement Association coverage under this paragraph must
2.6purchase service credit in the Teachers Retirement Association for the entire period of
2.7time covered under the individual retirement account plan and the purchase payment
2.8amount must be determined under section
2.9may charge a faculty member transferring coverage a reasonable fee to cover the costs
2.10associated with computing the actuarial cost of purchasing service credit and making the
2.11transfer. A faculty member transferring from the individual retirement account plan to the
2.12Teachers Retirement Association may use any balances to the credit of the faculty member
2.13in the individual retirement account plan, any balances to the credit of the faculty member
2.14in the higher education supplemental retirement plan established under chapter 354C, or
2.15any source specified in section
2.16Teachers Retirement Association. If the total amount of payments under this paragraph are
2.17less than the total purchase payment amount under section
2.18must be refunded to the applicable source.
2.19
2.20
2.21EFFECTIVE DATE.This section is effective July 1, 2013.
