Bill Text: OH HB69 | 2011-2012 | 129th General Assembly | Introduced

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Bill Title: Regarding the state retirement systems.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2011-02-01 - To Health & Aging [HB69 Detail]

Download: Ohio-2011-HB69-Introduced.html

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As Introduced

129th General Assembly Regular Session 2011-2012

H. B. No. 69

Representative Wachtmann 

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A BILL

To amend sections 145.01, 145.20, 145.201, 145.22,

1

145.28, 145.29, 145.291, 145.293, 145.294,

2

145.295, 145.297, 145.298, 145.299, 145.2911,

3

145.2912, 145.2913, 145.2914, 145.30, 145.32,

4

145.323, 145.33, 145.331, 145.34, 145.35, 145.36,

5

145.361, 145.362, 145.37, 145.383, 145.39, 145.40,

6

145.401, 145.41, 145.44, 145.45, 145.452, 145.462,

7

145.47, 145.48, 145.483, 145.49, 145.51, 145.54,

8

145.56, 145.561, 145.563, 145.58, 145.82, 145.87,

9

145.92, 145.95, 145.97, 742.01, 742.31, 742.33,

10

742.34, 742.35, 742.37, 742.3716, 742.38, 742.39,

11

742.44, 742.444, 742.63, 2329.66, 3305.06,

12

3307.26, 3307.501, 3307.58, 3307.67, 3309.26,

13

3309.312, 3309.33, 3309.34, 3309.341, 3309.343,

14

3309.353, 3309.354, 3309.36, 3309.362, 3309.371,

15

3309.373, 3309.376, 3309.379, 3309.3710,

16

3309.3711, 3309.39, 3309.401, 3309.45, 3309.46,

17

3309.69, 3375.411, 5505.01, 5505.03, 5505.15,

18

5505.174, and 5505.54; to amend, for the purpose

19

of adopting new section numbers as indicated in

20

parentheses, sections 145.29 (145.292) and 145.325

21

(145.584); to enact new sections 145.29 and

22

145.332 and sections 145.016, 145.017, 145.036,

23

145.037, 145.038, 145.2915, 145.2916, 145.363,

24

145.573, 2901.431, and 2929.193; and to repeal

25

sections 145.02, 145.292, 145.321, 145.322,

26

145.324, 145.326, 145.327, 145.328, 145.329,

27

145.3210, 145.3211, 145.3212, 145.3213, 145.332,

28

145.42, 145.44, and 3309.38 of the Revised Code

29

regarding the state retirement systems.

30

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1. That sections 145.01, 145.20, 145.201, 145.22,	31
145.28, 145.29, 145.291, 145.293, 145.294, 145.295, 145.297,	32
145.298, 145.299, 145.2911, 145.2912, 145.2913, 145.2914, 145.30,	33
145.32, 145.323, 145.33, 145.331, 145.34, 145.35, 145.36, 145.361,	34
145.362, 145.37, 145.383, 145.39, 145.40, 145.401, 145.41, 145.44,	35
145.45, 145.452, 145.462, 145.47, 145.48, 145.483, 145.49, 145.51,	36
145.54, 145.56, 145.561, 145.563, 145.58, 145.82, 145.87, 145.92,	37
145.95, 145.97, 742.01, 742.31, 742.33, 742.34, 742.35, 742.37,	38
742.3716, 742.38, 742.39, 742.44, 742.444, 742.63, 2329.66,	39
3305.06, 3307.26, 3307.501, 3307.58, 3307.67, 3309.26, 3309.312,	40
3309.33, 3309.34, 3309.341, 3309.343, 3309.353, 3309.354, 3309.36,	41
3309.362, 3309.371, 3309.373, 3309.376, 3309.379, 3309.3710,	42
3309.3711, 3309.39, 3309.401, 3309.45, 3309.46, 3309.69, 3375.411,	43
5505.01, 5505.03, 5505.15, 5505.174, and 5505.54 be amended;	44
sections 145.29 (145.292) and 145.325 (145.584) be amended for the	45
purpose of adopting new section numbers as indicated in	46
parentheses; and new sections 145.29 and 145.332 and sections	47
145.016, 145.017, 145.036, 145.037, 145.038, 145.2915, 145.2916,	48
145.363, 145.573, 2901.431, and 2929.193 of the Revised Code be	49
enacted to read as follows:	50

Sec. 145.01.  As used in this chapter:

51

(A) "Public employee" means:

52

(1) Any person holding an office, not elective, under the	53
state or any county, township, municipal corporation, park	54
district, conservancy district, sanitary district, health	55
district, metropolitan housing authority, state retirement board,	56
Ohio historical society, public library, county law library, union	57
cemetery, joint hospital, institutional commissary, state	58
university, or board, bureau, commission, council, committee,	59
authority, or administrative body as the same are, or have been,	60
created by action of the general assembly or by the legislative	61
authority of any of the units of local government named in	62
division (A)(1) of this section, or employed and paid in whole or	63
in part by the state or any of the authorities named in division	64
(A)(1) of this section in any capacity not covered by section	65
742.01, 3307.01, 3309.01, or 5505.01 of the Revised Code.	66

(2) A person who is a member of the public employees	67
retirement system and who continues to perform the same or similar	68
duties under the direction of a contractor who has contracted to	69
take over what before the date of the contract was a publicly	70
operated function. The governmental unit with which the contract	71
has been made shall be deemed the employer for the purposes of	72
administering this chapter.	73

(3) Any person who is an employee of a public employer,	74
notwithstanding that the person's compensation for that employment	75
is derived from funds of a person or entity other than the	76
employer. Credit for such service shall be included as total	77
service credit, provided that the employee makes the payments	78
required by this chapter, and the employer makes the payments	79
required by sections 145.48 and 145.51 of the Revised Code.	80

(4) A person who elects in accordance with section 145.015 of	81
the Revised Code to remain a contributing member of the public	82
employees retirement system.	83

In all cases of doubt, the public employees retirement board	84
shall determine under section 145.036, 145.037, or 145.038 of the	85
Revised Code whether any person is a public employee, and its	86
decision is final.	87

(B) "Member" means any public employee, other than a public	88
employee excluded or exempted from membership in the retirement	89
system by section 145.03, 145.031, 145.032, 145.033, 145.034,	90
145.035, or 145.38 of the Revised Code. "Member" includes a PERS	91
retirant who becomes a member under division (C)(D) of section	92
145.38 of the Revised Code. "Member" also includes a disability	93
benefit recipient.	94

(C) "Head of the department" means the elective or appointive	95
head of the several executive, judicial, and administrative	96
departments, institutions, boards, and commissions of the state	97
and local government as the same are created and defined by the	98
laws of this state or, in case of a charter government, by that	99
charter.	100

(D) "Employer" or "public employer" means the state or any	101
county, township, municipal corporation, park district,	102
conservancy district, sanitary district, health district,	103
metropolitan housing authority, state retirement board, Ohio	104
historical society, public library, county law library, union	105
cemetery, joint hospital, institutional commissary, state medical	106
college, state university, or board, bureau, commission, council,	107
committee, authority, or administrative body as the same are, or	108
have been, created by action of the general assembly or by the	109
legislative authority of any of the units of local government	110
named in this division not covered by section 742.01, 3307.01,	111
3309.01, or 5505.01 of the Revised Code. In addition, "employer"	112
means the employer of any public employee.	113

(E) "Prior service" means all service as a public employee	114
rendered before January 1, 1935, and all service as an employee of	115
any employer who comes within the state teachers retirement system	116
or of the school employees retirement system or of any other	117
retirement system established under the laws of this state	118
rendered prior to January 1, 1935, provided that if the employee	119
claiming the service was employed in any capacity covered by that	120
other system after that other system was established, credit for	121
the service may be allowed by the public employees retirement	122
system only when the employee has made payment, to be computed on	123
the salary earned from the date of appointment to the date	124
membership was established in the public employees retirement	125
system, at the rate in effect at the time of payment, and the	126
employer has made payment of the corresponding full liability as	127
provided by section 145.44 of the Revised Code. "Prior military	128
service" also means all service credited for active duty with the	129
armed forces of the United States as provided in section 145.30 of	130
the Revised Code.	131

If an employee who has been granted prior service credit by	132
the public employees retirement system for service rendered prior	133
to January 1, 1935, as an employee of a board of education	134
establishes, before retirement, one year or more of contributing	135
service in the state teachers retirement system or school	136
employees retirement system, then the prior service ceases to be	137
the liability of this system.	138

If the board determines that a position of any member in any	139
calendar year prior to January 1, 1935, was a part-time position,	140
the board shall determine what fractional part of a year's credit	141
shall be allowed by the following formula:	142

(1) When the member has been either elected or appointed to	143
an office the term of which was two or more years and for which an	144
annual salary is established, the fractional part of the year's	145
credit shall be computed as follows:	146

First, when the member's annual salary is one thousand	147
dollars or less, the service credit for each such calendar year	148
shall be forty per cent of a year.	149

Second, for each full one hundred dollars of annual salary	150
above one thousand dollars, the member's service credit for each	151
such calendar year shall be increased by two and one-half per	152
cent.	153

(2) When the member is paid on a per diem basis, the service	154
credit for any single year of the service shall be determined by	155
using the number of days of service for which the compensation was	156
received in any such year as a numerator and using two hundred	157
fifty days as a denominator.	158

(3) When the member is paid on an hourly basis, the service	159
credit for any single year of the service shall be determined by	160
using the number of hours of service for which the compensation	161
was received in any such year as a numerator and using two	162
thousand hours as a denominator.	163

(F) "Contributor" means any person who has an account in the	164
employees' savings fund created by section 145.23 of the Revised	165
Code. When used in the sections listed in division (B) of section	166
145.82 of the Revised Code, "contributor" includes any person	167
participating in a PERS defined contribution plan.	168

(G) "Beneficiary" or "beneficiaries" means the estate or a	169
person or persons who, as the result of the death of a member,	170
contributor, or retirant, qualify for or are receiving some right	171
or benefit under this chapter.	172

(H)(1) "Total service credit," except as provided in section	173
145.37 of the Revised Code, means all service credited to a member	174
of the retirement system since last becoming a member, including	175
restored service credit as provided by section 145.31 of the	176
Revised Code; credit purchased under sections 145.293 and 145.299	177
of the Revised Code; all the member's prior service credit; all	178
the member's military service credit computed as provided in this	179
chapter; all service credit established pursuant to section	180
145.297 of the Revised Code; and any other service credited under	181
this chapter. In addition, "total service credit" includes any	182
period, not in excess of three years, during which a member was	183
out of service and receiving benefits under Chapters 4121. and	184
4123. of the Revised Code. For the exclusive purpose of satisfying	185
the service credit requirement and of determining eligibility for	186
benefits under sections 145.32, 145.33, 145.331, 145.35, 145.36,	187
and 145.361 of the Revised Code, "five or more years of total	188
service credit" means sixty or more calendar months of	189
contributing service in this system.	190

(2) "One and one-half years of contributing service credit,"	191
as used in division (B) of section 145.45 of the Revised Code,	192
also means eighteen or more calendar months of employment by a	193
municipal corporation that formerly operated its own retirement	194
plan for its employees or a part of its employees, provided that	195
all employees of that municipal retirement plan who have eighteen	196
or more months of such employment, upon establishing membership in	197
the public employees retirement system, shall make a payment of	198
the contributions they would have paid had they been members of	199
this system for the eighteen months of employment preceding the	200
date membership was established. When that payment has been made	201
by all such employee members, a corresponding payment shall be	202
paid into the employers' accumulation fund by that municipal	203
corporation as the employer of the employees.	204

(3) Where a member also is a member of the state teachers	205
retirement system or the school employees retirement system, or	206
both, except in cases of retirement on a combined basis pursuant	207
to section 145.37 of the Revised Code or as provided in section	208
145.383 of the Revised Code, service credit for any period shall	209
be credited on the basis of the ratio that contributions to the	210
public employees retirement system bear to total contributions in	211
all state retirement systems.	212

(4) Not more than one year of credit may be given for any	213
period of twelve months.	214

(5) "Ohio service credit" means credit for service that was	215
rendered to the state or any of its political subdivisions or any	216
employer.	217

(I) "Regular interest" means interest at any rates for the	218
respective funds and accounts as the public employees retirement	219
board may determine from time to time.	220

(J) "Accumulated contributions" means the sum of all amounts	221
credited to a contributor's individual account in the employees'	222
savings fund together with any interest credited to the	223
contributor's account under section 145.471 or 145.472 of the	224
Revised Code.	225

(K)(1) "Final average salary" means the quotient obtained by	226
dividing by threethe appropriate number specified in section	227
145.017 of the Revised Code the sum of the threethat number of	228
full calendar years of contributing service in which the member's	229
earnable salary was highest, except that if the member has a	230
partial year of contributing service in the year the member's	231
employment terminates and the member's earnable salary for the	232
partial year is higher than for any comparable period in the three	233
specified number of years, the member's earnable salary for the	234
partial year shall be substituted for the member's earnable salary	235
for the comparable period during the three years in which the	236
member's earnable salary was lowest.	237

(2) If a member has less than threethe specified number of	238
years of contributing service, the member's final average salary	239
shall be the member's total earnable salary divided by the total	240
number of years, including any fraction of a year, of the member's	241
contributing service.	242

(3) For the purpose of calculating benefits payable to a	243
member qualifying for service credit under division (Z)(Y) of this	244
section, "final average salary" means the total earnable salary on	245
which contributions were made divided by the total number of years	246
during which contributions were made, including any fraction of a	247
year. If contributions were made for less than twelve months,	248
"final average salary" means the member's total earnable salary.	249

(L) "Annuity" means payments for life derived from	250
contributions made by a contributor and paid from the annuity and	251
pension reserve fund as provided in this chapter. All annuities	252
shall be paid in twelve equal monthly installments.	253

(M) "Annuity reserve" means the present value, computed upon	254
the basis of the mortality and other tables adopted by the board,	255
of all payments to be made on account of any annuity, or benefit	256
in lieu of any annuity, granted to a retirant as provided in this	257
chapter.	258

(N)(1) "Disability retirement" means retirement as provided	259
in section 145.36 of the Revised Code.	260

(2) "Disability allowance" means an allowance paid on account	261
of disability under section 145.361 of the Revised Code.	262

(3) "Disability benefit" means a benefit paid as disability	263
retirement under section 145.36 of the Revised Code, as a	264
disability allowance under section 145.361 of the Revised Code, or	265
as a disability benefit under section 145.37 of the Revised Code.	266

(4) "Disability benefit recipient" means a member who is	267
receiving a disability benefit.	268

(O) "Age and service retirement" means retirement as provided	269
in sections 145.32, 145.33, 145.331, 145.34, 145.37, and 145.46 of	270
the Revised Code.	271

(P) "Pensions" means annual payments for life derived from	272
contributions made by the employer that at the time of retirement	273
are credited into the annuity and pension reserve fund from the	274
employers' accumulation fund and paid from the annuity and pension	275
reserve fund as provided in this chapter. All pensions shall be	276
paid in twelve equal monthly installments.	277

(Q) "Retirement allowance" means the pension plus that	278
portion of the benefit derived from contributions made by the	279
member.	280

(R)(1) Except as otherwise provided in division (R) of this	281
section, "earnable salary" means all salary, wages, and other	282
earnings paid to a contributor by reason of employment in a	283
position covered by the retirement system. The salary, wages, and	284
other earnings shall be determined prior to determination of the	285
amount required to be contributed to the employees' savings fund	286
under section 145.47 of the Revised Code and without regard to	287
whether any of the salary, wages, or other earnings are treated as	288
deferred income for federal income tax purposes. "Earnable salary"	289
includes the following:	290

(a) Payments made by the employer in lieu of salary, wages,	291
or other earnings for sick leave, personal leave, or vacation used	292
by the contributor;	293

(b) Payments made by the employer for the conversion of sick	294
leave, personal leave, and vacation leave accrued, but not used if	295
the payment is made during the year in which the leave is accrued,	296
except that payments made pursuant to section 124.383 or 124.386	297
of the Revised Code are not earnable salary;	298

(c) Allowances paid by the employer for full maintenance,	299
consisting of housing, laundry, and meals, as certified to the	300
retirement board by the employer or the head of the department	301
that employs the contributor;	302

(d) Fees and commissions paid under section 507.09 of the	303
Revised Code;	304

(e) Payments that are made under a disability leave program	305
sponsored by the employer and for which the employer is required	306
by section 145.296 of the Revised Code to make periodic employer	307
and employee contributions;	308

(f) Amounts included pursuant to divisionsdivision (K)(3)	309
and former division (Y) of this section and section 145.2916 of	310
the Revised Code.	311

(2) "Earnable salary" does not include any of the following:

312

(a) Fees and commissions, other than those paid under section	313
507.09 of the Revised Code, paid as sole compensation for personal	314
services and fees and commissions for special services over and	315
above services for which the contributor receives a salary;	316

(b) Amounts paid by the employer to provide life insurance,	317
sickness, accident, endowment, health, medical, hospital, dental,	318
or surgical coverage, or other insurance for the contributor or	319
the contributor's family, or amounts paid by the employer to the	320
contributor in lieu of providing the insurance;	321

(c) Incidental benefits, including lodging, food, laundry,	322
parking, or services furnished by the employer, or use of the	323
employer's property or equipment, or amounts paid by the employer	324
to the contributor in lieu of providing the incidental benefits;	325

(d) Reimbursement for job-related expenses authorized by the	326
employer, including moving and travel expenses and expenses	327
related to professional development;	328

(e) Payments for accrued but unused sick leave, personal	329
leave, or vacation that are made at any time other than in the	330
year in which the sick leave, personal leave, or vacation was	331
accrued;	332

(f) Payments made to or on behalf of a contributor that are	333
in excess of the annual compensation that may be taken into	334
account by the retirement system under division (a)(17) of section	335
401 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	336
U.S.C.A. 401(a)(17), as amended;	337

(g) Payments made under division (B), (C), or (E) of section	338
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill	339
No. 3 of the 119th general assembly, Section 3 of Amended	340
Substitute Senate Bill No. 164 of the 124th general assembly, or	341
Amended Substitute House Bill No. 405 of the 124th general	342
assembly;	343

(h) Anything of value received by the contributor that is	344
based on or attributable to retirement or an agreement to retire,	345
except that payments made on or before January 1, 1989, that are	346
based on or attributable to an agreement to retire shall be	347
included in earnable salary if both of the following apply:	348

(i) The payments are made in accordance with contract	349
provisions that were in effect prior to January 1, 1986;	350

(ii) The employer pays the retirement system an amount	351
specified by the retirement board equal to the additional	352
liability resulting from the payments.	353

(i) The portion of any amount included under section 145.2916	354
of the Revised Code that represents employer contributions.	355

(3) The retirement board shall determine by rule whether any	356
compensation not enumerated in division (R) of this section is	357
earnable salary, and its decision shall be final.	358

(S) "Pension reserve" means the present value, computed upon	359
the basis of the mortality and other tables adopted by the board,	360
of all payments to be made on account of any retirement allowance	361
or benefit in lieu of any retirement allowance, granted to a	362
member or beneficiary under this chapter.	363

(T)(1) "Contributing service" means all service credited to a	364
member of the system since January 1, 1935, for which	365
contributions are made as required by sections 145.47, 145.48, and	366
145.483 of the Revised Code. In any year subsequent to 1934,	367
credit for any service shall be allowed by the following formula:	368

(a) For each month for which the member's earnable salary is	369
two hundred fifty dollars or more, allow one month's credit.	370

(b) For each month for which the member's earnable salary is	371
less than two hundred fifty dollars, allow a fraction of a month's	372
credit. The numerator of this fraction shall be the earnable	373
salary during the month, and the denominator shall be two hundred	374
fifty dollars, except that if the member's annual earnable salary	375
is less than six hundred dollars, the member's credit shall not be	376
reduced below twenty per cent of a year for a calendar year of	377
employment during which the member worked each month. Division	378
(T)(1)(b) of this section shall not reduce any credit earned	379
before January 1, 1985.	380

(2) Notwithstanding division (T)(1) of this section, an	381
elected official who prior to January 1, 1980, was granted a full	382
year of credit for each year of service as an elected official	383
shall be considered to have earned a full year of credit for each	384
year of service regardless of whether the service was full-time or	385
part-time. The public employees retirement board has no authority	386
to reduce the creditin accordance with section 145.016 of the	387
Revised Code.	388

(U) "State retirement board" means the public employees	389
retirement board, the school employees retirement board, or the	390
state teachers retirement board.	391

(V) "Retirant" means any former member who retires and is	392
receiving a monthly allowance as provided in sections 145.32,	393
145.33, 145.331, 145.332, 145.34, and 145.46 of the Revised Code.	394

(W) "Employer contribution" means the amount paid by an	395
employer as determined under section 145.48 of the Revised Code.	396

(X) "Public service terminates" means the last day for which	397
a public employee is compensated for services performed for an	398
employer or the date of the employee's death, whichever occurs	399
first.	400

(Y) When a member has been elected or appointed to an office,	401
the term of which is two or more years, for which an annual salary	402
is established, and in the event that the salary of the office is	403
increased and the member is denied the additional salary by reason	404
of any constitutional provision prohibiting an increase in salary	405
during a term of office, the member may elect to have the amount	406
of the member's contributions calculated upon the basis of the	407
increased salary for the office. At the member's request, the	408
board shall compute the total additional amount the member would	409
have contributed, or the amount by which each of the member's	410
contributions would have increased, had the member received the	411
increased salary for the office the member holds. If the member	412
elects to have the amount by which the member's contribution would	413
have increased withheld from the member's salary, the member shall	414
notify the employer, and the employer shall make the withholding	415
and transmit it to the retirement system. A member who has not	416
elected to have that amount withheld may elect at any time to make	417
a payment to the retirement system equal to the additional amount	418
the member's contribution would have increased, plus interest on	419
that contribution, compounded annually at a rate established by	420
the board and computed from the date on which the last	421
contribution would have been withheld from the member's salary to	422
the date of payment. A member may make a payment for part of the	423
period for which the increased contribution was not withheld, in	424
which case the interest shall be computed from the date the last	425
contribution would have been withheld for the period for which the	426
payment is made. Upon the payment of the increased contributions	427
as provided in this division, the increased annual salary as	428
provided by law for the office for the period for which the member	429
paid increased contributions thereon shall be used in determining	430
the member's earnable salary for the purpose of computing the	431
member's final average salary.	432

(Z) "Five years of service credit," for the exclusive purpose	433
of satisfying the service credit requirements and of determining	434
eligibility for benefits under section 145.33 of the Revised Code,	435
means employment covered under this chapter or under a former	436
retirement plan operated, recognized, or endorsed by the employer	437
prior to coverage under this chapter or under a combination of the	438
coverage.	439

(AA)(Z) "Deputy sheriff" means any person who is commissioned	440
and employed as a full-time peace officer by the sheriff of any	441
county, and has been so employed since on or before December 31,	442
1965; any person who is or has been commissioned and employed as a	443
peace officer by the sheriff of any county since January 1, 1966,	444
and who has received a certificate attesting to the person's	445
satisfactory completion of the peace officer training school as	446
required by section 109.77 of the Revised Code; or any person	447
deputized by the sheriff of any county and employed pursuant to	448
section 2301.12 of the Revised Code as a criminal bailiff or court	449
constable who has received a certificate attesting to the person's	450
satisfactory completion of the peace officer training school as	451
required by section 109.77 of the Revised Code.	452

(BB)(AA) "Township constable or police officer in a township	453
police department or district" means any person who is	454
commissioned and employed as a full-time peace officer pursuant to	455
Chapter 505. or 509. of the Revised Code, who has received a	456
certificate attesting to the person's satisfactory completion of	457
the peace officer training school as required by section 109.77 of	458
the Revised Code.	459

(CC)(BB) "Drug agent" means any person who is either of the	460
following:	461

(1) Employed full time as a narcotics agent by a county	462
narcotics agency created pursuant to section 307.15 of the Revised	463
Code and has received a certificate attesting to the satisfactory	464
completion of the peace officer training school as required by	465
section 109.77 of the Revised Code;	466

(2) Employed full time as an undercover drug agent as defined	467
in section 109.79 of the Revised Code and is in compliance with	468
section 109.77 of the Revised Code.	469

(DD)(CC) "Department of public safety enforcement agent"	470
means a full-time employee of the department of public safety who	471
is designated under section 5502.14 of the Revised Code as an	472
enforcement agent and who is in compliance with section 109.77 of	473
the Revised Code.	474

(EE)(DD) "Natural resources law enforcement staff officer"	475
means a full-time employee of the department of natural resources	476
who is designated a natural resources law enforcement staff	477
officer under section 1501.013 of the Revised Code and is in	478
compliance with section 109.77 of the Revised Code.	479

(FF)(EE) "Park officer" means a full-time employee of the	480
department of natural resources who is designated a park officer	481
under section 1541.10 of the Revised Code and is in compliance	482
with section 109.77 of the Revised Code.	483

(GG)(FF) "Forest officer" means a full-time employee of the	484
department of natural resources who is designated a forest officer	485
under section 1503.29 of the Revised Code and is in compliance	486
with section 109.77 of the Revised Code.	487

(HH)(GG) "Preserve officer" means a full-time employee of the	488
department of natural resources who is designated a preserve	489
officer under section 1517.10 of the Revised Code and is in	490
compliance with section 109.77 of the Revised Code.	491

(II)(HH) "Wildlife officer" means a full-time employee of the	492
department of natural resources who is designated a wildlife	493
officer under section 1531.13 of the Revised Code and is in	494
compliance with section 109.77 of the Revised Code.	495

(JJ)(II) "State watercraft officer" means a full-time	496
employee of the department of natural resources who is designated	497
a state watercraft officer under section 1547.521 of the Revised	498
Code and is in compliance with section 109.77 of the Revised Code.	499

(KK)(JJ) "Park district police officer" means a full-time	500
employee of a park district who is designated pursuant to section	501
511.232 or 1545.13 of the Revised Code and is in compliance with	502
section 109.77 of the Revised Code.	503

(LL)(KK) "Conservancy district officer" means a full-time	504
employee of a conservancy district who is designated pursuant to	505
section 6101.75 of the Revised Code and is in compliance with	506
section 109.77 of the Revised Code.	507

(MM)(LL) "Municipal police officer" means a member of the	508
organized police department of a municipal corporation who is	509
employed full time, is in compliance with section 109.77 of the	510
Revised Code, and is not a member of the Ohio police and fire	511
pension fund.	512

(NN)(MM) "Veterans' home police officer" means any person who	513
is employed at a veterans' home as a police officer pursuant to	514
section 5907.02 of the Revised Code and is in compliance with	515
section 109.77 of the Revised Code.	516

(OO)(NN) "Special police officer for a mental health	517
institution" means any person who is designated as such pursuant	518
to section 5119.14 of the Revised Code and is in compliance with	519
section 109.77 of the Revised Code.	520

(PP)(OO) "Special police officer for an institution for the	521
mentally retarded and developmentally disabled" means any person	522
who is designated as such pursuant to section 5123.13 of the	523
Revised Code and is in compliance with section 109.77 of the	524
Revised Code.	525

(QQ)(PP) "State university law enforcement officer" means any	526
person who is employed full time as a state university law	527
enforcement officer pursuant to section 3345.04 of the Revised	528
Code and who is in compliance with section 109.77 of the Revised	529
Code.	530

(RR)(QQ) "House sergeant at arms" means any person appointed	531
by the speaker of the house of representatives under division	532
(B)(1) of section 101.311 of the Revised Code who has arrest	533
authority under division (E)(1) of that section.	534

(SS)(RR) "Assistant house sergeant at arms" means any person	535
appointed by the house sergeant at arms under division (C)(1) of	536
section 101.311 of the Revised Code.	537

(TT)(SS) "Regional transit authority police officer" means a	538
person who is employed full time as a regional transit authority	539
police officer under division (Y) of section 306.35 of the Revised	540
Code and is in compliance with section 109.77 of the Revised Code.	541

(UU)(TT) "State highway patrol police officer" means a	542
special police officer employed full time and designated by the	543
superintendent of the state highway patrol pursuant to section	544
5503.09 of the Revised Code or a person serving full time as a	545
special police officer pursuant to that section on a permanent	546
basis on October 21, 1997, who is in compliance with section	547
109.77 of the Revised Code.	548

(VV)(UU) "Municipal public safety director" means a person	549
who serves full time as the public safety director of a municipal	550
corporation with the duty of directing the activities of the	551
municipal corporation's police department and fire department.	552

(WW)(VV) Notwithstanding section 2901.01 of the Revised Code,	553
"PERS law enforcement officer" means a sheriff or any of the	554
following whose primary duties are to preserve the peace, protect	555
life and property, and enforce the laws of this state: a deputy	556
sheriff, township constable or police officer in a township police	557
department or district, drug agent, department of public safety	558
enforcement agent, natural resources law enforcement staff	559
officer, park officer, forest officer, preserve officer, wildlife	560
officer, state watercraft officer, park district police officer,	561
conservancy district officer, veterans' home police officer,	562
special police officer for a mental health institution, special	563
police officer for an institution for the mentally retarded and	564
developmentally disabled, state university law enforcement	565
officer, municipal police officer, house sergeant at arms,	566
assistant house sergeant at arms, regional transit authority	567
police officer, or state highway patrol police officer. PERS law	568
enforcement officer also includes a person serving as a municipal	569
public safety director at any time during the period from	570
September 29, 2005, to the effective date of this amendmentMarch	571
24, 2009, if the duties of that service were to preserve the	572
peace, protect life and property, and enforce the laws of this	573
state.	574

(XX)(WW) "Hamilton county municipal court bailiff" means a	575
person appointed by the clerk of courts of the Hamilton county	576
municipal court under division (A)(3) of section 1901.32 of the	577
Revised Code who is employed full time as a bailiff or deputy	578
bailiff, who has received a certificate attesting to the person's	579
satisfactory completion of the peace officer basic training	580
described in division (D)(1) of section 109.77 of the Revised	581
Code.	582

(YY)(XX) "PERS public safety officer" means a Hamilton county	583
municipal court bailiff, or any of the following whose primary	584
duties are other than to preserve the peace, protect life and	585
property, and enforce the laws of this state: a deputy sheriff,	586
township constable or police officer in a township police	587
department or district, drug agent, department of public safety	588
enforcement agent, natural resources law enforcement staff	589
officer, park officer, forest officer, preserve officer, wildlife	590
officer, state watercraft officer, park district police officer,	591
conservancy district officer, veterans' home police officer,	592
special police officer for a mental health institution, special	593
police officer for an institution for the mentally retarded and	594
developmentally disabled, state university law enforcement	595
officer, municipal police officer, house sergeant at arms,	596
assistant house sergeant at arms, regional transit authority	597
police officer, or state highway patrol police officer. PERS	598
public safety officer also includes a person serving as a	599
municipal public safety director at any time during the period	600
from September 29, 2005, to the effective date of this amendment	601
March 24, 2009, if the duties of that service were other than to	602
preserve the peace, protect life and property, and enforce the	603
laws of this state.	604

(ZZ)(YY) "Fiduciary" means a person who does any of the	605
following:	606

(1) Exercises any discretionary authority or control with	607
respect to the management of the system or with respect to the	608
management or disposition of its assets;	609

(2) Renders investment advice for a fee, direct or indirect,	610
with respect to money or property of the system;	611

(3) Has any discretionary authority or responsibility in the	612
administration of the system.	613

(AAA)(ZZ) "Actuary" means an individual who satisfies all of	614
the following requirements:	615

(1) Is a member of the American academy of actuaries;

616

(2) Is an associate or fellow of the society of actuaries;

617

(3) Has a minimum of five years' experience in providing	618
actuarial services to public retirement plans.	619

(BBB)(AAA) "PERS defined benefit plan" means the plan	620
described in sections 145.201 to 145.79 of the Revised Code.	621

(CCC)(BBB) "PERS defined contribution plans" means the plan	622
or plans established under section 145.81 of the Revised Code.	623

Sec. 145.016. Contributing service shall be allowed in	624
accordance with the following:	625

(A) For service before the first full calendar year beginning	626
on or after the effective date of this section, credit for any	627
contributing service shall be allowed as follows:	628

(1) For each month for which the member's earnable salary is	629
two hundred fifty dollars or more, allow one month's credit;	630

(2) For each month for which the member's earnable salary is	631
less than two hundred fifty dollars, allow a fraction of a month's	632
credit. The numerator of this fraction shall be the earnable	633
salary during the month, and the denominator shall be two hundred	634
fifty dollars, except that if the member's annual earnable salary	635
is less than six hundred dollars, the member's credit shall not be	636
reduced below twenty per cent of a year for a calendar year of	637
employment during which the member worked each month. Division	638
(A)(2) of this section shall not reduce any credit earned before	639
January 1, 1985.	640

(B) For service during or after the first full calendar year	641
beginning after the effective date of this section, credit for any	642
contributing service shall be allowed in accordance with the	643
following:	644

(1) For each month for which the member's earnable salary	645
equals or exceeds the amount specified in division (B)(1)(a) or	646
(b) of this section, as appropriate, allow one month's credit:	647

(a) For the first full calendar year beginning after the	648
effective date of this section, one thousand dollars;	649

(b) For each calendar year thereafter, the sum of the prior	650
year's amount plus the amount determined by multiplying the prior	651
year's amount by the average wage index as described in 20 C.F.R.	652
404.272, as amended, rounded up to the next dollar for the most	653
recent year for which information is available on June 30 of the	654
year immediately preceding the year for which the sum is being	655
calculated.	656

(2) Except as provided in division (C) of this section, for	657
each month that the member's earnable salary is less than the	658
appropriate amount specified in division (B)(1) of this section,	659
allow a fraction of a month's credit. The numerator of the	660
fraction shall be the earnable salary during the month and the	661
denominator shall be the amount specified in division (B)(1)(a) or	662
(b) of this section, as appropriate. Division (B) of this section	663
shall not reduce any credit earned before the first full calendar	664
year beginning after the effective date of this section.	665

(C) Notwithstanding any other provision of this section, an	666
elected official who prior to January 1, 1980, was granted a full	667
year of credit for each year of service as an elected official	668
shall be considered to have earned a full year of credit for each	669
year of service regardless of whether the service was full-time or	670
part-time. The public employees retirement board has no authority	671
to reduce the credit.	672

Sec. 145.017. (A) For a person eligible for a retirement	673
allowance under division (A)(1) of section 145.32 of the Revised	674
Code or division (B) or (E)(1) of section 145.332 of the Revised	675
Code, the number of years used in the calculation of final average	676
salary shall be three and the sum of the earnable salary for those	677
years shall be divided by three.	678

(B) For a person eligible for a retirement allowance under	679
division (A)(2) of section 145.32 of the Revised Code or division	680
(C) or (E)(2) of section 145.332 of the Revised Code, the number	681
of years used in the calculation of final average salary shall be	682
five and the sum of the earnable salary for those years shall be	683
divided by five.	684

(C) For a person eligible for a retirement allowance under	685
section 145.331 of the Revised Code or a benefit under section	686
145.36 or 145.361 of the Revised Code, the number of years used in	687
the calculation of final average salary shall be five and the sum	688
of the earnable salary for those years shall be divided by five,	689
except that if the person is eligible for a retirement allowance	690
under division (A)(1) of section 145.32 of the Revised Code or	691
division (B) or (E)(1) of section 145.332 of the Revised Code, or	692
if able to continue in employment subject to this chapter would be	693
eligible, the number of years used in the calculation of final	694
average salary shall be three and the sum of the earnable salary	695
for those years shall be divided by three.	696

(D) For a person eligible for a benefit under section 145.45	697
of the Revised Code, the number of years used in the calculation	698
of final average salary shall be five and the sum of the earnable	699
salary for those years shall be divided by five, except that if	700
the deceased member would have been eligible for a retirement	701
allowance under division (A)(1) of section 145.32 of the Revised	702
Code or division (B) or (E)(1) of section 145.332 of the Revised	703
Code, or if able to continue in employment subject to this chapter	704
would have been eligible had the member not died, the number of	705
years used in the calculation of final average salary shall be	706
three and the sum of the earnable salary for those years shall be	707
divided by three.	708

Sec. 145.036. On or before the last day of January of each	709
year, each public employer shall transmit to the public employees	710
retirement system a list of all individuals providing personal	711
services who at any time during the preceding calendar year	712
received compensation from the employer for which no contributions	713
were deducted under section 145.47 of the Revised Code because the	714
employer classified the individual as an independent contractor or	715
another classification other than public employee or any other	716
reason. The list shall contain the name of the individual and any	717
other information required by the system.	718

If there is doubt at the time the list is compiled or at any	719
other time regarding whether an individual providing personal	720
services to a public employer is a public employee, the employer	721
shall make a written request to the public employees retirement	722
board for a determination of whether the individual is a public	723
employee for the purposes of this chapter. On receipt of the	724
request, the board shall determine whether the individual is a	725
public employee with regard to the services in question. If the	726
board determines that the individual is not a public employee, for	727
the purposes of this chapter the individual shall be considered an	728
independent contractor with regard to the services in question.	729
The board's determination is final.	730

The board shall notify the individual and the employer of its	731
determination. The determination shall apply to services performed	732
before, on, or after the effective date of this section for the	733
same employer in the same capacity.	734

Sec. 145.037. (A) As used in this section and section 145.038	735
of the Revised Code, "business entity" means a corporation,	736
association, firm, limited liability company, partnership, sole	737
proprietorship, or other entity engaged in business.	738

(B)(1) Except as provided in division (B)(2) of this section,	739
an individual who provided personal services to a public employer	740
on or before the effective date of this section but was not	741
classified as a public employee may request from the public	742
employees retirement board a determination of whether the	743
individual should have been classified as a public employee for	744
purposes of this chapter. The request shall be made on a form	745
provided by the board.	746

(2) Division (B)(1) of this section does not apply to an	747
individual employed by a business entity under contract with a	748
public employer to provide personal services to the employer.	749

(C) Not later than thirty days after the effective date of	750
this section, the board shall notify each employer of the right of	751
an individual described in division (B)(1) of this section to seek	752
the determination described in that division. The notice shall be	753
accompanied by copies of the form described in division (B)(1) of	754
this section.	755

Not later than sixty days after the effective date of this	756
section, the employer shall send to each individual described in	757
division (B)(1) of this section a copy of the form provided by the	758
retirement system and written notice of the right to seek a	759
determination of whether the individual should have been	760
classified as a public employee. The notice shall be sent to the	761
individual's last known address on record with the employer.	762

On receipt of a properly completed form, the board shall	763
determine whether the individual should have been classified as a	764
public employee. If the board determines that the individual is	765
not a public employee with regard to the services in question, for	766
the purposes of this chapter the individual shall be considered an	767
independent contractor with regard to the services in question.	768
The board's determination is final.	769

The board shall notify the individual and the employer of its	770
determination. The determination shall apply to services performed	771
before, on, or after the effective date of this section for the	772
same employer in the same capacity.	773

(D) Regardless of whether an individual actually receives	774
notice under this section, the request for a determination must be	775
made not later than one year after the effective date of this	776
section unless the individual can demonstrate to the board's	777
satisfaction through medical records that at the time the one-year	778
period ended the individual was physically or mentally	779
incapacitated and unable to request a determination.	780

Sec. 145.038. (A) A public employer who on or after the	781
effective date of this section begins to receive personal services	782
from an individual it classifies as an independent contractor or	783
another classification other than public employee shall inform the	784
individual of the classification and that no contributions will be	785
made to the public employees retirement system. Not later than	786
thirty days after the services begin, the employer shall require	787
the individual to acknowledge, in writing on a form provided by	788
the system, that the individual has been informed that the	789
employer does not consider the individual a public employee and no	790
contributions will be made to the public employees retirement	791
system. The employer shall retain the acknowledgement and	792
immediately transmit a copy of it to the system.	793

(B)(1) Regardless of whether the individual has made an	794
acknowledgement under division (A) of this section and, except as	795
provided in division (B)(2) of this section, an individual may	796
request that the public employees retirement board determine	797
whether the individual is a public employee for purposes of this	798
chapter.	799

(2) Division (B)(1) of this section does not apply to an	800
individual employed by a business entity under contract with a	801
public employer to provide personal services to the employer.	802

(C) A request for a determination must be made not later than	803
five years after the individual begins to provide personal	804
services to the employer, unless one of the following is the case:	805

(1) The individual demonstrates to the board's satisfaction	806
through medical records that at the time the five-year period	807
ended the individual was physically or mentally incapacitated and	808
unable to request a determination;	809

(2) The employer has not obtained or has failed to retain the	810
acknowledgement required by division (A) of this section.	811

(D) On receipt of a request under division (B)(1) of this	812
section, the board shall determine whether the individual is a	813
public employee for the purposes of this chapter. If the board	814
determines that the individual is not a public employee, for the	815
purposes of this chapter the individual shall be considered an	816
independent contractor with regard to the services in question.	817
The board's determination is final.	818

The board shall notify the individual and the employer of its	819
determination. The determination shall apply to services performed	820
before, on, or after the effective date of this section for the	821
same employer in the same capacity.	822

(E) The board may adopt rules under section 145.09 of the	823
Revised Code to implement this section and sections 145.036 and	824
145.037 of the Revised Code.	825

Sec. 145.20. (A) Any elective official of the state of Ohio	826
or of any political subdivision thereof having employees in the	827
public employees retirement system shall be considered as an	828
employee of the state or such political subdivision, and may	829
become a member of the system upon application to the public	830
employees retirement board, with all the rights, privileges, and	831
obligations of membership. An elective official who becomes a	832
member of the system on or after the date the public employees	833
retirement board first establishes a PERS defined contribution	834
planJanuary 1, 2003, shall make an election pursuant to section	835
145.19 of the Revised Code not later than one hundred eighty days	836
after applying for membership in the system. The election is	837
effective as of the date the official applies for membership and	838
is irrevocable on receipt by the system. If a form evidencing an	839
election is not received by the system not later than the last day	840
of the one-hundred-eighty-day period, the official is deemed to	841
have elected to participate in the PERS defined benefit plan.	842

(B) Service as any such elective official by any member of	843
the system rendered prior to January 1, 1935, shall be included as	844
prior service, provided the member does both of the following:	845

(1) Completes three years of contributing service, or the	846
equivalent thereof, in the public employees retirement system	847
subsequent to the date that membership is established;	848

(2) Participates in the PERS defined benefit plan or a PERS	849
defined contribution plan with definitely determinable benefits.	850

(C) Credit for service between January 1, 1935, and the date	851
that membership is established, except service as an elective	852
official that was subject to the tax on wages imposed by the	853
"Federal Insurance Contributions Act," 68A Stat. 415 (1954), 26	854
U.S.C.A. 3101, as amended, may be secured by the elective official	855
provided the elective official does all of the following:	856

(1) Pays into the employees' savings fund an amount	857
determined by applying the member contribution rate in effect at	858
the time of payment to the earnable salary of the member during	859
all periods of service after January 1, 1935, covered by this	860
chapter, for which contributions have not been paid, plus interest	861
on such amount compounded annually at a rate to be determined	862
specified by the board that is equal to one hundred per cent of	863
the additional liability resulting from the purchase of that year	864
or portion of a year of credit as determined by an actuary	865
employed by the board;	866

(2) Completes one and one-half years of contributing	867
membership in the public employees retirement system subsequent to	868
the date membership was established;	869

(3) Participates in the PERS defined benefit plan or a PERS	870
defined contribution plan with definitely determinable benefits.	871

A member may choose to purchase in any one payment only part	872
of the credit the member is eligible to purchase, subject to board	873
rules. The public employees retirement board shall determine the	874
amount and manner of payment. In the event of death or withdrawal	875
from service, the payment into the employees' savings fund for	876
such service credit shall be considered as accumulated	877
contributions of the member.	878

Sec. 145.201.  (A) Subject to the limit described in division	879
(C) of this section, any member who is or has been an elected	880
official of the state or any political subdivision thereof or has	881
been appointed by the governor with the advice and consent of the	882
senate to serve full-time as a member of a board, commission, or	883
other public body may at any time prior to retirement purchase	884
additional service credit in an amount not to exceed thirty-five	885
per cent of the service credit allowed the member for the period	886
of service as an elected or appointed official subsequent to	887
January 1, 1935, other than credit for military service, part-time	888
service, and service subject to the tax on wages imposed by the	889
"Federal Insurance Contributions Act," 68A Stat. 415 (1954), 26	890
U.S.C.A. 3101, as amended.	891

TheFor each year of additional service credit may be	892
purchased by payingunder this section, the member shall pay into	893
the employees' savings fund an amount computed by multiplying by	894
the employee contribution rate in effect at the time of purchase	895
the member's earnable salary for the period of service upon which	896
the purchased credit is based, by the number of years or portions	897
thereof of additional service credit to be purchased, and by	898
paying into the employers' accumulation fund an amount equal to	899
the full amount paid into the employees' savings fund. If a member	900
purchases less than the full amount of the additional service	901
credit to which the member is entitled, the period of service upon	902
which the purchase is computed shall be the member's earliest	903
period of such servicespecified by the public employees	904
retirement board that is equal to one hundred per cent of the	905
additional liability resulting from the purchase of that year or	906
portion of a year of credit as determined by an actuary employed	907
by the board. The member shall receive full credit for such	908
additional elective service in computing an allowance or benefit	909
under section 145.20, 145.33, 145.331, 145.332, 145.34, 145.36,	910
145.361, or 145.46 of the Revised Code, notwithstanding any other	911
provision of this chapter. The payment to the employees' savings	912
fund, and payments made to the employers' accumulation fund prior	913
to the effective date of this amendment, for such additional	914
elective service credit shall, in the event of death or withdrawal	915
from service, be considered as accumulated contributions of the	916
member.	917

A member of a board, commission, or other public body shall	918
be considered to be serving full-time if full-time service is	919
required by law or if the director of administrative services	920
determines that the duties of the position require full-time	921
service.	922

(B) Notwithstanding division (A) of this section, a member	923
who purchased service credit under this section prior to January	924
1, 1980, on the basis of part-time service shall be permitted to	925
retain the credit and shall be given full credit for it in	926
computing an allowance or benefit under section 145.20, 145.33,	927
145.331, 145.332, 145.34, 145.36, 145.361, or 145.46 of the	928
Revised Code. The public employees retirement board has no	929
authority to cancel or rescind such credit.	930

(C) A purchase made under this section shall not exceed the	931
limits established by division (n) of section 415 of the "Internal	932
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415(n), as	933
amended.	934

(D) Subject to rules adopted by the public employees	935
retirement board, a member who has purchased service credit under	936
this section is entitled to be refunded all or a portion of the	937
actual amount the member paid for the service credit if, in	938
computing an age and service retirement allowance under division	939
(A)(5) of section 145.33145.332 of Revised Code, the allowance	940
exceeds the limit established by division (A)(6) of that section.	941

A refund under this division cancels the equivalent amount of	942
service credit.	943

Sec. 145.22.  (A) The public employees retirement board shall	944
have prepared annually by or under the supervision of an actuary	945
an actuarial valuation of the pension assets, liabilities, and	946
funding requirements of the public employees retirement system as	947
established pursuant to this chapter. The actuary shall complete	948
the valuation in accordance with actuarial standards of practice	949
promulgated by the actuarial standards board of the American	950
academy of actuaries and prepare a report of the valuation. The	951
report shall include all of the following:	952

(1) A summary of the benefit provisions evaluated;

953

(2) A summary of the census data and financial information	954
used in the valuation;	955

(3) A description of the actuarial assumptions, actuarial	956
cost method, and asset valuation method used in the valuation,	957
including a statement of the assumed rate of payroll growth and	958
assumed rate of growth or decline in the number of members	959
contributing to the retirement system;	960

(4) A summary of findings that includes a statement of the	961
actuarial accrued pension liabilities and unfunded actuarial	962
accrued pension liabilities;	963

(5) A schedule showing the effect of any changes in the	964
benefit provisions, actuarial assumptions, or cost methods since	965
the last annual actuarial valuation;	966

(6) A statement of whether contributions to the retirement	967
system are expected to be sufficient to satisfy the funding	968
objectives established by the board.	969

The board shall submit the report to the Ohio retirement	970
study council and the standing committees of the house of	971
representatives and the senate with primary responsibility for	972
retirement legislation not later than the first day of September	973
following the year for which the valuation was made.	974

(B) At such time as the public employees retirement board	975
determines, and at least once in each five-year period, the board	976
shall have prepared by or under the supervision of an actuary an	977
actuarial investigation of the mortality, service, and other	978
experience of the members, retirants, contributors, and	979
beneficiaries of the system to update the actuarial assumptions	980
used in the actuarial valuation required by division (A) of this	981
section. The actuary shall prepare a report of the actuarial	982
investigation. The report shall be prepared and any recommended	983
changes in actuarial assumptions shall be made in accordance with	984
the actuarial standards of practice promulgated by the actuarial	985
standards board of the American academy of actuaries. The report	986
shall include all of the following:	987

(1) A summary of relevant decrement and economic assumption	988
experience observed over the period of the investigation;	989

(2) Recommended changes in actuarial assumptions to be used	990
in subsequent actuarial valuations required by division (A) of	991
this section;	992

(3) A measurement of the financial effect of the recommended	993
changes in actuarial assumptions.	994

The board shall submit the report to the Ohio retirement	995
study council and the standing committees of the house of	996
representatives and the senate with primary responsibility for	997
retirement legislation not later than the first day of November	998
following the last fiscal year of the period the report covers.	999

(C) The board may at any time request the actuary to make any	1000
studies or actuarial valuations to determine the adequacy of the	1001
contribution rate determined under section 145.48 of the Revised	1002
Code, and those rates may be adjusted by the board, as recommended	1003
by the actuary, effective as of the first of any year thereafter.	1004

(D) The board shall have prepared by or under the supervision	1005
of an actuary an actuarial analysis of any introduced legislation	1006
expected to have a measurable financial impact on the retirement	1007
system. The actuarial analysis shall be completed in accordance	1008
with the actuarial standards of practice promulgated by the	1009
actuarial standards board of the American academy of actuaries.	1010
The actuary shall prepare a report of the actuarial analysis,	1011
which shall include all of the following:	1012

(1) A summary of the statutory changes that are being	1013
evaluated;	1014

(2) A description of or reference to the actuarial	1015
assumptions and actuarial cost method used in the report;	1016

(3) A description of the participant group or groups included	1017
in the report;	1018

(4) A statement of the financial impact of the legislation,	1019
including the resulting increase, if any, in the employer normal	1020
cost percentage; the increase, if any, in actuarial accrued	1021
liabilities; and the per cent of payroll that would be required to	1022
amortize the increase in actuarial accrued liabilities as a level	1023
per cent of covered payroll for all active members over a period	1024
not to exceed thirty years;	1025

(5) A statement of whether the scheduled contributions to the	1026
system after the proposed change is enacted are expected to be	1027
sufficient to satisfy the funding objectives established by the	1028
board.	1029

Not later than sixty days from the date of introduction of	1030
the legislation, the board shall submit a copy of the actuarial	1031
analysis to the legislative service commission, the standing	1032
committees of the house of representatives and the senate with	1033
primary responsibility for retirement legislation, and the Ohio	1034
retirement study council.	1035

(E) The board shall have prepared annually a report giving a	1036
full accounting of the revenues and costs relating to the	1037
provision of benefits under sections 145.325 and 145.58 and	1038
145.584 of the Revised Code. The report shall be made as of	1039
December 31, 1997, and the thirty-first day of December of each	1040
year thereafter. The report shall include the following:	1041

(1) A description of the statutory authority for the benefits	1042
provided;	1043

(2) A summary of the benefits;

1044

(3) A summary of the eligibility requirements for the	1045
benefits;	1046

(4) A statement of the number of participants eligible for	1047
the benefits;	1048

(5) A description of the accounting, asset valuation, and	1049
funding method used to provide the benefits;	1050

(6) A statement of the net assets available for the provision	1051
of the benefits as of the last day of the fiscal year;	1052

(7) A statement of any changes in the net assets available	1053
for the provision of benefits, including participant and employer	1054
contributions, net investment income, administrative expenses, and	1055
benefits provided to participants, as of the last day of the	1056
fiscal year;	1057

(8) For the last six consecutive fiscal years, a schedule of	1058
the net assets available for the benefits, the annual cost of	1059
benefits, administrative expenses incurred, and annual employer	1060
contributions allocated for the provision of benefits;	1061

(9) A description of any significant changes that affect the	1062
comparability of the report required under this division;	1063

(10) A statement of the amount paid under division (C) of	1064
section 145.58 of the Revised Code.	1065

The board shall submit the report to the Ohio retirement	1066
study council and the standing committees of the house of	1067
representatives and the senate with primary responsibility for	1068
retirement legislation not later than the thirtieth day of June	1069
following the year for which the report was made.	1070

Sec. 145.28.  (A)(1) Except as provided in division (A)(2) of	1071
this section, a member of the public employees retirement system	1072
with at least eighteen months of contributing service in the	1073
system, the state teachers retirement system, or the school	1074
employees retirement system who exempted self from membership in	1075
one or more of the systems pursuant to section 145.03 or 3309.23	1076
of the Revised Code, or former section 3307.25 or 3309.25 of the	1077
Revised Code, or was exempt under section 3307.24 of the Revised	1078
Code, may purchase credit for each year or portion of a year of	1079
service for which the member was exempted.	1080

(2) A member may not purchase credit under this section for	1081
exempted service if the service was exempted from contribution	1082
under section 145.03 of the Revised Code and subject to the tax on	1083
wages imposed by the "Federal Insurance Contributions Act," 68A	1084
Stat. 415 (1954), 26 U.S.C.A. 3101, as amended.	1085

(B) For each year or portion of a year of credit purchased	1086
under this section, a member shall pay to the retirement system an	1087
amount determined by multiplying the member's earnable salary for	1088
the twelve months of contributing service preceding the month in	1089
which the member applies to purchase the credit by a percentage	1090
rate established by rule of the public employees retirement board	1091
adopted under division (F) of this section.	1092

(C) Subject to board rules, a member may purchase all or part	1093
of the credit the member is eligible to purchase under this	1094
section in one or more payments. If the member purchases the	1095
credit in more than one payment, compound interest at a rate	1096
specified by rule of the board shall be charged on the balance	1097
remaining after the first payment is made.	1098

(D)Credit shall be purchased under this section in	1099
accordance with section 145.29 of the Revised Code.	1100

(C) Credit purchasable under this section shall not exceed	1101
one year of service for any twelve-month period. If the period of	1102
service for which credit is purchasable under this section is	1103
concurrent with a period of service that will be used to calculate	1104
a retirement benefit from this system, the state teachers	1105
retirement system, or school employees retirement system, the	1106
amount of the credit shall be adjusted in accordance with rules	1107
adopted by the public employees retirement board.	1108

A member who is also a member of the state teachers	1109
retirement system or the school employees retirement system shall	1110
purchase credit for any service for which the member exempted self	1111
under section 145.03 or 3309.23 of the Revised Code, or former	1112
section 3307.25 or 3309.25 of the Revised Code, or was exempt	1113
under section 3307.24 of the Revised Code, from the retirement	1114
system in which the member has the greatest number of years of	1115
service credit. If the member receives benefits under section	1116
145.37 of the Revised Code, the retirement system that determines	1117
and pays the benefit shall receive from the other system or	1118
systems the amounts paid by the member for purchase of credit for	1119
exempt service plus interest at the actuarial assumption rate of	1120
the system paying that amount. The interest shall be for the	1121
period beginning on the date of the member's last payment for	1122
purchase of the credit and ending on the date of the member's	1123
retirement.	1124

(E) If a member dies or withdraws from service, any payment	1125
made by the member under this section shall be considered as	1126
accumulated contributions of the member.	1127

(F)(D) The retirement board shall adopt rules to implement	1128
this section.	1129

Sec. 145.29.  (A) A member of the public employees retirement	1130
system who elects to purchase or otherwise obtain service credit	1131
under section 145.28, 145.291, 145.292, 145.293, or 145.299 or	1132
division (C) of section 145.47 of the Revised Code shall do both	1133
of the following:	1134

(1) Submit an application to the public employees retirement	1135
board in a manner or form approved by the board;	1136

(2) For each year, or portion of a year, of credit purchased	1137
or otherwise obtained, pay to the employees' savings fund an	1138
amount specified by the board that is equal to one hundred per	1139
cent of the additional liability resulting from the purchase or	1140
obtainment of that year or portion of a year of credit as	1141
determined by an actuary employed by the board.	1142

(B) Subject to board rules, a member may choose to purchase	1143
or otherwise obtain only part of any eligible service credit in	1144
any one payment.	1145

Sec. 145.291.  Any member of the public employees retirement	1146
system who subsequent to January 1, 1935, and the date membership	1147
was established was off the payroll either on a leave of absence	1148
approved by the then appointing authority or because the member	1149
resigned due to pregnancy or adoption of a child, shall have the	1150
right to make such payment, at the contribution rate in effect at	1151
the time of payment, with interest on such amount compounded	1152
annually at a rate to be determined by the retirement board as the	1153
member would have made if the member had continued on the payroll	1154
at the earnable salary the member was receiving at the time public	1155
service was interruptedmay purchase service credit for the period	1156
of absence or resignation, provided that subsequent to such leave	1157
of absence or resignation the member returned to regular	1158
contributing status in the retirement system for at least twelve	1159
calendar months. In the case of resignation, the member must	1160
submit evidence satisfactory to the retirement board documenting	1161
that the resignation was due to pregnancy or adoption of a child.	1162

The member may choose to purchase only part of the credit in	1163
any one payment, subject to board rules. The payment shall entitle	1164
the member to receive service credit for the leave or period of	1165
absence,Credit shall be purchased under this section in	1166
accordance with section 145.29 of the Revised Code, except that	1167
service credit purchased under this section shall not exceed one	1168
year. The payment, together with any regular interest, shall, in	1169
the event of death or withdrawal from service of the member prior	1170
to retirement, be considered as accumulated contributions of the	1171
member.	1172

Sec. 145.29.        Sec. 145.292. Three years of contributing membership	1173
in the public employees retirement system subsequent to the date	1174
that membership is established entitles a member to receive prior	1175
service credit for services prior to January 1, 1935, in any	1176
capacity which comes under this chapter, provided that such member	1177
has not lost membership at any time by the withdrawal of the	1178
member's accumulated contributions. Members who have withdrawn an	1179
exemption shall receive the prior service credit provided for	1180
under the conditions of this section, only in the event such	1181
member has made the payments required by section 145.28 of the	1182
Revised Code. If the public employees retirement board determines	1183
that a position of any employee member in any one calendar year	1184
prior to January 1, 1935, was a part-time position, the board may	1185
determine what fractional part of a year's credit shall be given.	1186
In determining what credit shall be allowed to regular, full-time	1187
employees who are paid on an hourly or per diem basis, the board	1188
shall allow a full day's credit to any employee toward retirement	1189
who is called to work and works any portion of a day. Credit for	1190
service between January 1, 1935, and the date of becoming a member	1191
of the public employees retirement system except a part-time	1192
employee who claimed exemption under the provisions of section	1193
145.03 of the Revised Code, may be securedpurchased by any public	1194
employee for service rendered an employer provided such public	1195
employee pays into the employees' savings fund an amount equal to	1196
the amount the member would have paid if deductions had been taken	1197
on the member's earnable salary at the member contribution rate in	1198
effect at the time of such payment for service after January 1,	1199
1935, or since the member's date of employment, plus interest on	1200
such amount compounded annually at a rate to be determined by the	1201
board. The member may choose to purchase only part of such credit	1202
in any one payment, subject to board rules. Such payment shall be	1203
refunded in the event of the death or withdrawal from service of	1204
the member prior to retirement under the same conditions and in	1205
the same manner as refunds are made under sections 145.40 and	1206
145.43 of the Revised Code, from the employees' savings fund.	1207
Credit shall be purchased under this section in accordance with	1208
section 145.29 of the Revised Code.	1209

Sec. 145.293.  (A) Service credit may be purchased under this	1210
section shall be included in the member's total service credit.	1211
Credit may be purchased for the following:	1212

(1) Service rendered in another state, and service in any	1213
entity operated by the United States government, that, if served	1214
in a comparable position in Ohio, would be covered by the public	1215
employees retirement system, Ohio police and fire pension fund,	1216
state teachers retirement system, school employees retirement	1217
system, or state highway patrol retirement system;	1218

(2) Service for which contributions were made by the member	1219
or on the member's behalf to a municipal retirement system in this	1220
state, except that if the conditions specified in section 145.2910	1221
of the Revised Code are met, service credit for this service may	1222
be purchased only in accordance with section 145.2911 of the	1223
Revised Code.	1224

The number of years purchased under this section shall not	1225
exceed the lesser of five years or the member's total accumulated	1226
number of years of Ohio service.	1227

(B) For each year of service purchased, a member shall pay to	1228
the public employees retirement system for credit to the member's	1229
accumulated account an amount equal to the member's retirement	1230
contribution for full-time employment for the first year of Ohio	1231
service following termination of the service to be purchased. To	1232
this amount shall be added an amount equal to compound interest at	1233
a rate established by the public employees retirement board from	1234
the date of membership in the public employees retirement system	1235
to date of payment. The member may choose to purchase only part of	1236
such credit in any one payment, subject to board rulesCredit	1237
shall be purchased under this section in accordance with section	1238
145.29 of the Revised Code.	1239

(C) A member is ineligible to purchase under this section	1240
credit for service for which the member has obtained credit under	1241
former section 145.44 of the Revised Code or service that is used	1242
in the calculation of any retirement benefit currently being paid	1243
or payable in the future to the member under any other retirement	1244
program except social security. At the time the credit is	1245
purchased the member shall certify on a form furnished by the	1246
retirement board that the member does and will conform to this	1247
requirement.	1248

(D) Credit purchased under this section may be combined	1249
pursuant to section 145.37 with credit purchased under sections	1250
3307.74 and 3309.31 of the Revised Code, except that not more than	1251
an aggregate total of five years' service credit purchased under	1252
this section and sections 3307.74 and 3309.31 of the Revised Code	1253
shall be used in determining retirement eligibility or calculating	1254
benefits under section 145.37 of the Revised Code.	1255

Sec. 145.294.  (A)(1) The public employees retirement board	1256
may establish by rule a payroll deduction plan for payment of the	1257
cost of restoring service credit under section 145.31 or 145.311	1258
of the Revised Code or purchasing any service credit members of	1259
the public employees retirement system are eligible to purchase	1260
under this chapter, or for making additional deposits under	1261
section 145.583 or 145.62 of the Revised Code. In addition to any	1262
other matter considered relevant by the board, the rules shall	1263
specify all of the following:	1264

(1)(a) The types of service credit that may be paid for	1265
through payroll deduction, including the section of the Revised	1266
Code that authorizes the purchase of each type of service credit	1267
for which payment may be made by payroll deduction;	1268

(2)(b) The procedure for informing the member's employer and	1269
the system that the member wishes to purchase service credit under	1270
this chapter or make additional deposits under section 145.583 or	1271
145.62 of the Revised Code through payroll deduction;	1272

(3)(c) The procedure to be followed by the system and	1273
employers to determine for each request the amount to be deducted,	1274
the number of deductions to be made, and the interval at which	1275
deductions will be made. The rules may provide for a minimum	1276
amount for each deduction or a maximum number of deductions for	1277
the purchase of any type of credit.	1278

(4)(d) The procedure to be followed by employers in	1279
transmitting amounts deducted from the salaries of their employees	1280
to the system;	1281

(5)(e) The procedure to be followed by the system in	1282
crediting service credit to members who choose to purchase it	1283
through payroll deduction.	1284

(B)(2) If the board establishes a payroll deduction plan	1285
under this sectiondivision, it shall certify to the member's	1286
employer for each member for whom deductions are to be made, the	1287
amount of each deduction and the payrolls from which deductions	1288
are to be made. The employer shall make the deductions as	1289
certified and transmit the amounts deducted in accordance with the	1290
rules established by the board under this section.	1291

(C)(3) Rules adopted under this sectiondivision shall not	1292
affect any right to purchase service credit conferred by any other	1293
section of the Revised Code, including the right of a member under	1294
any such section to purchase only part of the service credit the	1295
member is eligible to purchase.	1296

(D)(4) No payroll deduction made pursuant to this section	1297
division may exceed the amount of a member's net compensation	1298
after all other deductions and withholdings required by law.	1299

(B) The public employees retirement board may establish by	1300
rule a payment plan for the cost of restoring service credit under	1301
section 145.31 or 145.311 of the Revised Code or purchasing any	1302
service credit members of the public employees retirement system	1303
may purchase under this chapter. The plan may provide for partial	1304
payments and for payments by payroll deduction under division (A)	1305
of this section.	1306

On receipt of a request from a member eligible to restore or	1307
purchase service credit, the system shall determine and give	1308
notice to the member of the total cost of the credit and the time	1309
period in which the payments must be made for the credit to be	1310
available at that cost. The system may specify the amount and	1311
frequency of payments for credit not purchased in a single	1312
payment.	1313

Sec. 145.295.  (A) As used in this section and section	1314
145.2913 of the Revised Code:	1315

(1) "Uniform retirement system" or "uniform system" means the	1316
Ohio police and fire pension fund or state highway patrol	1317
retirement system.	1318

(2) "Military service credit" means credit purchased or	1319
obtained under this chapter or Chapter 742. or 5505. of the	1320
Revised Code for service in the armed forces of the United States.	1321

(B) A member of the public employees retirement system who	1322
has contributions on deposit with, but is no longer contributing	1323
to, a uniform retirement system shall, in computing years of	1324
service, be given full credit for service credit earned under	1325
Chapter 742. or 5505. of the Revised Code or for military service	1326
credit if a transfer to the public employees retirement system is	1327
made under this division. At the request of the member ,a	1328
transfer shall be made if all of the following conditions are met:	1329

(1) The member is eligible, or with the credit will be	1330
eligible, for a retirement or disability benefit.	1331

(2) The member agrees to retire or accept a disability	1332
benefit not later than ninety days after receiving notice from the	1333
public employees retirement system that the credit has been	1334
obtained;	1335

(3) For each year of service the uniform system shall	1336
transfertransfers to the public employees retirement system, for	1337
each year of service, the sum of the following:	1338

(1)(a) An amount equal to the member's accumulated	1339
contributions to the uniform system making the transfer and any	1340
payments by the member for military service credit;	1341

(2)(b) An amount equal to the lesser of the employer's	1342
contributions to the uniform system or the amount that would have	1343
been contributed by the employer for the service had the member	1344
been employed by the member's current employer as a member of the	1345
public employees retirement system at the time the credit was	1346
earned;	1347

(3)(c) Interest, determined as provided in division (H) of	1348
this section, on the amounts specified in divisions (B)(1)(3)(a)	1349
and (2)(b) of this section for the period from the last day of the	1350
year for which the service credit in the uniform system was earned	1351
or in which the military service credit was purchased or obtained	1352
to the date the transfer is made.	1353

(C) A member of the public employees retirement system who	1354
has at least eighteen months of contributing service credit with	1355
the public employees retirement system, who is a former member of	1356
a uniform retirement system, and who has received a refund of the	1357
member's accumulated contributions to that uniform system shall,	1358
in computing years of service, be given fullmay obtain credit for	1359
service credit earned under Chapter 742. or 5505. of the Revised	1360
Code or for military service credit if, forall of the following	1361
conditions are met:	1362

(1) The member is eligible, or with the credit will be	1363
eligible, for a retirement or disability benefit.	1364

(2) The member agrees to retire or accept a disability	1365
benefit not later than ninety days after receiving notice from the	1366
public employees retirement system that the credit has been	1367
obtained.	1368

(3) For each year of service, the public employees retirement	1369
system receives the sum of the following:	1370

(1)(a) An amount, which shall be paid by the member, equal to	1371
the amount refunded by the uniform system to the member for that	1372
year for accumulated contributions and payments for military	1373
service credit, with interest at a rate established by the public	1374
employees retirement board on that amount from the date of the	1375
refund to the date of the payment;	1376

(2)(b) Interest, which shall be transferred by the uniform	1377
system, on the amount refunded to the member that is attributable	1378
to the year of service from the last day of the year for which the	1379
service credit was earned or in which payment was made for	1380
military service credit to the date the refund was made;	1381

(3)(c) An amount, which shall be transferred by the uniform	1382
system, equal to the lesser of the employer's contributions to the	1383
uniform system or the amount that would have been contributed by	1384
the employer for the service had the member been employed by the	1385
member's current employer as a member of the public employees	1386
retirement system at the time the credit was earned, with interest	1387
on that amount from the last day of the year for which the service	1388
credit was earned or in which payment was made for military	1389
service credit to the date of the transfer.	1390

On receipt of payment from the member, the public employees	1391
retirement system shall notify the uniform system, which, on	1392
receipt of the notice, shall make the transfer required by this	1393
division. Interest shall be determined as provided in division (H)	1394
of this section.	1395

(D) A member of the public employees retirement system who	1396
purchased credit under former division (A)(1) of this section, as	1397
it existed before August 25, 1995, for service as a member of a	1398
uniform retirement system may elect to have the amount the member	1399
paid for this service credit refunded to the member under this	1400
division if the member agrees to repurchase this service credit	1401
pursuant to division (C) of this section.	1402

(E) Service credit purchased or otherwise obtained under this	1403
section shall be considered the equivalent of Ohio service credit,	1404
except that it shall not be used in determining eligibility for	1405
any benefit provided under section 145.58 of the Revised Code.	1406

The public employees retirement system shall withdraw the	1407
credit and refund all amounts paid or transferred under this	1408
section if either of the following occurs:	1409

(1) The member fails to retire or accept a disability benefit	1410
not later than ninety days after receiving notice from the public	1411
employees retirement system that credit has been obtained.	1412

(2) The member's application for a disability benefit is	1413
denied.	1414

A member may choose to purchase only part of the credit the	1415
member is eligible to purchase under division (C) of this section	1416
in any one payment, subject to rules of the public employees	1417
retirement board. A member is ineligible to purchase or otherwise	1418
obtain credit under this section for service to be used in	1419
calculation of any retirement benefit currently being paid or	1420
payable to the member in the future under any other retirement	1421
program or for service credit that may be transferred under	1422
section 145.2913 of the Revised Code.	1423

(F) If a member of the public employees retirement system who	1424
is not a current contributor elects to receive credit under	1425
section 742.21 or 5505.40 of the Revised Code for service for	1426
which the member contributed to the system or made payment for	1427
military service credit, the system shall transfer to the Ohio	1428
police and fire pension fund or the state highway patrol	1429
retirement system, as applicable, the amount specified in division	1430
(D) of section 742.21 or division (B)(2) of section 5505.40 of the	1431
Revised Code.	1432

(G) A member of the public employees retirement system who	1433
earned service credit in the public employees retirement system	1434
for full-time service as a township or municipal police officer	1435
and received service credit in the Ohio police and fire pension	1436
fund under section 742.511 or 742.512 of the Revised Code for such	1437
service may elect to have the credit restored as public employees	1438
retirement system service credit by paying the public employees	1439
retirement system an amount equal to the accumulated contributions	1440
paid by the member to the Ohio police and fire pension fund under	1441
section 742.511 or 742.512 of the Revised Code. When such an	1442
election is made, the Ohio police and fire pension fund shall	1443
transfer to the public employees retirement system the amount	1444
previously transferred under section 742.511 or 742.512 of the	1445
Revised Code from the public employees retirement system to the	1446
Ohio police and fire pension fund.	1447

(H) Interest charged under this section shall be calculated	1448
separately for each year of service credit. Unless otherwise	1449
specified in this section, it shall be calculated at the lesser of	1450
the actuarial assumption rate for that year of the public	1451
employees retirement system or of the uniform retirement system in	1452
which the credit was earned. The interest shall be compounded	1453
annually.	1454

(I) At the request of the public employees retirement system,	1455
the uniform retirement system shall certify to the public	1456
employees retirement system a copy of the records of the service	1457
and contributions of a public employees retirement system member	1458
who seeks service credit under this section.	1459

Sec. 145.297.  (A) As used in this section, "employing unit"	1460
means:	1461

(1) A municipal corporation, agency of a municipal	1462
corporation designated by the legislative authority, park	1463
district, conservancy district, sanitary district, health	1464
district, township, department of a township designated by the	1465
board of township trustees, metropolitan housing authority, public	1466
library, county law library, union cemetery, joint hospital, or	1467
other political subdivision or unit of local government.	1468

(2) With respect to state employees, any entity of the state	1469
including any department, agency, institution of higher education,	1470
board, bureau, commission, council, office, or administrative body	1471
or any part of such entity that is designated by the entity as an	1472
employing unit.	1473

(3)(a) With respect to employees of a board of alcohol, drug	1474
addiction, and mental health services, that board.	1475

(b) With respect to employees of a county board of	1476
developmental disabilities, that board.	1477

(c) With respect to other county employees, the county or any	1478
county agency designated by the board of county commissioners.	1479

(4) In the case of an employee whose employing unit is in	1480
question, the employing unit is the unit through whose payroll the	1481
employee is paid.	1482

(B) An employing unit may establish a retirement incentive	1483
plan for its eligible employees. In the case of a county or county	1484
agency, decisions on whether to establish a retirement incentive	1485
plan for any employees other than employees of a board of alcohol,	1486
drug addiction, and mental health services or county board of	1487
developmental disabilities and on the terms of the plan shall be	1488
made by the board of county commissioners. In the case of a	1489
municipal corporation or an agency of a municipal corporation,	1490
decisions on whether to establish a retirement incentive plan and	1491
on the terms of the plan shall be made by the legislative	1492
authority.	1493

All terms of a retirement incentive plan shall be in writing.

1494

A retirement incentive plan shall provide for purchase by the	1495
employing unit of service credit for eligible employees who elect	1496
to participate in the plan and for payment by the employing unit	1497
of the entire cost of the service credit purchased.	1498

Every retirement incentive plan shall remain in effect for at	1499
least one year. The employing unit shall give employees at least	1500
thirty days' notice before terminating the plan.	1501

Every retirement incentive plan shall include provisions for	1502
the timely and impartial resolution of grievances and disputes	1503
arising under the plan.	1504

No employing unit shall have more than one retirement	1505
incentive plan in effect at any time.	1506

(C) Any classified or unclassified employee of the employing	1507
unit who is a member of the public employees retirement system	1508
shall be eligible to participate in the retirement incentive plan	1509
established by the employee's employing unit if the employee meets	1510
the following criteria:	1511

(1) The employee is not any of the following:

1512

(a) An elected official;

1513

(b) A member of a board or commission;

1514

(c) A person elected to serve a term of fixed length;

1515

(d) A person appointed to serve a term of fixed length, other	1516
than a person appointed and employed by the person's employing	1517
unit.	1518

(2) The employee is or will be eligible to retire under	1519
section 145.32145.33, 145.34, or 145.37, or division (A) of	1520
section 145.33 of the Revised Code on or before the date of	1521
termination of the retirement incentive plan. Service credit to be	1522
purchased for the employee under the retirement incentive plan	1523
shall be included in making such determination.	1524

(3) The employee agrees to retire under section 145.32	1525
145.33, 145.34, or 145.37, or division (A) of section 145.33 of	1526
the Revised Code within ninety days after receiving notice from	1527
the public employees retirement system that service credit has	1528
been purchased for the employee under this section.	1529

Participation in the plan shall be available to all eligible	1530
employees except that the employing unit may limit the number of	1531
participants in the plan to a specified percentage of its	1532
employees who are members of the public employees retirement	1533
system on the date the plan goes into effect. The percentage shall	1534
not be less than five per cent of such employees. If participation	1535
is limited, employees with more total service credit have the	1536
right to elect to participate before employees with less total	1537
service credit. In the case of employees with the same total	1538
service credit, employees with a greater length of service with	1539
the employing unit have the right to elect to participate before	1540
employees with less service with the employing unit. Employees	1541
with less than eighteen months of service with the employing unit	1542
have the right to elect to participate only after all other	1543
eligible employees have been given the opportunity to elect to	1544
participate. For the purpose of determining which employees may	1545
participate in a plan, total service credit includes service	1546
credit purchased by the employee under this chapter after the date	1547
on which the plan is established.	1548

A retirement incentive plan that limits participation may	1549
provide that an employee who does not notify the employing unit of	1550
the employee's decision to participate in the plan within a	1551
specified period of time will lose priority to participate in the	1552
plan ahead of other employees with less seniority. The time given	1553
to an employee to elect to participate ahead of other employees	1554
shall not be less than thirty days after the employee receives	1555
written notice that the employee may participate in the plan.	1556

(D) A retirement incentive plan shall provide for purchase of	1557
the same amount of service credit for each participating employee,	1558
except that the employer may not purchase more service credit for	1559
any employee than the lesser of the following:	1560

(1) Five years of service credit;

1561

(2) An amount of service credit equal to one-fifth of the	1562
total service credited to the participant under this chapter,	1563
exclusive of service credit purchased under this section.	1564

For each year of service credit purchased under this section,	1565
the employing unit shall pay an amount equal to the additional	1566
liability resulting from the purchase of that year of service	1567
credit, as determined by an actuary employed by the public	1568
employees retirement board.	1569

(E) Upon the election by an eligible employee to participate	1570
in the retirement incentive plan, the employee and the employing	1571
unit shall agree upon a date for payment or contracting for	1572
payment in installments to the public employees retirement system	1573
of the cost of the service credit to be purchased. The employing	1574
unit shall submit to the public employees retirement system a	1575
written request for a determination of the cost of the service	1576
credit, and within forty-five days after receiving the request,	1577
the board shall give the employing unit written notice of the	1578
cost.	1579

The employing unit shall pay or contract to pay in	1580
installments the cost of the service credit to be purchased to the	1581
public employees retirement system on the date agreed to by the	1582
employee and the employing unit. The payment shall be made in	1583
accordance with rules adopted by the public employees retirement	1584
board. The rules may provide for payment in installments and for	1585
crediting the purchased credit to the employee's account upon the	1586
employer's contracting to pay the cost in installments. The board	1587
shall notify the member when the member is credited with service	1588
purchased under this section. If the employee does not retire	1589
within ninety days after receiving notice that the employee has	1590
been credited with the purchased service credit, the system shall	1591
refund to the employing unit the amount paid for the service	1592
credit.	1593

No payment made to the public employees retirement system	1594
under this section shall affect any payment required by section	1595
145.48 of the Revised Code.	1596

(F) For the purpose of determining whether the cost of a	1597
retirement incentive plan established by a county or county agency	1598
under this section is an allowable cost for the purpose of federal	1599
funding for any year, the cost shall be considered abnormal or	1600
mass severance pay only if fifteen per cent or more of the county	1601
or county agency's employees participate in the plan in that year.	1602

Nothing in this division shall relieve a county or county	1603
agency from seeking federal approval for any early retirement	1604
incentive plan that uses federal dollars in accordance with	1605
federal law.	1606

Sec. 145.298.  (A) As used in this section:

1607

(1) "State employing unit" means an employing unit described	1608
in division (A)(2) of section 145.297 of the Revised Code, except	1609
that it does not mean an employing unit with fifty or fewer	1610
employees.	1611

(2) "State institution" means a state correctional facility,	1612
a state institution for the mentally ill, or a state institution	1613
for the care, treatment, and training of the mentally retarded.	1614

(B)(1) Prior to the effective date of this amendmentJuly 17,	1615
2009, in the event of a proposal to close a state institution or	1616
lay off, within a six-month period, a number of persons employed	1617
at an institution that equals or exceeds the lesser of fifty or	1618
ten per cent of the persons employed at the institution, the	1619
employing unit responsible for the institution's operation shall	1620
establish a retirement incentive plan for persons employed at the	1621
institution.	1622

(2) On and after the effective date of this amendmentJuly	1623
17, 2009, in the event of a proposal to close a state institution	1624
or lay off, within a six-month period, a number of persons	1625
employed at an institution that equals or exceeds the lesser of	1626
three hundred fifty or forty per cent of the persons employed at	1627
the institution, the employing unit responsible for the	1628
institution's operation shall establish a retirement incentive	1629
plan for persons employed at the institution.	1630

(C)(1) Prior to the effective date of this amendmentJuly 17,	1631
2009, in the event of a proposal, other than the proposals	1632
described in division (B) of this section, to lay off, within a	1633
six-month period, a number of employees of a state employing unit	1634
that equals or exceeds the lesser of fifty or ten per cent of the	1635
employing unit's employees, the employing unit shall establish a	1636
retirement incentive plan for employees of the employing unit.	1637

(2) On and after the effective date of this amendmentJuly	1638
17, 2009, in the event of a proposal, other than the proposals	1639
described in division (B) of this section, to lay off, within a	1640
six-month period, a number of employees of a state employing unit	1641
that equals or exceeds the lesser of three hundred fifty or forty	1642
per cent of the employing unit's employees, the employing unit	1643
shall establish a retirement incentive plan for employees of the	1644
employing unit.	1645

(D)(1) A retirement incentive plan established under this	1646
section shall be consistent with the requirements of section	1647
145.297 of the Revised Code, except as provided in division (D)(2)	1648
of this section and except that the plan shall go into effect at	1649
the time the layoffs or proposed closings are announced and shall	1650
remain in effect until the date of the layoffs or closings.	1651

(2) A retirement incentive plan established under this	1652
section due to the proposed closing of a state institution by the	1653
department of mental health prior to July 1, 1997, shall be	1654
consistent with the requirements of section 145.297 of the Revised	1655
Code, except as follows:	1656

(a) The employing unit shall purchase at least three years of	1657
service credit for each participating employee, except that it	1658
shall not purchase more service credit than the amount allowed by	1659
division (D) of section 145.297 of the Revised Code;	1660

(b) The plan shall go into effect at the time the proposed	1661
closing is announced and shall remain in effect at least until the	1662
date of the closing.	1663

(3) If the employing unit already has a retirement incentive	1664
plan in effect, the plan shall remain in effect at least until the	1665
date of the layoffs or closings. The employing unit may revise the	1666
existing plan to provide greater benefits, but if it revises the	1667
plan, it shall give written notice of the changes to all employees	1668
who have elected to participate in the original plan, and it shall	1669
provide the greater benefits to all employees who participate in	1670
the plan, whether their elections to participate were made before	1671
or after the date of the revision.	1672

Sec. 145.299.  (A) As used in this section, "school board	1673
member" means a member of a city, local, exempted village, or	1674
joint vocational school district board of education and "governing	1675
board member" means a member of an educational service center	1676
governing board.	1677

(B) A member of the public employees retirement system may	1678
purchase credit for service as a school board member if all of the	1679
following conditions are met:	1680

(1) The member is eligible to retire under this chapter or	1681
will become eligible to retire as a result of purchasing the	1682
credit.	1683

(2) The member agrees to retire within ninety days after	1684
receiving notice of the additional liability under division (C) of	1685
this section 145.29 of the Revised Code.	1686

(3) The retirement system receives certification of the	1687
member's service and compensation as a school board or governing	1688
board member from the board of education or governing board of the	1689
district or educational service center in which the member served	1690
or, if that district or educational service center no longer	1691
exists, the board or governing board that controls the territory,	1692
or the largest part of the territory, of the district or	1693
educational service center in which the member served.	1694

(C) Credit shall be purchased under this section in	1695
accordance with section 145.29 of the Revised Code, except that	1696
payment for the credit or portion of credit shall be paid in full	1697
at the time of purchase.	1698

(D) The retirement system shall calculate the amount of	1699
credit the member is eligible to purchase by dividing the	1700
compensation received pursuant to section 3313.12 of the Revised	1701
Code for each month served as a school board or governing board	1702
member by the amount of compensation that, for the same month, the	1703
retirement system considered equivalent to full-time service.	1704

(E) Credit may be purchased for service as a school board or	1705
governing board member, other than service subject to the tax on	1706
wages imposed by the "Federal Insurance Contributions Act," 68A	1707
Stat. 415 (1954), 26 U.S.C.A. 3101, as amended, between January 1,	1708
1935, and the first day of January of the year in which the credit	1709
is purchased. A member may purchase not more than one-twelfth of a	1710
year's credit for each month of service as a school board or	1711
governing board member.	1712

(C) On receipt of a request from a member eligible to	1713
purchase credit under this section, the system shall obtain from	1714
its actuary certification of the additional liability to the	1715
system for each month of credit the member is eligible to	1716
purchase, and shall notify the member of such additional	1717
liability. The member may purchase in one-month increments any	1718
portion of the credit the member is eligible to purchase. For each	1719
month of credit purchased, the member shall pay to the system an	1720
amount equal to the additional liability resulting from the	1721
purchase. Payment shall be made in full at the time of purchase.	1722

(D)(F) The public employees retirement board shall adopt	1723
rules in accordance with section 111.15 of the Revised Code	1724
concerning the purchase of credit under this section. In addition	1725
to any other matters considered relevant by the retirement board,	1726
the rules shall specify the procedure to be followed by a member	1727
to inform the system of the member's desire to purchase credit for	1728
service as a school board or governing board member.	1729

(E)(G) If the member does not retire within ninety days after	1730
purchasing credit under this section, the system shall withdraw	1731
the credit and refund the amount paid by the member.	1732

Sec. 145.2911.  (A) If the conditions described in division	1733
(B) of section 145.2910 of the Revised Code are met, a member of	1734
the public employees retirement system who is not receiving a	1735
pension or benefit from the public employees retirement system is	1736
eligible to obtain credit for service as a member of the	1737
Cincinnati retirement system under this section.	1738

(B) A member of the public employees retirement system who	1739
has contributions on deposit with, but is no longer contributing	1740
to, the Cincinnati retirement system shall, in computing years of	1741
service credit, be given credit for service credit earned under	1742
the Cincinnati retirement system or purchased or obtained as	1743
military service credit if, forall of the following conditions	1744
are met:	1745

(1) The member is eligible, or with the credit will be	1746
eligible, for a retirement or disability benefit.	1747

(2) The member agrees to retire or accept a disability	1748
benefit not later than ninety days after receiving notice from the	1749
public employees retirement system that the credit has been	1750
obtained.	1751

(3) For each year of service, the Cincinnati retirement	1752
system transfers to the public employees retirement system the sum	1753
of the following:	1754

(1)(a) The amount contributed by the member, or, in the case	1755
of military service credit, paid by the member, that is	1756
attributable to the year of service;	1757

(2)(b) An amount equal to the lesser of the employer's	1758
contributions to the Cincinnati retirement system or the amount	1759
that would have been contributed by the employer for the service	1760
had the member been employed by the member's current employer as a	1761
member of the public employees retirement system at the time the	1762
credit was earned;	1763

(3)(c) Interest on the amounts specified in divisions	1764
(B)(1)(3)(a) and (2)(b) of this section from the last day of the	1765
year for which the service credit was earned or in which payment	1766
was made for military service credit to the date the transfer is	1767
made.	1768

(C) A member of the public employees retirement system with	1769
at least eighteen months of contributing service credit with the	1770
public employees retirement system who has received a refund of	1771
the member's contributions to the Cincinnati retirement system	1772
shall, in computing years of service, be givenmay obtain credit	1773
for service credit earned under the Cincinnati retirement system	1774
or purchased or obtained as military service credit if, forall of	1775
the following conditions are met:	1776

(1) The member is eligible, or with the credit will be	1777
eligible, for a retirement or disability benefit.	1778

(2) The member agrees to retire or accept a disability	1779
benefit not later than ninety days after receiving notice from the	1780
public employees retirement system that the credit has been	1781
obtained.	1782

(3) For each year of service, the public employees retirement	1783
system receives the sum of the following:	1784

(1)(a) An amount, paid by the member, equal to the sum of the	1785
following:	1786

(a)(i) The amount refunded by the Cincinnati retirement	1787
system to the member for that year for contributions and payments	1788
for military service, with interest at a rate established by the	1789
public employees retirement board on that amount from the date of	1790
the refund to the date of payment;	1791

(b)(ii) The amount of interest, if any, the member received	1792
when the refund was made that is attributable to the year of	1793
service.	1794

(2)(b) An amount, transferred by the Cincinnati retirement	1795
system to the public employees retirement system, equal to the sum	1796
of the following:	1797

(a)(i) Interest on the amount refunded to the member that is	1798
attributable to the year of service from the last day of the year	1799
for which the service credit was earned or in which payment was	1800
made for military service credit to the date the refund was made;	1801

(b)(ii) An amount equal to the lesser of the employer's	1802
contributions to the Cincinnati retirement system or the amount	1803
that would have been contributed by the employer for the service	1804
had the member been employed by the member's current employer as a	1805
member of the public employees retirement system at the time the	1806
credit was earned, with interest on that amount from the last day	1807
of the year for which the service credit was earned to the date of	1808
the transfer.	1809

(D) The amount transferred under division (C)(2)(a)(3)(b)(i)	1810
of this section shall not include any amount of interest the	1811
Cincinnati retirement system paid to the person when it made the	1812
refund.	1813

(E) On receipt of payment from the member under division	1814
(C)(1)(3)(a) of this section, the public employees retirement	1815
system shall notify the Cincinnati retirement system. On receipt	1816
of the notice, the Cincinnati retirement system shall transfer the	1817
amount described in division (C)(2)(3)(b) of this section.	1818

(F) Interest charged under this section shall be calculated	1819
separately for each year of service credit. Unless otherwise	1820
specified in this section, it shall be calculated at the lesser of	1821
the actuarial assumption rate for that year of the public	1822
employees retirement system or the Cincinnati retirement system.	1823
The interest shall be compounded annually.	1824

(G) At the request of the public employees retirement system,	1825
the Cincinnati retirement system shall certify to the public	1826
employees retirement system a copy of the records of the service	1827
and contributions of a member of the public employees retirement	1828
system who seeks service credit under this section.	1829

(H) Service credit purchased or otherwise obtained under this	1830
section shall be considered the equivalent of Ohio service credit,	1831
except that it shall not be used in determining eligibility for	1832
any benefit provided under section 145.58 of the Revised Code.	1833

The public employees retirement system shall withdraw the	1834
credit and refund all amounts paid or transferred under this	1835
section if either of the following occurs:	1836

(1) The member fails to retire or accept a disability benefit	1837
not later than ninety days after receiving notice from the public	1838
employees retirement system that credit has been obtained under	1839
this section.	1840

(2) The member's application for a disability benefit is	1841
denied.	1842

(I) A member may choose to purchase only part of the credit	1843
the member is eligible to purchase under division (C) of this	1844
section in any one payment, subject to rules of the public	1845
employees retirement board.	1846

(J) A member is ineligible to purchase or otherwise obtain	1847
credit under this section for the service to be used in	1848
calculation of any retiremementretirement benefit currently being	1849
paid or payable to the member in the future.	1850

Sec. 145.2912.  (A) If the conditions described in division	1851
(B) of section 145.2910 of the Revised Code are met and a person	1852
who is a member or former member of the public employees	1853
retirement system but not a current contributor and who is not	1854
receiving a pension or benefit from the public employees	1855
retirement system elects to receive credit under the Cincinnati	1856
retirement system for service for which the person contributed to	1857
the public employees retirement system or purchased or obtained as	1858
military service credit, the public employees retirement system	1859
shall transfer the amounts specified in divisions (B)(A)(3)(a) and	1860
(C)(b) of this section to the Cincinnati retirement system. A	1861
person may obtain credit if all of the following conditions are	1862
met:	1863

(1) The member is eligible, or with the credit will be	1864
eligible, for a retirement or disability benefit.	1865

(2) The member agrees to retire or accept a disability	1866
benefit not later than ninety days after receiving notice from the	1867
public employees retirement system that the credit has been	1868
obtained.	1869

(B)(3)(a) If the person has contributions on deposit with the	1870
public employees retirement system, the public employees	1871
retirement system shall, for each year of service credit, transfer	1872
transfers to the Cincinnati retirement system the sum of the	1873
following:	1874

(1)(i) An amount equal to the person's contributions to the	1875
public employees retirement system and payments made by the member	1876
for military service credit;	1877

(2)(ii) An amount equal to the lesser of the employer's	1878
contributions to the public employees retirement system or the	1879
amount that would have been contributed by the employer for the	1880
service had the person been a member of the Cincinnati retirement	1881
system at the time the credit was earned;	1882

(3)(iii) Interest on the amounts specified in divisions	1883
(B)(1)(A)(3)(a)(i) and (2)(ii) of this section for the period	1884
from the last day of the year for which the service credit was	1885
earned or in which payment was made for military service credit to	1886
the date the transfer was made.	1887

(C)(1)(b) If the person has received a refund of accumulated	1888
contributions to the public employees retirement system, the	1889
public employees retirement system shall, for each year of service	1890
credit, transfertransfers to the Cincinnati retirement system the	1891
sum of the following:	1892

(a)(i) Interest on the amount refunded to the former member	1893
that is attributable to the year of service from the last day of	1894
the year for which the service credit was earned or in which	1895
payment was made for military service credit to the date the	1896
refund was made;	1897

(b)(ii) An amount equal to the lesser of the employer's	1898
contributions to the public employees retirement system or the	1899
amount that would have been contributed by the employer for the	1900
service had the person been a member of the Cincinnati retirement	1901
system at the time the credit was earned, with interest on that	1902
amount from the last day of the year for which the service credit	1903
was earned to the date of the transfer.	1904

(2)(B) The amount transferred under division (C)(1)(A)(3)(b)	1905
of this section shall not include any amount of the employer's	1906
contributions or interest on employee contributions the person	1907
received under section 145.40 of the Revised Code.	1908

(3)(C) On receipt of notice from the Cincinnati retirement	1909
system that the Cincinnati retirement system has received payment	1910
from a person described in division (C)(1)(A)(3)(b) of this	1911
section, the public employees retirement system shall transfer the	1912
amount described in that division.	1913

(D) Interest charged under this section shall be calculated	1914
separately for each year of service credit. Unless otherwise	1915
specified in this section, it shall be calculated at the lesser of	1916
the actuarial assumption rate for that year of the public	1917
employees retirement system or the Cincinnati retirement system.	1918
The interest shall be compounded annually.	1919

(E) The transfer of any amount under this section cancels an	1920
equivalent amount of service credit.	1921

(F) At the request of the Cincinnati retirement system, the	1922
public employees retirement system shall certify to the Cincinnati	1923
retirement system a copy of the records of the service and	1924
contributions of a member or former member of the public employees	1925
retirement system who elects to receive service credit under the	1926
Cincinnati retirement system.	1927

Sec. 145.2913. (A) As used in this section, "transferred	1928
service credit" means service credit purchased or obtained under	1929
section 742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of	1930
the Revised Code prior to the date a member commenced the	1931
employment covered by the public employees retirement system for	1932
which the member is currently contributing to the system.	1933

(B) A member of the public employees retirement system who	1934
has contributions on deposit with, but is no longer contributing	1935
to, a uniform retirement system shall, in computing years of	1936
service, be given full credit for transferred service credit if a	1937
transfer to the public employees retirement system is made under	1938
this sectiondivision. At the request of a member a transfer shall	1939
be made if all of the following conditions are met:	1940

(1) The member is eligible, or with the credit will be	1941
eligible, for a retirement or disability benefit.	1942

(2) The member agrees to retire or accept a disability	1943
benefit not later than ninety days after receiving notice from the	1944
public employees retirement system that the credit has been	1945
obtained.	1946

(3) For each year of service, the uniform system shall	1947
transfertransfers to the public employees retirement system the	1948
sum of the following:	1949

(1)(a) An amount equal to the amounts transferred to the	1950
uniform system under section 742.21, 742.214, 742.375, 5505.201,	1951
5505.40, or 5505.41 of the Revised Code;	1952

(2)(b) Interest, determined as provided in division (E) of	1953
this section, on the amount specified in division (B)(1)(3)(a) of	1954
this section for the period from the last day of the year in which	1955
the transfer under section 742.21, 742.214, 742.375, 5505.201,	1956
5505.40, or 5505.41 of the Revised Code was made to the date a	1957
transfer is made under this section.	1958

(C) A member of the public employees retirement system with	1959
at least eighteen months of contributing service credit with the	1960
public employees retirement system who has received a refund of	1961
contributions to a uniform retirement system shall, in computing	1962
years of service, be given full credit for transferred service	1963
credit if, forall of the following conditions are met:	1964

(1) The member is eligible, or with the credit will be	1965
eligible, for a retirement or disability benefit.	1966

(2) The member agrees to retire or accept a disability	1967
benefit not later than ninety days after receiving notice from the	1968
public employees retirement system that the credit has been	1969
obtained.	1970

(3) For each year of service, the public employees retirement	1971
system receives the sum of the following:	1972

(1)(a) An amount, which shall be paid by the member, equal to	1973
the amount refunded by the uniform system to the member for that	1974
year for transferred service credit, with interest on that amount	1975
from the date of the refund to the date a payment is made under	1976
this section;	1977

(2)(b) Interest, which shall be transferred by the uniform	1978
system, on the amount refunded to the member for the period from	1979
the last day of the year in which the transfer under section	1980
742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of the	1981
Revised Code was made to the date the refund was made;	1982

(3)(c) If the uniform system retained any portion of the	1983
amount transferred under section 742.21, 742.214, 742.375,	1984
5505.201, 5505.40, or 5505.41 of the Revised Code, an amount,	1985
which shall be transferred by the uniform system, equal to the	1986
amount retained, with interest on that amount for the period from	1987
the last day of the year in which the transfer under section	1988
742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of the	1989
Revised Code was made to the date a transfer is made under this	1990
section.	1991

On receipt of payment from the member, the public employees	1992
retirement system shall notify the uniform system, which, on	1993
receipt of the notice, shall make the transfer required by this	1994
division. Interest shall be determined as provided in division (E)	1995
of this section.	1996

(D) Service credit purchased or obtained under this section	1997
shall be considered the equivalent of Ohio service credit, except	1998
that it shall not be used in determining eligibility for any	1999
benefit provided under section 145.58 of the Revised Code if the	2000
transferred service credit was earned in a retirement system other	2001
than the public employees retirement system. A member may choose	2002
to purchase only part of the credit the member is eligible to	2003
purchase under division (C) of this section in any one payment,	2004
subject to rules adopted by the public employees retirement board.	2005
A member is ineligible to purchase or obtain service credit under	2006
this section for service to be used in the calculation of any	2007
retirement benefit currently being paid or payable to the member	2008
in the future under any other retirement program or for service	2009
credit that may be purchased or obtained under section 145.295 of	2010
the Revised Code.	2011

(E) Interest charged under this section shall be calculated	2012
separately for each year of service credit at the lesser of the	2013
actuarial assumption rate for that year of the public employees	2014
retirement system or of the uniform retirement system to which the	2015
credit was transferred under section 742.21, 742.214, 742.375,	2016
5505.201, 5505.40, or 5505.41 of the Revised Code. The interest	2017
shall be compounded annually.	2018

(F) Any amounts transferred or paid under divisions (B) and	2019
(C) of this section that are attributable to contributions made by	2020
the member or to amounts paid to purchase service credit shall be	2021
credited to the employees' savings fund created under section	2022
145.23 of the Revised Code. Any remaining amounts shall be	2023
credited to one or more of the funds created under that section as	2024
determined by the board.	2025

(G) At the request of the public employees retirement system,	2026
the uniform retirement system shall certify to the public	2027
employees retirement system a copy of the records of the service	2028
and contributions of a public employees retirement system member	2029
who seeks service credit under this section. The uniform	2030
retirement system shall specify the portions of the amounts	2031
transferred that are attributable to employee contributions,	2032
employer contributions, and interest.	2033

(H) If a member of the public employees retirement system who	2034
is not a current contributor elects to receive service credit	2035
under section 742.214 or 5505.41 of the Revised Code for	2036
transferred service credit, as defined in those sections, the	2037
system shall transfer to the uniform retirement system, as	2038
applicable, the amount specified in division (B) or (C) of section	2039
742.214 or division (B) or (C) of section 5505.41 of the Revised	2040
Code.	2041

(I) The public employees retirement system shall withdraw the	2042
credit and refund all amounts paid or transferred under this	2043
section if either of the following occurs:	2044

(1) The member fails to retire or accept a disability benefit	2045
not later than ninety days after receiving notice from the public	2046
employees retirement system that credit has been obtained under	2047
this section.	2048

(2) The member's application for a disability benefit is	2049
denied.	2050

(J) The board may adopt rules to implement this section.

2051

Sec. 145.2914. (A) The public employees retirement board may	2052
adopt rules in accordance with section 145.09 of the Revised Code	2053
to establish a program under which service credit earned under	2054
division (A) or (B)(2)(b) of section 145.33 of the Revised Code or	2055
division (B)(1)(b) or (C)(1)(b) of section 145.332 of the Revised	2056
Code is treated as service credit earned under division	2057
(B)(2)(a)(B)(1)(a) or (C)(1)(a) of that section 145.332 of the	2058
Revised Code if the member makes payment to the public employees	2059
retirement system in accordance with the rules.	2060

(B) If the board adopts rules under division (A) of this	2061
section, all of the following apply:	2062

(1) For each year or portion of a year of service credit	2063
earned under division (A) or (B)(2)(b) of section 145.33 of the	2064
Revised Code or division (B)(1)(b) or (C)(1)(b) of section 145.332	2065
of the Revised Code that is to be treated as service credit earned	2066
under division (B)(2)(a)(B)(1)(a) or (C)(1)(a) of that section	2067
145.332 of the Revised Code, the member shall pay to the	2068
retirement system an amount specified by the retirement board that	2069
is not less than one hundred per cent of the additional liability	2070
resulting from the purchase of that year, or portion of a year, of	2071
service.	2072

(2) The number of years of service credit earned under	2073
division (A) or (B)(2)(b) of section 145.33 of the Revised Code or	2074
division (B)(1)(b) or (C)(1)(b) of section 145.332 of the Revised	2075
Code that may be treated as service credit earned under division	2076
(B)(2)(a)(B)(1)(a) or (C)(1)(a) of that section 145.332 of the	2077
Revised Code shall not exceed five.	2078

(3) Any amounts paid under this section shall be credited to	2079
the employees' savings fund.	2080

(4) The amounts paid by the member under this section are	2081
subject to the limits established by division (n) of section 415	2082
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.	2083
415(n), as amended.	2084

(C) A member may make payments authorized by this section if	2085
the member is eligible to retire under this chapter or will become	2086
eligible to retire as a result of the payment. The member shall	2087
agree to retire not later than ninety days after receiving notice	2088
of the additional liability specified under division (B)(1) of	2089
this section. Payment shall be made in full for any credit earned	2090
under division (A) or (B)(2)(b) of section 145.33 of the Revised	2091
Code or division (B)(1)(b) or (C)(1)(b) of section 145.332 of the	2092
Revised Code that is to be treated as service credit earned under	2093
division (B)(2)(a)(B)(1)(a) or (C)(1)(a) of that section 145.332	2094
of the Revised Code, but the member may choose to make payment for	2095
only part of the credit for which the member is eligible.	2096

(D) If the member does not retire not later than ninety days	2097
after making the payment authorized by this section, the system	2098
shall refund the payment and shall not treat the credit for which	2099
payment was made as service credit earned under division	2100
(B)(2)(a)(B)(1)(a) or (C)(1)(a) of section 145.33145.332 of the	2101
Revised Code.	2102

(E) The board's rules may deal with any other matter	2103
necessary to implement this section.	2104

Sec. 145.2915. (A) As used in this section, "workers'	2105
compensation" means benefits paid under Chapter 4121. or 4123. of	2106
the Revised Code.	2107

(B) A member of the public employees retirement system may	2108
purchase service credit under this section for any period during	2109
which the member was out of service and receiving workers'	2110
compensation.	2111

(C) For credit purchased under this section:

2112

(1) If the member is employed by one public employer, for	2113
each year of credit, the member shall pay to the system for credit	2114
to the employees' savings fund an amount equal to the employee	2115
contribution required under section 145.47 of the Revised Code	2116
that would have been paid had the member not been out of service	2117
based on the salary of the member before the member was out of	2118
service. To this amount shall be added an amount equal to compound	2119
interest at a rate established by the public employees retirement	2120
board from the first date the member was out of service to the	2121
final date of payment.	2122

(2) If the member is employed by more than one public	2123
employer, the member is eligible to purchase credit under this	2124
section and make payments under division (C)(2) of this section	2125
only for the position for which the member received workers'	2126
compensation. For each year of credit, the member shall pay to the	2127
system for credit to the employees' savings fund an amount equal	2128
to the employee contribution required under section 145.47 of the	2129
Revised Code that would have been paid had the member not been out	2130
of service based on the salary of the member earned for the	2131
position for which the member received workers' compensation	2132
before the member was out of service. To this amount shall be	2133
added an amount equal to compound interest at a rate established	2134
by the public employees retirement board from the first date the	2135
member was out of service to the final date of payment.	2136

(D) The member may choose to purchase only part of such	2137
credit in any one payment, subject to board rules.	2138

(E) If a member makes a payment under division (C) of this	2139
section, the employer to which workers' compensation benefits are	2140
attributed shall pay to the system for credit to the employers'	2141
accumulation fund an amount equal to the employer contribution	2142
required under section 145.48 of the Revised Code corresponding to	2143
that payment that would have been paid had the member not been out	2144
of service based on the salary of the member before the member was	2145
out of service.	2146

Compound interest at a rate established by the board from the	2147
later of the member's date of re-employment or the effective date	2148
of this section to the date of payment shall be added to this	2149
amount if the employer pays all or any portion of the amount later	2150
than the earlier of five years or a period that is three times the	2151
period during which the member was out of service and receiving	2152
workers' compensation beginning from the later of the member's	2153
date of re-employment or the effective date of this section.	2154

(F) The number of years purchased under this section shall	2155
not exceed three.	2156

Sec. 145.2916. (A) When a member has been elected or	2157
appointed to an office, the term of which is two or more years,	2158
for which an annual salary is established, and in the event that	2159
the salary of the office is increased and the member is denied the	2160
additional salary by reason of any constitutional provision	2161
prohibiting an increase in salary during a term of office, the	2162
member may elect to have the amount of the member's and employer's	2163
contributions calculated upon the basis of the increased salary	2164
for the office.	2165

At the member's request and on notification to the public	2166
employees retirement system, the public employees retirement board	2167
shall compute the total additional amount the member and employer	2168
would have contributed, or the amount by which each of the	2169
member's and employer's contributions would have increased, had	2170
the member received the increased salary for the office the member	2171
holds. If the member elects to have the combined amount by which	2172
the member's and employer's contribution would have increased	2173
withheld from the member's salary, the member shall notify the	2174
employer, and the employer shall make the withholding commensurate	2175
with the period of denied salary and transmit it to the retirement	2176
system. The payment of the amount by which the employer's	2177
contribution would have increased shall be credited to the	2178
employers' accumulation fund.	2179

If the payment of the increased contributions is made in	2180
accordance with this section, the increased annual salary as	2181
provided by law for the office for the period for which the member	2182
paid increased contributions thereon shall be used in determining	2183
the member's earnable salary for the purpose of computing the	2184
member's final average salary.	2185

(B) If a member dies or withdraws from service, the payment	2186
under division (A) of this section shall be considered as	2187
accumulated contributions of the member.	2188

Sec. 145.30.  (A) As used in this section and section 145.301	2189
of the Revised Code:	2190

(1) "Armed forces" of the United States includes the	2191
following:	2192

(a) Army, navy, air force, marine corps, coast guard,	2193
auxiliary corps as established by congress, red cross nurse	2194
serving with the army, navy, air force, or hospital service of the	2195
United States, army nurse corps, navy nurse corps, full-time	2196
service with the American red cross in a combat zone, and such	2197
other service as may be designated by congress as included	2198
therein;	2199

(b) Personnel of the Ohio national guard and the reserve	2200
components of any of the armed forces enumerated in division	2201
(A)(1) of this section who are called to active duty pursuant to	2202
an executive order issued by the president of the United States or	2203
an act of congress;	2204

(c) Persons on whom United States merchant marine veteran	2205
status has been conferred for service aboard oceangoing merchant	2206
ships in service to the United States during World War II.	2207

(2) "State retirement system" means any of the following: the	2208
Ohio police and fire pension fund, public employees retirement	2209
system, school employees retirement system, state highway patrol	2210
retirement system, or the state teachers retirement system.	2211

(B) Upon reemployment in the public service and completion of	2212
one year of service credit as covered by a state retirement system	2213
or the Cincinnati retirement system, within two years after	2214
service in the armed forces that is terminated in a manner other	2215
than as described in section 4304 of Title 38 of the United States	2216
Code, "Uniformed Services Employment and Reemployment Rights Act	2217
of 1994," 108 Stat. 3149, 38 U.S.C.A. 4304, and presentation of	2218
documentation of the service and subject to rules adopted by the	2219
retirement board, any member of the public employees retirement	2220
system who was a member with not less than one year of payroll	2221
deductions before entering active duty with the armed forces and	2222
maintained membership in the public employees retirement system as	2223
provided by section 145.41 of the Revised Code, and who was or is	2224
out of active service as a public employee by reason of having	2225
become a member of the armed forces of the United States on active	2226
duty or service shall have such service, not in excess of ten	2227
years, consideredincluded as the equivalent of prior military	2228
service. Service in the armed forces as established by	2229
documentation of the service, not in excess of ten years, shall	2230
also be consideredincluded as prior military service for a person	2231
who was a public employee and who has acquired service credit for	2232
five years prior to, and within the one year preceding, the date	2233
of entering on active duty in the armed forces of the United	2234
States if such person was reemployed in the public service within	2235
one year after service in the armed forces that is terminated in a	2236
manner other than as described in section 4304 of Title 38 of the	2237
United States Code, "Uniformed Services Employment and	2238
Reemployment Rights Act of 1994," 108 Stat. 3149, 38 U.S.C.A.	2239
4304, and established total service credit as defined in section	2240
145.01 of the Revised Code of twenty years exclusive of credit for	2241
service in the uniformed services, as defined in section 145.302	2242
of the Revised Code. This division shall not serve to cancel any	2243
military service credit earned or granted prior to November 1,	2244
1965.	2245

(C) A member of the public employees retirement system is	2246
ineligible to receive service credit under this section for any	2247
year of military service credit used in the calculation of any	2248
retirement benefit currently being paid to the member or payable	2249
in the future under any other retirement program, except social	2250
security, or used to obtain service credit pursuant to section	2251
145.301 or 145.302 of the Revised Code. At the time such credit is	2252
requested, the member shall certify on a form supplied by the	2253
retirement board that the member does and will conform to this	2254
requirement. This division does not cancel any military service	2255
credit earned prior to March 15, 1979.	2256

Sec. 145.32. (A)(1)(a) A member, who has passed his sixtieth	2257
birthday and hasof the public employees retirement system is	2258
eligible for age and service retirement under this division if,	2259
not later than ten years after the effective date of this	2260
amendment, the member meets one of the following requirements:	2261

(i) Has five or more years of total service credit, or has	2262
and has attained age sixty;	2263

(ii) Has twenty-five or more years of total service credit	2264
and has attained his fifty-fifth birthday, or hasage fifty-five;	2265

(iii) Has thirty or more years of total Ohio service credit,	2266
regardless ofat any age, may file.	2267

(b) A member who on the effective date of this amendment has	2268
twenty or more years of total service credit is eligible for age	2269
and service retirement under this division if the member meets one	2270
of the requirements of division (A)(1)(a) of this section,	2271
regardless of when the member meets the requirement.	2272

(c) Service credit purchased or obtained under this chapter	2273
shall be used in determining whether a member has the number of	2274
years of total service credit required under division (A)(1)(a) of	2275
this section only if the purchase or obtainment is completed not	2276
later than ten years after the effective date of this amendment.	2277

(2) A member who is not eligible for age and service	2278
retirement under division (A)(1) of this section, or who became a	2279
member on or after the effective date of this amendment, is	2280
eligible under this division if the member meets one of the	2281
following requirements:	2282

(a) Has five years or more of total service credit and has	2283
attained age sixty-two;	2284

(b) Has twenty-five years or more of total service credit and	2285
has attained age fifty-seven;	2286

(c) Has thirty-two years or more of total service credit and	2287
has attained age fifty-five.	2288

(B) A member seeking to retire shall file with the public	2289
employees retirement board an application for retirement.	2290

Service. Service retirement shall be effective on the first	2291
day of the month immediately following the later of:	2292

(A)(1) The last day for which compensation was paid;

2293

(B)(2) The attainment of minimum age or service credit	2294
eligibility provided under this section;	2295

(3) Ninety days prior to receipt by the board of the member's	2296
completed application for retirement.	2297

An employer may, except as otherwise provided in the "Age	2298
Discrimination in Employment Act of 1967," as amended, 81 Stat.	2299
602, 29 U.S.C. 621 to 634, as of the thirtieth day of June of any	2300
year, terminate the employment of any member who has attained the	2301
age of seventy years. A member may at the time of his retirement	2302
by written designation duly executed and filed with the public	2303
employees retirement board designate a beneficiary to receive any	2304
installment which may remain unpaid at the time of his death.	2305
Except as provided in section 145.46 of the Revised Code, after	2306
the date of his retirement such nomination shall not be changed if	2307
the member elects to receive histhe member's retirement allowance	2308
computed as provided in section 145.46 of the Revised Code as	2309
"plan A," "plan C," or "plan D."	2310

Sec. 145.323.  (A) TheExcept as otherwise provided in this	2311
section, the public employees retirement board shall annually	2312
increase each allowance, pension, or benefit payable under this	2313
chapter by three per cent, except that no allowance, pension, or	2314
benefit shall exceed the limit established by section 415 of the	2315
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	2316
as amended.	2317

Until the last day of December of the fifth full calendar	2318
year after the effective date of this amendment, the increase	2319
shall be three per cent. For each succeeding calendar year, the	2320
increase shall be as follows:	2321

(1) For each allowance, pension, or benefit granted not later	2322
than the effective date of this amendment, three per cent, except	2323
that no allowance, pension, or benefit shall exceed the limit	2324
established by section 415 of the "Internal Revenue Code of 1986,"	2325
100 Stat. 2085, 26 U.S.C. 415, as amended;	2326

(2) For each allowance, pension, or benefit granted on or	2327
after the effective date of this amendment, the percentage	2328
increase in the consumer price index, not exceeding three per	2329
cent, as determined by the United States bureau of labor	2330
statistics (U.S. city average for urban wage earners and clerical	2331
workers: "all items 1982-84=100") for the twelve-month period	2332
ending on the thirtieth day of June of the immediately preceding	2333
calendar year. If the consumer price index for that period did not	2334
increase, no increase shall be made under division (A)(2) of this	2335
section. No allowance, pension, or benefit shall exceed the limit	2336
established by section 415 of the "Internal Revenue Code of 1986,"	2337
100 Stat. 2085, 26 U.S.C. 415, as amended.	2338

The first increase is payable to all persons becoming	2339
eligible after June 30, 1971, upon such persons receiving an	2340
allowance for twelve months. The increased amount is payable for	2341
the ensuing twelve-month period or until the next increase is	2342
granted under this section, whichever is later. Subsequent	2343
increases shall be determined from the date of the first increase	2344
paid to the former member in the case of an allowance being paid a	2345
beneficiary under an option, or from the date of the first	2346
increase to the survivor first receiving an allowance or benefit	2347
in the case of an allowance or benefit being paid to the	2348
subsequent survivors of the former member.	2349

The date of the first increase under this section becomes the	2350
anniversary date for any future increases.	2351

The allowance or benefit used in the first calculation of an	2352
increase under this section shall remain as the base for all	2353
future increases, unless a new base is established.	2354

(B) If payment of a portion of a benefit is made to an	2355
alternate payee under section 145.571 of the Revised Code,	2356
increases under this section granted while the order is in effect	2357
shall be apportioned between the alternate payee and the benefit	2358
recipient in the same proportion that the amount being paid to the	2359
alternate payee bears to the amount paid to the benefit recipient.	2360

If payment of a portion of a benefit is made to one or more	2361
beneficiaries under "plan F" under division (B)(3)(e) of section	2362
145.46 of the Revised Code, each increase under this section	2363
granted while the plan of payment is in effect shall be divided	2364
among the designated beneficiaries in accordance with the portion	2365
each beneficiary has been allocated.	2366

(C) The board shall make all rules necessary to carry out	2367
this section.	2368

Sec. 145.33.  (A)(1) Except as provided in division (B) or	2369
(C) of this section 145.332 of the Revised Code, a member with at	2370
least five years of total service credit who has attained age	2371
sixty, orof the public employees retirement system who has thirty	2372
years of total Ohio service credit, may applyis eligible for age	2373
and service retirement, whichunder division (A)(1) of section	2374
145.32 of the Revised Code shall consistreceive a retirement	2375
allowance consisting of all of the following:	2376

(1)(a) An annuity having a reserve equal to the amount of the	2377
member's accumulated contributions at that time;	2378

(2)(b) A pension equal to the annuity provided by division	2379
(A)(1)(a) of this section, excluding amounts of the member's	2380
accumulated contributions deposited under former division (Y) of	2381
section 145.01 or former sections 145.02, 145.29, 145.292, and	2382
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	2383
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	2384
Revised Code for the purchase of service credit;	2385

(3)(c) An additional pension, if the member can qualify for	2386
prior military service, equal to forty dollars multiplied by the	2387
number of years, and fraction thereof, of such prior and military	2388
service credit;	2389

(4)(d) A basic annual pension equal to one hundred eighty	2390
dollars if the member has ten or more years of total service	2391
credit as of October 1, 1956, except that the basic annual pension	2392
shall not exceed the sum of the annual benefits provided by	2393
divisions (A)(1)(a), (2)(b), and (3)(c) of this section.	2394

(5)(2) A member who is eligible for age and service	2395
retirement under division (A)(2) of section 145.32 of the Revised	2396
Code shall receive a retirement allowance consisting of all of the	2397
following:	2398

(a) An annuity having a reserve equal to the amount of the	2399
member's accumulated contributions at that time;	2400

(b) A pension equal to the annuity under division (A)(2)(a)	2401
of this section, excluding amounts of the member's accumulated	2402
contributions deposited under former division (Y) of section	2403
145.01 or former sections 145.02, 145.29, 145.292, and 145.42, or	2404
sections 145.20, 145.201, 145.28, 145.291, 145.292, 145.293,	2405
145.299, 145.2916, 145.301, 145.47, and 145.814 of the Revised	2406
Code for the purchase of service credit;	2407

(c) An additional pension, if the member can qualify for	2408
prior military service, equal to forty dollars multiplied by the	2409
number of years, and fraction thereof, of such prior military	2410
service credit.	2411

(B)(1) When a member retires on age and service retirement,	2412
the member's total annual single lifetime allowance, including the	2413
allowances provided in divisions (A)(1),and (2), (3), and (4) of	2414
this section, shall be not less than a base amount adjusted in	2415
accordance with division (A)(5)(B)(2) of this section and	2416
determined by multiplying the member's total service credit by the	2417
greater of the following:	2418

(a) Eighty-sixdollars;

2419

(b) TwoIf the member is eligible for age and service	2420
retirement under division (A)(1) of section 145.32 of the Revised	2421
Code, two and two-tenths per cent of the member's final average	2422
salary for each of the first thirty years of service plus two and	2423
one-half per cent of the member's final average salary for each	2424
subsequent year of service.;	2425

The(b) If the member is eligible for age and service	2426
retirement under division (A)(2) of section 145.32 of the Revised	2427
Code, two and two-tenths per cent of the member's final average	2428
salary for each of the first thirty-five years of service plus two	2429
and one-half per cent of the member's final average salary for	2430
each subsequent year of service.	2431

(2)(a) For a member for whom eligibility to retire under	2432
division (A)(1) of section 145.32 of the Revised Code occurs not	2433
later than five years after the effective date of this amendment,	2434
the allowance shall be adjusted by the factors of attained age or	2435
years of service to provide the greater amount as determined by	2436
the following schedule:	2437

		Years of		Percentage		2438
Attained	or	Total Service		of		2439
Birthday		Credit		Base Amount		2440

58		25		75		2441
59		26		80		2442
60		27		85		2443
61				88		2444
		28		90		2445
62				91		2446
63				94		2447
		29		95		2448
64				97		2449
65		30 or more		100		2450

Members shall vest(b) For a member for whom eligibility to	2451
retire under division (A)(1) of section 145.32 of the Revised Code	2452
occurs after the date determined under division (B)(2)(a) of this	2453
section who has not either attained age sixty-five or earned	2454
thirty years of total service credit, the allowance determined	2455
under division (B)(1) of this section shall be adjusted to be the	2456
actuarial equivalent of the member's retirement allowance had the	2457
member retired at age sixty-five or with thirty years of total	2458
service credit.	2459

(3) For a member eligible to retire under division (A)(1) of	2460
section 145.32 of the Revised Code, the right to a benefit shall	2461
vest in accordance with the following schedule, based on the	2462
member's attained age by September 1, 1976:	2463

			Percentage		2464
	Attained		of		2465
	Birthday		Base Amount		2466
	66		102		2467
	67		104		2468
	68		106		2469
	69		108		2470
	70 or more		110		2471

(6)(4) For a member eligible to retire under division (A)(2)	2472
of section 145.32 of the Revised Code who has not either attained	2473
age sixty-seven or attained age fifty-five and earned thirty-two	2474
years of total service credit, the allowance determined under	2475
division (B)(1) of this section shall be adjusted to be the	2476
actuarial equivalent of the member's retirement allowance had the	2477
member retired at age sixty-seven or age fifty-five with	2478
thirty-two years of total service credit.	2479

(C) The total annual single lifetime allowance that a member	2480
shall receive under division (A)(5) of this section shall not	2481
exceed the lesser of one hundred per cent of the member's final	2482
average salary or the limit established by section 415 of the	2483
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	2484
as amended.	2485

(B)(1) For the purposes of divisions (B) to (G) of this	2486
section, "total service credit as a PERS law enforcement officer"	2487
and "total service credit as a PERS public safety officer" include	2488
credit for military service to the extent permitted by division	2489
(E)(2) of this section and credit for service as a police officer	2490
or state highway patrol trooper to the extent permitted by	2491
divisions (E)(3) and (4) of this section.	2492

(2) A member who meets the conditions in division (B)(2)(a),	2493
(b), or (c) of this section may apply for an age and service	2494
retirement benefit under this division:	2495

(a) The member has attained age forty-eight and has at least	2496
twenty-five years of total service credit as a PERS law	2497
enforcement officer;	2498

(b) The member has attained age fifty-two, and has at least	2499
twenty-five years of total service credit as a PERS public safety	2500
officer or has service as a PERS public safety officer and service	2501
as a PERS law enforcement officer that when combined equal at	2502
least twenty-five years of total service credit;	2503

(c) The member has attained age sixty-two and has at least	2504
fifteen years of total service credit as either of the following:	2505

(i) A PERS law enforcement officer;

2506

(ii) A PERS public safety officer.

2507

(3) A benefit paid under division (B)(2) of this section	2508
shall consist of an annual single lifetime allowance equal to the	2509
sum of two and one-half per cent of the member's final average	2510
salary multiplied by the first twenty-five years of the member's	2511
total service plus two and one-tenth per cent of the member's	2512
final average salary multiplied by the number of years of the	2513
member's total service credit in excess of twenty-five years.	2514

(4) A member with at least fifteen years of total service	2515
credit as a PERS law enforcement officer or PERS public safety	2516
officer who voluntarily resigns or is discharged for any reason	2517
except death, dishonesty, cowardice, intemperate habits, or	2518
conviction of a felony may apply for an age and service retirement	2519
benefit, which shall consist of an annual single lifetime	2520
allowance equal to one and one-half per cent of the member's final	2521
average salary multiplied by the number of years of the member's	2522
total service credit. The allowance shall commence on the first	2523
day of the calendar month following the month in which the	2524
application is filed with the public employees retirement board on	2525
or after the attainment by the applicant of age fifty-two.	2526

(C)(1) A member with at least twenty-five years of total	2527
service credit who would be eligible to retire under division	2528
(B)(2)(b) of this section had the member attained age fifty-two	2529
and who voluntarily resigns or is discharged for any reason except	2530
death, dishonesty, cowardice, intemperate habits, or conviction of	2531
a felony, on or after the date of attaining forty-eight years of	2532
age, but before the date of attaining fifty-two years of age, may	2533
elect to receive a reduced benefit as determined by the following	2534
schedule:	2535

Attained Age

Reduced Benefit

2536

	48		75% of the benefit payable under		2537
			division (B)(3) of this section		2538
	49		80% of the benefit payable under		2539
			division (B)(3) of this section		2540
	50		86% of the benefit payable under		2541
			division (B)(3) of this section		2542
	51		93% of the benefit payable under		2543
			division (B)(3) of this section		2544

(2) If a member elects to receive a reduced benefit after	2545
attaining age forty-eight the reduced benefit is payable from the	2546
later of the date of the member's most recent birthday or the date	2547
the member becomes eligible to receive the reduced benefit.	2548

(3) Once a member elects to receive a reduced benefit	2549
determined by the schedule in division (C)(1) of this section and	2550
has received a payment, the member may not reelect to change that	2551
election.	2552

(4) If a member who has resigned or been discharged has left	2553
on deposit the member's accumulated contributions in the	2554
employees' savings fund and has not elected to receive a reduced	2555
benefit determined by the schedule in division (C)(1) of this	2556
section, upon attaining fifty-two years of age, the member shall	2557
be entitled to receive a benefit computed and paid under division	2558
(B)(3) of this section.	2559

(D) A benefit paid under division (B) or (C) of this section	2560
shall not exceed the lesser of ninety per cent of the member's	2561
final average salary or the limit established by section 415 of	2562
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.	2563
415, as amended.	2564

(E)(1) A member with service credit as a PERS law enforcement	2565
officer or a PERS public safety officer and other service credit	2566
under this chapter may elect one of the following:	2567

(a) To have all the member's service credit under this	2568
chapter, including credit for service as a PERS law enforcement	2569
officer or PERS public safety officer, used in calculating a	2570
retirement allowance under division (A) of this section if the	2571
member qualifies for an allowance under that division;	2572

(b) If the member qualifies for an allowance under division	2573
(B)(2)(a) of this section, to have the member's service credit as	2574
a PERS law enforcement officer used in calculating a benefit under	2575
that division and the member's credit for all service other than	2576
PERS law enforcement service used in calculating a benefit	2577
consisting of a single life annuity having a reserve equal to the	2578
amount of the member's accumulated contributions for all service	2579
other than PERS law enforcement service and an equal amount of	2580
employer contributions.	2581

(c) If the member qualifies for an allowance under division	2582
(B)(2)(b) or (c), (B)(4), or (C) of this section, to have the	2583
member's service credit as a PERS law enforcement officer or PERS	2584
public safety officer used in calculating a benefit under the	2585
appropriate division and the member's credit for all service other	2586
than PERS law enforcement service or service as a PERS public	2587
safety officer under this chapter used in calculating a benefit	2588
consisting of a single life annuity having a reserve equal to the	2589
amount of the member's accumulated contributions for all service	2590
other than PERS law enforcement service or PERS public safety	2591
officer service and an equal amount of the employer's	2592
contributions.	2593

(2) Notwithstanding sections 145.01 and 145.30 of the Revised	2594
Code, no more than four years of military service credit granted	2595
under section 145.30 of the Revised Code and five years of	2596
military service credit purchased under section 145.301 or 145.302	2597
of the Revised Code shall be used in calculating service as a PERS	2598
law enforcement officer or PERS public safety officer or the total	2599
service credit of that person.	2600

(3) Only credit for the member's service as a PERS law	2601
enforcement officer, PERS public safety officer, or service credit	2602
obtained as a police officer or state highway patrol trooper shall	2603
be used in computing the benefit of a member who qualifies for a	2604
benefit under division (B) or (C) of this section for the	2605
following:	2606

(a) Any person who originally is commissioned and employed as	2607
a deputy sheriff by the sheriff of any county, or who originally	2608
is elected sheriff, on or after January 1, 1975;	2609

(b) Any deputy sheriff who originally is employed as a	2610
criminal bailiff or court constable on or after April 16, 1993;	2611

(c) Any person who originally is appointed as a township	2612
constable or police officer in a township police department or	2613
district on or after January 1, 1981;	2614

(d) Any person who originally is employed as a county	2615
narcotics agent on or after September 26, 1984;	2616

(e) Any person who originally is employed as an undercover	2617
drug agent as defined in section 109.79 of the Revised Code,	2618
department of public safety enforcement agent who prior to June	2619
30, 1999, was a liquor control investigator, park officer, forest	2620
officer, wildlife officer, state watercraft officer, park district	2621
police officer, conservancy district officer, veterans' home	2622
police officer, special police officer for a mental health	2623
institution, special police officer for an institution for the	2624
mentally retarded and developmentally disabled, or municipal	2625
police officer on or after December 15, 1988;	2626

(f) Any person who originally is employed as a state	2627
university law enforcement officer on or after November 6, 1996;	2628

(g) Any person who is originally employed as a state	2629
university law enforcement officer by the university of Akron on	2630
or after September 16, 1998;	2631

(h) Any person who originally is employed as a preserve	2632
officer on or after March 18, 1999;	2633

(i) Any person who originally is employed as a natural	2634
resources law enforcement staff officer on or after March 18,	2635
1999;	2636

(j) Any person who is originally employed as a department of	2637
public safety enforcement agent on or after June 30, 1999;	2638

(k) Any person who is originally employed as a house sergeant	2639
at arms or assistant house sergeant at arms on or after September	2640
5, 2001;	2641

(l) Any person who is originally appointed as a regional	2642
transit authority police officer or state highway patrol police	2643
officer on or after February 1, 2002;	2644

(m) Any person who is originally employed as a municipal	2645
public safety director on or after September 29, 2005, but not	2646
later than the effective date of this amendment.	2647

(4) Only credit for a member's service as a PERS public	2648
safety officer or service credit obtained as a PERS law	2649
enforcement officer, police officer, or state highway patrol	2650
trooper shall be used in computing the benefit of a member who	2651
qualifies for a benefit under division (B)(2)(b) or (c)(ii) or (4)	2652
or division (C) of this section for any person who originally is	2653
employed as a Hamilton county municipal court bailiff on or after	2654
November 6, 1996.	2655

(F)(D) Retirement allowances determined under this section	2656
shall be paid as provided in section 145.46 of the Revised Code.	2657

(G) For the purposes of this section, service prior to June	2658
30, 1999, as a food stamp trafficking agent under former section	2659
5502.14 of the Revised Code shall be considered service as a law	2660
enforcement officer.	2661

Sec. 145.331.  (A) A recipient of a disability allowance	2662
under section 145.361 of the Revised Code who is subject to	2663
division (C)(3) of that section may make application for age and	2664
service retirement under this section. Retirement shall be	2665
effective on the first day of the first month following the last	2666
day for which the disability allowance is paid.	2667

(B) The annual allowance payable under this section shall	2668
consist of the sum of the amounts determined under divisions	2669
(B)(1) and (2) of this section:	2670

(1) The greater of the following:

2671

(a) An allowance calculated as provided in section 145.33,	2672
145.332, or 145.34 of the Revised Code, excluding any period	2673
during which the applicant received a disability benefit under	2674
section 145.361 of the Revised Code;	2675

(b) An allowance calculated by multiplying the applicant's	2676
total service credit, including service credit for the last	2677
continuous period during which the applicant received a disability	2678
benefit under section 145.361 of the Revised Code, by two and	2679
two-tenths per cent of the applicant's final average salary,	2680
except that the allowance shall not exceed forty-five per cent of	2681
the applicant's final average salary.	2682

(2) An amount equal to the additional allowance the recipient	2683
would receive under section 145.323 of the Revised Code, plus any	2684
other additional amount the recipient would receive under this	2685
chapter, had the recipient retired under section 145.33, 145.332,	2686
or 145.34 of the Revised Code effective on the effective date of	2687
the recipient's most recent continuous period of receipt of a	2688
disability benefit under section 145.361 of the Revised Code.	2689

(C) The allowance calculated under division (B) of this	2690
section, exclusive of any amount added under division (B)(2) of	2691
this section based on section 145.323 of the Revised Code, shall	2692
be the base for all future additional allowances under section	2693
145.323 of the Revised Code.	2694

The anniversary date for future additional allowances under	2695
section 145.323 of the Revised Code shall be the effective date of	2696
the recipient's most recent continuous period of receipt of a	2697
disability benefit under section 145.361 of the Revised Code.	2698

(D) The retirement allowance determined under this section	2699
shall be paid as provided in section 145.46 of the Revised Code.	2700

Sec. 145.332. (A) For the purposes of this section, "total	2701
service credit" includes credit for military service to the extent	2702
permitted by division (H) of this section and credit for service	2703
as a police officer or state highway patrol trooper to the extent	2704
permitted by division (I) of this section.	2705

(B)(1) A member of the public employees retirement system is	2706
eligible for age and service retirement under this division if,	2707
not later than ten years after the effective date of this section,	2708
the member meets one of the following requirements:	2709

(a) Has attained age forty-eight and has at least twenty-five	2710
years of total service credit as a PERS law enforcement officer;	2711

(b) Has attained age fifty-two and has at least twenty-five	2712
years of total service credit as a PERS public safety officer or	2713
has service as a PERS public safety officer and service as a PERS	2714
law enforcement officer that when combined equal at least	2715
twenty-five years of total service credit;	2716

(c) Has attained age sixty-two and has at least fifteen years	2717
of total service credit as a PERS law enforcement officer or PERS	2718
public safety officer.	2719

(2) A member with at least twenty-five years of total service	2720
credit who would be eligible to retire under division (B)(1)(b) of	2721
this section had the member attained age fifty-two and who	2722
voluntarily resigns or is discharged for any reason except death,	2723
dishonesty, cowardice, intemperate habits, or conviction of a	2724
felony, on or after attaining age forty-eight, but before	2725
attaining age fifty-two, may elect to receive a reduced benefit.	2726

(a)(i) If eligibility to make the election under division	2727
(B)(2) of this section occurs not later than five years after the	2728
effective date of this section, the benefit shall be calculated in	2729
accordance with the following schedule:	2730

	Attained Age		Reduced Benefit		2731
	48		75% of the benefit payable under division (D) of this section		2732
	49		80% of the benefit payable under division (D) of this section		2733
	50		86% of the benefit payable under division (D) of this section		2734
	51		93% of the benefit payable under division (D) of this section		2735

(ii) If eligibility to make the election occurs after the	2736
date determined under division (B)(2)(a)(i) of this section, the	2737
benefit shall be the actuarial equivalent of the allowance	2738
calculated under division (D) of this section adjusted for age.	2739

(b) If a member elects to receive a reduced benefit under	2740
division (B)(2) of this section, the reduced benefit is payable	2741
from the later of the date of the member's most recent birthday or	2742
the date the member becomes eligible to receive the reduced	2743
benefit. Once a member elects to receive a reduced benefit and has	2744
received a payment, the member may not change that election.	2745

(c) If a member who is eligible to do so has not elected to	2746
receive a reduced benefit determined by the schedule in division	2747
(B)(2) of this section, upon attaining age fifty-two the member	2748
shall be entitled to receive a benefit computed and paid under	2749
division (D) of this section.	2750

(C)(1) A member who is not eligible for age and service	2751
retirement under division (B) of this section is eligible under	2752
this division if the member meets one of the following	2753
requirements:	2754

(a) Has attained age fifty and has at least twenty-five years	2755
of total service credit as a PERS law enforcement officer;	2756

(b) Has attained age fifty-four and has at least twenty-five	2757
years of total service credit as a PERS public safety officer or	2758
has service as a PERS public safety officer and service as a PERS	2759
law enforcement officer that when combined equal at least	2760
twenty-five years of total service credit;	2761

(c) Has attained age sixty-four and has at least fifteen	2762
years of total service credit as a PERS law enforcement officer or	2763
PERS public safety officer.	2764

(2)(a)(i) A member with at least twenty-five years of total	2765
service credit who would be eligible to retire under division	2766
(C)(1)(a) of this section had the member attained age fifty and	2767
who voluntarily resigns or is discharged for any reason except	2768
death, dishonesty, cowardice, intemperate habits, or conviction of	2769
a felony, on or after attaining age forty-eight, but before	2770
attaining age fifty, may elect to receive a reduced benefit. The	2771
benefit shall be the actuarial equivalent of the allowance	2772
calculated under division (D) of this section adjusted for age.	2773

(ii) A member with at least twenty-five years of total	2774
service credit who would be eligible to retire under division	2775
(C)(1)(b) of this section had the member attained age fifty-four	2776
and who voluntarily resigns or is discharged for any reason except	2777
death, dishonesty, cowardice, intemperate habits, or conviction of	2778
a felony, on or after attaining age fifty, but before attaining	2779
age fifty-four, may elect to receive a reduced benefit. The	2780
benefit shall be the actuarial equivalent of the allowance	2781
calculated under division (D) of this section adjusted for age.	2782

(b) If a member elects to receive a reduced benefit under	2783
division (C)(2) of this section, the reduced benefit is payable	2784
from the later of the date of the member's most recent birthday or	2785
the date the member becomes eligible to receive the reduced	2786
benefit. Once a member elects to receive a reduced benefit and has	2787
received a payment, the member may not change that election.	2788

(c) If a member who is eligible to do so has not elected to	2789
receive a reduced benefit under division (C)(2) of this section,	2790
upon attaining the age of eligibility under division (C)(1) of	2791
this section the member shall be entitled to receive a benefit	2792
computed and paid under division (D) of this section.	2793

(D) A benefit paid under division (B)(1) or (C)(1) of this	2794
section shall consist of an annual single lifetime allowance equal	2795
to the sum of two and one-half per cent of the member's final	2796
average salary multiplied by the first twenty-five years of the	2797
member's total service credit plus two and one-tenth per cent of	2798
the member's final average salary multiplied by the number of	2799
years of the member's total service credit in excess of	2800
twenty-five years.	2801

(E) A member with at least fifteen years of total service	2802
credit as a PERS law enforcement officer or PERS public safety	2803
officer who voluntarily resigns or is discharged for any reason	2804
except death, dishonesty, cowardice, intemperate habits, or	2805
conviction of a felony may apply for an age and service retirement	2806
benefit, which shall consist of an annual single lifetime	2807
allowance equal to one and one-half per cent of the member's final	2808
average salary multiplied by the number of years of the member's	2809
total service credit.	2810

(1) If the member will attain age fifty-two not later than	2811
ten years after the effective date of this section, the retirement	2812
allowance shall commence on the first day of the calendar month	2813
following the month in which application is filed with the board	2814
on or after the member's attainment of age fifty-two.	2815

(2) If the member will not attain age fifty-two on or before	2816
the date determined under division (E)(1) of this section, the	2817
retirement allowance shall commence on the first day of the	2818
calendar month following the month in which application is filed	2819
with the board on or after the member's attainment of age	2820
fifty-four.	2821

(F) A benefit paid under this section shall not exceed the	2822
lesser of ninety per cent of the member's final average salary or	2823
the limit established by section 415 of the "Internal Revenue Code	2824
of 1986," 100 Stat. 2085, 26 U.S.C. 415, as amended.	2825

(G) A member with service credit as a PERS law enforcement	2826
officer or PERS public safety officer and other service credit	2827
under this chapter may elect one of the following:	2828

(1) To have all the member's service credit under this	2829
chapter, including credit for service as a PERS law enforcement	2830
officer or PERS public safety officer, used in calculating a	2831
retirement allowance under section 145.33 of the Revised Code if	2832
the member qualifies for an allowance under that section;	2833

(2) If the member qualifies for an allowance under division	2834
(B)(1)(a), (C)(1)(a), or (C)(2)(a)(i) of this section, to receive	2835
all of the following:	2836

(a) A benefit under division (B)(1)(a), (C)(1)(a), or	2837
(C)(2)(a)(i) of this section for the member's service credit as a	2838
PERS law enforcement officer;	2839

(b) A single life annuity having a reserve equal to the	2840
amount of the member's accumulated contributions for all service	2841
other than PERS law enforcement service;	2842

(c) A pension equal to the annuity provided under division	2843
(G)(2)(b) of this section, excluding amounts of the member's	2844
accumulated contributions deposited under former division (Y) of	2845
section 145.01 or former sections 145.02, 145.29, 145.292, and	2846
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	2847
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	2848
Revised Code for the purchase of service credit;	2849

(3) If the member qualifies for an allowance under division	2850
(B)(1)(b) or (c), (B)(2), (C)(1)(b) or (c), or (C)(2)(a)(ii) of	2851
this section, to receive all of the following:	2852

(a) A benefit under division (B)(1)(b) or (c), (B)(2),	2853
(C)(1)(b) or (c), or (C)(2)(a)(ii) of this section for the	2854
member's service credit as a PERS law enforcement officer or PERS	2855
public safety officer;	2856

(b) A single life annuity having a reserve equal to the	2857
amount of the member's accumulated contributions for all service	2858
other than PERS law enforcement service or PERS public safety	2859
officer service;	2860

(c) A pension equal to the annuity provided under division	2861
(G)(3)(b) of this section, excluding amounts of the member's	2862
accumulated contributions deposited under former division (Y) of	2863
section 145.01 or former sections 145.02, 145.29, 145.292, and	2864
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	2865
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	2866
Revised Code for the purchase of service credit.	2867

(H) Notwithstanding sections 145.01 and 145.30 of the Revised	2868
Code, not more than four years of military service credit granted	2869
under section 145.30 of the Revised Code and five years of	2870
military service credit purchased under section 145.301 or 145.302	2871
of the Revised Code shall be used in calculating service as a PERS	2872
law enforcement officer or PERS public safety officer or the total	2873
service credit of that person.	2874

(I)(1) Only credit for the member's service as a PERS law	2875
enforcement officer, PERS public safety officer, or service credit	2876
obtained as a police officer or state highway patrol trooper shall	2877
be used in computing the benefit of a member who qualifies for a	2878
benefit under this section for the following:	2879

(a) Any person who originally is commissioned and employed as	2880
a deputy sheriff by the sheriff of any county, or who originally	2881
is elected sheriff, on or after January 1, 1975;	2882

(b) Any deputy sheriff who originally is employed as a	2883
criminal bailiff or court constable on or after April 16, 1993;	2884

(c) Any person who originally is appointed as a township	2885
constable or police officer in a township police department or	2886
district on or after January 1, 1981;	2887

(d) Any person who originally is employed as a county	2888
narcotics agent on or after September 26, 1984;	2889

(e) Any person who originally is employed as an undercover	2890
drug agent as defined in section 109.79 of the Revised Code,	2891
department of public safety enforcement agent who prior to June	2892
30, 1999, was a liquor control investigator, park officer, forest	2893
officer, wildlife officer, state watercraft officer, park district	2894
police officer, conservancy district officer, veterans' home	2895
police officer, special police officer for a mental health	2896
institution, special police officer for an institution for the	2897
developmentally disabled, or municipal police officer on or after	2898
December 15, 1988;	2899

(f) Any person who originally is employed as a state	2900
university law enforcement officer on or after November 6, 1996;	2901

(g) Any person who is originally employed as a state	2902
university law enforcement officer by the university of Akron on	2903
or after September 16, 1998;	2904

(h) Any person who originally is employed as a preserve	2905
officer on or after March 18, 1999;	2906

(i) Any person who originally is employed as a natural	2907
resources law enforcement staff officer on or after March 18,	2908
1999;	2909

(j) Any person who is originally employed as a department of	2910
public safety enforcement agent on or after June 30, 1999;	2911

(k) Any person who is originally employed as a house sergeant	2912
at arms or assistant house sergeant at arms on or after September	2913
5, 2001;	2914

(l) Any person who is originally appointed as a regional	2915
transit authority police officer or state highway patrol police	2916
officer on or after February 1, 2002;	2917

(m) Any person who is originally employed as a municipal	2918
public safety director on or after September 29, 2005, but not	2919
later than March 24, 2009.	2920

(2) Only credit for a member's service as a PERS public	2921
safety officer or service credit obtained as a PERS law	2922
enforcement officer, police officer, or state highway patrol	2923
trooper shall be used in computing the benefit of a member who	2924
qualifies for a benefit under division (B)(1)(b) or (c), (B)(2),	2925
(C)(1)(b) or (c), or (C)(2) of this section for any person who	2926
originally is employed as a Hamilton county municipal court	2927
bailiff on or after November 6, 1996.	2928

(J) For purposes of this section, service prior to June 30,	2929
1999 as a food stamp trafficking agent under former section	2930
5502.14 of the Revised Code shall be considered service as a law	2931
enforcement officer.	2932

(K) Retirement allowances determined under this section shall	2933
be paid as provided in section 145.46 of the Revised Code.	2934

Sec. 145.34. Any(A)(1) A member who, not later than ten	2935
years after the effective date of this amendment, has completed	2936
earned twenty-five or more years of total service credit and has	2937
attained the member's fifty-fifth birthday,age fifty-five may	2938
retire on a commuted age and service allowance. Upon retirement on	2939
a commuted age and service allowance on or after September 30,	2940
1963, a member shall be granted a retirement allowance consisting	2941
of:	2942

(A)(a) An annuity having a reserve equal to the amount of the	2943
member's accumulated contributions at that time;	2944

(B)(b) A pension equal to the annuity provided by division	2945
(A)(1)(a) of this section, excluding amounts of the member's	2946
accumulated contributions deposited under former division (Y) of	2947
section 145.01 or former sections 145.02, 145.29, 145.292, and	2948
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	2949
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	2950
Revised Code for the purchase of service credit;	2951

(C)(c) An additional pension, if such member can qualify for	2952
prior military service credit, the reserve for which, based upon	2953
regular interest and the service tables approved by the board,	2954
shall be the present worth of the reserve required for the payment	2955
of the prior military service pension provided by section 145.33	2956
of the Revised Code, after either sixty years of age or thirty	2957
years of service credit, whichever can be attained first. The	2958
annual prior military service pension shall be determined by the	2959
amount of such commuted reserve divided by the age and service	2960
annuity rate for the attained age at retirement.	2961

(D)(d) The commuted value calculated as provided in division	2962
(C)(A)(1)(c) of this section of a basic annual pension of one	2963
hundred eighty dollars, provided the member has ten or more years	2964
of total service credit as of October 1, 1956.	2965

(E)(2) A member who is not eligible to retire under division	2966
(A)(1) of this section may retire under this division if the	2967
member has earned twenty-five years or more of total service	2968
credit and has attained age fifty-seven. A retirement allowance	2969
under this division shall consist of both of the following:	2970

(a) An annuity having a reserve equal to the amount of the	2971
member's accumulated contributions at that time;	2972

(b) A pension equal to the annuity under division (A)(2)(a)	2973
of this section, excluding amounts of the member's accumulated	2974
contributions deposited under former division (Y) of section	2975
145.01 or former sections 145.02, 145.29, 145.292, and 145.42, or	2976
sections 145.20, 145.201, 145.28, 145.291, 145.292, 145.293,	2977
145.299, 145.2916, 145.301, 145.47, and 145.814 of the Revised	2978
Code for the purchase of service credit.	2979

(B) When a member retires on commuted age and service	2980
retirement, the member's single lifetime allowance shall not be	2981
less than that provided by divisionsdivision (A), (B), (C), and	2982
(D)(1) or (2) of this section and division (A)(5) of section	2983
145.33 of the Revised Code and shall not exceed the limits	2984
established by division (A)(6) of that section.	2985

A year of service for the purpose of commuted age and service	2986
retirement and of applying the minimum retirement allowance as	2987
provided in this section is defined as a complete year of	2988
full-time employment, or the equivalent thereof. The board is the	2989
final authority in determining the eligibility of an employee for	2990
such form of retirement and for such minimum allowance.	2991

In determining eligibility only for retirement under this	2992
section the board shall include in "total service" the years of	2993
prior service credit granted members of the public employees	2994
retirement system by a publicly owned utility as provided for in	2995
section 145.48 of the Revised Code under a pension plan adopted by	2996
the publicly owned utility.	2997

(F)(C) Retirement allowances determined under this section	2998
shall be paid as provided in section 145.46 of the Revised Code.	2999

Sec. 145.35.  (A) As used in this section, "on-duty illness	3000
or injury" means an illness or injury that occurred during or	3001
resulted from performance of duties under the direct supervision	3002
of a member's appointing authoritypublic employer.	3003

(B) The public employees retirement system shall provide	3004
disability coverage to each member who has at least five years of	3005
total service credit and disability coverage for on-duty illness	3006
or injury to each member who is a PERS law enforcement officer or	3007
PERS public safety officer, regardless of length of service.	3008

The coverage shall extend only to illness or injury that	3009
occurs before the member's contributing service terminates or, in	3010
the case of illness or injury that results from contributing	3011
service, becomes evident not later than two years after the date	3012
the contributing service ends. The coverage shall not extend to	3013
disability resulting from elective cosmetic surgery other than	3014
reconstructive surgery.	3015

Not later than October 16, 1992, the public employees	3016
retirement board shall give each person who is a member on July	3017
29, 1992, the opportunity to elect disability coverage either	3018
under section 145.36 of the Revised Code or under section 145.361	3019
of the Revised Code. The board shall mail notice of the election,	3020
accompanied by an explanation of the coverage under each of the	3021
Revised Code sections and a form on which the election is to be	3022
made, to each member at the member's last known address. The board	3023
shall also provide the explanation and form to any member on	3024
request.	3025

Regardless of whether the member actually receives notice of	3026
the right to make an election, a member who fails to file a valid	3027
election under this section shall be considered to have elected	3028
disability coverage under section 145.36 of the Revised Code. To	3029
be valid, an election must be made on the form provided by the	3030
retirement board, signed by the member, and filed with the board	3031
not later than one hundred eighty days after the date the notice	3032
was mailed, or, in the case of a form provided at the request of a	3033
member, a date specified by rule of the retirement board. Once	3034
made, an election is irrevocable, but if the member ceases to be a	3035
member of the retirement system, the election is void. If a person	3036
who makes an election under this section also makes an election	3037
under section 3307.62 or 3309.39 of the Revised Code, the election	3038
made for the system that pays a disability benefit to that person	3039
shall govern the benefit.	3040

Disability coverage shall be provided under section 145.361	3041
of the Revised Code for persons who become members after July 29,	3042
1992, and for members who elect under this division to be covered	3043
under section 145.361 of the Revised Code.	3044

The retirement board may adopt rules governing elections made	3045
under this division.	3046

(C) Application for a disability benefit may be made by a	3047
member, by a person acting in the member's behalf, or by the	3048
member's employer, provided the member has disability coverage	3049
under section 145.36 or 145.361 of the Revised Code and is not	3050
receiving a disability benefit under any other Ohio state or	3051
municipal retirement program. Application must be made within two	3052
years from the date the member's contributing service under the	3053
PERS defined benefit plan terminated or the date the member ceased	3054
to make contributions to the PERS defined benefit plan under	3055
section 145.814 of the Revised Code, unless the retirement board	3056
determines that the member's medical records demonstrate	3057
conclusively that at the time the two-year period expired, the	3058
member was physically or mentally incapacitated for duty and	3059
unable to make an application. Application may not be made by or	3060
for any person receiving age and service retirement benefits under	3061
section 145.33, 145.331, 145.332, 145.34, or 145.37 of the Revised	3062
Code or any person who, pursuant to section 145.40 of the Revised	3063
Code, has been paid the accumulated contributions standing to the	3064
credit of the person's individual account in the employees'	3065
savings fund. The application shall be made on a form provided by	3066
the retirement board.	3067

(D) The benefit payable to any member who is approved for a	3068
disability benefit shall become effective on the first day of the	3069
month immediately following the later of the following:	3070

(1) The last day for which compensation was paid;

3071

(2) The attainment of eligibility for a disability benefit.

3072

(E) Medical examination of a member who has applied for a	3073
disability benefit shall be conducted by a competent disinterested	3074
physician or physicians selected by the board to determine whether	3075
the member is mentally or physically incapacitated for the	3076
performance of duty by a disabling condition either permanent or	3077
presumed to be permanent. The disability must have occurred since	3078
last becoming a member or have increased since last becoming a	3079
member to such extent as to make the disability permanent or	3080
presumed to be permanent. A disability is presumed to be permanent	3081
if it is expected to last for a continuous period of not less than	3082
twelve months following the filing of the application.	3083

The standard used to determine whether a member is	3084
incapacitated for duty is that the member is mentally or	3085
physically incapable of performing the duties of the position the	3086
member held at the time the disabling condition began or of a	3087
position with similar duties.	3088

If the physician or physicians determine that the member	3089
qualifies for a disability benefit, the board concurs with the	3090
determination, and the member agrees to medical treatment as	3091
specified in division (F) of this section, the member shall	3092
receive a disability benefit under section 145.36 or 145.361 of	3093
the Revised Code. The action of the board shall be final.	3094

(F) The public employees retirement board shall adopt rules	3095
requiring a disability benefit recipient, as a condition of	3096
continuing to receive a disability benefit, to agree in writing to	3097
obtain any medical treatment recommended by the board's physician	3098
and submit medical reports regarding the treatment. If the board	3099
determines that a disability benefit recipient is not obtaining	3100
the medical treatment or the board does not receive a required	3101
medical report, the disability benefit shall be suspended until	3102
the treatment is obtained, the report is received by the board, or	3103
the board's physician certifies that the treatment is no longer	3104
helpful or advisable. Should the recipient's failure to obtain	3105
treatment or submit a medical report continue for one year, the	3106
recipient's right to the disability benefit shall be terminated as	3107
of the effective date of the original suspension.	3108

The board shall require the recipient of a disability benefit	3109
who is described in section 145.363 of the Revised Code to comply	3110
with that section.	3111

(G) A disability benefit that has been granted a member but	3112
has not commenced shall not be paid if the member continues in or	3113
returns to employment with the same employer in the same position	3114
or in a position with duties similar to those of the position the	3115
member held at the time the benefit was granted.	3116

(H) In the event an employer files an application for a	3117
disability benefit as a result of a member having been separated	3118
from service because the member is considered to be mentally or	3119
physically incapacitated for the performance of the member's	3120
present duty, and the physician or physicians selected by the	3121
board reports to the board that the member is physically and	3122
mentally capable of performing service similar to that from which	3123
the member was separated and the board concurs in the report, the	3124
board shall so certify to the employer and the employer shall	3125
restore the member to the member's previous position and salary or	3126
to a similar position and salary.	3127

Sec. 145.36.  A member who has elected disability coverage	3128
under this section, has not attained age sixty, and is determined	3129
by the public employees retirement board under section 145.35 of	3130
the Revised Code to qualify for a disability benefit shall be	3131
retired on disability under this section.	3132

Upon disability retirement, a member shall receive an annual	3133
amount that shall consist of:	3134

(A) An annuity having a reserve equal to the amount of the	3135
retirant's accumulated contributions;	3136

(B) A pension that shall be the difference between the	3137
following:	3138

(1) The member's annuity and anunder division (A) of this	3139
section, excluding the portion of the pension attributable to	3140
contributions deposited under former division (Y) of section	3141
145.01 or former sections 145.02, 145.29, 145.292, and 145.42, or	3142
sections 145.20, 145.201, 145.28, 145.291, 145.292, 145.293,	3143
145.299, 145.2916, 145.301, 145.47, and 145.814 of the Revised	3144
Code for the purchase of service credit;	3145

(2) An annual amount determined by multiplying the total	3146
service credit of the retirant, and in addition thereto the	3147
projected number of years and fractions thereof between the	3148
effective date of the member's disability retirement and attained	3149
age sixty, assuming continuous service, by eighty-six dollars or	3150
two and two-tenths per cent of the member's final average salary,	3151
whichever is greater.	3152

Where the recipient is not receiving a disability benefit	3153
under section 145.37 of the Revised Code and is receiving a	3154
disability benefit from either the state teachers retirement	3155
system or the school employees retirement system, the recipient	3156
shall not be eligible for service credit based upon the number of	3157
years and fractions thereof between the date of disability and	3158
attained age sixty as provided for in this division.	3159

In no case shall disability retirement be less than thirty	3160
per cent or more than seventy-five per cent of the member's final	3161
average salary, except that it shall not exceed any limit to which	3162
the retirement system is subject under section 415 of the	3163
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	3164
as amended.	3165

A year of service for the purpose of disability retirement is	3166
a complete year of full-time employment, or the equivalent	3167
thereof. The public employees retirement board is the final	3168
authority in determining the eligibility of a member for	3169
disability retirement.	3170

Sec. 145.361.  (A) A member with disability coverage under	3171
this section who is determined by the public employees retirement	3172
board under section 145.35 of the Revised Code to qualify for a	3173
disability benefit shall receive a disability allowance under this	3174
section. The allowance shall be an annual amount equal to the	3175
greater of the following:	3176

(1) Forty-five per cent of the member's final average salary;

3177

(2) The member's total service credit multiplied by two and	3178
two-tenths per cent of the member's final average salary, not	3179
exceeding sixty per cent of the member's final average salary.	3180

(B) Sufficient reserves for payment of the disability	3181
allowance shall be transferred to the annuity and pension reserve	3182
fund from the employers' contribution fund. The accumulated	3183
contributions of the member shall remain in the employees' savings	3184
fund. No part of the allowance paid under this section shall be	3185
charged against the member's accumulated contributions.	3186

(C) A disability allowance paid under this section shall	3187
terminate at the earliest of the following:	3188

(1) The effective date of age and service retirement under	3189
sections 145.32 and, 145.33, and 145.332, or section 145.34 or	3190
145.37 of the Revised Code;	3191

(2) The date the allowance is terminated under section	3192
145.362 of the Revised Code;	3193

(3) The later of the last day of the month in which the	3194
recipient attains age sixty-five, or the last day of the month in	3195
which the benefit period ends as follows:	3196

	Attained Age at					3197
	Effective Date of					3198
	Disability Allowance		Benefit Period			3199
	60 or 61		60 months			3200
	62 or 63		48 months			3201
	64 or 65		36 months			3202
	66, 67, or 68		24 months			3203
	69 or older		12 months			3204

Sec. 145.362.  A disability benefit recipient whose benefit	3205
effective date was before the effective date of this amendment	3206
shall retain membership status and shall be considered on leave of	3207
absence from employment during the first five years following the	3208
effective date of a disability benefit, notwithstanding any	3209
contrary provisions in this chapter.	3210

A disability benefit recipient whose benefit effective date	3211
is on or after the effective date of this amendment shall retain	3212
membership status and shall be considered on leave of absence from	3213
employment during the first three years following the effective	3214
date of a disability benefit, except that, if the member is	3215
receiving rehabilitative services acceptable to a physician or	3216
physicians selected by the board, the board may permit the	3217
recipient to retain membership status and be considered on leave	3218
of absence from employment for up to five years following the	3219
effective date of a disability benefit.	3220

The public employees retirement board shall require any	3221
disability benefit recipient to undergo an annual medical	3222
examination, except that the board may waive the medical	3223
examination if the board's physician or physicians certify that	3224
the recipient's disability is ongoing. If any disability benefit	3225
recipient refuses to submit to a medical examination, the	3226
recipient's disability benefit shall be suspended until withdrawal	3227
of the refusal. Should the refusal continue for one year, all the	3228
recipient's rights in and to the disability benefit shall be	3229
terminated as of the effective date of the original suspension.	3230

On completion of the examination by an examining physician or	3231
physicians selected by the board, the physician or physicians	3232
shall report and certify to the board whether the disability	3233
benefit recipient meets the applicable standard for termination of	3234
a disability benefit. If the recipient's benefit effective date is	3235
before the effective date of this amendment or, if after that	3236
date, the recipient has been receiving the benefit for less than	3237
three years or is receiving rehabilitative services acceptable to	3238
the physician or physicians and considered on leave of absence,	3239
the standard for termination is that the recipient is no longer	3240
physically and mentally incapable of resuming the service from	3241
which the recipient was found disabled. If the recipient's benefit	3242
effective date is on or after the effective date of this	3243
amendment, the recipient has been receiving the benefit for three	3244
years or longer, and the recipient is not receiving rehabilitative	3245
services acceptable to the physician or physicians, the standard	3246
for termination is that the recipient is not physically or	3247
mentally incapable of performing the duties of any position that	3248
meets all of the following criteria:	3249

(A) Replaces not less than seventy-five per cent of the	3250
member's final average salary, adjusted each year by the actual	3251
average increase in the consumer price index prepared by the	3252
United States bureau of labor statistics (U.S. city average for	3253
urban wage earners and clerical workers: "all items	3254
1982-1984=100");	3255

(B) Is reasonably to be found in the member's regional job	3256
market;	3257

(C) Is one that the member is qualified for by experience or	3258
education.	3259

If the board concurs in the report that the disability	3260
benefit recipient is no longer incapablemeets the applicable	3261
standard for termination of a disability benefit, the payment of	3262
the disability benefit shall be terminated not later than three	3263
months after the date of the board's concurrence or upon	3264
employment as a public employee. If the leave of absence has not	3265
expired, the retirement board shall certify to the disability	3266
benefit recipient's last employer before being found disabled that	3267
the recipient is no longer physically and mentally incapable of	3268
resuming service that is the same or similar to that from which	3269
the recipient was found disabled. The employer shall restore the	3270
recipient to the recipient's previous position and salary or to a	3271
position and salary similar thereto, unless the recipient was	3272
dismissed or resigned in lieu of dismissal for dishonesty,	3273
misfeasance, malfeasance, or conviction of a felony.	3274

Each disability benefit recipient shall file with the board	3275
an annual statement of earnings, current medical information on	3276
the recipient's condition, and any other information required in	3277
rules adopted by the board. The board may waive the requirement	3278
that a disability benefit recipient file an annual statement of	3279
earnings or current medical information if the board's physician	3280
certifies that the recipient's disability is ongoing.	3281

The board shall annually examine the information submitted by	3282
the recipient. If a disability benefit recipient refuses to file	3283
the statement or information, the disability benefit shall be	3284
suspended until the statement and information are filed. If the	3285
refusal continues for one year, the recipient's right to the	3286
disability benefit shall be terminated as of the effective date of	3287
the original suspension.	3288

If a disability benefit recipient is restored to service by,	3289
or elected to an elective office with, an employer covered by this	3290
chapter, the recipient's disability benefit shall cease.	3291

The board may terminate a disability benefit at the request	3292
of the recipient.	3293

If disability retirement under section 145.36 of the Revised	3294
Code is terminated for any reason, the annuity and pension	3295
reserves at that time in the annuity and pension reserve fund	3296
shall be transferred to the employees' savings fund and the	3297
employers' accumulation fund, respectively. If the total	3298
disability benefit paid is less than the amount of the accumulated	3299
contributions of the member transferred to the annuity and pension	3300
reserve fund at the time of the member's disability retirement,	3301
the difference shall be transferred from the annuity and pension	3302
reserve fund to another fund as may be required. In determining	3303
the amount of a member's account following the termination of	3304
disability retirement for any reason, the total amount paid shall	3305
be charged against the member's refundable account.	3306

If a disability allowance paid under section 145.361 of the	3307
Revised Code is terminated for any reason, the reserve on the	3308
allowance at that time in the annuity and pension reserve fund	3309
shall be transferred from that fund to the employers' accumulation	3310
fund.	3311

If a former disability benefit recipient again becomes a	3312
contributor, other than as an other system retirant under section	3313
145.38 of the Revised Code, to this system, the state teachers	3314
retirement system, or the school employees retirement system, and	3315
completes an additional two years of service credit, the former	3316
disability benefit recipient shall be entitled to full service	3317
credit for the period as a disability benefit recipient, except	3318
that the service credit shall not exceed five years' credit.	3319

If any employer employs any member who is receiving a	3320
disability benefit, the employer shall file notice of employment	3321
with the retirement board, designating the date of employment. In	3322
case the notice is not filed, the total amount of the benefit paid	3323
during the period of employment prior to notice shall be charged	3324
to and paid by the employer.	3325

Sec. 145.363. (A) A recipient of a disability benefit granted	3326
under this chapter on or after the effective date of this section	3327
shall apply for social security disability insurance benefit	3328
payments under 42 U.S.C. 423 if the recipient meets the	3329
requirements of divisions (a)(1)(A),(B), and (C) of that section.	3330
The application shall be made not later than ninety days after the	3331
recipient is granted a disability benefit under this chapter	3332
unless the public employees retirement board determines from the	3333
member's medical records that the member is physically or mentally	3334
unable to make the application. The recipient shall file a copy of	3335
the completed application with the public employees retirement	3336
system and the system shall accept the copy as evidence of the	3337
member's application. If a recipient fails without just cause to	3338
apply for social security disability insurance benefit payments or	3339
to file a copy of the application with the system, the disability	3340
benefit under this chapter shall be suspended until application is	3341
made and a copy of the application filed with the system.	3342

(B) Regardless of whether the recipient's disability is	3343
ongoing, a recipient of a disability benefit under this chapter	3344
who also receives social security disability insurance benefit	3345
payments shall file an annual statement of earnings under section	3346
145.362 of the Revised Code and include a copy of the social	3347
security disability insurance benefit annual reward letter that	3348
specifies the amount of the social security disability insurance	3349
program benefit.	3350

(C) Except as provided in division (D) of this section, if	3351
any year the total of a disability benefit recipient's benefit	3352
under this chapter and social security disability insurance	3353
benefit payments exceeds the recipient's adjusted final average	3354
salary, the annual benefit under this chapter shall be reduced so	3355
that the annual total equals the recipient's adjusted final	3356
average salary.	3357

The recipient's adjusted final average salary shall be	3358
determined by annually increasing the recipient's final average	3359
salary by the percentage increase in the consumer price index, not	3360
exceeding three per cent, as determined by the United States	3361
bureau of labor statistics (U.S. city average for urban wage	3362
earners and clerical workers: "all items 1982-84=100") for the	3363
twelve-month period ending on the thirtieth day of June of the	3364
immediately preceding calendar year. If the consumer price index	3365
for that period did not increase, no increase shall be made to the	3366
recipient's adjusted final average salary for that period. No	3367
adjustment to a benefit shall exceed the limit established by	3368
section 415 of the "Internal Revenue Code of 1986," 100 Stat.	3369
2085, 26 U.S.C. 415, as amended.	3370

If a disability benefit recipient receives retroactive	3371
payments of social security disability insurance benefits, the	3372
system may reduce future disability benefit payments under this	3373
chapter to recoup any overpayments.	3374

(D) The reductions required by division (C) of this section	3375
do not apply to a recipient of a disability benefit under this	3376
chapter who has not less than five years of service credit for	3377
periods during which the recipient had earnings from other	3378
employment that was subject to the tax imposed by the "Federal	3379
Insurance Contributions Act," 26 U.S.C. 3101.	3380

Sec. 145.37.  (A) As used in this section:

3381

(1) "State retirement system" means the public employees	3382
retirement system, school employees retirement system, or state	3383
teachers retirement system.	3384

(2) "Total service credit" means all service credit earned in	3385
the state retirement systems, except credit for service subject to	3386
section 145.38 of the Revised Code. Total service credit shall not	3387
exceed one year of credit for any twelve-month period.	3388

(3) In addition to the meaning given in division (N) of	3389
section 145.01 of the Revised Code, "disability benefit" means	3390
"disability benefit" as defined in sections 3307.01 and 3309.01 of	3391
the Revised Code.	3392

(B) To coordinate and integrate membership in the state	3393
retirement systems, the following provisions apply:	3394

(1) At the option of a member, total contributions and	3395
service credit in all state retirement systems, including amounts	3396
paid to restore service credit under sections 145.311, 3307.711,	3397
and 3309.261 of the Revised Code, shall be used in determining the	3398
eligibility and total retirement or disability benefit payable.	3399
When total contributions and service credit are so combined, the	3400
following provisions apply:	3401

(a) Age and service retirement or disability benefits are	3402
effective on the first day of the month immediately following the	3403
later of:	3404

(i) The last day for which compensation was paid;

3405

(ii) The attainment of minimum age or service credit	3406
eligibility for benefits provided under this section.	3407

(b) In determining eligibility for a disability benefit, the	3408
medical examiner's report to the retirement board of any state	3409
retirement system, showing that the member's disability	3410
incapacitates the member for the performance of duty, may be	3411
accepted by the state retirement boards as sufficient for granting	3412
a disability benefit.	3413

(c) The state retirement system in which the member had the	3414
greatest service credit, without adjustment, shall determine and	3415
pay the total retirement or disability benefit. Where the member's	3416
credit is equal in two or more state retirement systems, the	3417
system having the largest total contributions of the member shall	3418
determine and pay the total benefit.	3419

(d) In determining the total credit to be used in calculating	3420
a retirement or disability benefit, credit shall not be reduced	3421
below that certified by the system or systems transferring credit,	3422
except that such total combined service credit shall not exceed	3423
one year of credit for any one "year" as defined in the law of the	3424
system making the calculation.	3425

(e) The state retirement system determining and paying a	3426
retirement or disability benefit shall receive from the other	3427
system or systems the sum of the following:	3428

(i) The member's refundable account at retirement or the	3429
effective date of a disability benefit plus an;	3430

(ii) An amount from the employers' accumulation fund equal	3431
to the member's refundable account less interest credited under	3432
section 145.471, 145.472, or 3307.563 of the Revised Code,	3433
excluding amounts of the member's accumulated contributions	3434
deposited under former division (Y) of section 145.01 or former	3435
sections 145.02, 145.29, 145.292, and 145.42, or sections 145.20,	3436
145.201, 145.28, 145.291, 145.292, 145.293, 145.299, 145.2916,	3437
145.301, 145.47, and 145.814 of the Revised Code for the purchase	3438
of service credit. If	3439

If applicable, the public employees retirement system shall	3440
pay to the retirement system determining and paying the benefit a	3441
portion of the amount paid on behalf of the member by an employer	3442
under section 145.483 of the Revised Code. The portion shall be	3443
paid from the employers' accumulation fund and shall equal the	3444
product obtained by multiplying by two the amount the member would	3445
have contributed during the period the employer failed to deduct	3446
contributions, as described in section 145.483 of the Revised	3447
Code.	3448

(i)(f) The annuity rates and mortality tables of the state	3449
retirement system making the calculation and paying the benefit	3450
shall be exclusively applicable.	3451

(ii)(g) Deposits made for the purpose of an additional	3452
annuity, and including guaranteed interest, upon the request of	3453
the member, shall be transferred to the state retirement system	3454
paying the benefit. The return upon such deposits shall be that	3455
offered by the state retirement system making the calculation and	3456
paying the benefit.	3457

(2) A former member receiving a retirement or disability	3458
benefit under this section, who accepts employment amenable to	3459
coverage in any state retirement system that participated in the	3460
former member's combined benefit, shall be subject to the	3461
applicable provisions of law governing such re-employment. If a	3462
former member should be paid any amount in a retirement benefit,	3463
to which the former member is not entitled under the applicable	3464
provisions of law governing such re-employment, such amount shall	3465
be recovered by the state retirement system paying such benefit by	3466
utilizing any recovery procedure available under the code	3467
provisions of the state retirement system covering such	3468
re-employment.	3469

(C) A PERS retirant or other system retirant, as defined in	3470
section 145.38 of the Revised Code, is not eligible to receive any	3471
benefit under this section for service subject to section 145.38	3472
of the Revised Code.	3473

Sec. 145.383.  (A) As used in this section:

3474

(1) "Compensation" has the same meaning as in section 3307.01	3475
or 3309.01 of the Revised Code, as appropriate.	3476

(2) "PERS position" means a position for which a member of	3477
the public employees retirement system is making contributions to	3478
the system.	3479

(3) "Other state retirement system" means the state teachers	3480
retirement system or the school employees retirement system.	3481

(4) "State retirement system" means the public employees	3482
retirement system, state teachers retirement system, or the school	3483
employees retirement system.	3484

(B)(1) A member of the public employees retirement system who	3485
holds two or more PERS positions may retire under section 145.32,	3486
145.33, 145.331, 145.332, 145.34, 145.37, or 145.46 of the Revised	3487
Code from the position for which the annual earnable salary at the	3488
time of retirement is highest and continue to contribute to the	3489
retirement system for the other PERS position or positions.	3490

(2) A member of the public employees retirement system who	3491
also holds one or more other positions covered by the other state	3492
retirement systems may retire under section 145.32, 145.33,	3493
145.331, 145.332, 145.34, 145.37, or 145.46 of the Revised Code	3494
from the PERS position and continue contributing to the other	3495
state retirement systems if the annual earnable salary for the	3496
PERS position at the time of retirement is greater than annual	3497
compensation for the position, or any of the positions, covered by	3498
the other state retirement systems.	3499

(3) A member of the public employees retirement system who	3500
holds two or more PERS positions and at least one other position	3501
covered by one of the other state retirement systems may retire	3502
under section 145.32, 145.33, 145.331, 145.332, 145.34, 145.37, or	3503
145.46 of the Revised Code from one of the PERS positions and	3504
continue contributing to the public employees retirement system	3505
and the other state retirement system if the annual earnable	3506
salary for the PERS position from which the member is retiring is,	3507
at the time of retirement, greater than the annual compensation or	3508
earnable salary for any of the positions for which the member is	3509
continuing to make contributions.	3510

(4) A member of the public employees retirement system who	3511
has retired as provided in division (B)(2) or (3) of section	3512
3307.351 or division (B)(2) or (3) of section 3309.343 of the	3513
Revised Code may continue to contribute to the public employees	3514
retirement system for a PERS position if the member held the	3515
position at the time of retirement from the other state retirement	3516
system.	3517

(5) A member who contributes to the public employees	3518
retirement system in accordance with division (B)(1), (3), or (4)	3519
of this section shall contribute in accordance with section 145.47	3520
of the Revised Code. The member's employer shall contribute as	3521
provided in section 145.48 of the Revised Code. Neither the member	3522
nor the member's survivors are eligible for any benefits based on	3523
those contributions other than those provided under section	3524
145.384, 3307.352, or 3309.344 of the Revised Code.	3525

(C)(1) In determining retirement eligibility and the annual	3526
retirement allowance of a member who retires as provided in	3527
division (B)(1), (2), or (3) of this section, the following shall	3528
be used to the date of retirement:	3529

(a) The member's earnable salary and compensation for all	3530
positions covered by a state retirement system;	3531

(b) Total service credit in any state retirement system,	3532
except that the credit shall not exceed one year of credit for any	3533
period of twelve months;	3534

(c) The member's accumulated contributions.

3535

(2) A member who retires as provided in division (B)(1), (2),	3536
or (3) of this section is a retirant for all purposes of this	3537
chapter, except that the member is not subject to section 145.38	3538
of the Revised Code for a position or positions for which	3539
contributions continue under those divisions or division (B)(4) of	3540
this section.	3541

(D) A retired member receiving a benefit under section	3542
145.384 of the Revised Code based on employment subject to this	3543
section is not a member of the public employees retirement system	3544
and does not have any rights, privileges, or obligations of	3545
membership. The retired member is a PERS retirant for purposes of	3546
section 145.38 of the Revised Code.	3547

(E) The public employees retirement board may adopt rules to	3548
carry out this section.	3549

Sec. 145.39.  Whenever the limits established by section 415	3550
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	3551
U.S.C.A. 415, as amended, are raised, the public employees	3552
retirement board shall increase the amount of the pension,	3553
benefit, or allowance of any person whose pension, benefit, or	3554
allowance payable under section 145.323, 145.33, 145.331, 145.332,	3555
145.34, 145.36, or 145.361 of the Revised Code was limited by the	3556
application of section 415. The amount of the increased pension,	3557
benefit, or allowance shall not exceed the lesser of the amount	3558
the person would have received if the limits established by	3559
section 415 had not been applied or the amount the person is	3560
eligible to receive subject to the new limits established by	3561
section 415.	3562

Sec. 145.40.  (A)(1) Subject to the provisions of section	3563
145.57 of the Revised Code and except as provided in section	3564
145.402 of the Revised Code and division (B) of this section, if a	3565
member elects to become exempt from contribution to the public	3566
employees retirement system pursuant to section 145.03 of the	3567
Revised Code or ceases to be a public employee for any cause other	3568
than death, retirement, receipt of a disability benefit, or	3569
current employment in a position in which the member has elected	3570
to participate in an alternative retirement plan under section	3571
3305.05 or 3305.051 of the Revised Code, upon application the	3572
public employees retirement board shall pay the member the	3573
member's accumulated contributions, plus any applicable amount	3574
calculated under section 145.401 of the Revised Code, provided	3575
that both the following apply:	3576

(a) Three months have elapsed since the member's service	3577
subject to this chapter, other than service exempted from	3578
contribution pursuant to section 145.03 of the Revised Code, was	3579
terminated;	3580

(b) The member has not returned to service subject to this	3581
chapter, other than service exempted from contribution pursuant to	3582
section 145.03 of the Revised Code, during that three-month	3583
period.	3584

The payment of such accumulated contributions shall cancel	3585
the total service credit of such member in the public employees	3586
retirement system.	3587

(2) A member described in division (A)(1) of this section who	3588
is married at the time of application for payment and is eligible	3589
for age and service retirement under section 145.32, 145.33,	3590
145.331, 145.332, or 145.34 of the Revised Code or would be	3591
eligible for age and service retirement under any of those	3592
sections but for a forfeiture ordered under division (A) or (B) of	3593
section 2929.192 of the Revised Code shall submit with the	3594
application a written statement by the member's spouse attesting	3595
that the spouse consents to the payment of the member's	3596
accumulated contributions. Consent shall be valid only if it is	3597
signed and witnessed by a notary public.	3598

The board may waive the requirement of consent if the spouse	3599
is incapacitated or cannot be located, or for any other reason	3600
specified by the board. Consent or waiver is effective only with	3601
regard to the spouse who is the subject of the consent or waiver.	3602

(B) This division applies to any member who is employed in a	3603
position in which the member has made an election under section	3604
3305.05 or 3305.051 of the Revised Code and due to the election	3605
ceases to be a public employee for purposes of that position.	3606

Subject to section 145.57 of the Revised Code, the public	3607
employees retirement system shall do the following:	3608

(1) On receipt of a certified copy of a form evidencing an	3609
election under section 3305.05 or 3305.051 of the Revised Code,	3610
pay to the appropriate provider, in accordance with section	3611
3305.052 of the Revised Code, the amount described in section	3612
3305.052 of the Revised Code;	3613

(2) If a member has accumulated contributions, in addition to	3614
those subject to division (B)(1) of this section, standing to the	3615
credit of the member's individual account and is not otherwise	3616
employed in a position in which the member is considered a public	3617
employee for the purposes of that position, pay, to the provider	3618
the member selected pursuant to section 3305.05 or 3305.051 of the	3619
Revised Code, the member's accumulated contributions. The payment	3620
shall be made on the member's application.	3621

(C) Payment of a member's accumulated contributions under	3622
division (B) of this section cancels the member's total service	3623
credit in the public employees retirement system. A member whose	3624
accumulated contributions are paid to a provider pursuant to	3625
division (B) of this section is forever barred from claiming or	3626
purchasing service credit under the public employees retirement	3627
system for the period of employment attributable to those	3628
contributions.	3629

Sec. 145.401.  (A) As used in this section:

3630

(1) "Eligible contributions" means amounts contributed under	3631
section 145.47 of the Revised Code, amounts received from a member	3632
or transferred under division (C) of section 145.20 of the Revised	3633
Code as that section existed prior to the effective date of this	3634
amendment or former section 145.44 or section 145.20, 145.295,	3635
145.2911, 145.2915, 145.2916, or 145.302, or 145.44 of the Revised	3636
Code, and any interest credited under section 145.471 or 145.472	3637
of the Revised Code. "Eligible contributions" does not include	3638
contributions that were used in the payment of a disability	3639
benefit under section 145.36 of the Revised Code or, as provided	3640
in rules adopted by the board, were refunded to a member because	3641
the system was not authorized to accept the contributions.	3642

(2) "Service credit" means service credit earned for periods	3643
for which contributions were made under section 145.47 of the	3644
Revised Code and, if applicable, periods for which service credit	3645
was purchased or transferred under division (C) of section 145.20	3646
of the Revised Code as that section existed prior to the effective	3647
date of this amendment or former section 145.44 or section 145.20,	3648
145.295, 145.2911, 145.2915, 145.2916, or 145.302, or 145.44 of	3649
the Revised Code.	3650

(B) If a member has, or at the time of death had, at least	3651
five years of service credit, the public employees retirement	3652
board shall include the amount specified in division (B)(1) or (2)	3653
of this section in the amount payable under section 145.40 of the	3654
Revised Code to the member, or under division (B) of section	3655
145.43 of the Revised Code to a beneficiary or beneficiaries of	3656
the member, unless at the time of death the member was a	3657
disability benefit recipient. The amount specified in division	3658
(B)(1) or (2) of this section shall be paid from the employers'	3659
accumulation fund.	3660

(1) If the member has, or had at the time of death, at least	3661
five but less than ten years of service credit, the amount	3662
included shall be equal to thirty-three per cent of the member's	3663
eligible contributions.	3664

(2) If the member has, or had at the time of death, at least	3665
ten years of service credit, the amount included shall be equal to	3666
sixty-seven per cent of the member's eligible contributions.	3667

Sec. 145.41.  Membership shall cease upon refund of	3668
accumulated contributions, death, or retirement except as provided	3669
in section 145.362 of the Revised Code. A member who separates	3670
from service for any reason other than death or retirement or who	3671
otherwise ceases to be a public employee for any reason other than	3672
death or retirement may leave the member's accumulated	3673
contributions on deposit with the public employees retirement	3674
board and, for the purposes of the public employees retirement	3675
system, be considered on a membership leave of absence. The	3676
member's membership rights shall continue until the member has	3677
withdrawn the member's accumulated contributions, retired on a	3678
retirement allowance as provided in section 145.33, 145.331,	3679
145.332, or 145.34 of the Revised Code, or died. The account of	3680
such a member shall remain in the employees' savings fund, except	3681
that the account of a member who has less than five calendar years	3682
of contributing service credit or is a member of the state	3683
teachers retirement system or the school employees retirement	3684
system may be transferred to the income fund if by the end of the	3685
fifth calendar year following the calendar year in which the last	3686
contribution was received the member has not died, claimed a	3687
refund of contributions, or requested the retirement board to	3688
continue the member's membership on a leave of absence basis. In	3689
case such a member later requests a refund, the member's account	3690
shall be restored to the employees' savings account and refunded	3691
therefrom. Members on such leaves of absence shall retain all	3692
rights, obligations, and privileges of membership in the public	3693
employees retirement system. A "contributor," as defined in	3694
division (F) of section 145.01 of the Revised Code, who formerly	3695
lost membership through termination of membership leave of absence	3696
and who has not withdrawn the contributor's account shall be	3697
reinstated as a member with all the rights, privileges, and	3698
obligations of membership in the system. In no case shall a member	3699
on leave of absence as provided in this section add to the	3700
member's total number of years of service credit by reason of such	3701
leave of absence, unless such member was receiving benefits from	3702
the state insurance fund and by reason of such benefits qualified	3703
for additional service credit as provided in division (H) of	3704
section 145.01 of the Revised Code, or wasis eligible to and does	3705
make a payment as provided in section 145.291 of the Revised Code.	3706

Sec. 145.44.  Members of the public employees retirement	3707
system who, prior to the date membership was established in said	3708
system, were employed by the state or any of the several local	3709
authorities mentioned in section 145.01 of the Revised Code, which	3710
state or local authority has a local retirement system established	3711
under the laws of this state for its employees, shall be permitted	3712
to pay into the employees' savings fund of the public employees	3713
retirement system the amount, with interest as determined by the	3714
public employees retirement board, said members would have paid	3715
through regular salary deductions had they been members of the	3716
public employees retirement system continuously since January 1,	3717
1935.	3718

In case a given member did not enter the employ of the	3719
governmental unit having its own retirement system until a date	3720
subsequent to January 1, 1935, the payment shall be computed on	3721
the earnable salary earned from the date of appointment to the	3722
date membership was established in the public employees retirement	3723
system, provided such members have not received and are not	3724
eligible for benefits from the retirement system of said state or	3725
local governmental unit. By such payment such member shall become	3726
eligible for the benefits provided in division (A)(1)(a) of	3727
section 145.33, section 145.331, division (A)(1)(a) of section	3728
145.34, section 145.36, or section 145.361 of the Revised Code,	3729
and such member shall not become eligible for the other benefits	3730
provided by the remaining divisions of those sections until after	3731
such governmental unit has paid into the public employees	3732
retirement system fund the full liability, as determined by the	3733
actuary engaged by the board to cover such services and payments.	3734
If the governmental unit has not paid the full liability, the	3735
retirement system shall refund the amount paid by the member under	3736
this section. "Full liability" as used in this section means an	3737
amount which, when added to the payment made by the member, will	3738
provide the remaining portion of the pension reserve on such	3739
service.	3740

Sec. 145.45.  Except as provided in division (C)(1) of this	3741
section, in lieu of accepting the payment of the accumulated	3742
account of a member who dies before service retirement, a	3743
beneficiary, as determined in this section or section 145.43 of	3744
the Revised Code, may elect to forfeit the accumulated	3745
contributions and to substitute certain other benefits under	3746
division (A) or (B) of this section.	3747

(A)(1) If a deceased member was eligible for a service	3748
retirement benefit as provided in section 145.33, 145.331,	3749
145.332, or 145.34 of the Revised Code, a surviving spouse or	3750
other sole dependent beneficiary may elect to receive a monthly	3751
benefit computed as the joint-survivor benefit designated as "plan	3752
D" in section 145.46 of the Revised Code, which the member would	3753
have received had the member retired on the last day of the month	3754
of death and had the member at that time selected such	3755
joint-survivor plan. Payment shall begin with the month subsequent	3756
to the member's death, except that a surviving spouse who is less	3757
than sixty-five years old may defer receipt of such benefit. Upon	3758
receipt, the benefit shall be calculated based upon the spouse's	3759
age at the time of first payment, and shall accrue regular	3760
interest during the time of deferral.	3761

(2) Beginning on a date selected by the public employees	3762
retirement board, which shall be not later than July 1, 2004, a	3763
surviving spouse or other sole dependent beneficiary may elect, in	3764
lieu of a monthly payment under division (A)(1) of this section, a	3765
plan of payment consisting of both of the following:	3766

(a) A lump sum in an amount the surviving spouse or other	3767
sole dependent beneficiary designates that constitutes a portion	3768
of the allowance that would be payable under division (A)(1) of	3769
this section;	3770

(b) The remainder of that allowance in monthly payments.

3771

The total amount paid as a lump sum and a monthly benefit	3772
shall be the actuarial equivalent of the amount that would have	3773
been paid had the lump sum not been selected.	3774

The lump sum amount designated by the surviving spouse or	3775
other sole dependent beneficiary under division (A)(2)(a) of this	3776
section shall be not less than six times and not more than	3777
thirty-six times the monthly amount that would be payable to the	3778
surviving spouse or other sole dependent beneficiary under	3779
division (A)(1) of this section and shall not result in a monthly	3780
payment that is less than fifty per cent of that monthly amount.	3781

(B) If a deceased member had, except as provided in division	3782
(B)(7) of this section, at least one and one-half years of	3783
contributing service credit, with, except as provided in division	3784
(B)(7) of this section, at least one-quarter year of contributing	3785
service credit within the two and one-half years prior to the date	3786
of death, or was receiving at the time of death a disability	3787
benefit as provided in section 145.36, 145.361, or 145.37 of the	3788
Revised Code, qualified survivors who elect to receive monthly	3789
benefits shall receive the greater of the benefits provided in	3790
division (B)(1)(a) or (b) and (4) of this section as allocated in	3791
accordance with division (B)(5) of this section.	3792

	(1)(a) Number				Or		3793
	of Qualified				Monthly		3794
	survivors		Annual Benefit as a Per		Benefit		3795
	affecting		Cent of Decedent's Final		shall not be		3796
	the benefit		Average Salary		less than		3797
	1		25%		$250		3798
	2		40		400		3799
	3		50		500		3800
	4		55		500		3801
	5 or more		60		500		3802

	(b) Years of	Annual Benefit as a Per Cent		3803
	Service	of Member's Final Average		3804
		Salary		3805
	20	29%		3806
	21	33		3807
	22	37		3808
	23	41		3809
	24	45		3810
	25	48		3811
	26	51		3812
	27	54		3813
	28	57		3814
	29 or more	60		3815

(2) Benefits shall begin as qualified survivors meet	3816
eligibility requirements as follows:	3817

(a) A qualified spouse is the surviving spouse of the	3818
deceased member, who is age sixty-two, or regardless of age meets	3819
one of the following qualifications:	3820

(i) Except as provided in division (B)(7) of this section,	3821
the deceased member had ten or more years of Ohio service credit.	3822

(ii) The spouse is caring for a qualified child.

3823

(iii) The spouse is adjudged physically or mentally	3824
incompetent.	3825

A spouse of a member who died prior to August 27, 1970, whose	3826
eligibility was determined at the member's death, and who is	3827
physically or mentally incompetent on or after August 20, 1976,	3828
shall be paid the monthly benefit which that person would	3829
otherwise receive when qualified by age.	3830

(b) A qualified child is any child of the deceased member who	3831
has never been married and to whom one of the following applies:	3832

(i) Is under age eighteen, or under age twenty-two if the	3833
child is attending an institution of learning or training pursuant	3834
to a program designed to complete in each school year the	3835
equivalent of at least two-thirds of the full-time curriculum	3836
requirements of such institution and as further determined by	3837
board policy;	3838

(ii) Regardless of age, is adjudged physically or mentally	3839
incompetent at the time of the member's death.	3840

(c) A qualified parent is a dependent parent aged sixty-five	3841
or older or regardless of age if physically or mentally	3842
incompetent, a dependent parent whose eligibility was determined	3843
by the member's death prior to August 20, 1976, and who is	3844
physically or mentally incompetent on or after August 20, 1976,	3845
shall be paid the monthly benefit for which that person would	3846
otherwise qualify.	3847

(3) "Physically or mentally incompetent" as used in this	3848
section may be determined by a court of jurisdiction, or by a	3849
physician appointed by the retirement board. Incapability of	3850
making a living because of a physically or mentally disabling	3851
condition shall meet the qualifications of this division.	3852

(4) Benefits to a qualified survivor shall terminate upon	3853
ceasing to meet eligibility requirements as provided in this	3854
division, a first marriage, abandonment, adoption, or during	3855
active military service. Benefits to a deceased member's surviving	3856
spouse that were terminated under a former version of this section	3857
that required termination due to remarriage and were not resumed	3858
prior to September 16, 1998, shall resume on the first day of the	3859
month immediately following receipt by the board of an application	3860
on a form provided by the board.	3861

Upon the death of any subsequent spouse who was a member of	3862
the public employees retirement system, state teachers retirement	3863
system, or school employees retirement system, the surviving	3864
spouse of such member may elect to continue receiving benefits	3865
under this division, or to receive survivor's benefits, based upon	3866
the subsequent spouse's membership in one or more of the systems,	3867
for which such surviving spouse is eligible under this section or	3868
section 3307.66 or 3309.45 of the Revised Code. If the surviving	3869
spouse elects to continue receiving benefits under this division,	3870
such election shall not preclude the payment of benefits under	3871
this division to any other qualified survivor.	3872

Benefits shall begin or resume on the first day of the month	3873
following the attainment of eligibility and shall terminate on the	3874
first day of the month following loss of eligibility.	3875

(5)(a) If a benefit is payable under division (B)(1)(a) of	3876
this section, benefits to a qualified spouse shall be paid in the	3877
amount determined for the first qualifying survivor in division	3878
(B)(1)(a) of this section. All other qualifying survivors shall	3879
share equally in the benefit or remaining portion thereof.	3880

(b) All qualifying survivors shall share equally in a benefit	3881
payable under division (B)(1)(b) of this section, except that if	3882
there is a surviving spouse, the surviving spouse shall receive	3883
not less than the amount determined for the first qualifying	3884
survivor in division (B)(1)(a) of this section.	3885

(6) The beneficiary of a member who is also a member of the	3886
state teachers retirement system or of the school employees	3887
retirement system, must forfeit the member's accumulated	3888
contributions in those systems and in the public employees	3889
retirement system, if the beneficiary takes a survivor benefit.	3890
Such benefit shall be exclusively governed by section 145.37 of	3891
the Revised Code.	3892

(7) The following restrictions do not apply if the deceased	3893
member was contributing toward benefits under division (B) or (C)	3894
of section 145.33145.332 of the Revised Code at the time of	3895
death:	3896

(a) That the deceased member have had at least one and	3897
one-half years of contributing service credit, with at least	3898
one-quarter year of contributing service within the two and	3899
one-half years prior to the date of death;	3900

(b) If the deceased member was killed in the line of duty,	3901
that the deceased member have had ten or more years of Ohio	3902
service credit as described in division (B)(2)(a)(i) of this	3903
section.	3904

For the purposes of division (B)(7)(b) of this section,	3905
"killed in the line of duty," means either that death occurred in	3906
the line of duty or that death occurred as a result of injury	3907
sustained in the line of duty.	3908

(C)(1) Regardless of whether the member is survived by a	3909
spouse or designated beneficiary, if the public employees	3910
retirement system receives notice that a deceased member described	3911
in division (A) or (B) of this section has one or more qualified	3912
children, all persons who are qualified survivors under division	3913
(B) of this section shall receive monthly benefits as provided in	3914
division (B) of this section.	3915

If, after determining the monthly benefits to be paid under	3916
division (B) of this section, the system receives notice that	3917
there is a qualified survivor who was not considered when the	3918
determination was made, the system shall, notwithstanding section	3919
145.561 of the Revised Code, recalculate the monthly benefits with	3920
that qualified survivor included, even if the benefits to	3921
qualified survivors already receiving benefits are reduced as a	3922
result. The benefits shall be calculated as if the qualified	3923
survivor who is the subject of the notice became eligible on the	3924
date the notice was received and shall be paid to qualified	3925
survivors effective on the first day of the first month following	3926
the system's receipt of the notice.	3927

If the retirement system did not receive notice that a	3928
deceased member has one or more qualified children prior to making	3929
payment under section 145.43 of the Revised Code to a beneficiary	3930
as determined by the retirement system, the payment is a full	3931
discharge and release of the system from any future claims under	3932
this section or section 145.43 of the Revised Code.	3933

(2) If benefits under division (C)(1) of this section to all	3934
persons, or to all persons other than a surviving spouse or other	3935
sole beneficiary, terminate, there are no children under the age	3936
of twenty-two years, and the surviving spouse or beneficiary	3937
qualifies for benefits under division (A) of this section, the	3938
surviving spouse or beneficiary may elect to receive benefits	3939
under division (A) of this section. The benefits shall be	3940
effective on the first day of the month immediately following the	3941
termination.	3942

(D) The final average salary used in the calculation of a	3943
benefit payable pursuant to division (A) or (B) of this section to	3944
a survivor or beneficiary of a disability benefit recipient shall	3945
be adjusted for each year between the disability benefit's	3946
effective date and the recipient's date of death by the lesser of	3947
three per cent or the actual average percentage increase in the	3948
consumer price index prepared by the United States bureau of labor	3949
statistics (U.S. city average for urban wage earners and clerical	3950
workers: "all items 1982-84=100").	3951

(E) If the survivor benefits due and paid under this section	3952
are in a total amount less than the member's accumulated account	3953
that was transferred from the public employees' savings fund to	3954
the survivors' benefit fund, then the difference between the total	3955
amount of the benefits paid shall be paid to the beneficiary under	3956
section 145.43 of the Revised Code.	3957

Sec. 145.452. Upon the death of a member prior to receipt of	3958
service retirementThe surviving spouse of a member who dies on or	3959
after the effective date of this amendment shall have the right to	3960
continue to purchase any service credit the member initiated	3961
before death. A purchase shall be considered to have been	3962
initiated before the member's death if the member made one or more	3963
payments for the purchase before the member's death.	3964

Until one year after the effective date of this amendment,	3965
the surviving spouse or dependentsqualified survivor of the	3966
deceaseda member who died before the effective date of this	3967
amendment shall have the right to purchase any service credit the	3968
member, had the member not died, would have been eligible to	3969
purchase under this chapter upon the same terms and conditions	3970
that the deceased member could have purchased such service credit	3971
had the member not died. Any	3972

Any service credit purchased under this section shall be	3973
applied under the provisions of this chapter in the same manner as	3974
it would have been applied had it been purchased by the deceased	3975
member during the deceased member's lifetime.	3976

Sec. 145.462.  As used in this section, "benefit" means any	3977
allowance, pension, or other benefit to which an individual is	3978
entitled and that hethe individual receives pursuant to section	3979
145.32, 145.33, 145.332, 145.34, 145.36, 145.37, 145.45, or 145.46	3980
of the Revised Code.	3981

The annual amount of each benefit which was payable prior to	3982
February 1, 1984, shall, after the adjustment required by section	3983
145.323 of the Revised Code, be increased by five per cent.	3984

Sec. 145.47.  (A) Each public employee who is a contributor	3985
to the public employees retirement system shall contribute eight	3986
per cent of the contributor's earnable salary to the employees'	3987
savings fund, except that the public employees retirement board	3988
may raise the contribution rate to a rate not greater than ten per	3989
cent of the employee's earnable salary.	3990

(B) The head of each state department, institution, board,	3991
and commission, and the fiscal officer of each local authority	3992
subject to this chapter, shall deduct from the earnable salary of	3993
each contributor on every payroll of such contributor for each	3994
payroll period subsequent to the date of coverage, an amount equal	3995
to the applicable per cent of the contributor's earnable salary.	3996
The head of each state department and the fiscal officer of each	3997
local authority subject to this chapter shall transmit promptly to	3998
the system a report of contributions at such intervals and in such	3999
form as the system shall require, showing thereon all deductions	4000
for the system made from the earnable salary of each contributor	4001
employed, together with warrants, checks, or electronic payments	4002
covering the total of such deductions. A penalty shall be added	4003
when such report, together with warrants, checks, or electronic	4004
payments to cover the total amount due from the earnable salary of	4005
all amenable employees of such employer, is filed thirty or more	4006
days after the last day of such reporting period. The system,	4007
after making a record of all receipts under this division, shall	4008
deposit the receipts with the treasurer of state for use as	4009
provided by this chapter.	4010

(C) Unless the board adopts a rule under division (D) of this	4011
section, the penalty described in division (B) of this section for	4012
failing to timely transmit a report, pay the total amount due, or	4013
both is as follows:	4014

(1) At least one but not more than ten days past due, an	4015
amount equal to one per cent of the total amount due;	4016

(2) At least eleven but not more than thirty days past due,	4017
an amount equal to two and one-half per cent of the total amount	4018
due;	4019

(3) Thirty-one or more days past due, an amount equal to five	4020
per cent of the total amount due.	4021

The penalty described in this division shall be added to and	4022
collected on the next succeeding regular employer billing.	4023
Interest at a rate set by the retirement board shall be charged on	4024
the amount of the penalty in case such penalty is not paid within	4025
thirty days after it is added to the regular employer billing.	4026

(D) The board may adopt rules to establish penalties in	4027
amounts that do not exceed the amounts specified in divisions	4028
(C)(1) to (3) of this section.	4029

(E) In addition to the periodical reports of deduction	4030
required by this section, the fiscal officer of each local	4031
authority subject to this chapter shall submit to the system at	4032
least once each year a complete listing of all noncontributing	4033
appointive employees. Where an employer fails to transmit	4034
contributions to the system, the system may make a determination	4035
of the employees' liability for contributions and certify to the	4036
employer the amounts due for collection in the same manner as	4037
payments due the employers' accumulation fund. Any amounts so	4038
collected shall be held in trust pending receipt of a report of	4039
contributions for such public employees for the period involved as	4040
provided by law and, thereafter, the amount in trust shall be	4041
transferred to the employees' savings fund to the credit of the	4042
employees. Any amount remaining after the transfer to the	4043
employees' savings fund shall be transferred to the employers'	4044
accumulation fund as a credit of such employer.	4045

(F) The fiscal officer of each local authority subject to	4046
this chapter shall require each new contributor to submit to the	4047
system a detailed report of all the contributor's previous service	4048
as a public employee along with such other facts as the board	4049
requires for the proper operation of the system.	4050

(G) Any member who, because of the member's own illness,	4051
injury, or other reason which may be approved by the member's	4052
employer is prevented from making the member's contribution to the	4053
system for any payroll period, may pay such deductions as a back	4054
paymentpurchase service credit for the period of absence within	4055
one year. Credit shall be purchased under this division in	4056
accordance with section 145.29 of the Revised Code.	4057

Sec. 145.48.  (A) Each employer shall pay to the public	4058
employees retirement system an amount that shall be a certain per	4059
cent of the earnable salary of all contributors to be known as the	4060
"employer contribution," except that the public employees	4061
retirement board may raise the employer contribution to a rate not	4062
to exceed fourteen per cent of the earnable salaries of all	4063
contributors.	4064

(B)(1) On the basis of regular interest and of such mortality	4065
and other tables as are adopted by the public employees retirement	4066
board, the actuary for the board shall determine the liabilities	4067
and employer rates of contribution as follows:	4068

(a) The percentage of earnable salary that, when added to the	4069
per cent of earnable salary contributed by each member, will cover	4070
the costs of benefits to be paid to members for each year of	4071
service rendered;	4072

(b) The percentage of earnable salary that, if paid over a	4073
period of future years, will discharge fully the system's unfunded	4074
actuarial accrued pension liability;	4075

(c) The percentage of earnable salary designated by the board	4076
to pay benefits authorized under section 145.58 of the Revised	4077
Code.	4078

(2) If recognized assets exceed the liabilities for service	4079
previously rendered, on approval of the board, a percentage of	4080
earnable salary may be deducted from the employer rates of	4081
contribution that, if deducted annually over a period of future	4082
years, will eliminate the excess.	4083

(C) Any publicly owned utility that became subject to this	4084
chapter subsequent to July 1, 1938, shall assume before January 1,	4085
1967, the obligation to pay those of its employees entitled to any	4086
prior service credit a pension for such service that is in an	4087
amount at least equal to the pension provided for other public	4088
employees under this chapter. No employers' contributions for	4089
prior service credit shall be required of such publicly owned	4090
utility. The public employees retirement system has no obligation	4091
to pay a prior service pension to any such employees of a publicly	4092
owned utility, nor is it obligated to grant any service credit for	4093
service with such utility prior to May 1, 1942, or prior to the	4094
date such utility became subject to this chapter, whichever is the	4095
later date.	4096

Sec. 145.483.  Upon a finding that an employer failed to	4097
deduct contributions pursuant to section 145.47 of the Revised	4098
Code during a period of employment for which such contributions	4099
were required, a statement of delinquent contributions shall be	4100
prepared showing the amount the contributor and employer would	4101
have contributed had regular payroll deductions been taken. Simple	4102
interest from the end of each calendar year at a rate set by the	4103
public employees retirement boardequal to the assumed actuarial	4104
rate of interest at the time the statement is prepared shall be	4105
included. If delinquent contribution statements are not paid not	4106
later than thirty days after the end of the month in which they	4107
become an obligation of the employer, any balance remaining shall	4108
be collected with penalties and interest pursuant to section	4109
145.51 of the Revised Code.	4110

Any amount paid under this section by an employer shall be	4111
credited in accordance with section 145.23 of the Revised Code.	4112

Sec. 145.49. (A) Notwithstanding section 145.47 of the	4113
Revised Code:	4114

(1) The public employees retirement system shall be	4115
authorized to calculate the employee contribution rates separately	4116
for those public employees contributing toward benefits as PERS	4117
public safety officers under section 145.33145.332 of the Revised	4118
Code.	4119

(2) Each public employee contributing toward benefits as PERS	4120
law enforcement officers under section 145.33145.332 of the	4121
Revised Code shall contribute to the employees' savings fund the	4122
rate determined under division (A)(1) of this section plus an	4123
additional percentage specified by the public employees retirement	4124
board, which shall initially be one per cent of the employee's	4125
earnable salary and shall not be increased to more than two per	4126
cent of the employee's earnable salary.	4127

(B) Notwithstanding section 145.48 of the Revised Code, the	4128
public employees retirement system shall be authorized to	4129
calculate the employer contribution rates separately for those	4130
public employees contributing toward benefits as PERS public	4131
safety officers under section 145.33145.332 of the Revised Code	4132
or as PERS law enforcement officers under that section, except	4133
that the employer contribution rate shall not exceed eighteen and	4134
one-tenth per cent of the earnable salaries of those employees.	4135

Sec. 145.51. (A) Each employer described in division (D) of	4136
section 145.01 of the Revised Code shall pay into the employers'	4137
accumulation fund, in monthly installments, an amount certified by	4138
the public employees retirement board, which equals the employer	4139
obligation as described in section 145.12 or 145.69 of the Revised	4140
Code. In addition, the board shall add to the employer billing	4141
next succeeding the amount, with interest, to be paid by the	4142
employer to provide the member with contributing service credit	4143
for the service prior to the date of initial contribution to the	4144
system for which the member has made additional payments, except	4145
payments made pursuant to former section 145.29 or sections 145.28	4146
and 145.29145.292 of the Revised Code.	4147

(B) Except as provided in section 145.52 of the Revised Code,	4148
all employer obligations described in division (A) of this section	4149
must be received by the public employees retirement system not	4150
later than the thirtieth day after the last day of the calendar	4151
month for which related member contributions are withheld.	4152

(C) Unless the board adopts a rule under division (F) of this	4153
section establishing a different interest rate or penalty,	4154
interest and penalties for failing to pay the employer obligation	4155
when due under division (B) of this section shall be as follows:	4156

(1) Interest, compounded annually and charged monthly, for	4157
each day after the due date that the employer obligation remains	4158
unpaid in an amount equal to six per cent per annum of the past	4159
due amount of the employer obligation and any penalties imposed	4160
under this section;	4161

(2) The penalty for failing to pay the employer obligation	4162
when due under division (B) is as follows:	4163

(a) At least eleven but not more than thirty days past due,	4164
an amount equal to one per cent of the past due obligation;	4165

(b) At least thirty-one but not more than sixty days past	4166
due, an additional amount equal to one and one-half per cent of	4167
the past due obligation;	4168

(c) Sixty-one or more days past due, an additional amount	4169
equal to two and one-half per cent of the past due obligation.	4170

(D) The aggregate of all payments by employers under this	4171
section shall be sufficient, when combined with the amount in the	4172
employers' accumulation fund, to provide amounts payable under	4173
this chapter out of the fund, and if not, the additional amount so	4174
required shall be collected by means of an increased rate per	4175
cent, which shall be certified to such employers by the board.	4176

(E) Upon certification by the board to the director of budget	4177
and management, or to the county auditor, of an amount due from an	4178
employer within any county who is subject to this chapter, by	4179
reason of such employer's delinquency in making payments into the	4180
employers' accumulation fund for past billings, such amount shall	4181
be withheld from such employer from any funds subject to the	4182
control of the director or the county auditor to such employer and	4183
shall be paid to the public employees retirement system.	4184

(F) The board may adopt rules to do any of the following:

4185

(1) Establish interest at a rate that does not exceed the	4186
annual rate described in division (C)(1) of this section;	4187

(2) Establish penalties in amounts that do not exceed the	4188
amounts described in division (C)(2) of this section;	4189

(3) Permit the board to lengthen the periods of time or enter	4190
into repayment agreements for employers to comply with divisions	4191
(B) and (C) of this section.	4192

Sec. 145.54.  The public employees retirement board shall	4193
estimate annually the amount required to defray the expenses of	4194
the administration of the public employees retirement system in	4195
the ensuing year. If in the judgment of the board, as evidenced by	4196
a resolution of that board in its minutes, the amount in the	4197
income fund exceeds the amount necessary to cover the ordinary	4198
requirements of that fund, the board may transfer to the expense	4199
fund such excess amount not exceeding the entire amount required	4200
to cover the expenses as estimated for the year. TheIf the amount	4201
in the expense fund, including any amount transferred from the	4202
income fund, is not sufficient to defray the expenses of	4203
administration of the system in the ensuing year, the board may	4204
then apportiontransfer any remaining amount required for the	4205
expense fund for the year then current among contributors. The	4206
amount so apportioned in any year shall not exceed three dollars	4207
per contributorto that fund from the employer's accumulation	4208
fund.	4209

Sec. 145.56.  The right of an individual to a pension, an	4210
annuity, or a retirement allowance itself, the right of an	4211
individual to any optional benefit, any other right accrued or	4212
accruing to any individual, under this chapter, or under any	4213
municipal retirement system established subject to this chapter	4214
under the laws of this state or any charter, the various funds	4215
created by this chapter, or under such municipal retirement	4216
system, and all moneys, investments, and income from moneys or	4217
investments are exempt from any state tax, except the tax imposed	4218
by section 5747.02 of the Revised Code and are exempt from any	4219
county, municipal, or other local tax, except taxes imposed	4220
pursuant to section 5748.02 or 5748.08 of the Revised Code and,	4221
except as provided in sections 145.57, 145.572, 145.573, 3105.171,	4222
3105.65, and 3115.32 and Chapters 3119., 3121., 3123., and 3125.	4223
of the Revised Code, shall not be subject to execution,	4224
garnishment, attachment, the operation of bankruptcy or insolvency	4225
laws, or other process of law whatsoever, and shall be	4226
unassignable except as specifically provided in this chapter and	4227
sections 3105.171, 3105.65, and 3115.32 and Chapters 3119., 3121.,	4228
3123., and 3125. of the Revised Code.	4229

Sec. 145.561. The(A) Except as provided in division (B) of	4230
this section and section 145.363 or 145.573 of the Revised Code,	4231
the granting of a retirement allowance, annuity, pension, or other	4232
benefit to any person pursuant to action of the public employees	4233
retirement board vests a right in such person, so long as hethe	4234
person remains the recipient of any benefit of the funds	4235
established by section 145.23 of the Revised Code, to receive such	4236
retirement allowance, annuity, pension, or other benefit at the	4237
rate fixed at the time of granting such retirement allowance,	4238
annuity, pension, or other benefit. Such right shall also be	4239
vested with equal effect in the recipient of a grant heretofore	4240
made from any of the funds named in section 145.23 of the Revised	4241
Code.	4242

(B) This section does not apply to an increase made under	4243
section 145.323 of the Revised Code on or after the effective date	4244
of this amendment.	4245

Sec. 145.563. If theNotwithstanding section 145.561 of the	4246
Revised Code, if any person who is a member, former member,	4247
contributor, former contributor, retirant, beneficiary, or	4248
alternate payee, as defined in section 3105.80 of the Revised	4249
Code, is paid any benefit or payment by the public employees	4250
retirement system, including any payment made to a third party on	4251
the person's behalf, to which the person is not entitled, the	4252
benefit or payment shall be repaid to the retirement system by the	4253
person or third party. If the person or third party fails to make	4254
the repayment, the retirement system shall withhold the amount or	4255
a portion of the amount due from any benefit or payment due the	4256
person or the person's beneficiary under this chapter, or may	4257
collect the amount in any other manner provided by law.	4258

Sec. 145.573.  Notwithstanding any other provision of this	4259
chapter, any right of a member of the public employees retirement	4260
system to a disability benefit is subject to a forfeiture order	4261
issued under section 2929.193 of the Revised Code.	4262

If the retirement system receives notice under section	4263
2901.431 of the Revised Code that felony charges have been filed	4264
against a member, the retirement system shall not grant the member	4265
a disability benefit unless it determines that the member's	4266
disability was not caused by commission of the felony. If the	4267
member has disability coverage under this chapter or was granted a	4268
disability benefit after the date on which the felony was	4269
committed, the retirement system shall notify the prosecutor who	4270
sent the notice under section 2901.431 of the Revised Code that	4271
the member may be subject to an order of forfeiture under section	4272
2929.193 of the Revised Code.	4273

On receipt under section 2929.193 of the Revised Code of a	4274
journal entry showing an order of forfeiture of any right a member	4275
may have to a disability benefit, the retirement system shall	4276
comply with the order. If a disability benefit was granted prior	4277
to receipt of the order, the retirement system shall terminate the	4278
benefit. Any disability benefit paid to the member prior to its	4279
termination may be recovered in accordance with section 145.563 of	4280
the Revised Code.	4281

Neither this section nor section 2929.193 of the Revised Code	4282
precludes a member from withdrawing the member's accumulated	4283
contributions in accordance with section 145.40 of the Revised	4284
Code if the member is not subject to section 145.572 of the	4285
Revised Code.	4286

Sec. 145.58.  (A) As used in this section, "ineligible	4287
individual" means all of the following:	4288

(1) A former member receiving benefits pursuant to section	4289
145.32, 145.33, 145.331, 145.332, 145.34, or 145.46 of the Revised	4290
Code for whom eligibility is established more than five years	4291
after June 13, 1981, and who, at the time of establishing	4292
eligibility, has accrued less than ten years' service credit,	4293
exclusive of credit obtained pursuant to section 145.297 or	4294
145.298 of the Revised Code, credit obtained under section 145.37,	4295
145.295, 145.2911, or 145.2913 of the Revised Code for service	4296
under another retirement system, credit obtained after January 29,	4297
1981, pursuant to section 145.293 or 145.301 of the Revised Code,	4298
and credit obtained after May 4, 1992, pursuant to section 145.28	4299
of the Revised Code;	4300

(2) The spouse of the former member;

4301

(3) The beneficiary of the former member receiving benefits	4302
pursuant to section 145.46 of the Revised Code.	4303

(B) The public employees retirement board may enter into	4304
agreements with insurance companies, health insuring corporations,	4305
or government agencies authorized to do business in the state for	4306
issuance of a policy or contract of health, medical, hospital, or	4307
surgical benefits, or any combination thereof, for those	4308
individuals receiving age and service retirement or a disability	4309
or survivor benefit subscribing to the plan, or for PERS retirants	4310
employed under section 145.38 of the Revised Code, for coverage of	4311
benefits in accordance with division (D)(C)(2) of section 145.38	4312
of the Revised Code. Notwithstanding any other provision of this	4313
chapter, the policy or contract may also include coverage for any	4314
eligible individual's spouse and dependent children and for any of	4315
the individual's sponsored dependents as the board determines	4316
appropriate. If all or any portion of the policy or contract	4317
premium is to be paid by any individual receiving age and service	4318
retirement or a disability or survivor benefit, the individual	4319
shall, by written authorization, instruct the board to deduct the	4320
premium agreed to be paid by the individual to the company,	4321
corporation, or agency. Service credit obtained under section	4322
145.295, 145.2911, 145.2913, or 145.37 of the Revised Code for	4323
service under another retirement system shall not be used in	4324
determining the amount of the premium.	4325

The board may contract for coverage on the basis of part or	4326
all of the cost of the coverage to be paid from appropriate funds	4327
of the public employees retirement system. The cost paid from the	4328
funds of the system shall be included in the employer's	4329
contribution rate provided by sections 145.48 and 145.51 of the	4330
Revised Code. The board may by rule provide coverage to ineligible	4331
individuals if the coverage is provided at no cost to the	4332
retirement system. The board shall not pay or reimburse the cost	4333
for coverage under this section or section 145.325145.584 of the	4334
Revised Code for any ineligible individual.	4335

The board may provide for self-insurance of risk or level of	4336
risk as set forth in the contract with the companies,	4337
corporations, or agencies, and may provide through the	4338
self-insurance method specific benefits as authorized by rules of	4339
the board.	4340

(C) The board shall, beginning the month following receipt of	4341
satisfactory evidence of the payment for coverage, pay monthly to	4342
each recipient of service retirement, or a disability or survivor	4343
benefit under the public employees retirement system who is	4344
eligible for medical insurance coverage under part B of Title	4345
XVIII of "The Social Security Act," 79 Stat. 301 (1965), 42	4346
U.S.C.A. 1395j, as amended, an amount determined by the board for	4347
such coverage that is not less than ninety-six dollars and forty	4348
cents, except that the board shall make no such payment to any	4349
ineligible individual or pay an amount that exceeds the amount	4350
paid by the recipient for the coverage.	4351

At the request of the board, the recipient shall certify to	4352
the retirement system the amount paid by the recipient for	4353
coverage described in this division.	4354

(D) The board shall establish by rule requirements for the	4355
coordination of any coverage, payment, or benefit provided under	4356
this section or section 145.325145.584 of the Revised Code with	4357
any similar coverage, payment, or benefit made available to the	4358
same individual by the Ohio police and fire pension fund, state	4359
teachers retirement system, school employees retirement system, or	4360
state highway patrol retirement system.	4361

(E) The board shall make all other necessary rules pursuant	4362
to the purpose and intent of this section.	4363

Sec. 145.325.        Sec. 145.584.  (A) Except as otherwise provided in	4364
division (B) of this section, the board of the public employees	4365
retirement system shall make available to each retirant or	4366
disability benefit recipient receiving a monthly allowance or	4367
benefit on or after January 1, 1968, who has attained the age of	4368
sixty-five years, and who is not eligible to receive hospital	4369
insurance benefits under the federal old age, survivors, and	4370
disability insurance program, hospital insurance coverage	4371
substantially equivalent to the federal hospital insurance	4372
benefits, Social Security Amendments of 1965, 79 Stat. 291, 42	4373
U.S.C.A. 1395c, as amended. This coverage shall also be made	4374
available to the spouse, widow, or widower of such retirant or	4375
disability benefit recipient provided such spouse, widow, or	4376
widower has attained age sixty-five and is not eligible to receive	4377
hospital insurance benefits under the federal old age, survivors,	4378
and disability insurance program. The widow or widower of a	4379
retirant or disability benefit recipient shall be eligible for	4380
such coverage only if he or she is the recipient of a monthly	4381
allowance or benefit from this system. One-half of the cost of the	4382
premium for the spouse shall be paid from the appropriate funds of	4383
the public employees retirement system and one-half by the	4384
recipient of the allowance or benefit.	4385

The cost of such coverage, paid from the funds of the system,	4386
shall be included in the employer's rate provided by section	4387
145.48 of the Revised Code. The retirement board is authorized to	4388
make all necessary rules pursuant to the purpose and intent of	4389
this section, and shall contract for such coverage as provided in	4390
section 145.58 of the Revised Code.	4391

(B) The board need not make the hospital insurance coverage	4392
described in division (A) of this section available to any person	4393
for whom it is prohibited by section 145.58 of the Revised Code	4394
from paying or reimbursing the premium cost of such insurance.	4395

Sec. 145.82.  (A) Except as provided in divisions (B) and (C)	4396
of this section, sections 145.201 to 145.70 of the Revised Code do	4397
not apply to a PERS defined contribution plan, except that a PERS	4398
defined contribution plan may incorporate provisions of those	4399
sections as specified in the plan document.	4400

(B) The following sections of Chapter 145. of the Revised	4401
Code apply to a PERS defined contribution plan: 145.22, 145.221,	4402
145.23, 145.25, 145.26, 145.27, 145.296, 145.38, 145.382, 145.383,	4403
145.384, 145.391, 145.47, 145.48, 145.483, 145.51, 145.52, 145.53,	4404
145.54, 145.55, 145.56, 145.563, 145.57, 145.571, 145.572,	4405
145.573, 145.69, and 145.70 of the Revised Code.	4406

(C) A PERS defined contribution plan that includes definitely	4407
determinable benefits may incorporate by reference all or part of	4408
sections 145.201 to 145.79 of the Revised Code to allow a member	4409
participating in the plan to purchase service credit or to be	4410
eligible for any of the following:	4411

(1) Retirement, disability, survivor, or death benefits;

4412

(2) Health or long-term care insurance or any other type of	4413
health care benefit;	4414

(3) Additional increases under section 145.323 of the Revised	4415
Code;	4416

(4) A refund of contributions made by or on behalf of a	4417
member.	4418

With respect to the benefits described in division (C)(1) of	4419
this section, the public employees retirement board may establish	4420
eligibility requirements and benefit formulas or amounts that	4421
differ from those of members participating in the PERS defined	4422
benefit plan. With respect to the purchase of service credit by a	4423
member participating in a PERS defined contribution plan, the	4424
board may reduce the cost of the service credit to reflect the	4425
different benefit formula established for the member.	4426

Sec. 145.87.  For each member participating in a PERS defined	4427
contribution plan, the public employees retirement system shall	4428
may transfer to the employers' accumulation fund a portion of the	4429
employer contribution required under section 145.48 of the Revised	4430
Code. TheIf the public employees retirement board elects to make	4431
a transfer under this section, the portion transferred shall equal	4432
not exceed the percentage of earnable salary of members for whom	4433
the contributions are being made that is determined by an actuary	4434
appointed by the public employees retirement board to be necessary	4435
to mitigate any negative financial impact on the system of	4436
members' participation in a plan.	4437

The board shall have prepared annuallymay have prepared, at	4438
intervals determined by the board, an actuarial study to determine	4439
whether the percentage transferreda transfer under this section	4440
should be changedis necessary to reflect a change in the level of	4441
negative financial impact resulting from members' participation in	4442
a plan. The percentage transferred, if any, shall be increased or	4443
decreased to reflect the amount needed to mitigate the negative	4444
financial impact, if any, on the system, as determined by the	4445
study. A change in the percentage transferred shall take effect on	4446
the first day of the year following the date the conclusions of	4447
the study are reported to the board.	4448

TheIf a transfer under this section is made, the system	4449
shall make the transfer required under this section until the	4450
unfunded actuarial accrued liability for all benefits, except	4451
health care benefits provided under section 145.325 or 145.58 or	4452
145.584 of the Revised Code and benefit increases to members and	4453
former members participating in the PERS defined benefit plan	4454
granted after September 21, 2000, is fully amortized, as	4455
determined by the annual actuarial valuation prepared under	4456
section 145.22 of the Revised Code.	4457

Sec. 145.92.  If a member participating in a PERS defined	4458
contribution plan is married at the time benefits under the plan	4459
are to commence, unless the spouse consents to another plan of	4460
payment or the spouse's consent is waived, the member's retirement	4461
allowancebenefit under the plan shall be paid in a lesser amount	4462
payable for life and one-half of the allowancethat amount	4463
continuing after death to the surviving spouse for the life of the	4464
spouse.	4465

Consent is valid only if it is evidenced by a written	4466
document signed by the spouse and the signature is witnessed by a	4467
notary public. A plan may waive the requirement of consent if the	4468
spouse is incapacitated or cannot be located or for any other	4469
reason specified by the plan or in rules adopted by the public	4470
employees retirement board.	4471

A plan shall waive the requirement of consent if a plan of	4472
payment that provides for payment in a specified portion of the	4473
retirement allowance continuing after the member's death to a	4474
former spouse is required by a court order issued under section	4475
3105.171 or 3105.65 of the Revised Code or laws of another state	4476
regarding division of marital property prior to the effective date	4477
of the member's retirement. If a court order requires this plan of	4478
payment, the member shall be required to annuitize the member's	4479
accumulated amounts in accordance with the order. If the member is	4480
married, the plan of payment selected by the member also shall	4481
provide for payment to the member's current spouse, unless the	4482
current spouse consents in writing to not being designated a	4483
beneficiary under the plan of payment or the current spouse's	4484
consent is waived by reason other than the court order.	4485

Consent or waiver is effective only with regard to the spouse	4486
who is the subject of the consent or waiver.	4487

Sec. 145.95. (A) Subject to division (B) of this section and	4488
sections 145.38, 145.56, 145.57, and 145.572, and 145.573 of the	4489
Revised Code, the right of a member participating in a PERS	4490
defined contribution plan to any payment or benefit accruing from	4491
contributions made by or on behalf of the member under sections	4492
145.85 and 145.86 of the Revised Code shall vest in accordance	4493
with this section.	4494

A member's right to any payment or benefit that is based on	4495
the member's contributions is nonforfeitable.	4496

A member's right to any payment or benefit that is based on	4497
contributions by the member's employer is nonforfeitable as	4498
specified by the plan selected by the member.	4499

(B) This section does not apply to an increase made under	4500
section 145.323 of the Revised Code on or after the effective date	4501
of this amendment.	4502

Sec. 145.97.  Each PERS defined contribution plan shall	4503
permit a member participating in the plan to do all of the	4504
following:	4505

(A) Maintain on deposit with the public employees retirement	4506
system, or the entity administering the plan pursuant to a	4507
contract with the public employees retirement board, any amounts	4508
that have accumulated on behalf of the member;	4509

(B) If the member has withdrawn the amounts described in	4510
division (A) of this section, returns to employment covered under	4511
this chapter, and is participating in a plan that includes	4512
definitely determinable benefits, pay to the system the amounts	4513
withdrawn in accordance with rules adopted under section 145.31	4514
145.80 of the Revised Code;	4515

(C) Make additional deposits as permitted by the "Internal	4516
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended.	4517

Sec. 742.01.  As used in this chapter:

4518

(A)(1) "Police department" means the police department of a	4519
municipal corporation.	4520

(2) "Member of a police department" means any of the	4521
following:	4522

(a) Any person who receives an original appointment as a	4523
full-time regular police officer in a police department from a	4524
duly established civil service eligible list or pursuant to	4525
section 124.411 of the Revised Code, or who is described in	4526
section 742.511 of the Revised Code, or who transfers from the	4527
public employees retirement system to the Ohio police and fire	4528
pension fund pursuant to section 742.513 of the Revised Code, or	4529
who is appointed pursuant to section 737.15 or 737.16 of the	4530
Revised Code as a full-time regular police officer and is paid	4531
solely out of public funds of the employing municipal corporation;	4532

(b) Any person who, on October 1, 1965, was contributing four	4533
per cent of the person's annual salary to a police relief and	4534
pension fund established under former section 741.32 of the	4535
Revised Code;	4536

(c) Any person who commences employment on or after September	4537
16, 1998, as a full-time police officer with a police department	4538
in a position in which the person is required to satisfactorily	4539
complete a peace officer training course in compliance with	4540
section 109.77 of the Revised Code.	4541

(B)(1) "Fire department" means a fire department of the state	4542
or an instrumentality of the state or of a municipal corporation,	4543
township, joint fire district, or other political subdivision.	4544

(2) "Member of a fire department" means all of the following:

4545

(a) Any person who commences employment after November 8,	4546
1990, as a full-time firefighter with a fire department, in a	4547
position in which the person is required to satisfactorily	4548
complete or have satisfactorily completed a firefighter training	4549
course approved under former section 3303.07 or section 4765.55 or	4550
conducted under section 3737.33 of the Revised Code;	4551

(b) Any person who has elected under section 742.515 of the	4552
Revised Code to be transferred from the public employees	4553
retirement system to the Ohio police and fire pension fund;	4554

(c) Any full-time firefighter who, on November 8, 1990, is a	4555
member of the Ohio police and fire pension fund.	4556

(C) "Employee" means any person who is a member of a police	4557
department or a member of a fire department.	4558

(D) "Employer" means the government entity by which an	4559
employee is employed and paid.	4560

(E) "Member of the fund" means any person, except an other	4561
system retirant as defined in section 742.26 of the Revised Code,	4562
who is contributing a percentage of the person's annual salary to	4563
the Ohio police and fire pension fund or who is receiving a	4564
disability benefit or pension from the fund as a result of service	4565
in a police or fire department. A person, other than an other	4566
system retirant, who is contributing a percentage of the person's	4567
annual salary to the fund and is dismissed, resigns, or is granted	4568
a leave of absence from a police or fire department shall be	4569
considered a "member of the fund" for a period of twelve months	4570
after the first day of the dismissal, resignation, or leave of	4571
absence, provided the sum deducted from the person's salary and	4572
credited to the person's account in the fund remains on deposit in	4573
the fund.	4574

(F) "Year," for the purpose of determining benefits, means	4575
any twelve consecutive calendar months of active service as a	4576
member of the fund, or, in the case of a member whose salary is	4577
paid weekly or biweekly, fifty-two consecutive weeks of active	4578
service as a member.	4579

(G) "Average annual salary" means the highest average annual	4580
salary of a member of the fund during any threeof the number of	4581
years of contributions specified in section 742.37 or 742.39 of	4582
the Revised Code, as appropriate, and determined by dividing the	4583
member's total salary as an employee during thethose years by	4584
threethat number.	4585

(H) "Normal service pension benefit" means the pension	4586
benefit payable to a member of the fund under division (C)(1) of	4587
section 742.37 of the Revised Code upon attaining age forty-eight	4588
attainment of the applicable age listed in that section.	4589

(I) "Retirement allowance" means the total pension benefit or	4590
disability benefit to which a member of the fund may be entitled	4591
under division (C) of section 742.37 or section 742.39 of the	4592
Revised Code.	4593

(J) "Fiduciary" means a person who does any of the following:

4594

(1) Exercises any discretionary authority or control with	4595
respect to the management of the system, or with respect to the	4596
management or disposition of its assets;	4597

(2) Renders investment advice for a fee, direct or indirect,	4598
with respect to money or property of the system;	4599

(3) Has any discretionary authority or responsibility in the	4600
administration of the system.	4601

(K) "Terminal pay" means the following payments made by an	4602
employer to an employee onin contemplation of termination of	4603
employment regardless of whether the payments are made before or	4604
after termination:	4605

(1) Payments for accrued but unused leave, including sick	4606
leave, vacation, personal leave, and compensatory time;	4607

(2) Payments deferred more than one year compensating the	4608
employee for holidays worked or for longevity;	4609

(3) Payments for overtime worked that are not included either	4610
in the payroll for the period in which the overtime is worked or	4611
for the next subsequent payroll for any period ending not later	4612
than sixty days after the overtime is worked;	4613

(4) Other payments that are not compensation for services	4614
rendered in the last pay period in which services were rendered	4615
and are designated as terminal pay by rule of the board of	4616
trustees of the Ohio police and fire pension fund. The board shall	4617
not designate as terminal pay payments deferred one year or less	4618
compensating an employee for holidays worked or for longevity.	4619

(L)(1) Except as otherwise provided in this division,	4620
"salary" means all compensation, wages, and other earnings paid to	4621
an employee by reason of employment, but without regard to whether	4622
compensation, wages, or other earnings are treated as deferred	4623
income for federal income tax purposes. "Salary" includes payments	4624
for overtime that are made not later than the payroll following	4625
the payroll period in which the overtime is worked.	4626

(2) "Salary" does not include any of the following:

4627

(a) Compensation for services outside the scope of an	4628
employee's regular employment;	4629

(b) Reimbursement of expenses;

4630

(c) Terminal pay;

4631

(d) Payments for accrued but unused sick leave or personal	4632
leave, or vacation pay covering periods for which salary,	4633
compensation, or benefits are paid;	4634

(e) Payments made under division (B), (C), or (E) of section	4635
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill	4636
No. 3 of the 119th general assembly, Section 3 of Amended	4637
Substitute Senate Bill No. 164 of the 124th general assembly, or	4638
Amended Substitute House Bill No. 405 of the 124th general	4639
assembly;	4640

(f) Payments made to or on behalf of an employee that are in	4641
excess of the annual compensation that may be taken into account	4642
by the fund under division (a)(17) of section 401 of the "Internal	4643
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 401(a)(17), as	4644
amended.	4645

(3) The board shall determine by rule whether any	4646
compensation, wages, or earnings not enumerated in this division	4647
is salary, and its decision shall be final.	4648

(M) "Actuary" means an individual who satisfies all of the	4649
following requirements:	4650

(1) Is a member of the American academy of actuaries;

4651

(2) Is an associate or fellow of the society of actuaries;

4652

(3) Has a minimum of five years' experience in providing	4653
actuarial services to public retirement plans.	4654

Sec. 742.31.  Each employee shall contribute an amount equal	4655
to ten per centa percentage of the employee's salary to the Ohio	4656
police and fire pension fund. Theaccording to the following	4657
schedule:	4658

(A) For salary earned on or before the last day of the	4659
employer's payroll period ending not later than thirty-one days	4660
after the effective date of this section, ten per cent;	4661

(B) For salary earned after the day described in division (A)	4662
of this section but on or before the last day of the employer's	4663
last payroll period ending in December 2011, ten and one-half per	4664
cent;	4665

(C) For salary earned after the last day of the employer's	4666
last payroll period ending in December 2011, but on or before the	4667
last day of the employer's last payroll period ending in December	4668
2012, eleven per cent;	4669

(D) For salary earned after the last day of the employer's	4670
last payroll period ending in December 2012, but on or before the	4671
last day of the employer's last payroll period ending in December	4672
2013, eleven and one-half per cent;	4673

(E) For salary earned after the last day of the employer's	4674
last payroll period ending in December 2013, twelve per cent.	4675

The amount shall be deducted by the employer from the	4676
employee's salary as defined in division (L) of section 742.01 of	4677
the Revised Code for each payroll period, irrespective of whether	4678
the minimum compensation provided by law for the employee is	4679
reduced thereby. Every employee shall be deemed to consent to the	4680
deductions, and payment to the employee less the deductions is a	4681
complete discharge and acquittance of all claims and demands for	4682
the services rendered by the employee during the period covered by	4683
such payment.	4684

Sec. 742.33.  (A) Each employer shall pay quarterlymonthly,	4685
on such dates as the board of trustees of the Ohio police and fire	4686
pension fund requires, from its general fund, or from a levy	4687
imposed pursuant to division (J) or (W) of section 5705.19 of the	4688
Revised Code, to the fund an amount known as the "police officer	4689
employers' contribution," which shall be nineteen and one-half per	4690
cent of the salaries as defined in division (L) of section 742.01	4691
of the Revised Code of the members of the police department of the	4692
employer.	4693

(B) The taxing authority of each municipal corporation in	4694
which there was a police relief and pension fund on October 1,	4695
1965, shall annually, in the manner provided for making other	4696
municipal levies and in addition to all other levies authorized by	4697
law, levy a tax of three-tenths of one mill upon all the real and	4698
personal property as listed for taxation in the municipal	4699
corporation for the purpose of paying the police officer	4700
employers' contribution and the municipal corporation's accrued	4701
liability for its former police relief and pension fund and	4702
interest thereon, and of defraying the current operating expenses	4703
of the municipal corporation. The annual revenues derived from the	4704
tax shall be used in the following order:	4705

(1) First, to pay the current police officer employers'	4706
contribution and any interest related thereto;	4707

(2) Second, to pay any accrued liability chargeable to the	4708
municipal corporation during the current calendar year for its	4709
former police relief and pension fund and any interest related	4710
thereto;	4711

(3) Third, to defray the current operating expenses of the	4712
municipal corporation.	4713

Sec. 742.34.  (A) Each employer shall pay quarterlymonthly,	4714
on such dates as the board of trustees of the Ohio police and fire	4715
pension fund requires, from its general fund, or from a levy	4716
imposed pursuant to division (I) or (W) of section 5705.19 of the	4717
Revised Code, to the fund an amount known as the "firefighter	4718
employers' contribution," which shall be twenty-four per cent of	4719
the salaries as defined in division (L) of section 742.01 of the	4720
Revised Code of the members of the fire department of the	4721
employer.	4722

(B) The taxing authority of each municipal corporation in	4723
which there was a firemen's relief and pension fund on October 1,	4724
1965, shall annually, in the manner provided for making other	4725
municipal levies and in addition to all other levies authorized by	4726
law, levy a tax of three-tenths of one mill upon all the real and	4727
personal property as listed for taxation in the municipal	4728
corporation for the purpose of paying the firefighter employers'	4729
contribution and the municipal corporation's accrued liability for	4730
its former firemen's relief and pension fund and interest thereon,	4731
and of defraying the current operating expenses of the municipal	4732
corporation. The annual revenues derived from the tax shall be	4733
used in the following order:	4734

(1) First, to pay the current firefighter employers'	4735
contribution and any interest related thereto;	4736

(2) Second, to pay any accrued liability chargeable to the	4737
municipal corporation during the current calendar year for its	4738
former firemen's relief and pension fund and any interest related	4739
thereto;	4740

(3) Third, to defray the current operating expenses of the	4741
municipal corporation.	4742

Sec. 742.35. As used in this section, "calendar quarter"	4743
means the three-month period ending on the last day of March,	4744
June, September, or December.	4745

Each employer shall pay its annual police officer employers'	4746
contribution and firefighter employers' contribution in four equal	4747
monthly installments promptly as provided in sections 742.33 and	4748
742.34 of the Revised Code. If an employer fails to make a payment	4749
on or before the date that is sixty days after the last day of the	4750
calendar quarterThe employer shall pay each installment not later	4751
than the thirtieth day after the last day of the month for which	4752
the police officer or firefighter employee contributions were	4753
withheld. If an employer fails to make the required installment by	4754
the date it is due, a penalty determined under section 742.352 of	4755
the Revised Code shall be assessed against the employer. In	4756
addition, interest on past due accounts and penalties may be	4757
charged at a rate determined by the board from the date the	4758
installment is due to the date of payment.	4759

Upon certification by the board to the county auditor of an	4760
amount due from any employer within the county who is subject to	4761
this chapter, by reason of such employer's delinquency in making	4762
employer contribution payments to the fund for past months, such	4763
amount shall be withheld from such employer from any funds in the	4764
hands of the county treasurer for distribution to such employer.	4765
Upon receipt of such certification, the county auditor shall draw	4766
a warrant against such funds in favor of the fund for the amount.	4767

Sec. 742.37.  The board of trustees of the Ohio police and	4768
fire pension fund shall adopt rules for the management of the fund	4769
and for the disbursement of benefits and pensions as set forth in	4770
this section and section 742.39 of the Revised Code. Any payment	4771
of a benefit or pension under this section is subject to the	4772
provisions of section 742.461 of the Revised Code. Notwithstanding	4773
any other provision of this section, no pension or benefit paid or	4774
determined under division (B) or (C) of this section or section	4775
742.39 of the Revised Code shall exceed the limit established by	4776
section 415 of the "Internal Revenue Code of 1986," 100 Stat.	4777
2085, 26 U.S.C.A. 415, as amended.	4778

(A) Persons who were receiving benefit or pension payments	4779
from a police relief and pension fund established under former	4780
section 741.32 of the Revised Code, or from a firemen's relief and	4781
pension fund established under former section 521.02 or 741.02 of	4782
the Revised Code, at the time the assets of the fund were	4783
transferred to the Ohio police and fire pension fund, known at	4784
that time as the police and firemen's disability and pension fund,	4785
shall receive benefit and pension payments from the Ohio police	4786
and fire pension fund in the same amount and subject to the same	4787
conditions as such payments were being made from the former fund	4788
on the date of the transfer.	4789

(B) A member of the fund who, pursuant to law, elected to	4790
receive benefits and pensions from a police relief and pension	4791
fund established under former section 741.32 of the Revised Code,	4792
or from a firemen's relief and pension fund established under	4793
former section 741.02 of the Revised Code, in accordance with the	4794
rules of the fund governing the granting of benefits or pensions	4795
therefrom in force on April 1, 1947, shall receive benefits and	4796
pensions from the Ohio police and fire pension fund in accordance	4797
with such rules; provided, that any member of the fund who is not	4798
receiving a benefit or pension from the fund on August 12, 1975,	4799
may, upon application for a benefit or pension to be received on	4800
or after August 12, 1975, elect to receive a benefit or pension in	4801
accordance with division (C) of this section.	4802

(C) Members of the fund who have not elected to receive	4803
benefits and pensions from a police relief and pension fund or a	4804
firemen's relief and pension fund in accordance with the rules of	4805
the fund in force on April 1, 1947, shall receive pensions and	4806
benefits in accordance with the following provisions:	4807

(1) A member of the fund who has completed twenty-five years	4808
of active service in a police or fire departmentcredit and has	4809
attained forty-eight years ofthe requisite age may, at the	4810
member's election,elect to retire from the police or fire	4811
department. UponThe requisite age is forty-eight for a member	4812
whose membership began before January 1, 2011, and fifty-two for a	4813
member whose membership began on or after that date.	4814

Upon notifying the board in writing of the election, the	4815
member shall receive an annual pension, payable in twelve monthly	4816
installments, in an amount equal to a percentage of the member's	4817
average annual salary. TheIf, as of January 1, 2011, the member	4818
had fifteen or more years of service credit, the average annual	4819
salary shall be determined using three years of contributions. If,	4820
as of that date, the member had less than fifteen years of service	4821
credit, the average annual salary shall be determined using five	4822
years of contributions.	4823

The percentage shall be the sum of two and one-half per cent	4824
for each of the first twenty years the member was in the active	4825
of service of the departmentcredit, plus two per cent for each of	4826
the twenty-first to twenty-fifth years the member was in the	4827
activeof service of the departmentcredit, plus one and one-half	4828
per cent for each year in excess of twenty-five years the member	4829
was in the activeof service of the departmentcredit. The annual	4830
pension shall not exceed seventy-two per cent of the member's	4831
average annual salary.	4832

A member who completedhas twenty-five years of active	4833
service credit, has resigned or been discharged, and has left the	4834
sum deducted from the member's salary on deposit in the pension	4835
fund shall, upon attaining forty-eight years ofthe requisite age,	4836
be entitled to receive a normal service pension benefit computed	4837
and paid under division (C)(1) of this section.	4838

While participating in the deferred retirement option plan	4839
established under section 742.43 of the Revised Code, a member	4840
shall not be considered to have elected retirement under division	4841
(C)(1) of this section. On notifying the board under division	4842
(B)(1) of section 742.444 of the Revised Code of the member's	4843
election to terminate active service, a member described in	4844
division (B) of that section shall receive an annual pension under	4845
division (C)(1) of this section calculated in accordance with	4846
section 742.442 of the Revised Code and rules that shall be	4847
adopted by the board of trustees of the Ohio police and fire	4848
pension fund.	4849

(2) A member of the fund who has served fifteen or more years	4850
as an active member of a police or fire departmentservice credit	4851
and who voluntarily resigns or is discharged from the department	4852
for any reason other than dishonesty, cowardice, intemperate	4853
habits, or conviction of a felony, shall receive an annual	4854
pension, payable in twelve monthly installments, in an amount	4855
equal to one and one-half per cent of the member's average annual	4856
salary multiplied by the number of full years of the member was in	4857
the activemember's service of the departmentcredit. TheIf, as	4858
of January 1, 2011, the member had fifteen or more years of	4859
service credit, the average annual salary shall be determined	4860
using three years of contributions. If, as of that date, the	4861
member had less than fifteen years of service credit, the average	4862
annual salary shall be determined using five years of	4863
contributions.	4864

If a member's membership began before January 1, 2011, the	4865
pension payments shall not commence until the member has attained	4866
the age of forty-eight years and until twenty-five years have	4867
elapsed from the date on which the member became a full-time	4868
regular police officer or firefighter in the department. Pension	4869
payments shall not commence for a member whose membership began on	4870
or after January 1, 2011, until the member has attained the age of	4871
fifty-two years and until twenty-five years have elapsed from the	4872
date on which the member became a full-time regular police officer	4873
or firefighter.	4874

(3) A member of the fund who has completed fifteen or more	4875
years of active service in a police or fire departmentcredit and	4876
who has attained sixty-two years of age, may retire from the	4877
department and, upon notifying the board in writing of the	4878
election to retire, shall receive an annual pension, payable in	4879
twelve monthly installments, in an amount equal to a percentage of	4880
the member's average annual salary. If, as of January 1, 2011, the	4881
member had fifteen or more years of service credit, the average	4882
annual salary shall be determined using three years of	4883
contributions. If, as of that date, the member had less than	4884
fifteen years of service credit, the average annual salary shall	4885
be determined using five years of contributions. The percentage	4886
shall be the sum of two and one-half per cent for each of the	4887
first twenty years the member was in the activeof service of the	4888
departmentcredit, plus two per cent for each of the twenty-first	4889
to twenty-fifth years the member was in the activeof service of	4890
the departmentcredit, plus one and one-half per cent for each	4891
year in excess of twenty-five years the member was in the active	4892
of service of the departmentcredit. The annual pension shall not	4893
exceed seventy-two per cent of the member's average annual salary.	4894

(4) A member of the fund whose membership began on or after	4895
January 1, 2011, and who has twenty-five years of service credit	4896
and has attained forty-eight years of age may elect to retire.	4897
Upon notifying the board in writing of the election, the member	4898
shall receive an annual pension, payable in twelve monthly	4899
installments, in an amount determined under division (C)(1) of	4900
this section except that the amount shall be reduced to be the	4901
actuarial equivalent, as determined by the fund's actuary, of the	4902
amount payable had the member retired at fifty-two years of age.	4903

(5) With the exception of those persons who may make	4904
application for benefits as provided in section 742.26 of the	4905
Revised Code, no person receiving a pension or other benefit under	4906
division (C) of this section on or after July 24, 1986, shall be	4907
entitled to apply for any new, changed, or different benefit.	4908

If a member covered by division (C) of this section or	4909
section 742.38 of the Revised Code dies prior to the time the	4910
member has received a payment and leaves a surviving spouse or	4911
dependent child, the surviving spouse or dependent child shall	4912
receive a pension under division (D) or (E) of this section.	4913

(D)(1) Except as provided in division (D)(2) of this section,	4914
a surviving spouse of a deceased member of the fund or a surviving	4915
spouse described in division (D)(4) of this section shall receive	4916
a monthly pension as follows:	4917

(a) For the period beginning July 1, 1999, and ending June	4918
30, 2000, five hundred fifty dollars;	4919

(b) For the period beginning July 1, 2000, and ending June	4920
30, 2002, five hundred fifty dollars plus an amount determined by	4921
multiplying five hundred fifty dollars by the average percentage	4922
change in the consumer price index, not exceeding three per cent,	4923
as was annually determined by the board under former section	4924
742.3716 of the Revised Code as that section existed on January	4925
31, 2002;	4926

(c) For the period beginning July 1, 2002, and the period	4927
beginning the first day of July of each year thereafter and	4928
continuing for the following twelve months, an amount equal to the	4929
monthly amount paid during the prior twelve-month period plus	4930
sixteen dollars and fifty cents.	4931

(2) A surviving spouse of a deceased member of the fund shall	4932
receive a monthly pension of four hundred ten dollars if the	4933
surviving spouse is eligible for a benefit under division (B) or	4934
(D) of section 742.63 of the Revised Code. If the surviving spouse	4935
ceases to be eligible for a benefit under division (B) or (D) of	4936
section 742.63 of the Revised Code, the pension shall be	4937
increased, effective the first day of the first month following	4938
the day on which the surviving spouse ceases to be eligible for	4939
the benefit, to the amount it would be under division (D)(1) of	4940
this section had the spouse never been eligible for a benefit	4941
under division (B) or (D) of section 742.63 of the Revised Code.	4942

(3) A pension paid under this division shall continue during	4943
the natural life of the surviving spouse. Benefits to a deceased	4944
member's surviving spouse that were terminated under a former	4945
version of this section that required termination due to	4946
remarriage and were not resumed prior to September 16, 1998, shall	4947
resume on the first day of the month immediately following receipt	4948
by the board of an application on a form provided by the board.	4949

(4) A surviving spouse of a deceased member of or contributor	4950
to a fund established under former Chapter 521. or 741. of the	4951
Revised Code whose benefit or pension was terminated or not paid	4952
due to remarriage shall receive a monthly pension under division	4953
(D)(1) of this section.	4954

The pension shall commence on the first day of the month	4955
immediately following receipt by the board of a completed	4956
application on a form provided by the board and evidence	4957
acceptable to the board that at the time of death the deceased	4958
spouse was a member of or contributor to a police or firemen's	4959
relief and pension fund established under former Chapter 521. or	4960
741. of the Revised Code and that the surviving spouse's benefits	4961
were terminated or not granted due to remarriage.	4962

(E)(1) Each surviving child of a deceased member of the fund	4963
shall receive a monthly pension until the child attains the age of	4964
eighteen years, or marries, whichever event occurs first. A	4965
pension under this division, however, shall continue to be payable	4966
to a child under age twenty-two who is a student in and attending	4967
an institution of learning or training pursuant to a program	4968
designed to complete in each school year the equivalent of at	4969
least two-thirds of the full-time curriculum requirements of the	4970
institution, as determined by the board. If any surviving child,	4971
regardless of age at the time of the member's death, because of	4972
physical or mental disability, is totally dependent upon the	4973
deceased member for support at the time of death, the child shall	4974
receive a monthly pension under this division during the child's	4975
natural life or until the child has recovered from the disability.	4976

(2) An eligible surviving child shall receive a monthly	4977
pension as follows:	4978

(a) For the period beginning July 1, 2001, and ending June	4979
30, 2002, a monthly pension of one hundred fifty dollars plus the	4980
cost of living increase provided for inthat was determined under	4981
former section 742.3720 of the Revised Code;	4982

(b) For the period beginning July 1, 2002, and ending June	4983
30, 2003, one hundred sixty-three dollars and fifty cents;	4984

(c) For the period beginning July 1, 2003, and the period	4985
beginning the first day of each July thereafter and continuing for	4986
the following twelve months, an amount equal to the monthly amount	4987
paid during the prior twelve-month period plus four dollars and	4988
fifty cents.	4989

(F)(1) If a deceased member of the fund leaves no surviving	4990
spouse or surviving children, but leaves one or two parents	4991
dependent upon the deceased member for support, each parent shall	4992
be paid a monthly pension. The pensions provided for in this	4993
division shall be paid during the natural life of the surviving	4994
parents, or until dependency ceases, or until remarriage,	4995
whichever event occurs first.	4996

(2) Each eligible surviving parent shall be paid a monthly	4997
pension as follows:	4998

(a) For the period ending June 30, 2002, one hundred six	4999
dollars for each parent or two hundred twelve dollars for a sole	5000
dependent parent;	5001

(b) For the period beginning July 1, 2002, and ending June	5002
30, 2003, one hundred nine dollars for each parent or two hundred	5003
eighteen dollars for a sole dependent parent;	5004

(c) For the period beginning July 1, 2003, and the first day	5005
of each July thereafter and continuing for the following twelve	5006
months, an amount equal to the monthly amount paid during the	5007
prior twelve-month period plus three dollars for each parent or	5008
six dollars for a sole dependent parent.	5009

(G)(1) Subject to the provisions of section 742.461 of the	5010
Revised Code, a member of the fund who voluntarily resigns or is	5011
removed from active service in a police or fire department is	5012
entitled to receive an amount equal to the sums deducted from the	5013
member's salary and credited to the member's account in the fund,	5014
except that a member receiving a disability benefit or service	5015
pension is not entitled to receive any return of contributions to	5016
the fund.	5017

(2) A member described in division (G)(1) of this section who	5018
is married at the time of application for payment and would be	5019
eligible for age and service retirement under this section or	5020
section 742.39 of the Revised Code but for a forfeiture ordered	5021
under division (A) or (B) of section 2929.192 of the Revised Code	5022
shall submit with the application a written statement by the	5023
member's spouse attesting that the spouse consents to the payment	5024
of the member's accumulated contributions. Consent shall be valid	5025
only if it is signed and witnessed by a notary public. The board	5026
may waive the requirement of consent if the spouse is	5027
incapacitated or cannot be located, or for any other reason	5028
specified by the board. Consent or waiver is effective only with	5029
regard to the spouse who is the subject of the consent or waiver.	5030

(H) On and after January 1, 1970, all pensions shall be	5031
increased in accordance with the following provisions:	5032

(1) A member of the fund who retired prior to January 1,	5033
1967, has attained age sixty-five on January 1, 1970, and was	5034
receiving a pension on December 31, 1969, pursuant to division (B)	5035
or (C)(1) of this section or former division (C)(2), (3), (4), or	5036
(5) of this section, shall have the pension increased by ten per	5037
cent.	5038

(2) The monthly pension payable to eligible surviving spouses	5039
under division (D) of this section shall be increased by forty	5040
dollars for each surviving spouse receiving a pension on December	5041
31, 1969.	5042

(3) The monthly pension payable to each eligible child under	5043
division (E) of this section shall be increased by ten dollars for	5044
each child receiving a pension on December 31, 1969.	5045

(4) The monthly pension payable to each eligible dependent	5046
parent under division (F) of this section shall be increased by	5047
thirty dollars for each parent receiving a pension on December 31,	5048
1969.	5049

(5) A member of the fund, including a survivor of a member,	5050
who is receiving a pension in accordance with the rules governing	5051
the granting of pensions and benefits in force on April 1, 1947,	5052
that provide an increase in the original pension from time to time	5053
pursuant to changes in the salaries of active members, shall not	5054
be eligible for the benefits provided in this division.	5055

(I) On and after January 1, 1977, a member of the fund who	5056
was receiving a pension or benefit on December 31, 1973, under	5057
division (A), (B), (C)(1), or former division (C)(2) or (7) of	5058
this section shall have the pension or benefit increased as	5059
follows:	5060

(1) If the member's annual pension or benefit is less than	5061
two thousand seven hundred dollars, it shall be increased to three	5062
thousand dollars.	5063

(2) If the member's annual pension or benefit is two thousand	5064
seven hundred dollars or more, it shall be increased by three	5065
hundred dollars.	5066

The following shall not be eligible to receive increased	5067
pensions or benefits as provided in this division:	5068

(a) A member of the fund who is receiving a pension or	5069
benefit in accordance with the rules in force on April 1, 1947,	5070
governing the granting of pensions and benefits, which provide an	5071
increase in the original pension or benefit from time to time	5072
pursuant to changes in the salaries of active members;	5073

(b) A member of the fund who is receiving a pension or	5074
benefit under division (A) or (B) of this section, based on funded	5075
volunteer or funded part-time service, or off-duty disability, or	5076
partial on-duty disability, or early vested service;	5077

(c) A member of the fund who is receiving a pension under	5078
division (C)(1) of this section, based on funded volunteer or	5079
funded part-time service.	5080

(J) On and after July 1, 1977, a member of the fund who was	5081
receiving an annual pension or benefit on December 31, 1973,	5082
pursuant to division (B) of this section, based upon partial	5083
disability, off-duty disability, or early vested service, or	5084
pursuant to former division (C)(3), (5), or (6) of this section,	5085
shall have such annual pension or benefit increased by three	5086
hundred dollars.	5087

The following are not eligible to receive the increase	5088
provided by this division:	5089

(1) A member of the fund who is receiving a pension or	5090
benefit in accordance with the rules in force on April 1, 1947,	5091
governing the granting of pensions and benefits, which provide an	5092
increase in the original pension or benefit from time to time	5093
pursuant to changes in the salaries of active members;	5094

(2) A member of the fund who is receiving a pension or	5095
benefit under division (B) or (C)(2) of this section or former	5096
division (C)(3), (5), or (6) of this section based on volunteer or	5097
part-time service.	5098

(K)(1) Except as otherwise provided in this division, every	5099
person who on July 24, 1986, is receiving an age and service or	5100
disability pension, allowance, or benefit pursuant to this chapter	5101
in an amount less than thirteen thousand dollars a year that is	5102
based upon an award made effective prior to February 28, 1984,	5103
shall receive an increase of six hundred dollars a year or the	5104
amount necessary to increase the pension or benefit to four	5105
thousand two hundred dollars after all adjustments required by	5106
this section, whichever is greater.	5107

(2) Division (K)(1) of this section does not apply to the	5108
following:	5109

(a) A member of the fund who is receiving a pension or	5110
benefit in accordance with rules in force on April 1, 1947, that	5111
govern the granting of pensions and benefits and that provide an	5112
increase in the original pension or benefit from time to time	5113
pursuant to changes in the salaries of active members;	5114

(b) A member of the fund who is receiving a pension or	5115
benefit based on funded volunteer or funded part-time service.	5116

(L) On and after July 24, 1986:

5117

(1) The pension of each person receiving a pension under	5118
division (D) of this section on July 24, 1986, shall be increased	5119
to three hundred ten dollars per month.	5120

(2) The pension of each person receiving a pension under	5121
division (E) of this section on July 24, 1986, shall be increased	5122
to ninety-three dollars per month.	5123

Sec. 742.3716.  (A)(1) As used in this section:

5124

(a) "Eligible person" means a person who meets all of the	5125
following conditions:	5126

(i) Has been receiving a pension or benefit under this	5127
chapter for one year or more based on an award made on or after	5128
July 24, 1986;	5129

(ii) Has not made the election provided for in division (B)	5130
of this section and is not the spouse or survivor of a member who	5131
has made the election provided for in division (B) of this	5132
section;	5133

(iii) Is not the spouse or survivor of a person who has made	5134
the election provided for in division (B) of this section;	5135

(iv) IsHas attained age fifty-five and is receiving a	5136
benefit in accordance with division (A), (B), or (C) of section	5137
742.37, division (C)(2), (3), (4), or (5) of former section 742.37	5138
as that section existed on September 15, 1998, section 742.3711,	5139
or section 742.39 of the Revised Code.	5140

(b) "Recalculated average annual salary" means the highest	5141
average annual compensation of a member of the Ohio police and	5142
fire pension fund during any three years of contributions,	5143
including amounts included in terminal pay attributable to such	5144
three years, determined by dividing the member's total earnings as	5145
an employee during such years by three.	5146

(2) In the case of a member participating in the deferred	5147
retirement option plan established under section 742.43 of the	5148
Revised Code or a member described in division (B) of section	5149
742.444 of the Revised Code, the period of one year or more	5150
described in division (A)(1)(a)(i) of this section begins on the	5151
effective date of the member's election under section 742.44 of	5152
the Revised Code.	5153

(B)(1) Notwithstanding section 742.37 or 742.39 of the	5154
Revised Code, a member of the fund who is not receiving a pension	5155
or benefit under this chapter and who on January 1, 1989, has	5156
completed fifteen or more years of active service in a police or	5157
fire departmentcredit under this chapter may elect to have any	5158
future benefit or pension paid to the member or the member's	5159
spouse or survivors under this chapter calculated on the basis of	5160
the member's recalculated average annual salary rather than the	5161
member's average annual salary as determined under section 742.37	5162
or 742.39 of the Revised Code. The election shall be made by the	5163
member prior to or at the time of making an election under section	5164
742.3711 of the Revised Code. This division does not apply to a	5165
member of the fund who elected to participate in the deferred	5166
retirement option plan established under section 742.43 of the	5167
Revised Code unless the member's participation has terminated	5168
pursuant to division (C) of section 742.444 or to section 742.445	5169
of the Revised Code.	5170

(2) If the member eligible to make the election under	5171
division (B)(1) of this section dies prior to making the election	5172
and at the time of death is eligible to retire and receive a	5173
pension or benefit under division (C)(1) or (3) of section 742.37	5174
of the Revised Code, the person entitled to receive a benefit	5175
under section 742.3714 of the Revised Code may make the election	5176
provided for in division (B)(1) of this section.	5177

(3) The election under division (B)(1) or (2) of this section	5178
shall be made on forms provided by the trustees of the fund. Once	5179
received by the fund, the election shall be irrevocable and shall	5180
bind the member and any other person who receives a pension or	5181
benefit based on the member's service. No person who receives a	5182
pension or benefit calculated in accordance with division (B) of	5183
this section is eligible to receive a cost-of-living allowance	5184
under this section. If the person making the election receives a	5185
benefit under section 742.3714 of the Revised Code, that person is	5186
not eligible to receive a cost-of-living allowance under section	5187
742.3711 of the Revised Code.	5188

(C)(1) The board of trustees of the Ohio police and fire	5189
pension fund shall annually increase all benefits payable to	5190
eligible persons by three per cent, except that no benefit shall	5191
exceed the limit established by section 415 of the "Internal	5192
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415, as	5193
amended.	5194

The first increase is payable to all eligible persons who on	5195
July 1, 1988, have been receiving a pension or benefit for twelve	5196
months or longer. The increase is payable for the ensuing	5197
twelve-month period or until the next increase is granted under	5198
this section, whichever is later.	5199

The date of the first increase paid under this section shall	5200
be the anniversary date for future increases. The pension or	5201
benefit used in the first calculation of an increase under this	5202
section shall remain as the base for all future increases paid	5203
under this section, unless a new base is established by law. In	5204
the case of a member who has elected to participate in the	5205
deferred retirement option plan established under section 742.43	5206
of the Revised Code or a member described in division (B) of	5207
section 742.444 of the Revised Code, the pension amount used in	5208
the first calculation of an increase under this section shall be	5209
the amount calculated under section 742.442 of the Revised Code	5210
unless the member's participation has terminated pursuant to	5211
division (C) of section 742.444 or to section 742.445 of the	5212
Revised Code.	5213

(2) Increases paid in years subsequent to the year of the	5214
first increase paid under this section shall be paid to all	5215
eligible persons who, on the date that the increase is authorized	5216
by the board, have been receiving a pension or benefit for twelve	5217
months.	5218

(E)(D) If payment of a portion of a benefit is made to an	5219
alternate payee under section 742.462 of the Revised Code,	5220
increases under this section granted while the order is in effect	5221
shall be apportioned between the alternate payee and the benefit	5222
recipient in the same proportion that the amount being paid to the	5223
alternate payee bears to the amount paid to the benefit recipient.	5224

If payment of a portion of a retirement allowance is made to	5225
one or more beneficiaries under "option 4" under division (A)(4)	5226
of section 742.3711 of the Revised Code, each increase under this	5227
section granted while the plan of payment is in effect shall be	5228
divided among the designated beneficiaries in accordance with the	5229
portion each beneficiary has been allocated.	5230

Sec. 742.38.  (A)(1) The board of trustees of the Ohio police	5231
and fire pension fund shall adopt rules establishing minimum	5232
medical testing and diagnostic standards or procedures to be	5233
incorporated into physical examinations administered by physicians	5234
to prospective members of the fund. The standards or procedures	5235
shall include diagnosis and evaluation of the existence of any	5236
heart disease, cardiovascular disease, or respiratory disease. The	5237
rules shall specify the form of the physician's report and the	5238
information to be included in it.	5239

The board shall notify all employers of the establishment of	5240
the minimum standards or procedures and shall include with the	5241
notice a copy of the standards or procedures. The board shall	5242
notify all employers of any changes made to the standards or	5243
procedures. Once the standards or procedures take effect,	5244
employers shall cause each prospective member of the fund to	5245
submit to a physical examination that incorporates the standards	5246
or procedures.	5247

(2) Division (A)(2) of this section applies to an employee	5248
who becomes a member of the fund on or after the date the minimum	5249
standards or procedures described in division (A)(1) of this	5250
section take effect. For each employee described in division	5251
(A)(2) of this section, the employer shall forward to the board a	5252
copy of the physician's report of a physical examination that	5253
incorporates the standards or procedures described in division	5254
(A)(1) of this section. If an employer fails to forward the report	5255
in the form required by the board on or before the date that is	5256
sixty days after the employee becomes a member of the fund, the	5257
board shall assess against the employer a penalty determined under	5258
section 742.353 of the Revised Code.	5259

(B) Application for a disability benefit may be made by a	5260
member of the fund or, if the member is incapacitated as defined	5261
in rules adopted by the board, by a person acting on the member's	5262
behalf. Not later than fourteen days after receiving an	5263
application for a disability benefit from a member or a person	5264
acting on behalf of a member, the board shall notify the member's	5265
employer that an application has been filed. The notice shall	5266
state the member's position or rank. Not later than twenty-eight	5267
days after receiving the notice or filing an application on behalf	5268
of a member, the employer shall forward to the board a statement	5269
certifying the member's job description and any other information	5270
required by the board to process the application.	5271

If the member applying for a disability benefit becomes a	5272
member of the fund prior to the date the minimum standards or	5273
procedures described in division (A)(1) of this section take	5274
effect, the board may request from the member's employer a copy of	5275
the physician's report of the member's physical examination taken	5276
on entry into the police or fire department or, if the employer	5277
does not have a copy of the report, a written statement certifying	5278
that the employer does not have a copy of the report. If an	5279
employer fails to forward the report or statement in the form	5280
required by the board on or before the date that is twenty-eight	5281
days after the date of the request, the board shall assess against	5282
the employer a penalty determined under section 742.353 of the	5283
Revised Code. The board shall maintain the information submitted	5284
under this division and division (A)(2) of this section in the	5285
member's file.	5286

(C) For purposes of determining under division (D) of this	5287
section whether a member of the fund is disabled, the board shall	5288
adopt rules establishing objective criteria under which the board	5289
shall make the determination. The rules shall include standards	5290
that provide for all of the following:	5291

(1) Evaluating a member's illness or injury on which an	5292
application for disability benefits is based;	5293

(2) Defining the occupational duties of a police officer or	5294
firefighter;	5295

(3) Providing for the board to assign competent and	5296
disinterested physicians and vocational evaluators to conduct	5297
examinations of a member;	5298

(4) Requiring a written report for each disability	5299
application that includes a summary of findings, medical opinions,	5300
including an opinion on whether the illness or injury upon which	5301
the member's application for disability benefits is based was	5302
caused or induced by the actual performance of the member's	5303
official duties, and any recommendations or comments based on the	5304
medical opinions;	5305

(5) Providing for the board to consider the member's	5306
potential for retraining or reemployment.	5307

(D) This division does not apply to members of the fund who	5308
have elected to receive benefits and pensions in accordance with	5309
division (A) or (B) of section 742.37 of the Revised Code or from	5310
a police relief and pension fund or a firemen's relief and pension	5311
fund in accordance with the rules of that fund in force on April	5312
1, 1947.	5313

(1) As used in division (D)(1) of this section:

5314

(a) "Totally disabled" means a member of the fund is unable	5315
to perform the duties of any gainful occupation for which the	5316
member is reasonably fitted by training, experience, and	5317
accomplishments. Absolute helplessness is not a prerequisite of	5318
being totally disabled.	5319

(b) "Permanently disabled" means a condition of disability	5320
from which there is no present indication of recovery.	5321

A member of the fund who is permanently and totally disabled	5322
as the result of the performance of the member's official duties	5323
as a member of a police or fire department shall be paid annual	5324
disability benefits in accordance with division (A) of section	5325
742.39 of the Revised Code. In determining whether a member of the	5326
fund is permanently and totally disabled, the board shall consider	5327
standards adopted under division (C) of this section applicable to	5328
the determination.	5329

(2) A member of the fund who is partially disabled as the	5330
result of the performance of the member's official duties as a	5331
member of a police or fire department shall, if the disability	5332
prevents the member from performing those duties and impairs the	5333
member's earning capacity, receive annual disability benefits in	5334
accordance with division (B) of section 742.39 of the Revised	5335
Code. In determining whether a member of the fund is partially	5336
disabled, the board shall consider standards adopted under	5337
division (C) of this section applicable to the determination.	5338

(3) A member of the fund who is disabled as a result of heart	5339
disease or any cardiovascular or respiratory disease of a chronic	5340
nature, which disease or any evidence of which disease was not	5341
revealed by the physical examination passed by the member on entry	5342
into the department, is presumed to have incurred the disease	5343
while performing the member's official duties, unless the contrary	5344
is shown by competent evidence.	5345

(4) A member of the fund who has completed five or more years	5346
of active service in a police or fire departmentcredit and has	5347
incurred a disability not caused or induced by the actual	5348
performance of the member's official duties as a member of the	5349
department, or by the member's own negligence, shall if the	5350
disability prevents the member from performing those duties and	5351
impairs the member's earning capacity, receive annual disability	5352
benefits in accordance with division (C) of section 742.39 of the	5353
Revised Code. In determining whether a member of the fund is	5354
disabled, the board shall consider standards adopted under	5355
division (C) of this section applicable to the determination.	5356

(5) The board shall notify a member of its final action	5357
awarding a disability benefit to the member within thirty days of	5358
the final action. The notice shall be sent by certified mail,	5359
return receipt requested. Not later than ninety days after receipt	5360
of notice from the board, the member shall elect, on a form	5361
provided by the board, either to accept or waive the disability	5362
benefit award. If the member elects to waive the disability	5363
benefit award or fails to make an election within the time period,	5364
the award is rescinded. A member who later seeks a disability	5365
benefit award shall be required to make a new application, which	5366
shall be dealt with in accordance with the procedures used for	5367
original disability benefit applications.	5368

A person is not eligible to apply for or receive disability	5369
benefits under this division, section 742.39 of the Revised Code,	5370
or division (C)(2), (3), (4), or (5) of former section 742.37 of	5371
the Revised Code unless the person is a member of the fund on the	5372
date on which the application for disability benefits is submitted	5373
to the fund.	5374

With the exception of persons who may make application for	5375
increased benefits as provided in division (D)(2) or (4) of this	5376
section or division (C)(3) or (5) of former section 742.37 of the	5377
Revised Code on or after July 24, 1986, or persons who may make	5378
application for benefits as provided in section 742.26 of the	5379
Revised Code, no person receiving a pension or benefit under this	5380
section or division (C) of former section 742.37 of the Revised	5381
Code may apply for any new, changed, or different benefit.	5382

Sec. 742.39.  (A) A member of the Ohio police and fire	5383
pension fund determined to be eligible for a disability benefit	5384
under division (D)(1) of section 742.38 of the Revised Code shall	5385
be paid annual disability benefits, payable in twelve monthly	5386
installments, in an amount equal to seventy-two per cent of the	5387
member's average annual salary. If, as of January 1, 2011, the	5388
member had fifteen or more years of service credit, the average	5389
annual salary shall be determined using three years of	5390
contributions. If, as of that date, the member had less than	5391
fifteen years of service credit, the average annual salary shall	5392
be determined using five years of contributions.	5393

(B) A member of the fund determined to be eligible for a	5394
disability benefit under division (D)(2) of section 742.38 of the	5395
Revised Code shall be paid annual disability benefits, payable in	5396
twelve monthly installments. If the member has fewer than	5397
twenty-five years of active service in a police or fire department	5398
credit, the benefit shall be in an amount fixed by the board of	5399
trustees of the Ohio police and fire pension fund. The board may	5400
increase or decrease the benefit whenever the board determines	5401
that the impairment of the member's earning capacity warrants an	5402
increase or decrease based on the standards adopted under division	5403
(C) of section 742.38 of the Revised Code applicable to the	5404
determination, but in no event shall the benefit exceed sixty per	5405
cent of the member's average annual salary.	5406

A member who has completed twenty-five or more years of	5407
active service in the departmentcredit shall receive annual	5408
disability benefits, payable in twelve monthly installments, in an	5409
amount equal to a percentage of the member's average annual	5410
salary. The percentage shall be the sum of two and one-half per	5411
cent for each of the first twenty years the member was in the	5412
activeof service of the departmentcredit, plus two per cent for	5413
each of the twenty-first to twenty-fifth years the member was in	5414
the activeof service of the departmentcredit, plus one and	5415
one-half per cent for each year in excess of twenty-five years the	5416
member was in the activeof service of the departmentcredit. The	5417
annual disability benefit shall not exceed seventy-two per cent of	5418
the member's average annual salary.	5419

In calculating a benefit under this division, a member's	5420
average annual salary shall be determined using three years of	5421
contributions if, as of January 1, 2011, the member had fifteen or	5422
more years of service credit. If, as of that date, the member had	5423
less than fifteen years of service credit, the average annual	5424
salary shall be determined using five years of contributions.	5425

(C) A member of the fund determined to be eligible for a	5426
disability benefit under division (D)(4) of section 742.38 of the	5427
Revised Code shall be paid annual disability benefits, payable in	5428
twelve monthly installments, in an amount to be fixed by the	5429
board. The board may increase or decrease the benefits whenever	5430
the board determines that the impairment of the member's earning	5431
capacity warrants an increase or decrease based on the standards	5432
adopted under division (C) of section 742.38 of the Revised Code	5433
applicable to the determination, but in no event shall a benefit	5434
paid to the member exceed sixty per cent of the member's average	5435
annual salary.	5436

(D) Each of the following persons who on July 1, 1999, is	5437
receiving annual benefits of less than six thousand six hundred	5438
dollars shall have the benefits increased to that amount effective	5439
July 1, 1999:	5440

(1) A person receiving annual benefits described in division	5441
(A) of this section;	5442

(2) A person receiving annual benefits described in division	5443
(C) of this section based on an award made prior to September 16,	5444
1998.	5445

(E) Benefits payable under this section continue until death	5446
unless adjusted under division (D)(5) of section 742.38 of the	5447
Revised Code or adjusted or terminated under division (C)(3) of	5448
section 742.40 of the Revised Code.	5449

Sec. 742.44. Except as provided in section 742.14 of the	5450
Revised Code, at any time prior to filing an application for	5451
retirement under division (C)(1) of section 742.37 of the Revised	5452
Code, a member who has attained age fifty-two and is eligible to	5453
retire under that division may elect to participate in the	5454
deferred retirement option plan established under section 742.43	5455
of the Revised Code.	5456

To make an election, an eligible member shall complete and	5457
submit to the Ohio police and fire pension fund a form prescribed	5458
by the fund. At this time the member may, but is not required to,	5459
elect under section 742.3711 of the Revised Code to have the	5460
member's monthly pension calculated as a retirement allowance	5461
payable throughout the member's life or a retirement allowance	5462
under option 2 in division (A) of section 742.3711 of the Revised	5463
Code. Unless rescinded during a period specified in rules adopted	5464
under section 742.43 of the Revised Code, the election is	5465
irrevocable from the date it is received by the fund until the	5466
employee ceases to participate in the plan as provided in section	5467
742.444 of the Revised Code.	5468

A member is not required to specify the number of years or	5469
portion of a year the member will participate in the plan but must	5470
agree to terminate active service in a police or fire department	5471
and begin receiving the member's pension not later than the date	5472
that is eight years after the effective date of the election to	5473
participate in the plan or be subject to the forfeiture provisions	5474
of division (C) of section 742.444 of the Revised Code.	5475

The effective date of an election made under this section is	5476
the first day of the employer's first payroll period immediately	5477
following the board's receipt of the notice of election.	5478

Sec. 742.444. (A) A member's participation in the deferred	5479
retirement option plan ceases on the occurrence of the earliest of	5480
the following:	5481

(1) Termination of the member's active service in a police or	5482
fire department;	5483

(2) The last day of the eight-year period that begins on the	5484
effective date of the member's election to participate in the	5485
plan;	5486

(3) Acceptance by the member of a disability benefit awarded	5487
by the board of trustees of the Ohio police and fire pension fund,	5488
unless the acceptance is revoked by the member in accordance with	5489
rules adopted by the board;	5490

(4) The member's death.

5491

(B) If a member terminates active service in a police or fire	5492
department not later than eight years after the effective date of	5493
the member's election to participate in the plan, all of the	5494
following apply:	5495

(1) The member shall notify the Ohio police and fire pension	5496
fund of the date of termination on a form prescribed by the fund.	5497
The member is not eligible to make another election under section	5498
742.44 of the Revised Code.	5499

(2) If the member's termination of active service occurs on	5500
or after the date that is the first day of the fourthsixth year	5501
after the effective date of the election to participate in the	5502
plan, the entire amount that has accrued to the member's benefit	5503
under the deferred retirement option plan shall be distributed to	5504
the member pursuant to the member's selection under division	5505
(B)(3) of this section. If the termination of active service	5506
occurs before the date that is foursix years after the effective	5507
date of the election to participate, the member shall forfeit the	5508
total amount of the interest credited under division (C) of	5509
section 742.443 of the Revised Code.	5510

(3) The member shall select one of the following as the	5511
method of distribution of the amount to be distributed to the	5512
member:	5513

(a) A single payment;

5514

(b) Periodic payments as determined by the board.

5515

The fund shall retain amounts accrued to the benefit of a	5516
member under the plan until a form specifying the method of	5517
distribution selected is filed with the fund by the member or an	5518
authorized representative of the member.	5519

The board shall afford a member who selects periodic payments	5520
the opportunity at least once during each calendar year to change	5521
the member's selection.	5522

(4) Distribution of the amount accrued to a member's benefit	5523
under the deferred retirement option plan shall not commence until	5524
the date that is the first day of the fourthsixth year after the	5525
effective date of the election.	5526

(5) The member shall select a plan of payment under section	5527
742.3711 of the Revised Code for the pension payable to the member	5528
under division (C) of section 742.37 of the Revised Code, unless	5529
the member selected a plan of payment at the time of electing to	5530
participate in the plan. The pension shall commence not later than	5531
the first day of the second month following the date the employee	5532
ceases to participate in the plan.	5533

(C) If, at the end of the eight-year period that begins on	5534
the effective date of a member's election to participate in the	5535
plan, the member has failed to terminate active service in a	5536
police or fire department, all of the following apply:	5537

(1) No further amounts shall accrue to the member's benefit,	5538
and the member shall forfeit all amounts that have accrued to the	5539
member's benefit under section 742.443 of the Revised Code. The	5540
amounts forfeited shall be treated as if the member had continued	5541
in the active service of a police or fire department and not	5542
elected to participate in the plan.	5543

(2) The member shall be granted service credit for the period	5544
the member was participating in the plan, and when the member's	5545
pension is calculated under section 742.37 of the Revised Code,	5546
the calculation shall be made as though the member had never	5547
participated in the plan.	5548

(3) Further contributions, and service credit for those	5549
contributions, shall be credited as provided in sections 742.31	5550
through 742.34 of the Revised Code.	5551

Sec. 742.63.  The board of trustees of the Ohio police and	5552
fire pension fund shall adopt rules for the management of the Ohio	5553
public safety officers death benefit fund and for disbursements of	5554
benefits as set forth in this section.	5555

(A) As used in this section:

5556

(1) "Member" means all of the following:

5557

(a) A member of the Ohio police and fire pension fund,	5558
including a member of the fund who has elected to participate in	5559
the deferred retirement option plan established under section	5560
742.43 of the Revised Code or a member of or contributor to a	5561
police or firemen's relief and pension fund established under	5562
former Chapter 521. or 741. of the Revised Code;	5563

(b) A member of the state highway patrol retirement system,	5564
including a member who is participating in the deferred retirement	5565
option plan established under section 5505.50 of the Revised Code;	5566

(c) A member of the public employees retirement system who at	5567
the time of the member's death was one of the following:	5568

(i) A county sheriff or deputy sheriff;

5569

(ii) A full-time regular police officer in a municipal	5570
corporation or township;	5571

(iii) A full-time regular firefighter employed by the state,	5572
an instrumentality of the state, a municipal corporation, a	5573
township, a joint fire district, or another political subdivision;	5574

(iv) A full-time park district ranger or patrol trooper;

5575

(v) A full-time law enforcement officer of the department of	5576
natural resources;	5577

(vi) A full-time department of public safety enforcement	5578
agent;	5579

(vii) A full-time law enforcement officer of parks, waterway	5580
lands, or reservoir lands under the control of a municipal	5581
corporation;	5582

(viii) A full-time law enforcement officer of a conservancy	5583
district;	5584

(ix) A correction officer at an institution under the control	5585
of a county, a group of counties, a municipal corporation, or the	5586
department of rehabilitation and correction;	5587

(x) A state university law enforcement officer;

5588

(xi) An investigator, as defined in section 109.541 of the	5589
Revised Code, or an investigator commissioned as a special agent	5590
of the bureau of criminal identification and investigation.	5591

(xii) A drug agent, as defined in section 145.01 of the	5592
Revised Code.	5593

(d) A member of a retirement system operated by a municipal	5594
corporation who at the time of death was a full-time law	5595
enforcement officer of parks, waterway lands, or reservoir lands	5596
under the control of the municipal corporation.	5597

(2) Notwithstanding section 742.01 of the Revised Code, "fire	5598
or police department" includes a fire department of the state or	5599
an instrumentality of the state or of a municipal corporation,	5600
township, joint fire district, or other political subdivision, the	5601
state highway patrol, a county sheriff's office, the security	5602
force of an institution under the control of the department of	5603
rehabilitation and correction, the security force of a jail or	5604
workhouse under the control of a county, group of counties, or	5605
municipal corporation, the security force of a metropolitan,	5606
county, or township park district, the security force of lands	5607
under the control of the department of natural resources,	5608
department of public safety enforcement agents, the security force	5609
of parks, waterway lands, or reservoir lands under the control of	5610
a municipal corporation, the security force of a conservancy	5611
district, the police department of a township or municipal	5612
corporation, and the police force of a state university.	5613

(3) "Firefighter or police officer" includes a state highway	5614
patrol trooper, a county sheriff or deputy sheriff, a correction	5615
officer at an institution under the control of a county, a group	5616
of counties, a municipal corporation, or the department of	5617
rehabilitation and correction, a police officer employed by a	5618
township or municipal corporation, a firefighter employed by the	5619
state, an instrumentality of the state, a municipal corporation, a	5620
township, a joint fire district, or another political subdivision,	5621
a full-time park district ranger or patrol trooper, a full-time	5622
law enforcement officer of the department of natural resources, a	5623
full-time department of public safety enforcement agent, a	5624
full-time law enforcement officer of parks, waterway lands, or	5625
reservoir lands under the control of a municipal corporation, a	5626
full-time law enforcement officer of a conservancy district, and a	5627
state university law enforcement officer.	5628

(4) "Correction officer" includes, in addition to any	5629
correction officer, any correction corporal, sergeant, lieutenant,	5630
or captain, and the equivalents of all such persons.	5631

(5) "A park district ranger or patrol trooper" means a peace	5632
officer commissioned to make arrests, execute warrants, and	5633
preserve the peace upon lands under the control of a board of park	5634
commissioners of a metropolitan, county, or township park	5635
district.	5636

(6) "Metropolitan, county, or township park district" means a	5637
park district created under the authority of Chapter 511. or 1545.	5638
of the Revised Code.	5639

(7) "Conservancy district" means a conservancy district	5640
created under the authority of Chapter 6101. of the Revised Code.	5641

(8) "Law enforcement officer" means an officer commissioned	5642
to make arrests, execute warrants, and preserve the peace upon	5643
lands under the control of the governmental entity granting the	5644
commission.	5645

(9) "Department of natural resources law enforcement officer"	5646
includes a forest officer designated pursuant to section 1503.29	5647
of the Revised Code, a preserve officer designated pursuant to	5648
section 1517.10 of the Revised Code, a wildlife officer designated	5649
pursuant to section 1531.13 of the Revised Code, a park officer	5650
designated pursuant to section 1541.10 of the Revised Code, and a	5651
state watercraft officer designated pursuant to section 1547.521	5652
of the Revised Code.	5653

(10) "Retirement eligibility date" means the last day of the	5654
month in which a deceased member would have first become eligible,	5655
had the member lived, for the retirement pension provided under	5656
section 145.33, section 145.332, Chapter 521. or 741., division	5657
(C)(1) of section 742.37, or division (A)(1) of section 5505.17 of	5658
the Revised Code or provided by a retirement system operated by a	5659
municipal corporation.	5660

(11) "Death benefit amount" means an amount equal to the full	5661
monthly salary received by a deceased member prior to death, minus	5662
an amount equal to the benefit received under section 145.45,	5663
742.37, 742.3714, or 5505.17 of the Revised Code or the benefit	5664
received from a retirement system operated by a municipal	5665
corporation, plus any increases in salary that would have been	5666
granted the deceased member.	5667

(12) "Killed in the line of duty" means either of the	5668
following:	5669

(a) Death in the line of duty;

5670

(b) Death from injury sustained in the line of duty,	5671
including heart attack or other fatal injury or illness caused	5672
while in the line of duty.	5673

(B) A spouse of a deceased member shall receive a death	5674
benefit each month equal to the full death benefit amount,	5675
provided that the deceased member was a firefighter or police	5676
officer killed in the line of duty and there are no surviving	5677
children eligible for a benefit under this section. The spouse	5678
shall receive this benefit during the spouse's natural life until	5679
the deceased member's retirement eligibility date, on which date	5680
the benefit provided under this division shall terminate.	5681

(C)(1) If a member killed in the line of duty as a	5682
firefighter or police officer is survived only by a child or	5683
children, the child or children shall receive a benefit each month	5684
equal to the full death benefit amount. If there is more than one	5685
surviving child, the benefit shall be divided equally among these	5686
children.	5687

(2) If the death benefit paid under this division is divided	5688
among two or more surviving children and any of the children	5689
become ineligible to continue receiving a portion of the benefit	5690
as provided in division (H) of this section, the full death	5691
benefit amount shall be paid to the remaining eligible child or	5692
divided among the eligible children so that the benefit paid to	5693
the remaining eligible child or children equals the full death	5694
benefit amount.	5695

(3) Notwithstanding divisions (C)(1) and (2) of this section,	5696
all death benefits paid under this division shall terminate on the	5697
deceased member's retirement eligibility date.	5698

(D) If a member killed in the line of duty as a firefighter	5699
or police officer is survived by both a spouse and a child or	5700
children, the monthly benefit provided shall be as follows:	5701

(1)(a) If there is a surviving spouse and one surviving	5702
child, the spouse shall receive an amount each month equal to	5703
one-half of the full death benefit amount and the child shall	5704
receive an amount equal to one-half of the full death benefit	5705
amount.	5706

(b) If the surviving spouse dies or the child becomes	5707
ineligible as provided in division (H) of this section, the	5708
surviving spouse or child remaining eligible shall receive the	5709
full death benefit amount.	5710

(2)(a) If there is a surviving spouse and more than one	5711
child, the spouse shall receive an amount each month equal to	5712
one-third of the full death benefit amount and the children shall	5713
receive an amount, equally divided among them, equal to two-thirds	5714
of the full death benefit amount.	5715

(b) If a spouse and more than one child each are receiving a	5716
death benefit under division (D)(2)(a) of this section and the	5717
spouse dies, the children shall receive an amount each month,	5718
equally divided among them, equal to the full death benefit	5719
amount.	5720

(c) If a spouse and more than one child each are receiving a	5721
benefit under division (D)(2)(a) of this section and any of the	5722
children becomes ineligible to receive a benefit as provided in	5723
division (H) of this section, the spouse and remaining eligible	5724
child or children shall receive a death benefit as follows:	5725

(i) If there are two or more remaining eligible children, the	5726
spouse shall receive an amount each month equal to one-third of	5727
the full death benefit amount and the children shall receive an	5728
amount each month, equally divided among them, equal to two-thirds	5729
of the full death benefit amount;	5730

(ii) If there is one remaining eligible child, the spouse	5731
shall receive an amount each month equal to one-half of the full	5732
death benefit amount, and the child shall receive an amount each	5733
month equal to one-half of the full death benefit amount.	5734

(d) If a spouse and more than one child each are receiving a	5735
benefit under division (D)(2)(a) of this section and all of the	5736
children become ineligible to receive a benefit as provided in	5737
division (H) of this section, the spouse shall receive the full	5738
death benefit amount.	5739

(3) Notwithstanding divisions (D)(1) and (2) of this section,	5740
death benefits paid under this division to a surviving spouse	5741
shall terminate on the member's retirement eligibility date. Death	5742
benefits paid to a surviving child or children shall terminate on	5743
the deceased member's retirement eligibility date unless earlier	5744
terminated pursuant to division (H) of this section.	5745

(E) If a member, on or after January 1, 1980, is killed in	5746
the line of duty as a firefighter or police officer and is	5747
survived by only a parent or parents dependent upon the member for	5748
support, the parent or parents shall receive an amount each month	5749
equal to the full death benefit amount. If there is more than one	5750
surviving parent dependent upon the deceased member for support,	5751
the death benefit amount shall be divided equally among the	5752
surviving parents. On the death of one of the surviving parents,	5753
the full death benefit amount shall be paid to the other parent.	5754

(F)(1) The following shall receive a monthly death benefit	5755
under this division:	5756

(a) A surviving spouse whose benefits are terminated in	5757
accordance with division (B) or (D)(3) of this section on the	5758
deceased member's retirement eligibility date, or who would	5759
qualify for a benefit under division (B) or (D) of this section	5760
except that the deceased member reached the member's retirement	5761
eligibility date prior to the member's death;	5762

(b) A qualified surviving spouse of a deceased member of or	5763
contributor to a police or firemen's relief and pension fund	5764
established under former Chapter 521. or 741. of the Revised Code	5765
who was a firefighter or police officer killed in the line of	5766
duty.	5767

(2) The monthly death benefit shall be one-half of an amount	5768
equal to the monthly salary received by the deceased member prior	5769
to the member's death, plus any salary increases the deceased	5770
member would have received prior to the member's retirement	5771
eligibility date. The benefit shall terminate on the surviving	5772
spouse's death. A death benefit payable under this division shall	5773
be reduced by an amount equal to any allowance or benefit payable	5774
to the surviving spouse under section 742.3714 of the Revised	5775
Code.	5776

(3) A benefit granted to a surviving spouse under division	5777
(F)(1)(b) of this section shall commence on the first day of the	5778
month immediately following receipt by the board of a completed	5779
application on a form provided by the board and any evidence the	5780
board may require to establish that the deceased spouse was killed	5781
in the line of duty.	5782

(G)(1) If there is not a surviving spouse eligible to receive	5783
a death benefit under division (F) of this section or the	5784
surviving spouse receiving a death benefit under that division	5785
dies, a surviving child or children whose benefits under division	5786
(C) or (D) of this section are or have been terminated pursuant to	5787
division (C)(3) or (D)(3) of this section or who would qualify for	5788
a benefit under division (C) or (D) of this section except that	5789
the deceased member reached the member's retirement eligibility	5790
date prior to the member's death shall receive a monthly death	5791
benefit under this division. The monthly death benefit shall be	5792
one-half of an amount equal to the monthly salary received by the	5793
deceased member prior to the member's death, plus any salary	5794
increases the member would have received prior to the member's	5795
retirement eligibility date. If there is more than one surviving	5796
child, the benefit shall be divided equally among the surviving	5797
children.	5798

(2) If two or more surviving children each are receiving a	5799
benefit under this division and any of those children becomes	5800
ineligible to continue receiving a benefit as provided in division	5801
(H) of this section, the remaining eligible child or children	5802
shall receive an amount equal to one-half of the monthly salary	5803
received by the deceased member prior to death, plus any salary	5804
increases the deceased member would have received prior to the	5805
retirement eligibility date. If there is more than one remaining	5806
eligible child, the benefit shall be divided equally among the	5807
eligible children.	5808

(3) A death benefit, or portion of a death benefit, payable	5809
to a surviving child under this division shall be reduced by an	5810
amount equal to any allowance or benefit payable to that child	5811
under section 742.3714 of the Revised Code, but the reduction in	5812
that child's benefit shall not affect the amount payable to any	5813
other surviving child entitled to a portion of the death benefit.	5814

(H) A death benefit paid to a surviving child under division	5815
(C), (D), or (G) of this section shall terminate on the death of	5816
the child or, unless one of the following is the case, when the	5817
child reaches age eighteen:	5818

(1) The child, because of physical or mental disability, is	5819
unable to provide the child's own support, in which case the death	5820
benefit shall terminate when the disability is removed;	5821

(2) The child is unmarried, under age twenty-two, and a	5822
student in and attending an institution of learning or training	5823
pursuant to a program designed to complete in each school year the	5824
equivalent of at least two-thirds of the full-time curriculum	5825
requirements of the institution, as determined by the trustees of	5826
the fund.	5827

(I) Acceptance of any death benefit under this section does	5828
not prohibit a spouse or child from receiving other benefits	5829
provided under the Ohio police and fire pension fund, the state	5830
highway patrol retirement system, the public employees retirement	5831
system, or a retirement system operated by a municipal	5832
corporation.	5833

(J) No person shall receive a benefit under this section if	5834
any of the following occur:	5835

(1) The person fails to exercise the right to a monthly	5836
survivor benefit under division (A) or (B) of section 145.45,	5837
division (D), (E), or (F) of section 742.37, or division (A)(3),	5838
(4), or (7) of section 5505.17 of the Revised Code; to a monthly	5839
survivor benefit from a retirement system operated by a municipal	5840
corporation; or to a retirement allowance under section 742.3714	5841
of the Revised Code.	5842

(2) The member's accumulated contributions under this chapter	5843
or Chapter 145. or 5505. of the Revised Code are refunded unless	5844
the member had been a member of the public employees retirement	5845
system and had fewer than eighteen months of total service credit	5846
at the time of death.	5847

(3) In the case of a full-time park district ranger or patrol	5848
trooper, a full-time law enforcement officer of the department of	5849
natural resources, a full-time law enforcement officer of parks,	5850
waterway lands, or reservoir lands under the control of a	5851
municipal corporation, a full-time law enforcement officer of a	5852
conservancy district, a correction officer at an institution under	5853
the control of a county, group of counties, or municipal	5854
corporation, or a member of a retirement system operated by a	5855
municipal corporation who at the time of the member's death was a	5856
full-time law enforcement officer of parks, waterway lands, or	5857
reservoir lands under the control of the municipal corporation,	5858
the member died prior to April 9, 1981, in the case of a benefit	5859
under division (B), (C), or (D) of this section, or prior to	5860
January 1, 1980, in the case of a benefit under division (E) of	5861
this section.	5862

(4) In the case of a full-time department of public safety	5863
enforcement agent who prior to June 30, 1999, was a liquor control	5864
investigator of the department of public safety, the member died	5865
prior to December 23, 1986;	5866

(5) In the case of a full-time department of public safety	5867
enforcement agent other than an enforcement agent who, prior to	5868
June 30, 1999, was a liquor control investigator, the member died	5869
prior to June 30, 1999.	5870

(K) A surviving spouse whose benefit was terminated prior to	5871
June 30, 1999, due to remarriage shall receive a benefit under	5872
division (B), (D), or (F) of this section beginning on the first	5873
day of the month following receipt by the board of an application	5874
on a form provided by the board. The benefit amount shall be	5875
determined as of that date.	5876

(1) If the benefit will begin prior to the deceased member's	5877
retirement eligibility date, it shall be paid under division (B)	5878
or (D) of this section and shall terminate as provided in those	5879
divisions. A benefit paid to a surviving spouse under division (D)	5880
of this section shall be determined in accordance with that	5881
division, even if benefits paid to surviving children are reduced	5882
as a result.	5883

(2) If the benefit will begin on or after the deceased	5884
member's retirement eligibility date, it shall be paid under	5885
division (F) of this section and shall terminate as provided in	5886
that division. A benefit paid to a surviving spouse under division	5887
(F) of this section shall be determined in accordance with that	5888
division, even if benefits paid to surviving children are	5889
terminated as a result.	5890

Sec. 2329.66.  (A) Every person who is domiciled in this	5891
state may hold property exempt from execution, garnishment,	5892
attachment, or sale to satisfy a judgment or order, as follows:	5893

(1)(a) In the case of a judgment or order regarding money	5894
owed for health care services rendered or health care supplies	5895
provided to the person or a dependent of the person, one parcel or	5896
item of real or personal property that the person or a dependent	5897
of the person uses as a residence. Division (A)(1)(a) of this	5898
section does not preclude, affect, or invalidate the creation	5899
under this chapter of a judgment lien upon the exempted property	5900
but only delays the enforcement of the lien until the property is	5901
sold or otherwise transferred by the owner or in accordance with	5902
other applicable laws to a person or entity other than the	5903
surviving spouse or surviving minor children of the judgment	5904
debtor. Every person who is domiciled in this state may hold	5905
exempt from a judgment lien created pursuant to division (A)(1)(a)	5906
of this section the person's interest, not to exceed twenty	5907
thousand two hundred dollars, in the exempted property.	5908

(b) In the case of all other judgments and orders, the	5909
person's interest, not to exceed twenty thousand two hundred	5910
dollars, in one parcel or item of real or personal property that	5911
the person or a dependent of the person uses as a residence.	5912

(2) The person's interest, not to exceed three thousand two	5913
hundred twenty-five dollars, in one motor vehicle;	5914

(3) The person's interest, not to exceed four hundred	5915
dollars, in cash on hand, money due and payable, money to become	5916
due within ninety days, tax refunds, and money on deposit with a	5917
bank, savings and loan association, credit union, public utility,	5918
landlord, or other person, other than personal earnings.	5919

(4)(a) The person's interest, not to exceed five hundred	5920
twenty-five dollars in any particular item or ten thousand seven	5921
hundred seventy-five dollars in aggregate value, in household	5922
furnishings, household goods, wearing apparel, appliances, books,	5923
animals, crops, musical instruments, firearms, and hunting and	5924
fishing equipment that are held primarily for the personal,	5925
family, or household use of the person;	5926

(b) The person's aggregate interest in one or more items of	5927
jewelry, not to exceed one thousand three hundred fifty dollars,	5928
held primarily for the personal, family, or household use of the	5929
person or any of the person's dependents.	5930

(5) The person's interest, not to exceed an aggregate of two	5931
thousand twenty-five dollars, in all implements, professional	5932
books, or tools of the person's profession, trade, or business,	5933
including agriculture;	5934

(6)(a) The person's interest in a beneficiary fund set apart,	5935
appropriated, or paid by a benevolent association or society, as	5936
exempted by section 2329.63 of the Revised Code;	5937

(b) The person's interest in contracts of life or endowment	5938
insurance or annuities, as exempted by section 3911.10 of the	5939
Revised Code;	5940

(c) The person's interest in a policy of group insurance or	5941
the proceeds of a policy of group insurance, as exempted by	5942
section 3917.05 of the Revised Code;	5943

(d) The person's interest in money, benefits, charity,	5944
relief, or aid to be paid, provided, or rendered by a fraternal	5945
benefit society, as exempted by section 3921.18 of the Revised	5946
Code;	5947

(e) The person's interest in the portion of benefits under	5948
policies of sickness and accident insurance and in lump sum	5949
payments for dismemberment and other losses insured under those	5950
policies, as exempted by section 3923.19 of the Revised Code.	5951

(7) The person's professionally prescribed or medically	5952
necessary health aids;	5953

(8) The person's interest in a burial lot, including, but not	5954
limited to, exemptions under section 517.09 or 1721.07 of the	5955
Revised Code;	5956

(9) The person's interest in the following:

5957

(a) Moneys paid or payable for living maintenance or rights,	5958
as exempted by section 3304.19 of the Revised Code;	5959

(b) Workers' compensation, as exempted by section 4123.67 of	5960
the Revised Code;	5961

(c) Unemployment compensation benefits, as exempted by	5962
section 4141.32 of the Revised Code;	5963

(d) Cash assistance payments under the Ohio works first	5964
program, as exempted by section 5107.75 of the Revised Code;	5965

(e) Benefits and services under the prevention, retention,	5966
and contingency program, as exempted by section 5108.08 of the	5967
Revised Code;	5968

(f) Disability financial assistance payments, as exempted by	5969
section 5115.06 of the Revised Code;	5970

(g) Payments under section 24 or 32 of the "Internal Revenue	5971
Code of 1986," 100 Stat. 2085, 26 U.S.C. 1, as amended.	5972

(10)(a) Except in cases in which the person was convicted of	5973
or pleaded guilty to a violation of section 2921.41 of the Revised	5974
Code and in which an order for the withholding of restitution from	5975
payments was issued under division (C)(2)(b) of that section, in	5976
cases in which an order for withholding was issued under section	5977
2907.15 of the Revised Code, and in cases in which an order for	5978
forfeiture was issued under division (A) or (B) of section	5979
2929.192 of the Revised Code, and in cases in which an order was	5980
issued under 2929.193 of the Revised Code, and only to the extent	5981
provided in the order, and except as provided in sections	5982
3105.171, 3105.63, 3119.80, 3119.81, 3121.02, 3121.03, and 3123.06	5983
of the Revised Code, the person's right to a pension, benefit,	5984
annuity, retirement allowance, or accumulated contributions, the	5985
person's right to a participant account in any deferred	5986
compensation program offered by the Ohio public employees deferred	5987
compensation board, a government unit, or a municipal corporation,	5988
or the person's other accrued or accruing rights, as exempted by	5989
section 145.56, 146.13, 148.09, 742.47, 3307.41, 3309.66, or	5990
5505.22 of the Revised Code, and the person's right to benefits	5991
from the Ohio public safety officers death benefit fund;	5992

(b) Except as provided in sections 3119.80, 3119.81, 3121.02,	5993
3121.03, and 3123.06 of the Revised Code, the person's right to	5994
receive a payment under any pension, annuity, or similar plan or	5995
contract, not including a payment from a stock bonus or	5996
profit-sharing plan or a payment included in division (A)(6)(b) or	5997
(10)(a) of this section, on account of illness, disability, death,	5998
age, or length of service, to the extent reasonably necessary for	5999
the support of the person and any of the person's dependents,	6000
except if all the following apply:	6001

(i) The plan or contract was established by or under the	6002
auspices of an insider that employed the person at the time the	6003
person's rights under the plan or contract arose.	6004

(ii) The payment is on account of age or length of service.

6005

(iii) The plan or contract is not qualified under the	6006
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C. 1, as	6007
amended.	6008

(c) Except for any portion of the assets that were deposited	6009
for the purpose of evading the payment of any debt and except as	6010
provided in sections 3119.80, 3119.81, 3121.02, 3121.03, and	6011
3123.06 of the Revised Code, the person's right in the assets held	6012
in, or to receive any payment under, any individual retirement	6013
account, individual retirement annuity, "Roth IRA," or education	6014
individual retirement account that provides benefits by reason of	6015
illness, disability, death, or age, to the extent that the assets,	6016
payments, or benefits described in division (A)(10)(c) of this	6017
section are attributable to any of the following:	6018

(i) Contributions of the person that were less than or equal	6019
to the applicable limits on deductible contributions to an	6020
individual retirement account or individual retirement annuity in	6021
the year that the contributions were made, whether or not the	6022
person was eligible to deduct the contributions on the person's	6023
federal tax return for the year in which the contributions were	6024
made;	6025

(ii) Contributions of the person that were less than or equal	6026
to the applicable limits on contributions to a Roth IRA or	6027
education individual retirement account in the year that the	6028
contributions were made;	6029

(iii) Contributions of the person that are within the	6030
applicable limits on rollover contributions under subsections 219,	6031
402(c), 403(a)(4), 403(b)(8), 408(b), 408(d)(3), 408A(c)(3)(B),	6032
408A(d)(3), and 530(d)(5) of the "Internal Revenue Code of 1986,"	6033
100 Stat. 2085, 26 U.S.C.A. 1, as amended.	6034

(d) Except for any portion of the assets that were deposited	6035
for the purpose of evading the payment of any debt and except as	6036
provided in sections 3119.80, 3119.81, 3121.02, 3121.03, and	6037
3123.06 of the Revised Code, the person's right in the assets held	6038
in, or to receive any payment under, any Keogh or "H.R. 10" plan	6039
that provides benefits by reason of illness, disability, death, or	6040
age, to the extent reasonably necessary for the support of the	6041
person and any of the person's dependents.	6042

(11) The person's right to receive spousal support, child	6043
support, an allowance, or other maintenance to the extent	6044
reasonably necessary for the support of the person and any of the	6045
person's dependents;	6046

(12) The person's right to receive, or moneys received during	6047
the preceding twelve calendar months from, any of the following:	6048

(a) An award of reparations under sections 2743.51 to 2743.72	6049
of the Revised Code, to the extent exempted by division (D) of	6050
section 2743.66 of the Revised Code;	6051

(b) A payment on account of the wrongful death of an	6052
individual of whom the person was a dependent on the date of the	6053
individual's death, to the extent reasonably necessary for the	6054
support of the person and any of the person's dependents;	6055

(c) Except in cases in which the person who receives the	6056
payment is an inmate, as defined in section 2969.21 of the Revised	6057
Code, and in which the payment resulted from a civil action or	6058
appeal against a government entity or employee, as defined in	6059
section 2969.21 of the Revised Code, a payment, not to exceed	6060
twenty thousand two hundred dollars, on account of personal bodily	6061
injury, not including pain and suffering or compensation for	6062
actual pecuniary loss, of the person or an individual for whom the	6063
person is a dependent;	6064

(d) A payment in compensation for loss of future earnings of	6065
the person or an individual of whom the person is or was a	6066
dependent, to the extent reasonably necessary for the support of	6067
the debtor and any of the debtor's dependents.	6068

(13) Except as provided in sections 3119.80, 3119.81,	6069
3121.02, 3121.03, and 3123.06 of the Revised Code, personal	6070
earnings of the person owed to the person for services in an	6071
amount equal to the greater of the following amounts:	6072

(a) If paid weekly, thirty times the current federal minimum	6073
hourly wage; if paid biweekly, sixty times the current federal	6074
minimum hourly wage; if paid semimonthly, sixty-five times the	6075
current federal minimum hourly wage; or if paid monthly, one	6076
hundred thirty times the current federal minimum hourly wage that	6077
is in effect at the time the earnings are payable, as prescribed	6078
by the "Fair Labor Standards Act of 1938," 52 Stat. 1060, 29	6079
U.S.C. 206(a)(1), as amended;	6080

(b) Seventy-five per cent of the disposable earnings owed to	6081
the person.	6082

(14) The person's right in specific partnership property, as	6083
exempted by division (B)(3) of section 1775.24 of the Revised Code	6084
or the person's rights in a partnership pursuant to section	6085
1776.50 of the Revised Code, except as otherwise set forth in	6086
section 1776.50 of the Revised Code;	6087

(15) A seal and official register of a notary public, as	6088
exempted by section 147.04 of the Revised Code;	6089

(16) The person's interest in a tuition unit or a payment	6090
under section 3334.09 of the Revised Code pursuant to a tuition	6091
payment contract, as exempted by section 3334.15 of the Revised	6092
Code;	6093

(17) Any other property that is specifically exempted from	6094
execution, attachment, garnishment, or sale by federal statutes	6095
other than the "Bankruptcy Reform Act of 1978," 92 Stat. 2549, 11	6096
U.S.C.A. 101, as amended;	6097

(18) The person's aggregate interest in any property, not to	6098
exceed one thousand seventy-five dollars, except that division	6099
(A)(18) of this section applies only in bankruptcy proceedings.	6100

(B) On April 1, 2010, and on the first day of April in each	6101
third calendar year after 2010, each dollar amount set forth in	6102
this section shall be adjusted, when determining the amount that	6103
is exempt from execution, garnishment, attachment, or sale	6104
pursuant to this section, to reflect the change in the consumer	6105
price index for all urban consumers, as published by the United	6106
States department of labor, or, if that index is no longer	6107
published, a generally available comparable index, for the	6108
three-year period ending on the thirty-first day of December of	6109
the preceding year. Any adjustments required by this division	6110
shall be rounded to the nearest twenty-five dollars.	6111

(C) As used in this section:

6112

(1) "Disposable earnings" means net earnings after the	6113
garnishee has made deductions required by law, excluding the	6114
deductions ordered pursuant to section 3119.80, 3119.81, 3121.02,	6115
3121.03, or 3123.06 of the Revised Code.	6116

(2) "Insider" means:

6117

(a) If the person who claims an exemption is an individual, a	6118
relative of the individual, a relative of a general partner of the	6119
individual, a partnership in which the individual is a general	6120
partner, a general partner of the individual, or a corporation of	6121
which the individual is a director, officer, or in control;	6122

(b) If the person who claims an exemption is a corporation, a	6123
director or officer of the corporation; a person in control of the	6124
corporation; a partnership in which the corporation is a general	6125
partner; a general partner of the corporation; or a relative of a	6126
general partner, director, officer, or person in control of the	6127
corporation;	6128

(c) If the person who claims an exemption is a partnership, a	6129
general partner in the partnership; a general partner of the	6130
partnership; a person in control of the partnership; a partnership	6131
in which the partnership is a general partner; or a relative in, a	6132
general partner of, or a person in control of the partnership;	6133

(d) An entity or person to which or whom any of the following	6134
applies:	6135

(i) The entity directly or indirectly owns, controls, or	6136
holds with power to vote, twenty per cent or more of the	6137
outstanding voting securities of the person who claims an	6138
exemption, unless the entity holds the securities in a fiduciary	6139
or agency capacity without sole discretionary power to vote the	6140
securities or holds the securities solely to secure to debt and	6141
the entity has not in fact exercised the power to vote.	6142

(ii) The entity is a corporation, twenty per cent or more of	6143
whose outstanding voting securities are directly or indirectly	6144
owned, controlled, or held with power to vote, by the person who	6145
claims an exemption or by an entity to which division (C)(2)(d)(i)	6146
of this section applies.	6147

(iii) A person whose business is operated under a lease or	6148
operating agreement by the person who claims an exemption, or a	6149
person substantially all of whose business is operated under an	6150
operating agreement with the person who claims an exemption.	6151

(iv) The entity operates the business or all or substantially	6152
all of the property of the person who claims an exemption under a	6153
lease or operating agreement.	6154

(e) An insider, as otherwise defined in this section, of a	6155
person or entity to which division (C)(2)(d)(i), (ii), (iii), or	6156
(iv) of this section applies, as if the person or entity were a	6157
person who claims an exemption;	6158

(f) A managing agent of the person who claims an exemption.

6159

(3) "Participant account" has the same meaning as in section	6160
148.01 of the Revised Code.	6161

(4) "Government unit" has the same meaning as in section	6162
148.06 of the Revised Code.	6163

(D) For purposes of this section, "interest" shall be	6164
determined as follows:	6165

(1) In bankruptcy proceedings, as of the date a petition is	6166
filed with the bankruptcy court commencing a case under Title 11	6167
of the United States Code;	6168

(2) In all cases other than bankruptcy proceedings, as of the	6169
date of an appraisal, if necessary under section 2329.68 of the	6170
Revised Code, or the issuance of a writ of execution.	6171

An interest, as determined under division (D)(1) or (2) of	6172
this section, shall not include the amount of any lien otherwise	6173
valid pursuant to section 2329.661 of the Revised Code.	6174

Sec. 2901.431. On the filing of charges against a person who	6175
is a member of the public employees retirement system alleging	6176
that the person committed a felony on or after the effective date	6177
of this section, the prosecutor assigned to the case shall send	6178
written notice to the retirement system that the charges have been	6179
filed. The notice shall specifically identify the person.	6180

For purposes of this section, a violation or offense that	6181
includes as an element a course of conduct or the occurrence of	6182
multiple acts is committed on or after the effective date of this	6183
section if the course of conduct continues, one or more of	6184
multiple acts occurs, or the person's accountability for the	6185
course of conduct or one or more of the multiple acts continues on	6186
or after that date.	6187

Sec. 2929.193. (A) This section applies to members of the	6188
public employees retirement system except that in any circumstance	6189
in which section 2929.192 of the Revised Code applies this section	6190
does not apply.	6191

(B) If an offender is being sentenced for a felony offense	6192
that was the cause of a physical or mental disability in the	6193
offender and was committed on or after the effective date of this	6194
section while the offender was a member of the public employees	6195
retirement system, in addition to any sanction it imposes under	6196
section 2929.14, 2929.15, 2929.16, 2929.17, or 2929.18 of the	6197
Revised Code but subject to division (C) of this section, the	6198
court shall order forfeiture of any right of the offender to a	6199
disability benefit from the retirement system that is based on the	6200
disability caused by commission of the felony. The forfeiture	6201
shall be ordered regardless of whether a disability benefit has	6202
been requested or granted. A forfeiture ordered under this section	6203
is part of, and shall be included in, the offender's sentence.	6204

(C) Before sentencing in a case in which the sentencing court	6205
is required to order forfeiture under division (B) of this	6206
section, the offender may request a hearing regarding the	6207
forfeiture by delivering a written request for a hearing to the	6208
court. If there is a timely request, the court shall schedule the	6209
hearing to be conducted before sentencing. Not later than ten days	6210
prior to the scheduled date of the hearing, the court shall give	6211
notice of the hearing date to the offender, the prosecutor who	6212
handled the case, and the retirement system. The hearing shall be	6213
limited to determination of whether the offender's disability	6214
resulted from commission of the offense. If a disability benefit	6215
has already been granted, the retirement system shall submit to	6216
the court documentation of the evidence on which the benefit was	6217
granted.	6218

(D) If the offender does not make a timely request for a	6219
hearing or if a hearing is held and the court determines that the	6220
disability resulted from commission of the offense, the court	6221
shall order the forfeiture of any right the offender may have to a	6222
disability benefit from the retirement system that is based on the	6223
disability caused by commission of the felony. If the disability	6224
benefit has already been granted, the court shall order	6225
termination of the benefit. Any disability benefit paid to the	6226
offender prior to its termination may be recovered in accordance	6227
with section 145.563 of the Revised Code.	6228

(E) The court shall send a copy of the journal entry imposing	6229
sentence on the offender to the retirement system.	6230

(F) For purposes of this section, any violation or offense	6231
that includes as an element a course of conduct or the occurrence	6232
of multiple acts is committed on or after the effective date of	6233
this section if the course of conduct continues, one or more of	6234
multiple acts occurs, or the offender's accountability for the	6235
course of conduct or for one or more of the multiple acts	6236
continues on or after the effective date of this section.	6237

Sec. 3305.06.  (A) Each electing employee shall contribute an	6238
amount, which shall be a certain percentage of the employee's	6239
compensation, to the provider of the investment option the	6240
employee has selected. This percentage shall be the percentage the	6241
electing employee would have otherwise been required to contribute	6242
to the state retirement system that applies to the employee's	6243
position, except that the percentage shall not be less than three	6244
per cent. Employee contributions under this division may be	6245
treated as employer contributions in accordance with Internal	6246
Revenue Code 414(h).	6247

(B) Each public institution of higher education employing an	6248
electing employee shall contribute a percentage of the employee's	6249
compensation to the provider of the investment option the employee	6250
has selected. This percentage shall be equal to the percentage	6251
that the public institution of higher education would otherwise	6252
contribute on behalf of that employee to the state retirement	6253
system that would otherwise cover that employee's position, less	6254
the percentage contributed by the public institution of higher	6255
education under division (D) of this section.	6256

(C)(1) In no event shall the amount contributed by the	6257
electing employee pursuant to division (A) of this section and on	6258
the electing employee's behalf pursuant to division (B) of this	6259
section be less than the amount necessary to qualify the plan as a	6260
state retirement system pursuant to Internal Revenue Code	6261
3121(B)(7) and the regulations adopted thereunder.	6262

(2) The full amount of the electing employee's contribution	6263
under division (A) of this section and the full amount of the	6264
employer's contribution made on behalf of that employee under	6265
division (B) of this section shall be paid to the appropriate	6266
provider for application to the electing employee's investment	6267
option.	6268

(D) Each public institution of higher education employing an	6269
electing employee shall contribute on behalf of that employee to	6270
the state retirement system that otherwise applies to the electing	6271
employee's position a percentage of the electing employee's	6272
compensation to mitigate any negative financial impact of the	6273
alternative retirement program on the state retirement system. The	6274
percentage shall be six per cent, except that the percentage may	6275
be adjusted by the Ohio retirement study council to reflect the	6276
determinations made by actuarial studies conducted under section	6277
171.07 of the Revised Code. Any adjustment shall become effective	6278
on the first day of the second month following submission of the	6279
actuarial study to the board of regents under section 171.07 of	6280
the Revised Code.	6281

Contributions on behalf of an electing employee shall	6282
continue in accordance with this division until the occurrence of	6283
the following:	6284

(1) If the electing employee would be subject to Chapter 145.	6285
of the Revised Code had the employee not made an election pursuant	6286
to section 3305.05 or 3305.051 of the Revised Code, until the	6287
unfunded actuarial accrued liability for all benefits, except	6288
health care benefits provided under section 145.325 or 145.58 or	6289
145.584 of the Revised Code and benefit increases provided after	6290
March 31, 1997, is fully amortized, as determined by the annual	6291
actuarial valuation prepared under section 145.22 of the Revised	6292
Code;	6293

(2) If the electing employee would be subject to Chapter	6294
3307. of the Revised Code had the employee not made an election	6295
pursuant to section 3305.05 or 3305.051 of the Revised Code, until	6296
the unfunded actuarial accrued liability for all benefits, except	6297
health care benefits provided under section 3307.39 or 3307.61 of	6298
the Revised Code and benefit increases provided after March 31,	6299
1997, is fully amortized, as determined by the annual actuarial	6300
valuation prepared under section 3307.51 of the Revised Code;	6301

(3) If the electing employee would be subject to Chapter	6302
3309. of the Revised Code had the employee not made an election	6303
pursuant to section 3305.05 or 3305.051 of the Revised Code, until	6304
the unfunded actuarial accrued liability for all benefits, except	6305
health care benefits provided under section 3309.375 or 3309.69 of	6306
the Revised Code and benefit increases provided after March 31,	6307
1997, is fully amortized, as determined by the annual actuarial	6308
valuation prepared under section 3309.21 of the Revised Code.	6309

Sec. 3307.26. (A) Each teacher shall contribute eighta	6310
certain per cent of the teacher's earned compensation, except that	6311
the state teachers retirement board may raise the contribution	6312
rate to a rate not greater than ten per cent of the teacher's	6313
earned compensation. Foras follows:	6314

(1) For compensation earned not later than June 30, 2011, ten	6315
per cent;	6316

(2) For compensation earned not earlier than July 1, 2011,	6317
but not later than June 30, 2012, not greater than ten and	6318
one-half per cent;	6319

(3) For compensation earned not earlier than July 1, 2012,	6320
but not later than June 30, 2013, not greater than eleven per	6321
cent;	6322

(4) For compensation earned not earlier than July 1, 2013,	6323
but not later than June 30, 2014, not greater than eleven and	6324
one-half per cent;	6325

(5) For compensation earned not earlier than July 1, 2014,	6326
but not later than June 30, 2015, not greater than twelve per	6327
cent;	6328

(6) For compensation earned on or after July 1, 2015, not	6329
greater than twelve and one-half per cent.	6330

(B) For teachers participating in the plan described in	6331
sections 3307.50 to 3307.79 of the Revised Code, contributions	6332
shall be deposited in the teachers' savings fund. For teachers	6333
participating in a plan established under section 3307.81 of the	6334
Revised Code, contributions shall be deposited in the defined	6335
contribution fund. Contributions made pursuant to this section	6336
shall not exceed the limits established by section 415 of the	6337
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	6338
as amended.	6339

(C) The contribution for all teachers shall be deducted by	6340
the employer on each payroll in an amount equal to the applicable	6341
per cent of the teachers' paid compensation for such payroll	6342
period or other period as the board may approve. All contributions	6343
on paid compensation for teachers participating in plans	6344
established under section 3307.81 of the Revised Code shall be	6345
remitted at intervals required by the state teachers retirement	6346
system under section 3307.86 of the Revised Code. All	6347
contributions on earned compensation for teachers participating in	6348
the plan described in sections 3307.50 to 3307.79 of the Revised	6349
Code shall be remitted to the state teachers retirement system by	6350
the thirtieth day of June of each year. Each school district shall	6351
encumber sufficient moneys by the thirtieth day of June of each	6352
year to account for the difference, if any, that may exist between	6353
contributions that would be withheld based upon compensation	6354
earned by a teacher during the year ending the thirtieth day of	6355
June and the contributions withheld based upon compensation paid	6356
to the teacher for the year. Deductions from payroll for	6357
contributions under this section, on an annual basis, shall not	6358
exceed eight per cent or other percentage established by the board	6359
authorized by this section.	6360

(D) At retirement under the plan described in sections	6361
3307.50 to 3307.79 of the Revised Code, or upon a member's death	6362
prior to retirement under that plan, if contributions have been	6363
made after September 1, 1959, in excess of the contributions	6364
normally required to provide the retirement or survivor benefit,	6365
the excess contributions may be refunded to the member, to the	6366
member's beneficiary, or to the member's estate in a lump sum, or	6367
may be used to provide additional income.	6368

(E) The board may determine with regard to any member	6369
participating in the plan described in sections 3307.50 to 3307.79	6370
of the Revised Code whether the limits established by division	6371
(C)(D) of section 3307.58 of the Revised Code have resulted in	6372
exclusion from use in the calculation of benefits under section	6373
3307.58, 3307.59, or 3307.60 of the Revised Code of any	6374
compensation on which contributions have been made under this	6375
section. The board may adopt rules in accordance with section	6376
111.15 of the Revised Code providing for the disposition of	6377
contributions attributable to such compensation and may dispose of	6378
the contributions in accordance with those rules. Any disposition	6379
of contributions made by the board in accordance with the rules	6380
shall be final.	6381

(F) The deductions under this section shall be made even	6382
though the minimum compensation provided by law for any teacher	6383
shall be reduced thereby. Every teacher shall be deemed to consent	6384
to the deductions made. Payment less the deductions shall be a	6385
complete discharge and acquittance of all claims and demands for	6386
the services rendered by the person during the period covered by	6387
the payment.	6388

(G) Additional deposits may be made to a member's account in	6389
the teachers' savings fund or defined contribution fund, subject	6390
to rules of the board. At retirement, the amount deposited with	6391
interest may be used to provide additional annuity income. The	6392
additional deposits may be refunded to the member before	6393
retirement, and shall be refunded if the member withdraws the	6394
member's refundable account. The deposits may be refunded to the	6395
beneficiary or estate if the member dies before retirement.	6396

Sec. 3307.501.  (A) As used in this section, "percentage	6397
increase" means the percentage that an increase in compensation is	6398
of the compensation paid prior to the increase.	6399

(B) Notwithstanding division (L) of section 3307.01 of the	6400
Revised Code, for the purpose of determining final average salary	6401
under this section, "compensation" has the same meaning as in that	6402
division, except that it does not include any amount resulting	6403
from a percentage increase paid to a member during the member's	6404
two highest years of compensation that exceeds the greater of the	6405
following:	6406

(1) The highest percentage increase in compensation paid to	6407
the member during any of the three years immediately preceding the	6408
member's two highest years of compensation and any subsequent	6409
partial year of compensation used in calculating the member's	6410
final average salary;	6411

(2) A percentage increase paid to the member as part of an	6412
increase generally applicable to members employed by the employer.	6413
An increase shall be considered generally applicable if it is paid	6414
to members employed by a school district board of education in	6415
positions requiring a license issued under section 3319.22 of the	6416
Revised Code in accordance with uniform criteria applicable to all	6417
such members or if paid to members employed by an employer other	6418
than a school district board of education in accordance with	6419
uniform criteria applicable to all such members.	6420

(C) The state teachers retirement board shall determine the	6421
final average salary of a member by dividing the sum of the	6422
member's annual compensation for the threefive highest years of	6423
compensation for which the member made contributions plus any	6424
amount determined under division (E) of this section by three	6425
five, except that if the member has a partial year of contributing	6426
service in the year the member's employment terminates and the	6427
compensation for the partial year is at a rate higher than the	6428
rate of compensation for any one of the member's highest three	6429
five years of compensation, the board shall substitute the	6430
compensation for the partial year for the compensation for the	6431
same portion of the lowest of the member's threefive highest	6432
years of compensation. If a member has less than threefive years	6433
of contributing membership, the member's final average salary	6434
shall be the member's total compensation for the period of	6435
contributing membership plus any amount determined under division	6436
(E) of this section divided by the total years, including any	6437
portion of a year, of contributing service.	6438

For the purpose of calculating benefits payable to a member	6439
qualifying for service credit under division (I) of section	6440
3307.01 of the Revised Code, the board shall calculate the	6441
member's final average salary by dividing the member's total	6442
compensation as a teacher covered under this chapter plus any	6443
amount determined under division (E) of this section by the total	6444
number of years, including any portion of a year, of contributing	6445
membership during that period. If contributions were made for less	6446
than twelve months, the member's final average salary is the total	6447
amount of compensation paid to the member during all periods of	6448
contributions under this chapter.	6449

(D) Contributions made by a member and an employer on amounts	6450
that, pursuant to division (B) of this section, are not	6451
compensation or are not included, pursuant to division (E) of this	6452
section, for the purpose of determining final average salary shall	6453
be treated as additional deposits to the member's account under	6454
section 3307.26 of the Revised Code and used to provide additional	6455
annuity income.	6456

(E) The state teachers retirement board shall adopt rules	6457
establishing criteria and procedures for administering this	6458
division.	6459

The board shall notify each applicant for retirement of any	6460
amount excluded from the applicant's compensation in accordance	6461
with division (B) of this section and of the procedures	6462
established by the board for requesting a hearing on this	6463
exclusion.	6464

Any applicant for retirement who has had any amount excluded	6465
from the applicant's compensation in accordance with division (B)	6466
of this section may request a hearing on this exclusion. Upon	6467
receiving such a request, the board shall determine in accordance	6468
with its criteria and procedures whether, for good cause as	6469
determined by the board, all or any portion of any amount excluded	6470
from the applicant's compensation in accordance with division (B)	6471
of this section, up to a maximum of seventy-five hundred dollars,	6472
is to be included in the determination of final average salary	6473
under division (C) of this section. Any determination of the board	6474
under this division shall be final.	6475

Sec. 3307.58.  Any member participating in the plan described	6476
in sections 3307.50 to 3307.79 of the Revised Code who has five	6477
years of service credit and has attained age sixty, or who has	6478
twenty-fivethirty years of service credit and has attained age	6479
fifty-five, or who has thirtythirty-five years of service credit	6480
at any age shall be granted service retirement after filing with	6481
the state teachers retirement board a completed application on a	6482
form approved by the board.	6483

(A) Service retirement shall be effective on the first day of	6484
the month next following the later of:	6485

(1) The last day for which compensation was paid; or

6486

(2) The attainment of minimum age or service credit	6487
eligibility for benefits provided under this section.	6488

Except as provided in division (E)(F) of this section, the	6489
service retirement benefit shall be the greater of the benefits	6490
provided in divisions (B) and (D)(E) of this section.	6491

(B) Subject to any adjustment made under(1) Except as	6492
provided in division (C)(B)(2) of this section, the annual single	6493
lifetime benefit of a member shall be the greater of the amounts	6494
determined by the member's Ohio service credit multiplied by one	6495
of the following:	6496

(1)(a) Eighty-six dollars;

6497

(2)(a) The sum of the following amounts:

6498

(i) For each of the first thirty years of Ohio service	6499
credit, two(b) Two and two-tenths per cent of the member's final	6500
average salary or, subject to the limitation described in division	6501
(B)(2)(b) of this section,for each of the first thirty years of	6502
Ohio service credit plus two and five-tenths per cent of the	6503
member's final average salary if the member has thirty-five or	6504
more years of service credit under section 3307.53, 3307.57,	6505
3307.75, 3307.751, 3307.752, 3307.761, 3307.763, 3307.77, or	6506
3307.771 of the Revised Code, division (A)(2) or (B) of former	6507
section 3307.513 of the Revised Code, former section 3307.514 of	6508
the Revised Code, section 3307.72 of the Revised Code earned after	6509
July 1, 1978, or any combination of service credit under those	6510
sections;	6511

(ii) For each year or fraction of a year of Ohio service	6512
credit in excess of thirty years, two and two-tenths per cent of	6513
the member's final average salary or, subject to the limitation	6514
described in division (B)(2)(b) of this section, if the member has	6515
more than thirty years service credit under section 3307.53,	6516
3307.57, 3307.75, 3307.751, 3307.752, 3307.761, 3307.763, 3307.77,	6517
or 3307.771 of the Revised Code, division (A)(2) or (B) of former	6518
section 3307.513 of the Revised Code, former section 3307.514 of	6519
the Revised Code, section 3307.72 of the Revised Code earned after	6520
July 1, 1978, or any combination of service credit under those	6521
sections, the per cent of final average salary shown in the	6522
following schedule for each corresponding year or fraction of a	6523
year of service credit under those sections that is in excess of	6524
thirty years:	6525

Year	Per	Year	Per		6526
of	Cent	of	Cent		6527
Service	for that	Service	for that		6528
Credit	Year	Credit	Year		6529
30.01 - 31.00	2.5%	35.01 - 36.00	3.0%		6530
31.01 - 32.00	2.6	36.01 - 37.00	3.1		6531
32.01 - 33.00	2.7	37.01 - 38.00	3.2		6532
33.01 - 34.00	2.8	38.01 - 39.00	3.3		6533
34.01 - 35.00	2.9				6534

For purposes of this schedule, years of service credit shall be	6535
rounded to the nearest one-hundredth of a year.	6536

(b) For purposes of division (B)(2)(a) of this section, a	6537
percentage of final average salary in excess of two and two-tenths	6538
per cent shall be applied to service credit under section 3307.57	6539
of the Revised Code only if the service credit was established	6540
under section 145.30, 145.301, 145.302, 145.47, 145.483, 3309.02,	6541
3309.021, 3309.022, or 3309.47 of the Revised Code or restored	6542
under section 145.31 or 3309.26 of the Revised Codefor each	6543
subsequent year of Ohio service credit.	6544

(2) A member's annual single lifetime benefit shall be	6545
reduced by a percentage determined by the board's actuary for each	6546
year the member retires before attaining the earliest of the	6547
following: earned at least thirty-five years of Ohio service	6548
credit, attained at least age sixty and earned at least thirty	6549
years of Ohio service credit, or attained at least age sixty-five	6550
and earned at least five years of Ohio service credit. The board's	6551
actuary may use an actuarially based average percentage reduction	6552
for purposes of division (B)(2) of this section.	6553

(C) The annual single lifetime benefit of a member determined	6554
under division (B) of this section shall be adjusted by the	6555
greater per cent shown in the following schedule opposite the	6556
member's attained age or Ohio service credit.	6557

Years of	Per Cent		6558
Attained	or	Ohio Service	of Base		6559
Age		Credit	Amount		6560
58		25	75%		6561
59		26	80		6562
60		27	85		6563
61			88		6564
28	90		6565
62			91		6566
63			94		6567
29	95		6568
64			97		6569
65		30 or more	100		6570

Members shall vest the right to a benefit in accordance with	6571
the following schedule, based on the member's attained age by	6572
September 1, 1976:	6573

		Per Cent			6574
	Attained	of Base			6575
	Age	Amount			6576
	66	102%			6577
	67	104			6578
	68	106			6579
	69	108			6580
	70 or more	110			6581

TheNotwithstanding divisions (A) and (B) of this section, on	6582
application, a member who, on July 1, 2015, has five or more years	6583
of Ohio service credit and has attained age sixty, has twenty-five	6584
or more years of Ohio service credit and has attained age	6585
fifty-five, or has thirty or more years of Ohio service credit	6586
shall be granted service retirement according to former section	6587
3307.58 of the Revised Code as in effect on that date. The	6588
member's benefit shall be the greater of the amount calculated	6589
under this section or the benefit the member would have been	6590
eligible for under the law in effect on July 1, 2015.	6591

(D) The annual single lifetime benefit determined under	6592
division (B) or (C) of this section shall not exceed the lesser of	6593
one hundred per cent of the final average salary or the limit	6594
established by section 415 of the "Internal Revenue Code of 1986,"	6595
100 Stat. 2085, 26 U.S.C.A. 415, as amended.	6596

(D)(E) The annual single lifetime benefit of a member shall	6597
not exceed the lesser of the sum of the following amounts or the	6598
limit established by section 415 of the "Internal Revenue Code of	6599
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended:	6600

(1) An annuity with a reserve equal to the member's	6601
accumulated contributions;	6602

(2) A pension equal to the amount in division (D)(E)(1) of	6603
this section;	6604

(3) An additional pension of forty dollars annually	6605
multiplied by the number of years of prior and military service	6606
credit, except years of credit purchased under section 3307.751 or	6607
3307.752 of the Revised Code;	6608

(4) An additional basic annual pension of one hundred eighty	6609
dollars, provided the member had ten or more years of Ohio service	6610
credit as of October 1, 1956, except that the additional basic	6611
annual pension shall not exceed the sum of the annual benefits	6612
provided by divisions (D)(E)(1), (2), and (3) of this section.	6613

(E)(F) Benefits determined under this section shall be paid	6614
as provided in section 3307.60 of the Revised Code.	6615

Sec. 3307.67.  (A) The state teachers retirement board shall	6616
annually increase each allowance or benefit payable under sections	6617
3307.50 to 3307.79 of the Revised Code by three per cent, except	6618
that noas follows:	6619

(1) Two per cent for each allowance or benefit that begins	6620
not later than July 31, 2011, or is preceded by a disability	6621
allowance granted prior to that date under section 3307.631 of the	6622
Revised Code that has been terminated under division (C)(1) or (3)	6623
of that section;	6624

(2) One and one-half per cent for each allowance or benefit	6625
that begins on or after August 1, 2011.	6626

(B) No allowance or benefit shall exceed the limit	6627
established by section 415 of the "Internal Revenue Code of 1986,"	6628
100 Stat. 2085, 26 U.S.C.A. 415, as amended.	6629

(C) The first increase is payable to all persons becoming	6630
eligible after June 30, 1971, upon such persons receiving an	6631
allowance or benefit for twelve months. The increased amount is	6632
payable for the ensuing twelve-month period or until the next	6633
increase is granted under this section, whichever is later.	6634
Subsequent increases shall be determined from the date of the	6635
first increase paid to the former member in the case of an	6636
allowance being paid a beneficiary under an option, or from the	6637
date of the first increase to the survivor first receiving an	6638
allowance or benefit in the case of an allowance or benefit being	6639
paid to the subsequent survivors of the former member.	6640

The date of the first increase under this section becomes the	6641
anniversary date for any future increases.	6642

The allowance or benefit used in the first calculation of an	6643
increase under this section shall remain as the base for all	6644
future increases, unless a new base is established.	6645

(B)(D) If payment of a portion of a benefit is made to an	6646
alternate payee under section 3307.371 of the Revised Code,	6647
increases under this section granted while the order is in effect	6648
shall be apportioned between the alternate payee and the benefit	6649
recipient in the same proportion that the amount being paid to the	6650
alternate payee bears to the amount paid to the benefit recipient.	6651

If payment of a portion of a benefit is made to one or more	6652
beneficiaries under "option 4" under division (A)(4) of section	6653
3307.60 of the Revised Code, each increase under this section	6654
granted while the plan of payment is in effect shall be divided	6655
among the designated beneficiaries in accordance with the portion	6656
each beneficiary has been allocated.	6657

(C)(E) The board shall make all rules necessary to carry out	6658
this section.	6659

Sec. 3309.26.  The membership of any person in the school	6660
employees retirement system shall terminate if the person	6661
withdraws the person's accumulated contributions, retires on a	6662
retirement allowance as provided in sections 3309.36, 3309.38, and	6663
3309.381 of the Revised Code, or dies, unless otherwise provided	6664
in Chapter 3309. of the Revised Code.	6665

A former member with an account in the employees' savings	6666
fund who formerly lost membership shall be reinstated as a member	6667
with all the rights, privileges, and obligations as provided in	6668
Chapter 3309. of the Revised Code.	6669

Except as provided in this section, a member or former member	6670
of the school employees retirement system with at least one and	6671
one-half years of contributing service credit in this system, the	6672
public employees retirement system, the state teachers retirement	6673
system, the Ohio police and fire pension fund, or the state	6674
highway patrol retirement system, subsequent to the withdrawal of	6675
contributions and cancellation of service credit in this system	6676
may restore such service credit by redepositing in the employees'	6677
savings fund the amount withdrawn with interest at a rate to be	6678
determined by the board, compounded annually, from the first of	6679
the month of withdrawal to and including the month of redeposit. A	6680
member may choose to purchase only part of such credit in any one	6681
payment, subject to board rules. The total payment to restore	6682
cancelled service credit, plus any interest credited thereto,	6683
shall be considered as accumulated contributions of the member. If	6684
a former member is eligible to buy the service credit as a member	6685
of the Ohio police and fire pension fund, the state highway patrol	6686
retirement system, or the city of Cincinnati retirement system,	6687
the former member is ineligible to restore that service credit	6688
under this section.	6689

Sec. 3309.312.  (A) Not later than ninety days after	6690
September 16, 1998, a member who, on September 16, 1998, is	6691
employed full time pursuant to section 3345.04 of the Revised Code	6692
by the university of Akron as a state university law enforcement	6693
officer may elect to transfer to the public employees retirement	6694
system in accordance with this section. An election shall be made	6695
by giving notice to the school employees retirement system on a	6696
form provided by the school employees retirement board and shall	6697
be irrevocable.	6698

(B) When a member makes the election described in this	6699
section, the school employees retirement system shall notify the	6700
public employees retirement system. The school employees	6701
retirement system shall transfer all of the member's service	6702
credit to the public employees retirement system and shall certify	6703
to the public employees retirement system a copy of the member's	6704
records of service and contributions. For each year or portion of	6705
a year of credit, the school employees retirement system shall	6706
transfer to the public employees retirement system all of the	6707
following:	6708

(1) An amount equal to the accumulated contributions standing	6709
to the member's credit;	6710

(2) An amount equal to the total employer contributions paid	6711
on behalf of the member;	6712

(3) Any amount paid by the member or employer to the school	6713
employees retirement system for the purchase of service credit.	6714

At the request of the public employees retirement system, the	6715
employer of a member who makes an election under this section	6716
shall certify to the public employees retirement system the	6717
member's salary.	6718

(C) A member who elects to transfer to the public employees	6719
retirement system under this section shall make contributions and	6720
receive benefits in accordance with divisions (B) to (F) of	6721
section 145.33145.332 of the Revised Code.	6722

(D) A member who fails to make an election in accordance with	6723
this section shall remain a member of the school employees	6724
retirement system.	6725

Sec. 3309.33. (A) An employer may establish a retirement	6726
incentive plan for its employees who are members of the school	6727
employees retirement system. The plan shall provide for purchase	6728
by the employer of service credit for eligible employees who	6729
choose to participate in the plan and for payment by the employer	6730
of the entire cost of such service credit. A plan established	6731
under this section shall remain in effect until terminated by the	6732
employer, except that, once established, the plan must remain in	6733
effect for at least one year.	6734

(B) ToAn employee who is a member of the school employees	6735
retirement system shall be eligible to participate in a retirement	6736
incentive plan, an employee must meet the following requirements:	6737

(1) Either of the following:

6738

(a) If the employee became a member of the retirement system	6739
before the effective date of this amendment, the member has	6740
attained fifty years of age;	6741

(b) If the employee became a member of the retirement system	6742
on or after the effective date of this amendment,established by	6743
the employer if the employee has attained fifty-fivefifty-seven	6744
years of age;	6745

(2) The employeeand agrees to retire and retires under	6746
section 3309.36 of the Revised Code effective within ninety days	6747
after receiving notice from the school employees retirement system	6748
that service credit has been purchased for the employee under this	6749
section.	6750

(C) Participation in the plan shall be available to all	6751
eligible employees except that the employer may limit the number	6752
of persons for whom it purchases credit in any calendar year to a	6753
specified percentage of its employees who are members of the	6754
school employees retirement system on the first day of January of	6755
that year. The percentage shall not be less than five per cent of	6756
such employees. If participation is limited, employees with a	6757
greater length of service with the employer have the right to	6758
elect to have credit purchased before employees with a lesser	6759
length of service with the employer.	6760

(D) The amount of service credit purchased for any	6761
participant shall be uniformly determined but shall not exceed the	6762
lesser of the following:	6763

(1) Five years of service credit;

6764

(2) An amount of service credit equal to one-fifth of the	6765
total service credited to the participant under Chapter 3309. of	6766
the Revised Code.	6767

For each year of service credit purchased under this section,	6768
the employer shall pay an amount specified by the school employees	6769
retirement board equal to the additional liability resulting from	6770
the purchase of that year of service credit as determined by an	6771
actuary employed by the board. Payments shall be made in	6772
accordance with rules adopted by the board, and the board shall	6773
notify each member when the member is credited with service	6774
purchased under this section.	6775

No payment made to the school employees retirement system	6776
under this section shall affect any payment required by section	6777
3309.49 of the Revised Code.	6778

Sec. 3309.34. (A)(1) A member of the school employees	6779
retirement system whose membership began before the effective date	6780
of this amendment is eligible for service retirement if the member	6781
has at least five years of total service credit and has attained	6782
sixty years of age, or if the member has at least thirty years of	6783
total service credit at any age. A member whose membership began	6784
before the effective date of this amendment is eligible for	6785
commuted service retirement if the member has at least twenty-five	6786
years of total service credit and has attained fifty-five years of	6787
age.	6788

(2) A member whose membership began on or after the effective	6789
date of this amendment is eligible for service retirement if the	6790
member meets one of the following requirements:	6791

(a)(1) Has earned at least ten years of total service credit	6792
and has attained sixty-two years of age;	6793

(b)(2) Has earned at least twenty-five years of total service	6794
credit and has attained sixty years of age;	6795

(c)(3) Has earned at least thirty years of total service	6796
credit and has attained fifty-fivefifty-seven years of age.	6797

(B) A member may retire by filing an application for	6798
retirement with the school employees retirement board on a form	6799
provided by the board. The board shall not retire the member	6800
sooner than the first day of the month next following the later	6801
of:	6802

(1) The last day of employment for which compensation was	6803
paid;	6804

(2) The attainment of minimum age and service credit	6805
eligibility for service or commuted service retirement.	6806

(C) At least once every ten years, the board shall direct its	6807
actuary to evaluate the retirement eligibility requirements of	6808
this section.	6809

Sec. 3309.341.  (A) As used in this section and section	6810
3309.344 of the Revised Code:	6811

(1) "SERS retirant" means any person who is receiving a	6812
retirement allowance from the school employees retirement system	6813
under section 3309.36, 3309.38, or 3309.381 or former section	6814
3309.38 of the Revised Code or any benefit paid under a plan	6815
established under section 3309.81 of the Revised Code.	6816

(2) "Other system retirant" means a member or former member	6817
of the public employees retirement system, Ohio police and fire	6818
pension fund, state teachers retirement system, state highway	6819
patrol retirement system, or Cincinnati retirement system who is	6820
receiving age and service or commuted age and service retirement,	6821
or a disability benefit from a system of which the retirant is a	6822
member or former member.	6823

(B)(1) Subject to this section and section 3309.345 of the	6824
Revised Code, an SERS retirant or other system retirant may be	6825
employed by a public employer. If so employed, the SERS retirant	6826
or other system retirant shall contribute to the school employees	6827
retirement system in accordance with section 3309.47 of the	6828
Revised Code, and the employer shall make contributions in	6829
accordance with section 3309.49 of the Revised Code.	6830

(2) An employer that employs an SERS retirant or other system	6831
retirant shall notify the retirement board of the employment not	6832
later than the end of the month in which the employment commences.	6833
On receipt of notice from an employer that a person who is an	6834
other system retirant has been employed, the school employees	6835
retirement system shall notify the state retirement system of	6836
which the other system retirant was a member of such employment.	6837

(C) An SERS retirant or other system retirant who has	6838
received a retirement allowance or disability benefit for less	6839
than two months when employment subject to this section commences	6840
shall forfeit the retirement allowance or disability benefit for	6841
any month the SERS retirant or other system retirant is employed	6842
prior to the expiration of the two-month period. Service and	6843
contributions for that period shall not be included in the	6844
calculation of any benefits payable to the SERS retirant or other	6845
system retirant, and those contributions shall be refunded on	6846
death or termination of the employment. Contributions made on	6847
compensation earned after the expiration of such period shall be	6848
used in the calculation of the benefit or payment due under	6849
section 3309.344 of the Revised Code.	6850

(D) On receipt of notice from the Ohio police and fire	6851
pension fund, public employees retirement system, or state	6852
teachers retirement system of the re-employment of an SERS	6853
retirant, the school employees retirement system shall not pay, or	6854
if paid shall recover, the amount to be forfeited by the SERS	6855
retirant in accordance with section 145.38, 742.26, or 3307.35 of	6856
the Revised Code.	6857

(E) An SERS retirant or other system retirant subject to this	6858
section is not a member of the school employees retirement system;	6859
does not have any of the rights, privileges, or obligations of	6860
membership, except as specified in this section; and is not	6861
eligible to receive health, medical, hospital, or surgical	6862
benefits under section 3309.69 of the Revised Code for employment	6863
subject to this section.	6864

(F) If the disability benefit of an other system retirant	6865
employed under this section is terminated, the retirant shall	6866
become a member of the school employees retirement system,	6867
effective on the first day of the month next following the	6868
termination, with all the rights, privileges, and obligations of	6869
membership. If the retirant, after the termination of the	6870
disability benefit, earns two years of service credit under this	6871
retirement system or under the public employees retirement system,	6872
Ohio police and fire pension fund, state teachers retirement	6873
system, or state highway patrol retirement system, the retirant's	6874
prior contributions as an other system retirant under this section	6875
shall be included in the retirant's total service credit as a	6876
school employees retirement system member, and the retirant shall	6877
forfeit all rights and benefits of this section. Not more than one	6878
year of credit may be given for any period of twelve months.	6879

(G) This section does not affect the receipt of benefits by	6880
or eligibility for benefits of any person who on August 29, 1976,	6881
was receiving a disability benefit or service retirement pension	6882
or allowance from a state or municipal retirement system in Ohio	6883
and was a member of any other state or municipal retirement system	6884
of this state.	6885

(H) The school employees retirement board may adopt rules to	6886
carry out this section.	6887

Sec. 3309.343.  (A) As used in this section:

6888

(1) In addition to the meaning in section 3309.01 of the	6889
Revised Code, when appropriate "compensation" has the same meaning	6890
as in section 3307.01 of the Revised Code.	6891

(2) "Earnable salary" has the same meaning as in section	6892
145.01 of the Revised Code.	6893

(3) "SERS position" means a position for which a member of	6894
the school employees retirement system is making contributions to	6895
the system.	6896

(4) "Other state retirement system" means the public	6897
employees retirement system or the state teachers retirement	6898
system.	6899

(5) "State retirement system" means the public employees	6900
retirement system, state teachers retirement system, or the school	6901
employees retirement system.	6902

(B)(1) A member of the school employees retirement system who	6903
holds two or more SERS positions may retire under section 3309.35,	6904
3309.36, 3309.38, or 3309.46 of the Revised Code from the position	6905
for which the annual compensation at the time of retirement is	6906
highest and continue to contribute to the retirement system for	6907
the other SERS position or positions.	6908

(2) A member of the school employees retirement system who	6909
also holds one or more other positions covered by the other state	6910
retirement systems may retire under section 3309.35, 3309.36,	6911
3309.38, or 3309.46 of the Revised Code from the SERS position and	6912
continue contributing to the other state retirement systems if the	6913
annual compensation for the SERS position at the time of	6914
retirement is greater than annual compensation or earnable salary	6915
for the position, or any of the positions, covered by the other	6916
state retirement systems.	6917

(3) A member of the school employees retirement system who	6918
holds two or more SERS positions and at least one other position	6919
covered by one of the other state retirement systems may retire	6920
under section 3309.35, 3309.36, 3309.38, or 3309.46 of the Revised	6921
Code from one of the SERS positions and continue contributing to	6922
the school employees retirement system and the other state	6923
retirement system if the annual compensation for the SERS position	6924
from which the member is retiring is, at the time of retirement,	6925
greater than the annual compensation or earnable salary for any of	6926
the positions for which the member is continuing to make	6927
contributions.	6928

(4) A member of the school employees retirement system who	6929
has retired as provided in division (B)(2) or (3) of section	6930
145.383 or division (B)(2) or (3) of section 3307.351 of the	6931
Revised Code may continue to contribute to the school employees	6932
retirement system for an SERS position if the member held the	6933
position at the time of retirement from the other state retirement	6934
system.	6935

(5) A member who contributes to the school employees	6936
retirement system in accordance with division (B)(1), (3), or (4)	6937
of this section shall contribute in accordance with section	6938
3309.47 of the Revised Code. The member's employer shall	6939
contribute as provided in section 3309.49 of the Revised Code.	6940
Neither the member nor the member's survivors are eligible for any	6941
benefits based on those contributions other than those provided	6942
under section 145.384, 3307.352, or 3309.344 of the Revised Code.	6943

(C)(1) In determining retirement eligibility and the annual	6944
retirement allowance of a member who retires as provided in	6945
division (B)(1), (2), or (3) of this section, the following shall	6946
be used to the date of retirement:	6947

(a) The member's earnable salary and compensation for all	6948
positions covered by a state retirement system;	6949

(b) Total service credit in any state retirement system,	6950
except that the credit shall not exceed one year of credit for any	6951
period of twelve months;	6952

(c) The member's accumulated contributions.

6953

(2) A member who retires as provided in division (B)(1), (2),	6954
or (3) of this section is a retirant for all purposes of this	6955
chapter, except that the member is not subject to section 3309.341	6956
of the Revised Code for a position or positions for which	6957
contributions continue under those divisions or division (B)(4) of	6958
this section.	6959

(D) A retired member receiving a benefit under section	6960
3309.344 of the Revised Code based on employment subject to this	6961
section is not a member of the school employees retirement system	6962
and does not have any rights, privileges, or obligations of	6963
membership. The retired member is an SERS retirant for purposes of	6964
section 3309.341 of the Revised Code.	6965

(E) The school employees retirement board may adopt rules to	6966
carry out this section.	6967

Sec. 3309.353.  As used in this section, "benefit" means any	6968
allowance, pension, or other benefit to which an individual is	6969
entitled and that hethe individual receives pursuant to section	6970
3309.36, 3309.38, 3309.40, 3309.45, or 3309.46 or former section	6971
3309.38 of the Revised Code.	6972

The annual amount of each benefit for which eligibility was	6973
established prior to February 1, 1983, shall, after the adjustment	6974
required by section 3309.374 of the Revised Code, be increased by	6975
five per cent.	6976

Sec. 3309.354.  As used in this section, "benefit" means any	6977
allowance, pension, or other benefit to which an individual is	6978
entitled and that he receives pursuant to section 3309.35,	6979
3309.36, 3309.38, 3309.40, 3309.45, or 3309.46 or former section	6980
3309.38 of the Revised Code.	6981

Effective the first day of the month following the effective	6982
date of this sectionSeptember 9, 1988, the annual amount of	6983
benefits shall be increased as follows:	6984

(A) The annual amount of each benefit for which eligibility	6985
was established prior to February 1, 1983, shall, after all	6986
adjustments required by this chapter, be increased by two per	6987
cent;	6988

(B) The annual amount of each benefit for which eligibility	6989
was established on or after February 1, 1983, but prior to the	6990
effective date of this sectionSeptember 9, 1988, shall, after all	6991
adjustments required by this chapter, be increased by five per	6992
cent.	6993

Sec. 3309.36.  (A)(1) A member of the school employees	6994
retirement system whose membership began before the effective date	6995
of this amendment who retires on service retirement shall be	6996
granted a retirement allowance consisting of the lesser of the sum	6997
of the following amounts or the limit established by section 415	6998
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.	6999
415, as amended:	7000

(a)(1) An annuity having a reserve equal to the amount of the	7001
employee's accumulated contributions at that time;	7002

(b)(2) A pension of equivalent amount;

7003

(c) An additional pension of forty dollars multiplied by the	7004
number of years of such prior service credit;	7005

(d)(3) For members who have ten or more years of service	7006
credit accumulated prior to October 1, 1956, a basic annual	7007
pension equal to one hundred eighty dollars, except that such	7008
basic annual pension shall not exceed the sum of the total annual	7009
benefits provided by divisions (A)(1),and (2), and (3) of this	7010
section.	7011

(2) A member whose membership began on or after the effective	7012
date of this amendment who retires on service retirement shall be	7013
granted a retirement allowance consisting of the lesser of the sum	7014
of the following amounts or the limit established by section 415	7015
of the "Internal Revenue Code of 1986":	7016

(a) An annuity having a reserve equal to the amount of the	7017
employee's accumulated contributions at that time;	7018

(b) A pension of equivalent amount.

7019

(B)(1) When a member retires on service retirement, the	7020
member's allowance when computed as an annual single lifetime	7021
allowance as provided in divisionsdivision (A)(1) and (2) of this	7022
section and section 3309.38 of the Revised Code, based upon	7023
attained age sixty-fivesixty-seven or thirty years of total	7024
service credit, shall be not less than the greater of the amounts	7025
determined by multiplying the member's total service credit by the	7026
following:	7027

(a) Eighty-six dollars;

7028

(b) Two and two-tenths per cent of the member's final average	7029
salary for each of the first thirty years of service credit or	7030
fraction thereof plus two and one-half per cent of the member's	7031
final average salary for each subsequent year of service credit or	7032
fraction thereof.	7033

(2) For a member whose membership began before the effective	7034
date of this amendment, the annual single lifetime allowance	7035
determined under division (B)(1) of this section shall be adjusted	7036
by the greater percentage shown in the following schedule opposite	7037
the member's attained age or years of Ohio service credit:	7038

Years of	Per Cent		7039
Attained	or	Ohio Service	of		7040
Age		Credit	Base Amount		7041
58		25	75%		7042
59		26	80		7043
60		27	85		7044
61			88		7045
28	90		7046
62			91		7047
63			94		7048
29	95		7049
64			97		7050
65		30 or more	100		7051

For a member whose membership began before the effective date of	7052
this amendment, the right to a benefit shall vest in accordance	7053
with the following schedule, based on the member's attained age by	7054
September 1, 1976:	7055

	Per Cent		7056
Attained	of		7057
Age	Base Amount		7058
66	102		7059
67	104		7060
68	106		7061
69	108		7062
70 or more	110		7063

(3) For a member whose membership began on or after the	7064
effective date of this amendment, theThe annual single lifetime	7065
allowance determined under division (B)(1) of this section shall	7066
be adjusted to be the actuarial equivalent of the member's	7067
retirement allowance, as determined by the retirement board's	7068
actuary, had the member retired at age sixty-fivesixty-seven or	7069
with thirty years of service credit, except that the retirement	7070
allowance shall not be less than the following:	7071

	Per Cent		7072
Years of Service	of		7073
Credit	Base Amount		7074
25	75%		7075
26	80		7076
27	85		7077
28	90		7078
29	95		7079

(4)(3) The annual single lifetime allowance which a retirant	7080
shall receive under this division shall not exceed the lesser of	7081
one hundred per cent of the member's final average salary or the	7082
limit established by section 415 of the "Internal Revenue Code of	7083
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended.	7084

(C) Retirement allowances determined under this section shall	7085
be paid as provided in section 3309.46 of the Revised Code.	7086

(D) At least once every ten years, the school employees	7087
retirement board shall direct its actuary to evaluate the	7088
actuarial equivalents in division (B)(3)(2) of this section to	7089
determine their appropriateness. The board may adjust the	7090
actuarial equivalents in accordance with the actuary's	7091
recommendations.	7092

Sec. 3309.362.  As used in this section, "benefit" means any	7093
allowance, pension, or other benefit to which an individual is	7094
entitled and that hethe individual receives under section	7095
3309.35, 3309.36, 3309.38, 3309.40, 3309.45, or 3309.46 or former	7096
section 3309.38 of the Revised Code.	7097

Effective July 1, 1981:

7098

(A) The annual amount of each benefit for which eligibility	7099
was established prior to January 1, 1977, shall, after the	7100
adjustment required by section 3309.374 of the Revised Code, be	7101
increased by six per cent or six hundred dollars, whichever is	7102
less.	7103

(B) The annual amount of each benefit for which eligibility	7104
was established on or after January 1, 1977, but prior to January	7105
1, 1980, shall, after the adjustment required by section 3309.374	7106
of the Revised Code, be increased by four per cent or four hundred	7107
dollars, whichever is less.	7108

Sec. 3309.371.  On and after October 1, 1957, all persons in	7109
receipt of, or who are or become eligible to receive, a monthly	7110
allowance, pension, or other benefit effective prior to June 29,	7111
1955, which is payable or becomes payable pursuant to sections	7112
3309.36 to 3309.383309.3712, 3309.40, and 3309.65 and former	7113
section 3309.38 of the Revised Code, or an allowance payable at	7114
any time under an option elected by a member and effective prior	7115
to that date, shall be paid an increased allowance, pension, or	7116
benefit as follows:	7117

(A) An amount determined by increasing the original	7118
allowance, pension, or benefit by the following percentages as	7119
determined by the calendar year in which the allowance, pension,	7120
or benefit became effective:	7121

Calendar Year		Per Cent		7122
Effective		of Increase		7123
1937 - 1939		100		7124
1940		94		7125
1941		89		7126
1942		77		7127
1943		70		7128
1944		68		7129
1945		66		7130
1946		55		7131
1947		35		7132
1948		23		7133
1949		25		7134
1950		23		7135
1951		8		7136
1952		4		7137
1953		3		7138
1954		2		7139
Prior to June 29, 1955		2		7140

(B) If the amount of any such allowance, pension, or other	7141
benefit is increased by division (A) of this section to an amount	7142
less than one hundred ten per cent of the present amount payable	7143
immediately prior to October 1, 1957, such present amount shall be	7144
increased by ten per cent.	7145

(C) On and after August 1, 1959, the monthly allowance,	7146
pension, or other benefit effective prior to June 29, 1955,	7147
(exclusive of any amount receivable monthly by reason of a	7148
voluntary deposit made for additional annuity), together with the	7149
supplemental allowance payable pursuant to divisions (A) and (B)	7150
of this section, shall be increased by twelve per cent.	7151

Sec. 3309.373.  (A) On and after July 1, 1968, all	7152
allowances, pensions, or other benefits, which are payable or	7153
become payable and for which eligibility is established prior to	7154
July 1, 1968, pursuant to sections 3309.35, 3309.36, 3309.38,	7155
3309.40, 3309.45, and 3309.46 and former section 3309.38 of the	7156
Revised Code shall be increased by the percentages as determined	7157
by the effective date of the allowance, pension, or benefit as	7158
follows:	7159

	Effective Date of Benefit	Percentage of		7160
	Calendar Year	Increase		7161
	1937 through 1955	24.3		7162
	1956	22.5		7163
	1957	18.4		7164
	1958	15.2		7165
	1959	14.3		7166
	1960	12.5		7167
	1961	11.3		7168
	1962	10.1		7169
	1963	8.7		7170
	1964	7.3		7171
	1965	5.6		7172
	1966	2.6		7173
	1967	2.0		7174
	January 1, 1968 through June 30, 1968	2.0		7175

(B)(1) All increases as determined by applying the	7176
percentages in the table in division (A) of this section shall be	7177
reduced by the dollar amount of the increases granted in 1965	7178
pursuant to section 3309.372 of the Revised Code, except that no	7179
allowance, pension, or benefit shall be reduced below the amount	7180
due June 30, 1968 and no allowance granted under this section	7181
shall be less than a total annual sum of thirty-six dollars.	7182

(2) The allowances increased by division (A) of this section	7183
shall exclude any monthly amount payable by reason of any	7184
voluntary deposits made under section 3309.47 of the Revised Code.	7185

(3) The increases provided by this section shall be granted	7186
notwithstanding the final average salary limitation in sections	7187
3309.36, 3309.40, and 3309.45 of the Revised Code.	7188

(4) The cost of the increases provided by this section shall	7189
be included in the employer contribution rate provided by section	7190
3309.49 of the Revised Code. Such employer's contribution rate	7191
shall not be increased until July 1, 1969 or later to reflect the	7192
increased costs created by this section.	7193

Sec. 3309.376.  On and after December 31, 1971, all persons	7194
who retired and were eligible to receive a pension that was	7195
payable prior to July 1, 1968, pursuant to section 3309.36,	7196
3309.38, or 3309.40 or former section 3309.38 of the Revised Code,	7197
or in the event of the death of such persons, the person	7198
designated by the deceased to receive payments under section	7199
3309.46 of the Revised Code, shall receive an additional monthly	7200
payment of two dollars for each year between the member's	7201
effective date of retirement or disability and December 31, 1971,	7202
or an additional fifty dollars, whichever is less.	7203

Sec. 3309.379.  (A) On and after the first day of the month	7204
following the effective date of this section, each person eligible	7205
to receive an allowance, pension, or benefit, pursuant to sections	7206
3309.35, 3309.36, 3309.38, 3309.40, division (A) of section	7207
3309.45, and section 3309.46 and former section 3309.38 of the	7208
Revised Code, that was based upon an award made effective before	7209
June 30, 1955, shall have the allowance, pension, or benefit	7210
payable as of September 30, 1974, recalculated by the school	7211
employees retirement board so that each such person shall receive	7212
an annual single lifetime allowance, pension, or benefit or its	7213
actuarial equivalent of not less than one hundred forty dollars	7214
for each year of the member's total service credit, except that	7215
service credit exceeding thirty-two years shall not be used in the	7216
recalculation, and a final average salary limitation shall not be	7217
applied.	7218

If the amount of the allowance, pension, or benefit	7219
recalculated under this division is less than the amount that is	7220
payable on the effective date of this section, then the greater	7221
allowance, pension, or benefit shall be continued.	7222

(B) On and after the first day of the month following the	7223
effective date of this section, each person receiving an	7224
allowance, pension, or benefit, pursuant to sections 3309.35,	7225
3309.36, 3309.38, 3309.40, division (A) of section 3309.45, and	7226
section 3309.46 and former section 3309.38 of the Revised Code,	7227
that was first effective on and after June 30, 1955, through June	7228
30, 1971, shall be paid an increased allowance, pension, or	7229
benefit as follows:	7230

Effective Date of the Member's				7231
Allowance, Pension, or Benefit:		Per Cent of Increase:		7232
June 30, 1955 through June 29, 1959		33		7233
June 30, 1959, through October 31, 1965		21		7234
November 1, 1965, through June 30, 1968		14		7235
July 1, 1968, through June 30, 1971		5		7236

The increase shall be applied to the allowance, pension, or	7237
benefit payable on the effective date of this section.	7238

(C) On and after the first day of the month following the	7239
effective date of this section, each person receiving or qualified	7240
to receive an allowance, pension, or benefit, pursuant to division	7241
(B) of section 3309.45 of the Revised Code, that was effective on	7242
and after June 14, 1951, through August 26, 1970, shall receive an	7243
increase in such allowance, pension, or benefit in the amount of	7244
twenty per cent.	7245

Sec. 3309.3710.  (A) Effective July 1, 1981, each person	7246
eligible to receive an allowance, pension, or benefit pursuant to	7247
sections 3309.35, 3309.36, 3309.38, 3309.40, division (A) of	7248
section 3309.45, and section 3309.46 and former section 3309.38 of	7249
the Revised Code that was based upon an award made effective	7250
before July 1, 1974, shall have the person's monthly allowance,	7251
pension, or benefit increased by five per cent, except that the	7252
twelve-month sum of such increases shall not exceed five per cent	7253
of the first five thousand dollars of the annual allowance,	7254
pension, or benefit.	7255

(B) Effective July 1, 1981, each person receiving or	7256
qualified to receive a benefit, pursuant to division (B) of	7257
section 3309.45 of the Revised Code, that was effective on and	7258
after June 14, 1951, through August 26, 1970, shall receive an	7259
increase in such benefit of five per cent.	7260

(C) The increases provided in divisions (A) and (B) of this	7261
section shall be applied to the benefit payable on and after July	7262
1, 1981.	7263

(D) The increase in the monthly allowance, pension, or	7264
benefit provided in divisions (A) and (B) of this section shall be	7265
included in the calculation of additional benefits to recipients	7266
under section 3309.374 of the Revised Code.	7267

(E) The benefits provided in divisions (A) and (B) of this	7268
section are a continuation of those first provided in Am. Sub.	7269
H.B. 204 as passed by the 113th general assembly.	7270

Sec. 3309.3711.  Whenever the limits established by section	7271
415 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	7272
U.S.C.A. 415, as amended, are raised, the school employees	7273
retirement board shall increase the amount of the pension,	7274
benefit, or allowance of any person whose pension, benefit, or	7275
allowance payable under section 3309.36, 3309.374, 3309.38,	7276
3309.381, 3309.40, or 3309.401 or former section 3309.38 of the	7277
Revised Code was limited by the application of section 415. The	7278
amount of the increased pension, benefit, or allowance shall not	7279
exceed the lesser of the amount the person would have received if	7280
the limits established by section 415 had not been applied or the	7281
amount the person is eligible to receive subject to the new limits	7282
established by section 415.	7283

Sec. 3309.39.  (A) The school employees retirement system	7284
shall provide disability coverage to each member who has at least	7285
five years of total service credit.	7286

Not later than October 16, 1992, the school employees	7287
retirement board shall give each person who is a member on July	7288
29, 1992, the opportunity to elect disability coverage either	7289
under section 3309.40 of the Revised Code or under section	7290
3309.401 of the Revised Code. The board shall mail notice of the	7291
election, accompanied by an explanation of the coverage under each	7292
of the Revised Code sections and a form on which the election is	7293
to be made, to each member at the member's last known address. The	7294
board shall also provide the explanation and form to any member at	7295
the member's request.	7296

Regardless of whether the member actually receives notice of	7297
the right to make an election, a member who fails to file a valid	7298
election under this section shall be considered to have elected	7299
disability coverage under section 3309.40 of the Revised Code. To	7300
be valid, an election must be made on the form provided by the	7301
retirement board, signed by the member, and filed with the board	7302
not later than one hundred eighty days after the date the notice	7303
was mailed, or, in the case of a form provided at the request of a	7304
member, a date specified by rule of the retirement board. Once	7305
made, an election is irrevocable, but if the member ceases to be a	7306
member of the retirement system, the election is void. If a person	7307
who makes an election under this section also makes an election	7308
under section 145.35 or 3307.62 of the Revised Code, the election	7309
made for the system that pays a disability benefit to that person	7310
shall govern the benefit.	7311

Disability coverage shall be provided under section 3309.401	7312
of the Revised Code for persons who become members after July 29,	7313
1992, and for members who elect under this division to be covered	7314
under section 3309.401 of the Revised Code.	7315

The retirement board may adopt rules governing elections made	7316
under this division.	7317

(B) Application for a disability benefit may be made by a	7318
member, by a person acting in the member's behalf, or by the	7319
member's employer, provided the member has at least five years of	7320
total service credit and has disability coverage under section	7321
3309.40 or 3309.401 of the Revised Code. The application for a	7322
disability benefit shall be made on a form provided by the	7323
retirement board. The benefit payable to any member who is	7324
approved for a disability benefit shall become effective on the	7325
first day of the month next following the later of the following:	7326

(1) The last day for which compensation was paid;

7327

(2) The date on which the member was first incapacitated by	7328
the disabling condition.	7329

(C) Medical examination of a member who has applied for a	7330
disability benefit shall be conducted by a competent disinterested	7331
physician or physicians selected by the retirement board to	7332
determine whether the member is mentally or physically	7333
incapacitated for the performance of the member's last assigned	7334
primary duty as an employee by a disabling condition either	7335
permanent or presumed to be permanent for twelve continuous months	7336
following the filing of an application. Such disability must have	7337
occurred since last becoming a member or have increased since last	7338
becoming a member to such extent as to make the disability	7339
permanent or presumed to be permanent for twelve continuous months	7340
following the filing of an application.	7341

(D) Application for a disability benefit must be made within	7342
two years from the date the member's contributing service	7343
terminated, unless the retirement board determines that the	7344
member's medical records demonstrate conclusively that at the time	7345
the two-year period expired, the member was physically or mentally	7346
incapacitated for duty as an employee and unable to make	7347
application. Application may not be made by any person receiving a	7348
service retirement allowance or commuted service retirement	7349
allowance under section 3309.36, 3309.38, or 3309.381 or former	7350
section 3309.38 of the Revised Code or any person who, pursuant to	7351
section 3309.42 of the Revised Code, has been paid the accumulated	7352
contributions standing to the credit of the person's individual	7353
account in the employees' savings fund.	7354

(E) If the physician or physicians determine that the member	7355
qualifies for a disability benefit, the retirement board concurs	7356
with the determination, and the member agrees to medical treatment	7357
as specified in division (F) of this section, the member shall	7358
receive a disability benefit under section 3309.40 or 3309.401 of	7359
the Revised Code. The action of the board shall be final. At the	7360
time the board decides it concurs with the determination of the	7361
physician or physicians, the board shall determine the date on	7362
which the member was first incapacitated by the disabling	7363
condition.	7364

(F) The school employees retirement board shall adopt rules	7365
requiring a disability benefit recipient, as a condition of	7366
continuing to receive a disability benefit, to agree in writing to	7367
obtain any medical treatment recommended by the board's physician	7368
and submit medical reports regarding the treatment. If the board	7369
determines that a disability benefit recipient is not obtaining	7370
the medical treatment or the board does not receive a required	7371
medical report, the disability benefit shall be suspended until	7372
the treatment is obtained, the report is received by the board, or	7373
the board's physician certifies that the treatment is no longer	7374
helpful or advisable. Should the recipient's failure to obtain	7375
treatment or submit a medical report continue for one year, the	7376
recipient's right to the disability benefit shall be terminated as	7377
of the effective date of the original suspension.	7378

(G) In the event an employer files an application for a	7379
disability benefit as a result of a member having been separated	7380
from service because the member is considered to be mentally or	7381
physically incapacitated for the performance of the member's last	7382
assigned primary duty as an employee, and the physician or	7383
physicians selected by the board report to the board that the	7384
member is physically and mentally capable of performing service	7385
similar to that from which the member was separated, and the board	7386
concurs in such report, then the board shall so certify to the	7387
employer and the employer shall restore the member to the member's	7388
previous position and salary or to a similar position and salary.	7389

Sec. 3309.401.  (A) A member with disability coverage under	7390
this section who is determined by the school employees retirement	7391
board under section 3309.39 of the Revised Code to qualify for a	7392
disability benefit shall receive a disability allowance under this	7393
section. The allowance shall be an annual amount equal to the	7394
greater of the following:	7395

(1) Forty-five per cent of the member's final average salary;

7396

(2) The member's total service credit multiplied by two and	7397
two-tenths per cent of the member's final average salary, not	7398
exceeding sixty per cent of the member's final average salary.	7399

(B) Sufficient reserves for payment of the disability	7400
allowance shall be transferred to the annuity and pension reserve	7401
fund from the employers' accumulation fund. The accumulated	7402
contributions of the member shall remain in the employees' savings	7403
fund. No part of the allowance paid under this section shall be	7404
charged against the member's accumulated contributions.	7405

(C) A disability allowance paid under this section shall	7406
terminate at the earliest of the following:	7407

(1) The effective date of service retirement under section	7408
3309.35,or 3309.36, or 3309.38 of the Revised Code;	7409

(2) The date the allowance is terminated under section	7410
3309.41 of the Revised Code;	7411

(3) The later of the last day of the month in which the	7412
recipient attains age sixty-five, or the last day of the month in	7413
which the benefit period ends as follows:	7414

	Attained Age at Effective Date				7415
	of Disability Allowance		Benefit Period		7416

	60 or 61		60 months		7417
	62 or 63		48 months		7418
	64 or 65		36 months		7419
	66, 67, or 68		24 months		7420
	69 or older		12 months		7421

Sec. 3309.45.  Except as provided in division (C)(1) of this	7422
section, in lieu of accepting the payment of the accumulated	7423
account of a member who dies before service retirement, the	7424
beneficiary, as determined in section 3309.44 of the Revised Code,	7425
may elect to forfeit the accumulated account and to substitute	7426
certain other benefits either under division (A) or (B) of this	7427
section.	7428

(A)(1) If a deceased member was eligible for a service	7429
retirement allowance as provided in section 3309.36, 3309.38, or	7430
3309.381 of the Revised Code, a surviving spouse or other sole	7431
dependent beneficiary may elect to receive a monthly benefit	7432
computed as the joint-survivor allowance designated as "plan D" in	7433
section 3309.46 of the Revised Code, which the member would have	7434
received had the member retired on the last day of the month of	7435
death and had the member at that time selected such joint-survivor	7436
plan. Payment shall begin with the month subsequent to the	7437
member's death.	7438

(2) Beginning on a date selected by the school employees	7439
retirement board, which shall be not later than July 1, 2004, a	7440
surviving spouse or other sole dependent beneficiary may elect, in	7441
lieu of a monthly payment under division (A)(1) of this section, a	7442
plan of payment consisting of both of the following:	7443

(a) A lump sum in an amount the surviving spouse or other	7444
sole dependent beneficiary designates that constitutes a portion	7445
of the allowance that would be payable under division (A)(1) of	7446
this section;	7447

(b) The remainder of that allowance in monthly payments.

7448

The total amount paid as a lump sum and a monthly benefit	7449
shall be the actuarial equivalent of the amount that would have	7450
been paid had the lump sum not been selected.	7451

The lump sum amount designated by the surviving spouse or	7452
other sole dependent beneficiary under division (A)(2)(a) of this	7453
section shall be not less than six times and not more than	7454
thirty-six times the monthly amount that would be payable to the	7455
surviving spouse or other sole dependent beneficiary under	7456
division (A)(1) of this section and shall not result in a monthly	7457
benefit that is less than fifty per cent of that monthly amount.	7458

(B) If the deceased member had completed at least one and	7459
one-half years of credit for Ohio service, with at least	7460
one-quarter year of Ohio contributing service credit within the	7461
two and one-half years prior to the date of death, or was	7462
receiving at the time of death a disability benefit as provided in	7463
section 3309.40 or 3309.401 of the Revised Code, qualified	7464
survivors who elect to receive monthly benefits shall receive the	7465
greater of the benefits provided in division (B)(1)(a) or (b) as	7466
allocated in accordance with division (B)(5) of this section.	7467

	(1)(a) Number			Or		7468
	of Qualified			Monthly		7469
	survivors	Annual Benefit as a Per		Benefit		7470
	affecting	Cent of Decedent's Final		shall not be		7471
	the benefit	Average Salary		less than		7472

	1		25%		$96		7473
	2		40		186		7474
	3		50		236		7475
	4		55		236		7476
	5 or more		60		236		7477

(b) Years of Service

Annual Benefit as a Per Cent of Member's Final Average Salary

7478

20	29%		7479
21	33		7480
22	37		7481
23	41		7482
24	45		7483
25	48		7484
26	51		7485
27	54		7486
28	57		7487
29 or more	60		7488

(2) Benefits shall begin as qualified survivors meet	7489
eligibility requirements as follows:	7490

(a) A qualified spouse is the surviving spouse of the	7491
deceased member who is age sixty-two, or regardless of age if the	7492
deceased member had ten or more years of Ohio service credit, or	7493
regardless of age if caring for a surviving child, or regardless	7494
of age if adjudged physically or mentally incompetent.	7495

(b) A qualified child is any child of the deceased member who	7496
has never been married and to whom one of the following applies:	7497

(i) Is under age eighteen, or under age twenty-two if the	7498
child is attending an institution of learning or training pursuant	7499
to a program designed to complete in each school year the	7500
equivalent of at least two-thirds of the full-time curriculum	7501
requirements of such institution and as further determined by	7502
board policy;	7503

(ii) Regardless of age, is adjudged physically or mentally	7504
incompetent if the incompetence existed prior to the member's	7505
death and prior to the child attaining age eighteen, or age	7506
twenty-two if attending an institution described in division	7507
(B)(2)(b)(i) of this section.	7508

(c) A qualified parent is a dependent parent aged sixty-five	7509
or older.	7510

(3) "Physically or mentally incompetent" as used in this	7511
section may be determined by a court of jurisdiction, or by a	7512
physician appointed by the retirement board. Incapability of	7513
earning a living because of a physically or mentally disabling	7514
condition shall meet the qualifications of this division.	7515

(4) Benefits to a qualified survivor shall terminate upon a	7516
first marriage, abandonment, adoption, or during active military	7517
service. Benefits to a deceased member's surviving spouse that	7518
were terminated under a former version of this section that	7519
required termination due to remarriage and were not resumed prior	7520
to September 16, 1998, shall resume on the first day of the month	7521
immediately following receipt by the board of an application on a	7522
form provided by the board.	7523

Upon the death of any subsequent spouse who was a member of	7524
the public employees retirement system, state teachers retirement	7525
system, or school employees retirement system, the surviving	7526
spouse of such member may elect to continue receiving benefits	7527
under this division, or to receive survivor's benefits, based upon	7528
the subsequent spouse's membership in one or more of the systems,	7529
for which such surviving spouse is eligible under this section or	7530
section 145.45 or 3307.66 of the Revised Code. If the surviving	7531
spouse elects to continue receiving benefits under this division,	7532
such election shall not preclude the payment of benefits under	7533
this division to any other qualified survivor.	7534

Benefits shall begin or resume on the first day of the month	7535
following the attainment of eligibility and shall terminate on the	7536
first day of the month following loss of eligibility.	7537

(5)(a) If a benefit is payable under division (B)(1)(a) of	7538
this section, benefits to a qualified spouse shall be paid in the	7539
amount determined for the first qualifying survivor in division	7540
(B)(1)(a) of this section, but shall not be less than one hundred	7541
six dollars per month if the deceased member had ten or more years	7542
of Ohio service credit. All other qualifying survivors shall share	7543
equally in the benefit or remaining portion thereof.	7544

(b) All qualifying survivors shall share equally in a benefit	7545
payable under division (B)(1)(b) of this section, except that if	7546
there is a surviving spouse, the surviving spouse shall receive no	7547
less than the greater of the amount determined for the first	7548
qualifying survivor in division (B)(1)(a) of this section or one	7549
hundred six dollars per month.	7550

(6) The beneficiary of a member who is also a member of the	7551
public employees retirement system, or of the state teachers	7552
retirement system, must forfeit the member's accumulated	7553
contributions in those systems, if the beneficiary takes a	7554
survivor benefit. Such benefit shall be exclusively governed by	7555
section 3309.35 of the Revised Code.	7556

(C)(1) Regardless of whether the member is survived by a	7557
spouse or designated beneficiary, if the school employees	7558
retirement system receives notice that a deceased member described	7559
in division (A) or (B) of this section has one or more qualified	7560
children, all persons who are qualified survivors under division	7561
(B) of this section shall receive monthly benefits as provided in	7562
division (B) of this section.	7563

If, after determining the monthly benefits to be paid under	7564
division (B) of this section, the system receives notice that	7565
there is a qualified survivor who was not considered when the	7566
determination was made, the system shall, notwithstanding section	7567
3309.661 of the Revised Code, recalculate the monthly benefits	7568
with that qualified survivor included, even if the benefits to	7569
qualified survivors already receiving benefits are reduced as a	7570
result. The benefits shall be calculated as if the qualified	7571
survivor who is the subject of the notice became eligible on the	7572
date the notice was received and shall be paid to qualified	7573
survivors effective on the first day of the first month following	7574
the system's receipt of the notice.	7575

If the retirement system did not receive notice that a	7576
deceased member has one or more qualified children prior to making	7577
payment under section 3309.44 of the Revised Code to a beneficiary	7578
as determined by the retirement system, the payment is a full	7579
discharge and release of the system from any future claims under	7580
this section or section 3309.44 of the Revised Code.	7581

(2) If benefits under division (C)(1) of this section to all	7582
persons, or to all persons other than a surviving spouse or other	7583
sole beneficiary, terminate, there are no children under the age	7584
of twenty-two years, and the surviving spouse or beneficiary	7585
qualifies for benefits under division (A) of this section, the	7586
surviving spouse or beneficiary may elect to receive benefits	7587
under division (A) of this section. Benefits shall be effective on	7588
the first day of the month following receipt by the board of an	7589
application for benefits under division (A) of this section.	7590

(D) The final average salary used in the calculation of a	7591
benefit payable pursuant to division (A) or (B) of this section to	7592
a survivor or beneficiary of a disability benefit recipient shall	7593
be adjusted for each year between the disability benefit's	7594
effective date and the recipient's date of death by the lesser of	7595
three per cent or the actual average percentage increase in the	7596
consumer price index prepared by the United States bureau of labor	7597
statistics (U.S. City Average for Urban Wage Earners and Clerical	7598
Workers: "All Items 1982-84=100").	7599

(E) If the survivor benefits due and paid under this section	7600
are in a total amount less than the member's accumulated account	7601
that was transferred from the employees' savings fund, the state	7602
teachers retirement fund, and the public employees retirement fund	7603
to the survivors' benefit fund, then the difference between the	7604
total amount of the benefits paid shall be paid to the beneficiary	7605
under section 3309.44 of the Revised Code.	7606

Sec. 3309.46.  (A) The retirement allowance calculated under	7607
section 3309.36, 3309.38, or 3309.381 of the Revised Code shall be	7608
paid as provided in this section. If the member is eligible to	7609
elect a plan of payment under this section, the election shall be	7610
made on the application for retirement. A plan of payment elected	7611
under this section shall be effective only if it is certified by	7612
the actuary engaged by the school employees retirement board to be	7613
the actuarial equivalent of the member's retirement allowance and	7614
is approved by the retirement board.	7615

(B)(1)(a) Except as provided in divisions (B)(1)(b) and (c)	7616
of this section, a member who retires under section 3309.36,	7617
3309.38, or 3309.381 of the Revised Code shall receive a	7618
retirement allowance under "plan A," which shall consist of the	7619
actuarial equivalent of the member's retirement allowance	7620
determined under section 3309.36, 3309.38, or 3309.381 of the	7621
Revised Code in a lesser amount payable for life and one-half of	7622
such allowance continuing after death to the member's surviving	7623
spouse for the life of the spouse.	7624

(b) A member may receive a retirement allowance under a plan	7625
of payment other than "plan A" if either of the following is the	7626
case:	7627

(i) The member is not married or either the member's spouse	7628
consents in writing to the member's election to a plan of payment	7629
other than "plan A" or the board waives the requirement that the	7630
spouse consent;	7631

(ii) A plan of payment providing for payment in a specified	7632
amount continuing after the member's death to a former spouse is	7633
required by a court order issued prior to the effective date of	7634
the member's retirement under section 3105.171 or 3105.65 of the	7635
Revised Code or the laws of another state regarding division of	7636
marital property.	7637

(c) If a member is subject to division (B)(1)(b)(ii) of this	7638
section and the board has received a copy of the order described	7639
in that division, the board shall accept the member's election of	7640
a plan of payment under this section only if the member complies	7641
with both of the following:	7642

(i) The member elects a plan of payment that is in accordance	7643
with the order described in division (B)(1)(b)(ii) of this	7644
section.	7645

(ii) If the member is married, the member elects "plan F" and	7646
designates the member's current spouse as a beneficiary under that	7647
plan unless that spouse consents in writing to not being	7648
designated a beneficiary under any plan of payment or the board	7649
waives the requirement that the current spouse consent.	7650

(2) An application for retirement shall include an	7651
explanation of all of the following:	7652

(a) That, if the member is married, unless the spouse	7653
consents to another plan of payment or there is a court order	7654
dividing marital property issued under section 3105.171 or 3105.65	7655
of the Revised Code or the laws of another state regarding the	7656
division of marital property that provides for payment in a	7657
specified amount, the member's retirement allowance will be paid	7658
under "plan A," which consists of the actuarial equivalent of the	7659
member's retirement allowance in a lesser amount payable for life	7660
and one-half of the allowance continuing after death to the	7661
surviving spouse for the life of the spouse;	7662

(b) A description of the alternative plans of payment,	7663
including all plans described in divisions (B)(3) and (4) of this	7664
section, available with the consent of the spouse;	7665

(c) That the spouse may consent to another plan of payment	7666
and the procedure for giving consent;	7667

(d) That consent is irrevocable once notice of consent is	7668
filed with the board.	7669

Consent shall be valid only if it is in writing, signed by	7670
the spouse, and witnessed by an employee of the school employees	7671
retirement system or a notary public. The board may waive the	7672
requirement of consent if the spouse is incapacitated or cannot be	7673
located or for any other reason specified by the board. Consent or	7674
waiver is effective only with regard to the spouse who is the	7675
subject of the consent or waiver.	7676

(3)(a) A member eligible to elect to receive a retirement	7677
allowance under a plan of payment other than "plan A" shall	7678
receive the retirement allowance under the plan described in	7679
division (B)(4) of this section or one of the following plans:	7680

(a) "Plan B," which shall consist of an allowance determined	7681
under section 3309.36, 3309.38, or 3309.381 of the Revised Code;	7682

(b) "Plan C," which shall consist of the actuarial equivalent	7683
of the member's retirement allowance determined under section	7684
3309.36, 3309.38, or 3309.381 of the Revised Code in a lesser	7685
amount payable for life and one-half or some other portion of the	7686
allowance continuing after death to the member's sole surviving	7687
beneficiary designated at the time of the member's retirement,	7688
provided that the amount payable to the beneficiary does not	7689
exceed the amount payable to the member;	7690

(c) "Plan D," which shall consist of the actuarial equivalent	7691
of the member's retirement allowance determined under section	7692
3309.36, 3309.38, or 3309.381 of the Revised Code in a lesser	7693
amount payable for life and continuing after death to a surviving	7694
designated beneficiary designated at the time of the member's	7695
retirement;	7696

(d) "Plan E," which shall consist of the actuarial equivalent	7697
of the member's retirement allowance determined under section	7698
3309.36, 3309.38, or 3309.381 of the Revised Code in a lesser	7699
amount payable for a certain period from the member's retirement	7700
date as elected by the member and approved by the retirement	7701
board, and on the member's death before the expiration of that	7702
certain period, the member's lesser retirement allowance continued	7703
for the remainder of that period to, and in such order, the	7704
beneficiaries as the member has nominated by written designation	7705
and filed with the retirement board.	7706

Monthly benefits shall not be paid to joint beneficiaries,	7707
but they may receive the present value of any remaining payments	7708
in a lump sum settlement. If all beneficiaries die before the	7709
expiration of the certain period, the present value of all such	7710
payments yet remaining in such period shall be paid to the estate	7711
of the beneficiary last receiving.	7712

(e) "Plan F," which shall consist of the actuarial equivalent	7713
of the member's retirement allowance determined under section	7714
3309.36, 3309.38, or 3309.381 of the Revised Code in a lesser	7715
amount payable to the member for life and some portion of the	7716
lesser amount continuing after death to two, three, or four	7717
surviving beneficiaries designated at the time of the member's	7718
retirement. The portion of the lesser amount that continues after	7719
the member's death shall be allocated among the beneficiaries at	7720
the time of the member's retirement. If the member elects this	7721
plan as required by a court order issued under section 3105.171 or	7722
3105.65 of the Revised Code or the laws of another state regarding	7723
the division of marital property and compliance with the court	7724
order requires the allocation of a portion less than ten per cent	7725
to any person, the member shall allocate a portion less than ten	7726
per cent to that beneficiary in accordance with that order. In all	7727
other circumstances, no portion allocated under this plan of	7728
payment shall be less than ten per cent. The total of the portions	7729
allocated shall not exceed one hundred per cent of the member's	7730
lesser allowance.	7731

(4)(a) Beginning on a date selected by the board, which shall	7732
be not later than July 1, 2004, a member may elect, in lieu of a	7733
plan of payment under division (B)(1) or (3) of this section, a	7734
plan consisting of both a lump sum in an amount the member	7735
designates that constitutes a portion of the retirement allowance	7736
payable under a plan described in division (B)(1) or (3) of this	7737
section and the remainder of the allowance payable under that plan	7738
in monthly payments.	7739

The total amount paid as a lump sum and a monthly benefit	7740
shall be the actuarial equivalent of the amount that would have	7741
been paid had the lump sum not been selected.	7742

(b) The lump sum amount designated by the member shall be not	7743
less than six times and not more than thirty-six times the monthly	7744
amount that would be payable to the member under the plan of	7745
payment elected under this section had the lump sum not been	7746
elected and shall not result in a monthly benefit that is less	7747
than fifty per cent of that amount.	7748

(5) An election under division (B)(3) or (4) of this section	7749
shall be made at the time the member makes application for	7750
retirement.	7751

(6) A member eligible to elect to receive a retirement	7752
allowance under a plan of payment other than "plan A" because the	7753
member is unmarried who fails to make an election on retirement	7754
shall receive a retirement allowance under "plan B."	7755

(C) Until the first payment of any retirement allowance is	7756
made, as provided in sections 3309.36, 3309.38, or 3309.381 of the	7757
Revised Code, a member may change the member's election of a	7758
payment plan if the election is made in accordance with and is	7759
consistent with division (B) of this section.	7760

(D) If the retirement allowances due and paid under the above	7761
provisions of this section are in a total amount less than (1) the	7762
accumulated contributions, (2) the deposits for additional credit	7763
as provided by section 3309.31 of the Revised Code, (3) the	7764
deposits for additional annuities as provided by section 3309.47	7765
of the Revised Code, (4) the deposits for repurchase of service	7766
credit as provided by section 3309.26 of the Revised Code, (5) the	7767
accumulated contributions provided by section 3309.65 of the	7768
Revised Code, (6) the deposits for purchase of military service	7769
credit provided by section 3309.021 or 3309.022 of the Revised	7770
Code, and (7) the deposits for the purchase of service credit	7771
provided by section 3309.73 of the Revised Code, standing to the	7772
credit of the member at the time of retirement, then the	7773
difference between the total amount of the allowances paid and the	7774
accumulated contributions and other deposits shall be paid to the	7775
beneficiary provided under division (D) of section 3309.44 of the	7776
Revised Code.	7777

(E)(1) The death of a spouse or any other designated	7778
beneficiary following the member's retirement shall cancel the	7779
portion of the plan of payment providing continuing lifetime	7780
benefits to the deceased spouse or deceased designated	7781
beneficiary. The retirant shall receive the actuarial equivalent	7782
of the retirant's single lifetime retirement allowance as	7783
determined by the board based on the number of remaining	7784
beneficiaries, with no change in the amount payable to any	7785
remaining beneficiary.	7786

(2) On divorce, annulment, or marriage dissolution, a	7787
retirant receiving a retirement allowance under a plan of payment	7788
that provides for continuation of all or part of the allowance	7789
after death for the lifetime of the retirant's surviving spouse	7790
may elect to cancel the portion of the plan providing continuing	7791
lifetime benefits to that spouse. The retirant shall receive the	7792
actuarial equivalent of the retirant's single lifetime retirement	7793
allowance as determined by the retirement board based on the	7794
number of remaining beneficiaries, with no change in the amount	7795
payable to any remaining beneficiary. In the case of a member who	7796
retires on or after July 24, 1990, the election may be made only	7797
with the written consent of the spouse or pursuant to an order of	7798
the court with jurisdiction over the termination of the marriage.	7799
The election shall be made on a form provided by the board and	7800
shall be effective the month following its receipt by the board.	7801

(3)(a) Following marriage or remarriage, both of the	7802
following apply:	7803

(i) A retirant who is receiving a benefit pursuant to "plan	7804
B" may elect a new plan of payment under division (B)(1), (3)(b),	7805
or (3)(c) of this section based on the actuarial equivalent of the	7806
retirant's single lifetime retirement allowance as determined by	7807
the board.	7808

(ii) A retirant who is receiving a benefit pursuant to a plan	7809
of payment providing for payment to a former spouse pursuant to a	7810
court order described in division (B)(1)(b)(ii) of this section	7811
may elect a new plan of payment under division (B)(3)(e) of this	7812
section based on the actuarial equivalent of the retirant's single	7813
lifetime retirement allowance as determined by the board if the	7814
new plan of payment elected does not reduce the payment to the	7815
former spouse.	7816

(b) If the marriage or remarriage occurs on or after the	7817
effective date of this amendmentJune 6, 2005, the election must	7818
be made not later than one year after the date of the marriage or	7819
remarriage.	7820

The plan elected under division (E)(3) of this section shall	7821
become effective on the date of receipt by the board of an	7822
application on a form approved by the board, but any change in the	7823
amount of the retirement allowance shall commence on the first day	7824
of the month following the effective date of the plan.	7825

Sec. 3309.69.  (A) As used in this section, "ineligible	7826
individual" means all of the following:	7827

(1) A former member receiving benefits pursuant to section	7828
3309.34, 3309.35, 3309.36, 3309.38, or 3309.381 or former section	7829
3309.38 of the Revised Code for whom eligibility is established	7830
more than five years after June 13, 1981, and who, at the time of	7831
establishing eligibility, has accrued less than ten years of	7832
service credit, exclusive of credit obtained after January 29,	7833
1981, pursuant to sections 3309.021, 3309.301, 3309.31, and	7834
3309.33 of the Revised Code;	7835

(2) The spouse of the former member;

7836

(3) The beneficiary of the former member receiving benefits	7837
pursuant to section 3309.46 of the Revised Code.	7838

(B) The school employees retirement board may enter into an	7839
agreement with insurance companies, health insuring corporations,	7840
or government agencies authorized to do business in the state for	7841
issuance of a policy or contract of health, medical, hospital, or	7842
surgical benefits, or any combination thereof, for those	7843
individuals receiving service retirement or a disability or	7844
survivor benefit subscribing to the plan and their eligible	7845
dependents.	7846

If all or any portion of the policy or contract premium is to	7847
be paid by any individual receiving service retirement or a	7848
disability or survivor benefit, the person shall, by written	7849
authorization, instruct the board to deduct the premiums agreed to	7850
be paid by the individual to the companies, corporations, or	7851
agencies.	7852

The board may contract for coverage on the basis of part or	7853
all of the cost of the coverage to be paid from appropriate funds	7854
of the school employees retirement system. The cost paid from the	7855
funds of the system shall be included in the employer's	7856
contribution rate provided by sections 3309.49 and 3309.491 of the	7857
Revised Code. The board shall not pay or reimburse the cost for	7858
health care under this section or section 3309.375 of the Revised	7859
Code for any ineligible individual.	7860

The board may provide for self-insurance of risk or level of	7861
risk as set forth in the contract with the companies,	7862
corporations, or agencies, and may provide through the	7863
self-insurance method specific benefits as authorized by the rules	7864
of the board.	7865

(C) The board shall, beginning the month following receipt of	7866
satisfactory evidence of the payment for coverage, make a monthly	7867
payment to each recipient of service retirement, or a disability	7868
or survivor benefit under the school employees retirement system	7869
who is eligible for insurance coverage under part B of "The Social	7870
Security Amendments of 1965," 79 Stat. 301, 42 U.S.C.A. 1395j, as	7871
amended, except that the board shall make no such payment to any	7872
ineligible individual. Effective on the first day of the month	7873
after April 9, 2001, the amount of the payment shall be the lesser	7874
of an amount equal to the basic premium for such coverage, or an	7875
amount equal to the basic premium in effect on January 1, 1999.	7876

(D) The board shall establish by rule requirements for the	7877
coordination of any coverage, payment, or benefit provided under	7878
this section or section 3309.375 of the Revised Code with any	7879
similar coverage, payment, or benefit made available to the same	7880
individual by the public employees retirement system, Ohio police	7881
and fire pension fund, state teachers retirement system, or state	7882
highway patrol retirement system.	7883

(E) The board shall make all other necessary rules pursuant	7884
to the purpose and intent of this section.	7885

Sec. 3375.411.  A board of library trustees of a free public	7886
library, appointed pursuant to the provisions of sections 3375.06,	7887
3375.08, 3375.12, 3375.15, and 3375.22 of the Revised Code, which	7888
has not less than seventy-five full-time employees, and which,	7889
prior to September 16, 1943, was providing for retirement of the	7890
employees of such library with annuities, insurance, or other	7891
provisions, under authority granted by former section 7889 of the	7892
General Code, may provide such retirement, insurance, or other	7893
provisions in the same manner authorized by former section 7889 of	7894
the General Code, as follows: the library board of such library	7895
which has appropriated and paid the board's portion provided in	7896
such system or plan, may continue to appropriate and pay the	7897
board's portion provided in such system or plan out of the funds	7898
received to the credit of such board by taxation or otherwise.	7899
Each employee of such library who is to be included in a system of	7900
retirement shall contribute to the retirement fund not less than	7901
four per cent per annum of the employee's salary from the time of	7902
eligibility to join the retirement system to the time of	7903
retirement. If a group insurance plan is installed by any library,	7904
not less than fifty per cent of the cost of such insurance shall	7905
be borne by the employees included in such plan.	7906

Provided, any employee whose employment by said library began	7907
on or after September 16, 1943, may exempt self from inclusion in	7908
such retirement system, or withdraw from such retirement system.	7909
Upon such exemption or withdrawal, such person shall become a	7910
member of the public employees retirement system in accordance	7911
with former section 145.02 and sections 145.02, 145.03, and 145.28	7912
of the Revised Code, respectively. All employees appointed for the	7913
first time on and after January 1, 1956, shall, for retirement	7914
purposes, be eligible only for membership in the public employees	7915
retirement system as provided in Chapter 145. of the Revised Code.	7916

A library board which provides for the retirement of its	7917
employees with annuities, insurance, or other provisions under the	7918
authority granted by this section may, pursuant to a board	7919
resolution adopted within thirty days after the effective date of	7920
this section, terminate such retirement plan. Upon the effective	7921
date of such termination, which is specified in the resolution,	7922
each employee covered by such retirement plan shall become a	7923
member of the public employees retirement system.	7924

Sec. 5505.01.  As used in this chapter:

7925

(A) "Employee" means any qualified employee in the uniform	7926
division of the state highway patrol, any qualified employee in	7927
the radio division hired prior to November 2, 1989, and any state	7928
highway patrol cadet attending training school pursuant to section	7929
5503.05 of the Revised Code whose attendance at the school begins	7930
on or after June 30, 1991. "Employee" includes the superintendent	7931
of the state highway patrol. In all cases of doubt, the state	7932
highway patrol retirement board shall determine whether any person	7933
is an employee as defined in this division, and the decision of	7934
the board is final.	7935

(B) "Prior service" means all service rendered as an employee	7936
of the state highway patrol prior to September 5, 1941, to the	7937
extent credited by the board, provided that in no case shall prior	7938
service include service rendered prior to November 15, 1933.	7939

(C) "Total service" means all service rendered by an employee	7940
to the extent credited by the board. Total service includes all of	7941
the following:	7942

(1) Contributing service rendered by the employee since last	7943
becoming a member of the state highway patrol retirement system;	7944

(2) All prior service credit;

7945

(3) Restored service credit as provided in this chapter;

7946

(4) Military service credit purchased under division (D) of	7947
section 5505.16 or section 5505.25 of the Revised Code;	7948

(5) Credit granted under division (C) of section 5505.17 or	7949
section 5505.201, 5505.40, or 5505.402 of the Revised Code;	7950

(6) Credit for any period, not to exceed three years, during	7951
which the member was out of service and receiving benefits under	7952
Chapters 4121. and 4123. of the Revised Code.	7953

(D) "Beneficiary" means any person, except a retirant, who is	7954
in receipt of a pension or other benefit payable from funds of the	7955
retirement system.	7956

(E) "Regular interest" means interest compounded at rates	7957
designated from time to time by the retirement board.	7958

(F) "Plan" means the provisions of this chapter.

7959

(G) "Retirement system" or "system" means the state highway	7960
patrol retirement system created and established in the plan.	7961

(H) "Contributing service" means all service rendered by a	7962
member since September 4, 1941, for which deductions were made	7963
from the member's salary under the plan.	7964

(I) "Retirement board" or "board" means the state highway	7965
patrol retirement board provided for in the plan.	7966

(J) Except as provided in section 5505.18 of the Revised	7967
Code, "member" means any employee included in the membership of	7968
the retirement system, whether or not rendering contributing	7969
service.	7970

(K) "Retirant" means any member who retires with a pension	7971
payable from the retirement system.	7972

(L) "Accumulated contributions" means the sum of the	7973
following credited to a member's individual account in the	7974
employees' savings fund:	7975

(1) All amounts deducted from the salary of the member;

7976

(2) All amounts paid by the member to purchase state highway	7977
patrol retirement system service credit pursuant to this chapter	7978
or other state law.	7979

(M)(1) Except as provided in division (M)(2) of this section,	7980
"final average salary" means the average of the highest salary	7981
paid a member during any threefive consecutive or nonconsecutive	7982
years.	7983

If a member has less than threefive years of contributing	7984
service, the member's final average salary shall be the average of	7985
the annual rates of salary paid to the member during the member's	7986
total years of contributing service.	7987

(2) If a member is credited with service under division	7988
(C)(6) of this section or division (D) of section 5505.16 of the	7989
Revised Code, the member's final average salary shall be the	7990
average of the highest salary that was paid to the member or would	7991
have been paid to the member, had the member been rendering	7992
contributing service, during any threefive consecutive or	7993
nonconsecutive years. If that member has less than threefive	7994
years of total service, the member's final average salary shall be	7995
the average of the annual rates of salary that were paid to the	7996
member or would have been paid to the member during the member's	7997
years of total service.	7998

(N) "Pension" means an annual amount payable by the	7999
retirement system throughout the life of a person or as otherwise	8000
provided in the plan.	8001

(O) "Pension reserve" means the present value of any pension,	8002
or benefit in lieu of any pension, computed upon the basis of	8003
mortality and other tables of experience and interest the board	8004
shall from time to time adopt.	8005

(P) "Deferred pension" means a pension for which an eligible	8006
member of the system has made application and which is payable as	8007
provided in division (A) or (B) of section 5505.16 of the Revised	8008
Code.	8009

(Q) "Retirement" means termination as an employee of the	8010
state highway patrol, with application having been made to the	8011
system for a pension or a deferred pension.	8012

(R) "Fiduciary" means any of the following:

8013

(1) A person who exercises any discretionary authority or	8014
control with respect to the management of the system, or with	8015
respect to the management or disposition of its assets;	8016

(2) A person who renders investment advice for a fee, direct	8017
or indirect, with respect to money or property of the system;	8018

(3) A person who has any discretionary authority or	8019
responsibility in the administration of the system.	8020

(S)(1) Except as otherwise provided in this division,	8021
"salary" means all compensation, wages, and other earnings paid to	8022
a member by reason of employment but without regard to whether any	8023
of the compensation, wages, or other earnings are treated as	8024
deferred income for federal income tax purposes. Salary includes	8025
all of the following:	8026

(a) Payments for shift differential, hazard duty,	8027
professional achievement, and longevity;	8028

(b) Payments for occupational injury leave, personal leave,	8029
sick leave, bereavement leave, administrative leave, and vacation	8030
leave used by the member;	8031

(c) Payments made under a disability leave program sponsored	8032
by the state for which the state is required by section 5505.151	8033
of the Revised Code to make periodic employer and employee	8034
contributions to the retirement system.	8035

(2) "Salary" does not include any of the following:

8036

(a) Payments resulting from the conversion of accrued but	8037
unused sick leave, personal leave, compensatory time, and vacation	8038
leave;	8039

(b) Payments made by the state to provide life insurance,	8040
sickness, accident, endowment, health, medical, hospital, dental,	8041
or surgical coverage, or other insurance for the member or the	8042
member's family, or amounts paid by the state to the member in	8043
lieu of providing that insurance;	8044

(c) Payments for overtime work;

8045

(d) Incidental benefits, including lodging, food, laundry,	8046
parking, or services furnished by the state, use of property or	8047
equipment of the state, and reimbursement for job-related expenses	8048
authorized by the state including moving and travel expenses and	8049
expenses related to professional development;	8050

(e) Payments made to or on behalf of a member that are in	8051
excess of the annual compensation that may be taken into account	8052
by the retirement system under division (a)(17) of section 401 of	8053
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.	8054
401 (a)(17), as amended;	8055

(f) Payments made under division (B), (C), or (E) of section	8056
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill	8057
No. 3 of the 119th general assembly, Section 3 of Amended	8058
Substitute Senate Bill No. 164 of the 124th general assembly, or	8059
Amended Substitute House Bill No. 405 of the 124th general	8060
assembly.	8061

(3) The retirement board shall determine by rule whether any	8062
compensation, wages, or earnings not enumerated in this division	8063
are salary, and its decision shall be final.	8064

(T) "Actuary" means an individual who satisfies all of the	8065
following requirements:	8066

(1) Is a member of the American academy of actuaries;

8067

(2) Is an associate or fellow of the society of actuaries;

8068

(3) Has a minimum of five years' experience in providing	8069
actuarial services to public retirement plans.	8070

Sec. 5505.03.  (A) The funds created by this section are the	8071
"employees' savings fund," "employer's accumulation fund,"	8072
"pension reserve fund," "survivors' benefit fund," "income fund,"	8073
and "expense fund." When reference is made to any of such funds,	8074
such reference is made to each as a separate legal entity;	8075
provided that the moneys in the funds may be intermingled for	8076
deposit and investment purposes.	8077

(B) The employees' savings fund is the fund in which shall be	8078
accumulated the contributions deducted from the salaries of	8079
members, except as provided in division (B)(1)(b) of section	8080
5505.54 of the Revised Code. Any refunds of accumulated	8081
contributions, as provided in the plan, shall be paid from such	8082
fund. Upon a member's retirement, histhe accumulated	8083
contributions standing to histhe member's credit in the fund	8084
shall be transferred to the pension reserve fund if histhe	8085
member's retirement occurs on or after January 1, 1966, or to the	8086
employer's accumulation fund if histhe member's retirement	8087
occurred prior to January 1, 1966. If a pension is payable on	8088
account of the death of a member, histhe accumulated	8089
contributions standing to histhe member's credit in the	8090
employees' savings fund shall be transferred to the survivors'	8091
benefit fund if histhe member's death occurs after January 1,	8092
1966, or to the employer's accumulation fund if histhe member's	8093
death occurs prior to January 1, 1966.	8094

(C)(1) The employer's accumulation fund is the fund in which	8095
shall be accumulated the state's contribution to the state highway	8096
patrol retirement system and the amounts contributed under	8097
division (B)(1)(b) of section 5505.54 of the Revised Code. Upon a	8098
member's retirement after January 1, 1966, the difference between	8099
histhe member's pension reserve and histhe member's accumulated	8100
contributions shall be transferred to the pension reserve fund. If	8101
a pension is payable on account of a member's death occurring	8102
after January 1, 1966, the difference between the pension reserve	8103
for that pension and histhe member's accumulated contributions	8104
shall be transferred to the survivors' benefit fund.	8105

(2) All pensions allowed and payable prior to January 1,	8106
1966, shall be continued according to the provisions of the plan	8107
in force the day preceding January 1, 1966, unless otherwise	8108
provided for in this chapter and shall be paid from the employer's	8109
accumulation fund.	8110

(D) The pension reserve fund is the fund from which shall be	8111
paid all pensions on account of members who retire on or after	8112
January 1, 1966. If a disability retirant returns to the employ of	8113
the state highway patrol, histhe disability retirant's pension	8114
reserve at that time shall be transferred to the employees'	8115
savings fund and the employer's accumulation fund in the same	8116
proportion as the pension reserve was originally transferred to	8117
the pension reserve fund.	8118

(E) The survivors' benefit fund is the fund from which shall	8119
be paid all pensions, payable under section 5505.17 of the Revised	8120
Code, on account of members who die on or after January 1, 1966.	8121

(F)(1) The income fund is the fund to which shall be credited	8122
all interest, dividends, distributions, and other income derived	8123
from deposits and investments of moneys of the retirement system,	8124
all gifts and bequests to the system, all transfers from the	8125
employees' savings fund because of lack of claimant, and any other	8126
moneys the disposition of which is not otherwise provided for in	8127
the plan.	8128

(2) If the balance in the income fund exceeds the	8129
requirements of the fund, the state highway patrol retirement	8130
board may transfer amounts from the income fund to meet special	8131
requirements of the various other funds of the retirement system.	8132

(G) The expense fund is the fund from which the expense of	8133
the administration of this chapter shall be paid, exclusive of	8134
amounts payable as retirement allowances and as other benefits.	8135
The state highway patrol retirement board shall estimate annually	8136
the amount to be provided in the expense fund and such amount	8137
shall be transferred from the income fund. If such amount is	8138
insufficient during any year, the board is authorized to transfer	8139
the amount of such insufficiency from the income fund.	8140

Sec. 5505.15.  (A)(1) A member of the state highway patrol	8141
retirement system shall contribute teneleven per cent of the	8142
member's annual salary to the state highway patrol retirement	8143
fund. The amount shall be deducted by the employer from the	8144
employee's salary for each payroll period.	8145

(2) The total contributions arising from deductions made	8146
prior to January 1, 1966, from the salaries of members in the	8147
employ of the state highway patrol and standing to the credit of	8148
their individual accounts in the retirement fund shall be	8149
transferred and credited to their respective individual accounts	8150
in the employees' savings fund.	8151

(B) The state shall annually pay into the employer	8152
accumulation fund, in monthly or less frequent installments as the	8153
state highway patrol retirement board requires, the employer	8154
contribution. The employer contribution shall be an amount equal	8155
to twenty-six and one-half per cent of the total salaries paid	8156
contributing members. If a member severs connection with the	8157
patrol or is dismissed, the employer contribution shall remain in	8158
the retirement system.	8159

The rate percentage of the employer contribution shall be	8160
certified by the board to the director of budget and management	8161
and shall not be lower than nine per cent of the total salaries	8162
paid contributing members and shall not exceed three times the	8163
rate percentage being deducted from the annual salaries of	8164
contributing members. The board shall prepare and submit to the	8165
director, on or before the first day of November of each	8166
even-numbered year, an estimate of the amounts necessary to pay	8167
the state's obligations accruing during the biennium beginning the	8168
first day of July of the following year. Such amounts shall be	8169
included in the budget and allocated as certified by the board.	8170

Sec. 5505.174.  (A) The following persons are eligible to	8171
receive an increase under this section:	8172

(1) Persons fifty-threesixty years old or older who have	8173
been receiving pensions pursuant to division (B) of section	8174
5505.16, section 5505.162, division (A)(1), (3), (4), (5), (6), or	8175
(7) of section 5505.17, or division (B) of section 5505.18 of the	8176
Revised Code for not less than twelve months;are eligible to	8177
receive an increase under this section	8178

(2) Persons who have been receiving pensions pursuant to	8179
division (B) of section 5505.18 of the Revised Code for not less	8180
than sixty months regardless of age;	8181

(3) Persons who have been receiving pensions pursuant to	8182
section 5505.162 or division (A)(3), (4), (5), (6), or (7) of	8183
section 5505.17 of the Revised Code for not less than twelve	8184
months regardless of age.	8185

(B)(1) The state highway patrol retirement board shall	8186
annually increase each benefitpensions payable to eligible	8187
persons under this chapter by three per cent, except that no	8188
benefit shall exceed the limit established by section 415 of the	8189
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	8190
as amended.	8191

The first increase is payable to all persons becoming	8192
eligible on or after November 18, 1981. The increase is payable	8193
for each ensuing twelve-month period or until the next increase is	8194
granted under this section, whichever is laterin accordance with	8195
the following:	8196

(a) For each person sixty-five years of age or older who is	8197
receiving a pension not greater than one hundred eighty-five per	8198
cent of the federal poverty level for a family of two persons, as	8199
revised annually by the United States department of health and	8200
human services in accordance with section 673(2) of the "Omnibus	8201
Reconciliation Act of 1981," 95 Stat. 511, 42 U.S.C. 9902, as	8202
amended, the board shall increase the pension by three per cent.	8203

(b) For persons other than those described in division	8204
(B)(1)(a) of this section, the board shall increase the pension by	8205
two per cent, except that for any calendar year in which the	8206
actuarial valuation required by section 5505.12 of the Revised	8207
Code demonstrates that a period of less than thirty years is	8208
required to amortize the state highway patrol retirement system's	8209
unfunded actuarial accrued pension liabilities, the board may	8210
increase the pension by not more than three per cent.	8211

(2) No increase under this section shall exceed the limit	8212
established by section 415 of the "Internal Revenue Code of 1986,"	8213
100 Stat. 2085, 26 U.S.C. 415, as amended.	8214

(3) The date of the first increase paid under this section	8215
shall be the anniversary date for future increases. The pension	8216
used in the first calculation of an increase under this section	8217
shall remain as the base for all future increases paid under this	8218
section, unless a new base is established.	8219

Increases paid in years subsequent to the year of the first	8220
increase paid under this section shall be paid to all persons who,	8221
on the date that the increase is authorized by the board, are	8222
eligible as provided in this section.	8223

(C) If payment of a portion of a benefit is made to an	8224
alternate payee under section 5505.261 of the Revised Code,	8225
increases under this section granted while the order is in effect	8226
shall be apportioned between the alternate payee and the eligible	8227
person in the same proportion that the amount being paid to the	8228
alternate payee bears to the amount paid to the eligible person.	8229

If payment of a portion of a benefit is made to one or more	8230
beneficiaries under "option 4" under division (A)(4) of section	8231
5505.162 of the Revised Code, each increase under this section	8232
granted while the plan of payment is in effect shall be divided	8233
among the designated beneficiaries in accordance with the portion	8234
each beneficiary has been allocated.	8235

(D) The board shall adopt, and may amend or rescind, any rule	8236
necessary to carry out this section.	8237

Sec. 5505.54.  (A) During the period beginning on the	8238
effective date of an election to participate in the deferred	8239
retirement option plan and ending on the date participation	8240
ceases, a member's monthly pension amount determined under section	8241
5505.53 of the Revised Code shall accrue to the member's benefit.	8242
To this amount shall be added any benefit increases the member	8243
would be eligible for under section 5505.174 of the Revised Code	8244
had the member, on the effective date of the member's election,	8245
retired under section 5505.16 of the Revised Code.	8246

(B)(1) The amountseleven per cent of the member's annual	8247
salary contributed under division (A) of section 5505.15 of the	8248
Revised Code by a member participating in the deferred retirement	8249
option plan shall accrue to the member's benefitbe credited as	8250
follows:	8251

(a) Ten per cent of the member's annual salary shall accrue	8252
to the member's benefit.	8253

(b) One per cent of the member's annual salary shall be	8254
credited to the employer's accumulation fund.	8255

(2) The state highway patrol retirement system shall credit	8256
to the employer's accumulation fund the amounts contributed by the	8257
state under section 5505.15 of the Revised Code on behalf of a	8258
member participating in the deferred retirement option plan.	8259

(C) During the period beginning on the election's effective	8260
date and ending on the date the member ceases participation in the	8261
plan, the amounts described in divisions (A) and (B)(1)(a) of this	8262
section shall earn interest at an annual rate established by the	8263
state highway patrol retirement board and compounded annually	8264
using a method established by rule adopted under section 5505.50	8265
of the Revised Code.	8266

Section 2. That existing sections 145.01, 145.20, 145.201,	8267
145.22, 145.28, 145.29, 145.291, 145.293, 145.294, 145.295,	8268
145.297, 145.298, 145.299, 145.2911, 145.2912, 145.2913, 145.2914,	8269
145.30, 145.32, 145.323, 145.33, 145.331, 145.34, 145.35, 145.36,	8270
145.361, 145.362, 145.37, 145.383, 145.39, 145.40, 145.401,	8271
145.41, 145.44, 145.45, 145.452, 145.462, 145.47, 145.48, 145.483,	8272
145.49, 145.51, 145.54, 145.56, 145.561, 145.563, 145.58, 145.82,	8273
145.87, 145.92, 145.95, 145.97, 742.01, 742.31, 742.33, 742.34,	8274
742.35, 742.37, 742.3716, 742.38, 742.39, 742.44, 742.444, 742.63,	8275
2329.66, 3305.06, 3307.26, 3307.501, 3307.58, 3307.67, 3309.26,	8276
3309.312, 3309.33, 3309.34, 3309.341, 3309.343, 3309.353,	8277
3309.354, 3309.36, 3309.362, 3309.371, 3309.373, 3309.376,	8278
3309.379, 3309.3710, 3309.3711, 3309.39, 3309.401, 3309.45,	8279
3309.46, 3309.69, 3375.411, 5505.01, 5505.03, 5505.15, 5505.174,	8280
and 5505.54 and sections 145.02, 145.292, 145.321, 145.322,	8281
145.324, 145.326, 145.327, 145.328, 145.329, 145.3210, 145.3211,	8282
145.3212, 145.3213, 145.332, 145.42, 145.44, and 3309.38 of the	8283
Revised Code are hereby repealed.	8284

Section 3.  Notwithstanding the times specified in the	8285
amendments to section 145.87 of the Revised Code made by this act,	8286
if the Public Employees Retirement Board determines from an	8287
actuarial study that a decrease in the percentage transferred	8288
under that section is warranted, the Board may decrease the	8289
percentage transferred not later than one hundred twenty days	8290
after the effective date of this section. The decrease shall take	8291
effect on the first day of the second month following the Board's	8292
action.	8293

Section 4. (A) The amendments by this act regarding the	8294
purchase or obtainment of service credit from the Public Employees	8295
Retirement System apply to any purchase or obtainment of service	8296
credit a member of the retirement system initiated not later than	8297
six months after the effective date of this section. A purchase or	8298
obtainment of service credit shall be considered to have been	8299
initiated not later than six months after the effective date of	8300
this section if the member made one or more payments before that	8301
date.	8302

(B) Any purchase or obtainment of service credit under	8303
Chapter 145. of the Revised Code shall continue at the total cost	8304
of that credit immediately before the period ending six months	8305
after the effective date of this section if the retirement system	8306
receives from the member one or more payments not later than six	8307
months after the effective date of this section. The total cost	8308
shall continue unchanged unless the requirements of section	8309
145.294 of the Revised Code, and any applicable rules adopted	8310
pursuant to that section, are not met.	8311

Section 5.  (A) The amendments by this act of sections	8312
742.33, 742.34, and 742.35 of the Revised Code regarding the	8313
frequency of employer payments to the Ohio Police and Fire Pension	8314
Fund apply to police officer employers' contributions and	8315
firefighter employers' contributions due the Fund for employee	8316
payrolls paid on or after the ninety-first day after the effective	8317
date of this section.	8318

(B) Police officer employers' contributions and firefighter	8319
employers' contributions due the Fund for employee payrolls paid	8320
before the ninety-first day after the effective date of this	8321
section shall be paid to the Fund not later than the date the	8322
contributions would have been due under section 742.33 or 742.34	8323
of the Revised Code, as those sections existed immediately prior	8324
to the effective date of this section.	8325

(C) Any applicable penalty determined under section 742.352	8326
of the Revised Code shall be assessed against an employer if the	8327
employer fails to make a payment on or before the date the payment	8328
is due.	8329

Section 6.  The amendment by this act of section 3307.67 of	8330
the Revised Code takes effect July 1, 2011.	8331

Section 7.  The amendments by this act of sections 3307.501	8332
and 3307.58 of the Revised Code take effect August 1, 2015.	8333

Section 8.  The amendments by this act of sections 3309.26,	8334
3309.33, 3309.34, 3309.341, 3309.343, 3309.353, 3309.354, 3309.36,	8335
3309.362, 3309.371, 3309.373, 3309.376, 3309.379, 3309.3710,	8336
3309.3711, 3309.39, 3309.401, 3309.45, 3309.46, and 3309.69 of the	8337
Revised Code take effect August 1, 2015.	8338

Section 9.  The amendments by this act of section 5505.01 of	8339
the Revised Code take effect January 1, 2015.	8340

Section 10.  Section 2329.66 of the Revised Code is presented	8341
in this act as a composite of the section as amended by Sub. H.B.	8342
332, Sub. S.B. 3, and Sub. S.B. 281 of the 127th General Assembly.	8343
The General Assembly, applying the principle stated in division	8344
(B) of section 1.52 of the Revised Code that amendments are to be	8345
harmonized if reasonably capable of simultaneous operation, finds	8346
that the composite is the resulting version of the section in	8347
effect prior to the effective date of the section as presented in	8348
this act.	8349