HF 2403

as introduced - 89th Legislature (2015 - 2016) Posted on 03/08/2016 04:27pm

A bill for an act
relating to retirement; Teachers Retirement Association and the higher education
individual retirement account plan; authorizing an eligible Minnesota State
Colleges and Universities system employee to elect Teachers Retirement
Association coverage and to receive retroactive coverage.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin TRA COVERAGE ELECTION FOR CERTAIN MNSCU EMPLOYEE.
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new text begin (a) An eligible person described in paragraph (b) is authorized to become a
coordinated member of the Teachers Retirement Association and to purchase service and
salary credit in the Teachers Retirement Association coordinated plan retroactively from
July 1, 2001, upon making an election under paragraph (c) and upon making all required
payments under paragraph (d).
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new text begin (b) An eligible person is a person who:
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new text begin (1) was born on November 30, 1955;
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new text begin (2) was initially employed in a clerical position by St. Cloud State University and
was covered by the general state employees retirement plan of the Minnesota State
Retirement System on November 27, 1989;
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new text begin (3) was hired as an academic advisor by St. Cloud State University on July 1, 2001;
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new text begin (4) was covered by the higher education individual retirement account plan on
July 1, 2001; and
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new text begin (5) did not elect Teachers Retirement Association coverage in the coverage election
authorized by Minnesota Statutes 2001, section 354B.21.
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new text begin (c) To be eligible for coverage by the Teachers Retirement Association, an eligible
person must submit a written application to the executive director of the Teachers
Retirement Association on a form provided by the Teachers Retirement Association. The
application must include all documentation of the applicability of this section and any
other relevant information that the executive director may require. Teachers Retirement
Association plan membership commences after the date of the retirement coverage
election under this section and past salary and service credit is granted for past Minnesota
State Colleges and Universities system employment from July 1, 2001, until the executive
director receives the written application specified in this paragraph and receipts of the
payments specified in paragraph (d). The authority granted by this section is voided if
the applicable eligible person terminated from Minnesota State Colleges and Universities
system employment prior to receipts by the executive director of the Teachers Retirement
Association of the application specified in this paragraph and the amounts specified in
paragraph (d). Coverage by the Teachers Retirement Association is in lieu of coverage
by the individual retirement account plan.
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new text begin (d) If the eligible person elects retirement coverage by the Teachers Retirement
Association under paragraph (c), the eligible person shall execute documents necessary to
transfer the entirety of the person's account in the individual retirement account plan to the
Teachers Retirement Association and, to the extent that the transferred account balance is
less than the amount calculated under Minnesota Statutes, section 356.551, shall pay the
remaining amount within 30 days of the retirement coverage election.
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new text begin (e) The authority to make a retirement coverage election under this section expires
January 1, 2017.
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new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
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