<a id="pl.1.3"></a><var>1.3</var>allowing MSRS-General deferred members to vote in board elections; <br/>
<a id="pl.1.4"></a><var>1.4</var>continuing Stevens County Housing and Redevelopment Authority employees <br/>
<a id="pl.1.5"></a><var>1.5</var>in PERA-General; excluding fixed-route bus drivers employed by the St. <br/>
<a id="pl.1.6"></a><var>1.6</var>Cloud Metropolitan Transit Commission from PERA-General coverage; <br/>
<a id="pl.1.7"></a><var>1.7</var>increasing member and employer contribution rates for certain retirement <br/>
<a id="pl.1.8"></a><var>1.8</var>plans; providing for the consolidation of the Duluth Teachers Retirement Fund <br/>
<a id="pl.1.9"></a><var>1.9</var>Association retirement plan and fund into the statewide Teachers Retirement <br/>
<a id="pl.1.10"></a><var>1.10</var>Association; revising an amortization target date, creating new state aid <br/>
<a id="pl.1.11"></a><var>1.11</var>programs; appropriating money; extending a MnSCU early retirement incentive <br/>
<a id="pl.1.12"></a><var>1.12</var>program; increasing the limit for certain reemployed MnSCU retirees; extending <br/>
<a id="pl.1.13"></a><var>1.13</var>the applicability of a second chance at tenure retirement coverage election <br/>
<a id="pl.1.14"></a><var>1.14</var>opportunity for MnSCU faculty members; revising investment authority for <br/>
<a id="pl.1.15"></a><var>1.15</var>various defined contribution plans or programs; authorizing the State Board of <br/>
<a id="pl.1.16"></a><var>1.16</var>Investment to revise, remove, or create investment options for the Minnesota <br/>
<a id="pl.1.17"></a><var>1.17</var>supplemental investment fund; expanding permissible investments under the <br/>
<a id="pl.1.18"></a><var>1.18</var>unclassified state employees retirement program, the public employees defined <br/>
<a id="pl.1.19"></a><var>1.19</var>contribution plan, the deferred compensation program, and the health care savings <br/>
<a id="pl.1.20"></a><var>1.20</var>plan; revising salary reporting requirements; clarifying retirement provision <br/>
<a id="pl.1.21"></a><var>1.21</var>applications to sheriffs; revising local government postretirement option program <br/>
<a id="pl.1.22"></a><var>1.22</var>requirements and extending expiration date; clarifying future postretirement <br/>
<a id="pl.1.23"></a><var>1.23</var>adjustment rates for former members of the former Minneapolis Firefighters <br/>
<a id="pl.1.24"></a><var>1.24</var>Relief Association and the former Minneapolis Police Relief Association; making <br/>
<a id="pl.1.25"></a><var>1.25</var>technical changes to amortization state aid and supplemental state aid; clarifying <br/>
<a id="pl.1.26"></a><var>1.26</var>the eligibility of independent nonprofit firefighting corporations to receive police <br/>
<a id="pl.1.27"></a><var>1.27</var>and fire supplemental retirement state aid; implementing the recommendations <br/>
<a id="pl.1.28"></a><var>1.28</var>of the 2013-2014 state auditor volunteer fire working group; modifying the <br/>
<a id="pl.1.29"></a><var>1.29</var>disability benefit application deadline for certain former Wadena County sheriff's <br/>
<a id="pl.1.30"></a><var>1.30</var>deputies; authorizing city of Duluth and Duluth Airports Authority employee <br/>
<a id="pl.1.31"></a><var>1.31</var>salary-supplement payments coverage following Court of Appeals decision; <br/>
<a id="pl.1.32"></a><var>1.32</var>specifying interest rate for computing joint and survivor annuities; revising <br/>
<a id="pl.1.33"></a><var>1.33</var>postretirement adjustment triggers; revising reemployed annuitant withholding in <br/>
<a id="pl.1.34"></a><var>1.34</var>certain divorce situations; clarifying medical advisor and resumption of teaching <br/>
<a id="pl.1.35"></a><var>1.35</var>provisions; specifying explicit postretirement adjustment assumptions; allowing <br/>
<a id="pl.1.36"></a><var>1.36</var>volunteer firefighter relief associations to pay state fire chiefs association dues <br/>
<a id="pl.1.37"></a><var>1.37</var>from the special fund; authorizing MnSCU employee to elect TRA coverage and <br/>
<a id="pl.1.38"></a><var>1.38</var>transfer past service from IRAP to TRA; clarifying the applicability of 2013 <br/>
<a id="pl.1.39"></a><var>1.39</var>postretirement adjustment modifications to certain county sheriffs; ratifying or <br/>
<a id="pl.2.1"></a><var>2.1</var>grandparenting MSRS-Correctional plan coverage for Department of Human <br/>
<a id="pl.2.2"></a><var>2.2</var>Services employees; allowing various service credit purchases; requiring a <br/>
<a id="pl.2.3"></a><var>2.3</var>PERA report on certain survivor benefit amounts;amending Minnesota Statutes <br/>
<a id="pl.2.4"></a><var>2.4</var>2012, sections 3A.01, subdivision 1a; 11A.17, subdivisions 1, 9; 13.632, <br/>
<a id="pl.2.5"></a><var>2.5</var>subdivision 1; 122A.18, subdivision 7a; 136F.481; 352.01, subdivisions 2b, <br/>
<a id="pl.2.6"></a><var>2.6</var>12; 352.03, subdivision 1, by adding a subdivision; 352.04, subdivisions 2, <br/>
<a id="pl.2.7"></a><var>2.7</var>3; 352.115, subdivisions 8, 10; 352.1155, subdivisions 1, 4; 352.90; 352.91, <br/>
<a id="pl.2.8"></a><var>2.8</var>subdivisions 1, 2, 3c, 3d, 3e, 3f, by adding a subdivision; 352.92, subdivisions <br/>
<a id="pl.2.9"></a><var>2.9</var>1, 2; 352.965, subdivision 4, by adding subdivisions; 352.98, subdivision 2; <br/>
<a id="pl.2.10"></a><var>2.10</var>352B.08, subdivision 3; 352D.04, by adding subdivisions; 353.01, subdivision <br/>
<a id="pl.2.11"></a><var>2.11</var>14; 353.27, subdivisions 2, 3, 3b, 4, by adding a subdivision; 353.30, subdivision <br/>
<a id="pl.2.12"></a><var>2.12</var>3; 353.37, by adding a subdivision; 353.371, by adding a subdivision; 353.6511, <br/>
<a id="pl.2.13"></a><var>2.13</var>subdivision 7; 353.6512, subdivision 7; 353D.05, subdivision 1, by adding a <br/>
<a id="pl.2.14"></a><var>2.14</var>subdivision; 354.05, subdivisions 2, 7, 13; 354.42, subdivisions 2, 3; 354.44, <br/>
<a id="pl.2.15"></a><var>2.15</var>subdivision 5; 354.445; 354.48, subdivision 6a; 354A.011, subdivisions 11, 15a, <br/>
<a id="pl.2.16"></a><var>2.16</var>27; 354A.021, subdivision 1; 354A.092; 354A.093, subdivision 1; 354A.096; <br/>
<a id="pl.2.17"></a><var>2.17</var>354A.12, subdivision 2; 354A.29, subdivision 8; 354A.31, subdivisions 1, <br/>
<a id="pl.2.18"></a><var>2.18</var>3a; 354A.32, subdivision 1; 354A.35, subdivision 1; 354A.37, subdivisions <br/>
<a id="pl.2.19"></a><var>2.19</var>3, 4; 354A.39; 354A.41; 354B.21, subdivisions 2, 3a; 355.01, subdivision <br/>
<a id="pl.2.20"></a><var>2.20</var>2c; 356.215, subdivision 11; 356.24, subdivision 1; 356.302, subdivision <br/>
<a id="pl.2.21"></a><var>2.21</var>7; 356.303, subdivision 4; 356.32, subdivision 2; 356.415, subdivision 1d; <br/>
<a id="pl.2.22"></a><var>2.22</var>356.42, subdivision 3; 356.465, subdivision 3; 356.47, subdivision 3; 356.635, <br/>
<a id="pl.2.23"></a><var>2.23</var>subdivision 6; 356.99, subdivision 1; 356A.06, subdivisions 7, 7a; 424A.015, <br/>
<a id="pl.2.24"></a><var>2.24</var>by adding a subdivision; 424A.016, subdivisions 4, 7; 424A.05, subdivision <br/>
<a id="pl.2.25"></a><var>2.25</var>3; 424A.08; 424B.12; 490.121, subdivision 2a; Minnesota Statutes 2013 <br/>
<a id="pl.2.26"></a><var>2.26</var>Supplement, sections 69.051, subdivisions 1a, 3; 352.01, subdivision 2a; 352.03, <br/>
<a id="pl.2.27"></a><var>2.27</var>subdivision 4; 353.01, subdivisions 2a, 2b; 353.651, subdivision 4; 354.436; <br/>
<a id="pl.2.28"></a><var>2.28</var>354.44, subdivision 6; 354A.12, subdivisions 1, 2a, 3a, 3c; 354A.27, subdivision <br/>
<a id="pl.2.29"></a><var>2.29</var>6a; 356.20, subdivision 2; 356.214, subdivision 1; 356.215, subdivision 8; <br/>
<a id="pl.2.30"></a><var>2.30</var>356.219, subdivision 8; 356.30, subdivision 3; 356.401, subdivision 3; 356.415, <br/>
<a id="pl.2.31"></a><var>2.31</var>subdivisions 1a, 1c, 1e, 1f; 356.91; 363A.36, subdivision 1; 423A.02, subdivision <br/>
<a id="pl.2.32"></a><var>2.32</var>3; 423A.022, subdivisions 2, 3; 424A.016, subdivision 6; 424A.02, subdivisions <br/>
<a id="pl.2.33"></a><var>2.33</var>3, 7; 424A.092, subdivision 6; 424A.093, subdivisions 2, 6; 424A.094, <br/>
<a id="pl.2.34"></a><var>2.34</var>subdivision 2; 424A.10, subdivision 2; Laws 2009, chapter 169, article 5, <br/>
<a id="pl.2.35"></a><var>2.35</var>section 2, as amended; article 6, section 1; proposing coding for new law in <br/>
<a id="pl.2.36"></a><var>2.36</var>Minnesota Statutes, chapters 354; 354A; 356; repealing Minnesota Statutes 2012, <br/>
<a id="pl.2.37"></a><var>2.37</var>sections 11A.17, subdivision 4; 352.965, subdivision 5; 352D.04, subdivision 1; <br/>
<a id="pl.2.38"></a><var>2.38</var>353D.05, subdivision 2; 354A.021, subdivision 5; 354A.108; 354A.24; 354A.27, <br/>
<a id="pl.2.39"></a><var>2.39</var>subdivision 5; 356.415, subdivision 3; Minnesota Statutes 2013 Supplement, <br/>
<a id="pl.2.40"></a><var>2.40</var>sections 354A.27, subdivisions 6a, 7; 354A.31, subdivision 4a.<br/>
<a id="pl.2.41"></a><var>2.41</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
<br/>
<a id="bill.1.0.0"></a>

<a id="bill.1.1.0"></a><a id="pl.2.44"></a><var>2.44</var>    Section 1. Minnesota Statutes 2013 Supplement, section 352.01, subdivision 2a, <br/>
<a id="pl.2.45"></a><var>2.45</var>is amended to read:<br/>
<a id="pl.2.46"></a><var>2.46</var>    Subd. 2a. <b>Included employees.</b> (a) "State employee" includes:<br/>
<a id="pl.2.47"></a><var>2.47</var>    (1) employees of the Minnesota Historical Society;<br/>
<a id="pl.2.48"></a><var>2.48</var>    (2) employees of the State Horticultural Society;<br/>
<a id="pl.2.49"></a><var>2.49</var>    (3) employees of the Minnesota Crop Improvement Association;<br/>
<a id="pl.3.1"></a><var>3.1</var>    (4) employees of the adjutant general whose salaries are paid from federal funds and <br/>
<a id="pl.3.2"></a><var>3.2</var>who are not covered by any federal civilian employees retirement system;<br/>
<a id="pl.3.3"></a><var>3.3</var>    (5) employees of the Minnesota State Colleges and Universities who are employed <br/>
<a id="pl.3.4"></a><var>3.4</var>under the university or college activities program;<br/>
<a id="pl.3.5"></a><var>3.5</var>    (6) currently contributing employees covered by the system who are temporarily <br/>
<a id="pl.3.6"></a><var>3.6</var>employed by the legislature during a legislative session or any currently contributing <br/>
<a id="pl.3.7"></a><var>3.7</var>employee employed for any special service as defined in subdivision 2b, clause (8);<br/>
<a id="pl.3.8"></a><var>3.8</var>    (7) employees of the legislature who are appointed without a limit on the duration <br/>
<a id="pl.3.9"></a><var>3.9</var>of their employment and persons employed or designated by the legislature or by a <br/>
<a id="pl.3.10"></a><var>3.10</var>legislative committee or commission or other competent authority to conduct a special <br/>
<a id="pl.3.11"></a><var>3.11</var>inquiry, investigation, examination, or installation;<br/>
<a id="pl.3.12"></a><var>3.12</var>    (8) trainees who are employed on a full-time established training program <br/>
<a id="pl.3.13"></a><var>3.13</var>performing the duties of the classified position for which they will be eligible to receive <br/>
<a id="pl.3.14"></a><var>3.14</var>immediate appointment at the completion of the training period;<br/>
<a id="pl.3.15"></a><var>3.15</var>    (9) employees of the Minnesota Safety Council;<br/>
<a id="pl.3.16"></a><var>3.16</var>    (10) any employees who are on authorized leave of absence from the Transit <br/>
<a id="pl.3.17"></a><var>3.17</var>Operating Division of the former Metropolitan Transit Commission and who are employed <br/>
<a id="pl.3.18"></a><var>3.18</var>by the labor organization which is the exclusive bargaining agent representing employees <br/>
<a id="pl.3.19"></a><var>3.19</var>of the Transit Operating Division;<br/>
<a id="pl.3.20"></a><var>3.20</var>    (11) employees of the Metropolitan Council, Metropolitan Parks and Open Space <br/>
<a id="pl.3.21"></a><var>3.21</var>Commission, Metropolitan Sports Facilities Commission, or Metropolitan Mosquito <br/>
<a id="pl.3.22"></a><var>3.22</var>Control Commission unless excluded under subdivision 2b or are covered by another <br/>
<a id="pl.3.23"></a><var>3.23</var>public pension fund or plan under section 
         <statute_ref>473.415, subdivision 3</statute_ref>;<br/>
<a id="pl.3.24"></a><var>3.24</var>    (12) judges of the Tax Court;<br/>
<a id="pl.3.25"></a><var>3.25</var>    (13) personnel who were employed on June 30, 1992, by the University of <br/>
<a id="pl.3.26"></a><var>3.26</var>Minnesota in the management, operation, or maintenance of its heating plant facilities, <br/>
<a id="pl.3.27"></a><var>3.27</var>whose employment transfers to an employer assuming operation of the heating plant <br/>
<a id="pl.3.28"></a><var>3.28</var>facilities, so long as the person is employed at the University of Minnesota heating plant <br/>
<a id="pl.3.29"></a><var>3.29</var>by that employer or by its successor organization;<br/>
<a id="pl.3.30"></a><var>3.30</var>    (14) personnel who are employed as seasonal employees in the classified or <br/>
<a id="pl.3.31"></a><var>3.31</var>unclassified service;<br/>
<a id="pl.3.32"></a><var>3.32</var>    (15) persons who are employed by the Department of Commerce as a peace officer <br/>
<a id="pl.3.33"></a><var>3.33</var>in the Commerce Fraud Bureau under section 
         <statute_ref>45.0135</statute_ref> who have attained the mandatory <br/>
<a id="pl.3.34"></a><var>3.34</var>retirement age specified in section 
         <statute_ref>43A.34, subdivision 4</statute_ref>;<br/>
<a id="pl.3.35"></a><var>3.35</var>    (16) employees of the University of Minnesota unless excluded under subdivision <br/>
<a id="pl.3.36"></a><var>3.36</var>2b, clause (3);<br/>
<a id="pl.4.1"></a><var>4.1</var>    (17) employees of the Middle Management Association whose employment began <br/>
<a id="pl.4.2"></a><var>4.2</var>after July 1, 2007, and to whom section 
         <statute_ref>352.029</statute_ref> does not apply;<br/>
<a id="pl.4.3"></a><var>4.3</var>    (18) employees of the Minnesota Government Engineers Council to whom section <br/>
<statute_ref><a id="pl.4.4"></a><var>4.4</var>352.029
         </statute_ref> does not apply;<br/>
<a id="pl.4.5"></a><var>4.5</var>(19) employees of the Minnesota Sports Facilities Authority; and<br/>
<a id="pl.4.6"></a><var>4.6</var>(20) employees of the Minnesota Association of Professional Employees.;<br/>
<a id="pl.4.7"></a><var>4.7</var>(21) employees of the Minnesota State Retirement System;<br/>
<a id="pl.4.8"></a><var>4.8</var>(22) employees of the State Agricultural Society;<br/>
<a id="pl.4.9"></a><var>4.9</var>(23) employees of the Gillette Children's Hospital Board who were employed in the <br/>
<a id="pl.4.10"></a><var>4.10</var>state unclassified service at the former Gillette Children's Hospital on March 28, 1974; and<br/>
<a id="pl.4.11"></a><var>4.11</var>(24) if approved for coverage by the Board of Directors of Conservation Corps <br/>
<a id="pl.4.12"></a><var>4.12</var>Minnesota, employees of Conservation Corps Minnesota so employed on June 30, 2003.<br/>
<a id="pl.4.13"></a><var>4.13</var>    (b) Employees specified in paragraph (a), clause (13), are included employees under <br/>
<a id="pl.4.14"></a><var>4.14</var>paragraph (a) if employer and employee contributions are made in a timely manner in the <br/>
<a id="pl.4.15"></a><var>4.15</var>amounts required by section 
         <statute_ref>352.04</statute_ref>. Employee contributions must be deducted from <br/>
<a id="pl.4.16"></a><var>4.16</var>salary. Employer contributions are the sole obligation of the employer assuming operation <br/>
<a id="pl.4.17"></a><var>4.17</var>of the University of Minnesota heating plant facilities or any successor organizations to <br/>
<a id="pl.4.18"></a><var>4.18</var>that employer.<br/>
<a id="pl.4.19"></a><var>4.19</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.1.2.0"></a><a id="pl.4.20"></a><var>4.20</var>    Sec. 2. Minnesota Statutes 2012, section 352.01, subdivision 2b, is amended to read:<br/>
<a id="pl.4.21"></a><var>4.21</var>    Subd. 2b. <b>Excluded employees.</b> "State employee" does not include:<br/>
<a id="pl.4.22"></a><var>4.22</var>    (1) persons who are:<br/>
<a id="pl.4.23"></a><var>4.23</var>    (i) students who are employed by the University of Minnesota, or within the <br/>
<a id="pl.4.24"></a><var>4.24</var>Minnesota State Colleges and Universities system, unless approved for coverage by <br/>
<a id="pl.4.25"></a><var>4.25</var>the Board of Regents of the University of Minnesota or the Board of Trustees of the <br/>
<a id="pl.4.26"></a><var>4.26</var>Minnesota State Colleges and Universities, whichever is applicable applies;<br/>
<a id="pl.4.27"></a><var>4.27</var>(ii) employed as interns for a period not to exceed six months unless included under <br/>
<a id="pl.4.28"></a><var>4.28</var>subdivision 2a, paragraph (a), clause (8);<br/>
<a id="pl.4.29"></a><var>4.29</var>(iii) employed as trainee employees unless included under subdivision 2a, paragraph <br/>
<a id="pl.4.30"></a><var>4.30</var>(a), clause (8); or<br/>
<a id="pl.4.31"></a><var>4.31</var>(iv) employed in the student worker classification as designated by Minnesota <br/>
<a id="pl.4.32"></a><var>4.32</var>Management and Budget;<br/>
<a id="pl.4.33"></a><var>4.33</var>    (2) employees who are:<br/>
<a id="pl.4.34"></a><var>4.34</var>    (i) eligible for membership in the state Teachers Retirement Association, except <br/>
<a id="pl.4.35"></a><var>4.35</var>employees unless the person is an employee of the Department of Education who have <br/>
<a id="pl.5.1"></a><var>5.1</var>chosen or may choose elected to be covered by the general state employees retirement plan <br/>
<a id="pl.5.2"></a><var>5.2</var>of the Minnesota State Retirement System instead of the Teachers Retirement Association;<br/>
<a id="pl.5.3"></a><var>5.3</var>    (ii) employees of the state who, in any year, were credited with 12 months of <br/>
<a id="pl.5.4"></a><var>5.4</var>allowable service as a public school teacher and, as such, are members of a retirement plan <br/>
<a id="pl.5.5"></a><var>5.5</var>governed by chapter 354 or 354A unless the employment is incidental employment as a <br/>
<a id="pl.5.6"></a><var>5.6</var>state employee that is not covered by a retirement plan governed by chapter 354 or 354A;<br/>
<a id="pl.5.7"></a><var>5.7</var>    (iii) employees of the state who are employed by the Board of Trustees of the <br/>
<a id="pl.5.8"></a><var>5.8</var>Minnesota State Colleges and Universities in an unclassified position that is listed in <br/>
<a id="pl.5.9"></a><var>5.9</var>section 43A.08, subdivision 1, clause (9);<br/>
<a id="pl.5.10"></a><var>5.10</var>    (iv) persons employed by the Board of Trustees of the Minnesota State Colleges and <br/>
<a id="pl.5.11"></a><var>5.11</var>Universities who elected retirement coverage other than by the general state employees <br/>
<a id="pl.5.12"></a><var>5.12</var>retirement plan of the Minnesota State Retirement System under Minnesota Statutes <br/>
<a id="pl.5.13"></a><var>5.13</var>1994, section 136C.75;<br/>
<a id="pl.5.14"></a><var>5.14</var>    (v) officers or enlisted personnel in the National Guard or in the naval militia who <br/>
<a id="pl.5.15"></a><var>5.15</var>are assigned to permanent peacetime duty and who are or are required to be members of a <br/>
<a id="pl.5.16"></a><var>5.16</var>federal retirement system under federal law;<br/>
<a id="pl.5.17"></a><var>5.17</var>    (vi) persons employed by the Department of Military Affairs as full-time firefighters <br/>
<a id="pl.5.18"></a><var>5.18</var>and who, as such, are members of the public employees police and fire retirement plan;<br/>
<a id="pl.5.19"></a><var>5.19</var>    (vii) members of the State Patrol retirement plan under section 352B.011, <br/>
<a id="pl.5.20"></a><var>5.20</var>subdivision 10;<br/>
<a id="pl.5.21"></a><var>5.21</var>    (viii) off-duty police officers while employed by the Metropolitan Council and <br/>
<a id="pl.5.22"></a><var>5.22</var>persons employed as full-time police officers by the Metropolitan Council and who, as <br/>
<a id="pl.5.23"></a><var>5.23</var>such, are members of the public employees police and fire retirement plan; and<br/>
<a id="pl.5.24"></a><var>5.24</var>    (ix) employees of the state who have elected to transfer account balances derived <br/>
<a id="pl.5.25"></a><var>5.25</var>from state service to the unclassified state employees retirement program under section <br/>
<a id="pl.5.26"></a><var>5.26</var>352D.02, subdivision 1d;<br/>
<a id="pl.5.27"></a><var>5.27</var>    (3) employees of the University of Minnesota who are excluded from coverage by <br/>
<a id="pl.5.28"></a><var>5.28</var>action of the Board of Regents;<br/>
<a id="pl.5.29"></a><var>5.29</var>    (4) officers and enlisted personnel in the National Guard and the naval militia who <br/>
<a id="pl.5.30"></a><var>5.30</var>are assigned to permanent peacetime duty and who under federal law are or are required to <br/>
<a id="pl.5.31"></a><var>5.31</var>be members of a federal retirement system;<br/>
<a id="pl.5.32"></a><var>5.32</var>    (5) (4) election officers judges and persons who are employed solely to administer <br/>
<a id="pl.5.33"></a><var>5.33</var>elections;<br/>
<a id="pl.5.34"></a><var>5.34</var>    (6) (5) persons who are:<br/>
<a id="pl.5.35"></a><var>5.35</var>    (i) engaged in public work for the state but who are employed by contractors when the <br/>
<a id="pl.5.36"></a><var>5.36</var>performance of the contract is authorized by the legislature or other competent authority;<br/>
<a id="pl.6.1"></a><var>6.1</var>    (7) officers and employees of the senate, or of the house of representatives, or of a <br/>
<a id="pl.6.2"></a><var>6.2</var>legislative committee or commission who are temporarily employed;<br/>
<a id="pl.6.3"></a><var>6.3</var>(ii) employed to perform professional services where the service is incidental to the <br/>
<a id="pl.6.4"></a><var>6.4</var>person's regular professional duties and where compensation is paid on a per diem basis; or<br/>
<a id="pl.6.5"></a><var>6.5</var>(iii) compensated on a fee payment basis or as an independent contractor;<br/>
<a id="pl.6.6"></a><var>6.6</var>(6) persons who are employed:<br/>
<a id="pl.6.7"></a><var>6.7</var>(i) on a temporary basis by the house of representatives, the senate, or a legislative <br/>
<a id="pl.6.8"></a><var>6.8</var>commission or agency under the jurisdiction of the Legislative Coordinating Commission;<br/>
<a id="pl.6.9"></a><var>6.9</var>(ii) as a temporary employee on or after July 1 for a period ending on or before <br/>
<a id="pl.6.10"></a><var>6.10</var>October 15 of that calendar year for the Minnesota State Agricultural Society or the <br/>
<a id="pl.6.11"></a><var>6.11</var>Minnesota State Fair, or as an employee at any time for a special event held on the <br/>
<a id="pl.6.12"></a><var>6.12</var>fairgrounds;<br/>
<a id="pl.6.13"></a><var>6.13</var>(iii) by the executive branch as a temporary employee in the classified service or <br/>
<a id="pl.6.14"></a><var>6.14</var>as an executive branch temporary employee in the unclassified service if appointed for a <br/>
<a id="pl.6.15"></a><var>6.15</var>definite period not to exceed six months, and if employment is less than six months, then <br/>
<a id="pl.6.16"></a><var>6.16</var>in any 12-month period;<br/>
<a id="pl.6.17"></a><var>6.17</var>(iv) by the adjutant general if employed on an unlimited intermittent or temporary <br/>
<a id="pl.6.18"></a><var>6.18</var>basis in the classified service or in the unclassified service for the support of Army or Air <br/>
<a id="pl.6.19"></a><var>6.19</var>National Guard training facilities;<br/>
<a id="pl.6.20"></a><var>6.20</var>(v) by a state or federal program for training or rehabilitation as a temporary <br/>
<a id="pl.6.21"></a><var>6.21</var>employee if employed for a limited period from an area of economic distress and if other <br/>
<a id="pl.6.22"></a><var>6.22</var>than a skilled or supervisory personnel position or other than a position that has civil <br/>
<a id="pl.6.23"></a><var>6.23</var>service status covered by the retirement system; and<br/>
<a id="pl.6.24"></a><var>6.24</var>(vi) by the Metropolitan Council or a statutory board of the Metropolitan Council <br/>
<a id="pl.6.25"></a><var>6.25</var>where the members of the board are appointed by the Metropolitan Council as a temporary <br/>
<a id="pl.6.26"></a><var>6.26</var>employee if the appointment does not exceed six months;<br/>
<a id="pl.6.27"></a><var>6.27</var>    (8) (7) receivers, jurors, notaries public, and court employees who are not in the <br/>
<a id="pl.6.28"></a><var>6.28</var>judicial branch as defined in section 
         <statute_ref>43A.02, subdivision 25</statute_ref>, except referees and adjusters <br/>
<a id="pl.6.29"></a><var>6.29</var>employed by the Department of Labor and Industry;<br/>
<a id="pl.6.30"></a><var>6.30</var>    (9) (8) patient and inmate help who perform services in state charitable, penal, and <br/>
<a id="pl.6.31"></a><var>6.31</var>correctional institutions, including the a Minnesota Veterans Home;<br/>
<a id="pl.6.32"></a><var>6.32</var>    (10) persons who are employed for professional services where the service is <br/>
<a id="pl.6.33"></a><var>6.33</var>incidental to their regular professional duties and whose compensation is paid on a per <br/>
<a id="pl.6.34"></a><var>6.34</var>diem basis;<br/>
<a id="pl.6.35"></a><var>6.35</var>    (11) (9) employees of the Sibley House Association;<br/>
<a id="pl.6.36"></a><var>6.36</var>(10) persons who are:<br/>
<a id="pl.7.1"></a><var>7.1</var>    (12) the (i) members of any state board or commission who serve the state <br/>
<a id="pl.7.2"></a><var>7.2</var>intermittently and are paid on a per diem basis;, the secretary, secretary-treasurer, and <br/>
<a id="pl.7.3"></a><var>7.3</var>treasurer of those boards if their compensation is $5,000 or less per year, or, if they are <br/>
<a id="pl.7.4"></a><var>7.4</var>legally prohibited from serving more than three years;, and the board of managers of the <br/>
<a id="pl.7.5"></a><var>7.5</var>State Agricultural Society and its treasurer unless the treasurer is also its full-time secretary;<br/>
<a id="pl.7.6"></a><var>7.6</var>    (13) state troopers and persons who are described in section 
<statute_ref>352B.011, subdivision <br/>
<a id="pl.7.7"></a><var>7.7</var>10
</statute_ref>, clauses (2) to (8);<br/>
<a id="pl.7.8"></a><var>7.8</var>    (14) temporary employees of the Minnesota State Fair who are employed on or <br/>
<a id="pl.7.9"></a><var>7.9</var>after July 1 for a period not to extend beyond October 15 of that year; and persons who <br/>
<a id="pl.7.10"></a><var>7.10</var>are employed at any time by the state fair administration for special events held on the <br/>
<a id="pl.7.11"></a><var>7.11</var>fairgrounds;<br/>
<a id="pl.7.12"></a><var>7.12</var>(ii) examination monitors employed by a department, agency, commission, or board <br/>
<a id="pl.7.13"></a><var>7.13</var>of the state to conduct examinations that are required by law; or<br/>
<a id="pl.7.14"></a><var>7.14</var>(iii) appointees serving as a member of a fact-finding commission or an adjustment <br/>
<a id="pl.7.15"></a><var>7.15</var>panel, an arbitrator, or a labor referee under chapter 179;<br/>
<a id="pl.7.16"></a><var>7.16</var>    (15) (11) emergency employees who are in the classified service; except that, <br/>
<a id="pl.7.17"></a><var>7.17</var>but if an emergency employee, within the same pay period, becomes a provisional or <br/>
<a id="pl.7.18"></a><var>7.18</var>probationary employee on other than a temporary basis, the employee must be considered <br/>
<a id="pl.7.19"></a><var>7.19</var>a "state employee" retroactively to the beginning of the pay period;<br/>
<a id="pl.7.20"></a><var>7.20</var>    (16) temporary employees in the classified service, and temporary employees in the <br/>
<a id="pl.7.21"></a><var>7.21</var>unclassified service who are appointed for a definite period of not more than six months <br/>
<a id="pl.7.22"></a><var>7.22</var>and who are employed less than six months in any one-year period;<br/>
<a id="pl.7.23"></a><var>7.23</var>    (17) interns who are hired for six months or less and trainee employees, except <br/>
<a id="pl.7.24"></a><var>7.24</var>those listed in subdivision 2a, clause (8);<br/>
<a id="pl.7.25"></a><var>7.25</var>    (18) persons whose compensation is paid on a fee basis or as an independent <br/>
<a id="pl.7.26"></a><var>7.26</var>contractor;<br/>
<a id="pl.7.27"></a><var>7.27</var>    (19) state employees who are employed by the Board of Trustees of the Minnesota <br/>
<a id="pl.7.28"></a><var>7.28</var>State Colleges and Universities in unclassified positions enumerated in section 
<statute_ref>43A.08, <br/>
<a id="pl.7.29"></a><var>7.29</var>subdivision 1
</statute_ref>, clause (9);<br/>
<a id="pl.7.30"></a><var>7.30</var>    (20) state employees who in any year have credit for 12 months service as teachers <br/>
<a id="pl.7.31"></a><var>7.31</var>in the public schools of the state and as teachers are members of the Teachers Retirement <br/>
<a id="pl.7.32"></a><var>7.32</var>Association or a retirement system in St. Paul, Minneapolis, or Duluth, except for <br/>
<a id="pl.7.33"></a><var>7.33</var>incidental employment as a state employee that is not covered by one of the teacher <br/>
<a id="pl.7.34"></a><var>7.34</var>retirement associations or systems;<br/>
<a id="pl.8.1"></a><var>8.1</var>    (21) employees of the adjutant general who are employed on an unlimited <br/>
<a id="pl.8.2"></a><var>8.2</var>intermittent or temporary basis in the classified or unclassified service for the support of <br/>
<a id="pl.8.3"></a><var>8.3</var>Army and Air National Guard training facilities;<br/>
<a id="pl.8.4"></a><var>8.4</var>    (22) chaplains and nuns (12) persons who are members of a religious order who are <br/>
<a id="pl.8.5"></a><var>8.5</var>excluded from coverage under the federal Old Age, Survivors, Disability, and Health <br/>
<a id="pl.8.6"></a><var>8.6</var>Insurance Program for the performance of service as specified in United States Code, title <br/>
<a id="pl.8.7"></a><var>8.7</var>42, section 410(a)(8)(A), as amended, if no irrevocable election of coverage has been <br/>
<a id="pl.8.8"></a><var>8.8</var>made under section 3121(r) of the Internal Revenue Code of 1986, as amended through <br/>
<a id="pl.8.9"></a><var>8.9</var>December 31, 1992;<br/>
<a id="pl.8.10"></a><var>8.10</var>    (23) examination monitors who are employed by departments, agencies, <br/>
<a id="pl.8.11"></a><var>8.11</var>commissions, and boards to conduct examinations required by law;<br/>
<a id="pl.8.12"></a><var>8.12</var>    (24) persons who are appointed to serve as members of fact-finding commissions or <br/>
<a id="pl.8.13"></a><var>8.13</var>adjustment panels, arbitrators, or labor referees under chapter 179;<br/>
<a id="pl.8.14"></a><var>8.14</var>    (25) temporary employees who are employed for limited periods under any state or <br/>
<a id="pl.8.15"></a><var>8.15</var>federal program for training or rehabilitation, including persons who are employed for <br/>
<a id="pl.8.16"></a><var>8.16</var>limited periods from areas of economic distress, but not including skilled and supervisory <br/>
<a id="pl.8.17"></a><var>8.17</var>personnel and persons having civil service status covered by the system;<br/>
<a id="pl.8.18"></a><var>8.18</var>    (26) full-time students who are employed by the Minnesota Historical Society <br/>
<a id="pl.8.19"></a><var>8.19</var>intermittently during part of the year and full-time during the summer months;<br/>
<a id="pl.8.20"></a><var>8.20</var>    (27) temporary employees who are appointed for not more than six months, of <br/>
<a id="pl.8.21"></a><var>8.21</var>the Metropolitan Council and of any of its statutory boards, if the board members are <br/>
<a id="pl.8.22"></a><var>8.22</var>appointed by the Metropolitan Council;<br/>
<a id="pl.8.23"></a><var>8.23</var>    (28) persons who are employed in positions designated by the Department of <br/>
<a id="pl.8.24"></a><var>8.24</var>Management and Budget as student workers;<br/>
<a id="pl.8.25"></a><var>8.25</var>    (29) (13) members of trades who are employed by the successor to the Metropolitan <br/>
<a id="pl.8.26"></a><var>8.26</var>Waste Control Commission, who have trade union pension plan coverage under a <br/>
<a id="pl.8.27"></a><var>8.27</var>collective bargaining agreement, and who are first employed after June 1, 1977;<br/>
<a id="pl.8.28"></a><var>8.28</var>    (30) off-duty peace officers while employed by the Metropolitan Council;<br/>
<a id="pl.8.29"></a><var>8.29</var>    (31) persons who are employed as full-time police officers by the Metropolitan <br/>
<a id="pl.8.30"></a><var>8.30</var>Council and as police officers are members of the public employees police and fire fund;<br/>
<a id="pl.8.31"></a><var>8.31</var>    (32) persons who are employed as full-time firefighters by the Department of Military <br/>
<a id="pl.8.32"></a><var>8.32</var>Affairs and as firefighters are members of the public employees police and fire fund;<br/>
<a id="pl.8.33"></a><var>8.33</var>    (33) (14) foreign citizens who are employed under a work permit of less than three <br/>
<a id="pl.8.34"></a><var>8.34</var>years, or under an H-1b/JV H-1b visa or a J-1 visa that is initially valid for less than three <br/>
<a id="pl.8.35"></a><var>8.35</var>years of employment, unless notice of a visa extension is supplied which allows them to <br/>
<a id="pl.8.36"></a><var>8.36</var>work for three or more years as of the date that the extension is granted and is supplied to <br/>
<a id="pl.9.1"></a><var>9.1</var>the retirement plan, in which case they are the person is eligible for coverage from the date <br/>
<a id="pl.9.2"></a><var>9.2</var>extended of the extension; and<br/>
<a id="pl.9.3"></a><var>9.3</var>    (34) persons who are employed by the Board of Trustees of the Minnesota State <br/>
<a id="pl.9.4"></a><var>9.4</var>Colleges and Universities and who elected to remain members of the Public Employees <br/>
<a id="pl.9.5"></a><var>9.5</var>Retirement Association or of the MERF division of the Public Employees Retirement <br/>
<a id="pl.9.6"></a><var>9.6</var>Association as the successor of the Minneapolis Employees Retirement Fund, whichever <br/>
<a id="pl.9.7"></a><var>9.7</var>applies, under Minnesota Statutes 1994, section 
<statute_ref>136C.75</statute_ref>; and<br/>
<a id="pl.9.8"></a><var>9.8</var>(35) employees who have elected to transfer service to the unclassified program <br/>
<a id="pl.9.9"></a><var>9.9</var>under section 
<statute_ref>352D.02, subdivision 1d</statute_ref>.<br/>
<a id="pl.9.10"></a><var>9.10</var>(15) reemployed annuitants of the general state employees retirement plan, the <br/>
<a id="pl.9.11"></a><var>9.11</var>military affairs personnel retirement plan, the transportation department pilots retirement <br/>
<a id="pl.9.12"></a><var>9.12</var>plan, the state fire marshal employees retirement plan, or the correctional state employees <br/>
<a id="pl.9.13"></a><var>9.13</var>retirement plan during the course of that reemployment.<br/>
<a id="pl.9.14"></a><var>9.14</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.1.3.0"></a><a id="pl.9.15"></a><var>9.15</var>    Sec. 3. Minnesota Statutes 2013 Supplement, section 353.01, subdivision 2a, is <br/>
<a id="pl.9.16"></a><var>9.16</var>amended to read:<br/>
<a id="pl.9.17"></a><var>9.17</var>    Subd. 2a. <b>Included employees; mandatory membership.</b> (a) Public employees <br/>
<a id="pl.9.18"></a><var>9.18</var>whose annual  salary exceeds $425 in any month from one governmental subdivision is <br/>
<a id="pl.9.19"></a><var>9.19</var>stipulated in advance to exceed $5,100 if the person is not a school year employee or <br/>
<a id="pl.9.20"></a><var>9.20</var>$3,800 if the person is a school year employee and who are not specifically excluded under <br/>
<a id="pl.9.21"></a><var>9.21</var>subdivision 2b or who have not been provided an option to participate under subdivision <br/>
<a id="pl.9.22"></a><var>9.22</var>2d, whether individually or by action of the governmental subdivision, must participate as <br/>
<a id="pl.9.23"></a><var>9.23</var>members of the association with retirement coverage by the general employees retirement <br/>
<a id="pl.9.24"></a><var>9.24</var>plan under this chapter, the public employees police and fire retirement plan under this <br/>
<a id="pl.9.25"></a><var>9.25</var>chapter, or the local government correctional employees retirement plan under chapter <br/>
<a id="pl.9.26"></a><var>9.26</var>353E, whichever applies. Membership commences as a condition of their employment on <br/>
<a id="pl.9.27"></a><var>9.27</var>the first day of their employment or on the first day that the eligibility criteria are met, <br/>
<a id="pl.9.28"></a><var>9.28</var>whichever is later. Public employees include but are not limited to:<br/>
<a id="pl.9.29"></a><var>9.29</var>(1) persons whose salary meets the threshold in this paragraph from employment in <br/>
<a id="pl.9.30"></a><var>9.30</var>one or more positions within one governmental subdivision;<br/>
<a id="pl.9.31"></a><var>9.31</var>(2) elected county sheriffs;<br/>
<a id="pl.9.32"></a><var>9.32</var>(3) persons who are appointed, employed, or contracted to perform governmental <br/>
<a id="pl.9.33"></a><var>9.33</var>functions that by law or local ordinance are required of a public officer, including, but <br/>
<a id="pl.9.34"></a><var>9.34</var>not limited to:<br/>
<a id="pl.9.35"></a><var>9.35</var>(i) town and city clerk or treasurer;<br/>
<a id="pl.10.1"></a><var>10.1</var>(ii) county auditor, treasurer, or recorder;<br/>
<a id="pl.10.2"></a><var>10.2</var>(iii) city manager as defined in section 
         <statute_ref>353.028</statute_ref> who does not exercise the option <br/>
<a id="pl.10.3"></a><var>10.3</var>provided under subdivision 2d; or<br/>
<a id="pl.10.4"></a><var>10.4</var>(iv) emergency management director, as provided under section 
         <statute_ref>12.25</statute_ref>;<br/>
<a id="pl.10.5"></a><var>10.5</var>(4) physicians under section 
         <statute_ref>353D.01, subdivision 2</statute_ref>, who do not elect public <br/>
<a id="pl.10.6"></a><var>10.6</var>employees defined contribution plan coverage under section 
         <statute_ref>353D.02, subdivision 2</statute_ref>;<br/>
<a id="pl.10.7"></a><var>10.7</var>(5) full-time employees of the Dakota County Agricultural Society;<br/>
<a id="pl.10.8"></a><var>10.8</var>(6) employees of the Red Wing Port Authority who were first employed by the <br/>
<a id="pl.10.9"></a><var>10.9</var>Red Wing Port Authority before May 1, 2011, and who are not excluded employees <br/>
<a id="pl.10.10"></a><var>10.10</var>under subdivision 2b; and<br/>
<a id="pl.10.11"></a><var>10.11</var>(7) employees of the Seaway Port Authority of Duluth who are not excluded <br/>
<a id="pl.10.12"></a><var>10.12</var>employees under subdivision 2b.<br/>
<a id="pl.10.13"></a><var>10.13</var>(8) employees of the Stevens County Housing and Redevelopment Authority who <br/>
<a id="pl.10.14"></a><var>10.14</var>were first employed by the Stevens County Housing and Redevelopment Authority before <br/>
<a id="pl.10.15"></a><var>10.15</var>May 1, 2014, and who are not excluded employees under subdivision 2b; and<br/>
<a id="pl.10.16"></a><var>10.16</var>(9) employees of the Public Employees Retirement Association.<br/>
<a id="pl.10.17"></a><var>10.17</var>    (b) A public employee or elected official who was a member of the association on <br/>
<a id="pl.10.18"></a><var>10.18</var>June 30, 2002, based on employment that qualified for membership coverage by the public <br/>
<a id="pl.10.19"></a><var>10.19</var>employees retirement plan or the public employees police and fire plan under this chapter, <br/>
<a id="pl.10.20"></a><var>10.20</var>or the local government correctional employees retirement plan under chapter 353E as of <br/>
<a id="pl.10.21"></a><var>10.21</var>June 30, 2002, retains that membership for the duration of the person's employment in that <br/>
<a id="pl.10.22"></a><var>10.22</var>position or incumbency in elected office. Except as provided in subdivision 28, the person <br/>
<a id="pl.10.23"></a><var>10.23</var>shall participate as a member until the employee or elected official terminates public <br/>
<a id="pl.10.24"></a><var>10.24</var>employment under subdivision 11a or terminates membership under subdivision 11b.<br/>
<a id="pl.10.25"></a><var>10.25</var>    (c) If in any subsequent year the annual salary of an included public employee is <br/>
<a id="pl.10.26"></a><var>10.26</var>less than $425 in any subsequent month the minimum salary threshold specified in this <br/>
<a id="pl.10.27"></a><var>10.27</var>subdivision, the member retains membership eligibility.<br/>
<a id="pl.10.28"></a><var>10.28</var>(d) For the purpose of participation in the MERF division of the general employees <br/>
<a id="pl.10.29"></a><var>10.29</var>retirement plan, public employees include employees who were members of the former <br/>
<a id="pl.10.30"></a><var>10.30</var>Minneapolis Employees Retirement Fund on June 29, 2010, and who participate as <br/>
<a id="pl.10.31"></a><var>10.31</var>members of the MERF division of the association.<br/>
<a id="pl.10.32"></a><var>10.32</var><b>EFFECTIVE DATE.</b>The amendments to paragraphs (b) and (d) are effective the <br/>
<a id="pl.10.33"></a><var>10.33</var>day following final enactment. The amendments to paragraphs (a) and (c) are effective <br/>
<a id="pl.10.34"></a><var>10.34</var>January 1, 2015.<br/>
<br/>
<a id="bill.1.4.0"></a><a id="pl.11.1"></a><var>11.1</var>    Sec. 4. Minnesota Statutes 2013 Supplement, section 353.01, subdivision 2b, is <br/>
<a id="pl.11.2"></a><var>11.2</var>amended to read:<br/>
<a id="pl.11.3"></a><var>11.3</var>    Subd. 2b. <b>Excluded employees.</b> (a) The following public employees are not eligible <br/>
<a id="pl.11.4"></a><var>11.4</var>to participate as members of the association with retirement coverage by the general <br/>
<a id="pl.11.5"></a><var>11.5</var>employees retirement plan, the local government correctional employees retirement plan <br/>
<a id="pl.11.6"></a><var>11.6</var>under chapter 353E, or the public employees police and fire retirement plan:<br/>
<a id="pl.11.7"></a><var>11.7</var>    (1) persons whose annual salary from one governmental subdivision never exceeds <br/>
<a id="pl.11.8"></a><var>11.8</var> an amount, stipulated in writing in advance, of $5,100 if the person is not a school year <br/>
<a id="pl.11.9"></a><var>11.9</var>employee or $3,800 if the person is a school year employee. If annual compensation from <br/>
<a id="pl.11.10"></a><var>11.10</var>one governmental subdivision to an employee exceeds the stipulated amount in a calendar <br/>
<a id="pl.11.11"></a><var>11.11</var>year or a school year, whichever applies, after being stipulated in advance not to exceed <br/>
<a id="pl.11.12"></a><var>11.12</var>the applicable amount, the stipulation is no longer valid and contributions must be made <br/>
<a id="pl.11.13"></a><var>11.13</var>on behalf of the employee under section 353.27, subdivision 12, from the first month in <br/>
<a id="pl.11.14"></a><var>11.14</var>which the employee received salary exceeding $425 in a month;<br/>
<a id="pl.11.15"></a><var>11.15</var>(2) public officers who are elected to a governing body, city mayors, or persons who <br/>
<a id="pl.11.16"></a><var>11.16</var>are appointed to fill a vacancy in an elective office of a governing body, whose term of office <br/>
<a id="pl.11.17"></a><var>11.17</var>commences on or after July 1, 2002, for the service to be rendered in that elective position;<br/>
<a id="pl.11.18"></a><var>11.18</var>    (3) election officers or election judges and persons employed solely to administer <br/>
<a id="pl.11.19"></a><var>11.19</var>elections;<br/>
<a id="pl.11.20"></a><var>11.20</var>    (4) patient and inmate personnel who perform services for a governmental <br/>
<a id="pl.11.21"></a><var>11.21</var>subdivision;<br/>
<a id="pl.11.22"></a><var>11.22</var>    (5) except as otherwise specified in subdivision 12a, employees who are hired for<br/>
<a id="pl.11.23"></a><var>11.23</var> employed solely in a temporary position as defined under subdivision 12a, and employees <br/>
<a id="pl.11.24"></a><var>11.24</var>who resign from a nontemporary position and accept a temporary position within 30 days <br/>
<a id="pl.11.25"></a><var>11.25</var>of that resignation in the same governmental subdivision;<br/>
<a id="pl.11.26"></a><var>11.26</var>    (6) employees who are employed by reason of work emergency caused by fire, <br/>
<a id="pl.11.27"></a><var>11.27</var>flood, storm, or similar disaster, but if the person becomes a probationary or provisional <br/>
<a id="pl.11.28"></a><var>11.28</var>employee within the same pay period, other than on a temporary basis, the person is a <br/>
<a id="pl.11.29"></a><var>11.29</var>"public employee" retroactively to the beginning of the pay period;<br/>
<a id="pl.11.30"></a><var>11.30</var>    (7) employees who by virtue of their employment in one governmental subdivision <br/>
<a id="pl.11.31"></a><var>11.31</var>are required by law to be a member of and to contribute to any of the plans or funds <br/>
<a id="pl.11.32"></a><var>11.32</var>administered by the Minnesota State Retirement System, the Teachers Retirement <br/>
<a id="pl.11.33"></a><var>11.33</var>Association, the Duluth Teachers Retirement Fund Association, and or the St. Paul <br/>
<a id="pl.11.34"></a><var>11.34</var>Teachers Retirement Fund Association., but this clause exclusion must not be construed <br/>
<a id="pl.11.35"></a><var>11.35</var>to prevent a person from being a member of and contributing to the Public Employees <br/>
<a id="pl.11.36"></a><var>11.36</var>Retirement Association and also belonging to and contributing to another public pension <br/>
<a id="pl.12.1"></a><var>12.1</var>plan or fund for other service occurring during the same period of time., and a person who <br/>
<a id="pl.12.2"></a><var>12.2</var>meets the definition of "public employee" in subdivision 2 by virtue of other service <br/>
<a id="pl.12.3"></a><var>12.3</var>occurring during the same period of time becomes a member of the association unless <br/>
<a id="pl.12.4"></a><var>12.4</var>contributions are made to another public retirement fund plan on the salary based on the <br/>
<a id="pl.12.5"></a><var>12.5</var>other service or to the Teachers Retirement Association by a teacher as defined in section <br/>
<statute_ref><a id="pl.12.6"></a><var>12.6</var>354.05, subdivision 2
         </statute_ref>;<br/>
<a id="pl.12.7"></a><var>12.7</var>    (8) persons who are members of a religious order and are excluded from coverage <br/>
<a id="pl.12.8"></a><var>12.8</var>under the federal Old Age, Survivors, Disability, and Health Insurance Program for the <br/>
<a id="pl.12.9"></a><var>12.9</var>performance of service as specified in United States Code, title 42, section 410(a)(8)(A), <br/>
<a id="pl.12.10"></a><var>12.10</var>as amended through January 1, 1987, if no irrevocable election of coverage has been made <br/>
<a id="pl.12.11"></a><var>12.11</var>under section 3121(r) of the Internal Revenue Code of 1954, as amended;<br/>
<a id="pl.12.12"></a><var>12.12</var>    (9) employees of persons who are:<br/>
<a id="pl.12.13"></a><var>12.13</var>    (i) employed by a governmental subdivision who have not reached the age of 23 <br/>
<a id="pl.12.14"></a><var>12.14</var>and who are enrolled on a full-time basis to attend or are attending classes on a full-time <br/>
<a id="pl.12.15"></a><var>12.15</var>basis at an accredited school, college, or university in an undergraduate, graduate, or <br/>
<a id="pl.12.16"></a><var>12.16</var>professional-technical program, or at a public or charter high school;<br/>
<a id="pl.12.17"></a><var>12.17</var>    (10) (ii) employed as resident physicians, medical interns, and pharmacist residents <br/>
<a id="pl.12.18"></a><var>12.18</var>and, or pharmacist interns who and are serving in a degree or residency program in a <br/>
<a id="pl.12.19"></a><var>12.19</var>public hospitals hospital or clinics in a public clinic; or<br/>
<a id="pl.12.20"></a><var>12.20</var>    (11) (iii) students who are serving for up a period not to exceed five years in an <br/>
<a id="pl.12.21"></a><var>12.21</var>internship or a residency program that is sponsored by a governmental subdivision, <br/>
<a id="pl.12.22"></a><var>12.22</var>including an accredited educational institution;<br/>
<a id="pl.12.23"></a><var>12.23</var>    (12) (10) persons who hold a part-time adult supplementary technical college license <br/>
<a id="pl.12.24"></a><var>12.24</var>who render part-time teaching service in a technical college;<br/>
<a id="pl.12.25"></a><var>12.25</var>    (13) (11) except for employees of Hennepin County or employees of Hennepin <br/>
<a id="pl.12.26"></a><var>12.26</var>Healthcare System, Inc., foreign citizens who are employed by a governmental subdivision <br/>
<a id="pl.12.27"></a><var>12.27</var>under a work permit, or under an H-1b visa initially issued or extended for a combined <br/>
<a id="pl.12.28"></a><var>12.28</var>period of less than three years of employment. but upon extension of the employment <br/>
<a id="pl.12.29"></a><var>12.29</var>of the visa beyond the three-year period, the foreign citizens citizen must be reported <br/>
<a id="pl.12.30"></a><var>12.30</var>for membership beginning on the first of the month thereafter provided following the <br/>
<a id="pl.12.31"></a><var>12.31</var>extension if the monthly earnings threshold as provided under subdivision 2a is met;<br/>
<a id="pl.12.32"></a><var>12.32</var>    (14) (12) public hospital employees who elected not to participate as members <br/>
<a id="pl.12.33"></a><var>12.33</var>of the association before 1972 and who did not elect to participate from July 1, 1988, <br/>
<a id="pl.12.34"></a><var>12.34</var>to October 1, 1988;<br/>
<a id="pl.12.35"></a><var>12.35</var>    (15) (13) except as provided in section 
         <statute_ref>353.86</statute_ref>, volunteer ambulance service <br/>
<a id="pl.12.36"></a><var>12.36</var>personnel, as defined in subdivision 35, but persons who serve as volunteer ambulance <br/>
<a id="pl.13.1"></a><var>13.1</var>service personnel may still qualify as public employees under subdivision 2 and may <br/>
<a id="pl.13.2"></a><var>13.2</var>be members of the Public Employees Retirement Association and participants in the <br/>
<a id="pl.13.3"></a><var>13.3</var>general employees retirement plan or the public employees police and fire plan, whichever <br/>
<a id="pl.13.4"></a><var>13.4</var>applies, on the basis of compensation received from public employment service other than <br/>
<a id="pl.13.5"></a><var>13.5</var>service as volunteer ambulance service personnel;<br/>
<a id="pl.13.6"></a><var>13.6</var>    (16) (14) except as provided in section 
         <statute_ref>353.87</statute_ref>, volunteer firefighters, as defined in <br/>
<a id="pl.13.7"></a><var>13.7</var>subdivision 36, engaging in activities undertaken as part of volunteer firefighter duties, <br/>
<a id="pl.13.8"></a><var>13.8</var>but a person who is a volunteer firefighter may still qualify as a public employee under <br/>
<a id="pl.13.9"></a><var>13.9</var>subdivision 2 and may be a member of the Public Employees Retirement Association and <br/>
<a id="pl.13.10"></a><var>13.10</var>a participant in the general employees retirement plan or the public employees police <br/>
<a id="pl.13.11"></a><var>13.11</var>and fire plan, whichever applies, on the basis of compensation received from public <br/>
<a id="pl.13.12"></a><var>13.12</var>employment activities other than those as a volunteer firefighter;<br/>
<a id="pl.13.13"></a><var>13.13</var>    (17) (15) pipefitters and associated trades personnel employed by Independent <br/>
<a id="pl.13.14"></a><var>13.14</var>School District No. 625, St. Paul, with coverage under a collective bargaining agreement <br/>
<a id="pl.13.15"></a><var>13.15</var>by the pipefitters local 455 pension plan who were either first employed after May 1, <br/>
<a id="pl.13.16"></a><var>13.16</var>1997, or, if first employed before May 2, 1997, elected to be excluded under Laws 1997, <br/>
<a id="pl.13.17"></a><var>13.17</var>chapter 241, article 2, section 12;<br/>
<a id="pl.13.18"></a><var>13.18</var>    (18) (16) electrical workers, plumbers, carpenters, and associated trades personnel <br/>
<a id="pl.13.19"></a><var>13.19</var>who are employed by Independent School District No. 625, St. Paul, or the city of St. <br/>
<a id="pl.13.20"></a><var>13.20</var>Paul, who have retirement coverage under a collective bargaining agreement by the <br/>
<a id="pl.13.21"></a><var>13.21</var>Electrical Workers Local 110 pension plan, the United Association Plumbers Local 34 <br/>
<a id="pl.13.22"></a><var>13.22</var>pension plan, or the pension plan applicable to Carpenters Local 87 322 who were either <br/>
<a id="pl.13.23"></a><var>13.23</var>first employed after May 1, 2000, or, if first employed before May 2, 2000, elected to be <br/>
<a id="pl.13.24"></a><var>13.24</var>excluded under Laws 2000, chapter 461, article 7, section 5;<br/>
<a id="pl.13.25"></a><var>13.25</var>    (19) (17) bricklayers, allied craftworkers, cement masons, glaziers, glassworkers, <br/>
<a id="pl.13.26"></a><var>13.26</var>painters, allied tradesworkers, and plasterers who are employed by the city of St. Paul <br/>
<a id="pl.13.27"></a><var>13.27</var>or Independent School District No. 625, St. Paul, with coverage under a collective <br/>
<a id="pl.13.28"></a><var>13.28</var>bargaining agreement by the Bricklayers and Allied Craftworkers Local 1 pension plan, <br/>
<a id="pl.13.29"></a><var>13.29</var>the Cement Masons Local 633 pension plan, the Glaziers and Glassworkers Local L-1324 <br/>
<a id="pl.13.30"></a><var>13.30</var>pension plan, the Painters and Allied Trades Local 61 pension plan, or the Twin Cities <br/>
<a id="pl.13.31"></a><var>13.31</var>Plasterers Local 265 pension plan who were either first employed after May 1, 2001, or if <br/>
<a id="pl.13.32"></a><var>13.32</var>first employed before May 2, 2001, elected to be excluded under Laws 2001, First Special <br/>
<a id="pl.13.33"></a><var>13.33</var>Session chapter 10, article 10, section 6;<br/>
<a id="pl.13.34"></a><var>13.34</var>    (20) (18) plumbers who are employed by the Metropolitan Airports Commission, <br/>
<a id="pl.13.35"></a><var>13.35</var>with coverage under a collective bargaining agreement by the Plumbers Local 34 pension <br/>
<a id="pl.13.36"></a><var>13.36</var>plan, who either were first employed after May 1, 2001, or if first employed before May 2, <br/>
<a id="pl.14.1"></a><var>14.1</var>2001, elected to be excluded under Laws 2001, First Special Session chapter 10, article <br/>
<a id="pl.14.2"></a><var>14.2</var>10, section 6;<br/>
<a id="pl.14.3"></a><var>14.3</var>    (21) (19) employees who are hired after June 30, 2002, solely to fill seasonal positions <br/>
<a id="pl.14.4"></a><var>14.4</var>under subdivision 12b which are limited in duration by the employer to 185 consecutive <br/>
<a id="pl.14.5"></a><var>14.5</var>calendar days or less in each year of employment with the governmental subdivision;<br/>
<a id="pl.14.6"></a><var>14.6</var>    (22) (20) persons who are provided supported employment or work-study positions <br/>
<a id="pl.14.7"></a><var>14.7</var>by a governmental subdivision and who participate in an employment or industries <br/>
<a id="pl.14.8"></a><var>14.8</var>program maintained for the benefit of these persons where the governmental subdivision <br/>
<a id="pl.14.9"></a><var>14.9</var>limits the position's duration to up to five years, including persons participating in a <br/>
<a id="pl.14.10"></a><var>14.10</var>federal or state subsidized on-the-job training, work experience, senior citizen, youth, or <br/>
<a id="pl.14.11"></a><var>14.11</var>unemployment relief program where the training or work experience is not provided as a <br/>
<a id="pl.14.12"></a><var>14.12</var>part of, or for, future permanent public employment;<br/>
<a id="pl.14.13"></a><var>14.13</var>    (23) (21) independent contractors and the employees of independent contractors;<br/>
<a id="pl.14.14"></a><var>14.14</var>    (24) (22) reemployed annuitants of the association during the course of that <br/>
<a id="pl.14.15"></a><var>14.15</var>reemployment; and<br/>
<a id="pl.14.16"></a><var>14.16</var>(25) (23) persons appointed to serve on a board or commission of a governmental <br/>
<a id="pl.14.17"></a><var>14.17</var>subdivision or an instrumentality thereof.; and<br/>
<a id="pl.14.18"></a><var>14.18</var>(24) persons employed as full-time fixed-route bus drivers by the St. Cloud <br/>
<a id="pl.14.19"></a><var>14.19</var>Metropolitan Transit Commission who are members of the International Brotherhood <br/>
<a id="pl.14.20"></a><var>14.20</var>of Teamsters Local 638 and who are, by virtue of that employment, members of the <br/>
<a id="pl.14.21"></a><var>14.21</var>International Brotherhood of Teamsters Central States pension plan.<br/>
<a id="pl.14.22"></a><var>14.22</var>(b) Any person performing the duties of a public officer in a position defined in <br/>
<a id="pl.14.23"></a><var>14.23</var>subdivision 2a, paragraph (a), clause (3), is not an independent contractor and is not an <br/>
<a id="pl.14.24"></a><var>14.24</var>employee of an independent contractor.<br/>
<a id="pl.14.25"></a><var>14.25</var><b>EFFECTIVE DATE.</b>This section is effective January 1, 2015, except paragraph <br/>
<a id="pl.14.26"></a><var>14.26</var>(a), clause (24), which is effective retroactively from August 1, 1986.<br/>
<br/>
<a id="bill.1.5.0"></a><a id="pl.14.27"></a><var>14.27</var>    Sec. 5. Minnesota Statutes 2012, section 353.27, is amended by adding a subdivision <br/>
<a id="pl.14.28"></a><var>14.28</var>to read:<br/>
<a id="pl.14.29"></a><var>14.29</var>    Subd. 10a. <b>Written disclosure of membership exclusion determination.</b> If the <br/>
<a id="pl.14.30"></a><var>14.30</var>determination by the employer under section 353.01, subdivisions 2a and 2b, is to exclude <br/>
<a id="pl.14.31"></a><var>14.31</var>a public employee from membership, the governmental subdivision shall provide the <br/>
<a id="pl.14.32"></a><var>14.32</var>employee with a written notice of the exclusion on a form prescribed by the executive <br/>
<a id="pl.14.33"></a><var>14.33</var>director. The notice must include the statutory basis for the exclusion and information <br/>
<a id="pl.14.34"></a><var>14.34</var>about the employee's right to appeal the determination to the association under section <br/>
<a id="pl.15.1"></a><var>15.1</var>356.96. The employer must provide the exclusion notice to the employee within two <br/>
<a id="pl.15.2"></a><var>15.2</var>weeks of the date of the determination and shall retain a copy in the person's personnel file.<br/>
<a id="pl.15.3"></a><var>15.3</var><b>EFFECTIVE DATE.</b>This section is effective January 1, 2015.<br/>
<br/>
<a id="bill.1.6.0"></a><a id="pl.15.4"></a><var>15.4</var>    Sec. 6. Minnesota Statutes 2012, section 354.05, subdivision 2, is amended to read:<br/>
<a id="pl.15.5"></a><var>15.5</var>    Subd. 2. <b>Teacher.</b> (a) "Teacher" means:<br/>
<a id="pl.15.6"></a><var>15.6</var>(1) a person who renders service as a teacher, supervisor, principal, superintendent, <br/>
<a id="pl.15.7"></a><var>15.7</var>librarian, nurse, counselor, social worker, therapist, or psychologist in a public school of <br/>
<a id="pl.15.8"></a><var>15.8</var>the state located outside of the corporate limits of the city of Duluth or the city of St. Paul<br/>
<a id="pl.15.9"></a><var>15.9</var> other than in Independent School District No. 625 or in Independent School District No. <br/>
<a id="pl.15.10"></a><var>15.10</var>709, or in any charter school, irrespective of the location of the school, or in any charitable, <br/>
<a id="pl.15.11"></a><var>15.11</var>penal, or correctional institutions of a governmental subdivision, or who is engaged in <br/>
<a id="pl.15.12"></a><var>15.12</var>educational administration in connection with the state public school system, but excluding <br/>
<a id="pl.15.13"></a><var>15.13</var>the University of Minnesota, whether the position be a public office or an employment, and <br/>
<a id="pl.15.14"></a><var>15.14</var>not including the members or officers of any general governing or managing board or body;<br/>
<a id="pl.15.15"></a><var>15.15</var>(2) an employee of the Teachers Retirement Association;<br/>
<a id="pl.15.16"></a><var>15.16</var>(3) a person who renders teaching service on a part-time basis and who also renders <br/>
<a id="pl.15.17"></a><var>15.17</var>other services for a single employing unit. A person whose where the teaching service <br/>
<a id="pl.15.18"></a><var>15.18</var>comprises at least 50 percent of the combined employment salary is a member of the <br/>
<a id="pl.15.19"></a><var>15.19</var>association for all services with the single employing unit. If the person's teaching service <br/>
<a id="pl.15.20"></a><var>15.20</var>comprises or, if less than 50 percent of the combined employment salary, the executive <br/>
<a id="pl.15.21"></a><var>15.21</var>director must determine whether determines all or none of the combined service is covered <br/>
<a id="pl.15.22"></a><var>15.22</var>by the association; or<br/>
<a id="pl.15.23"></a><var>15.23</var>(4) a person who is not covered by the plans established under chapter 352D, 354A, <br/>
<a id="pl.15.24"></a><var>15.24</var>or 354B and who is employed by the Board of Trustees of the Minnesota State Colleges <br/>
<a id="pl.15.25"></a><var>15.25</var>and Universities system in an unclassified position as:<br/>
<a id="pl.15.26"></a><var>15.26</var>(i) a president, vice-president, or dean;<br/>
<a id="pl.15.27"></a><var>15.27</var>(ii) a manager or a professional in an academic or an academic support program <br/>
<a id="pl.15.28"></a><var>15.28</var>other than specified in item (i);<br/>
<a id="pl.15.29"></a><var>15.29</var>(iii) an administrative or a service support faculty position; or<br/>
<a id="pl.15.30"></a><var>15.30</var>(iv) a teacher or a research assistant.<br/>
<a id="pl.15.31"></a><var>15.31</var>(b) "Teacher" does not mean:<br/>
<a id="pl.15.32"></a><var>15.32</var>(1) a person who works for a school or institution as an independent contractor as <br/>
<a id="pl.15.33"></a><var>15.33</var>defined by the Internal Revenue Service;<br/>
<a id="pl.15.34"></a><var>15.34</var>(2) a person who renders part-time teaching service or who is a customized trainer <br/>
<a id="pl.15.35"></a><var>15.35</var>as defined by the Minnesota State Colleges and Universities system if (i) the service is <br/>
<a id="pl.16.1"></a><var>16.1</var>incidental to the regular nonteaching occupation of the person; and (ii) the employer <br/>
<a id="pl.16.2"></a><var>16.2</var>stipulates annually in advance that the part-time teaching service or customized training <br/>
<a id="pl.16.3"></a><var>16.3</var>service will not exceed 300 hours in a fiscal year and retains the stipulation in its records; <br/>
<a id="pl.16.4"></a><var>16.4</var>and (iii) the part-time teaching service or customized training service actually does not <br/>
<a id="pl.16.5"></a><var>16.5</var>exceed 300 hours in a fiscal year; or<br/>
<a id="pl.16.6"></a><var>16.6</var>(3) a person exempt from licensure under section 
         <statute_ref>122A.30</statute_ref>.;<br/>
<a id="pl.16.7"></a><var>16.7</var>(4) annuitants of the teachers retirement plan who are employed after retirement by <br/>
<a id="pl.16.8"></a><var>16.8</var>an employing unit that participates in the teachers retirement plan during the course of <br/>
<a id="pl.16.9"></a><var>16.9</var>that reemployment;<br/>
<a id="pl.16.10"></a><var>16.10</var>(5) a person who is employed by the University of Minnesota;<br/>
<a id="pl.16.11"></a><var>16.11</var>(6) a member or an officer of any general governing or managing board or body of <br/>
<a id="pl.16.12"></a><var>16.12</var>an employing unit that participates in the teachers retirement plan; or<br/>
<a id="pl.16.13"></a><var>16.13</var>(7) a person employed by Independent School District No. 625 or Independent <br/>
<a id="pl.16.14"></a><var>16.14</var>School District No. 709 as a teacher as defined in section 354A.011, subdivision 27.<br/>
<a id="pl.16.15"></a><var>16.15</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.1.7.0"></a><a id="pl.16.16"></a><var>16.16</var>    Sec. 7. Minnesota Statutes 2012, section 354A.011, subdivision 27, is amended to read:<br/>
<a id="pl.16.17"></a><var>16.17</var>    Subd. 27. <b>Teacher.</b> (a) "Teacher" means any person who renders service for a public <br/>
<a id="pl.16.18"></a><var>16.18</var>school district, other than a charter school, located in the corporate limits of Duluth or <br/>
<a id="pl.16.19"></a><var>16.19</var>St. Paul, as any of the following:<br/>
<a id="pl.16.20"></a><var>16.20</var>(1) a full-time employee in a position for which a valid license from the state <br/>
<a id="pl.16.21"></a><var>16.21</var>Department of Education is required;<br/>
<a id="pl.16.22"></a><var>16.22</var>(2) an employee of the teachers retirement fund association located in the city of <br/>
<a id="pl.16.23"></a><var>16.23</var>the first class;<br/>
<a id="pl.16.24"></a><var>16.24</var>(3) a part-time employee in a position for which a valid license from the state <br/>
<a id="pl.16.25"></a><var>16.25</var>Department of Education is required; or<br/>
<a id="pl.16.26"></a><var>16.26</var>(4) a part-time employee in a position for which a valid license from the state <br/>
<a id="pl.16.27"></a><var>16.27</var>Department of Education is required who also renders other nonteaching services for the <br/>
<a id="pl.16.28"></a><var>16.28</var>school district, unless the board of trustees of the teachers retirement fund association <br/>
<a id="pl.16.29"></a><var>16.29</var>determines that the combined employment is on the whole so substantially dissimilar to <br/>
<a id="pl.16.30"></a><var>16.30</var>teaching service that the service may not be covered by the association.<br/>
<a id="pl.16.31"></a><var>16.31</var>(b) The term does not mean any person who renders service in the school district <br/>
<a id="pl.16.32"></a><var>16.32</var>as any of the following:<br/>
<a id="pl.16.33"></a><var>16.33</var>(1) an independent contractor or the employee of an independent contractor;<br/>
<a id="pl.17.1"></a><var>17.1</var>(2) an employee who is a full-time teacher covered by the Teachers Retirement <br/>
<a id="pl.17.2"></a><var>17.2</var>Association or by another teachers retirement fund association established pursuant to this <br/>
<a id="pl.17.3"></a><var>17.3</var>chapter or chapter 354;<br/>
<a id="pl.17.4"></a><var>17.4</var>(3) an employee who is exempt from licensure pursuant to section 
         <statute_ref>122A.30</statute_ref>;<br/>
<a id="pl.17.5"></a><var>17.5</var>(4) an employee who is a teacher in a technical college located in a city of the first <br/>
<a id="pl.17.6"></a><var>17.6</var>class unless the person elects coverage by the applicable first class city teacher retirement <br/>
<a id="pl.17.7"></a><var>17.7</var>fund association under section 
         <statute_ref>354B.21, subdivision 2</statute_ref>;<br/>
<a id="pl.17.8"></a><var>17.8</var>(5) a teacher employed by a charter school, irrespective of the location of the <br/>
<a id="pl.17.9"></a><var>17.9</var>school; or<br/>
<a id="pl.17.10"></a><var>17.10</var>(6) an employee who is a part-time teacher in a technical college in a city of the first <br/>
<a id="pl.17.11"></a><var>17.11</var>class and who has elected coverage by the applicable first class city teacher retirement <br/>
<a id="pl.17.12"></a><var>17.12</var>fund association under section 
         <statute_ref>354B.21, subdivision 2</statute_ref>, but (i) the teaching service is <br/>
<a id="pl.17.13"></a><var>17.13</var>incidental to the regular nonteaching occupation of the person; (ii) the applicable technical <br/>
<a id="pl.17.14"></a><var>17.14</var>college stipulates annually in advance that the part-time teaching service will not exceed <br/>
<a id="pl.17.15"></a><var>17.15</var>300 hours in a fiscal year; and (iii) the part-time teaching actually does not exceed 300 <br/>
<a id="pl.17.16"></a><var>17.16</var>hours in the fiscal year to which the certification applies.; or<br/>
<a id="pl.17.17"></a><var>17.17</var>(7) a person who is receiving a retirement annuity from the Teachers Retirement <br/>
<a id="pl.17.18"></a><var>17.18</var>Fund Association and is employed after retirement by the school district associated with <br/>
<a id="pl.17.19"></a><var>17.19</var>the retirement fund association.<br/>
<a id="pl.17.20"></a><var>17.20</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.1.8.0"></a><a id="pl.17.21"></a><var>17.21</var>    Sec. 8. Minnesota Statutes 2012, section 356.24, subdivision 1, is amended to read:<br/>
<a id="pl.17.22"></a><var>17.22</var>    Subdivision 1. <b>Restriction; exceptions.</b>  It is unlawful for a school district or other <br/>
<a id="pl.17.23"></a><var>17.23</var>governmental subdivision or state agency to levy taxes for or to contribute public funds to <br/>
<a id="pl.17.24"></a><var>17.24</var>a supplemental pension or deferred compensation plan that is established, maintained, <br/>
<a id="pl.17.25"></a><var>17.25</var>and operated in addition to a primary pension program for the benefit of the governmental <br/>
<a id="pl.17.26"></a><var>17.26</var>subdivision employees other than:<br/>
<a id="pl.17.27"></a><var>17.27</var>    (1) to a supplemental pension plan that was established, maintained, and operated <br/>
<a id="pl.17.28"></a><var>17.28</var>before May 6, 1971;<br/>
<a id="pl.17.29"></a><var>17.29</var>    (2) to a plan that provides solely for group health, hospital, disability, or death <br/>
<a id="pl.17.30"></a><var>17.30</var>benefits;<br/>
<a id="pl.17.31"></a><var>17.31</var>    (3) to the individual retirement account plan established by chapter 354B;<br/>
<a id="pl.17.32"></a><var>17.32</var>    (4) to a plan that provides solely for severance pay under section 
         <statute_ref>465.72</statute_ref> to a retiring <br/>
<a id="pl.17.33"></a><var>17.33</var>or terminating employee;<br/>
<a id="pl.17.34"></a><var>17.34</var>    (5) for employees other than personnel employed by the Board of Trustees of the <br/>
<a id="pl.17.35"></a><var>17.35</var>Minnesota State Colleges and Universities and covered under the Higher Education <br/>
<a id="pl.18.1"></a><var>18.1</var>Supplemental Retirement Plan under chapter 354C, but including city managers covered <br/>
<a id="pl.18.2"></a><var>18.2</var>by an alternative retirement arrangement under section 
         <statute_ref>353.028</statute_ref>, subdivision 3, paragraph <br/>
<a id="pl.18.3"></a><var>18.3</var>(a), or by the defined contribution plan of the Public Employees Retirement Association <br/>
<a id="pl.18.4"></a><var>18.4</var>under section 
         <statute_ref>353.028</statute_ref>, subdivision 3, paragraph (b), if the supplemental plan coverage is <br/>
<a id="pl.18.5"></a><var>18.5</var>provided for in a personnel policy of the public employer or in the collective bargaining <br/>
<a id="pl.18.6"></a><var>18.6</var>agreement between the public employer and the exclusive representative of public <br/>
<a id="pl.18.7"></a><var>18.7</var>employees in an appropriate unit or in the individual employment contract between a city <br/>
<a id="pl.18.8"></a><var>18.8</var>and a city manager, and if for each available investment all fees and historic rates of return <br/>
<a id="pl.18.9"></a><var>18.9</var>for the prior one-, three-, five-, and ten-year periods, or since inception, are disclosed in an <br/>
<a id="pl.18.10"></a><var>18.10</var>easily comprehended document not to exceed two pages, in an amount matching employee <br/>
<a id="pl.18.11"></a><var>18.11</var>contributions on a dollar for dollar basis, but not to exceed an employer contribution of <br/>
<a id="pl.18.12"></a><var>18.12</var>one-half of the available elective deferral permitted per year per employee, under the <br/>
<a id="pl.18.13"></a><var>18.13</var>Internal Revenue Code:<br/>
<a id="pl.18.14"></a><var>18.14</var>    (i) to the state of Minnesota deferred compensation plan under section 
         <statute_ref>352.965</statute_ref>;<br/>
<a id="pl.18.15"></a><var>18.15</var>    (ii) in payment of the applicable portion of the contribution made to any investment <br/>
<a id="pl.18.16"></a><var>18.16</var>eligible under section 403(b) of the Internal Revenue Code, if the employing unit has <br/>
<a id="pl.18.17"></a><var>18.17</var>complied with any applicable pension plan provisions of the Internal Revenue Code with <br/>
<a id="pl.18.18"></a><var>18.18</var>respect to the tax-sheltered annuity program during the preceding calendar year; or<br/>
<a id="pl.18.19"></a><var>18.19</var>    (iii) any other deferred compensation plan offered by the employer under section <br/>
<a id="pl.18.20"></a><var>18.20</var>457 of the Internal Revenue Code;<br/>
<a id="pl.18.21"></a><var>18.21</var>    (6) for personnel employed by the Board of Trustees of the Minnesota State Colleges <br/>
<a id="pl.18.22"></a><var>18.22</var>and Universities and not covered by clause (5), to the supplemental retirement plan under <br/>
<a id="pl.18.23"></a><var>18.23</var>chapter 354C, if the supplemental plan coverage is provided for in a personnel policy <br/>
<a id="pl.18.24"></a><var>18.24</var>or in the collective bargaining agreement of the public employer with the exclusive <br/>
<a id="pl.18.25"></a><var>18.25</var>representative of the covered employees in an appropriate unit, in an amount matching <br/>
<a id="pl.18.26"></a><var>18.26</var>employee contributions on a dollar for dollar basis, but not to exceed an employer <br/>
<a id="pl.18.27"></a><var>18.27</var>contribution of $2,700 a year for each employee;<br/>
<a id="pl.18.28"></a><var>18.28</var>    (7) to a supplemental plan or to a governmental trust to save for postretirement <br/>
<a id="pl.18.29"></a><var>18.29</var>health care expenses qualified for tax-preferred treatment under the Internal Revenue <br/>
<a id="pl.18.30"></a><var>18.30</var>Code, if the supplemental plan coverage is provided for in a personnel policy or in the <br/>
<a id="pl.18.31"></a><var>18.31</var>collective bargaining agreement of a public employer with the exclusive representative of <br/>
<a id="pl.18.32"></a><var>18.32</var>the covered employees in an appropriate unit;<br/>
<a id="pl.18.33"></a><var>18.33</var>    (8) to the laborers national industrial pension fund or to a laborers local pension fund <br/>
<a id="pl.18.34"></a><var>18.34</var>for the employees of a governmental subdivision who are covered by a collective bargaining <br/>
<a id="pl.18.35"></a><var>18.35</var>agreement that provides for coverage by that fund and that sets forth a fund contribution <br/>
<a id="pl.18.36"></a><var>18.36</var>rate, but not to exceed an employer contribution of $5,000 per year per employee;<br/>
<a id="pl.19.1"></a><var>19.1</var>    (9) to the plumbers and pipefitters national pension fund or to a plumbers and <br/>
<a id="pl.19.2"></a><var>19.2</var>pipefitters local pension fund for the employees of a governmental subdivision who are <br/>
<a id="pl.19.3"></a><var>19.3</var>covered by a collective bargaining agreement that provides for coverage by that fund and <br/>
<a id="pl.19.4"></a><var>19.4</var>that sets forth a fund contribution rate, but not to exceed an employer contribution of <br/>
<a id="pl.19.5"></a><var>19.5</var>$5,000 per year per employee;<br/>
<a id="pl.19.6"></a><var>19.6</var>    (10) to the international union of operating engineers pension fund for the employees <br/>
<a id="pl.19.7"></a><var>19.7</var>of a governmental subdivision who are covered by a collective bargaining agreement that <br/>
<a id="pl.19.8"></a><var>19.8</var>provides for coverage by that fund and that sets forth a fund contribution rate, but not to <br/>
<a id="pl.19.9"></a><var>19.9</var>exceed an employer contribution of $5,000 per year per employee;<br/>
<a id="pl.19.10"></a><var>19.10</var>    (11) to a supplemental plan organized and operated under the federal Internal <br/>
<a id="pl.19.11"></a><var>19.11</var>Revenue Code, as amended, that is wholly and solely funded by the employee's <br/>
<a id="pl.19.12"></a><var>19.12</var>accumulated sick leave, accumulated vacation leave, and accumulated severance pay;<br/>
<a id="pl.19.13"></a><var>19.13</var>    (12) to the International Association of Machinists national pension fund for the <br/>
<a id="pl.19.14"></a><var>19.14</var>employees of a governmental subdivision who are covered by a collective bargaining <br/>
<a id="pl.19.15"></a><var>19.15</var>agreement that provides for coverage by that fund and that sets forth a fund contribution <br/>
<a id="pl.19.16"></a><var>19.16</var>rate, but not to exceed an employer contribution of $5,000 per year per employee;<br/>
<a id="pl.19.17"></a><var>19.17</var>    (13) for employees of United Hospital District, Blue Earth, to the state of Minnesota <br/>
<a id="pl.19.18"></a><var>19.18</var>deferred compensation program, if the employee makes a contribution, in an amount that <br/>
<a id="pl.19.19"></a><var>19.19</var>does not exceed the total percentage of covered salary under section 
         <statute_ref>353.27</statute_ref>, subdivisions <br/>
<a id="pl.19.20"></a><var>19.20</var>3 and 3a; or<br/>
<a id="pl.19.21"></a><var>19.21</var>(14) to the alternative retirement plans established by the Hennepin County Medical <br/>
<a id="pl.19.22"></a><var>19.22</var>Center under section 383B.914, subdivision 5.; or<br/>
<a id="pl.19.23"></a><var>19.23</var>(15) to the International Brotherhood of Teamsters Central States pension plan for <br/>
<a id="pl.19.24"></a><var>19.24</var>fixed-route bus drivers employed by the St. Cloud Metropolitan Transit Commission who <br/>
<a id="pl.19.25"></a><var>19.25</var>are members of the International Brotherhood of Teamsters Local 638 by virtue of that <br/>
<a id="pl.19.26"></a><var>19.26</var>employment.<br/>
<a id="pl.19.27"></a><var>19.27</var><b>EFFECTIVE DATE.</b>This section is effective retroactively from August 1, 1986.<br/>
<br/>
<a id="bill.1.9.0"></a><a id="pl.19.28"></a><var>19.28</var>    Sec. 9. <b>VALIDATION OF PAST RETIREMENT COVERAGE </b><br/>
<a id="pl.19.29"></a><var>19.29</var><b>AND CONTRIBUTIONS FOR STEVENS COUNTY HOUSING AND </b><br/>
<a id="pl.19.30"></a><var>19.30</var><b>REDEVELOPMENT AUTHORITY EMPLOYEES.</b><br/>
<a id="pl.19.31"></a><var>19.31</var>(a) Retirement coverage by the general employees plan of the Public Employees <br/>
<a id="pl.19.32"></a><var>19.32</var>Retirement Association, allowable service credit, and salary credit for employees of the <br/>
<a id="pl.19.33"></a><var>19.33</var>Stevens County Housing and Redevelopment Authority who were so employed after <br/>
<a id="pl.19.34"></a><var>19.34</var>November 7, 1984, and were first so employed before May 1, 2014, who had monthly <br/>
<a id="pl.19.35"></a><var>19.35</var>salary in any month of at least $325 until June 30, 1988, and who had monthly salary in <br/>
<a id="pl.20.1"></a><var>20.1</var>any month of at least $425 after June 30, 1988, who were not otherwise excluded under <br/>
<a id="pl.20.2"></a><var>20.2</var>the applicable edition of Minnesota Statutes, section 353.01, subdivision 2b, and who had <br/>
<a id="pl.20.3"></a><var>20.3</var>member deductions taken and transferred in a timely manner to the general employees <br/>
<a id="pl.20.4"></a><var>20.4</var>retirement fund before the effective date of this section are hereby validated.<br/>
<a id="pl.20.5"></a><var>20.5</var>(b) Notwithstanding any provision of Minnesota Statutes, chapter 353, to the <br/>
<a id="pl.20.6"></a><var>20.6</var>contrary, employee contributions deducted from employees of the Stevens County <br/>
<a id="pl.20.7"></a><var>20.7</var>Housing and Redevelopment Authority described in paragraph (a) before the effective <br/>
<a id="pl.20.8"></a><var>20.8</var>date of this section and associated employer contributions are valid assets of the general <br/>
<a id="pl.20.9"></a><var>20.9</var>employees retirement fund and are not subject to refund or adjustment for erroneous <br/>
<a id="pl.20.10"></a><var>20.10</var>receipt except as provided in Minnesota Statutes, section 353.32, subdivision 1 or 2; <br/>
<a id="pl.20.11"></a><var>20.11</var>or 353.34, subdivisions 1 and 2.<br/>
<a id="pl.20.12"></a><var>20.12</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.2.0.0"></a>

<a id="bill.2.1.0"></a><a id="pl.20.15"></a><var>20.15</var>    Section 1. Minnesota Statutes 2012, section 352.03, subdivision 1, is amended to read:<br/>
<a id="pl.20.16"></a><var>20.16</var>    Subdivision 1. <b>Membership of board; election; term.</b> (a) The policy-making <br/>
<a id="pl.20.17"></a><var>20.17</var>function of the system is vested in a board of 11 members known as the board of directors. <br/>
<a id="pl.20.18"></a><var>20.18</var>This board shall consist of:<br/>
<a id="pl.20.19"></a><var>20.19</var>(1) three members appointed by the governor, one of whom must be a constitutional <br/>
<a id="pl.20.20"></a><var>20.20</var>officer or appointed state official and two of whom must be public members knowledgeable <br/>
<a id="pl.20.21"></a><var>20.21</var>in pension matters,;<br/>
<a id="pl.20.22"></a><var>20.22</var>(2) four state employees elected by state employees covered by the system active <br/>
<a id="pl.20.23"></a><var>20.23</var>members and former members eligible for a deferred annuity from the general state <br/>
<a id="pl.20.24"></a><var>20.24</var>employees retirement plan, excluding employees in categories specifically authorized <br/>
<a id="pl.20.25"></a><var>20.25</var>to designate or elect a member by this subdivision, and deferred annuitants for whom <br/>
<a id="pl.20.26"></a><var>20.26</var>a board member is designated;<br/>
<a id="pl.20.27"></a><var>20.27</var>(3) one employee of the Metropolitan Council's transit operations or its successor <br/>
<a id="pl.20.28"></a><var>20.28</var>agency designated by the executive committee of the labor organization that is the <br/>
<a id="pl.20.29"></a><var>20.29</var>exclusive bargaining agent representing employees of the transit division,;<br/>
<a id="pl.20.30"></a><var>20.30</var>(4) one employee who is a member of the State Patrol retirement fund plan elected <br/>
<a id="pl.20.31"></a><var>20.31</var>by active members of and former members eligible for a deferred annuity from that fund <br/>
<a id="pl.20.32"></a><var>20.32</var>at a time and in a manner fixed by the board, plan;<br/>
<a id="pl.21.1"></a><var>21.1</var>(5) one employee covered by who is a member of the correctional state employees <br/>
<a id="pl.21.2"></a><var>21.2</var>retirement plan established under this chapter elected by employees covered by active <br/>
<a id="pl.21.3"></a><var>21.3</var>members and former members eligible for a deferred annuity from that plan,; and<br/>
<a id="pl.21.4"></a><var>21.4</var>(6) one retired employee of a plan included in the system, elected by disabled and <br/>
<a id="pl.21.5"></a><var>21.5</var>retired employees of all the plans administered by the system at a time and in a manner to <br/>
<a id="pl.21.6"></a><var>21.6</var>be fixed determined by the board.<br/>
<a id="pl.21.7"></a><var>21.7</var>(b) The terms of the four elected state employees under paragraph (a), clause (2), <br/>
<a id="pl.21.8"></a><var>21.8</var>must be staggered, with two of the state employee members board positions elected <br/>
<a id="pl.21.9"></a><var>21.9</var>each biennium, whose terms of office begin on the first Monday in May after their <br/>
<a id="pl.21.10"></a><var>21.10</var>election, must be elected biennially. Elected members and the appointed member of the <br/>
<a id="pl.21.11"></a><var>21.11</var>Metropolitan Council's transit operations hold office for a term of four years and until their <br/>
<a id="pl.21.12"></a><var>21.12</var>successors are elected or appointed, and have qualified.<br/>
<a id="pl.21.13"></a><var>21.13</var>(c) An employee or former employee of the system is not eligible for membership <br/>
<a id="pl.21.14"></a><var>21.14</var>on the board of directors. A state employee on leave of absence is not eligible for election <br/>
<a id="pl.21.15"></a><var>21.15</var>or reelection to membership on the board of directors.<br/>
<a id="pl.21.16"></a><var>21.16</var>(d) The term of any board member who is on leave for more than six months <br/>
<a id="pl.21.17"></a><var>21.17</var>automatically ends on expiration of the term of office.<br/>
<a id="pl.21.18"></a><var>21.18</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.2.2.0"></a><a id="pl.21.19"></a><var>21.19</var>    Sec. 2. Minnesota Statutes 2012, section 352.03, is amended by adding a subdivision <br/>
<a id="pl.21.20"></a><var>21.20</var>to read:<br/>
<a id="pl.21.21"></a><var>21.21</var>    Subd. 1b. <b>Membership voting limitations.</b> Active members and former members <br/>
<a id="pl.21.22"></a><var>21.22</var>eligible for a deferred annuity from a plan under this chapter or chapter 352B are eligible <br/>
<a id="pl.21.23"></a><var>21.23</var>to vote in board elections as further specified and restricted in this section. Retired <br/>
<a id="pl.21.24"></a><var>21.24</var>members and disabilitants from a plan in the system may vote only for the retired member <br/>
<a id="pl.21.25"></a><var>21.25</var>position under subdivision 1, paragraph (a), clause (6). If a former member eligible for a <br/>
<a id="pl.21.26"></a><var>21.26</var>deferred annuity from a plan under this chapter or chapter 352B is a deferred annuitant <br/>
<a id="pl.21.27"></a><var>21.27</var>from more than one plan covered by the system, that person is eligible to vote only in <br/>
<a id="pl.21.28"></a><var>21.28</var>elections applicable for deferred annuitants from the plan in the system from which the <br/>
<a id="pl.21.29"></a><var>21.29</var>person last received allowable service. If a person is an active member of a plan in the <br/>
<a id="pl.21.30"></a><var>21.30</var>system and is a deferred annuitant or a retiree from another plan or plans in the system, <br/>
<a id="pl.21.31"></a><var>21.31</var>the person is only eligible to vote in board elections applicable due to the active member <br/>
<a id="pl.21.32"></a><var>21.32</var>plan membership. If a person is a deferred annuitant from a plan in the system and is also <br/>
<a id="pl.21.33"></a><var>21.33</var>a retiree from another plan in the system, the person is only eligible to vote in elections <br/>
<a id="pl.21.34"></a><var>21.34</var>applicable due to the retiree status.<br/>
<a id="pl.22.1"></a><var>22.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.0.0"></a>

<a id="bill.3.1.0"></a><a id="pl.22.4"></a><var>22.4</var>    Section 1. Minnesota Statutes 2012, section 352.04, subdivision 2, is amended to read:<br/>
<a id="pl.22.5"></a><var>22.5</var>    Subd. 2. <b>Employee contributions.</b> (a) The employee contribution to the fund must <br/>
<a id="pl.22.6"></a><var>22.6</var>be equal to the following percent of salary:<br/>
<table>
<col width="50px"/>
<col width="5"/>
<col width="35"/>
<col width="25"/>
<tr>
<td><a id="pl.22.7"></a><var>22.7</var><br/>
</td>
<td></td>
<td>before July 1, 2007<br/>
</td>
<td>4.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.8"></a><var>22.8</var><br/>
</td>
<td></td>
<td>from July 1, 2007, to June 30, 2008<br/>
</td>
<td>4.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.9"></a><var>22.9</var><br/>
</td>
<td></td>
<td>from July 1, 2008, to June 30, 2009<br/>
</td>
<td>4.50<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.10"></a><var>22.10</var><br/>
</td>
<td></td>
<td>from July 1, 2009, to June 30, 2010<br/>
</td>
<td>4.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.11"></a><var>22.11</var><br/>
<a id="pl.22.12"></a><var>22.12</var><br/>
</td>
<td></td>
<td>from July 1, 2010, and thereafterto June 30, <br/>
2014<br/>
</td>
<td>5.00.<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.13"></a><var>22.13</var><br/>
</td>
<td></td>
<td>from July 1, 2014, and thereafter<br/>
</td>
<td>5.50.<br/>
</td>
</tr>
</table><a id="pl.22.14"></a><var>22.14</var>(b) These contributions must be made by deduction from salary as provided in <br/>
<a id="pl.22.15"></a><var>22.15</var>subdivision 4.<br/>
<a id="pl.22.16"></a><var>22.16</var><b>EFFECTIVE DATE.</b>This section is effective on the first day of the first full pay <br/>
<a id="pl.22.17"></a><var>22.17</var>period beginning after July 1, 2014.<br/>
<br/>
<a id="bill.3.2.0"></a><a id="pl.22.18"></a><var>22.18</var>    Sec. 2. Minnesota Statutes 2012, section 352.04, subdivision 3, is amended to read:<br/>
<a id="pl.22.19"></a><var>22.19</var>    Subd. 3. <b>Employer contributions.</b> The employer contribution to the fund must be <br/>
<a id="pl.22.20"></a><var>22.20</var>equal to the following percent of salary:<br/>
<table>
<col width="50px"/>
<col width="5"/>
<col width="35"/>
<col width="25"/>
<tr>
<td><a id="pl.22.21"></a><var>22.21</var><br/>
</td>
<td></td>
<td>before July 1, 2007<br/>
</td>
<td>4.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.22"></a><var>22.22</var><br/>
</td>
<td></td>
<td>from July 1, 2007, to June 30, 2008<br/>
</td>
<td>4.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.23"></a><var>22.23</var><br/>
</td>
<td></td>
<td>from July 1, 2008, to June 30, 2009<br/>
</td>
<td>4.50<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.24"></a><var>22.24</var><br/>
</td>
<td></td>
<td>from July 1, 2009, to June 30, 2010<br/>
</td>
<td>4.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.25"></a><var>22.25</var><br/>
<a id="pl.22.26"></a><var>22.26</var><br/>
</td>
<td></td>
<td>from July 1, 2010, and thereafterto June 30, <br/>
2014<br/>
</td>
<td>5.00.<br/>
</td>
</tr>
<tr>
<td><a id="pl.22.27"></a><var>22.27</var><br/>
</td>
<td></td>
<td>from July 1, 2014, and thereafter <br/>
</td>
<td>5.50.<br/>
</td>
</tr>
</table><a id="pl.22.28"></a><var>22.28</var><b>EFFECTIVE DATE.</b>This section is effective on the first day of the first full pay <br/>
<a id="pl.22.29"></a><var>22.29</var>period beginning after July 1, 2014.<br/>
<br/>
<a id="bill.3.3.0"></a><a id="pl.22.30"></a><var>22.30</var>    Sec. 3. Minnesota Statutes 2012, section 352.92, subdivision 1, is amended to read:<br/>
<a id="pl.22.31"></a><var>22.31</var>    Subdivision 1. <b>Employee contributions.</b> (a) Employee contributions of covered <br/>
<a id="pl.22.32"></a><var>22.32</var>correctional employees must be in an amount equal to the following percent of salary:<br/>
<table>
<col width="50px"/>
<col width="5"/>
<col width="35"/>
<col width="25"/>
<tr>
<td><a id="pl.23.1"></a><var>23.1</var><br/>
</td>
<td></td>
<td>before July 1, 2007<br/>
</td>
<td>5.69<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.2"></a><var>23.2</var><br/>
</td>
<td></td>
<td>from July 1, 2007, to June 30, 2008<br/>
</td>
<td>6.40<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.3"></a><var>23.3</var><br/>
</td>
<td></td>
<td>from July 1, 2008, to June 30, 2009<br/>
</td>
<td>7.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.4"></a><var>23.4</var><br/>
</td>
<td></td>
<td>from July 1, 2009, to June 30, 2010<br/>
</td>
<td>7.70<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.5"></a><var>23.5</var><br/>
<a id="pl.23.6"></a><var>23.6</var><br/>
</td>
<td></td>
<td>from July 1, 2010, and thereafterto June 30, <br/>
2014<br/>
</td>
<td>8.60.<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.7"></a><var>23.7</var><br/>
</td>
<td></td>
<td>from July 1, 2014, and thereafter <br/>
</td>
<td>9.10.<br/>
</td>
</tr>
</table><a id="pl.23.8"></a><var>23.8</var>(b) These contributions must be made by deduction from salary as provided in <br/>
<a id="pl.23.9"></a><var>23.9</var>section 
         <statute_ref>352.04</statute_ref>, subdivision 4.<br/>
<a id="pl.23.10"></a><var>23.10</var><b>EFFECTIVE DATE.</b>This section is effective on the first day of the first full pay <br/>
<a id="pl.23.11"></a><var>23.11</var>period beginning after July 1, 2014.<br/>
<br/>
<a id="bill.3.4.0"></a><a id="pl.23.12"></a><var>23.12</var>    Sec. 4. Minnesota Statutes 2012, section 352.92, subdivision 2, is amended to read:<br/>
<a id="pl.23.13"></a><var>23.13</var>    Subd. 2. <b>Employer contributions.</b> The employer shall contribute for covered <br/>
<a id="pl.23.14"></a><var>23.14</var>correctional employees an amount equal to the following percent of salary:<br/>
<table>
<col width="50px"/>
<col width="5"/>
<col width="35"/>
<col width="25"/>
<tr>
<td><a id="pl.23.15"></a><var>23.15</var><br/>
</td>
<td></td>
<td>before July 1, 2007<br/>
</td>
<td>7.98<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.16"></a><var>23.16</var><br/>
</td>
<td></td>
<td>from July 1, 2007, to June 30, 2008<br/>
</td>
<td>9.10<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.17"></a><var>23.17</var><br/>
</td>
<td></td>
<td>from July 1, 2008, to June 30, 2009<br/>
</td>
<td>10.10<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.18"></a><var>23.18</var><br/>
</td>
<td></td>
<td>from July 1, 2009, to June 30, 2010<br/>
</td>
<td>11.10<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.19"></a><var>23.19</var><br/>
<a id="pl.23.20"></a><var>23.20</var><br/>
</td>
<td></td>
<td>from July 1, 2010, and thereafterto June 30, <br/>
2014<br/>
</td>
<td>12.10.<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.21"></a><var>23.21</var><br/>
</td>
<td></td>
<td>from July 1, 2014, and thereafter <br/>
</td>
<td>12.85.<br/>
</td>
</tr>
</table><a id="pl.23.22"></a><var>23.22</var><b>EFFECTIVE DATE.</b>This section is effective on the first day of the first full pay <br/>
<a id="pl.23.23"></a><var>23.23</var>period beginning after July 1, 2014.<br/>
<br/>
<a id="bill.3.5.0"></a><a id="pl.23.24"></a><var>23.24</var>    Sec. 5. Minnesota Statutes 2012, section 353.27, subdivision 2, is amended to read:<br/>
<a id="pl.23.25"></a><var>23.25</var>    Subd. 2. <b>General employees retirement plan; employee contribution.</b> (a) For <br/>
<a id="pl.23.26"></a><var>23.26</var>a basic member of the general employees retirement plan of the Public Employees <br/>
<a id="pl.23.27"></a><var>23.27</var>Retirement Association, the employee contribution is 9.10 percent of salary. For a <br/>
<a id="pl.23.28"></a><var>23.28</var>coordinated member of the general employees retirement plan of the Public Employees <br/>
<a id="pl.23.29"></a><var>23.29</var>Retirement Association, the employee contribution is the following percentage of salary <br/>
<a id="pl.23.30"></a><var>23.30</var>plus any contribution rate adjustment under subdivision 3b:<br/>
<table>
<col width="50px"/>
<col width="2.5"/>
<col width="32.5"/>
<col width="17.5"/>
<tr>
<td><a id="pl.23.31"></a><var>23.31</var><br/>
</td>
<td></td>
<td>Effective before January 1, 2011<br/>
</td>
<td>6.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.32"></a><var>23.32</var><br/>
</td>
<td></td>
<td>Effective after December 31, 2010<br/>
</td>
<td>6.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.23.33"></a><var>23.33</var><br/>
</td>
<td></td>
<td>Effective January 1, 2015<br/>
</td>
<td>6.50.<br/>
</td>
</tr>
</table><a id="pl.23.34"></a><var>23.34</var>(b) These contributions must be made by deduction from salary as defined in section <br/>
<statute_ref><a id="pl.23.35"></a><var>23.35</var>353.01, subdivision 10
         </statute_ref>, in the manner provided in subdivision 4. If any portion of a <br/>
<a id="pl.24.1"></a><var>24.1</var>member's salary is paid from other than public funds, the member's employee contribution <br/>
<a id="pl.24.2"></a><var>24.2</var>must be based on the total salary received by the member from all sources.<br/>
<a id="pl.24.3"></a><var>24.3</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.6.0"></a><a id="pl.24.4"></a><var>24.4</var>    Sec. 6. Minnesota Statutes 2012, section 353.27, subdivision 3, is amended to read:<br/>
<a id="pl.24.5"></a><var>24.5</var>    Subd. 3. <b>General employees retirement plan; employer contribution.</b> (a) For <br/>
<a id="pl.24.6"></a><var>24.6</var>a basic member of the general employees retirement plan of the Public Employees <br/>
<a id="pl.24.7"></a><var>24.7</var>Retirement Association, the employer contribution is 9.10 percent of salary. For a <br/>
<a id="pl.24.8"></a><var>24.8</var>coordinated member of the general employees retirement plan of the Public Employees <br/>
<a id="pl.24.9"></a><var>24.9</var>Retirement Association, the employer contribution is the following percentage of salary <br/>
<a id="pl.24.10"></a><var>24.10</var>plus any contribution rate adjustment under subdivision 3b:<br/>
<table>
<col width="50px"/>
<col width="2.5"/>
<col width="32.5"/>
<col width="17.5"/>
<tr>
<td><a id="pl.24.11"></a><var>24.11</var><br/>
</td>
<td></td>
<td>Effective before January 1, 2011<br/>
</td>
<td>6.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.24.12"></a><var>24.12</var><br/>
</td>
<td></td>
<td>Effective after December 31, 2010<br/>
</td>
<td>6.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.24.13"></a><var>24.13</var><br/>
</td>
<td></td>
<td>Effective January 1, 2015<br/>
</td>
<td>6.50.<br/>
</td>
</tr>
</table><a id="pl.24.14"></a><var>24.14</var>(b) This contribution must be made from funds available to the employing <br/>
<a id="pl.24.15"></a><var>24.15</var>subdivision by the means and in the manner provided in section 
         <statute_ref>353.28</statute_ref>.<br/>
<a id="pl.24.16"></a><var>24.16</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.3.7.0"></a><a id="pl.24.17"></a><var>24.17</var>    Sec. 7. Minnesota Statutes 2012, section 353.27, subdivision 3b, is amended to read:<br/>
<a id="pl.24.18"></a><var>24.18</var>    Subd. 3b. <b>Change in employee and employer contributions in certain instances.</b><br/>
<a id="pl.24.19"></a><var>24.19</var>(a) For purposes of this section:<br/>
<a id="pl.24.20"></a><var>24.20</var>(1) a contribution sufficiency exists if the total of the employee contribution under <br/>
<a id="pl.24.21"></a><var>24.21</var>subdivision 2, the employer contribution under subdivision 3, the additional employer <br/>
<a id="pl.24.22"></a><var>24.22</var>contribution under subdivision 3a, and any additional contribution previously imposed <br/>
<a id="pl.24.23"></a><var>24.23</var>under this subdivision exceeds the total of the normal cost, the administrative expenses, <br/>
<a id="pl.24.24"></a><var>24.24</var>and the amortization contribution of the general employees retirement plan as reported in <br/>
<a id="pl.24.25"></a><var>24.25</var>the most recent actuarial valuation of the retirement plan prepared by the actuary retained <br/>
<a id="pl.24.26"></a><var>24.26</var>under section 
         <statute_ref>356.214</statute_ref> and prepared under section 
         <statute_ref>356.215</statute_ref> and the standards for actuarial <br/>
<a id="pl.24.27"></a><var>24.27</var>work of the Legislative Commission on Pensions and Retirement; and<br/>
<a id="pl.24.28"></a><var>24.28</var>(2) a contribution deficiency exists if the total of the employee contributions under <br/>
<a id="pl.24.29"></a><var>24.29</var>subdivision 2, the employer contributions under subdivision 3, the additional employer <br/>
<a id="pl.24.30"></a><var>24.30</var>contribution under subdivision 3a, and any additional contribution previously imposed <br/>
<a id="pl.24.31"></a><var>24.31</var>under this subdivision is less than the total of the normal cost, the administrative expenses, <br/>
<a id="pl.24.32"></a><var>24.32</var>and the amortization contribution of the general employees retirement plan as reported in <br/>
<a id="pl.24.33"></a><var>24.33</var>the most recent actuarial valuation of the retirement plan prepared by the actuary retained <br/>
<a id="pl.25.1"></a><var>25.1</var>under section 
         <statute_ref>356.214</statute_ref> and prepared under section 
         <statute_ref>356.215</statute_ref> and the standards for actuarial <br/>
<a id="pl.25.2"></a><var>25.2</var>work of the Legislative Commission on Pensions and Retirement.<br/>
<a id="pl.25.3"></a><var>25.3</var>(b) Employee and employer contributions to the general employees retirement plan <br/>
<a id="pl.25.4"></a><var>25.4</var>under subdivisions 2 and 3 must be adjusted:<br/>
<a id="pl.25.5"></a><var>25.5</var>(1) if, on or after July 1, 2010, the regular actuarial valuation of the general employees <br/>
<a id="pl.25.6"></a><var>25.6</var>retirement plan of the Public Employees Retirement Association under section 
         <statute_ref>356.215</statute_ref> <br/>
<a id="pl.25.7"></a><var>25.7</var>indicates that there is a contribution sufficiency under paragraph (a) greater than one <br/>
<a id="pl.25.8"></a><var>25.8</var>percent of covered payroll and that the sufficiency has existed for at least two consecutive <br/>
<a id="pl.25.9"></a><var>25.9</var>years, the coordinated program employee and employer contribution rates must be <br/>
<a id="pl.25.10"></a><var>25.10</var>decreased as determined under paragraph (c) to a level such that the sufficiency is no <br/>
<a id="pl.25.11"></a><var>25.11</var>greater than one percent of covered payroll based on the most recent actuarial valuation; or<br/>
<a id="pl.25.12"></a><var>25.12</var>(2) if, on or after July 1, 2010, the regular actuarial valuation of the general <br/>
<a id="pl.25.13"></a><var>25.13</var>employees retirement plan of the Public Employees Retirement Association under section <br/>
<statute_ref><a id="pl.25.14"></a><var>25.14</var>356.215
         </statute_ref> indicates that there is a contribution deficiency equal to or greater than 0.5 percent <br/>
<a id="pl.25.15"></a><var>25.15</var>of covered payroll and that the deficiency has existed for at least two consecutive years, <br/>
<a id="pl.25.16"></a><var>25.16</var>the coordinated program employee and employer contribution rates must be increased <br/>
<a id="pl.25.17"></a><var>25.17</var>as determined under paragraph (d) to a level such that no deficiency exists based on the <br/>
<a id="pl.25.18"></a><var>25.18</var>most recent actuarial valuation.<br/>
<a id="pl.25.19"></a><var>25.19</var>(c) If the actuarially required contribution of the general employees retirement plan is <br/>
<a id="pl.25.20"></a><var>25.20</var>less than the total support provided by the combined employee and employer contribution <br/>
<a id="pl.25.21"></a><var>25.21</var>rates under subdivisions 2, 3, and 3a, by more than one percent of covered payroll, <br/>
<a id="pl.25.22"></a><var>25.22</var>the general employees retirement plan coordinated program employee and employer <br/>
<a id="pl.25.23"></a><var>25.23</var>contribution rates under subdivisions 2 and 3 must be decreased incrementally over one or <br/>
<a id="pl.25.24"></a><var>25.24</var>more years by no more than 0.25 percent of pay each for employee and employer matching <br/>
<a id="pl.25.25"></a><var>25.25</var>contribution rates to a level such that there remains a contribution sufficiency of at least one <br/>
<a id="pl.25.26"></a><var>25.26</var>percent of covered payroll. No contribution rate decrease may be made until at least two <br/>
<a id="pl.25.27"></a><var>25.27</var>years have elapsed since any adjustment under this subdivision has been fully implemented.<br/>
<a id="pl.25.28"></a><var>25.28</var>(d) If the actuarially required contribution exceeds the total support provided by the <br/>
<a id="pl.25.29"></a><var>25.29</var>combined employee and employer contribution rates under subdivisions 2, 3, and 3a, <br/>
<a id="pl.25.30"></a><var>25.30</var>the employee and matching employer contribution rates must be increased equally to <br/>
<a id="pl.25.31"></a><var>25.31</var>eliminate that contribution deficiency. If the contribution deficiency is:<br/>
<a id="pl.25.32"></a><var>25.32</var>(1) less than two percent, the incremental increase may be up to 0.25 percent for the <br/>
<a id="pl.25.33"></a><var>25.33</var>general employees retirement plan employee and matching employer contribution rates;<br/>
<a id="pl.25.34"></a><var>25.34</var>(2) greater than 1.99 percent and less than 4.01 percent, the incremental increase <br/>
<a id="pl.25.35"></a><var>25.35</var>may be up to 0.5 percent for the employee and matching employer contribution rates; or<br/>
<a id="pl.26.1"></a><var>26.1</var>(3) greater than four percent, the incremental increase may be up to 0.75 percent for <br/>
<a id="pl.26.2"></a><var>26.2</var>the employee and matching employer contribution.<br/>
<a id="pl.26.3"></a><var>26.3</var>(e) The general employees retirement plan contribution sufficiency or deficiency <br/>
<a id="pl.26.4"></a><var>26.4</var>determination under paragraphs (a) to (d) must be made without the inclusion of the <br/>
<a id="pl.26.5"></a><var>26.5</var>contributions to, the funded condition of, or the actuarial funding requirements of the <br/>
<a id="pl.26.6"></a><var>26.6</var>MERF division.<br/>
<a id="pl.26.7"></a><var>26.7</var>(f) Any recommended adjustment to the contribution rates must be reported to the <br/>
<a id="pl.26.8"></a><var>26.8</var>chair and the executive director of the Legislative Commission on Pensions and Retirement <br/>
<a id="pl.26.9"></a><var>26.9</var>by January 15 following the receipt of the most recent annual actuarial valuation prepared <br/>
<a id="pl.26.10"></a><var>26.10</var>under section 
         <statute_ref>356.215</statute_ref>. If the Legislative Commission on Pensions and Retirement does <br/>
<a id="pl.26.11"></a><var>26.11</var>not recommend against the rate change or does not recommend a modification in the rate <br/>
<a id="pl.26.12"></a><var>26.12</var>change, the recommended adjustment becomes effective on the first day of the first full <br/>
<a id="pl.26.13"></a><var>26.13</var>payroll period in the fiscal year for any salary paid on or after the January 1 next following <br/>
<a id="pl.26.14"></a><var>26.14</var>receipt of the most recent actuarial valuation that gave rise to the adjustment the legislative <br/>
<a id="pl.26.15"></a><var>26.15</var>session in which the Legislative Commission on Pensions and Retirement did not take any <br/>
<a id="pl.26.16"></a><var>26.16</var>action to disapprove or modify the Public Employees Retirement Association Board of <br/>
<a id="pl.26.17"></a><var>26.17</var>Trustees' recommendation to adjust the employee and employer rates.<br/>
<a id="pl.26.18"></a><var>26.18</var>(g) A contribution sufficiency of up to one percent of covered payroll must be held in <br/>
<a id="pl.26.19"></a><var>26.19</var>reserve to be used to offset any future actuarially required contributions that are more than <br/>
<a id="pl.26.20"></a><var>26.20</var>the total combined employee and employer contributions under subdivisions 2, 3, and 3a.<br/>
<a id="pl.26.21"></a><var>26.21</var>(h) Before any reduction in contributions to eliminate a sufficiency in excess of one <br/>
<a id="pl.26.22"></a><var>26.22</var>percent of covered pay may be recommended, the executive director must review any <br/>
<a id="pl.26.23"></a><var>26.23</var>need for a change in actuarial assumptions, as recommended by the actuary retained under <br/>
<a id="pl.26.24"></a><var>26.24</var>section 
         <statute_ref>356.214</statute_ref> in the most recent experience study of the general employees retirement <br/>
<a id="pl.26.25"></a><var>26.25</var>plan prepared under section 
         <statute_ref>356.215</statute_ref> and the standards for actuarial work promulgated by <br/>
<a id="pl.26.26"></a><var>26.26</var>the Legislative Commission on Pensions and Retirement that may result in an increase <br/>
<a id="pl.26.27"></a><var>26.27</var>in the actuarially required contribution and must report to the Legislative Commission <br/>
<a id="pl.26.28"></a><var>26.28</var>on Pensions and Retirement any recommendation by the board to use the sufficiency <br/>
<a id="pl.26.29"></a><var>26.29</var>exceeding one percent of covered payroll to offset the impact of an actuarial assumption <br/>
<a id="pl.26.30"></a><var>26.30</var>change recommended by the actuary retained under section 
         <statute_ref>356.214, subdivision 1</statute_ref>, and <br/>
<a id="pl.26.31"></a><var>26.31</var>reviewed by the actuary retained by the commission under section 
         <statute_ref>356.214, subdivision 4</statute_ref>.<br/>
<a id="pl.26.32"></a><var>26.32</var>(i) No contribution sufficiency in excess of one percent of covered pay may be <br/>
<a id="pl.26.33"></a><var>26.33</var>proposed to be used to increase benefits, and no benefit increase may be proposed that <br/>
<a id="pl.26.34"></a><var>26.34</var>would initiate an automatic adjustment to increase contributions under this subdivision. <br/>
<a id="pl.26.35"></a><var>26.35</var>Any proposed benefit improvement must include a recommendation, prepared by the <br/>
<a id="pl.26.36"></a><var>26.36</var>actuary retained under section 
         <statute_ref>356.214, subdivision 1</statute_ref>, and reviewed by the actuary <br/>
<a id="pl.27.1"></a><var>27.1</var>retained by the Legislative Commission on Pensions and Retirement as provided under <br/>
<a id="pl.27.2"></a><var>27.2</var>section 
         <statute_ref>356.214, subdivision 4</statute_ref>, on how the benefit modification will be funded.<br/>
<a id="pl.27.3"></a><var>27.3</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.4.0.0"></a>

<a id="pl.27.6"></a><var>27.6</var><b>DISCOUNT RATE</b><br/>

<a id="bill.4.1.0"></a><a id="pl.27.7"></a><var>27.7</var>    Section 1. Minnesota Statutes 2012, section 3A.01, subdivision 1a, is amended to read:<br/>
<a id="pl.27.8"></a><var>27.8</var>    Subd. 1a. <b>Actuarial equivalent.</b> (a) "Actuarial equivalent" means the condition of <br/>
<a id="pl.27.9"></a><var>27.9</var>one allowance or benefit having an equal actuarial present value to another allowance or <br/>
<a id="pl.27.10"></a><var>27.10</var>benefit, determined by the actuary retained under section 
         <statute_ref>356.214</statute_ref> as of a given date at a <br/>
<a id="pl.27.11"></a><var>27.11</var>specified age with each actuarial present value based on the mortality table applicable for <br/>
<a id="pl.27.12"></a><var>27.12</var>the plan and approved under section 
         <statute_ref>356.215, subdivision 18</statute_ref>, and using the applicable <br/>
<a id="pl.27.13"></a><var>27.13</var>preretirement or postretirement interest rate assumption specified in section 
         <statute_ref>356.215, <br/>
<a id="pl.27.14"></a><var>27.14</var>subdivision 8
         </statute_ref>.<br/>
<a id="pl.27.15"></a><var>27.15</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.27.16"></a><var>27.16</var>interest rate assumption specified in section 356.461 must be used, rather than the <br/>
<a id="pl.27.17"></a><var>27.17</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.27.18"></a><var>27.18</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.4.2.0"></a><a id="pl.27.19"></a><var>27.19</var>    Sec. 2. Minnesota Statutes 2012, section 352.01, subdivision 12, is amended to read:<br/>
<a id="pl.27.20"></a><var>27.20</var>    Subd. 12. <b>Actuarial equivalent.</b> (a) "Actuarial equivalent" means the condition <br/>
<a id="pl.27.21"></a><var>27.21</var>of one annuity or benefit having an equal actuarial present value as another annuity or <br/>
<a id="pl.27.22"></a><var>27.22</var>benefit, determined as of a given date at a specified age with each actuarial present value <br/>
<a id="pl.27.23"></a><var>27.23</var>based on the appropriate mortality table adopted by the board of directors based on the <br/>
<a id="pl.27.24"></a><var>27.24</var>experience of the fund as recommended by the actuary retained under section 
         <statute_ref>356.214</statute_ref>, and <br/>
<a id="pl.27.25"></a><var>27.25</var>approved under section 
         <statute_ref>356.215, subdivision 18</statute_ref>, and using the applicable preretirement or <br/>
<a id="pl.27.26"></a><var>27.26</var>postretirement interest rate assumption specified in section 
         <statute_ref>356.215, subdivision 8</statute_ref>.<br/>
<a id="pl.27.27"></a><var>27.27</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.27.28"></a><var>27.28</var>interest rate assumption specified in section 356.461 must be used, rather than the <br/>
<a id="pl.27.29"></a><var>27.29</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.27.30"></a><var>27.30</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.4.3.0"></a><a id="pl.28.1"></a><var>28.1</var>    Sec. 3. Minnesota Statutes 2013 Supplement, section 352.03, subdivision 4, is <br/>
<a id="pl.28.2"></a><var>28.2</var>amended to read:<br/>
<a id="pl.28.3"></a><var>28.3</var>    Subd. 4. <b>Duties and powers of board of directors.</b> (a) The board shall:<br/>
<a id="pl.28.4"></a><var>28.4</var>    (1) elect a chair;<br/>
<a id="pl.28.5"></a><var>28.5</var>    (2) appoint an executive director;<br/>
<a id="pl.28.6"></a><var>28.6</var>    (3) establish rules to administer this chapter and chapters 3A, 352B, 352C, 352D, <br/>
<a id="pl.28.7"></a><var>28.7</var>and 490 and transact the business of the system, subject to the limitations of law;<br/>
<a id="pl.28.8"></a><var>28.8</var>    (4) consider and dispose of, or take any other action the board of directors deems <br/>
<a id="pl.28.9"></a><var>28.9</var>appropriate concerning, denials of applications for annuities or disability benefits under <br/>
<a id="pl.28.10"></a><var>28.10</var>this chapter, chapter 3A, 352B, 352C, 352D, or 490, and complaints of employees and <br/>
<a id="pl.28.11"></a><var>28.11</var>others pertaining to the retirement of employees and the operation of the system;<br/>
<a id="pl.28.12"></a><var>28.12</var>    (5) oversee the administration of the deferred compensation plan established in <br/>
<a id="pl.28.13"></a><var>28.13</var>section 
         <statute_ref>352.965</statute_ref>;<br/>
<a id="pl.28.14"></a><var>28.14</var>    (6) oversee the administration of the health care savings plan established in section; <br/>
<a id="pl.28.15"></a><var>28.15</var>and<br/>
<a id="pl.28.16"></a><var>28.16</var>    (7) approve early retirement and optional annuity factors for all plans administered <br/>
<a id="pl.28.17"></a><var>28.17</var>by the system, including approving retirement annuity factors for the unclassified state <br/>
<a id="pl.28.18"></a><var>28.18</var>employees program under chapter 352D, subject to review by the actuary retained by <br/>
<a id="pl.28.19"></a><var>28.19</var>the Legislative Commission on Pensions and Retirement; establish the schedule for <br/>
<a id="pl.28.20"></a><var>28.20</var>implementation of the approved factors; and notify the Legislative Commission on <br/>
<a id="pl.28.21"></a><var>28.21</var>Pensions and Retirement of the implementation schedule.<br/>
<a id="pl.28.22"></a><var>28.22</var>    (b) The board shall advise the director on any matters relating to the system and <br/>
<a id="pl.28.23"></a><var>28.23</var>carrying out functions and purposes of this chapter. The board's advice shall control.<br/>
<a id="pl.28.24"></a><var>28.24</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.4.4.0"></a><a id="pl.28.25"></a><var>28.25</var>    Sec. 4. Minnesota Statutes 2012, section 352B.08, subdivision 3, is amended to read:<br/>
<a id="pl.28.26"></a><var>28.26</var>    Subd. 3. <b>Optional annuity forms.</b> (a) In lieu of the single life annuity provided in <br/>
<a id="pl.28.27"></a><var>28.27</var>subdivision 2, the member or former member may elect an optional annuity form. The <br/>
<a id="pl.28.28"></a><var>28.28</var>board of the Minnesota state retirement system shall establish a joint and survivor annuity, <br/>
<a id="pl.28.29"></a><var>28.29</var>payable to a designated beneficiary for life, adjusted to the actuarial equivalent value of <br/>
<a id="pl.28.30"></a><var>28.30</var>the single life annuity. The board shall also establish an additional optional annuity with <br/>
<a id="pl.28.31"></a><var>28.31</var>an actuarial equivalent value of the single life annuity in the form of a joint and survivor <br/>
<a id="pl.28.32"></a><var>28.32</var>annuity which provides that the elected annuity be reinstated to the single life annuity <br/>
<a id="pl.28.33"></a><var>28.33</var>provided in subdivision 2, if after commencing the elected joint and survivor annuity, the <br/>
<a id="pl.28.34"></a><var>28.34</var>designated beneficiary dies before the member, which reinstatement is not retroactive but <br/>
<a id="pl.28.35"></a><var>28.35</var>takes effect for the first full month occurring after the death of the designated beneficiary. <br/>
<a id="pl.29.1"></a><var>29.1</var>The board may also establish other actuarial equivalent value optional annuity forms. In <br/>
<a id="pl.29.2"></a><var>29.2</var>establishing actuarial equivalent value optional annuity forms, each optional annuity form <br/>
<a id="pl.29.3"></a><var>29.3</var>shall have the same present value as a regular single life annuity using the mortality <br/>
<a id="pl.29.4"></a><var>29.4</var>table adopted by the board and the interest assumption specified in section 
         <statute_ref>356.215, <br/>
<a id="pl.29.5"></a><var>29.5</var>subdivision 8
         </statute_ref>, and.<br/>
<a id="pl.29.6"></a><var>29.6</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.29.7"></a><var>29.7</var>interest rate assumption specified in section 356.461 must be used, rather than the <br/>
<a id="pl.29.8"></a><var>29.8</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.29.9"></a><var>29.9</var>(c) The board shall obtain the written recommendation of the actuary retained under <br/>
<a id="pl.29.10"></a><var>29.10</var>section 
         <statute_ref>356.214</statute_ref>. These recommendations shall be a part of the permanent records of <br/>
<a id="pl.29.11"></a><var>29.11</var>the board.<br/>
<a id="pl.29.12"></a><var>29.12</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.4.5.0"></a><a id="pl.29.13"></a><var>29.13</var>    Sec. 5. Minnesota Statutes 2012, section 353.01, subdivision 14, is amended to read:<br/>
<a id="pl.29.14"></a><var>29.14</var>    Subd. 14. <b>Actuarial equivalent.</b> (a) "Actuarial equivalent" means the condition <br/>
<a id="pl.29.15"></a><var>29.15</var>of one annuity or benefit having an equal actuarial present value as another annuity or <br/>
<a id="pl.29.16"></a><var>29.16</var>benefit, determined as of a given date with each actuarial present value based on the <br/>
<a id="pl.29.17"></a><var>29.17</var>appropriate mortality table adopted by the board of trustees based on the experience of the <br/>
<a id="pl.29.18"></a><var>29.18</var>fund as recommended by the actuary retained under section 
         <statute_ref>356.214</statute_ref>, and approved under <br/>
<a id="pl.29.19"></a><var>29.19</var>section 
         <statute_ref>356.215, subdivision 18</statute_ref>, and using the applicable preretirement or postretirement <br/>
<a id="pl.29.20"></a><var>29.20</var>interest rate assumption specified in section 
         <statute_ref>356.215, subdivision 8</statute_ref>.<br/>
<a id="pl.29.21"></a><var>29.21</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.29.22"></a><var>29.22</var>interest rate assumption specified in section 356.461 must be used rather than the <br/>
<a id="pl.29.23"></a><var>29.23</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.29.24"></a><var>29.24</var><b>EFFECTIVE DATE.</b>This section is effective on the same date as the next mortality <br/>
<a id="pl.29.25"></a><var>29.25</var>assumption adjustment or on July 1, 2017, whichever is earlier.<br/>
<br/>
<a id="bill.4.6.0"></a><a id="pl.29.26"></a><var>29.26</var>    Sec. 6. Minnesota Statutes 2012, section 353.30, subdivision 3, is amended to read:<br/>
<a id="pl.29.27"></a><var>29.27</var>    Subd. 3. <b>Optional retirement annuity forms.</b> (a) The board of trustees shall <br/>
<a id="pl.29.28"></a><var>29.28</var>establish optional annuities which shall take the form of a joint and survivor annuity. <br/>
<a id="pl.29.29"></a><var>29.29</var>Except as provided in subdivision 3a, the optional annuity forms shall be actuarially <br/>
<a id="pl.29.30"></a><var>29.30</var>equivalent to the forms provided in section 
         <statute_ref>353.29</statute_ref> and subdivisions 1, 1a, 1b, 1c, and 5. <br/>
<a id="pl.29.31"></a><var>29.31</var>In establishing those optional forms, the board shall obtain the written recommendation of <br/>
<a id="pl.29.32"></a><var>29.32</var>the actuary retained under section 
         <statute_ref>356.214</statute_ref>. The recommendations shall be a part of the <br/>
<a id="pl.29.33"></a><var>29.33</var>permanent records of the board. A member or former member may select an optional form <br/>
<a id="pl.30.1"></a><var>30.1</var>of annuity, subject to the provisions of section 
         <statute_ref>356.46</statute_ref>, in lieu of accepting any other form <br/>
<a id="pl.30.2"></a><var>30.2</var>of annuity which might otherwise be available.<br/>
<a id="pl.30.3"></a><var>30.3</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.30.4"></a><var>30.4</var>interest rate assumption specified in section 356.461 must be used rather than the <br/>
<a id="pl.30.5"></a><var>30.5</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.30.6"></a><var>30.6</var><b>EFFECTIVE DATE.</b>This section is effective on the same date as the next mortality <br/>
<a id="pl.30.7"></a><var>30.7</var>assumption adjustment or on July 1, 2017, whichever is earlier.<br/>
<br/>
<a id="bill.4.7.0"></a><a id="pl.30.8"></a><var>30.8</var>    Sec. 7. Minnesota Statutes 2012, section 354.05, subdivision 7, is amended to read:<br/>
<a id="pl.30.9"></a><var>30.9</var>    Subd. 7. <b>Actuarial equivalent.</b> (a) "Actuarial equivalent" means the condition <br/>
<a id="pl.30.10"></a><var>30.10</var>of one annuity or benefit having an equal actuarial present value as another annuity or <br/>
<a id="pl.30.11"></a><var>30.11</var>benefit, determined as of a given date with each actuarial present value based on the <br/>
<a id="pl.30.12"></a><var>30.12</var>appropriate mortality table adopted by the board of trustees based on the experience <br/>
<a id="pl.30.13"></a><var>30.13</var>of the association as recommended by the actuary retained under section 
         <statute_ref>356.214</statute_ref>, and <br/>
<a id="pl.30.14"></a><var>30.14</var>approved under section 
         <statute_ref>356.215, subdivision 18</statute_ref>, and using the applicable preretirement or <br/>
<a id="pl.30.15"></a><var>30.15</var>postretirement interest rate assumption specified in section 
         <statute_ref>356.215, subdivision 8</statute_ref>.<br/>
<a id="pl.30.16"></a><var>30.16</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.30.17"></a><var>30.17</var>interest rate assumption specified in section 356.461 must be used rather than the <br/>
<a id="pl.30.18"></a><var>30.18</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.30.19"></a><var>30.19</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.4.8.0"></a><a id="pl.30.20"></a><var>30.20</var>    Sec. 8. <b>[356.461] VARIOUS RETIREMENT SYSTEMS; JOINT AND </b><br/>
<a id="pl.30.21"></a><var>30.21</var><b>SURVIVOR ANNUITY COMPUTATION.</b><br/>
<a id="pl.30.22"></a><var>30.22</var>    Subdivision 1. <b>Joint and survivor annuity computation.</b> Notwithstanding any <br/>
<a id="pl.30.23"></a><var>30.23</var>provision of section 356.215, subdivision 8, or 356.415 to the contrary, for purposes of <br/>
<a id="pl.30.24"></a><var>30.24</var>computing joint and survivor annuities, the applicable postretirement interest assumption <br/>
<a id="pl.30.25"></a><var>30.25</var>is 6.5 percent.<br/>
<a id="pl.30.26"></a><var>30.26</var>    Subd. 2. <b>Covered plans.</b> This section applies to the following retirement plans:<br/>
<a id="pl.30.27"></a><var>30.27</var>(1) the legislators retirement plan, established under chapter 3A, including <br/>
<a id="pl.30.28"></a><var>30.28</var>constitutional officers as specified in that chapter;<br/>
<a id="pl.30.29"></a><var>30.29</var>(2) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.30.30"></a><var>30.30</var>Retirement System, established under chapter 352;<br/>
<a id="pl.30.31"></a><var>30.31</var>(3) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.30.32"></a><var>30.32</var>System, established under chapter 352;<br/>
<a id="pl.30.33"></a><var>30.33</var>(4) the State Patrol retirement plan, established under chapter 352B;<br/>
<a id="pl.31.1"></a><var>31.1</var>(5) the unclassified state employees retirement program of the Minnesota State <br/>
<a id="pl.31.2"></a><var>31.2</var>Retirement System, established under chapter 352D;<br/>
<a id="pl.31.3"></a><var>31.3</var>(6) the judges retirement plan, established under chapter 490;<br/>
<a id="pl.31.4"></a><var>31.4</var>(7) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.31.5"></a><var>31.5</var>Association, established under chapter 353, including the MERF division of the Public <br/>
<a id="pl.31.6"></a><var>31.6</var>Employees Retirement Association;<br/>
<a id="pl.31.7"></a><var>31.7</var>(8) the public employees police and fire retirement plan of the Public Employees <br/>
<a id="pl.31.8"></a><var>31.8</var>Retirement Association, established under chapter 353;<br/>
<a id="pl.31.9"></a><var>31.9</var>(9) the local government correctional service retirement plan of the Public <br/>
<a id="pl.31.10"></a><var>31.10</var>Employees Retirement Association, established under chapter 353E; and<br/>
<a id="pl.31.11"></a><var>31.11</var>(10) the Teachers Retirement Association, established under chapter 354.<br/>
<a id="pl.31.12"></a><var>31.12</var><b>EFFECTIVE DATE.</b>(a) For plans administered by the Minnesota State Retirement <br/>
<a id="pl.31.13"></a><var>31.13</var>System and the Teachers Retirement Association, this section is effective July 1, 2014.<br/>
<a id="pl.31.14"></a><var>31.14</var>(b) For plans administered by the Public Employees Retirement Association, this <br/>
<a id="pl.31.15"></a><var>31.15</var>section applies to the determination of joint and survivor factors implemented for the <br/>
<a id="pl.31.16"></a><var>31.16</var>applicable Public Employees Retirement Association plan effective on the same date as <br/>
<a id="pl.31.17"></a><var>31.17</var>the next mortality assumption adjustment or on July 1, 2017, whichever is earlier.<br/>
<br/>
<a id="bill.4.9.0"></a><a id="pl.31.18"></a><var>31.18</var>    Sec. 9. Minnesota Statutes 2012, section 490.121, subdivision 2a, is amended to read:<br/>
<a id="pl.31.19"></a><var>31.19</var>    Subd. 2a. <b>Actuarial equivalent.</b> (a) "Actuarial equivalent" means the condition <br/>
<a id="pl.31.20"></a><var>31.20</var>of one annuity or benefit having an equal actuarial present value as another annuity or <br/>
<a id="pl.31.21"></a><var>31.21</var>benefit, determined as of a given date with each actuarial present value based on the <br/>
<a id="pl.31.22"></a><var>31.22</var>appropriate mortality table adopted by the board of directors of the Minnesota State <br/>
<a id="pl.31.23"></a><var>31.23</var>Retirement System based on the experience of the fund as recommended by the actuary <br/>
<a id="pl.31.24"></a><var>31.24</var>retained under section 
         <statute_ref>356.214</statute_ref> and approved under section 
         <statute_ref>356.215</statute_ref>, subdivision 18, and <br/>
<a id="pl.31.25"></a><var>31.25</var>using the applicable preretirement or postretirement interest rate assumption specified in <br/>
<a id="pl.31.26"></a><var>31.26</var>section 
         <statute_ref>356.215</statute_ref>, subdivision 8.<br/>
<a id="pl.31.27"></a><var>31.27</var>(b) For purposes of computing a joint and survivor annuity, the postretirement <br/>
<a id="pl.31.28"></a><var>31.28</var>interest rate assumption specified in section 356.461 must be used, rather than the <br/>
<a id="pl.31.29"></a><var>31.29</var>postretirement interest rate specified in section 356.215, subdivision 8.<br/>
<a id="pl.31.30"></a><var>31.30</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.5.0.0"></a>

<a id="bill.5.1.0"></a><a id="pl.32.3"></a><var>32.3</var>    Section 1. Minnesota Statutes 2012, section 352.90, is amended to read:<br/>
<a id="pl.32.4"></a><var>32.4</var><b>352.90 POLICY.</b><br/>
<a id="pl.32.5"></a><var>32.5</var>It is the policy of the legislature to provide special retirement benefits for and special <br/>
<a id="pl.32.6"></a><var>32.6</var>contributions by certain correctional employees who may be required to retire at an early <br/>
<a id="pl.32.7"></a><var>32.7</var>age because they lose the mental or physical capacity required to maintain the safety, <br/>
<a id="pl.32.8"></a><var>32.8</var>security, discipline, and custody of inmates at state correctional facilities or; of patients <br/>
<a id="pl.32.9"></a><var>32.9</var>at in the state-operated forensic services program, which is comprised of the Minnesota <br/>
<a id="pl.32.10"></a><var>32.10</var>Security Hospital, the forensic nursing home, the forensic transition service, and the <br/>
<a id="pl.32.11"></a><var>32.11</var>competency restoration program; of patients in the Minnesota sex offender program,; or of <br/>
<a id="pl.32.12"></a><var>32.12</var>patients in the Minnesota Specialty Health System-Cambridge.<br/>
<br/>
<a id="bill.5.2.0"></a><a id="pl.32.13"></a><var>32.13</var>    Sec. 2. Minnesota Statutes 2012, section 352.91, subdivision 1, is amended to read:<br/>
<a id="pl.32.14"></a><var>32.14</var>    Subdivision 1. <b>Qualifying jobs.</b> "Covered correctional service" means service <br/>
<a id="pl.32.15"></a><var>32.15</var>performed by a state employee, as defined in section 
         <statute_ref>352.01</statute_ref>, employed at a state <br/>
<a id="pl.32.16"></a><var>32.16</var>correctional facility, the Minnesota Security Hospital state-operated forensic services <br/>
<a id="pl.32.17"></a><var>32.17</var>program, or the Minnesota sex offender program as:<br/>
<a id="pl.32.18"></a><var>32.18</var>(1) a corrections officer 1;<br/>
<a id="pl.32.19"></a><var>32.19</var>(2) a corrections officer 2;<br/>
<a id="pl.32.20"></a><var>32.20</var>(3) a corrections officer 3;<br/>
<a id="pl.32.21"></a><var>32.21</var>(4) a corrections officer supervisor;<br/>
<a id="pl.32.22"></a><var>32.22</var>(5) a corrections lieutenant;<br/>
<a id="pl.32.23"></a><var>32.23</var>(6) a corrections captain;<br/>
<a id="pl.32.24"></a><var>32.24</var>(7) a security counselor;<br/>
<a id="pl.32.25"></a><var>32.25</var>(8) a security counselor lead; or<br/>
<a id="pl.32.26"></a><var>32.26</var>(9) a corrections canine officer.<br/>
<br/>
<a id="bill.5.3.0"></a><a id="pl.32.27"></a><var>32.27</var>    Sec. 3. Minnesota Statutes 2012, section 352.91, subdivision 2, is amended to read:<br/>
<a id="pl.32.28"></a><var>32.28</var>    Subd. 2. <b>Maintenance, correctional industry, and trades.</b> "Covered correctional <br/>
<a id="pl.32.29"></a><var>32.29</var>service" also means service rendered at any time by state employees as maintenance <br/>
<a id="pl.32.30"></a><var>32.30</var>personnel, correctional industry personnel, or members of trades certified by the <br/>
<a id="pl.32.31"></a><var>32.31</var>commissioner of management and budget to the executive director as being engaged for at <br/>
<a id="pl.32.32"></a><var>32.32</var>least 75 percent of the employee's working time in the rehabilitation, treatment, custody, <br/>
<a id="pl.32.33"></a><var>32.33</var>or supervision of inmates at a Minnesota correctional facility, or of patients at in the <br/>
<a id="pl.33.1"></a><var>33.1</var>Minnesota Security Hospital state-operated forensic services program or the Minnesota <br/>
<a id="pl.33.2"></a><var>33.2</var>sex offender program.<br/>
<br/>
<a id="bill.5.4.0"></a><a id="pl.33.3"></a><var>33.3</var>    Sec. 4. Minnesota Statutes 2012, section 352.91, subdivision 3c, is amended to read:<br/>
<a id="pl.33.4"></a><var>33.4</var>    Subd. 3c. <b>Nursing personnel.</b> (a) "Covered correctional service" means service <br/>
<a id="pl.33.5"></a><var>33.5</var>by a state employee in one of the employment positions at a correctional facility or at, <br/>
<a id="pl.33.6"></a><var>33.6</var>in the Minnesota Security Hospital state-operated forensic services program, or in the <br/>
<a id="pl.33.7"></a><var>33.7</var>Minnesota sex offender program that are specified in paragraph (b) if at least 75 percent of <br/>
<a id="pl.33.8"></a><var>33.8</var>the employee's working time is spent in direct contact with inmates or patients and the fact <br/>
<a id="pl.33.9"></a><var>33.9</var>of this direct contact is certified to the executive director by the appropriate commissioner.<br/>
<a id="pl.33.10"></a><var>33.10</var>(b) The employment positions are as follows:<br/>
<a id="pl.33.11"></a><var>33.11</var>(1) registered nurse - senior;<br/>
<a id="pl.33.12"></a><var>33.12</var>(2) registered nurse;<br/>
<a id="pl.33.13"></a><var>33.13</var>(3) registered nurse - principal;<br/>
<a id="pl.33.14"></a><var>33.14</var>(4) licensed practical nurse 2;<br/>
<a id="pl.33.15"></a><var>33.15</var>(5) registered nurse advance practice; and<br/>
<a id="pl.33.16"></a><var>33.16</var>(6) psychiatric advance practice registered nurse.<br/>
<a id="pl.33.17"></a><var>33.17</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.5.5.0"></a><a id="pl.33.18"></a><var>33.18</var>    Sec. 5. Minnesota Statutes 2012, section 352.91, subdivision 3d, is amended to read:<br/>
<a id="pl.33.19"></a><var>33.19</var>    Subd. 3d. <b>Other correctional personnel.</b> (a) "Covered correctional service" <br/>
<a id="pl.33.20"></a><var>33.20</var>means service by a state employee in one of the employment positions at a correctional <br/>
<a id="pl.33.21"></a><var>33.21</var>facility or at in the Minnesota Security Hospital state-operated forensic services program<br/>
<a id="pl.33.22"></a><var>33.22</var> specified in paragraph (b) if at least 75 percent of the employee's working time is spent <br/>
<a id="pl.33.23"></a><var>33.23</var>in direct contact with inmates or patients and the fact of this direct contact is certified to <br/>
<a id="pl.33.24"></a><var>33.24</var>the executive director by the appropriate commissioner.<br/>
<a id="pl.33.25"></a><var>33.25</var>    (b) The employment positions are:<br/>
<a id="pl.33.26"></a><var>33.26</var>    (1) automotive mechanic;<br/>
<a id="pl.33.27"></a><var>33.27</var>(2) baker;<br/>
<a id="pl.33.28"></a><var>33.28</var>    (3) central services administrative specialist, intermediate;<br/>
<a id="pl.33.29"></a><var>33.29</var>    (4) central services administrative specialist, principal;<br/>
<a id="pl.33.30"></a><var>33.30</var>    (5) chaplain;<br/>
<a id="pl.33.31"></a><var>33.31</var>    (6) chief cook;<br/>
<a id="pl.33.32"></a><var>33.32</var>    (7) clinical program therapist 1;<br/>
<a id="pl.33.33"></a><var>33.33</var>(8) clinical program therapist 2;<br/>
<a id="pl.33.34"></a><var>33.34</var>(9) clinical program therapist 3;<br/>
<a id="pl.34.1"></a><var>34.1</var>(10) clinical program therapist 4;<br/>
<a id="pl.34.2"></a><var>34.2</var>(11) cook;<br/>
<a id="pl.34.3"></a><var>34.3</var>    (12) cook coordinator;<br/>
<a id="pl.34.4"></a><var>34.4</var>    (13) corrections inmate program coordinator;<br/>
<a id="pl.34.5"></a><var>34.5</var>    (14) corrections transitions program coordinator;<br/>
<a id="pl.34.6"></a><var>34.6</var>    (15) corrections security caseworker;<br/>
<a id="pl.34.7"></a><var>34.7</var>    (16) corrections security caseworker career;<br/>
<a id="pl.34.8"></a><var>34.8</var>    (17) corrections teaching assistant;<br/>
<a id="pl.34.9"></a><var>34.9</var>    (18) delivery van driver;<br/>
<a id="pl.34.10"></a><var>34.10</var>    (19) dentist;<br/>
<a id="pl.34.11"></a><var>34.11</var>    (20) electrician supervisor;<br/>
<a id="pl.34.12"></a><var>34.12</var>    (21) general maintenance worker lead;<br/>
<a id="pl.34.13"></a><var>34.13</var>    (22) general repair worker;<br/>
<a id="pl.34.14"></a><var>34.14</var>    (23) library/information research services specialist;<br/>
<a id="pl.34.15"></a><var>34.15</var>    (24) library/information research services specialist senior;<br/>
<a id="pl.34.16"></a><var>34.16</var>    (25) library technician;<br/>
<a id="pl.34.17"></a><var>34.17</var>    (26) painter lead;<br/>
<a id="pl.34.18"></a><var>34.18</var>    (27) plant maintenance engineer lead;<br/>
<a id="pl.34.19"></a><var>34.19</var>    (28) plumber supervisor;<br/>
<a id="pl.34.20"></a><var>34.20</var>    (29) psychologist 1;<br/>
<a id="pl.34.21"></a><var>34.21</var>    (30) psychologist 3;<br/>
<a id="pl.34.22"></a><var>34.22</var>    (31) recreation therapist;<br/>
<a id="pl.34.23"></a><var>34.23</var>    (32) recreation therapist coordinator;<br/>
<a id="pl.34.24"></a><var>34.24</var>    (33) recreation program assistant;<br/>
<a id="pl.34.25"></a><var>34.25</var>    (34) recreation therapist senior;<br/>
<a id="pl.34.26"></a><var>34.26</var>    (35) sports medicine specialist;<br/>
<a id="pl.34.27"></a><var>34.27</var>    (36) work therapy assistant;<br/>
<a id="pl.34.28"></a><var>34.28</var>    (37) work therapy program coordinator; and<br/>
<a id="pl.34.29"></a><var>34.29</var>    (38) work therapy technician.<br/>
<br/>
<a id="bill.5.6.0"></a><a id="pl.34.30"></a><var>34.30</var>    Sec. 6. Minnesota Statutes 2012, section 352.91, subdivision 3e, is amended to read:<br/>
<a id="pl.34.31"></a><var>34.31</var>    Subd. 3e. <b>Minnesota Specialty Health System-Cambridge.</b> (a) "Covered <br/>
<a id="pl.34.32"></a><var>34.32</var>correctional service" means service by a state employee in one of the employment positions <br/>
<a id="pl.34.33"></a><var>34.33</var>with the Minnesota Specialty Health System-Cambridge specified in paragraph (b) if at <br/>
<a id="pl.34.34"></a><var>34.34</var>least 75 percent of the employee's working time is spent in direct contact with patients <br/>
<a id="pl.35.1"></a><var>35.1</var>who are in the Minnesota Specialty Health System-Cambridge and if service in such a <br/>
<a id="pl.35.2"></a><var>35.2</var>position is certified to the executive director by the commissioner of human services.<br/>
<a id="pl.35.3"></a><var>35.3</var>    (b) The employment positions are:<br/>
<a id="pl.35.4"></a><var>35.4</var>    (1) behavior analyst 1;<br/>
<a id="pl.35.5"></a><var>35.5</var>    (2) behavior analyst 2;<br/>
<a id="pl.35.6"></a><var>35.6</var>    (3) behavior analyst 3;<br/>
<a id="pl.35.7"></a><var>35.7</var>    (4) group supervisor;<br/>
<a id="pl.35.8"></a><var>35.8</var>    (5) group supervisor assistant;<br/>
<a id="pl.35.9"></a><var>35.9</var>    (6) human services support specialist;<br/>
<a id="pl.35.10"></a><var>35.10</var>    (7) residential program lead;<br/>
<a id="pl.35.11"></a><var>35.11</var>    (8) psychologist 2;<br/>
<a id="pl.35.12"></a><var>35.12</var>    (9) recreation program assistant;<br/>
<a id="pl.35.13"></a><var>35.13</var>    (10) recreation therapist senior;<br/>
<a id="pl.35.14"></a><var>35.14</var>    (11) registered nurse senior;<br/>
<a id="pl.35.15"></a><var>35.15</var>    (12) skills development specialist;<br/>
<a id="pl.35.16"></a><var>35.16</var>    (13) social worker senior;<br/>
<a id="pl.35.17"></a><var>35.17</var>    (14) social worker specialist; and<br/>
<a id="pl.35.18"></a><var>35.18</var>    (15) speech pathology specialist.<br/>
<a id="pl.35.19"></a><var>35.19</var>(c) A Department of Human Services employee who was employed at the Minnesota <br/>
<a id="pl.35.20"></a><var>35.20</var>Specialty Health System-Cambridge immediately preceding the 2014 conversion to the <br/>
<a id="pl.35.21"></a><var>35.21</var>community-based homes and was in covered correctional service at the time of the <br/>
<a id="pl.35.22"></a><var>35.22</var>transition shall continue to be covered by the correctional employee retirement plan while <br/>
<a id="pl.35.23"></a><var>35.23</var>employed and without a break in service with the Department of Human Services in the <br/>
<a id="pl.35.24"></a><var>35.24</var>direct care and treatment services administration.<br/>
<br/>
<a id="bill.5.7.0"></a><a id="pl.35.25"></a><var>35.25</var>    Sec. 7. Minnesota Statutes 2012, section 352.91, subdivision 3f, is amended to read:<br/>
<a id="pl.35.26"></a><var>35.26</var>    Subd. 3f. <b>Additional Department of Human Services personnel.</b> (a) "Covered <br/>
<a id="pl.35.27"></a><var>35.27</var>correctional service" means service by a state employee in one of the employment <br/>
<a id="pl.35.28"></a><var>35.28</var>positions specified in paragraph (b) at in the Minnesota Security Hospital state-operated <br/>
<a id="pl.35.29"></a><var>35.29</var>forensic services program or in the Minnesota sex offender program if at least 75 <br/>
<a id="pl.35.30"></a><var>35.30</var>percent of the employee's working time is spent in direct contact with patients and <br/>
<a id="pl.35.31"></a><var>35.31</var>the determination of this direct contact is certified to the executive director by the <br/>
<a id="pl.35.32"></a><var>35.32</var>commissioner of human services.<br/>
<a id="pl.35.33"></a><var>35.33</var>    (b) The employment positions are:<br/>
<a id="pl.35.34"></a><var>35.34</var>    (1) behavior analyst 2;<br/>
<a id="pl.35.35"></a><var>35.35</var>    (2) behavior analyst 3;<br/>
<a id="pl.36.1"></a><var>36.1</var>    (3) certified occupational therapy assistant 1;<br/>
<a id="pl.36.2"></a><var>36.2</var>    (4) certified occupational therapy assistant 2;<br/>
<a id="pl.36.3"></a><var>36.3</var>    (5) chemical dependency counselor senior;<br/>
<a id="pl.36.4"></a><var>36.4</var>    (6) client advocate;<br/>
<a id="pl.36.5"></a><var>36.5</var>    (7) clinical program therapist 2;<br/>
<a id="pl.36.6"></a><var>36.6</var>    (7) (8) clinical program therapist 3;<br/>
<a id="pl.36.7"></a><var>36.7</var>(8) (9) clinical program therapist 4;<br/>
<a id="pl.36.8"></a><var>36.8</var>(9) (10) customer services specialist principal;<br/>
<a id="pl.36.9"></a><var>36.9</var>    (10) (11) dental assistant registered;<br/>
<a id="pl.36.10"></a><var>36.10</var>    (11) (12) group supervisor;<br/>
<a id="pl.36.11"></a><var>36.11</var>    (12) (13) group supervisor assistant;<br/>
<a id="pl.36.12"></a><var>36.12</var>    (13) (14) human services support specialist;<br/>
<a id="pl.36.13"></a><var>36.13</var>    (14) (15) licensed alcohol and drug counselor;<br/>
<a id="pl.36.14"></a><var>36.14</var>    (15) (16) licensed practical nurse 1;<br/>
<a id="pl.36.15"></a><var>36.15</var>    (16) (17) management analyst 3;<br/>
<a id="pl.36.16"></a><var>36.16</var>    (17) (18) occupational therapist;<br/>
<a id="pl.36.17"></a><var>36.17</var>    (18) (19) occupational therapist, senior;<br/>
<a id="pl.36.18"></a><var>36.18</var>    (19) (20) psychologist 1;<br/>
<a id="pl.36.19"></a><var>36.19</var>    (20) (21) psychologist 2;<br/>
<a id="pl.36.20"></a><var>36.20</var>    (21) (22) psychologist 3;<br/>
<a id="pl.36.21"></a><var>36.21</var>    (22) (23) recreation program assistant;<br/>
<a id="pl.36.22"></a><var>36.22</var>    (23) (24) recreation therapist lead;<br/>
<a id="pl.36.23"></a><var>36.23</var>    (24) (25) recreation therapist senior;<br/>
<a id="pl.36.24"></a><var>36.24</var>    (25) (26) rehabilitation counselor senior;<br/>
<a id="pl.36.25"></a><var>36.25</var>    (26) (27) security supervisor;<br/>
<a id="pl.36.26"></a><var>36.26</var>    (27) (28) skills development specialist;<br/>
<a id="pl.36.27"></a><var>36.27</var>    (28) (29) social worker senior;<br/>
<a id="pl.36.28"></a><var>36.28</var>    (29) (30) social worker specialist;<br/>
<a id="pl.36.29"></a><var>36.29</var>    (30) (31) social worker specialist, senior;<br/>
<a id="pl.36.30"></a><var>36.30</var>    (31) (32) special education program assistant;<br/>
<a id="pl.36.31"></a><var>36.31</var>    (32) (33) speech pathology clinician;<br/>
<a id="pl.36.32"></a><var>36.32</var>    (33) (34) work therapy assistant; and<br/>
<a id="pl.36.33"></a><var>36.33</var>    (34) (35) work therapy program coordinator.<br/>
<br/>
<a id="bill.5.8.0"></a><a id="pl.36.34"></a><var>36.34</var>    Sec. 8. Minnesota Statutes 2012, section 352.91, is amended by adding a subdivision <br/>
<a id="pl.36.35"></a><var>36.35</var>to read:<br/>
<a id="pl.37.1"></a><var>37.1</var>    Subd. 3j. <b>State-operated forensic services program.</b> For purposes of this section, <br/>
<a id="pl.37.2"></a><var>37.2</var>"state-operated forensic services program" means the Minnesota Security Hospital, the <br/>
<a id="pl.37.3"></a><var>37.3</var>forensic nursing home, the forensic transition service, and the competency restoration <br/>
<a id="pl.37.4"></a><var>37.4</var>program.<br/>
<br/>
<a id="bill.6.0.0"></a>

<a id="bill.6.1.0"></a><a id="pl.37.7"></a><var>37.7</var>    Section 1. Minnesota Statutes 2012, section 13.632, subdivision 1, is amended to read:<br/>
<a id="pl.37.8"></a><var>37.8</var>    Subdivision 1. <b>Beneficiary and survivor data.</b> The following data on beneficiaries <br/>
<a id="pl.37.9"></a><var>37.9</var>and survivors of the St. Paul Teachers Retirement Fund Association and the Duluth <br/>
<a id="pl.37.10"></a><var>37.10</var>Teachers Retirement Fund Association members are private data on individuals: home <br/>
<a id="pl.37.11"></a><var>37.11</var>address, date of birth, direct deposit number, and tax withholding data.<br/>
<br/>
<a id="bill.6.2.0"></a><a id="pl.37.12"></a><var>37.12</var>    Sec. 2. Minnesota Statutes 2012, section 122A.18, subdivision 7a, is amended to read:<br/>
<a id="pl.37.13"></a><var>37.13</var>    Subd. 7a. <b>Permission to substitute teach.</b> (a) The Board of Teaching may allow a <br/>
<a id="pl.37.14"></a><var>37.14</var>person who is enrolled in and making satisfactory progress in a board-approved teacher <br/>
<a id="pl.37.15"></a><var>37.15</var>program and who has successfully completed student teaching to be employed as a <br/>
<a id="pl.37.16"></a><var>37.16</var>short-call substitute teacher.<br/>
<a id="pl.37.17"></a><var>37.17</var>(b) The Board of Teaching may issue a lifetime qualified short-call substitute <br/>
<a id="pl.37.18"></a><var>37.18</var>teaching license to a person who:<br/>
<a id="pl.37.19"></a><var>37.19</var>(1) was a qualified teacher under section 
         <statute_ref>122A.16</statute_ref> while holding a continuing <br/>
<a id="pl.37.20"></a><var>37.20</var>five-year teaching license issued by the board, and receives a retirement annuity from the <br/>
<a id="pl.37.21"></a><var>37.21</var>Teachers Retirement Association, Minneapolis Teachers Retirement Fund Association,<br/>
<a id="pl.37.22"></a><var>37.22</var> or the St. Paul Teachers Retirement Fund Association, or Duluth Teachers Retirement <br/>
<a id="pl.37.23"></a><var>37.23</var>Fund Association;<br/>
<a id="pl.37.24"></a><var>37.24</var>(2) holds an out-of-state teaching license and receives a retirement annuity as a <br/>
<a id="pl.37.25"></a><var>37.25</var>result of the person's teaching experience; or<br/>
<a id="pl.37.26"></a><var>37.26</var>(3) held a continuing five-year license issued by the board, taught at least three <br/>
<a id="pl.37.27"></a><var>37.27</var>school years in an accredited nonpublic school in Minnesota, and receives a retirement <br/>
<a id="pl.37.28"></a><var>37.28</var>annuity as a result of the person's teaching experience.<br/>
<a id="pl.37.29"></a><var>37.29</var>A person holding a lifetime qualified short-call substitute teaching license is not required <br/>
<a id="pl.37.30"></a><var>37.30</var>to complete continuing education clock hours. A person holding this license may reapply <br/>
<a id="pl.37.31"></a><var>37.31</var>to the board for a continuing five-year license and must again complete continuing <br/>
<a id="pl.37.32"></a><var>37.32</var>education clock hours one school year after receiving the continuing five-year license.<br/>
<br/>
<a id="bill.6.3.0"></a><a id="pl.38.1"></a><var>38.1</var>    Sec. 3. Minnesota Statutes 2013 Supplement, section 353.01, subdivision 2b, is <br/>
<a id="pl.38.2"></a><var>38.2</var>amended to read:<br/>
<a id="pl.38.3"></a><var>38.3</var>    Subd. 2b. <b>Excluded employees.</b> (a) The following public employees are not eligible <br/>
<a id="pl.38.4"></a><var>38.4</var>to participate as members of the association with retirement coverage by the general <br/>
<a id="pl.38.5"></a><var>38.5</var>employees retirement plan, the local government correctional employees retirement plan <br/>
<a id="pl.38.6"></a><var>38.6</var>under chapter 353E, or the public employees police and fire retirement plan:<br/>
<a id="pl.38.7"></a><var>38.7</var>    (1) persons whose salary from one governmental subdivision never exceeds $425 in <br/>
<a id="pl.38.8"></a><var>38.8</var>a month;<br/>
<a id="pl.38.9"></a><var>38.9</var>(2) public officers who are elected to a governing body, city mayors, or persons who <br/>
<a id="pl.38.10"></a><var>38.10</var>are appointed to fill a vacancy in an elective office of a governing body, whose term of office <br/>
<a id="pl.38.11"></a><var>38.11</var>commences on or after July 1, 2002, for the service to be rendered in that elective position;<br/>
<a id="pl.38.12"></a><var>38.12</var>    (3) election officers or election judges;<br/>
<a id="pl.38.13"></a><var>38.13</var>    (4) patient and inmate personnel who perform services for a governmental <br/>
<a id="pl.38.14"></a><var>38.14</var>subdivision;<br/>
<a id="pl.38.15"></a><var>38.15</var>    (5) except as otherwise specified in subdivision 12a, employees who are hired for <br/>
<a id="pl.38.16"></a><var>38.16</var>a temporary position as defined under subdivision 12a, and employees who resign from <br/>
<a id="pl.38.17"></a><var>38.17</var>a nontemporary position and accept a temporary position within 30 days in the same <br/>
<a id="pl.38.18"></a><var>38.18</var>governmental subdivision;<br/>
<a id="pl.38.19"></a><var>38.19</var>    (6) employees who are employed by reason of work emergency caused by fire, <br/>
<a id="pl.38.20"></a><var>38.20</var>flood, storm, or similar disaster;<br/>
<a id="pl.38.21"></a><var>38.21</var>    (7) employees who by virtue of their employment in one governmental subdivision <br/>
<a id="pl.38.22"></a><var>38.22</var>are required by law to be a member of and to contribute to any of the plans or funds <br/>
<a id="pl.38.23"></a><var>38.23</var>administered by the Minnesota State Retirement System, the Teachers Retirement <br/>
<a id="pl.38.24"></a><var>38.24</var>Association, the Duluth Teachers Retirement Fund Association, and the St. Paul Teachers <br/>
<a id="pl.38.25"></a><var>38.25</var>Retirement Fund Association. This clause must not be construed to prevent a person from <br/>
<a id="pl.38.26"></a><var>38.26</var>being a member of and contributing to the Public Employees Retirement Association and <br/>
<a id="pl.38.27"></a><var>38.27</var>also belonging to and contributing to another public pension plan or fund for other service <br/>
<a id="pl.38.28"></a><var>38.28</var>occurring during the same period of time. A person who meets the definition of "public <br/>
<a id="pl.38.29"></a><var>38.29</var>employee" in subdivision 2 by virtue of other service occurring during the same period of <br/>
<a id="pl.38.30"></a><var>38.30</var>time becomes a member of the association unless contributions are made to another public <br/>
<a id="pl.38.31"></a><var>38.31</var>retirement fund on the salary based on the other service or to the Teachers Retirement <br/>
<a id="pl.38.32"></a><var>38.32</var>Association by a teacher as defined in section 
         <statute_ref>354.05, subdivision 2</statute_ref>;<br/>
<a id="pl.38.33"></a><var>38.33</var>    (8) persons who are members of a religious order and are excluded from coverage <br/>
<a id="pl.38.34"></a><var>38.34</var>under the federal Old Age, Survivors, Disability, and Health Insurance Program for the <br/>
<a id="pl.38.35"></a><var>38.35</var>performance of service as specified in United States Code, title 42, section 410(a)(8)(A), <br/>
<a id="pl.39.1"></a><var>39.1</var>as amended through January 1, 1987, if no irrevocable election of coverage has been made <br/>
<a id="pl.39.2"></a><var>39.2</var>under section 3121(r) of the Internal Revenue Code of 1954, as amended;<br/>
<a id="pl.39.3"></a><var>39.3</var>    (9) employees of a governmental subdivision who have not reached the age of <br/>
<a id="pl.39.4"></a><var>39.4</var>23 and are enrolled on a full-time basis to attend or are attending classes on a full-time <br/>
<a id="pl.39.5"></a><var>39.5</var>basis at an accredited school, college, or university in an undergraduate, graduate, or <br/>
<a id="pl.39.6"></a><var>39.6</var>professional-technical program, or a public or charter high school;<br/>
<a id="pl.39.7"></a><var>39.7</var>    (10) resident physicians, medical interns, and pharmacist residents and pharmacist <br/>
<a id="pl.39.8"></a><var>39.8</var>interns who are serving in a degree or residency program in public hospitals or clinics;<br/>
<a id="pl.39.9"></a><var>39.9</var>    (11) students who are serving for up to five years in an internship or residency program <br/>
<a id="pl.39.10"></a><var>39.10</var>sponsored by a governmental subdivision, including an accredited educational institution;<br/>
<a id="pl.39.11"></a><var>39.11</var>    (12) persons who hold a part-time adult supplementary technical college license who <br/>
<a id="pl.39.12"></a><var>39.12</var>render part-time teaching service in a technical college;<br/>
<a id="pl.39.13"></a><var>39.13</var>    (13) except for employees of Hennepin County or Hennepin Healthcare System, Inc., <br/>
<a id="pl.39.14"></a><var>39.14</var>foreign citizens who are employed by a governmental subdivision under a work permit, or <br/>
<a id="pl.39.15"></a><var>39.15</var>an H-1b visa initially issued or extended for a combined period less than three years of <br/>
<a id="pl.39.16"></a><var>39.16</var>employment. Upon extension of the employment beyond the three-year period, the foreign <br/>
<a id="pl.39.17"></a><var>39.17</var>citizens must be reported for membership beginning the first of the month thereafter <br/>
<a id="pl.39.18"></a><var>39.18</var>provided the monthly earnings threshold as provided under subdivision 2a is met;<br/>
<a id="pl.39.19"></a><var>39.19</var>    (14) public hospital employees who elected not to participate as members of the <br/>
<a id="pl.39.20"></a><var>39.20</var>association before 1972 and who did not elect to participate from July 1, 1988, to October <br/>
<a id="pl.39.21"></a><var>39.21</var>1, 1988;<br/>
<a id="pl.39.22"></a><var>39.22</var>    (15) except as provided in section 
         <statute_ref>353.86</statute_ref>, volunteer ambulance service personnel, as <br/>
<a id="pl.39.23"></a><var>39.23</var>defined in subdivision 35, but persons who serve as volunteer ambulance service personnel <br/>
<a id="pl.39.24"></a><var>39.24</var>may still qualify as public employees under subdivision 2 and may be members of the <br/>
<a id="pl.39.25"></a><var>39.25</var>Public Employees Retirement Association and participants in the general employees <br/>
<a id="pl.39.26"></a><var>39.26</var>retirement plan or the public employees police and fire plan, whichever applies, on the <br/>
<a id="pl.39.27"></a><var>39.27</var>basis of compensation received from public employment service other than service as <br/>
<a id="pl.39.28"></a><var>39.28</var>volunteer ambulance service personnel;<br/>
<a id="pl.39.29"></a><var>39.29</var>    (16) except as provided in section 
         <statute_ref>353.87</statute_ref>, volunteer firefighters, as defined in <br/>
<a id="pl.39.30"></a><var>39.30</var>subdivision 36, engaging in activities undertaken as part of volunteer firefighter duties, <br/>
<a id="pl.39.31"></a><var>39.31</var>but a person who is a volunteer firefighter may still qualify as a public employee under <br/>
<a id="pl.39.32"></a><var>39.32</var>subdivision 2 and may be a member of the Public Employees Retirement Association and <br/>
<a id="pl.39.33"></a><var>39.33</var>a participant in the general employees retirement plan or the public employees police <br/>
<a id="pl.39.34"></a><var>39.34</var>and fire plan, whichever applies, on the basis of compensation received from public <br/>
<a id="pl.39.35"></a><var>39.35</var>employment activities other than those as a volunteer firefighter;<br/>
<a id="pl.40.1"></a><var>40.1</var>    (17) pipefitters and associated trades personnel employed by Independent School <br/>
<a id="pl.40.2"></a><var>40.2</var>District No. 625, St. Paul, with coverage under a collective bargaining agreement by the <br/>
<a id="pl.40.3"></a><var>40.3</var>pipefitters local 455 pension plan who were either first employed after May 1, 1997, or, <br/>
<a id="pl.40.4"></a><var>40.4</var>if first employed before May 2, 1997, elected to be excluded under Laws 1997, chapter <br/>
<a id="pl.40.5"></a><var>40.5</var>241, article 2, section 12;<br/>
<a id="pl.40.6"></a><var>40.6</var>    (18) electrical workers, plumbers, carpenters, and associated trades personnel who <br/>
<a id="pl.40.7"></a><var>40.7</var>are employed by Independent School District No. 625, St. Paul, or the city of St. Paul, <br/>
<a id="pl.40.8"></a><var>40.8</var>who have retirement coverage under a collective bargaining agreement by the Electrical <br/>
<a id="pl.40.9"></a><var>40.9</var>Workers Local 110 pension plan, the United Association Plumbers Local 34 pension plan, <br/>
<a id="pl.40.10"></a><var>40.10</var>or the pension plan applicable to Carpenters Local 87 who were either first employed after <br/>
<a id="pl.40.11"></a><var>40.11</var>May 1, 2000, or, if first employed before May 2, 2000, elected to be excluded under <br/>
<a id="pl.40.12"></a><var>40.12</var>Laws 2000, chapter 461, article 7, section 5;<br/>
<a id="pl.40.13"></a><var>40.13</var>    (19) bricklayers, allied craftworkers, cement masons, glaziers, glassworkers, <br/>
<a id="pl.40.14"></a><var>40.14</var>painters, allied tradesworkers, and plasterers who are employed by the city of St. Paul <br/>
<a id="pl.40.15"></a><var>40.15</var>or Independent School District No. 625, St. Paul, with coverage under a collective <br/>
<a id="pl.40.16"></a><var>40.16</var>bargaining agreement by the Bricklayers and Allied Craftworkers Local 1 pension plan, <br/>
<a id="pl.40.17"></a><var>40.17</var>the Cement Masons Local 633 pension plan, the Glaziers and Glassworkers Local L-1324 <br/>
<a id="pl.40.18"></a><var>40.18</var>pension plan, the Painters and Allied Trades Local 61 pension plan, or the Twin Cities <br/>
<a id="pl.40.19"></a><var>40.19</var>Plasterers Local 265 pension plan who were either first employed after May 1, 2001, or if <br/>
<a id="pl.40.20"></a><var>40.20</var>first employed before May 2, 2001, elected to be excluded under Laws 2001, First Special <br/>
<a id="pl.40.21"></a><var>40.21</var>Session chapter 10, article 10, section 6;<br/>
<a id="pl.40.22"></a><var>40.22</var>    (20) plumbers who are employed by the Metropolitan Airports Commission, with <br/>
<a id="pl.40.23"></a><var>40.23</var>coverage under a collective bargaining agreement by the Plumbers Local 34 pension plan, <br/>
<a id="pl.40.24"></a><var>40.24</var>who either were first employed after May 1, 2001, or if first employed before May 2, <br/>
<a id="pl.40.25"></a><var>40.25</var>2001, elected to be excluded under Laws 2001, First Special Session chapter 10, article <br/>
<a id="pl.40.26"></a><var>40.26</var>10, section 6;<br/>
<a id="pl.40.27"></a><var>40.27</var>    (21) employees who are hired after June 30, 2002, to fill seasonal positions under <br/>
<a id="pl.40.28"></a><var>40.28</var>subdivision 12b which are limited in duration by the employer to 185 consecutive calendar <br/>
<a id="pl.40.29"></a><var>40.29</var>days or less in each year of employment with the governmental subdivision;<br/>
<a id="pl.40.30"></a><var>40.30</var>    (22) persons who are provided supported employment or work-study positions by a <br/>
<a id="pl.40.31"></a><var>40.31</var>governmental subdivision and who participate in an employment or industries program <br/>
<a id="pl.40.32"></a><var>40.32</var>maintained for the benefit of these persons where the governmental subdivision limits the <br/>
<a id="pl.40.33"></a><var>40.33</var>position's duration to up to five years, including persons participating in a federal or state <br/>
<a id="pl.40.34"></a><var>40.34</var>subsidized on-the-job training, work experience, senior citizen, youth, or unemployment <br/>
<a id="pl.40.35"></a><var>40.35</var>relief program where the training or work experience is not provided as a part of, or <br/>
<a id="pl.40.36"></a><var>40.36</var>for, future permanent public employment;<br/>
<a id="pl.41.1"></a><var>41.1</var>    (23) independent contractors and the employees of independent contractors;<br/>
<a id="pl.41.2"></a><var>41.2</var>    (24) reemployed annuitants of the association during the course of that <br/>
<a id="pl.41.3"></a><var>41.3</var>reemployment; and<br/>
<a id="pl.41.4"></a><var>41.4</var>(25) persons appointed to serve on a board or commission of a governmental <br/>
<a id="pl.41.5"></a><var>41.5</var>subdivision or an instrumentality thereof.<br/>
<a id="pl.41.6"></a><var>41.6</var>(b) Any person performing the duties of a public officer in a position defined in <br/>
<a id="pl.41.7"></a><var>41.7</var>subdivision 2a, paragraph (a), clause (3), is not an independent contractor and is not an <br/>
<a id="pl.41.8"></a><var>41.8</var>employee of an independent contractor.<br/>
<br/>
<a id="bill.6.4.0"></a><a id="pl.41.9"></a><var>41.9</var>    Sec. 4. Minnesota Statutes 2012, section 354.05, subdivision 2, is amended to read:<br/>
<a id="pl.41.10"></a><var>41.10</var>    Subd. 2. <b>Teacher.</b> (a) "Teacher" means:<br/>
<a id="pl.41.11"></a><var>41.11</var>(1) a person who renders service as a teacher, supervisor, principal, superintendent, <br/>
<a id="pl.41.12"></a><var>41.12</var>librarian, nurse, counselor, social worker, therapist, or psychologist in a public school of <br/>
<a id="pl.41.13"></a><var>41.13</var>the state located outside of the corporate limits of the city of Duluth or the city of St. Paul, <br/>
<a id="pl.41.14"></a><var>41.14</var>or in any charter school, irrespective of the location of the school, or in any charitable, <br/>
<a id="pl.41.15"></a><var>41.15</var>penal, or correctional institutions of a governmental subdivision, or who is engaged in <br/>
<a id="pl.41.16"></a><var>41.16</var>educational administration in connection with the state public school system, but excluding <br/>
<a id="pl.41.17"></a><var>41.17</var>the University of Minnesota, whether the position be a public office or an employment, and <br/>
<a id="pl.41.18"></a><var>41.18</var>not including the members or officers of any general governing or managing board or body;<br/>
<a id="pl.41.19"></a><var>41.19</var>(2) an employee of the Teachers Retirement Association;<br/>
<a id="pl.41.20"></a><var>41.20</var>(3) a person who renders teaching service on a part-time basis and who also renders <br/>
<a id="pl.41.21"></a><var>41.21</var>other services for a single employing unit. A person whose teaching service comprises at <br/>
<a id="pl.41.22"></a><var>41.22</var>least 50 percent of the combined employment salary is a member of the association for all <br/>
<a id="pl.41.23"></a><var>41.23</var>services with the single employing unit. If the person's teaching service comprises less <br/>
<a id="pl.41.24"></a><var>41.24</var>than 50 percent of the combined employment salary, the executive director must determine <br/>
<a id="pl.41.25"></a><var>41.25</var>whether all or none of the combined service is covered by the association; or<br/>
<a id="pl.41.26"></a><var>41.26</var>(4) a person who is not covered by the plans established under chapter 352D, 354A, <br/>
<a id="pl.41.27"></a><var>41.27</var>or 354B and who is employed by the Board of Trustees of the Minnesota State Colleges <br/>
<a id="pl.41.28"></a><var>41.28</var>and Universities system in an unclassified position as:<br/>
<a id="pl.41.29"></a><var>41.29</var>(i) a president, vice-president, or dean;<br/>
<a id="pl.41.30"></a><var>41.30</var>(ii) a manager or a professional in an academic or an academic support program <br/>
<a id="pl.41.31"></a><var>41.31</var>other than specified in item (i);<br/>
<a id="pl.41.32"></a><var>41.32</var>(iii) an administrative or a service support faculty position; or<br/>
<a id="pl.41.33"></a><var>41.33</var>(iv) a teacher or a research assistant.<br/>
<a id="pl.41.34"></a><var>41.34</var>(b) "Teacher" does not mean:<br/>
<a id="pl.42.1"></a><var>42.1</var>(1) a person who works for a school or institution as an independent contractor as <br/>
<a id="pl.42.2"></a><var>42.2</var>defined by the Internal Revenue Service;<br/>
<a id="pl.42.3"></a><var>42.3</var>(2) a person who renders part-time teaching service or who is a customized trainer <br/>
<a id="pl.42.4"></a><var>42.4</var>as defined by the Minnesota State Colleges and Universities system if (i) the service is <br/>
<a id="pl.42.5"></a><var>42.5</var>incidental to the regular nonteaching occupation of the person; and (ii) the employer <br/>
<a id="pl.42.6"></a><var>42.6</var>stipulates annually in advance that the part-time teaching service or customized training <br/>
<a id="pl.42.7"></a><var>42.7</var>service will not exceed 300 hours in a fiscal year and retains the stipulation in its records; <br/>
<a id="pl.42.8"></a><var>42.8</var>and (iii) the part-time teaching service or customized training service actually does not <br/>
<a id="pl.42.9"></a><var>42.9</var>exceed 300 hours in a fiscal year; or<br/>
<a id="pl.42.10"></a><var>42.10</var>(3) a person exempt from licensure under section 
         <statute_ref>122A.30</statute_ref>.<br/>
<br/>
<a id="bill.6.5.0"></a><a id="pl.42.11"></a><var>42.11</var>    Sec. 5. Minnesota Statutes 2012, section 354.05, subdivision 13, is amended to read:<br/>
<a id="pl.42.12"></a><var>42.12</var>    Subd. 13. <b>Allowable service.</b> "Allowable service" means:<br/>
<a id="pl.42.13"></a><var>42.13</var>    (1) any service rendered by a teacher for which on or before July 1, 1957, the <br/>
<a id="pl.42.14"></a><var>42.14</var>teacher's account in the retirement fund was credited by reason of employee contributions <br/>
<a id="pl.42.15"></a><var>42.15</var>in the form of salary deductions, payments in lieu of salary deductions, or in any other <br/>
<a id="pl.42.16"></a><var>42.16</var>manner authorized by Minnesota Statutes 1953, sections 135.01 to 135.13, as amended by <br/>
<a id="pl.42.17"></a><var>42.17</var>Laws 1955, chapters 361, 549, 550, 611, or;<br/>
<a id="pl.42.18"></a><var>42.18</var>    (2) any service rendered by a teacher for which on or before July 1, 1961, the teacher <br/>
<a id="pl.42.19"></a><var>42.19</var>elected to obtain credit for service by making payments to the fund pursuant to under <br/>
<a id="pl.42.20"></a><var>42.20</var>Minnesota Statutes 1980, section 354.09 and section 
         <statute_ref>354.51</statute_ref>, or;<br/>
<a id="pl.42.21"></a><var>42.21</var>    (3) any service rendered by a teacher after July 1, 1957, for any calendar month <br/>
<a id="pl.42.22"></a><var>42.22</var>when the member receives salary from which deductions are made, deposited and credited <br/>
<a id="pl.42.23"></a><var>42.23</var>in the fund, or;<br/>
<a id="pl.42.24"></a><var>42.24</var>    (4) any service rendered by a person after July 1, 1957, for any calendar month where <br/>
<a id="pl.42.25"></a><var>42.25</var>payments in lieu of salary deductions are made, deposited and credited into the fund as <br/>
<a id="pl.42.26"></a><var>42.26</var>provided in Minnesota Statutes 1980, section 354.09, subdivision 4, and section 
         <statute_ref>354.53</statute_ref>, or;<br/>
<a id="pl.42.27"></a><var>42.27</var>    (5) any service rendered by a teacher for which the teacher elected to obtain credit <br/>
<a id="pl.42.28"></a><var>42.28</var>for service by making payments to the fund pursuant to under Minnesota Statutes 1980, <br/>
<a id="pl.42.29"></a><var>42.29</var>section 354.09, subdivisions 1 and 4, sections 354.50, 354.51, Minnesota Statutes 1957, <br/>
<a id="pl.42.30"></a><var>42.30</var>section 135.41, subdivision 4, Minnesota Statutes 1971, section 354.09, subdivision 2, or <br/>
<a id="pl.42.31"></a><var>42.31</var>Minnesota Statutes, 1973 Supplement, section 354.09, subdivision 3, or;<br/>
<a id="pl.42.32"></a><var>42.32</var>    (6) both service during years of actual membership in the course of which <br/>
<a id="pl.42.33"></a><var>42.33</var>contributions were currently made and service in years during which the teacher was not a <br/>
<a id="pl.42.34"></a><var>42.34</var>member but for which the teacher later elected to obtain credit by making payments to the <br/>
<a id="pl.42.35"></a><var>42.35</var>fund as permitted by any law then in effect, or;<br/>
<a id="pl.43.1"></a><var>43.1</var>    (7) any service rendered where contributions were made and no credit was <br/>
<a id="pl.43.2"></a><var>43.2</var>established because of the limitations contained in Minnesota Statutes 1957, section <br/>
<a id="pl.43.3"></a><var>43.3</var>135.09, subdivision 2, as determined by the ratio between the amounts of money credited <br/>
<a id="pl.43.4"></a><var>43.4</var>to the teacher's account in a fiscal year and the maximum retirement contribution allowable <br/>
<a id="pl.43.5"></a><var>43.5</var>for that year, or;<br/>
<a id="pl.43.6"></a><var>43.6</var>    (8) MS 2002 [Expired]<br/>
<a id="pl.43.7"></a><var>43.7</var>    (9) a period of time during which a teacher was on strike without pay, not to exceed a <br/>
<a id="pl.43.8"></a><var>43.8</var>period of one year, if payment in lieu of salary deductions is made under section 
         <statute_ref>354.72</statute_ref>, or;<br/>
<a id="pl.43.9"></a><var>43.9</var>    (10) a period of service before July 1, 2006, that was properly credited as allowable <br/>
<a id="pl.43.10"></a><var>43.10</var>service by the Minneapolis Teachers Retirement Fund Association, and that was rendered <br/>
<a id="pl.43.11"></a><var>43.11</var>by a teacher as an employee of Special School District No. 1, Minneapolis, or by an <br/>
<a id="pl.43.12"></a><var>43.12</var>employee of the Minneapolis Teachers Retirement Fund Association who was a member <br/>
<a id="pl.43.13"></a><var>43.13</var>of the Minneapolis Teachers Retirement Fund Association by virtue of that employment, <br/>
<a id="pl.43.14"></a><var>43.14</var>who has not begun receiving an annuity or other retirement benefit from the former <br/>
<a id="pl.43.15"></a><var>43.15</var>Minneapolis Teachers Retirement Fund Association calculated in whole or in part on that <br/>
<a id="pl.43.16"></a><var>43.16</var>service before July 1, 2006, and who has not taken a refund of member contributions <br/>
<a id="pl.43.17"></a><var>43.17</var>related to that service unless the refund is repaid under section 
         <statute_ref>354.50</statute_ref>, subdivision 4. <br/>
<a id="pl.43.18"></a><var>43.18</var>Service as an employee of Special School District No. 1, Minneapolis, on or after July 1, <br/>
<a id="pl.43.19"></a><var>43.19</var>2006, is "allowable service" only as provided by this chapter.; or<br/>
<a id="pl.43.20"></a><var>43.20</var>(11) a period of service before July 1, 2015, that was properly credited as allowable <br/>
<a id="pl.43.21"></a><var>43.21</var>service by the Duluth Teachers Retirement Fund Association, and that was rendered <br/>
<a id="pl.43.22"></a><var>43.22</var>by a teacher as an employee of Independent School District No. 709, Duluth, or by an <br/>
<a id="pl.43.23"></a><var>43.23</var>employee of the Duluth Teachers Retirement Fund Association who was a member of the <br/>
<a id="pl.43.24"></a><var>43.24</var>Duluth Teachers Retirement Fund Association by virtue of that employment, who has not <br/>
<a id="pl.43.25"></a><var>43.25</var>begun receiving an annuity or other retirement benefit from the former Duluth Teachers <br/>
<a id="pl.43.26"></a><var>43.26</var>Retirement Fund Association calculated in whole or in part on that service before July <br/>
<a id="pl.43.27"></a><var>43.27</var>1, 2015, and who has not taken a refund of member contributions related to that service <br/>
<a id="pl.43.28"></a><var>43.28</var>unless the refund is repaid under section 
<statute_ref>354.50</statute_ref>, subdivision 4. Service as an employee <br/>
<a id="pl.43.29"></a><var>43.29</var>of Independent School District No. 709, Duluth, on or after July 1, 2015, is "allowable <br/>
<a id="pl.43.30"></a><var>43.30</var>service" only as provided by this chapter.<br/>
<br/>
<a id="bill.6.6.0"></a><a id="pl.43.31"></a><var>43.31</var>    Sec. 6. Minnesota Statutes 2012, section 354.42, subdivision 2, is amended to read:<br/>
<a id="pl.43.32"></a><var>43.32</var>    Subd. 2. <b>Employee contribution.</b> (a) For a basic member, The employee <br/>
<a id="pl.43.33"></a><var>43.33</var>contribution to the fund is the following percentage of the member's salary:<br/>
<table>
<col width="50px"/>
<col width="2.5"/>
<col width="32.5"/>
<col width="17.6"/>
<col width="17.4"/>
<tr>
<td><a id="pl.43.34"></a><var>43.34</var><br/>
</td>
<td></td>
<td align="center">Period<br/>
</td>
<td align="center">Basic Program<br/>
</td>
<td align="center">Coordinated Program<br/>
</td>
</tr>
<tr>
<td><a id="pl.43.35"></a><var>43.35</var><br/>
</td>
<td></td>
<td>before July 1, 2011<br/>
</td>
<td align="center">9.0 percent<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.44.1"></a><var>44.1</var><br/>
</td>
<td></td>
<td>from July 1, 2011, until June 30, 2012<br/>
</td>
<td align="center">9.5 percent<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.44.2"></a><var>44.2</var><br/>
</td>
<td></td>
<td>from July 1, 2012, until June 30, 2013<br/>
</td>
<td align="center">10.0 percent<br/>
</td>
<td align="center"></td>
</tr>
<tr>
<td><a id="pl.44.3"></a><var>44.3</var><br/>
</td>
<td></td>
<td>from July 1, 2013, until June 30, 2014<br/>
</td>
<td align="center">10.5 percent<br/>
</td>
<td align="center">7.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.4"></a><var>44.4</var><br/>
</td>
<td></td>
<td>after June 30, 2014<br/>
</td>
<td align="center">11.0 percent<br/>
</td>
<td align="center">7.5 percent<br/>
</td>
</tr>
</table><a id="pl.44.5"></a><var>44.5</var>(b) For a coordinated member, the employee contribution is the following percentage <br/>
<a id="pl.44.6"></a><var>44.6</var>of the member's salary:<br/>
<table>
<col width="50px"/>
<col width="2.5"/>
<col width="32.5"/>
<col width="17.5"/>
<tr>
<td><a id="pl.44.7"></a><var>44.7</var><br/>
</td>
<td></td>
<td>before July 1, 2011<br/>
</td>
<td>5.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.8"></a><var>44.8</var><br/>
</td>
<td></td>
<td>from July 1, 2011, until June 30, 2012<br/>
</td>
<td>6.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.9"></a><var>44.9</var><br/>
</td>
<td></td>
<td>from July 1, 2012, until June 30, 2013<br/>
</td>
<td>6.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.10"></a><var>44.10</var><br/>
</td>
<td></td>
<td>from July 1, 2013, until June 30, 2014<br/>
</td>
<td>7.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.11"></a><var>44.11</var><br/>
</td>
<td></td>
<td>after June 30, 2014<br/>
</td>
<td>7.5 percent<br/>
</td>
</tr>
</table><a id="pl.44.12"></a><var>44.12</var>(c) (b) When an employee contribution rate changes for a fiscal year, the new <br/>
<a id="pl.44.13"></a><var>44.13</var>contribution rate is effective for the entire salary paid for each employer unit with the <br/>
<a id="pl.44.14"></a><var>44.14</var>first payroll cycle reported.<br/>
<a id="pl.44.15"></a><var>44.15</var>(d) (c) After June 30, 2015, if a contribution rate revision is required under <br/>
<a id="pl.44.16"></a><var>44.16</var>subdivisions 4a, 4b, and 4c, the employee contributions under paragraphs (a) and (b) must <br/>
<a id="pl.44.17"></a><var>44.17</var>be adjusted accordingly.<br/>
<a id="pl.44.18"></a><var>44.18</var>(e) (d) This contribution must be made by deduction from salary. Where any portion <br/>
<a id="pl.44.19"></a><var>44.19</var>of a member's salary is paid from other than public funds, the member's employee <br/>
<a id="pl.44.20"></a><var>44.20</var>contribution must be based on the entire salary received.<br/>
<br/>
<a id="bill.6.7.0"></a><a id="pl.44.21"></a><var>44.21</var>    Sec. 7. Minnesota Statutes 2012, section 354.42, subdivision 3, is amended to read:<br/>
<a id="pl.44.22"></a><var>44.22</var>    Subd. 3. <b>Employer.</b> (a) The regular employer contribution to the fund by Special <br/>
<a id="pl.44.23"></a><var>44.23</var>School District No. 1, Minneapolis, is an amount equal to the applicable following <br/>
<a id="pl.44.24"></a><var>44.24</var>percentage of salary of each coordinated member and the applicable following percentage <br/>
<a id="pl.44.25"></a><var>44.25</var>of salary of each basic member: specified in paragraph (c).<br/>
<table>
<col width="50px"/>
<col width="2.5"/>
<col width="27.5"/>
<col width="2.5"/>
<col width="15"/>
<col width="2.5"/>
<col width="15"/>
<tr>
<td><a id="pl.44.26"></a><var>44.26</var><br/>
</td>
<td></td>
<td>Period<br/>
</td>
<td colspan="2">Coordinated Member<br/>
</td>
<td></td>
<td>Basic Member<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.27"></a><var>44.27</var><br/>
</td>
<td></td>
<td>before July 1, 2011<br/>
</td>
<td></td>
<td>5.5 percent<br/>
</td>
<td></td>
<td>9.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.28"></a><var>44.28</var><br/>
</td>
<td></td>
<td>from July 1, 2011, until June 30, 2012<br/>
</td>
<td></td>
<td>6.0 percent<br/>
</td>
<td></td>
<td>10.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.29"></a><var>44.29</var><br/>
</td>
<td></td>
<td>from July 1, 2012, until June 30, 2013<br/>
</td>
<td></td>
<td>6.5 percent<br/>
</td>
<td></td>
<td>10.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.30"></a><var>44.30</var><br/>
</td>
<td></td>
<td>from July 1, 2013, until June 30, 2014<br/>
</td>
<td></td>
<td>7.0 percent<br/>
</td>
<td></td>
<td>11.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.44.31"></a><var>44.31</var><br/>
</td>
<td></td>
<td>after June 30, 2014<br/>
</td>
<td></td>
<td>7.5 percent<br/>
</td>
<td></td>
<td>11.5 percent<br/>
</td>
</tr>
</table><a id="pl.44.32"></a><var>44.32</var>The additional employer contribution to the fund by Special School District No. 1, <br/>
<a id="pl.44.33"></a><var>44.33</var>Minneapolis, is an amount equal to 3.64 percent of the salary of each teacher who is a <br/>
<a id="pl.44.34"></a><var>44.34</var>coordinated member or who is a basic member.<br/>
<a id="pl.45.1"></a><var>45.1</var>(b) The regular employer contribution to the fund by Independent School District <br/>
<a id="pl.45.2"></a><var>45.2</var>No. 709, Duluth, is an amount equal to the applicable percentage of salary of each old law <br/>
<a id="pl.45.3"></a><var>45.3</var>or new law coordinated member specified for the coordinated program in paragraph (c).<br/>
<a id="pl.45.4"></a><var>45.4</var>(b) (c) The employer contribution to the fund for every other employer is an amount <br/>
<a id="pl.45.5"></a><var>45.5</var>equal to the applicable following percentage of the salary of each coordinated member and <br/>
<a id="pl.45.6"></a><var>45.6</var>the applicable following percentage of the salary of each basic member:<br/>
<table>
<col width="50px"/>
<col width="2.5"/>
<col width="27.5"/>
<col width="2.5"/>
<col width="15"/>
<col width="2.5"/>
<col width="15"/>
<tr>
<td><a id="pl.45.7"></a><var>45.7</var><br/>
</td>
<td></td>
<td>Period<br/>
</td>
<td colspan="2">Coordinated Member<br/>
</td>
<td></td>
<td>Basic Member<br/>
</td>
</tr>
<tr>
<td><a id="pl.45.8"></a><var>45.8</var><br/>
</td>
<td></td>
<td>before July 1, 2011<br/>
</td>
<td></td>
<td>5.5 percent<br/>
</td>
<td></td>
<td>9.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.45.9"></a><var>45.9</var><br/>
</td>
<td></td>
<td>from July 1, 2011, until June 30, 2012<br/>
</td>
<td></td>
<td>6.0 percent<br/>
</td>
<td></td>
<td>10.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.45.10"></a><var>45.10</var><br/>
</td>
<td></td>
<td>from July 1, 2012, until June 30, 2013<br/>
</td>
<td></td>
<td>6.5 percent<br/>
</td>
<td></td>
<td>10.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.45.11"></a><var>45.11</var><br/>
</td>
<td></td>
<td>from July 1, 2013, until June 30, 2014<br/>
</td>
<td></td>
<td>7.0 percent<br/>
</td>
<td></td>
<td>11.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.45.12"></a><var>45.12</var><br/>
</td>
<td></td>
<td>after June 30, 2014<br/>
</td>
<td></td>
<td>7.5 percent<br/>
</td>
<td></td>
<td>11.5 percent<br/>
</td>
</tr>
</table><a id="pl.45.13"></a><var>45.13</var>(c) (d) When an employer contribution rate changes for a fiscal year, the new <br/>
<a id="pl.45.14"></a><var>45.14</var>contribution rate is effective for the entire salary paid for each employer unit with the <br/>
<a id="pl.45.15"></a><var>45.15</var>first payroll cycle reported.<br/>
<a id="pl.45.16"></a><var>45.16</var>(d) (e) After June 30, 2015, if a contribution rate revision is made under subdivisions <br/>
<a id="pl.45.17"></a><var>45.17</var>4a, 4b, and 4c, the employer contributions under paragraphs (a) and, (b), and (c)  must <br/>
<a id="pl.45.18"></a><var>45.18</var>be adjusted accordingly.<br/>
<br/>
<a id="bill.6.8.0"></a><a id="pl.45.19"></a><var>45.19</var>    Sec. 8. Minnesota Statutes 2013 Supplement, section 354.436, is amended to read:<br/>
<a id="pl.45.20"></a><var>45.20</var><b>354.436 DIRECT STATE AID ON BEHALF OF THE FORMER </b><br/>
<a id="pl.45.21"></a><var>45.21</var><b>MINNEAPOLIS</b><b> </b><b>FIRST CLASS CITY </b><b>TEACHERS RETIREMENT FUND </b><br/>
<a id="pl.45.22"></a><var>45.22</var><b>ASSOCIATION</b><b> ASSOCIATIONS</b><b>.</b><br/>
<a id="pl.45.23"></a><var>45.23</var>    Subdivision 1. <b>Aid authorization.</b> The state shall pay $12,954,000 to the Teachers <br/>
<a id="pl.45.24"></a><var>45.24</var>Retirement Association on behalf of the former Minneapolis Teachers Retirement Fund <br/>
<a id="pl.45.25"></a><var>45.25</var>Association and in fiscal year 2017 and later shall pay $14,377,000 on behalf of the Duluth <br/>
<a id="pl.45.26"></a><var>45.26</var>Teachers Retirement Fund Association.<br/>
<a id="pl.45.27"></a><var>45.27</var>    Subd. 2. <b>Aid appropriation.</b> The commissioner of management and budget shall <br/>
<a id="pl.45.28"></a><var>45.28</var>pay the aid amounts under subdivision 1 annually on October 1. The amount required <br/>
<a id="pl.45.29"></a><var>45.29</var>is appropriated annually from the general fund to the commissioner of management and <br/>
<a id="pl.45.30"></a><var>45.30</var>budget.<br/>
<a id="pl.45.31"></a><var>45.31</var>    Subd. 3. <b>Aid expiration.</b> The aid amounts specified in this section terminates<br/>
<a id="pl.45.32"></a><var>45.32</var> terminate and this section expires on the October 1 next following the later of the <br/>
<a id="pl.45.33"></a><var>45.33</var>following dates: (1) when the current assets of the Teachers Retirement Association fund <br/>
<a id="pl.45.34"></a><var>45.34</var>equal or exceed the actuarial accrued liabilities of the fund as determined in the most <br/>
<a id="pl.45.35"></a><var>45.35</var>recent actuarial valuation report for the Teachers Retirement Association fund by the <br/>
<a id="pl.45.36"></a><var>45.36</var>actuary retained under section 
         <statute_ref>356.214</statute_ref>, or on the established date for full funding under <br/>
<a id="pl.46.1"></a><var>46.1</var>section 
<statute_ref>356.215, subdivision 11</statute_ref>, whichever occurs earlier; or (2) when the member and <br/>
<a id="pl.46.2"></a><var>46.2</var>employer contribution rates are first determined to be eligible for a reduction under section <br/>
<a id="pl.46.3"></a><var>46.3</var>354.42, subdivisions 4a, 4b, 4c, and 4d.<br/>
<br/>
<a id="bill.6.9.0"></a><a id="pl.46.4"></a><var>46.4</var>    Sec. 9. Minnesota Statutes 2013 Supplement, section 354.44, subdivision 6, is <br/>
<a id="pl.46.5"></a><var>46.5</var>amended to read:<br/>
<a id="pl.46.6"></a><var>46.6</var>    Subd. 6. <b>Computation of formula program retirement annuity.</b> (a) The formula <br/>
<a id="pl.46.7"></a><var>46.7</var>retirement annuity must be computed in accordance with the applicable provisions of the <br/>
<a id="pl.46.8"></a><var>46.8</var>formulas stated in paragraph (b) or (d) on the basis of each member's average salary under <br/>
<a id="pl.46.9"></a><var>46.9</var>section 
         <statute_ref>354.05, subdivision 13a</statute_ref>, for the period of the member's formula service credit.<br/>
<a id="pl.46.10"></a><var>46.10</var>    (b) This paragraph, in conjunction with paragraph (c), applies to a person who first <br/>
<a id="pl.46.11"></a><var>46.11</var>became a member of the association or a member of a pension fund listed in section <br/>
<statute_ref><a id="pl.46.12"></a><var>46.12</var>356.30, subdivision 3
         </statute_ref>, before July 1, 1989, unless paragraph (d), in conjunction with <br/>
<a id="pl.46.13"></a><var>46.13</var>paragraph (e), produces a higher annuity amount, in which case paragraph (d) applies. The <br/>
<a id="pl.46.14"></a><var>46.14</var>average salary as defined in section 
         <statute_ref>354.05, subdivision 13a</statute_ref>, multiplied by the following <br/>
<a id="pl.46.15"></a><var>46.15</var>percentages per year of formula service credit shall determine the amount of the annuity to <br/>
<a id="pl.46.16"></a><var>46.16</var>which the member qualifying therefor is entitled for service rendered before July 1, 2006:<br/>
<table>
<col width="50px"/>
<col width="2"/>
<col width="17.5"/>
<col width="1.5"/>
<col width="20"/>
<col width="1.5"/>
<col width="17.5"/>
<tr>
<td><a id="pl.46.17"></a><var>46.17</var><br/>
</td>
<td align="left" valign="top"></td>
<td align="center" valign="top">Period<br/>
</td>
<td align="center" valign="top"></td>
<td align="left" valign="top">Coordinated Member<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top">Basic Member<br/>
</td>
</tr>
<tr>
<td><a id="pl.46.18"></a><var>46.18</var><br/>
<a id="pl.46.19"></a><var>46.19</var><br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top">Each year of service <br/>
                  		during first ten<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 1.2 percent  per year<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 2.2 percent  per year<br/>
</td>
</tr>
<tr>
<td><a id="pl.46.20"></a><var>46.20</var><br/>
<a id="pl.46.21"></a><var>46.21</var><br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top">Each year of service <br/>
                  		thereafter<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 1.7 percent  per year<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 2.7 percent  per year<br/>
</td>
</tr>
</table><a id="pl.46.22"></a><var>46.22</var>    For service rendered on or after July 1, 2006, by a member other than a member <br/>
<a id="pl.46.23"></a><var>46.23</var>who was a member of the former Duluth Teachers Retirement Fund Association between <br/>
<a id="pl.46.24"></a><var>46.24</var>January 1, 2006, and June 30, 2015, and for service rendered on or after July 1, 2013, by a <br/>
<a id="pl.46.25"></a><var>46.25</var>member who was a member of the former Duluth Teachers Retirement Fund Association <br/>
<a id="pl.46.26"></a><var>46.26</var>between January 1, 2013, and June 30, 2015, the average salary as defined in section <br/>
<statute_ref><a id="pl.46.27"></a><var>46.27</var>354.05
         </statute_ref>, subdivision 13a, multiplied by the following percentages per year of service credit, <br/>
<a id="pl.46.28"></a><var>46.28</var>determines the amount the annuity to which the member qualifying therefor is entitled:<br/>
<table>
<col width="50px"/>
<col width="2"/>
<col width="17.5"/>
<col width="1.5"/>
<col width="20"/>
<col width="1.5"/>
<col width="17.5"/>
<tr>
<td><a id="pl.46.29"></a><var>46.29</var><br/>
</td>
<td align="left" valign="top"></td>
<td align="center" valign="top">Period<br/>
</td>
<td align="center" valign="top"></td>
<td align="left" valign="top">Coordinated Member<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top">Basic Member<br/>
</td>
</tr>
<tr>
<td><a id="pl.46.30"></a><var>46.30</var><br/>
<a id="pl.46.31"></a><var>46.31</var><br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top">Each year of service <br/>
                  		during first ten<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 1.4 percent  per year<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 2.2 percent  per year<br/>
</td>
</tr>
<tr>
<td><a id="pl.46.32"></a><var>46.32</var><br/>
<a id="pl.46.33"></a><var>46.33</var><br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top">Each year of service after <br/>
                  		ten years of service<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 1.9 percent  per year<br/>
</td>
<td align="left" valign="top"></td>
<td align="left" valign="top"> 2.7 percent  per year<br/>
</td>
</tr>
</table><a id="pl.46.34"></a><var>46.34</var>    (c)(i) This paragraph applies only to a person who first became a member of the <br/>
<a id="pl.46.35"></a><var>46.35</var>association or a member of a pension fund listed in section 
         <statute_ref>356.30, subdivision 3</statute_ref>, before <br/>
<a id="pl.46.36"></a><var>46.36</var>July 1, 1989, and whose annuity is higher when calculated under paragraph (b), in <br/>
<a id="pl.47.1"></a><var>47.1</var>conjunction with this paragraph than when calculated under paragraph (d), in conjunction <br/>
<a id="pl.47.2"></a><var>47.2</var>with paragraph (e).<br/>
<a id="pl.47.3"></a><var>47.3</var>    (ii) Where any member retires prior to normal retirement age under a formula <br/>
<a id="pl.47.4"></a><var>47.4</var>annuity, the member shall be paid a retirement annuity in an amount equal to the normal <br/>
<a id="pl.47.5"></a><var>47.5</var>annuity provided in paragraph (b) reduced by one-quarter of one percent for each month <br/>
<a id="pl.47.6"></a><var>47.6</var>that the member is under normal retirement age at the time of retirement except that for <br/>
<a id="pl.47.7"></a><var>47.7</var>any member who has 30 or more years of allowable service credit, the reduction shall be <br/>
<a id="pl.47.8"></a><var>47.8</var>applied only for each month that the member is under age 62.<br/>
<a id="pl.47.9"></a><var>47.9</var>    (iii) Any member whose attained age plus credited allowable service totals 90 years <br/>
<a id="pl.47.10"></a><var>47.10</var>is entitled, upon application, to a retirement annuity in an amount equal to the normal <br/>
<a id="pl.47.11"></a><var>47.11</var>annuity provided in paragraph (b), without any reduction by reason of early retirement.<br/>
<a id="pl.47.12"></a><var>47.12</var>    (d) This paragraph applies to a member who has become at least 55 years old and <br/>
<a id="pl.47.13"></a><var>47.13</var>first became a member of the association after June 30, 1989, and to any other member <br/>
<a id="pl.47.14"></a><var>47.14</var>who has become at least 55 years old and whose annuity amount when calculated under <br/>
<a id="pl.47.15"></a><var>47.15</var>this paragraph and in conjunction with paragraph (e), is higher than it is when calculated <br/>
<a id="pl.47.16"></a><var>47.16</var>under paragraph (b), in conjunction with paragraph (c). For a basic member, the average <br/>
<a id="pl.47.17"></a><var>47.17</var>salary, as defined in section 
         <statute_ref>354.05, subdivision 13a</statute_ref>, multiplied by 2.7 percent for each <br/>
<a id="pl.47.18"></a><var>47.18</var>year of service for a basic member determines the amount of the retirement annuity to <br/>
<a id="pl.47.19"></a><var>47.19</var>which the basic member is entitled. The annuity of a basic member who was a member of <br/>
<a id="pl.47.20"></a><var>47.20</var>the former Minneapolis Teachers Retirement Fund Association as of June 30, 2006, must <br/>
<a id="pl.47.21"></a><var>47.21</var>be determined according to the annuity formula under the articles of incorporation of the <br/>
<a id="pl.47.22"></a><var>47.22</var>former Minneapolis Teachers Retirement Fund Association in effect as of that date. For a <br/>
<a id="pl.47.23"></a><var>47.23</var>coordinated member, the average salary, as defined in section 
         <statute_ref>354.05</statute_ref>, subdivision 13a, <br/>
<a id="pl.47.24"></a><var>47.24</var>multiplied by 1.7 percent for each year of service rendered before July 1, 2006, and by 1.9 <br/>
<a id="pl.47.25"></a><var>47.25</var>percent for each year of service rendered on or after July 1, 2006, for a member other than <br/>
<a id="pl.47.26"></a><var>47.26</var>a member who was a member of the former Duluth Teachers Retirement Fund Association <br/>
<a id="pl.47.27"></a><var>47.27</var>between January 1, 2006, and June 30, 2015, and by 1.9 percent for each year of service <br/>
<a id="pl.47.28"></a><var>47.28</var>rendered on or after July 1, 2013, for a member of the former Duluth Teachers Retirement <br/>
<a id="pl.47.29"></a><var>47.29</var>Fund Association between January 1, 2013, and June 30, 2015, determines the amount of <br/>
<a id="pl.47.30"></a><var>47.30</var>the retirement annuity to which the coordinated member is entitled.<br/>
<a id="pl.47.31"></a><var>47.31</var>    (e) This paragraph applies to a person who has become at least 55 years old and first <br/>
<a id="pl.47.32"></a><var>47.32</var>becomes a member of the association after June 30, 1989, and to any other member who <br/>
<a id="pl.47.33"></a><var>47.33</var>has become at least 55 years old and whose annuity is higher when calculated under <br/>
<a id="pl.47.34"></a><var>47.34</var>paragraph (d) in conjunction with this paragraph than when calculated under paragraph <br/>
<a id="pl.47.35"></a><var>47.35</var>(b), in conjunction with paragraph (c). An employee who retires under the formula annuity <br/>
<a id="pl.47.36"></a><var>47.36</var>before the normal retirement age shall be paid the normal annuity provided in paragraph <br/>
<a id="pl.48.1"></a><var>48.1</var>(d) reduced so that the reduced annuity is the actuarial equivalent of the annuity that <br/>
<a id="pl.48.2"></a><var>48.2</var>would be payable to the employee if the employee deferred receipt of the annuity and the <br/>
<a id="pl.48.3"></a><var>48.3</var>annuity amount were augmented at an annual rate of three percent compounded annually <br/>
<a id="pl.48.4"></a><var>48.4</var>from the day the annuity begins to accrue until the normal retirement age if the employee <br/>
<a id="pl.48.5"></a><var>48.5</var>became an employee before July 1, 2006, and at 2.5 percent compounded annually if the <br/>
<a id="pl.48.6"></a><var>48.6</var>employee becomes an employee after June 30, 2006. Except in regards to section 
         <statute_ref>354.46</statute_ref>, <br/>
<a id="pl.48.7"></a><var>48.7</var>this paragraph remains in effect until June 30, 2015.<br/>
<a id="pl.48.8"></a><var>48.8</var>(f) After June 30, 2020, this paragraph applies to a person who has become at least <br/>
<a id="pl.48.9"></a><var>48.9</var>55 years old and first becomes a member of the association after June 30, 1989, and to any <br/>
<a id="pl.48.10"></a><var>48.10</var>other member who has become at least 55 years old and whose annuity is higher when <br/>
<a id="pl.48.11"></a><var>48.11</var>calculated under paragraph (d) in conjunction with this paragraph than when calculated <br/>
<a id="pl.48.12"></a><var>48.12</var>under paragraph (b) in conjunction with paragraph (c). An employee who retires under <br/>
<a id="pl.48.13"></a><var>48.13</var>the formula annuity before the normal retirement age is entitled to receive the normal <br/>
<a id="pl.48.14"></a><var>48.14</var>annuity provided in paragraph (d). For a person who is at least age 62 or older and has at <br/>
<a id="pl.48.15"></a><var>48.15</var>least 30 years of service, the annuity must be reduced by an early reduction factor of six <br/>
<a id="pl.48.16"></a><var>48.16</var>percent per year of the annuity that would be payable to the employee if the employee <br/>
<a id="pl.48.17"></a><var>48.17</var>deferred receipt of the annuity and the annuity amount were augmented at an annual rate <br/>
<a id="pl.48.18"></a><var>48.18</var>of three percent compounded annually from the day the annuity begins to accrue until the <br/>
<a id="pl.48.19"></a><var>48.19</var>normal retirement age if the employee became an employee before July 1, 2006, and at 2.5 <br/>
<a id="pl.48.20"></a><var>48.20</var>percent compounded annually if the employee became an employee after June 30, 2006. <br/>
<a id="pl.48.21"></a><var>48.21</var>For a person who is not at least age 62 or older and does not have at least 30 years of <br/>
<a id="pl.48.22"></a><var>48.22</var>service, the annuity would be reduced by an early reduction factor of four percent per year <br/>
<a id="pl.48.23"></a><var>48.23</var>for ages 55 through 59 and seven percent per year of the annuity that would be payable <br/>
<a id="pl.48.24"></a><var>48.24</var>to the employee if the employee deferred receipt of the annuity and the annuity amount <br/>
<a id="pl.48.25"></a><var>48.25</var>were augmented at an annual rate of three percent compounded annually from the day <br/>
<a id="pl.48.26"></a><var>48.26</var>the annuity begins to accrue until the normal retirement age if the employee became an <br/>
<a id="pl.48.27"></a><var>48.27</var>employee before July 1, 2006, and at 2.5 percent compounded annually if the employee <br/>
<a id="pl.48.28"></a><var>48.28</var>became an employee after June 30, 2006.<br/>
<a id="pl.48.29"></a><var>48.29</var>(g) After June 30, 2015, and before July 1, 2020, for a person who would have <br/>
<a id="pl.48.30"></a><var>48.30</var>a reduced retirement annuity under either paragraph (e) or (f) if they were applicable, <br/>
<a id="pl.48.31"></a><var>48.31</var>the employee is entitled to receive a reduced annuity which must be calculated using <br/>
<a id="pl.48.32"></a><var>48.32</var>a blended reduction factor augmented monthly by 1/60 of the difference between the <br/>
<a id="pl.48.33"></a><var>48.33</var>reduction required under paragraph (e) and the reduction required under paragraph (f).<br/>
<a id="pl.48.34"></a><var>48.34</var>    (h) No retirement annuity is payable to a former employee with a salary that exceeds <br/>
<a id="pl.48.35"></a><var>48.35</var>95 percent of the governor's salary unless and until the salary figures used in computing <br/>
<a id="pl.48.36"></a><var>48.36</var>the highest five successive years average salary under paragraph (a) have been audited by <br/>
<a id="pl.49.1"></a><var>49.1</var>the Teachers Retirement Association and determined by the executive director to comply <br/>
<a id="pl.49.2"></a><var>49.2</var>with the requirements and limitations of section 
         <statute_ref>354.05</statute_ref>, subdivisions 35 and 35a.<br/>
<br/>
<a id="bill.6.10.0"></a><a id="pl.49.3"></a><var>49.3</var>    Sec. 10. <b>[354.73] RETIREMENT COVERAGE RELATED TO THE FORMER </b><br/>
<a id="pl.49.4"></a><var>49.4</var><b>DULUTH TEACHERS RETIREMENT FUND ASSOCIATION.</b><br/>
<a id="pl.49.5"></a><var>49.5</var>    Subdivision 1. <b>Application.</b> This section applies to the retirement coverage of <br/>
<a id="pl.49.6"></a><var>49.6</var>members of the former Duluth Teachers Retirement Fund Association transferred to the <br/>
<a id="pl.49.7"></a><var>49.7</var>Teachers Retirement Association by section 46.<br/>
<a id="pl.49.8"></a><var>49.8</var>    Subd. 2. <b>Teachers Retirement Association as successor in interest.</b> The Teachers <br/>
<a id="pl.49.9"></a><var>49.9</var>Retirement Association is the successor in interest to all claims which the former Duluth <br/>
<a id="pl.49.10"></a><var>49.10</var>Teachers Retirement Fund Association may have or may have been able to assert against <br/>
<a id="pl.49.11"></a><var>49.11</var>any person on June 30, 2015, and is the successor in interest to all claims which could <br/>
<a id="pl.49.12"></a><var>49.12</var>have been asserted against the former Duluth Teachers Retirement Fund Association, <br/>
<a id="pl.49.13"></a><var>49.13</var>subject to the following:<br/>
<a id="pl.49.14"></a><var>49.14</var>(1) the Teachers Retirement Association is not liable for any claim against the <br/>
<a id="pl.49.15"></a><var>49.15</var>Duluth Teachers Retirement Fund Association, its former board or board members, which <br/>
<a id="pl.49.16"></a><var>49.16</var>is founded upon a claim of breach of fiduciary duty, where the act or acts constituting the <br/>
<a id="pl.49.17"></a><var>49.17</var>claimed breach were not done in good faith;<br/>
<a id="pl.49.18"></a><var>49.18</var>(2) the Teachers Retirement Association may assert any applicable defense to <br/>
<a id="pl.49.19"></a><var>49.19</var>any claim in any judicial or administrative proceeding that the former Duluth Teachers <br/>
<a id="pl.49.20"></a><var>49.20</var>Retirement Fund Association or its board would otherwise have been entitled to assert;<br/>
<a id="pl.49.21"></a><var>49.21</var>(3) the Teachers Retirement Association may assert any applicable defense that it <br/>
<a id="pl.49.22"></a><var>49.22</var>may assert in its capacity as a statewide agency; and<br/>
<a id="pl.49.23"></a><var>49.23</var>(4) the Teachers Retirement Association shall indemnify any former fiduciary of the <br/>
<a id="pl.49.24"></a><var>49.24</var>Duluth Teachers Retirement Fund Association consistent with section 
<statute_ref>356A.11</statute_ref>.<br/>
<a id="pl.49.25"></a><var>49.25</var>    Subd. 3. <b>Benefit calculation.</b> (a) For every deferred, inactive, disabled, and <br/>
<a id="pl.49.26"></a><var>49.26</var>retired member of the Duluth Teachers Retirement Fund Association transferred under <br/>
<a id="pl.49.27"></a><var>49.27</var>subdivision 1, and the survivors of these members, annuities or benefits earned before July <br/>
<a id="pl.49.28"></a><var>49.28</var>1, 2015, other than future postretirement adjustments, must be calculated and paid by the <br/>
<a id="pl.49.29"></a><var>49.29</var>Teachers Retirement Association under the laws, articles of incorporation, and bylaws of <br/>
<a id="pl.49.30"></a><var>49.30</var>the former Duluth Teachers Retirement Fund Association that were in effect relative to <br/>
<a id="pl.49.31"></a><var>49.31</var>the person on the date of the person's termination of active service covered by the former <br/>
<a id="pl.49.32"></a><var>49.32</var>Duluth Teachers Retirement Fund Association.<br/>
<a id="pl.49.33"></a><var>49.33</var>(b) Former Duluth Teachers Retirement Fund Association members who retired <br/>
<a id="pl.49.34"></a><var>49.34</var>before July 1, 2015, must receive postretirement adjustments after January 1, 2015, only <br/>
<a id="pl.49.35"></a><var>49.35</var>as provided in section 
<statute_ref>356.415</statute_ref>. All other benefit recipients of the former Duluth Teachers <br/>
<a id="pl.50.1"></a><var>50.1</var>Retirement Fund Association must receive postretirement adjustments after December 31, <br/>
<a id="pl.50.2"></a><var>50.2</var>2015, only as provided in section 
<statute_ref>356.415</statute_ref>.<br/>
<a id="pl.50.3"></a><var>50.3</var>(c) This consolidation does not impair or diminish benefits for an active, deferred, <br/>
<a id="pl.50.4"></a><var>50.4</var>or retired member or a survivor of an active, deferred, or retired member under the <br/>
<a id="pl.50.5"></a><var>50.5</var>former Duluth Teachers Retirement Fund Association in existence at the time of the <br/>
<a id="pl.50.6"></a><var>50.6</var>consolidation, except that any future postretirement adjustments must be paid after July 1, <br/>
<a id="pl.50.7"></a><var>50.7</var>2015, in accordance with paragraph (b), and all benefits based on service on or after July <br/>
<a id="pl.50.8"></a><var>50.8</var>1, 2015, must be determined only by laws governing the Teachers Retirement Association.<br/>
<br/>
<a id="bill.6.11.0"></a><a id="pl.50.9"></a><var>50.9</var>    Sec. 11. Minnesota Statutes 2012, section 354A.011, subdivision 11, is amended to read:<br/>
<a id="pl.50.10"></a><var>50.10</var>    Subd. 11. <b>Coordinated member.</b> "Coordinated member" means any member of the <br/>
<a id="pl.50.11"></a><var>50.11</var>teachers retirement fund association who is covered by any agreement or modification <br/>
<a id="pl.50.12"></a><var>50.12</var>made between the state and the Secretary of Health, Education and Welfare making the <br/>
<a id="pl.50.13"></a><var>50.13</var>provisions of the federal Old Age, Survivors and Disability Insurance Act applicable <br/>
<a id="pl.50.14"></a><var>50.14</var>to certain teachers except in the case of a member of the Duluth Teachers Retirement <br/>
<a id="pl.50.15"></a><var>50.15</var>Fund Association, in which it means additionally that the member either first became a <br/>
<a id="pl.50.16"></a><var>50.16</var>member prior to July 1, 1981, and elected to be covered by the new law coordinated <br/>
<a id="pl.50.17"></a><var>50.17</var>program of the Duluth Teachers Retirement Fund Association or first became a member <br/>
<a id="pl.50.18"></a><var>50.18</var>on or subsequent to July 1, 1981.<br/>
<br/>
<a id="bill.6.12.0"></a><a id="pl.50.19"></a><var>50.19</var>    Sec. 12. Minnesota Statutes 2012, section 354A.011, subdivision 15a, is amended to <br/>
<a id="pl.50.20"></a><var>50.20</var>read:<br/>
<a id="pl.50.21"></a><var>50.21</var>    Subd. 15a. <b>Normal retirement age.</b> "Normal retirement age" means age 65 for a <br/>
<a id="pl.50.22"></a><var>50.22</var>person who first became a member of the coordinated program of the St. Paul Teachers <br/>
<a id="pl.50.23"></a><var>50.23</var>Retirement Fund Association or the new law coordinated program of the Duluth Teachers <br/>
<a id="pl.50.24"></a><var>50.24</var>Retirement Fund Association or a member of a pension fund listed in section 
         <statute_ref>356.30, <br/>
<a id="pl.50.25"></a><var>50.25</var>subdivision 3
         </statute_ref>, before July 1, 1989. For a person who first became a member of the <br/>
<a id="pl.50.26"></a><var>50.26</var>coordinated program of the St. Paul Teachers Retirement Fund Association or the new law <br/>
<a id="pl.50.27"></a><var>50.27</var>coordinated program of the Duluth Teachers Retirement Fund Association after June 30, <br/>
<a id="pl.50.28"></a><var>50.28</var>1989, normal retirement age means the higher of age 65 or retirement age, as defined in <br/>
<a id="pl.50.29"></a><var>50.29</var>United States Code, title 42, section 416(l), as amended, but not to exceed age 66. For a <br/>
<a id="pl.50.30"></a><var>50.30</var>person who is a member of the basic program of the St. Paul Teachers Retirement Fund <br/>
<a id="pl.50.31"></a><var>50.31</var>Association or the old law coordinated program of the Duluth Teachers Retirement Fund <br/>
<a id="pl.50.32"></a><var>50.32</var>Association, normal retirement age means the age at which a teacher becomes eligible for <br/>
<a id="pl.50.33"></a><var>50.33</var>a normal retirement annuity computed upon meeting the age and service requirements <br/>
<a id="pl.51.1"></a><var>51.1</var>specified in the applicable provisions of the articles of incorporation or bylaws of the <br/>
<a id="pl.51.2"></a><var>51.2</var>respective teachers retirement fund association.<br/>
<br/>
<a id="bill.6.13.0"></a><a id="pl.51.3"></a><var>51.3</var>    Sec. 13. Minnesota Statutes 2012, section 354A.011, subdivision 27, is amended to read:<br/>
<a id="pl.51.4"></a><var>51.4</var>    Subd. 27. <b>Teacher.</b> (a) "Teacher" means any person who renders service for a public <br/>
<a id="pl.51.5"></a><var>51.5</var>school district, other than a charter school, located in the corporate limits of Duluth or<br/>
<a id="pl.51.6"></a><var>51.6</var> St. Paul, as any of the following:<br/>
<a id="pl.51.7"></a><var>51.7</var>(1) a full-time employee in a position for which a valid license from the state <br/>
<a id="pl.51.8"></a><var>51.8</var>Department of Education is required;<br/>
<a id="pl.51.9"></a><var>51.9</var>(2) an employee of the teachers retirement fund association located in the city of the <br/>
<a id="pl.51.10"></a><var>51.10</var>first class St. Paul;<br/>
<a id="pl.51.11"></a><var>51.11</var>(3) a part-time employee in a position for which a valid license from the state <br/>
<a id="pl.51.12"></a><var>51.12</var>Department of Education is required; or<br/>
<a id="pl.51.13"></a><var>51.13</var>(4) a part-time employee in a position for which a valid license from the state <br/>
<a id="pl.51.14"></a><var>51.14</var>Department of Education is required who also renders other nonteaching services for the <br/>
<a id="pl.51.15"></a><var>51.15</var>school district, unless the board of trustees of the teachers retirement fund association <br/>
<a id="pl.51.16"></a><var>51.16</var>determines that the combined employment is on the whole so substantially dissimilar to <br/>
<a id="pl.51.17"></a><var>51.17</var>teaching service that the service may not be covered by the association.<br/>
<a id="pl.51.18"></a><var>51.18</var>(b) The term does not mean any person who renders service in the school district <br/>
<a id="pl.51.19"></a><var>51.19</var>as any of the following:<br/>
<a id="pl.51.20"></a><var>51.20</var>(1) an independent contractor or the employee of an independent contractor;<br/>
<a id="pl.51.21"></a><var>51.21</var>(2) an employee who is a full-time teacher covered by the Teachers Retirement <br/>
<a id="pl.51.22"></a><var>51.22</var>Association or by another teachers retirement fund association established pursuant to <br/>
<a id="pl.51.23"></a><var>51.23</var>this chapter or under chapter 354;<br/>
<a id="pl.51.24"></a><var>51.24</var>(3) an employee who is exempt from licensure pursuant to section 
         <statute_ref>122A.30</statute_ref>;<br/>
<a id="pl.51.25"></a><var>51.25</var>(4) an employee who is a teacher in a technical college located in a city of the first <br/>
<a id="pl.51.26"></a><var>51.26</var>class unless the person elects coverage by the applicable first class city teacher retirement <br/>
<a id="pl.51.27"></a><var>51.27</var>fund association under section 
         <statute_ref>354B.21, subdivision 2</statute_ref>;<br/>
<a id="pl.51.28"></a><var>51.28</var>(5) a teacher employed by a charter school, irrespective of the location of the <br/>
<a id="pl.51.29"></a><var>51.29</var>school; or<br/>
<a id="pl.51.30"></a><var>51.30</var>(6) an employee who is a part-time teacher in a technical college in a the city of the <br/>
<a id="pl.51.31"></a><var>51.31</var>first class St. Paul and who has elected coverage by the applicable first class city teacher <br/>
<a id="pl.51.32"></a><var>51.32</var>retirement fund association under section 
         <statute_ref>354B.21, subdivision 2</statute_ref>, but (i) the teaching <br/>
<a id="pl.51.33"></a><var>51.33</var>service is incidental to the regular nonteaching occupation of the person; (ii) the applicable <br/>
<a id="pl.51.34"></a><var>51.34</var>technical college stipulates annually in advance that the part-time teaching service will not <br/>
<a id="pl.52.1"></a><var>52.1</var>exceed 300 hours in a fiscal year; and (iii) the part-time teaching actually does not exceed <br/>
<a id="pl.52.2"></a><var>52.2</var>300 hours in the fiscal year to which the certification applies.<br/>
<br/>
<a id="bill.6.14.0"></a><a id="pl.52.3"></a><var>52.3</var>    Sec. 14. Minnesota Statutes 2012, section 354A.021, subdivision 1, is amended to read:<br/>
<a id="pl.52.4"></a><var>52.4</var>    Subdivision 1. <b>Establishment.</b> There is established a teachers retirement fund <br/>
<a id="pl.52.5"></a><var>52.5</var>association in each of the cities city of Duluth and St. Paul. The associations shall be<br/>
<a id="pl.52.6"></a><var>52.6</var> association is known respectively as the "Duluth Teachers Retirement Fund Association" <br/>
<a id="pl.52.7"></a><var>52.7</var>and the "St. Paul Teachers Retirement Fund Association." Each The association shall be<br/>
<a id="pl.52.8"></a><var>52.8</var> is a continuation of the teachers retirement fund association with the same corporate <br/>
<a id="pl.52.9"></a><var>52.9</var>name established pursuant to under the authorization contained in Laws 1909, chapter <br/>
<a id="pl.52.10"></a><var>52.10</var>343, section 1.<br/>
<br/>
<a id="bill.6.15.0"></a><a id="pl.52.11"></a><var>52.11</var>    Sec. 15. <b>[354A.022] AUTHORIZATION TO CERTIFY FUNDS TO STATE </b><br/>
<a id="pl.52.12"></a><var>52.12</var><b>BOARD OF INVESTMENT.</b><br/>
<a id="pl.52.13"></a><var>52.13</var>    Subdivision 1. <b>Certification of funds to State Board of Investment.</b> The chief <br/>
<a id="pl.52.14"></a><var>52.14</var>administrative officer of the Duluth Teachers Retirement Fund Association, from time <br/>
<a id="pl.52.15"></a><var>52.15</var>to time, may certify to the State Board of Investment those portions of the assets of the <br/>
<a id="pl.52.16"></a><var>52.16</var>retirement plan that are not needed for administrative expenses or benefit payments. <br/>
<a id="pl.52.17"></a><var>52.17</var>Assets certified to the State Board of Investment must be invested under sections 11A.14 <br/>
<a id="pl.52.18"></a><var>52.18</var>and 11A.23. The chief administrative officer of the Duluth Teachers Retirement Fund <br/>
<a id="pl.52.19"></a><var>52.19</var>Association may certify assets for withdrawal from the State Board of Investment only <br/>
<a id="pl.52.20"></a><var>52.20</var>to make benefit payments or to pay administrative expenses or investment expenses of <br/>
<a id="pl.52.21"></a><var>52.21</var>existing direct real estate holdings or assets that are noncompliant with State Board of <br/>
<a id="pl.52.22"></a><var>52.22</var>Investment objectives or limitations.<br/>
<a id="pl.52.23"></a><var>52.23</var>    Subd. 2. <b>Investment of certified funds.</b> Assets certified to the State Board of <br/>
<a id="pl.52.24"></a><var>52.24</var>Investment are deemed to be from a covered retirement fund required to be invested by <br/>
<a id="pl.52.25"></a><var>52.25</var>the State Board of Investment under section 11A.23.<br/>
<a id="pl.52.26"></a><var>52.26</var>    Subd. 3. <b>Expiration.</b> This section expires June 30, 2015, if the consolidation <br/>
<a id="pl.52.27"></a><var>52.27</var>provisions receive the local approvals in section 49 and all other requirements of section <br/>
<a id="pl.52.28"></a><var>52.28</var>49 are met.<br/>
<br/>
<a id="bill.6.16.0"></a><a id="pl.52.29"></a><var>52.29</var>    Sec. 16. Minnesota Statutes 2012, section 354A.092, is amended to read:<br/>
<a id="pl.52.30"></a><var>52.30</var><b>354A.092 SABBATICAL LEAVE.</b><br/>
<a id="pl.52.31"></a><var>52.31</var>Any teacher in the coordinated program of the St. Paul Teachers Retirement Fund <br/>
<a id="pl.52.32"></a><var>52.32</var>Association or any teacher in the new law coordinated program of the Duluth Teachers <br/>
<a id="pl.52.33"></a><var>52.33</var>Retirement Fund Association who is granted a sabbatical leave shall be is entitled to <br/>
<a id="pl.53.1"></a><var>53.1</var>receive allowable service credit in the applicable association for periods of sabbatical <br/>
<a id="pl.53.2"></a><var>53.2</var>leave. To obtain the service credit, the teacher on sabbatical leave shall make an employee <br/>
<a id="pl.53.3"></a><var>53.3</var>contribution to the applicable association. No teacher shall be is entitled to receive more <br/>
<a id="pl.53.4"></a><var>53.4</var>than three years of allowable service credit pursuant to under this section for a period or <br/>
<a id="pl.53.5"></a><var>53.5</var>periods of sabbatical leave during any ten consecutive fiscal or calendar years, whichever is <br/>
<a id="pl.53.6"></a><var>53.6</var>the applicable plan year for the teachers retirement fund association. If the teacher granted a <br/>
<a id="pl.53.7"></a><var>53.7</var>sabbatical leave makes the employee contribution for a period of sabbatical leave pursuant <br/>
<a id="pl.53.8"></a><var>53.8</var>to under this section, the employing unit shall make an employer contribution on behalf of <br/>
<a id="pl.53.9"></a><var>53.9</var>the teacher to the applicable association for that period of sabbatical leave in the manner <br/>
<a id="pl.53.10"></a><var>53.10</var>described in section 
         <statute_ref>354A.12, subdivision 2a</statute_ref>. The employee and employer contributions <br/>
<a id="pl.53.11"></a><var>53.11</var>shall must be in an amount equal to the employee and employer contribution rates in effect <br/>
<a id="pl.53.12"></a><var>53.12</var>for other active members of the association covered by the same program applied to a salary <br/>
<a id="pl.53.13"></a><var>53.13</var>figure equal to the teacher's actual covered salary for the plan year immediately preceding <br/>
<a id="pl.53.14"></a><var>53.14</var>the sabbatical leave period. Payment of the employee contribution authorized pursuant <br/>
<a id="pl.53.15"></a><var>53.15</var>to under this section shall must be made by the teacher on or before June 30 of year <br/>
<a id="pl.53.16"></a><var>53.16</var>next following the year in which the sabbatical leave terminated and shall must be made <br/>
<a id="pl.53.17"></a><var>53.17</var>without interest. For sabbatical leaves taken after June 30, 1986, the required employer <br/>
<a id="pl.53.18"></a><var>53.18</var>contributions shall must be paid by the employing unit within 30 days after notification by <br/>
<a id="pl.53.19"></a><var>53.19</var>the association of the amount due. If the employee contributions for the sabbatical leave <br/>
<a id="pl.53.20"></a><var>53.20</var>period are less than an amount equal to the applicable contribution rate applied to a salary <br/>
<a id="pl.53.21"></a><var>53.21</var>figure equal to the teacher's actual covered salary for the plan year immediately preceding <br/>
<a id="pl.53.22"></a><var>53.22</var>the sabbatical leave period, service credit shall must be prorated. The prorated service <br/>
<a id="pl.53.23"></a><var>53.23</var>credit shall must be determined by the ratio between the amount of the actual payment <br/>
<a id="pl.53.24"></a><var>53.24</var>which was made and the full contribution amount payable pursuant to under this section.<br/>
<br/>
<a id="bill.6.17.0"></a><a id="pl.53.25"></a><var>53.25</var>    Sec. 17. Minnesota Statutes 2012, section 354A.093, subdivision 1, is amended to read:<br/>
<a id="pl.53.26"></a><var>53.26</var>    Subdivision 1. <b>Eligibility.</b> Any teacher in the coordinated program of the St. Paul <br/>
<a id="pl.53.27"></a><var>53.27</var>Teachers Retirement Fund Association or any teacher in the new law coordinated program <br/>
<a id="pl.53.28"></a><var>53.28</var>of the Duluth Teachers Retirement Fund Association who is absent from employment by <br/>
<a id="pl.53.29"></a><var>53.29</var>reason of service in the uniformed services as defined in United States Code, title 38, <br/>
<a id="pl.53.30"></a><var>53.30</var>section 4303(13) and who returns to the employer providing active teaching service upon <br/>
<a id="pl.53.31"></a><var>53.31</var>discharge from uniformed service within the time frames required under United States <br/>
<a id="pl.53.32"></a><var>53.32</var>Code, title 38, section 4312(e), may receive allowable service credit in the applicable<br/>
<a id="pl.53.33"></a><var>53.33</var> association for all or a portion of the period of uniformed service, provided that the teacher <br/>
<a id="pl.53.34"></a><var>53.34</var>did not separate from uniformed service with a dishonorable or bad conduct discharge <br/>
<a id="pl.53.35"></a><var>53.35</var>or under other than honorable conditions.<br/>
<br/>
<a id="bill.6.18.0"></a><a id="pl.54.1"></a><var>54.1</var>    Sec. 18. Minnesota Statutes 2012, section 354A.096, is amended to read:<br/>
<a id="pl.54.2"></a><var>54.2</var><b>354A.096 MEDICAL LEAVE.</b><br/>
<a id="pl.54.3"></a><var>54.3</var>Any teacher in the coordinated program of the St. Paul Teachers Retirement Fund <br/>
<a id="pl.54.4"></a><var>54.4</var>Association or the new law coordinated program of the Duluth Teachers Retirement Fund <br/>
<a id="pl.54.5"></a><var>54.5</var>Association who is on an authorized medical leave of absence and subsequently returns to <br/>
<a id="pl.54.6"></a><var>54.6</var>teaching service is entitled to receive allowable service credit, not to exceed one year, for <br/>
<a id="pl.54.7"></a><var>54.7</var>the period of leave, upon making the prescribed payment to the fund. This payment must <br/>
<a id="pl.54.8"></a><var>54.8</var>include the required employee and employer contributions at the rates specified in section <br/>
<statute_ref><a id="pl.54.9"></a><var>54.9</var>354A.12
         </statute_ref>, subdivisions 1 and 2a, as applied to the member's average full-time monthly <br/>
<a id="pl.54.10"></a><var>54.10</var>salary rate on the date the leave of absence commenced plus annual interest at the rate of <br/>
<a id="pl.54.11"></a><var>54.11</var>8.5 percent per year from the end of the fiscal year during which the leave terminates to the <br/>
<a id="pl.54.12"></a><var>54.12</var>end of the month during which payment is made. The member must pay the total amount <br/>
<a id="pl.54.13"></a><var>54.13</var>required unless the employing unit, at its option, pays the employer contributions. The total <br/>
<a id="pl.54.14"></a><var>54.14</var>amount required must be paid by the end of the fiscal year following the fiscal year in which <br/>
<a id="pl.54.15"></a><var>54.15</var>the leave of absence terminated or before the member retires, whichever is earlier. Payment <br/>
<a id="pl.54.16"></a><var>54.16</var>must be accompanied by a copy of the resolution or action of the employing authority <br/>
<a id="pl.54.17"></a><var>54.17</var>granting the leave and the employing authority, upon granting the leave, must certify the <br/>
<a id="pl.54.18"></a><var>54.18</var>leave to the association in a manner specified by the executive director. A member may not <br/>
<a id="pl.54.19"></a><var>54.19</var>receive more than one year of allowable service credit during any fiscal year by making <br/>
<a id="pl.54.20"></a><var>54.20</var>payment under this section. A member may not receive disability benefits under section <br/>
<statute_ref><a id="pl.54.21"></a><var>54.21</var>354A.36
         </statute_ref> and receive allowable service credit under this section for the same period of time.<br/>
<br/>
<a id="bill.6.19.0"></a><a id="pl.54.22"></a><var>54.22</var>    Sec. 19. Minnesota Statutes 2013 Supplement, section 354A.12, subdivision 1, is <br/>
<a id="pl.54.23"></a><var>54.23</var>amended to read:<br/>
<a id="pl.54.24"></a><var>54.24</var>    Subdivision 1. <b>Employee contributions.</b> (a) The contribution required to be paid <br/>
<a id="pl.54.25"></a><var>54.25</var>by each member of a the St. Paul Teachers Retirement Fund Association is the percentage <br/>
<a id="pl.54.26"></a><var>54.26</var>of total salary specified below for the applicable association and program:<br/>
<table>
<col width="50px"/>
<col width="7.5"/>
<col width="36"/>
<col width="21.5"/>
<tr>
<td><a id="pl.54.27"></a><var>54.27</var><br/>
</td>
<td></td>
<td>Association and Program<br/>
</td>
<td>Percentage of Total Salary<br/>
</td>
</tr>
<tr>
<td><a id="pl.54.28"></a><var>54.28</var><br/>
</td>
<td colspan="2">Duluth Teachers Retirement Fund Association<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.54.29"></a><var>54.29</var><br/>
</td>
<td></td>
<td>old law and new law<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.54.30"></a><var>54.30</var><br/>
</td>
<td></td>
<td>coordinated programs<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.54.31"></a><var>54.31</var><br/>
</td>
<td></td>
<td>before July 1,  2013<br/>
</td>
<td> 6.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.54.32"></a><var>54.32</var><br/>
</td>
<td></td>
<td>effective July 1,  2013<br/>
</td>
<td> 7.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.54.33"></a><var>54.33</var><br/>
</td>
<td></td>
<td>effective July 1,  2014<br/>
</td>
<td> 7.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.54.34"></a><var>54.34</var><br/>
</td>
<td colspan="2">St. Paul Teachers Retirement Fund Association<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.54.35"></a><var>54.35</var><br/>
</td>
<td></td>
<td>basic program after June 30, 2012<br/>
</td>
<td>8.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.54.36"></a><var>54.36</var><br/>
</td>
<td></td>
<td>basic program after June 30, 2013<br/>
</td>
<td>8.75 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.1"></a><var>55.1</var><br/>
</td>
<td></td>
<td>basic program after June 30, 2014<br/>
</td>
<td>9.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.2"></a><var>55.2</var><br/>
</td>
<td></td>
<td>basic program after June 30, 2015<br/>
</td>
<td>9.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.3"></a><var>55.3</var><br/>
</td>
<td></td>
<td>basic program after June 30, 2016<br/>
</td>
<td>10.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.4"></a><var>55.4</var><br/>
</td>
<td></td>
<td>coordinated program after June 30, 2012<br/>
</td>
<td>6.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.5"></a><var>55.5</var><br/>
</td>
<td></td>
<td>coordinated program after June 30, 2013<br/>
</td>
<td>6.25 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.6"></a><var>55.6</var><br/>
</td>
<td></td>
<td>coordinated program after June 30, 2014<br/>
</td>
<td>6.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.7"></a><var>55.7</var><br/>
</td>
<td></td>
<td>coordinated program after June 30, 2015<br/>
</td>
<td>7.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.8"></a><var>55.8</var><br/>
</td>
<td></td>
<td>coordinated program after June 30, 2016<br/>
</td>
<td>7.5 percent<br/>
</td>
</tr>
</table><a id="pl.55.9"></a><var>55.9</var>(b) Contributions shall must be made by deduction from salary and must be remitted <br/>
<a id="pl.55.10"></a><var>55.10</var>directly to the respective St. Paul Teachers Retirement Fund Association at least once <br/>
<a id="pl.55.11"></a><var>55.11</var>each month.<br/>
<a id="pl.55.12"></a><var>55.12</var>(c) When an employee contribution rate changes for a fiscal year, the new <br/>
<a id="pl.55.13"></a><var>55.13</var>contribution rate is effective for the entire salary paid by the employer with the first <br/>
<a id="pl.55.14"></a><var>55.14</var>payroll cycle reported.<br/>
<br/>
<a id="bill.6.20.0"></a><a id="pl.55.15"></a><var>55.15</var>    Sec. 20. Minnesota Statutes 2012, section 354A.12, subdivision 2, is amended to read:<br/>
<a id="pl.55.16"></a><var>55.16</var>    Subd. 2. <b>Retirement contribution levy disallowed.</b> Except as provided in <br/>
<a id="pl.55.17"></a><var>55.17</var>section 
         <statute_ref>423A.02, subdivision 3</statute_ref>, with respect to Independent School District No. 625, <br/>
<a id="pl.55.18"></a><var>55.18</var>notwithstanding any law to the contrary, levies for the St. Paul Teachers Retirement Fund <br/>
<a id="pl.55.19"></a><var>55.19</var>associations in the cities of Duluth and St. Paul Association, including levies for any <br/>
<a id="pl.55.20"></a><var>55.20</var>employer Social Security taxes for teachers covered by the Duluth Teachers Retirement <br/>
<a id="pl.55.21"></a><var>55.21</var>Fund Association or the St. Paul Teachers Retirement Fund Association, are disallowed.<br/>
<br/>
<a id="bill.6.21.0"></a><a id="pl.55.22"></a><var>55.22</var>    Sec. 21. Minnesota Statutes 2013 Supplement, section 354A.12, subdivision 2a, <br/>
<a id="pl.55.23"></a><var>55.23</var>is amended to read:<br/>
<a id="pl.55.24"></a><var>55.24</var>    Subd. 2a. <b>Employer regular and additional contributions.</b> (a) The employing <br/>
<a id="pl.55.25"></a><var>55.25</var>units shall make the following employer contributions to the teachers retirement fund <br/>
<a id="pl.55.26"></a><var>55.26</var>associations association:<br/>
<a id="pl.55.27"></a><var>55.27</var>(1) for any coordinated member of one of the following St. Paul Teachers <br/>
<a id="pl.55.28"></a><var>55.28</var>Retirement Fund associations in a city of the first class Association, the employing unit <br/>
<a id="pl.55.29"></a><var>55.29</var>shall make a regular employer contribution to the respective retirement fund association in <br/>
<a id="pl.55.30"></a><var>55.30</var>an amount equal to the designated percentage of the salary of the coordinated member <br/>
<a id="pl.55.31"></a><var>55.31</var>as provided below:<br/>
<table>
<col width="50px"/>
<col width="7.5"/>
<col width="36"/>
<col width="21.5"/>
<tr>
<td><a id="pl.55.32"></a><var>55.32</var><br/>
</td>
<td colspan="2">Duluth Teachers Retirement Fund Association<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.55.33"></a><var>55.33</var><br/>
</td>
<td></td>
<td>before July 1,  2013<br/>
</td>
<td> 6.79 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.34"></a><var>55.34</var><br/>
</td>
<td></td>
<td>effective July 1,  2013<br/>
</td>
<td> 7.29 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.55.35"></a><var>55.35</var><br/>
</td>
<td></td>
<td>effective July 1,  2014<br/>
</td>
<td> 7.50 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.1"></a><var>56.1</var><br/>
</td>
<td colspan="2">St. Paul Teachers Retirement Fund Association<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.56.2"></a><var>56.2</var><br/>
</td>
<td></td>
<td>after June 30, 2012<br/>
</td>
<td>5.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.3"></a><var>56.3</var><br/>
</td>
<td></td>
<td>after June 30, 2013<br/>
</td>
<td>5.25 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.4"></a><var>56.4</var><br/>
</td>
<td></td>
<td>after June 30, 2014<br/>
</td>
<td>5.5 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.5"></a><var>56.5</var><br/>
</td>
<td></td>
<td>after June 30, 2015<br/>
</td>
<td>6.0 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.6"></a><var>56.6</var><br/>
</td>
<td></td>
<td>after June 30, 2016<br/>
</td>
<td>6.25 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.7"></a><var>56.7</var><br/>
</td>
<td></td>
<td>after June 30, 2017<br/>
</td>
<td>6.5 percent<br/>
</td>
</tr>
</table><a id="pl.56.8"></a><var>56.8</var>(2) for any basic member of the St. Paul Teachers Retirement Fund Association, the <br/>
<a id="pl.56.9"></a><var>56.9</var>employing unit shall make a regular employer contribution to the respective retirement <br/>
<a id="pl.56.10"></a><var>56.10</var>fund in an amount according to the schedule below:<br/>
<table>
<col width="50px"/>
<col width="7.5"/>
<col width="27.5"/>
<col width="31"/>
<tr>
<td><a id="pl.56.11"></a><var>56.11</var><br/>
</td>
<td></td>
<td>after June 30, 2012<br/>
</td>
<td>8.5 percent of salary<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.12"></a><var>56.12</var><br/>
</td>
<td></td>
<td>after June 30, 2013<br/>
</td>
<td>8.75 percent of salary<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.13"></a><var>56.13</var><br/>
</td>
<td></td>
<td>after June 30, 2014<br/>
</td>
<td>9.0 percent of salary<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.14"></a><var>56.14</var><br/>
</td>
<td></td>
<td>after June 30, 2015<br/>
</td>
<td>9.5 percent of salary<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.15"></a><var>56.15</var><br/>
</td>
<td></td>
<td>after June 30, 2016<br/>
</td>
<td>9.75 percent of salary<br/>
</td>
</tr>
<tr>
<td><a id="pl.56.16"></a><var>56.16</var><br/>
</td>
<td></td>
<td>after June 30, 2017<br/>
</td>
<td>10.0 percent of salary<br/>
</td>
</tr>
</table><a id="pl.56.17"></a><var>56.17</var>(3) for a basic member of the St. Paul Teachers Retirement Fund Association, the <br/>
<a id="pl.56.18"></a><var>56.18</var>employing unit shall make an additional employer contribution to the respective fund in <br/>
<a id="pl.56.19"></a><var>56.19</var>an amount equal to 3.64 percent of the salary of the basic member;<br/>
<a id="pl.56.20"></a><var>56.20</var>(4) for a coordinated member of the St. Paul Teachers Retirement Fund Association, <br/>
<a id="pl.56.21"></a><var>56.21</var>the employing unit shall make an additional employer contribution to the respective fund <br/>
<a id="pl.56.22"></a><var>56.22</var>in an amount equal to the applicable percentage 3.84 percent of the coordinated member's <br/>
<a id="pl.56.23"></a><var>56.23</var>salary, as provided below:.<br/>
<table>
<col width="50px"/>
<col width="42.5"/>
<col width="21.5"/>
<tr>
<td><a id="pl.56.24"></a><var>56.24</var><br/>
</td>
<td>St. Paul Teachers Retirement Fund Association<br/>
</td>
<td>3.84 percent<br/>
</td>
</tr>
</table><a id="pl.56.25"></a><var>56.25</var>(b) The regular and additional employer contributions must be remitted directly to <br/>
<a id="pl.56.26"></a><var>56.26</var>the respective St. Paul Teachers Retirement Fund Association at least once each month. <br/>
<a id="pl.56.27"></a><var>56.27</var>Delinquent amounts are payable with interest under the procedure in subdivision 1a.<br/>
<a id="pl.56.28"></a><var>56.28</var>(c) Payments of regular and additional employer contributions for school district <br/>
<a id="pl.56.29"></a><var>56.29</var>or technical college employees who are paid from normal operating funds must be made <br/>
<a id="pl.56.30"></a><var>56.30</var>from the appropriate fund of the district or technical college.<br/>
<a id="pl.56.31"></a><var>56.31</var>(d) When an employer contribution rate changes for a fiscal year, the new <br/>
<a id="pl.56.32"></a><var>56.32</var>contribution rate is effective for the entire salary paid by the employer with the first <br/>
<a id="pl.56.33"></a><var>56.33</var>payroll cycle reported.<br/>
<br/>
<a id="bill.6.22.0"></a><a id="pl.56.34"></a><var>56.34</var>    Sec. 22. Minnesota Statutes 2013 Supplement, section 354A.12, subdivision 3a, <br/>
<a id="pl.56.35"></a><var>56.35</var>is amended to read:<br/>
<a id="pl.57.1"></a><var>57.1</var>    Subd. 3a. <b>Special direct state aid to first class city teachers retirement fund </b><br/>
<a id="pl.57.2"></a><var>57.2</var><b>associations.</b> (a) The state shall pay $346,000 as special direct state aid to the Duluth <br/>
<a id="pl.57.3"></a><var>57.3</var>Teachers Retirement Fund Association and $2,827,000 to the St. Paul Teachers Retirement <br/>
<a id="pl.57.4"></a><var>57.4</var>Fund Association.<br/>
<a id="pl.57.5"></a><var>57.5</var>    (b) The aids aid under this subdivision are is payable October 1 annually. The <br/>
<a id="pl.57.6"></a><var>57.6</var>commissioner of management and budget shall pay the aids aid specified in this <br/>
<a id="pl.57.7"></a><var>57.7</var>subdivision. The amounts amount required are is appropriated annually from the general <br/>
<a id="pl.57.8"></a><var>57.8</var>fund to the commissioner of management and budget.<br/>
<br/>
<a id="bill.6.23.0"></a><a id="pl.57.9"></a><var>57.9</var>    Sec. 23. Minnesota Statutes 2012, section 354A.31, subdivision 1, is amended to read:<br/>
<a id="pl.57.10"></a><var>57.10</var>    Subdivision 1. <b>Age and service requirements.</b> Any coordinated member or former <br/>
<a id="pl.57.11"></a><var>57.11</var>coordinated member of the Duluth Teachers Retirement Fund Association or of the St. <br/>
<a id="pl.57.12"></a><var>57.12</var>Paul Teachers Retirement Fund Association who has ceased to render teaching service for <br/>
<a id="pl.57.13"></a><var>57.13</var>the Independent School District in which the teachers retirement fund association exists<br/>
<a id="pl.57.14"></a><var>57.14</var> No. 625, who is vested and who has either attained the age of at least 55 years or received <br/>
<a id="pl.57.15"></a><var>57.15</var>credit for not less than 30 years of allowable service regardless of age, shall be is entitled <br/>
<a id="pl.57.16"></a><var>57.16</var>upon written application to a retirement annuity.<br/>
<br/>
<a id="bill.6.24.0"></a><a id="pl.57.17"></a><var>57.17</var>    Sec. 24. Minnesota Statutes 2012, section 354A.32, subdivision 1, is amended to read:<br/>
<a id="pl.57.18"></a><var>57.18</var>    Subdivision 1. <b>Optional forms generally.</b> The board of the St. Paul Teachers <br/>
<a id="pl.57.19"></a><var>57.19</var>Retirement Fund Association shall establish for the coordinated program and the board <br/>
<a id="pl.57.20"></a><var>57.20</var>of the Duluth Teachers Retirement Fund Association shall establish for the new law <br/>
<a id="pl.57.21"></a><var>57.21</var>coordinated program an optional retirement annuity which shall must take the form of <br/>
<a id="pl.57.22"></a><var>57.22</var>a joint and survivor annuity. Each The board may also, in its discretion, establish an <br/>
<a id="pl.57.23"></a><var>57.23</var>optional annuity which shall may take the form of an annuity payable for a period certain <br/>
<a id="pl.57.24"></a><var>57.24</var>and for life thereafter. Each The board shall also establish an optional retirement annuity <br/>
<a id="pl.57.25"></a><var>57.25</var>that guarantees payment of the balance of the annuity recipient's accumulated deductions <br/>
<a id="pl.57.26"></a><var>57.26</var>to a designated beneficiary upon the death of the annuity recipient. Except as provided in <br/>
<a id="pl.57.27"></a><var>57.27</var>subdivision 1a, the optional annuity forms shall must be the actuarial equivalent of the <br/>
<a id="pl.57.28"></a><var>57.28</var>normal forms provided in section 
         <statute_ref>354A.31</statute_ref>. In establishing these optional annuity forms, <br/>
<a id="pl.57.29"></a><var>57.29</var>the board shall obtain the written recommendation of the actuary retained under section <br/>
<statute_ref><a id="pl.57.30"></a><var>57.30</var>356.214
         </statute_ref>. The recommendation shall must be a part of the permanent records of the board.<br/>
<br/>
<a id="bill.6.25.0"></a><a id="pl.57.31"></a><var>57.31</var>    Sec. 25. Minnesota Statutes 2012, section 354A.35, subdivision 1, is amended to read:<br/>
<a id="pl.57.32"></a><var>57.32</var>    Subdivision 1. <b>Death before retirement; refund.</b> If a coordinated member or <br/>
<a id="pl.57.33"></a><var>57.33</var>former coordinated member dies prior to before retirement or prior to before the receipt <br/>
<a id="pl.58.1"></a><var>58.1</var>of any retirement annuity or other benefit payment which is or may be payable and a <br/>
<a id="pl.58.2"></a><var>58.2</var>surviving spouse optional annuity is not payable pursuant to under subdivision 2, a <br/>
<a id="pl.58.3"></a><var>58.3</var>refund shall must be paid to the person's surviving spouse, or if there is none, to the <br/>
<a id="pl.58.4"></a><var>58.4</var>person's designated beneficiary, or if there is none, to the legal representative of the <br/>
<a id="pl.58.5"></a><var>58.5</var>person's estate. For a coordinated member or former coordinated member of the St. Paul <br/>
<a id="pl.58.6"></a><var>58.6</var>Teachers Retirement Fund Association, the refund shall must be in an amount equal to the <br/>
<a id="pl.58.7"></a><var>58.7</var>person's accumulated employee contributions plus interest at the rate of six percent per <br/>
<a id="pl.58.8"></a><var>58.8</var>annum compounded annually. For a coordinated member or former coordinated member <br/>
<a id="pl.58.9"></a><var>58.9</var>of the Duluth Teachers Retirement Fund Association, the refund shall be in an amount <br/>
<a id="pl.58.10"></a><var>58.10</var>equal to the person's accumulated employee contributions plus interest at the rate of six <br/>
<a id="pl.58.11"></a><var>58.11</var>percent per annum compounded annually to July 1, 2010, and four percent per annum <br/>
<a id="pl.58.12"></a><var>58.12</var>compounded annually thereafter.<br/>
<br/>
<a id="bill.6.26.0"></a><a id="pl.58.13"></a><var>58.13</var>    Sec. 26. Minnesota Statutes 2012, section 354A.37, subdivision 3, is amended to read:<br/>
<a id="pl.58.14"></a><var>58.14</var>    Subd. 3. <b>Computation of refund amount.</b> A former coordinated member who <br/>
<a id="pl.58.15"></a><var>58.15</var>qualifies for a refund under subdivision 1 shall is entitled to receive a refund equal to the <br/>
<a id="pl.58.16"></a><var>58.16</var>amount of the former coordinated member's accumulated employee contributions with <br/>
<a id="pl.58.17"></a><var>58.17</var>interest at the rate of six percent per annum compounded annually to July 1, 2010, if the <br/>
<a id="pl.58.18"></a><var>58.18</var>person is a former member of the Duluth Teachers Retirement Fund Association, or to<br/>
<a id="pl.58.19"></a><var>58.19</var> July 1, 2011, if the person is a former member of the St. Paul Teachers Retirement Fund <br/>
<a id="pl.58.20"></a><var>58.20</var>Association, and four percent per annum compounded annually thereafter.<br/>
<br/>
<a id="bill.6.27.0"></a><a id="pl.58.21"></a><var>58.21</var>    Sec. 27. Minnesota Statutes 2012, section 354A.37, subdivision 4, is amended to read:<br/>
<a id="pl.58.22"></a><var>58.22</var>    Subd. 4. <b>Certain refunds at normal retirement age.</b> Any coordinated member <br/>
<a id="pl.58.23"></a><var>58.23</var>who has attained the normal retirement age with less than ten years of allowable service <br/>
<a id="pl.58.24"></a><var>58.24</var>credit and has terminated active teaching service shall be is entitled to a refund in lieu of a <br/>
<a id="pl.58.25"></a><var>58.25</var>proportionate annuity under section 
         <statute_ref>356.32</statute_ref>. The refund must be equal to the coordinated <br/>
<a id="pl.58.26"></a><var>58.26</var>member's accumulated employee contributions plus interest at the rate of six percent <br/>
<a id="pl.58.27"></a><var>58.27</var>compounded annually to July 1, 2010, if the person is a former member of the Duluth <br/>
<a id="pl.58.28"></a><var>58.28</var>Teachers Retirement Fund Association, or to July 1, 2011, if the person is a former <br/>
<a id="pl.58.29"></a><var>58.29</var>member of the St. Paul Teachers Retirement Fund Association, and four percent per <br/>
<a id="pl.58.30"></a><var>58.30</var>annum compounded annually thereafter.<br/>
<br/>
<a id="bill.6.28.0"></a><a id="pl.58.31"></a><var>58.31</var>    Sec. 28. Minnesota Statutes 2012, section 354A.39, is amended to read:<br/>
<a id="pl.58.32"></a><var>58.32</var><b>354A.39 SERVICE IN OTHER PUBLIC RETIREMENT FUNDS; ANNUITY.</b><br/>
<a id="pl.59.1"></a><var>59.1</var>Any person who has been a member of the Minnesota State Retirement System, the <br/>
<a id="pl.59.2"></a><var>59.2</var>Public Employees Retirement Association including the Public Employees Retirement <br/>
<a id="pl.59.3"></a><var>59.3</var>Association Police and Fire Fund, the Teachers Retirement Association, the Minnesota <br/>
<a id="pl.59.4"></a><var>59.4</var>State Patrol Retirement Association, the legislators retirement plan, the constitutional <br/>
<a id="pl.59.5"></a><var>59.5</var>officers retirement plan, the Duluth Teachers Retirement Fund Association new law <br/>
<a id="pl.59.6"></a><var>59.6</var>coordinated program, the St. Paul Teachers Retirement Fund Association coordinated <br/>
<a id="pl.59.7"></a><var>59.7</var>program, or any other public employee retirement system in the state of Minnesota <br/>
<a id="pl.59.8"></a><var>59.8</var>having a like provision, but excluding all other funds providing retirement benefits for <br/>
<a id="pl.59.9"></a><var>59.9</var>police officers or firefighters, is entitled, when qualified, to an annuity from each fund if <br/>
<a id="pl.59.10"></a><var>59.10</var>the person's total allowable service in all of the funds or in any two or more of the funds <br/>
<a id="pl.59.11"></a><var>59.11</var>totals three or more years, provided that no portion of the allowable service upon which <br/>
<a id="pl.59.12"></a><var>59.12</var>the retirement annuity from one fund is based is used again in the computation for a <br/>
<a id="pl.59.13"></a><var>59.13</var>retirement annuity from another fund and provided further that the person has not taken a <br/>
<a id="pl.59.14"></a><var>59.14</var>refund from any of funds or associations since the person's membership in the fund or <br/>
<a id="pl.59.15"></a><var>59.15</var>association has terminated. The annuity from each fund or association must be determined <br/>
<a id="pl.59.16"></a><var>59.16</var>by the appropriate provisions of the law governing each fund or association, except that <br/>
<a id="pl.59.17"></a><var>59.17</var>the requirement that a person must have at least three years of allowable service in the <br/>
<a id="pl.59.18"></a><var>59.18</var>respective fund or association does not apply for the purposes of this section, provided <br/>
<a id="pl.59.19"></a><var>59.19</var>that the aggregate service in two or more of these funds equals three or more years.<br/>
<br/>
<a id="bill.6.29.0"></a><a id="pl.59.20"></a><var>59.20</var>    Sec. 29. Minnesota Statutes 2012, section 354A.41, is amended to read:<br/>
<a id="pl.59.21"></a><var>59.21</var><b>354A.41 ADMINISTRATION OF COORDINATED PROGRAM.</b><br/>
<a id="pl.59.22"></a><var>59.22</var>    Subdivision 1. <b>Administrative provisions.</b> The provisions of the articles of <br/>
<a id="pl.59.23"></a><var>59.23</var>incorporation and bylaws of the St. Paul Teachers Retirement Fund Association relating <br/>
<a id="pl.59.24"></a><var>59.24</var>to the administration of the fund shall govern the administration of the coordinated and <br/>
<a id="pl.59.25"></a><var>59.25</var>basic programs and the provisions of the articles of incorporation and bylaws of the <br/>
<a id="pl.59.26"></a><var>59.26</var>Duluth Teachers Retirement Fund Association relating to the administration of the fund <br/>
<a id="pl.59.27"></a><var>59.27</var>shall govern the administration of the new law coordinated program in instances where the <br/>
<a id="pl.59.28"></a><var>59.28</var>administrative provisions are not inconsistent with the provisions of sections 
         <statute_ref>354A.31</statute_ref> to <br/>
<statute_ref><a id="pl.59.29"></a><var>59.29</var>354A.41
         </statute_ref>, including but not limited to provisions relating to the composition and function <br/>
<a id="pl.59.30"></a><var>59.30</var>of the board of trustees, the investment of assets of the St. Paul Teachers Retirement Fund <br/>
<a id="pl.59.31"></a><var>59.31</var>Association, and the definition of the plan year. The administrative provisions in the <br/>
<a id="pl.59.32"></a><var>59.32</var>articles of incorporation and the bylaws of the Minneapolis Teachers Retirement Fund <br/>
<a id="pl.59.33"></a><var>59.33</var>Association pertaining to the granting of pension benefits of the basic and coordinated <br/>
<a id="pl.59.34"></a><var>59.34</var>programs are no longer in effect after June 30, 2006, and the administrative provisions of <br/>
<a id="pl.60.1"></a><var>60.1</var>the Duluth Teachers Retirement Fund Association pertaining to retirement benefits of the <br/>
<a id="pl.60.2"></a><var>60.2</var>old law coordinated program are no longer in effect after June 30, 2015.<br/>
<a id="pl.60.3"></a><var>60.3</var>    Subd. 2. <b>Actuarial valuations.</b> In any actuarial valuation of the St. Paul Teachers <br/>
<a id="pl.60.4"></a><var>60.4</var>Retirement Fund Association, or the Duluth Teachers Retirement Fund Association under <br/>
<a id="pl.60.5"></a><var>60.5</var>section 
         <statute_ref>356.215</statute_ref> prepared by the actuary retained under section 
         <statute_ref>356.214</statute_ref> or supplemental <br/>
<a id="pl.60.6"></a><var>60.6</var>actuarial valuation prepared by an approved actuary retained by the St. Paul Teachers <br/>
<a id="pl.60.7"></a><var>60.7</var>Retirement Fund Association, there shall must be included a finding of the condition of the <br/>
<a id="pl.60.8"></a><var>60.8</var>fund showing separately the basic and coordinated programs or the old law coordinated <br/>
<a id="pl.60.9"></a><var>60.9</var>and new law coordinated programs, as appropriate. The finding shall must include the level <br/>
<a id="pl.60.10"></a><var>60.10</var>normal cost and the applicable employee and employer contribution rates for each program.<br/>
<br/>
<a id="bill.6.30.0"></a><a id="pl.60.11"></a><var>60.11</var>    Sec. 30. Minnesota Statutes 2012, section 354B.21, subdivision 3a, is amended to read:<br/>
<a id="pl.60.12"></a><var>60.12</var>    Subd. 3a. <b>Plan coverage and election; certain past service technical college </b><br/>
<a id="pl.60.13"></a><var>60.13</var><b>faculty.</b> (a) Notwithstanding subdivision 3, if an employee of the board was employed in <br/>
<a id="pl.60.14"></a><var>60.14</var>a faculty position in a technical college on June 30, 1997, with coverage by the Teachers <br/>
<a id="pl.60.15"></a><var>60.15</var>Retirement Association, the employee retains that coverage. If the employee was a <br/>
<a id="pl.60.16"></a><var>60.16</var>technical college faculty member on June 30, 1995, covered by a first class city teacher <br/>
<a id="pl.60.17"></a><var>60.17</var>retirement fund established under chapter 354A, the retirement coverage continues with <br/>
<a id="pl.60.18"></a><var>60.18</var>the Duluth Teachers Retirement Fund Association or the St. Paul Teachers Retirement <br/>
<a id="pl.60.19"></a><var>60.19</var>Fund Association, whichever is applicable. If the person was a technical college faculty <br/>
<a id="pl.60.20"></a><var>60.20</var>member on June 30, 1995, covered by the former Minneapolis Teachers Retirement Fund <br/>
<a id="pl.60.21"></a><var>60.21</var>Association or the former Duluth Teachers Retirement Fund Association, the Teachers <br/>
<a id="pl.60.22"></a><var>60.22</var>Retirement Association shall provide coverage.<br/>
<a id="pl.60.23"></a><var>60.23</var>(b) An employee under paragraph (a) who has coverage by a first class city <br/>
<a id="pl.60.24"></a><var>60.24</var>teacher the St. Paul Teachers Retirement Fund Association retains that coverage for the <br/>
<a id="pl.60.25"></a><var>60.25</var>duration of the person's employment by the board unless, within one year of a change in <br/>
<a id="pl.60.26"></a><var>60.26</var>employment within the Minnesota State Colleges and Universities system, the person <br/>
<a id="pl.60.27"></a><var>60.27</var>elects the individual retirement account plan for all future employment by the board. <br/>
<a id="pl.60.28"></a><var>60.28</var>The election is irrevocable.<br/>
<br/>
<a id="bill.6.31.0"></a><a id="pl.60.29"></a><var>60.29</var>    Sec. 31. Minnesota Statutes 2012, section 355.01, subdivision 2c, is amended to read:<br/>
<a id="pl.60.30"></a><var>60.30</var>    Subd. 2c. <b>Duluth teacher.</b> "Duluth teacher" means a person employed by <br/>
<a id="pl.60.31"></a><var>60.31</var>Independent School District No. 709, Duluth, who holds a position covered by the Duluth<br/>
<a id="pl.60.32"></a><var>60.32</var> Teachers Retirement Fund Association established under chapter 354A section 354.73 <br/>
<a id="pl.60.33"></a><var>60.33</var>and section 46.<br/>
<br/>
<a id="bill.6.32.0"></a><a id="pl.61.1"></a><var>61.1</var>    Sec. 32. Minnesota Statutes 2013 Supplement, section 356.20, subdivision 2, is <br/>
<a id="pl.61.2"></a><var>61.2</var>amended to read:<br/>
<a id="pl.61.3"></a><var>61.3</var>    Subd. 2. <b>Covered public pension plans and funds.</b> This section applies to the <br/>
<a id="pl.61.4"></a><var>61.4</var>following public pension plans:<br/>
<a id="pl.61.5"></a><var>61.5</var>    (1) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.61.6"></a><var>61.6</var>System;<br/>
<a id="pl.61.7"></a><var>61.7</var>    (2) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.61.8"></a><var>61.8</var>Association;<br/>
<a id="pl.61.9"></a><var>61.9</var>    (3) the Teachers Retirement Association;<br/>
<a id="pl.61.10"></a><var>61.10</var>    (4) the State Patrol retirement plan;<br/>
<a id="pl.61.11"></a><var>61.11</var>    (5) the St. Paul Teachers Retirement Fund Association;<br/>
<a id="pl.61.12"></a><var>61.12</var>    (6) the Duluth Teachers Retirement Fund Association;<br/>
<a id="pl.61.13"></a><var>61.13</var>    (7) (6) the University of Minnesota faculty retirement plan;<br/>
<a id="pl.61.14"></a><var>61.14</var>    (8) (7) the University of Minnesota faculty supplemental retirement plan;<br/>
<a id="pl.61.15"></a><var>61.15</var>    (9) (8) the judges retirement fund;<br/>
<a id="pl.61.16"></a><var>61.16</var>    (10) (9) the Bloomington Fire Department Relief Association;<br/>
<a id="pl.61.17"></a><var>61.17</var>    (11) (10) a volunteer firefighter relief association governed by section 
         <statute_ref>424A.091</statute_ref>;<br/>
<a id="pl.61.18"></a><var>61.18</var>    (12) (11) the public employees police and fire plan of the Public Employees <br/>
<a id="pl.61.19"></a><var>61.19</var>Retirement Association;<br/>
<a id="pl.61.20"></a><var>61.20</var>    (13) (12) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.61.21"></a><var>61.21</var>Retirement System;<br/>
<a id="pl.61.22"></a><var>61.22</var>    (14) (13) the local government correctional service retirement plan of the Public <br/>
<a id="pl.61.23"></a><var>61.23</var>Employees Retirement Association; and<br/>
<a id="pl.61.24"></a><var>61.24</var>(15) (14) the voluntary statewide lump-sum volunteer firefighter retirement plan.<br/>
<br/>
<a id="bill.6.33.0"></a><a id="pl.61.25"></a><var>61.25</var>    Sec. 33. Minnesota Statutes 2013 Supplement, section 356.214, subdivision 1, is <br/>
<a id="pl.61.26"></a><var>61.26</var>amended to read:<br/>
<a id="pl.61.27"></a><var>61.27</var>    Subdivision 1. <b>Actuary retention.</b> (a) The governing board or managing or <br/>
<a id="pl.61.28"></a><var>61.28</var>administrative official of each public pension plan and retirement fund or plan enumerated <br/>
<a id="pl.61.29"></a><var>61.29</var>in paragraph (b) shall contract with an established actuarial consulting firm to conduct <br/>
<a id="pl.61.30"></a><var>61.30</var>annual actuarial valuations and related services. The principal from the actuarial <br/>
<a id="pl.61.31"></a><var>61.31</var>consulting firm on the contract must be an approved actuary under section 
         <statute_ref>356.215, <br/>
<a id="pl.61.32"></a><var>61.32</var>subdivision 1
         </statute_ref>, paragraph (c).<br/>
<a id="pl.61.33"></a><var>61.33</var>    (b) Actuarial services must include the preparation of actuarial valuations and <br/>
<a id="pl.61.34"></a><var>61.34</var>related actuarial work for the following retirement plans:<br/>
<a id="pl.61.35"></a><var>61.35</var>    (1) the teachers retirement plan, Teachers Retirement Association;<br/>
<a id="pl.62.1"></a><var>62.1</var>    (2) the general state employees retirement plan, Minnesota State Retirement System;<br/>
<a id="pl.62.2"></a><var>62.2</var>    (3) the correctional employees retirement plan, Minnesota State Retirement System;<br/>
<a id="pl.62.3"></a><var>62.3</var>    (4) the State Patrol retirement plan, Minnesota State Retirement System;<br/>
<a id="pl.62.4"></a><var>62.4</var>    (5) the judges retirement plan, Minnesota State Retirement System;<br/>
<a id="pl.62.5"></a><var>62.5</var>    (6) the general employees retirement plan, Public Employees Retirement <br/>
<a id="pl.62.6"></a><var>62.6</var>Association, including the MERF division;<br/>
<a id="pl.62.7"></a><var>62.7</var>    (7) the public employees police and fire plan, Public Employees Retirement <br/>
<a id="pl.62.8"></a><var>62.8</var>Association;<br/>
<a id="pl.62.9"></a><var>62.9</var>    (8) the Duluth teachers retirement plan, Duluth Teachers Retirement Fund <br/>
<a id="pl.62.10"></a><var>62.10</var>Association;<br/>
<a id="pl.62.11"></a><var>62.11</var>    (9) (8) the St. Paul teachers retirement plan, St. Paul Teachers Retirement Fund <br/>
<a id="pl.62.12"></a><var>62.12</var>Association;<br/>
<a id="pl.62.13"></a><var>62.13</var>    (10) (9) the legislators retirement plan, Minnesota State Retirement System; and<br/>
<a id="pl.62.14"></a><var>62.14</var>    (11) (10) the local government correctional service retirement plan, Public <br/>
<a id="pl.62.15"></a><var>62.15</var>Employees Retirement Association.<br/>
<a id="pl.62.16"></a><var>62.16</var>(c) The actuarial valuation for the legislators retirement plan must include a separate <br/>
<a id="pl.62.17"></a><var>62.17</var>calculation of total plan actuarial accrued liabilities due to constitutional officer coverage <br/>
<a id="pl.62.18"></a><var>62.18</var>under section 
         <statute_ref>3A.17</statute_ref>.<br/>
<a id="pl.62.19"></a><var>62.19</var>    (d) The contracts must require completion of the annual actuarial valuation <br/>
<a id="pl.62.20"></a><var>62.20</var>calculations on a fiscal year basis, with the contents of the actuarial valuation calculations <br/>
<a id="pl.62.21"></a><var>62.21</var>as specified in section 
         <statute_ref>356.215</statute_ref>, and in conformity with the standards for actuarial work <br/>
<a id="pl.62.22"></a><var>62.22</var>adopted by the Legislative Commission on Pensions and Retirement.<br/>
<a id="pl.62.23"></a><var>62.23</var>    The contracts must require completion of annual experience data collection and <br/>
<a id="pl.62.24"></a><var>62.24</var>processing and a quadrennial published experience study for the plans listed in paragraph <br/>
<a id="pl.62.25"></a><var>62.25</var>(b), clauses (1), (2), and (6), as provided for in the standards for actuarial work adopted by <br/>
<a id="pl.62.26"></a><var>62.26</var>the commission. The experience data collection, processing, and analysis must evaluate <br/>
<a id="pl.62.27"></a><var>62.27</var>the following:<br/>
<a id="pl.62.28"></a><var>62.28</var>    (1) individual salary progression;<br/>
<a id="pl.62.29"></a><var>62.29</var>    (2) the rate of return on investments based on the current asset value;<br/>
<a id="pl.62.30"></a><var>62.30</var>    (3) payroll growth;<br/>
<a id="pl.62.31"></a><var>62.31</var>    (4) mortality;<br/>
<a id="pl.62.32"></a><var>62.32</var>    (5) retirement age;<br/>
<a id="pl.62.33"></a><var>62.33</var>    (6) withdrawal; and<br/>
<a id="pl.62.34"></a><var>62.34</var>    (7) disablement.<br/>
<a id="pl.62.35"></a><var>62.35</var>    (e) The actuary shall annually prepare a report to the governing or managing board <br/>
<a id="pl.62.36"></a><var>62.36</var>or administrative official and the legislature, summarizing the results of the actuarial <br/>
<a id="pl.63.1"></a><var>63.1</var>valuation calculations. The actuary shall include with the report any recommendations <br/>
<a id="pl.63.2"></a><var>63.2</var>concerning the appropriateness of the support rates to achieve proper funding of <br/>
<a id="pl.63.3"></a><var>63.3</var>the retirement plans by the required funding dates. The actuary shall, as part of the <br/>
<a id="pl.63.4"></a><var>63.4</var>quadrennial experience study, include recommendations on the appropriateness of the <br/>
<a id="pl.63.5"></a><var>63.5</var>actuarial valuation assumptions required for evaluation in the study.<br/>
<a id="pl.63.6"></a><var>63.6</var>    (f) If the actuarial gain and loss analysis in the actuarial valuation calculations <br/>
<a id="pl.63.7"></a><var>63.7</var>indicates a persistent pattern of sizable gains or losses, the governing or managing board <br/>
<a id="pl.63.8"></a><var>63.8</var>or administrative official shall direct the actuary to prepare a special experience study for a <br/>
<a id="pl.63.9"></a><var>63.9</var>plan listed in paragraph (b), clause (3), (4), (5), (7), (8), (9), or (10), or (11), in the manner <br/>
<a id="pl.63.10"></a><var>63.10</var>provided for in the standards for actuarial work adopted by the commission.<br/>
<br/>
<a id="bill.6.34.0"></a><a id="pl.63.11"></a><var>63.11</var>    Sec. 34. Minnesota Statutes 2013 Supplement, section 356.215, subdivision 8, is <br/>
<a id="pl.63.12"></a><var>63.12</var>amended to read:<br/>
<a id="pl.63.13"></a><var>63.13</var>    Subd. 8. <b>Interest and salary assumptions.</b> (a) The actuarial valuation must use <br/>
<a id="pl.63.14"></a><var>63.14</var>the applicable following preretirement interest assumption and the applicable following <br/>
<a id="pl.63.15"></a><var>63.15</var>postretirement interest assumption:<br/>
<a id="pl.63.16"></a><var>63.16</var>(1) select and ultimate interest rate assumption<br/>
<table>
<col width="50px"/>
<col width="35"/>
<col width="15"/>
<col width="15"/>
<tr>
<td><a id="pl.63.17"></a><var>63.17</var><br/>
<a id="pl.63.18"></a><var>63.18</var><br/>
<a id="pl.63.19"></a><var>63.19</var><br/>
<a id="pl.63.20"></a><var>63.20</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">ultimate <br/>
                  		preretirement <br/>
                  		interest rate <br/>
                  		assumption<br/>
</td>
<td align="center">ultimate <br/>
                  		postretirement <br/>
                  		interest rate <br/>
                  		assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.21"></a><var>63.21</var><br/>
</td>
<td valign="top">general state employees retirement plan<br/>
</td>
<td align="center" valign="top"> 8.5%<br/>
</td>
<td align="center" valign="top"> 6.0%<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.22"></a><var>63.22</var><br/>
</td>
<td valign="top">correctional state employees retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.23"></a><var>63.23</var><br/>
</td>
<td valign="top">State Patrol retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.24"></a><var>63.24</var><br/>
<a id="pl.63.25"></a><var>63.25</var><br/>
<a id="pl.63.26"></a><var>63.26</var><br/>
</td>
<td valign="top">legislators retirement plan, and for the <br/>
                  		constitutional officers calculation of total plan <br/>
                  		liabilities<br/>
</td>
<td align="center" valign="top"> 0.0 <br/>
</td>
<td align="center" valign="top">  0.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.27"></a><var>63.27</var><br/>
</td>
<td valign="top">judges retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.28"></a><var>63.28</var><br/>
</td>
<td valign="top">general public employees retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.29"></a><var>63.29</var><br/>
</td>
<td valign="top">public employees police and fire retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.30"></a><var>63.30</var><br/>
<a id="pl.63.31"></a><var>63.31</var><br/>
</td>
<td valign="top">local government correctional service <br/>
                  		retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.32"></a><var>63.32</var><br/>
</td>
<td valign="top">teachers retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.33"></a><var>63.33</var><br/>
</td>
<td valign="top">Duluth teachers retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
</tr>
<tr>
<td><a id="pl.63.34"></a><var>63.34</var><br/>
</td>
<td valign="top">St. Paul teachers retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
</tr>
</table><a id="pl.63.35"></a><var>63.35</var>Except for the legislators retirement plan and the constitutional officers calculation <br/>
<a id="pl.63.36"></a><var>63.36</var>of total plan liabilities, the select preretirement interest rate assumption for the period <br/>
<a id="pl.63.37"></a><var>63.37</var>after June 30, 2012, through June 30, 2017, is 8.0 percent. Except for the legislators <br/>
<a id="pl.63.38"></a><var>63.38</var>retirement plan and the constitutional officers calculation of total plan liabilities, the select <br/>
<a id="pl.63.39"></a><var>63.39</var>postretirement interest rate assumption for the period after June 30, 2012, through June <br/>
<a id="pl.64.1"></a><var>64.1</var>30, 2017, is 5.5 percent, except for the Duluth teachers retirement plan and the St. Paul <br/>
<a id="pl.64.2"></a><var>64.2</var>teachers retirement plan, each with a select postretirement interest rate assumption for the <br/>
<a id="pl.64.3"></a><var>64.3</var>period after June 30, 2012, through June 30, 2017, of 8.0 percent.<br/>
<a id="pl.64.4"></a><var>64.4</var>(2) single rate preretirement and postretirement interest rate assumption<br/>
<table>
<col width="50px"/>
<col width="16.5"/>
<col width="6.7"/>
<col width="6.5"/>
<tr>
<td><a id="pl.64.5"></a><var>64.5</var><br/>
<a id="pl.64.6"></a><var>64.6</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">interest rate <br/>
                  		assumption<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.64.7"></a><var>64.7</var><br/>
</td>
<td>Bloomington Fire Department Relief Association<br/>
</td>
<td align="center">6.0<br/>
</td>
<td align="center"></td>
</tr>
<tr>
<td><a id="pl.64.8"></a><var>64.8</var><br/>
<a id="pl.64.9"></a><var>64.9</var><br/>
</td>
<td>local monthly benefit volunteer firefighters relief <br/>
                  		associations<br/>
</td>
<td align="center">5.0<br/>
</td>
<td align="center"></td>
</tr>
</table><a id="pl.64.10"></a><var>64.10</var>    (b) The actuarial valuation must use the applicable following single rate future salary <br/>
<a id="pl.64.11"></a><var>64.11</var>increase assumption, the applicable following modified single rate future salary increase <br/>
<a id="pl.64.12"></a><var>64.12</var>assumption, or the applicable following graded rate future salary increase assumption:<br/>
<a id="pl.64.13"></a><var>64.13</var>    (1) single rate future salary increase assumption<br/>
<table>
<col width="50px"/>
<col width="35"/>
<col width="13"/>
<col width="17"/>
<tr>
<td><a id="pl.64.14"></a><var>64.14</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center" colspan="2">future salary increase assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.64.15"></a><var>64.15</var><br/>
</td>
<td>legislators retirement plan<br/>
</td>
<td></td>
<td>5.0%<br/>
</td>
</tr>
<tr>
<td><a id="pl.64.16"></a><var>64.16</var><br/>
</td>
<td>judges retirement plan<br/>
</td>
<td></td>
<td>3.0 <br/>
</td>
</tr>
<tr>
<td><a id="pl.64.17"></a><var>64.17</var><br/>
<a id="pl.64.18"></a><var>64.18</var><br/>
</td>
<td>Bloomington Fire Department Relief <br/>
                  		Association<br/>
</td>
<td></td>
<td>4.0<br/>
</td>
</tr>
</table><a id="pl.64.19"></a><var>64.19</var>    (2) age-related future salary increase age-related select and ultimate future salary <br/>
<a id="pl.64.20"></a><var>64.20</var>increase assumption or graded rate future salary increase assumption<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="25"/>
<tr>
<td><a id="pl.64.21"></a><var>64.21</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">future salary increase assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.64.22"></a><var>64.22</var><br/>
</td>
<td>local government correctional service retirement plan<br/>
</td>
<td align="center">assumption CB<br/>
</td>
</tr>
<tr>
<td><a id="pl.64.23"></a><var>64.23</var><br/>
</td>
<td>Duluth teachers retirement plan<br/>
</td>
<td align="center">assumption A<br/>
</td>
</tr>
<tr>
<td><a id="pl.64.24"></a><var>64.24</var><br/>
</td>
<td>St. Paul teachers retirement plan<br/>
</td>
<td align="center">assumption BA<br/>
</td>
</tr>
</table><a id="pl.64.25"></a><var>64.25</var>For plans other than the Duluth St. Paul <br/>
<a id="pl.64.26"></a><var>64.26</var>teachers retirement plan and the local <br/>
<a id="pl.64.27"></a><var>64.27</var>government correctional service retirement <br/>
<a id="pl.64.28"></a><var>64.28</var>plan, the select calculation is: during the <br/>
<a id="pl.64.29"></a><var>64.29</var>designated select period, a designated <br/>
<a id="pl.64.30"></a><var>64.30</var>percentage rate is multiplied by the result of <br/>
<a id="pl.64.31"></a><var>64.31</var>the designated integer minus T, where T is the <br/>
<a id="pl.64.32"></a><var>64.32</var>number of completed years of service, and is <br/>
<a id="pl.64.33"></a><var>64.33</var>added to the applicable future salary increase <br/>
<a id="pl.64.34"></a><var>64.34</var>assumption. The designated select period is <br/>
<a id="pl.64.35"></a><var>64.35</var>ten years and the designated integer is ten <br/>
<a id="pl.64.36"></a><var>64.36</var>for the Duluth Teachers Retirement Fund <br/>
<a id="pl.64.37"></a><var>64.37</var>Association and for the local government <br/>
<a id="pl.64.38"></a><var>64.38</var>correctional service retirement plan and 15 <br/>
<a id="pl.65.1"></a><var>65.1</var>for the St. Paul Teachers Retirement Fund <br/>
<a id="pl.65.2"></a><var>65.2</var>Association. The designated percentage <br/>
<a id="pl.65.3"></a><var>65.3</var>rate is 0.2 percent for the St. Paul Teachers <br/>
<a id="pl.65.4"></a><var>65.4</var>Retirement Fund Association. The select <br/>
<a id="pl.65.5"></a><var>65.5</var>calculation for the Duluth Teachers <br/>
<a id="pl.65.6"></a><var>65.6</var>Retirement Fund Association is 8.00 percent <br/>
<a id="pl.65.7"></a><var>65.7</var>per year for service years one through seven, <br/>
<a id="pl.65.8"></a><var>65.8</var>7.25 percent per year for service years seven <br/>
<a id="pl.65.9"></a><var>65.9</var>and eight, and 6.50 percent per year for <br/>
<a id="pl.65.10"></a><var>65.10</var>service years eight and nine.<br/>
<a id="pl.65.11"></a><var>65.11</var>    The ultimate future salary increase assumption is:<br/>
<table>
<col width="50px"/>
<col width="10"/>
<col width="12.5"/>
<col width="12.5"/>
<col width="15"/>
<col width="15"/>
<tr>
<td><a id="pl.65.12"></a><var>65.12</var><br/>
</td>
<td>age<br/>
</td>
<td>A<br/>
</td>
<td>BA<br/>
</td>
<td>CB<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.13"></a><var>65.13</var><br/>
</td>
<td>16<br/>
</td>
<td>6.00%<br/>
</td>
<td>5.90%<br/>
</td>
<td>9.00%<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.14"></a><var>65.14</var><br/>
</td>
<td>17<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.15"></a><var>65.15</var><br/>
</td>
<td>18<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.16"></a><var>65.16</var><br/>
</td>
<td>19<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.17"></a><var>65.17</var><br/>
</td>
<td>20<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.18"></a><var>65.18</var><br/>
</td>
<td>21<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>8.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.19"></a><var>65.19</var><br/>
</td>
<td>22<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>8.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.20"></a><var>65.20</var><br/>
</td>
<td>23<br/>
</td>
<td>6.00<br/>
</td>
<td>5.85<br/>
</td>
<td>8.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.21"></a><var>65.21</var><br/>
</td>
<td>24<br/>
</td>
<td>6.00<br/>
</td>
<td>5.80<br/>
</td>
<td>8.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.22"></a><var>65.22</var><br/>
</td>
<td>25<br/>
</td>
<td>6.00<br/>
</td>
<td>5.75<br/>
</td>
<td>7.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.23"></a><var>65.23</var><br/>
</td>
<td>26<br/>
</td>
<td>6.00<br/>
</td>
<td>5.70<br/>
</td>
<td>7.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.24"></a><var>65.24</var><br/>
</td>
<td>27<br/>
</td>
<td>6.00<br/>
</td>
<td>5.65<br/>
</td>
<td>7.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.25"></a><var>65.25</var><br/>
</td>
<td>28<br/>
</td>
<td>6.00<br/>
</td>
<td>5.60<br/>
</td>
<td>7.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.26"></a><var>65.26</var><br/>
</td>
<td>29<br/>
</td>
<td>6.00<br/>
</td>
<td>5.55<br/>
</td>
<td>6.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.27"></a><var>65.27</var><br/>
</td>
<td>30<br/>
</td>
<td>6.00<br/>
</td>
<td>5.50<br/>
</td>
<td>6.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.28"></a><var>65.28</var><br/>
</td>
<td>31<br/>
</td>
<td>6.00<br/>
</td>
<td>5.45<br/>
</td>
<td>6.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.29"></a><var>65.29</var><br/>
</td>
<td>32<br/>
</td>
<td>6.00<br/>
</td>
<td>5.40<br/>
</td>
<td>6.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.30"></a><var>65.30</var><br/>
</td>
<td>33<br/>
</td>
<td>6.00<br/>
</td>
<td>5.35<br/>
</td>
<td>6.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.31"></a><var>65.31</var><br/>
</td>
<td>34<br/>
</td>
<td>6.00<br/>
</td>
<td>5.30<br/>
</td>
<td>6.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.32"></a><var>65.32</var><br/>
</td>
<td>35<br/>
</td>
<td>6.00<br/>
</td>
<td>5.25<br/>
</td>
<td>6.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.33"></a><var>65.33</var><br/>
</td>
<td>36<br/>
</td>
<td>5.86<br/>
</td>
<td>5.20<br/>
</td>
<td>6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.34"></a><var>65.34</var><br/>
</td>
<td>37<br/>
</td>
<td>5.73<br/>
</td>
<td>5.15<br/>
</td>
<td>6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.35"></a><var>65.35</var><br/>
</td>
<td>38<br/>
</td>
<td>5.59<br/>
</td>
<td>5.10<br/>
</td>
<td>6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.36"></a><var>65.36</var><br/>
</td>
<td>39<br/>
</td>
<td>5.45<br/>
</td>
<td>5.05<br/>
</td>
<td>5.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.37"></a><var>65.37</var><br/>
</td>
<td>40<br/>
</td>
<td>5.31<br/>
</td>
<td>5.00<br/>
</td>
<td>5.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.38"></a><var>65.38</var><br/>
</td>
<td>41<br/>
</td>
<td>5.18<br/>
</td>
<td>4.95<br/>
</td>
<td>5.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.39"></a><var>65.39</var><br/>
</td>
<td>42<br/>
</td>
<td>5.04<br/>
</td>
<td>4.90<br/>
</td>
<td>5.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.40"></a><var>65.40</var><br/>
</td>
<td>43<br/>
</td>
<td>4.90<br/>
</td>
<td>4.85<br/>
</td>
<td>5.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.65.41"></a><var>65.41</var><br/>
</td>
<td>44<br/>
</td>
<td>4.76<br/>
</td>
<td>4.80<br/>
</td>
<td>5.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.1"></a><var>66.1</var><br/>
</td>
<td>45<br/>
</td>
<td>4.63<br/>
</td>
<td>4.75<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.2"></a><var>66.2</var><br/>
</td>
<td>46<br/>
</td>
<td>4.49<br/>
</td>
<td>4.70<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.3"></a><var>66.3</var><br/>
</td>
<td>47<br/>
</td>
<td>4.35<br/>
</td>
<td>4.65<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.4"></a><var>66.4</var><br/>
</td>
<td>48<br/>
</td>
<td>4.21<br/>
</td>
<td>4.60<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.5"></a><var>66.5</var><br/>
</td>
<td>49<br/>
</td>
<td>4.08<br/>
</td>
<td>4.55<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.6"></a><var>66.6</var><br/>
</td>
<td>50<br/>
</td>
<td>3.94<br/>
</td>
<td>4.50<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.7"></a><var>66.7</var><br/>
</td>
<td>51<br/>
</td>
<td>3.80<br/>
</td>
<td>4.45<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.8"></a><var>66.8</var><br/>
</td>
<td>52<br/>
</td>
<td>3.66<br/>
</td>
<td>4.40<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.9"></a><var>66.9</var><br/>
</td>
<td>53<br/>
</td>
<td>3.53<br/>
</td>
<td>4.35<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.10"></a><var>66.10</var><br/>
</td>
<td>54<br/>
</td>
<td>3.39<br/>
</td>
<td>4.30<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.11"></a><var>66.11</var><br/>
</td>
<td>55<br/>
</td>
<td>3.25<br/>
</td>
<td>4.25<br/>
</td>
<td>4.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.12"></a><var>66.12</var><br/>
</td>
<td>56<br/>
</td>
<td>3.25<br/>
</td>
<td>4.20<br/>
</td>
<td>4.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.13"></a><var>66.13</var><br/>
</td>
<td>57<br/>
</td>
<td>3.25<br/>
</td>
<td>4.15<br/>
</td>
<td>4.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.14"></a><var>66.14</var><br/>
</td>
<td>58<br/>
</td>
<td>3.25<br/>
</td>
<td>4.10<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.15"></a><var>66.15</var><br/>
</td>
<td>59<br/>
</td>
<td>3.25<br/>
</td>
<td>4.05<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.16"></a><var>66.16</var><br/>
</td>
<td>60<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.17"></a><var>66.17</var><br/>
</td>
<td>61<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.18"></a><var>66.18</var><br/>
</td>
<td>62<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.19"></a><var>66.19</var><br/>
</td>
<td>63<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.20"></a><var>66.20</var><br/>
</td>
<td>64<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.21"></a><var>66.21</var><br/>
</td>
<td>65<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.22"></a><var>66.22</var><br/>
</td>
<td>66<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.23"></a><var>66.23</var><br/>
</td>
<td>67<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.24"></a><var>66.24</var><br/>
</td>
<td>68<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.25"></a><var>66.25</var><br/>
</td>
<td>69<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.66.26"></a><var>66.26</var><br/>
</td>
<td>70<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
</table><a id="pl.66.27"></a><var>66.27</var>(3) service-related ultimate future salary increase assumption<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="25"/>
<tr>
<td><a id="pl.66.28"></a><var>66.28</var><br/>
<a id="pl.66.29"></a><var>66.29</var><br/>
</td>
<td>general state employees retirement plan of the <br/>
                  		Minnesota State Retirement System<br/>
</td>
<td align="center">assumption A<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.30"></a><var>66.30</var><br/>
<a id="pl.66.31"></a><var>66.31</var><br/>
</td>
<td>general employees retirement plan of the Public <br/>
                  		Employees Retirement Association<br/>
</td>
<td align="center">assumption B<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.32"></a><var>66.32</var><br/>
</td>
<td>Teachers Retirement Association<br/>
</td>
<td align="center">assumption C<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.33"></a><var>66.33</var><br/>
</td>
<td>public employees police and fire retirement plan<br/>
</td>
<td align="center">assumption D<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.34"></a><var>66.34</var><br/>
</td>
<td>State Patrol retirement plan<br/>
</td>
<td align="center">assumption E<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.35"></a><var>66.35</var><br/>
<a id="pl.66.36"></a><var>66.36</var><br/>
</td>
<td>correctional state employees retirement plan of the <br/>
                  		Minnesota State Retirement System<br/>
</td>
<td align="center">assumption F<br/>
</td>
</tr>
</table>
<table>
<col width="50px"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<tr>
<td><a id="pl.66.37"></a><var>66.37</var><br/>
<a id="pl.66.38"></a><var>66.38</var><br/>
</td>
<td>service <br/>
                  		length<br/>
</td>
<td>A<br/>
</td>
<td>B<br/>
</td>
<td>C<br/>
</td>
<td>D<br/>
</td>
<td>E<br/>
</td>
<td>F<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.39"></a><var>66.39</var><br/>
</td>
<td>1<br/>
</td>
<td>10.50%<br/>
</td>
<td>12.03%<br/>
</td>
<td>12.00%<br/>
</td>
<td>13.00%<br/>
</td>
<td>8.00%<br/>
</td>
<td>6.00%<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.40"></a><var>66.40</var><br/>
</td>
<td>2<br/>
</td>
<td>8.10<br/>
</td>
<td>8.90<br/>
</td>
<td>9.00<br/>
</td>
<td>11.00<br/>
</td>
<td>7.50<br/>
</td>
<td>5.85<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.41"></a><var>66.41</var><br/>
</td>
<td>3<br/>
</td>
<td>6.90<br/>
</td>
<td>7.46<br/>
</td>
<td>8.00<br/>
</td>
<td>9.00<br/>
</td>
<td>7.00<br/>
</td>
<td>5.70<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.42"></a><var>66.42</var><br/>
</td>
<td>4<br/>
</td>
<td>6.20<br/>
</td>
<td>6.58<br/>
</td>
<td>7.50<br/>
</td>
<td>8.00<br/>
</td>
<td>6.75<br/>
</td>
<td>5.55<br/>
</td>
</tr>
<tr>
<td><a id="pl.66.43"></a><var>66.43</var><br/>
</td>
<td>5<br/>
</td>
<td>5.70<br/>
</td>
<td>5.97<br/>
</td>
<td>7.25<br/>
</td>
<td>6.50<br/>
</td>
<td>6.50<br/>
</td>
<td>5.40<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.1"></a><var>67.1</var><br/>
</td>
<td>6<br/>
</td>
<td>5.30<br/>
</td>
<td>5.52<br/>
</td>
<td>7.00<br/>
</td>
<td>6.10<br/>
</td>
<td>6.25<br/>
</td>
<td>5.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.2"></a><var>67.2</var><br/>
</td>
<td>7<br/>
</td>
<td>5.00<br/>
</td>
<td>5.16<br/>
</td>
<td>6.85<br/>
</td>
<td>5.80<br/>
</td>
<td>6.00<br/>
</td>
<td>5.10<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.3"></a><var>67.3</var><br/>
</td>
<td>8<br/>
</td>
<td>4.70<br/>
</td>
<td>4.87<br/>
</td>
<td>6.70<br/>
</td>
<td>5.60<br/>
</td>
<td>5.85<br/>
</td>
<td>4.95<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.4"></a><var>67.4</var><br/>
</td>
<td>9<br/>
</td>
<td>4.50<br/>
</td>
<td>4.63<br/>
</td>
<td>6.55<br/>
</td>
<td>5.40<br/>
</td>
<td>5.70<br/>
</td>
<td>4.80<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.5"></a><var>67.5</var><br/>
</td>
<td>10<br/>
</td>
<td>4.40<br/>
</td>
<td>4.42<br/>
</td>
<td>6.40<br/>
</td>
<td>5.30<br/>
</td>
<td>5.55<br/>
</td>
<td>4.65<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.6"></a><var>67.6</var><br/>
</td>
<td>11<br/>
</td>
<td>4.20<br/>
</td>
<td>4.24<br/>
</td>
<td>6.25<br/>
</td>
<td>5.20<br/>
</td>
<td>5.40<br/>
</td>
<td>4.55<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.7"></a><var>67.7</var><br/>
</td>
<td>12<br/>
</td>
<td>4.10<br/>
</td>
<td>4.08<br/>
</td>
<td>6.00<br/>
</td>
<td>5.10<br/>
</td>
<td>5.25<br/>
</td>
<td>4.45<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.8"></a><var>67.8</var><br/>
</td>
<td>13<br/>
</td>
<td>4.00<br/>
</td>
<td>3.94<br/>
</td>
<td>5.75<br/>
</td>
<td>5.00<br/>
</td>
<td>5.10<br/>
</td>
<td>4.35<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.9"></a><var>67.9</var><br/>
</td>
<td>14<br/>
</td>
<td>3.80<br/>
</td>
<td>3.82<br/>
</td>
<td>5.50<br/>
</td>
<td>4.90<br/>
</td>
<td>4.95<br/>
</td>
<td>4.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.10"></a><var>67.10</var><br/>
</td>
<td>15<br/>
</td>
<td>3.70<br/>
</td>
<td>3.70<br/>
</td>
<td>5.25<br/>
</td>
<td>4.80<br/>
</td>
<td>4.80<br/>
</td>
<td>4.15<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.11"></a><var>67.11</var><br/>
</td>
<td>16<br/>
</td>
<td>3.60<br/>
</td>
<td>3.60<br/>
</td>
<td>5.00<br/>
</td>
<td>4.80<br/>
</td>
<td>4.65<br/>
</td>
<td>4.05<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.12"></a><var>67.12</var><br/>
</td>
<td>17<br/>
</td>
<td>3.50<br/>
</td>
<td>3.51<br/>
</td>
<td>4.75<br/>
</td>
<td>4.80<br/>
</td>
<td>4.50<br/>
</td>
<td>3.95<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.13"></a><var>67.13</var><br/>
</td>
<td>18<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.80<br/>
</td>
<td>4.35<br/>
</td>
<td>3.85<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.14"></a><var>67.14</var><br/>
</td>
<td>19<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.25<br/>
</td>
<td>4.80<br/>
</td>
<td>4.20<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.15"></a><var>67.15</var><br/>
</td>
<td>20<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.00<br/>
</td>
<td>4.80<br/>
</td>
<td>4.05<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.16"></a><var>67.16</var><br/>
</td>
<td>21<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.90<br/>
</td>
<td>4.70<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.17"></a><var>67.17</var><br/>
</td>
<td>22<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.80<br/>
</td>
<td>4.60<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.18"></a><var>67.18</var><br/>
</td>
<td>23<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.70<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.19"></a><var>67.19</var><br/>
</td>
<td>24<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.60<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.20"></a><var>67.20</var><br/>
</td>
<td>25<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.21"></a><var>67.21</var><br/>
</td>
<td>26<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.22"></a><var>67.22</var><br/>
</td>
<td>27<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.23"></a><var>67.23</var><br/>
</td>
<td>28<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.24"></a><var>67.24</var><br/>
</td>
<td>29<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.25"></a><var>67.25</var><br/>
</td>
<td>30 or more<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
</table><a id="pl.67.26"></a><var>67.26</var>    (c) The actuarial valuation must use the applicable following payroll growth <br/>
<a id="pl.67.27"></a><var>67.27</var>assumption for calculating the amortization requirement for the unfunded actuarial <br/>
<a id="pl.67.28"></a><var>67.28</var>accrued liability where the amortization retirement is calculated as a level percentage <br/>
<a id="pl.67.29"></a><var>67.29</var>of an increasing payroll:<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="25"/>
<tr>
<td><a id="pl.67.30"></a><var>67.30</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">payroll growth assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.31"></a><var>67.31</var><br/>
<a id="pl.67.32"></a><var>67.32</var><br/>
</td>
<td>general state employees retirement plan of the <br/>
                  		Minnesota State Retirement System<br/>
</td>
<td align="center">3.75%<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.33"></a><var>67.33</var><br/>
</td>
<td>correctional state employees retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.34"></a><var>67.34</var><br/>
</td>
<td>State Patrol retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.35"></a><var>67.35</var><br/>
</td>
<td>judges retirement plan<br/>
</td>
<td align="center">3.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.36"></a><var>67.36</var><br/>
<a id="pl.67.37"></a><var>67.37</var><br/>
</td>
<td>general employees retirement plan of the Public <br/>
                  		Employees Retirement Association<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.38"></a><var>67.38</var><br/>
</td>
<td>public employees police and fire retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.39"></a><var>67.39</var><br/>
</td>
<td>local government correctional service retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.40"></a><var>67.40</var><br/>
</td>
<td>teachers retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.41"></a><var>67.41</var><br/>
</td>
<td>Duluth teachers retirement plan<br/>
</td>
<td align="center">3.50<br/>
</td>
</tr>
<tr>
<td><a id="pl.67.42"></a><var>67.42</var><br/>
</td>
<td>St. Paul teachers retirement plan<br/>
</td>
<td align="center">4.00<br/>
</td>
</tr>
</table><a id="pl.68.1"></a><var>68.1</var>    (d) The assumptions set forth in paragraphs (b) and (c) continue to apply, unless a <br/>
<a id="pl.68.2"></a><var>68.2</var>different salary assumption or a different payroll increase assumption:<br/>
<a id="pl.68.3"></a><var>68.3</var>    (1) has been proposed by the governing board of the applicable retirement plan;<br/>
<a id="pl.68.4"></a><var>68.4</var>    (2) is accompanied by the concurring recommendation of the actuary retained under <br/>
<a id="pl.68.5"></a><var>68.5</var>section 
         <statute_ref>356.214, subdivision 1</statute_ref>, if applicable, or by the approved actuary preparing the <br/>
<a id="pl.68.6"></a><var>68.6</var>most recent actuarial valuation report if section 
         <statute_ref>356.214</statute_ref> does not apply; and<br/>
<a id="pl.68.7"></a><var>68.7</var>    (3) has been approved or deemed approved under subdivision 18.<br/>
<br/>
<a id="bill.6.35.0"></a><a id="pl.68.8"></a><var>68.8</var>    Sec. 35. Minnesota Statutes 2013 Supplement, section 356.219, subdivision 8, is <br/>
<a id="pl.68.9"></a><var>68.9</var>amended to read:<br/>
<a id="pl.68.10"></a><var>68.10</var>    Subd. 8. <b>Timing of reports.</b> (a) For the Bloomington Fire Department Relief <br/>
<a id="pl.68.11"></a><var>68.11</var>Association and the volunteer firefighter relief associations, the information required <br/>
<a id="pl.68.12"></a><var>68.12</var>under this section must be submitted by the due date for reports required under section <br/>
<statute_ref><a id="pl.68.13"></a><var>68.13</var>69.051, subdivision 1
         </statute_ref> or 1a, as applicable. If a relief association satisfies the definition of <br/>
<a id="pl.68.14"></a><var>68.14</var>a fully invested plan under subdivision 1, paragraph (b), for the calendar year covered <br/>
<a id="pl.68.15"></a><var>68.15</var>by the report required under section 
         <statute_ref>69.051, subdivision 1</statute_ref> or 1a, as applicable, the chief <br/>
<a id="pl.68.16"></a><var>68.16</var>administrative officer of the covered pension plan shall certify that compliance on a form <br/>
<a id="pl.68.17"></a><var>68.17</var>prescribed by the state auditor. The state auditor shall transmit annually to the State Board <br/>
<a id="pl.68.18"></a><var>68.18</var>of Investment a list or lists of covered pension plans which submitted certifications in <br/>
<a id="pl.68.19"></a><var>68.19</var>order to facilitate reporting by the State Board of Investment under paragraph (c).<br/>
<a id="pl.68.20"></a><var>68.20</var>(b) For the St. Paul Teachers Retirement Fund Association, the Duluth Teachers <br/>
<a id="pl.68.21"></a><var>68.21</var>Retirement Fund Association, and the University of Minnesota faculty supplemental <br/>
<a id="pl.68.22"></a><var>68.22</var>retirement plan, the information required under this section must be submitted to the state <br/>
<a id="pl.68.23"></a><var>68.23</var>auditor by June 1 of each year.<br/>
<a id="pl.68.24"></a><var>68.24</var>(c) The State Board of Investment, on behalf of pension funds specified in <br/>
<a id="pl.68.25"></a><var>68.25</var>subdivision 1, paragraph (c), must shall report information required under this section by <br/>
<a id="pl.68.26"></a><var>68.26</var>September 1 of each year.<br/>
<br/>
<a id="bill.6.36.0"></a><a id="pl.68.27"></a><var>68.27</var>    Sec. 36. Minnesota Statutes 2013 Supplement, section 356.30, subdivision 3, is <br/>
<a id="pl.68.28"></a><var>68.28</var>amended to read:<br/>
<a id="pl.68.29"></a><var>68.29</var>    Subd. 3. <b>Covered plans.</b> This section applies to the following retirement plans:<br/>
<a id="pl.68.30"></a><var>68.30</var>(1) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.68.31"></a><var>68.31</var>System, established under chapter 352;<br/>
<a id="pl.68.32"></a><var>68.32</var>(2) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.68.33"></a><var>68.33</var>Retirement System, established under chapter 352;<br/>
<a id="pl.68.34"></a><var>68.34</var>(3) the unclassified employees retirement program, established under chapter 352D;<br/>
<a id="pl.69.1"></a><var>69.1</var>(4) the State Patrol retirement plan, established under chapter 352B;<br/>
<a id="pl.69.2"></a><var>69.2</var>(5) the legislators retirement plan, established under chapter 3A, including <br/>
<a id="pl.69.3"></a><var>69.3</var>constitutional officers as specified in that chapter;<br/>
<a id="pl.69.4"></a><var>69.4</var>(6) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.69.5"></a><var>69.5</var>Association, established under chapter 353, including the MERF division of the Public <br/>
<a id="pl.69.6"></a><var>69.6</var>Employees Retirement Association;<br/>
<a id="pl.69.7"></a><var>69.7</var>(7) the public employees police and fire retirement plan of the Public Employees <br/>
<a id="pl.69.8"></a><var>69.8</var>Retirement Association, established under chapter 353;<br/>
<a id="pl.69.9"></a><var>69.9</var>(8) the local government correctional service retirement plan of the Public <br/>
<a id="pl.69.10"></a><var>69.10</var>Employees Retirement Association, established under chapter 353E;<br/>
<a id="pl.69.11"></a><var>69.11</var>(9) the Teachers Retirement Association, established under chapter 354;<br/>
<a id="pl.69.12"></a><var>69.12</var>(10) the St. Paul Teachers Retirement Fund Association, established under chapter <br/>
<a id="pl.69.13"></a><var>69.13</var>354A; and<br/>
<a id="pl.69.14"></a><var>69.14</var>(11) the Duluth Teachers Retirement Fund Association, established under chapter <br/>
<a id="pl.69.15"></a><var>69.15</var>354A; and<br/>
<a id="pl.69.16"></a><var>69.16</var>(12) (11) the judges retirement fund, established by chapter 490.<br/>
<br/>
<a id="bill.6.37.0"></a><a id="pl.69.17"></a><var>69.17</var>    Sec. 37. Minnesota Statutes 2012, section 356.302, subdivision 7, is amended to read:<br/>
<a id="pl.69.18"></a><var>69.18</var>    Subd. 7. <b>Covered retirement plans.</b> This section applies to the following <br/>
<a id="pl.69.19"></a><var>69.19</var>retirement plans:<br/>
<a id="pl.69.20"></a><var>69.20</var>(1) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.69.21"></a><var>69.21</var>System, established by chapter 352;<br/>
<a id="pl.69.22"></a><var>69.22</var>(2) the unclassified state employees retirement program of the Minnesota State <br/>
<a id="pl.69.23"></a><var>69.23</var>Retirement System, established by chapter 352D;<br/>
<a id="pl.69.24"></a><var>69.24</var>(3) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.69.25"></a><var>69.25</var>Association, established by chapter 353, including the MERF division of the Public <br/>
<a id="pl.69.26"></a><var>69.26</var>Employees Retirement Association;<br/>
<a id="pl.69.27"></a><var>69.27</var>(4) the Teachers Retirement Association, established by chapter 354;<br/>
<a id="pl.69.28"></a><var>69.28</var>(5) the Duluth Teachers Retirement Fund Association, established by chapter 354A;<br/>
<a id="pl.69.29"></a><var>69.29</var>(6) (5) the St. Paul Teachers Retirement Fund Association, established by chapter <br/>
<a id="pl.69.30"></a><var>69.30</var>354A;<br/>
<a id="pl.69.31"></a><var>69.31</var>(7) (6) the state correctional employees retirement plan of the Minnesota State <br/>
<a id="pl.69.32"></a><var>69.32</var>Retirement System, established by chapter 352;<br/>
<a id="pl.69.33"></a><var>69.33</var>(8) (7) the State Patrol retirement plan, established by chapter 352B;<br/>
<a id="pl.69.34"></a><var>69.34</var>(9) (8) the public employees police and fire plan of the Public Employees Retirement <br/>
<a id="pl.69.35"></a><var>69.35</var>Association, established by chapter 353;<br/>
<a id="pl.70.1"></a><var>70.1</var>(10) (9) the local government correctional service retirement plan of the Public <br/>
<a id="pl.70.2"></a><var>70.2</var>Employees Retirement Association, established by chapter 353E; and<br/>
<a id="pl.70.3"></a><var>70.3</var>(11) (10) the judges retirement plan, established by chapter 490.<br/>
<br/>
<a id="bill.6.38.0"></a><a id="pl.70.4"></a><var>70.4</var>    Sec. 38. Minnesota Statutes 2012, section 356.303, subdivision 4, is amended to read:<br/>
<a id="pl.70.5"></a><var>70.5</var>    Subd. 4. <b>Covered retirement plans.</b> This section applies to the following <br/>
<a id="pl.70.6"></a><var>70.6</var>retirement plans:<br/>
<a id="pl.70.7"></a><var>70.7</var>(1) the legislators retirement plan, established by chapter 3A;<br/>
<a id="pl.70.8"></a><var>70.8</var>(2) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.70.9"></a><var>70.9</var>System, established by chapter 352;<br/>
<a id="pl.70.10"></a><var>70.10</var>(3) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.70.11"></a><var>70.11</var>Retirement System, established by chapter 352;<br/>
<a id="pl.70.12"></a><var>70.12</var>(4) the State Patrol retirement plan, established by chapter 352B;<br/>
<a id="pl.70.13"></a><var>70.13</var>(5) the elective state officers retirement plan, established by chapter 352C;<br/>
<a id="pl.70.14"></a><var>70.14</var>(6) the unclassified state employees retirement program, established by chapter 352D;<br/>
<a id="pl.70.15"></a><var>70.15</var>(7) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.70.16"></a><var>70.16</var>Association, established by chapter 353, including the MERF division of the Public <br/>
<a id="pl.70.17"></a><var>70.17</var>Employees Retirement Association;<br/>
<a id="pl.70.18"></a><var>70.18</var>(8) the public employees police and fire plan of the Public Employees Retirement <br/>
<a id="pl.70.19"></a><var>70.19</var>Association, established by chapter 353;<br/>
<a id="pl.70.20"></a><var>70.20</var>(9) the local government correctional service retirement plan of the Public <br/>
<a id="pl.70.21"></a><var>70.21</var>Employees Retirement Association, established by chapter 353E;<br/>
<a id="pl.70.22"></a><var>70.22</var>(10) the Teachers Retirement Association, established by chapter 354;<br/>
<a id="pl.70.23"></a><var>70.23</var>(11) the Duluth Teachers Retirement Fund Association, established by chapter 354A;<br/>
<a id="pl.70.24"></a><var>70.24</var>(12) (11) the St. Paul Teachers Retirement Fund Association, established by chapter <br/>
<a id="pl.70.25"></a><var>70.25</var>354A; and<br/>
<a id="pl.70.26"></a><var>70.26</var>(13) (12) the judges retirement fund, established by chapter 490.<br/>
<br/>
<a id="bill.6.39.0"></a><a id="pl.70.27"></a><var>70.27</var>    Sec. 39. Minnesota Statutes 2012, section 356.32, subdivision 2, is amended to read:<br/>
<a id="pl.70.28"></a><var>70.28</var>    Subd. 2. <b>Covered retirement plans.</b> The provisions of this section apply to the <br/>
<a id="pl.70.29"></a><var>70.29</var>following retirement plans:<br/>
<a id="pl.70.30"></a><var>70.30</var>(1) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.70.31"></a><var>70.31</var>System, established under chapter 352;<br/>
<a id="pl.70.32"></a><var>70.32</var>(2) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.70.33"></a><var>70.33</var>Retirement System, established under chapter 352;<br/>
<a id="pl.70.34"></a><var>70.34</var>(3) the State Patrol retirement plan, established under chapter 352B;<br/>
<a id="pl.71.1"></a><var>71.1</var>(4) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.71.2"></a><var>71.2</var>Association, established under chapter 353, including the MERF division of the Public <br/>
<a id="pl.71.3"></a><var>71.3</var>Employees Retirement Association;<br/>
<a id="pl.71.4"></a><var>71.4</var>(5) the public employees police and fire plan of the Public Employees Retirement <br/>
<a id="pl.71.5"></a><var>71.5</var>Association, established under chapter 353;<br/>
<a id="pl.71.6"></a><var>71.6</var>(6) the Teachers Retirement Association, established under chapter 354; and<br/>
<a id="pl.71.7"></a><var>71.7</var>(7) the Duluth Teachers Retirement Fund Association, established under chapter <br/>
<a id="pl.71.8"></a><var>71.8</var>354A; and<br/>
<a id="pl.71.9"></a><var>71.9</var>(8) (7) the St. Paul Teachers Retirement Fund Association, established under chapter <br/>
<a id="pl.71.10"></a><var>71.10</var>354A.<br/>
<br/>
<a id="bill.6.40.0"></a><a id="pl.71.11"></a><var>71.11</var>    Sec. 40. Minnesota Statutes 2013 Supplement, section 356.401, subdivision 3, is <br/>
<a id="pl.71.12"></a><var>71.12</var>amended to read:<br/>
<a id="pl.71.13"></a><var>71.13</var>    Subd. 3. <b>Covered retirement plans.</b> The provisions of this section apply to the <br/>
<a id="pl.71.14"></a><var>71.14</var>following retirement plans:<br/>
<a id="pl.71.15"></a><var>71.15</var>(1) the legislators retirement plan, established by chapter 3A, including constitutional <br/>
<a id="pl.71.16"></a><var>71.16</var>officers as specified in that chapter;<br/>
<a id="pl.71.17"></a><var>71.17</var>(2) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.71.18"></a><var>71.18</var>System, established by chapter 352;<br/>
<a id="pl.71.19"></a><var>71.19</var>(3) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.71.20"></a><var>71.20</var>Retirement System, established by chapter 352;<br/>
<a id="pl.71.21"></a><var>71.21</var>(4) the State Patrol retirement plan, established by chapter 352B;<br/>
<a id="pl.71.22"></a><var>71.22</var>(5) the unclassified state employees retirement program, established by chapter 352D;<br/>
<a id="pl.71.23"></a><var>71.23</var>(6) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.71.24"></a><var>71.24</var>Association, established by chapter 353, including the MERF division of the Public <br/>
<a id="pl.71.25"></a><var>71.25</var>Employees Retirement Association;<br/>
<a id="pl.71.26"></a><var>71.26</var>(7) the public employees police and fire plan of the Public Employees Retirement <br/>
<a id="pl.71.27"></a><var>71.27</var>Association, established by chapter 353;<br/>
<a id="pl.71.28"></a><var>71.28</var>(8) the public employees defined contribution plan, established by chapter 353D;<br/>
<a id="pl.71.29"></a><var>71.29</var>(9) the local government correctional service retirement plan of the Public <br/>
<a id="pl.71.30"></a><var>71.30</var>Employees Retirement Association, established by chapter 353E;<br/>
<a id="pl.71.31"></a><var>71.31</var>(10) the voluntary statewide lump-sum volunteer firefighter retirement plan, <br/>
<a id="pl.71.32"></a><var>71.32</var>established by chapter 353G;<br/>
<a id="pl.71.33"></a><var>71.33</var>(11) the Teachers Retirement Association, established by chapter 354;<br/>
<a id="pl.71.34"></a><var>71.34</var>(12) the Duluth Teachers Retirement Fund Association, established by chapter 354A;<br/>
<a id="pl.72.1"></a><var>72.1</var>(13) (12) the St. Paul Teachers Retirement Fund Association, established by chapter <br/>
<a id="pl.72.2"></a><var>72.2</var>354A;<br/>
<a id="pl.72.3"></a><var>72.3</var>(14) (13) the individual retirement account plan, established by chapter 354B;<br/>
<a id="pl.72.4"></a><var>72.4</var>(15) (14) the higher education supplemental retirement plan, established by chapter <br/>
<a id="pl.72.5"></a><var>72.5</var>354C; and<br/>
<a id="pl.72.6"></a><var>72.6</var>(16) (15) the judges retirement fund, established by chapter 490.<br/>
<br/>
<a id="bill.6.41.0"></a><a id="pl.72.7"></a><var>72.7</var>    Sec. 41. Minnesota Statutes 2012, section 356.42, subdivision 3, is amended to read:<br/>
<a id="pl.72.8"></a><var>72.8</var>    Subd. 3. <b>Covered retirement plans.</b> The postretirement adjustment provided in <br/>
<a id="pl.72.9"></a><var>72.9</var>this section applies to the following retirement funds:<br/>
<a id="pl.72.10"></a><var>72.10</var>(1) the general employees retirement plans of the Public Employees Retirement <br/>
<a id="pl.72.11"></a><var>72.11</var>Association;<br/>
<a id="pl.72.12"></a><var>72.12</var>(2) the public employees police and fire plan of the Public Employees Retirement <br/>
<a id="pl.72.13"></a><var>72.13</var>Association;<br/>
<a id="pl.72.14"></a><var>72.14</var>(3) the teachers retirement association;<br/>
<a id="pl.72.15"></a><var>72.15</var>(4) the State Patrol retirement plan;<br/>
<a id="pl.72.16"></a><var>72.16</var>(5) the state employees retirement plan of the Minnesota State Retirement System;<br/>
<a id="pl.72.17"></a><var>72.17</var> and<br/>
<a id="pl.72.18"></a><var>72.18</var>(6) the St. Paul Teachers Retirement Fund Association established under chapter <br/>
<a id="pl.72.19"></a><var>72.19</var>354A; and.<br/>
<a id="pl.72.20"></a><var>72.20</var>(7) the Duluth Teachers Retirement Fund Association established under chapter <br/>
<a id="pl.72.21"></a><var>72.21</var>354A.<br/>
<br/>
<a id="bill.6.42.0"></a><a id="pl.72.22"></a><var>72.22</var>    Sec. 42. Minnesota Statutes 2012, section 356.465, subdivision 3, is amended to read:<br/>
<a id="pl.72.23"></a><var>72.23</var>    Subd. 3. <b>Covered retirement plans.</b> The provisions of this section apply to the <br/>
<a id="pl.72.24"></a><var>72.24</var>following retirement plans:<br/>
<a id="pl.72.25"></a><var>72.25</var>(1) the general state employees retirement plan of the Minnesota State Retirement <br/>
<a id="pl.72.26"></a><var>72.26</var>System established under chapter 352;<br/>
<a id="pl.72.27"></a><var>72.27</var>(2) the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.72.28"></a><var>72.28</var>Retirement System established under chapter 352;<br/>
<a id="pl.72.29"></a><var>72.29</var>(3) the State Patrol retirement plan established under chapter 352B;<br/>
<a id="pl.72.30"></a><var>72.30</var>(4) the legislators retirement plan established under chapter 3A;<br/>
<a id="pl.72.31"></a><var>72.31</var>(5) the judges retirement plan established under chapter 490;<br/>
<a id="pl.72.32"></a><var>72.32</var>(6) the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.72.33"></a><var>72.33</var>Association established under chapter 353, including the MERF division of the Public <br/>
<a id="pl.72.34"></a><var>72.34</var>Employees Retirement Association;<br/>
<a id="pl.73.1"></a><var>73.1</var>(7) the public employees police and fire plan of the Public Employees Retirement <br/>
<a id="pl.73.2"></a><var>73.2</var>Association established under chapter 353;<br/>
<a id="pl.73.3"></a><var>73.3</var>(8) the teachers retirement plan established under chapter 354;<br/>
<a id="pl.73.4"></a><var>73.4</var>(9) the Duluth Teachers Retirement Fund Association established under chapter <br/>
<a id="pl.73.5"></a><var>73.5</var>354A;<br/>
<a id="pl.73.6"></a><var>73.6</var>(10) (9) the St. Paul Teachers Retirement Fund Association established under <br/>
<a id="pl.73.7"></a><var>73.7</var>chapter 354A; and<br/>
<a id="pl.73.8"></a><var>73.8</var>(11) (10) the local government correctional service retirement plan of the Public <br/>
<a id="pl.73.9"></a><var>73.9</var>Employees Retirement Association established under chapter 353E.<br/>
<br/>
<a id="bill.6.43.0"></a><a id="pl.73.10"></a><var>73.10</var>    Sec. 43. Minnesota Statutes 2012, section 356.47, subdivision 3, is amended to read:<br/>
<a id="pl.73.11"></a><var>73.11</var>    Subd. 3. <b>Payment.</b> (a) Beginning one year after the reemployment withholding <br/>
<a id="pl.73.12"></a><var>73.12</var>period ends relating to the reemployment that gave rise to the limitation, and the filing of a <br/>
<a id="pl.73.13"></a><var>73.13</var>written application, the retired member is entitled to the payment, in a lump sum, of the <br/>
<a id="pl.73.14"></a><var>73.14</var>value of the person's amount under subdivision 2, plus annual compound interest. For the <br/>
<a id="pl.73.15"></a><var>73.15</var>general state employees retirement plan, the correctional state employees retirement plan, <br/>
<a id="pl.73.16"></a><var>73.16</var>the general employees retirement plan of the Public Employees Retirement Association, <br/>
<a id="pl.73.17"></a><var>73.17</var>the public employees police and fire retirement plan, the local government correctional <br/>
<a id="pl.73.18"></a><var>73.18</var>employees retirement plan, and the teachers retirement plan, the annual interest rate is <br/>
<a id="pl.73.19"></a><var>73.19</var>six percent from the date on which the amount was deducted from the retirement annuity <br/>
<a id="pl.73.20"></a><var>73.20</var>to the date of payment or until January 1, 2011, whichever is earlier, and no interest <br/>
<a id="pl.73.21"></a><var>73.21</var>after January 1, 2011. For the Duluth Teachers Retirement Fund Association, the annual <br/>
<a id="pl.73.22"></a><var>73.22</var>interest is six percent from the date on which the amount was deducted from the retirement <br/>
<a id="pl.73.23"></a><var>73.23</var>annuity to the date of payment or until June 30, 2010, whichever is earlier, and with <br/>
<a id="pl.73.24"></a><var>73.24</var>no interest accrual after June 30, 2010. For the St. Paul Teachers Retirement Fund <br/>
<a id="pl.73.25"></a><var>73.25</var>Association, the annual interest is the rate of six percent from the date that the amount was <br/>
<a id="pl.73.26"></a><var>73.26</var>deducted from the retirement annuity to the date of payment or June 30, 2011, whichever <br/>
<a id="pl.73.27"></a><var>73.27</var>is earlier, and with no interest accrual after June 30, 2011.<br/>
<a id="pl.73.28"></a><var>73.28</var>    (b) The written application must be on a form prescribed by the chief administrative <br/>
<a id="pl.73.29"></a><var>73.29</var>officer of the applicable retirement plan.<br/>
<a id="pl.73.30"></a><var>73.30</var>    (c) If the retired member dies before the payment provided for in paragraph (a) is <br/>
<a id="pl.73.31"></a><var>73.31</var>made, the amount is payable, upon written application, to the deceased person's surviving <br/>
<a id="pl.73.32"></a><var>73.32</var>spouse, or if none, to the deceased person's designated beneficiary, or if none, to the <br/>
<a id="pl.73.33"></a><var>73.33</var>deceased person's estate.<br/>
<a id="pl.73.34"></a><var>73.34</var>    (d) In lieu of the direct payment of the person's amount under subdivision 2, on <br/>
<a id="pl.73.35"></a><var>73.35</var>or after the payment date under paragraph (a), if the federal Internal Revenue Code so <br/>
<a id="pl.74.1"></a><var>74.1</var>permits, the retired member may elect to have all or any portion of the payment amount <br/>
<a id="pl.74.2"></a><var>74.2</var>under this section paid in the form of a direct rollover to an eligible retirement plan as <br/>
<a id="pl.74.3"></a><var>74.3</var>defined in section 402(c) of the federal Internal Revenue Code that is specified by the <br/>
<a id="pl.74.4"></a><var>74.4</var>retired member. If the retired member dies with a balance remaining payable under this <br/>
<a id="pl.74.5"></a><var>74.5</var>section, the surviving spouse of the retired member, or if none, the deceased person's <br/>
<a id="pl.74.6"></a><var>74.6</var>designated beneficiary, or if none, the administrator of the deceased person's estate may <br/>
<a id="pl.74.7"></a><var>74.7</var>elect a direct rollover under this paragraph.<br/>
<br/>
<a id="bill.6.44.0"></a><a id="pl.74.8"></a><var>74.8</var>    Sec. 44. Minnesota Statutes 2012, section 356.99, subdivision 1, is amended to read:<br/>
<a id="pl.74.9"></a><var>74.9</var>    Subdivision 1. <b>Definitions.</b> (a) For purposes of this section, the terms in paragraphs <br/>
<a id="pl.74.10"></a><var>74.10</var>(b) to (e) have the meanings given them.<br/>
<a id="pl.74.11"></a><var>74.11</var>(b) "Chief administrative officer" means the person selected or elected by the <br/>
<a id="pl.74.12"></a><var>74.12</var>governing board of a covered pension plan with primary responsibility to administer the <br/>
<a id="pl.74.13"></a><var>74.13</var>covered pension plan, or that person's designee or representative.<br/>
<a id="pl.74.14"></a><var>74.14</var>(c) "Covered pension plan" means a plan enumerated in section 
         <statute_ref>356.30, subdivision <br/>
<a id="pl.74.15"></a><var>74.15</var>3
         </statute_ref>, except clauses (3), (5), and (6).<br/>
<a id="pl.74.16"></a><var>74.16</var>(d) "Governing board" means the governing board of the Minnesota State Retirement <br/>
<a id="pl.74.17"></a><var>74.17</var>System, the Public Employees Retirement Association, the Teachers Retirement <br/>
<a id="pl.74.18"></a><var>74.18</var>Association, the Duluth Teachers Retirement Fund Association, or the St. Paul Teachers <br/>
<a id="pl.74.19"></a><var>74.19</var>Retirement Fund Association.<br/>
<a id="pl.74.20"></a><var>74.20</var>(e) "Member" means an active plan member in a covered pension plan.<br/>
<br/>
<a id="bill.6.45.0"></a><a id="pl.74.21"></a><var>74.21</var>    Sec. 45. Minnesota Statutes 2013 Supplement, section 423A.02, subdivision 3, is <br/>
<a id="pl.74.22"></a><var>74.22</var>amended to read:<br/>
<a id="pl.74.23"></a><var>74.23</var>    Subd. 3. <b>Reallocation of amortization state aid.</b> (a) Seventy percent of the <br/>
<a id="pl.74.24"></a><var>74.24</var>difference between $5,720,000 and the current year amortization aid distributed under <br/>
<a id="pl.74.25"></a><var>74.25</var>subdivision 1 that is not distributed for any reason to a municipality must be distributed <br/>
<a id="pl.74.26"></a><var>74.26</var>by the commissioner of revenue according to this paragraph. The commissioner shall <br/>
<a id="pl.74.27"></a><var>74.27</var>distribute 50 60 percent of the amounts derived under this paragraph to the Teachers <br/>
<a id="pl.74.28"></a><var>74.28</var>Retirement Association, ten percent to the Duluth Teachers Retirement Fund Association,<br/>
<a id="pl.74.29"></a><var>74.29</var> and 40 percent to the St. Paul Teachers Retirement Fund Association to fund the unfunded <br/>
<a id="pl.74.30"></a><var>74.30</var>actuarial accrued liabilities of the respective funds. These payments must be made on July <br/>
<a id="pl.74.31"></a><var>74.31</var>15 each fiscal year. If the St. Paul Teachers Retirement Fund Association or the Duluth <br/>
<a id="pl.74.32"></a><var>74.32</var>Teachers Retirement Fund Association becomes fully funded, the association's eligibility <br/>
<a id="pl.74.33"></a><var>74.33</var>for its portion of this aid ceases. Amounts remaining in the undistributed balance account <br/>
<a id="pl.74.34"></a><var>74.34</var>at the end of the biennium if aid eligibility ceases cancel to the general fund.<br/>
<a id="pl.75.1"></a><var>75.1</var>    (b) In order to receive amortization aid under paragraph (a), before June 30 annually <br/>
<a id="pl.75.2"></a><var>75.2</var>Independent School District No. 625, St. Paul, must make an additional contribution of <br/>
<a id="pl.75.3"></a><var>75.3</var>$800,000 each year to the St. Paul Teachers Retirement Fund Association.<br/>
<a id="pl.75.4"></a><var>75.4</var>    (c) Thirty percent of the difference between $5,720,000 and the current year <br/>
<a id="pl.75.5"></a><var>75.5</var>amortization aid under subdivision 1a that is not distributed for any reason to a <br/>
<a id="pl.75.6"></a><var>75.6</var>municipality must be distributed under section 
         <statute_ref>69.021, subdivision 7</statute_ref>, paragraph (d), as <br/>
<a id="pl.75.7"></a><var>75.7</var>additional funding to support a minimum fire state aid amount for volunteer firefighter <br/>
<a id="pl.75.8"></a><var>75.8</var>relief associations.<br/>
<br/>
<a id="bill.6.46.0"></a><a id="pl.75.9"></a><var>75.9</var>    Sec. 46. <b>CONSOLIDATION OF DULUTH TEACHERS RETIREMENT FUND </b><br/>
<a id="pl.75.10"></a><var>75.10</var><b>ASSOCIATION.</b><br/>
<a id="pl.75.11"></a><var>75.11</var>    Subdivision 1. <b>Membership transfer.</b> All active, inactive, and retired members <br/>
<a id="pl.75.12"></a><var>75.12</var>of the Duluth Teachers Retirement Fund Association are transferred to the Teachers <br/>
<a id="pl.75.13"></a><var>75.13</var>Retirement Association and are no longer members of the Duluth Teachers Retirement <br/>
<a id="pl.75.14"></a><var>75.14</var>Fund Association as of July 1, 2015.<br/>
<a id="pl.75.15"></a><var>75.15</var>    Subd. 2. <b>Teachers Retirement Association membership.</b> A person first hired as a <br/>
<a id="pl.75.16"></a><var>75.16</var>teacher by Independent School District No. 709, Duluth, after June 30, 2015, and who is a <br/>
<a id="pl.75.17"></a><var>75.17</var>teacher as defined in Minnesota Statutes, section 
<statute_ref>354.05</statute_ref>, subdivision 2, is a member of the <br/>
<a id="pl.75.18"></a><var>75.18</var>Teachers Retirement Association for the person's subsequent teaching service.<br/>
<a id="pl.75.19"></a><var>75.19</var>    Subd. 3. <b>Service credit and liability transfer.</b> All allowable service and salary <br/>
<a id="pl.75.20"></a><var>75.20</var>credit of the members and other individuals transferred under subdivision 1 as specified <br/>
<a id="pl.75.21"></a><var>75.21</var>in the records of the Duluth Teachers Retirement Fund Association as of June 30, 2015, <br/>
<a id="pl.75.22"></a><var>75.22</var>is allowable service credit under Minnesota Statutes, section 
<statute_ref>354.05</statute_ref>, subdivision 13, <br/>
<a id="pl.75.23"></a><var>75.23</var>formula service credit under Minnesota Statutes, section 
<statute_ref>354.05</statute_ref>, subdivision 25, and <br/>
<a id="pl.75.24"></a><var>75.24</var>salary credit under Minnesota Statutes, section 
<statute_ref>354.05</statute_ref>, subdivision 35, for the Teachers <br/>
<a id="pl.75.25"></a><var>75.25</var>Retirement Association.<br/>
<a id="pl.75.26"></a><var>75.26</var>    Subd. 4. <b>Transfer of records.</b> On or before June 30, 2015, the chief administrative <br/>
<a id="pl.75.27"></a><var>75.27</var>officer of the Duluth Teachers Retirement Fund Association shall transfer all records and <br/>
<a id="pl.75.28"></a><var>75.28</var>documents relating to the funds and the benefit plans of the association to the executive <br/>
<a id="pl.75.29"></a><var>75.29</var>director of the Teachers Retirement Association. To the extent possible, original copies of <br/>
<a id="pl.75.30"></a><var>75.30</var>all records and documents must be transferred.<br/>
<a id="pl.75.31"></a><var>75.31</var>    Subd. 5. <b>Transfer of assets.</b> (a) On or before December 31, 2014, the chief <br/>
<a id="pl.75.32"></a><var>75.32</var>administrative officer of the Duluth Teachers Retirement Fund Association shall transfer <br/>
<a id="pl.75.33"></a><var>75.33</var>to the State Board of Investment for investment under Minnesota Statutes, section 11A.14, <br/>
<a id="pl.75.34"></a><var>75.34</var>the entire assets of the special retirement fund, except for direct real estate holdings, of the <br/>
<a id="pl.75.35"></a><var>75.35</var>Duluth Teachers Retirement Fund Association.<br/>
<a id="pl.76.1"></a><var>76.1</var>(b) By August 1, 2014, the chief administrative officer of the Duluth Teachers <br/>
<a id="pl.76.2"></a><var>76.2</var>Retirement Fund Association must provide to the State Board of Investment a list of <br/>
<a id="pl.76.3"></a><var>76.3</var>assets that are intended to be transferred.<br/>
<a id="pl.76.4"></a><var>76.4</var>(c) The executive director of the State Board of Investment shall review the assets <br/>
<a id="pl.76.5"></a><var>76.5</var>and determine which assets are not in compliance with the requirements and limitations <br/>
<a id="pl.76.6"></a><var>76.6</var>set forth in Minnesota Statutes, sections 11A.09, 11A.14, 11A.23, and 11A.24, or are not <br/>
<a id="pl.76.7"></a><var>76.7</var>appropriate for retention under the established investment objectives of the State Board of <br/>
<a id="pl.76.8"></a><var>76.8</var>Investment. Within 30 days of the date on which the asset transfer occurred, the executive <br/>
<a id="pl.76.9"></a><var>76.9</var>director of the State Board of Investment shall provide the chief administrative officer of <br/>
<a id="pl.76.10"></a><var>76.10</var>the Duluth Teachers Retirement Fund Association with a list of assets that are acceptable <br/>
<a id="pl.76.11"></a><var>76.11</var>for transfer and a list of assets that are noncompliant or inappropriate. Acceptable assets, <br/>
<a id="pl.76.12"></a><var>76.12</var>including cash, must be transferred at market value, and transfers may begin upon the <br/>
<a id="pl.76.13"></a><var>76.13</var>transfer of legal title and notification by the chief administrative officer of the Duluth <br/>
<a id="pl.76.14"></a><var>76.14</var>Teachers Retirement Fund Association to the State Board of Investment.<br/>
<a id="pl.76.15"></a><var>76.15</var>(d) Assets deemed to be noncompliant or inappropriate must be retained by the <br/>
<a id="pl.76.16"></a><var>76.16</var>Duluth Teachers Retirement Fund Association. Within 30 days of receipt of the list of <br/>
<a id="pl.76.17"></a><var>76.17</var>noncompliant or inappropriate assets, the chief administrative officer of the Duluth <br/>
<a id="pl.76.18"></a><var>76.18</var>Teachers Retirement Fund Association must provide the executive director of the State <br/>
<a id="pl.76.19"></a><var>76.19</var>Board of Investment with evidence that the chief administrative officer of the Duluth <br/>
<a id="pl.76.20"></a><var>76.20</var>Teachers Retirement Fund Association is taking action to convert noncompliant or <br/>
<a id="pl.76.21"></a><var>76.21</var>inappropriate assets to acceptable assets.<br/>
<a id="pl.76.22"></a><var>76.22</var>(e) Beginning January 1, 2015, the executive director of the State Board of <br/>
<a id="pl.76.23"></a><var>76.23</var>Investment is authorized to direct the process of transferring legal title of assets for which <br/>
<a id="pl.76.24"></a><var>76.24</var>such change is deemed necessary.<br/>
<a id="pl.76.25"></a><var>76.25</var>(f) On June 30, 2015, the remaining assets of the special retirement fund of the <br/>
<a id="pl.76.26"></a><var>76.26</var>Duluth Teachers Retirement Fund Association are transferred to the State Board of <br/>
<a id="pl.76.27"></a><var>76.27</var>Investment at market values determined by the executive director of the State Board of <br/>
<a id="pl.76.28"></a><var>76.28</var>Investment. Legal title to transferred assets vests with the State Board of Investment <br/>
<a id="pl.76.29"></a><var>76.29</var>on behalf of the Teachers Retirement Association. The transfer of the assets of the <br/>
<a id="pl.76.30"></a><var>76.30</var>Duluth Teachers Retirement Fund Association special retirement fund must include any <br/>
<a id="pl.76.31"></a><var>76.31</var>investment-related accounts receivable that are determined by the executive director <br/>
<a id="pl.76.32"></a><var>76.32</var>of the State Board of Investment as reasonably capable of being collected and any <br/>
<a id="pl.76.33"></a><var>76.33</var>non-investment-related accounts receivable that are determined by the executive director <br/>
<a id="pl.76.34"></a><var>76.34</var>of the Teachers Retirement Association as reasonably capable of being collected. For <br/>
<a id="pl.76.35"></a><var>76.35</var>accounts receivable that are determined as not reasonably capable of being collected, legal <br/>
<a id="pl.76.36"></a><var>76.36</var>title to the account transfers to Independent School District No. 709, Duluth, as of the <br/>
<a id="pl.77.1"></a><var>77.1</var>date of the determination of the executive director of the State Board of Investment and <br/>
<a id="pl.77.2"></a><var>77.2</var>the executive director of the Teachers Retirement Association. If the accounts receivable <br/>
<a id="pl.77.3"></a><var>77.3</var>transferred to Independent School District No. 709, Duluth, are subsequently recovered <br/>
<a id="pl.77.4"></a><var>77.4</var>by the school district, the superintendent of Independent School District No. 709, Duluth, <br/>
<a id="pl.77.5"></a><var>77.5</var>shall transfer the recovered amount to the executive director of the Teachers Retirement <br/>
<a id="pl.77.6"></a><var>77.6</var>Association, in cash, for deposit in the teachers retirement fund, less the reasonable <br/>
<a id="pl.77.7"></a><var>77.7</var>expenses of the school district related to the recovery. If the board of trustees of the Duluth <br/>
<a id="pl.77.8"></a><var>77.8</var>Teachers Retirement Fund Association establishes a liquidating trust and deposits any of <br/>
<a id="pl.77.9"></a><var>77.9</var>the retirement fund association assets in that trust or if the legislative auditor determines <br/>
<a id="pl.77.10"></a><var>77.10</var>that the transferred assets were in an amount less than the full assets of the retirement fund <br/>
<a id="pl.77.11"></a><var>77.11</var>association other than assets in the tax sheltered annuity program on the date of transfer as <br/>
<a id="pl.77.12"></a><var>77.12</var>specified in paragraph (g), the amount of any untransferred assets are a claim against the <br/>
<a id="pl.77.13"></a><var>77.13</var>state aid otherwise payable to Independent School District No. 709, Duluth, payable to the <br/>
<a id="pl.77.14"></a><var>77.14</var>Teachers Retirement Association by the commissioner of management and budget upon <br/>
<a id="pl.77.15"></a><var>77.15</var>request by the executive director of the Teachers Retirement Association.<br/>
<a id="pl.77.16"></a><var>77.16</var>(g) As of June 30, 2015, assets of the special retirement fund, except for direct real <br/>
<a id="pl.77.17"></a><var>77.17</var>estate holdings, of the Duluth Teachers Retirement Fund Association are assets of the <br/>
<a id="pl.77.18"></a><var>77.18</var>Teachers Retirement Association to be invested by the State Board of Investment under <br/>
<a id="pl.77.19"></a><var>77.19</var>Minnesota Statutes, section 354.07, subdivision 4.<br/>
<a id="pl.77.20"></a><var>77.20</var>    Subd. 6. <b>Termination of Duluth Teachers Retirement Fund Association special </b><br/>
<a id="pl.77.21"></a><var>77.21</var><b>retirement fund.</b> (a) As of June 30, 2015, the Duluth Teachers Retirement Fund <br/>
<a id="pl.77.22"></a><var>77.22</var>Association as a public retirement plan and its special retirement fund ceases to exist.<br/>
<a id="pl.77.23"></a><var>77.23</var>(b) Contracts, records, and obligations of the Duluth Teachers Retirement Fund <br/>
<a id="pl.77.24"></a><var>77.24</var>Association special retirement fund existing at the time of consolidation with the Teachers <br/>
<a id="pl.77.25"></a><var>77.25</var>Retirement Association are transferred to the Teachers Retirement Association under <br/>
<a id="pl.77.26"></a><var>77.26</var>Minnesota Statutes, section 
<statute_ref>15.039</statute_ref>, subdivisions 5 and 5a, except that contracts, records, <br/>
<a id="pl.77.27"></a><var>77.27</var>and obligations of the Duluth Teachers Retirement Fund Association special retirement <br/>
<a id="pl.77.28"></a><var>77.28</var>fund related to investment and safekeeping of assets are transferred to the State Board <br/>
<a id="pl.77.29"></a><var>77.29</var>of Investment under Minnesota Statutes, section 
<statute_ref>15.039</statute_ref>, subdivisions 5 and 5a. The <br/>
<a id="pl.77.30"></a><var>77.30</var>State Board of Investment has the authority to pay the investment-related liabilities <br/>
<a id="pl.77.31"></a><var>77.31</var>and obligations from the assets transferred from the Duluth Teachers Retirement Fund <br/>
<a id="pl.77.32"></a><var>77.32</var>Association incurred by the Teachers Retirement Association. The legislative auditor shall <br/>
<a id="pl.77.33"></a><var>77.33</var>audit the Duluth Teachers Retirement Fund Association for the fiscal year ending June 30, <br/>
<a id="pl.77.34"></a><var>77.34</var>2015, as part of the Teachers Retirement Association board's annual financial reporting <br/>
<a id="pl.77.35"></a><var>77.35</var>requirements under Minnesota Statutes, section 356.20. The board of trustees of the <br/>
<a id="pl.77.36"></a><var>77.36</var>Teachers Retirement Association may authorize and contract with either the legislative <br/>
<a id="pl.78.1"></a><var>78.1</var>auditor or the state auditor to perform other audit services. Between April 1, 2015, and <br/>
<a id="pl.78.2"></a><var>78.2</var>June 30, 2015, the Duluth Teachers Retirement Fund Association cannot incur a new or <br/>
<a id="pl.78.3"></a><var>78.3</var>additional enforceable contractual liability or obligation without approval of the executive <br/>
<a id="pl.78.4"></a><var>78.4</var>director of the Teachers Retirement Association.<br/>
<br/>
<a id="bill.6.47.0"></a><a id="pl.78.5"></a><var>78.5</var>    Sec. 47. <b>DULUTH TEACHERS RETIREMENT FUND ASSOCIATION </b><br/>
<a id="pl.78.6"></a><var>78.6</var><b>EMPLOYEES.</b><br/>
<a id="pl.78.7"></a><var>78.7</var>Effective June 30, 2015, the employees of the Duluth Teachers Retirement <br/>
<a id="pl.78.8"></a><var>78.8</var>Fund Association have their employment with the Duluth Teachers Retirement Fund <br/>
<a id="pl.78.9"></a><var>78.9</var>Association terminated and, effective July 1, 2015, unless the former employee elects <br/>
<a id="pl.78.10"></a><var>78.10</var>otherwise, the Duluth Teachers Retirement Fund Association employees, excluding the <br/>
<a id="pl.78.11"></a><var>78.11</var>Executive Director, become employees of the Teachers Retirement Association.  The <br/>
<a id="pl.78.12"></a><var>78.12</var>commissioner of management and budget shall place employees from the former Duluth <br/>
<a id="pl.78.13"></a><var>78.13</var>Teachers Retirement Fund Association into state service in their proper classifications, <br/>
<a id="pl.78.14"></a><var>78.14</var>except that employees are appointed without examination and must be compensated at no <br/>
<a id="pl.78.15"></a><var>78.15</var>less than their current hourly salary rate. Employees must have their accumulated, but <br/>
<a id="pl.78.16"></a><var>78.16</var>unused, vacation leave balance as of June 30, 2015, posted to their credit by the Teachers <br/>
<a id="pl.78.17"></a><var>78.17</var>Retirement Association, but if the employee has vacation time in excess of the applicable <br/>
<a id="pl.78.18"></a><var>78.18</var>maximum, no additional vacation may accrue until the employee's balance falls below <br/>
<a id="pl.78.19"></a><var>78.19</var>the maximum permitted by the state for the employee's position. The employees must <br/>
<a id="pl.78.20"></a><var>78.20</var>receive length of service credit for vacation leave accrual for time served at the Duluth <br/>
<a id="pl.78.21"></a><var>78.21</var>Teachers Retirement Fund Association. Duluth Teachers Retirement Fund Association <br/>
<a id="pl.78.22"></a><var>78.22</var>employees who become employees of the Teachers Retirement Association effective on <br/>
<a id="pl.78.23"></a><var>78.23</var>July 1, 2015, must be considered to have completed six months of continuous service <br/>
<a id="pl.78.24"></a><var>78.24</var>for vacation use purposes. Employees of the former Duluth Teachers Retirement Fund <br/>
<a id="pl.78.25"></a><var>78.25</var>Association appointed to the classified service are subject to a probationary period under <br/>
<a id="pl.78.26"></a><var>78.26</var>the collective bargaining agreement or compensation plan applicable to the employee's <br/>
<a id="pl.78.27"></a><var>78.27</var>position at the Teachers Retirement Association. Effective July 1, 2015, all transferred <br/>
<a id="pl.78.28"></a><var>78.28</var>employees must be enrolled in the state employees' group insurance program as provided <br/>
<a id="pl.78.29"></a><var>78.29</var>in Minnesota Statutes, sections 43A.22 to 43A.31, and the commissioner of management <br/>
<a id="pl.78.30"></a><var>78.30</var>and budget shall provide open enrollment in all state employee health and dental insurance <br/>
<a id="pl.78.31"></a><var>78.31</var>plans with no limitation on preexisting conditions except as specified in existing state <br/>
<a id="pl.78.32"></a><var>78.32</var>employee certificates of coverage. The commissioner of management and budget shall <br/>
<a id="pl.78.33"></a><var>78.33</var>provide these transferred employees with the opportunity to purchase optional life and <br/>
<a id="pl.78.34"></a><var>78.34</var>disability insurance as provided by the state group insurance program in accordance with <br/>
<a id="pl.78.35"></a><var>78.35</var>the policies of management and budget.<br/>
<br/>
<a id="bill.6.48.0"></a><a id="pl.79.1"></a><var>79.1</var>    Sec. 48. <b> REPEALER.</b><br/>
<a id="pl.79.2"></a><var>79.2</var>(a) Minnesota Statutes 2012, sections 354A.021, subdivision 5; 354A.108; 354A.24; <br/>
<a id="pl.79.3"></a><var>79.3</var>and 354A.27, subdivision 5, are repealed.<br/>
<a id="pl.79.4"></a><var>79.4</var>(b) Minnesota Statutes 2013 Supplement, sections 354A.27, subdivisions 6a and 7; <br/>
<a id="pl.79.5"></a><var>79.5</var>and 354A.31, subdivision 4a, are repealed.<br/>
<br/>
<a id="bill.6.49.0"></a><a id="pl.79.6"></a><var>79.6</var>    Sec. 49. <b>EFFECTIVE DATE.</b><br/>
<a id="pl.79.7"></a><var>79.7</var>(a) Section 46, subdivision 5, is effective October 1, 2014. Sections 1 to 14, 16 to <br/>
<a id="pl.79.8"></a><var>79.8</var>45, 46, subdivisions 1 to 4 and 6, 47, and 49 are effective June 30, 2015, if the following <br/>
<a id="pl.79.9"></a><var>79.9</var>approve the consolidation provisions before October 1, 2014:<br/>
<a id="pl.79.10"></a><var>79.10</var>(1) the board of trustees of the Duluth Teachers Retirement Fund Association;<br/>
<a id="pl.79.11"></a><var>79.11</var>(2) the membership of the Duluth Teachers Retirement Fund Association; and<br/>
<a id="pl.79.12"></a><var>79.12</var>(3) the board of trustees of the Teachers Retirement Association.<br/>
<a id="pl.79.13"></a><var>79.13</var>(b) An approval under paragraph (a) must be provided in a timely manner in <br/>
<a id="pl.79.14"></a><var>79.14</var>compliance with Minnesota Statutes, section 645.021, subdivisions 2 and 3, to the secretary <br/>
<a id="pl.79.15"></a><var>79.15</var>of state, the state auditor, the legislative auditor, and the revisor of statutes by the chief <br/>
<a id="pl.79.16"></a><var>79.16</var>administrative officer of the Duluth Teachers Retirement Fund Association for an approval <br/>
<a id="pl.79.17"></a><var>79.17</var>under paragraph (a) by the board of trustees of the Duluth Teachers Retirement Fund <br/>
<a id="pl.79.18"></a><var>79.18</var>Association or by the membership of the Duluth Teachers Retirement Fund Association and <br/>
<a id="pl.79.19"></a><var>79.19</var>by the chief administrative officer of the Teachers Retirement Association for an approval <br/>
<a id="pl.79.20"></a><var>79.20</var>under paragraph (a) by the board of trustees of the Teachers Retirement Association.<br/>
<br/>
<a id="bill.7.0.0"></a>

<a id="pl.79.23"></a><var>79.23</var><b>ASSOCIATION CHANGES</b><br/>

<a id="bill.7.1.0"></a><a id="pl.79.24"></a><var>79.24</var>    Section 1. Minnesota Statutes 2013 Supplement, section 354A.12, subdivision 3a, <br/>
<a id="pl.79.25"></a><var>79.25</var>is amended to read:<br/>
<a id="pl.79.26"></a><var>79.26</var>    Subd. 3a. <b>Special</b><b> Direct state aid to first class city teachers retirement fund </b><br/>
<a id="pl.79.27"></a><var>79.27</var><b>associations.</b> (a) The state shall pay $346,000 as special direct state aid to the Duluth <br/>
<a id="pl.79.28"></a><var>79.28</var>Teachers Retirement Fund Association and $2,827,000 to the St. Paul Teachers Retirement <br/>
<a id="pl.79.29"></a><var>79.29</var>Fund Association.<br/>
<a id="pl.79.30"></a><var>79.30</var>(b) In addition to other amounts specified in this subdivision, the state shall pay <br/>
<a id="pl.79.31"></a><var>79.31</var>$7,000,000 as state aid to the St. Paul Teachers Retirement Fund Association.<br/>
<a id="pl.79.32"></a><var>79.32</var>    (b) (c) The aids under this subdivision are payable October 1 annually. The <br/>
<a id="pl.79.33"></a><var>79.33</var>commissioner of management and budget shall pay the aids specified in this subdivision. <br/>
<a id="pl.80.1"></a><var>80.1</var>The amounts required are appropriated annually from the general fund to the commissioner <br/>
<a id="pl.80.2"></a><var>80.2</var>of management and budget.<br/>
<a id="pl.80.3"></a><var>80.3</var><b>EFFECTIVE DATE.</b>This section is effective September 30, 2016.<br/>
<br/>
<a id="bill.7.2.0"></a><a id="pl.80.4"></a><var>80.4</var>    Sec. 2. Minnesota Statutes 2013 Supplement, section 354A.12, subdivision 3c, is <br/>
<a id="pl.80.5"></a><var>80.5</var>amended to read:<br/>
<a id="pl.80.6"></a><var>80.6</var>    Subd. 3c. <b>Termination of supplemental contributions and direct matching </b><br/>
<a id="pl.80.7"></a><var>80.7</var><b>and state aid.</b> (a) The supplemental contributions payable to the St. Paul Teachers <br/>
<a id="pl.80.8"></a><var>80.8</var>Retirement Fund Association by Independent School District No. 625 under section <br/>
<statute_ref><a id="pl.80.9"></a><var>80.9</var>423A.02, subdivision 3
         </statute_ref>, and all forms of state aid under subdivision 3a to the St. Paul <br/>
<a id="pl.80.10"></a><var>80.10</var>Teachers Retirement Fund Association must continue until the current assets of the fund <br/>
<a id="pl.80.11"></a><var>80.11</var>equal or exceed the actuarial accrued liability of the fund as determined in the most recent <br/>
<a id="pl.80.12"></a><var>80.12</var>actuarial report for the fund by the actuary retained under section 
         <statute_ref>356.214</statute_ref> or until June <br/>
<a id="pl.80.13"></a><var>80.13</var>30, 2037 the established date for full funding under section 356.215, subdivision 11, <br/>
<a id="pl.80.14"></a><var>80.14</var>whichever occurs earlier.<br/>
<a id="pl.80.15"></a><var>80.15</var>(b) The aid to the Duluth Teachers Retirement Fund Association under section <br/>
<statute_ref><a id="pl.80.16"></a><var>80.16</var>423A.02, subdivision 3
         </statute_ref>, and all forms of state aid under subdivision 3a to the Duluth <br/>
<a id="pl.80.17"></a><var>80.17</var>Teachers Retirement Fund Association must continue until the current assets of the fund <br/>
<a id="pl.80.18"></a><var>80.18</var>equal or exceed the actuarial accrued liability of the fund as determined in the most <br/>
<a id="pl.80.19"></a><var>80.19</var>recent actuarial report for the fund by the actuary retained under section 
         <statute_ref>356.214</statute_ref> or until <br/>
<a id="pl.80.20"></a><var>80.20</var>the established date for full funding under section 
         <statute_ref>356.215, subdivision 11</statute_ref>, whichever <br/>
<a id="pl.80.21"></a><var>80.21</var>occurs earlier.<br/>
<a id="pl.80.22"></a><var>80.22</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.7.3.0"></a><a id="pl.80.23"></a><var>80.23</var>    Sec. 3. Minnesota Statutes 2012, section 356.215, subdivision 11, is amended to read:<br/>
<a id="pl.80.24"></a><var>80.24</var>    Subd. 11. <b>Amortization contributions.</b> (a) In addition to the exhibit indicating <br/>
<a id="pl.80.25"></a><var>80.25</var>the level normal cost, the actuarial valuation of the retirement plan must contain an <br/>
<a id="pl.80.26"></a><var>80.26</var>exhibit for financial reporting purposes indicating the additional annual contribution <br/>
<a id="pl.80.27"></a><var>80.27</var>sufficient to amortize the unfunded actuarial accrued liability and must contain an exhibit <br/>
<a id="pl.80.28"></a><var>80.28</var>for contribution determination purposes indicating the additional contribution sufficient <br/>
<a id="pl.80.29"></a><var>80.29</var>to amortize the unfunded actuarial accrued liability. For the retirement plans listed in <br/>
<a id="pl.80.30"></a><var>80.30</var>subdivision 8, paragraph (c), but excluding the MERF division of the Public Employees <br/>
<a id="pl.80.31"></a><var>80.31</var>Retirement Association and the legislators retirement plan, the additional contribution <br/>
<a id="pl.80.32"></a><var>80.32</var>must be calculated on a level percentage of covered payroll basis by the established <br/>
<a id="pl.80.33"></a><var>80.33</var>date for full funding in effect when the valuation is prepared, assuming annual payroll <br/>
<a id="pl.81.1"></a><var>81.1</var>growth at the applicable percentage rate set forth in subdivision 8, paragraph (c). For all <br/>
<a id="pl.81.2"></a><var>81.2</var>other retirement plans and for the MERF division of the Public Employees Retirement <br/>
<a id="pl.81.3"></a><var>81.3</var>Association and the legislators retirement plan, the additional annual contribution must be <br/>
<a id="pl.81.4"></a><var>81.4</var>calculated on a level annual dollar amount basis.<br/>
<a id="pl.81.5"></a><var>81.5</var>    (b) For any retirement plan other than the general state employees retirement plan <br/>
<a id="pl.81.6"></a><var>81.6</var>of the Minnesota State Retirement System or a retirement plan governed by paragraph <br/>
<a id="pl.81.7"></a><var>81.7</var>(d), (e), (f), (g), (h), (i), or (j), if there has not been a change in the actuarial assumptions <br/>
<a id="pl.81.8"></a><var>81.8</var>used for calculating the actuarial accrued liability of the fund, a change in the benefit <br/>
<a id="pl.81.9"></a><var>81.9</var>plan governing annuities and benefits payable from the fund, a change in the actuarial <br/>
<a id="pl.81.10"></a><var>81.10</var>cost method used in calculating the actuarial accrued liability of all or a portion of the <br/>
<a id="pl.81.11"></a><var>81.11</var>fund, or a combination of the three, which change or changes by itself or by themselves <br/>
<a id="pl.81.12"></a><var>81.12</var>without inclusion of any other items of increase or decrease produce a net increase in the <br/>
<a id="pl.81.13"></a><var>81.13</var>unfunded actuarial accrued liability of the fund, the established date for full funding is the <br/>
<a id="pl.81.14"></a><var>81.14</var>first actuarial valuation date occurring after June 1, 2020.<br/>
<a id="pl.81.15"></a><var>81.15</var>    (c) For any retirement plan other than the general employees retirement plan of the <br/>
<a id="pl.81.16"></a><var>81.16</var>Public Employees Retirement Association, if there has been a change in any or all of the <br/>
<a id="pl.81.17"></a><var>81.17</var>actuarial assumptions used for calculating the actuarial accrued liability of the fund, a <br/>
<a id="pl.81.18"></a><var>81.18</var>change in the benefit plan governing annuities and benefits payable from the fund, a <br/>
<a id="pl.81.19"></a><var>81.19</var>change in the actuarial cost method used in calculating the actuarial accrued liability of all <br/>
<a id="pl.81.20"></a><var>81.20</var>or a portion of the fund, or a combination of the three, and the change or changes, by itself <br/>
<a id="pl.81.21"></a><var>81.21</var>or by themselves and without inclusion of any other items of increase or decrease, produce <br/>
<a id="pl.81.22"></a><var>81.22</var>a net increase in the unfunded actuarial accrued liability in the fund, the established date <br/>
<a id="pl.81.23"></a><var>81.23</var>for full funding must be determined using the following procedure:<br/>
<a id="pl.81.24"></a><var>81.24</var>    (i) the unfunded actuarial accrued liability of the fund must be determined in <br/>
<a id="pl.81.25"></a><var>81.25</var>accordance with the plan provisions governing annuities and retirement benefits and the <br/>
<a id="pl.81.26"></a><var>81.26</var>actuarial assumptions in effect before an applicable change;<br/>
<a id="pl.81.27"></a><var>81.27</var>    (ii) the level annual dollar contribution or level percentage, whichever is applicable, <br/>
<a id="pl.81.28"></a><var>81.28</var>needed to amortize the unfunded actuarial accrued liability amount determined under item <br/>
<a id="pl.81.29"></a><var>81.29</var>(i) by the established date for full funding in effect before the change must be calculated <br/>
<a id="pl.81.30"></a><var>81.30</var>using the interest assumption specified in subdivision 8 in effect before the change;<br/>
<a id="pl.81.31"></a><var>81.31</var>    (iii) the unfunded actuarial accrued liability of the fund must be determined in <br/>
<a id="pl.81.32"></a><var>81.32</var>accordance with any new plan provisions governing annuities and benefits payable from <br/>
<a id="pl.81.33"></a><var>81.33</var>the fund and any new actuarial assumptions and the remaining plan provisions governing <br/>
<a id="pl.81.34"></a><var>81.34</var>annuities and benefits payable from the fund and actuarial assumptions in effect before <br/>
<a id="pl.81.35"></a><var>81.35</var>the change;<br/>
<a id="pl.82.1"></a><var>82.1</var>    (iv) the level annual dollar contribution or level percentage, whichever is applicable, <br/>
<a id="pl.82.2"></a><var>82.2</var>needed to amortize the difference between the unfunded actuarial accrued liability amount <br/>
<a id="pl.82.3"></a><var>82.3</var>calculated under item (i) and the unfunded actuarial accrued liability amount calculated <br/>
<a id="pl.82.4"></a><var>82.4</var>under item (iii) over a period of 30 years from the end of the plan year in which the <br/>
<a id="pl.82.5"></a><var>82.5</var>applicable change is effective must be calculated using the applicable interest assumption <br/>
<a id="pl.82.6"></a><var>82.6</var>specified in subdivision 8 in effect after any applicable change;<br/>
<a id="pl.82.7"></a><var>82.7</var>    (v) the level annual dollar or level percentage amortization contribution under item <br/>
<a id="pl.82.8"></a><var>82.8</var>(iv) must be added to the level annual dollar amortization contribution or level percentage <br/>
<a id="pl.82.9"></a><var>82.9</var>calculated under item (ii);<br/>
<a id="pl.82.10"></a><var>82.10</var>    (vi) the period in which the unfunded actuarial accrued liability amount determined <br/>
<a id="pl.82.11"></a><var>82.11</var>in item (iii) is amortized by the total level annual dollar or level percentage amortization <br/>
<a id="pl.82.12"></a><var>82.12</var>contribution computed under item (v) must be calculated using the interest assumption <br/>
<a id="pl.82.13"></a><var>82.13</var>specified in subdivision 8 in effect after any applicable change, rounded to the nearest <br/>
<a id="pl.82.14"></a><var>82.14</var>integral number of years, but not to exceed 30 years from the end of the plan year in which <br/>
<a id="pl.82.15"></a><var>82.15</var>the determination of the established date for full funding using the procedure set forth in this <br/>
<a id="pl.82.16"></a><var>82.16</var>clause is made and not to be less than the period of years beginning in the plan year in which <br/>
<a id="pl.82.17"></a><var>82.17</var>the determination of the established date for full funding using the procedure set forth in <br/>
<a id="pl.82.18"></a><var>82.18</var>this clause is made and ending by the date for full funding in effect before the change; and<br/>
<a id="pl.82.19"></a><var>82.19</var>    (vii) the period determined under item (vi) must be added to the date as of which <br/>
<a id="pl.82.20"></a><var>82.20</var>the actuarial valuation was prepared and the date obtained is the new established date <br/>
<a id="pl.82.21"></a><var>82.21</var>for full funding.<br/>
<a id="pl.82.22"></a><var>82.22</var>    (d) For the MERF division of the Public Employees Retirement Association, the <br/>
<a id="pl.82.23"></a><var>82.23</var>established date for full funding is June 30, 2031.<br/>
<a id="pl.82.24"></a><var>82.24</var>    (e) For the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.82.25"></a><var>82.25</var>Association, the established date for full funding is June 30, 2031.<br/>
<a id="pl.82.26"></a><var>82.26</var>    (f) For the Teachers Retirement Association, the established date for full funding is <br/>
<a id="pl.82.27"></a><var>82.27</var>June 30, 2037.<br/>
<a id="pl.82.28"></a><var>82.28</var>    (g) For the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.82.29"></a><var>82.29</var>Retirement System, the established date for full funding is June 30, 2038.<br/>
<a id="pl.82.30"></a><var>82.30</var>    (h) For the judges retirement plan, the established date for full funding is June <br/>
<a id="pl.82.31"></a><var>82.31</var>30, 2038.<br/>
<a id="pl.82.32"></a><var>82.32</var>    (i) For the public employees police and fire retirement plan, the established date <br/>
<a id="pl.82.33"></a><var>82.33</var>for full funding is June 30, 2038.<br/>
<a id="pl.82.34"></a><var>82.34</var>    (j) For the St. Paul Teachers Retirement Fund Association, the established date for <br/>
<a id="pl.82.35"></a><var>82.35</var>full funding is June 30 of the 25th year from the valuation date, 2042. In addition to <br/>
<a id="pl.82.36"></a><var>82.36</var>other requirements of this chapter, the annual actuarial valuation must contain an exhibit <br/>
<a id="pl.83.1"></a><var>83.1</var>indicating the funded ratio and the deficiency or sufficiency in annual contributions when <br/>
<a id="pl.83.2"></a><var>83.2</var>comparing liabilities to the market value of the assets of the fund as of the close of the <br/>
<a id="pl.83.3"></a><var>83.3</var>most recent fiscal year.<br/>
<a id="pl.83.4"></a><var>83.4</var>(k) For the general state employees retirement plan of the Minnesota State <br/>
<a id="pl.83.5"></a><var>83.5</var>Retirement System, the established date for full funding is June 30, 2040.<br/>
<a id="pl.83.6"></a><var>83.6</var>    (l) For the retirement plans for which the annual actuarial valuation indicates an <br/>
<a id="pl.83.7"></a><var>83.7</var>excess of valuation assets over the actuarial accrued liability, the valuation assets in <br/>
<a id="pl.83.8"></a><var>83.8</var>excess of the actuarial accrued liability must be recognized as a reduction in the current <br/>
<a id="pl.83.9"></a><var>83.9</var>contribution requirements by an amount equal to the amortization of the excess expressed <br/>
<a id="pl.83.10"></a><var>83.10</var>as a level percentage of pay over a 30-year period beginning anew with each annual <br/>
<a id="pl.83.11"></a><var>83.11</var>actuarial valuation of the plan.<br/>
<a id="pl.83.12"></a><var>83.12</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.0.0"></a>

<a id="bill.8.1.0"></a><a id="pl.83.15"></a><var>83.15</var>    Section 1. Minnesota Statutes 2012, section 136F.481, is amended to read:<br/>
<a id="pl.83.16"></a><var>83.16</var><b>136F.481 EARLY SEPARATION INCENTIVE PROGRAM.</b><br/>
<a id="pl.83.17"></a><var>83.17</var>(a) Notwithstanding any provision of law to the contrary, the Board of Trustees <br/>
<a id="pl.83.18"></a><var>83.18</var>of the Minnesota State Colleges and Universities may offer a targeted early separation <br/>
<a id="pl.83.19"></a><var>83.19</var>incentive program for its employees.<br/>
<a id="pl.83.20"></a><var>83.20</var>(b) The early separation incentive program may include one or both of the following:<br/>
<a id="pl.83.21"></a><var>83.21</var>(1) cash incentives, not to exceed one year of base salary; or<br/>
<a id="pl.83.22"></a><var>83.22</var>(2) employer contributions to the postretirement healthcare savings plan established <br/>
<a id="pl.83.23"></a><var>83.23</var>under section 
         <statute_ref>352.98</statute_ref>.<br/>
<a id="pl.83.24"></a><var>83.24</var>(c) To be eligible to receive an incentive, an employee must be at least age 55 <br/>
<a id="pl.83.25"></a><var>83.25</var>and must have at least five years of employment by the Minnesota State Colleges and <br/>
<a id="pl.83.26"></a><var>83.26</var>Universities System. The board of trustees shall establish and periodically revise the <br/>
<a id="pl.83.27"></a><var>83.27</var>eligibility requirements for system employees to receive an incentive. The board of <br/>
<a id="pl.83.28"></a><var>83.28</var>trustees shall file a copy of its proposed revised eligibility requirements with the chairs <br/>
<a id="pl.83.29"></a><var>83.29</var>and ranking members of the senate committee on with higher education within its <br/>
<a id="pl.83.30"></a><var>83.30</var>jurisdiction and the Higher Education budget and Policy senate finance division of the <br/>
<a id="pl.83.31"></a><var>83.31</var>senate Committee on Finance with higher education within its jurisdiction and with the <br/>
<a id="pl.83.32"></a><var>83.32</var>chair and ranking members of the Higher Education and Workforce Development Finance <br/>
<a id="pl.83.33"></a><var>83.33</var>and Policy Division of the Finance committee of in the house of representatives with <br/>
<a id="pl.83.34"></a><var>83.34</var>higher education within its jurisdiction and of the house of representatives Committee <br/>
<a id="pl.84.1"></a><var>84.1</var>on Ways and Means, at least 30 days before their the final adoption of the proposed <br/>
<a id="pl.84.2"></a><var>84.2</var>revised eligibility requirements by the board of trustees, shall post the same document <br/>
<a id="pl.84.3"></a><var>84.3</var>on the system Web site at the same time, and shall hold a public hearing on the proposed <br/>
<a id="pl.84.4"></a><var>84.4</var>eligibility requirements. The type and any additional amount of the incentive to be offered <br/>
<a id="pl.84.5"></a><var>84.5</var>may vary by employee classification, as specified by the board.<br/>
<a id="pl.84.6"></a><var>84.6</var>(d) The president of a college or university, consistent with paragraphs (b) and <br/>
<a id="pl.84.7"></a><var>84.7</var>(c), may designate:<br/>
<a id="pl.84.8"></a><var>84.8</var>(1) specific departments or programs at the college or university whose employees <br/>
<a id="pl.84.9"></a><var>84.9</var>are eligible to be offered the incentive program; or<br/>
<a id="pl.84.10"></a><var>84.10</var>(2) positions at the college or university eligible to be offered the incentive program.<br/>
<a id="pl.84.11"></a><var>84.11</var>(e) The chancellor, consistent with paragraphs (b) and (c), may designate:<br/>
<a id="pl.84.12"></a><var>84.12</var>(1) system office divisions whose employees are eligible to be offered the incentive <br/>
<a id="pl.84.13"></a><var>84.13</var>program; or<br/>
<a id="pl.84.14"></a><var>84.14</var>(2) positions at the system office eligible to be offered the incentive program.<br/>
<a id="pl.84.15"></a><var>84.15</var>(f) Acceptance of the offered incentive must be voluntary on the part of the employee <br/>
<a id="pl.84.16"></a><var>84.16</var>and must be in writing. The incentive may only be offered at the sole discretion of the <br/>
<a id="pl.84.17"></a><var>84.17</var>president of the applicable college or university.<br/>
<a id="pl.84.18"></a><var>84.18</var>(g) A decision by the president of a college or university or by the chancellor not to <br/>
<a id="pl.84.19"></a><var>84.19</var>offer an incentive may not be challenged.<br/>
<a id="pl.84.20"></a><var>84.20</var>(h) The cost of the incentive is payable by the college or university on whose behalf <br/>
<a id="pl.84.21"></a><var>84.21</var>the president offered the incentive or from the system office budget if the chancellor offered <br/>
<a id="pl.84.22"></a><var>84.22</var>the incentive. If a college or university is merged, the remaining cost of any early separation <br/>
<a id="pl.84.23"></a><var>84.23</var>incentive must be borne by the successor institution. If a college or university is closed, <br/>
<a id="pl.84.24"></a><var>84.24</var>the remaining cost of any early separation incentive must be borne by the board of trustees.<br/>
<a id="pl.84.25"></a><var>84.25</var>(i) Annually, the chancellor and the president of each college or university must <br/>
<a id="pl.84.26"></a><var>84.26</var>report on the number and types of early separation incentives which were offered and <br/>
<a id="pl.84.27"></a><var>84.27</var>utilized under this section. The report must be filed annually with the board of trustees and <br/>
<a id="pl.84.28"></a><var>84.28</var>with the Legislative Reference Library on or before September 1.<br/>
<a id="pl.84.29"></a><var>84.29</var>(j) The early retirement incentive authority under this section expires on June 30, <br/>
<a id="pl.84.30"></a><var>84.30</var>2019.<br/>
<a id="pl.84.31"></a><var>84.31</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.8.2.0"></a><a id="pl.84.32"></a><var>84.32</var>    Sec. 2. Minnesota Statutes 2012, section 352.1155, subdivision 1, is amended to read:<br/>
<a id="pl.84.33"></a><var>84.33</var>    Subdivision 1. <b>Eligibility.</b> Except as indicated in subdivision 4, the annuity <br/>
<a id="pl.84.34"></a><var>84.34</var>reduction provisions of section 
         <statute_ref>352.115, subdivision 10</statute_ref>, do not apply to a person who:<br/>
<a id="pl.85.1"></a><var>85.1</var>(1) retires from the Minnesota State Colleges and Universities system with at least <br/>
<a id="pl.85.2"></a><var>85.2</var>ten years of combined service credit in a system under the jurisdiction of the Board of <br/>
<a id="pl.85.3"></a><var>85.3</var>Trustees of the Minnesota State Colleges and Universities;<br/>
<a id="pl.85.4"></a><var>85.4</var>(2) was employed on a full-time basis immediately preceding retirement as a faculty <br/>
<a id="pl.85.5"></a><var>85.5</var>member or as an unclassified administrator in that system;<br/>
<a id="pl.85.6"></a><var>85.6</var>(3) was not a recipient of an early retirement incentive under section 136F.481;<br/>
<a id="pl.85.7"></a><var>85.7</var>(3) (4) begins drawing an annuity from the general state employees retirement plan <br/>
<a id="pl.85.8"></a><var>85.8</var>of the Minnesota State Retirement System; and<br/>
<a id="pl.85.9"></a><var>85.9</var>(4) (5) returns to work on not less than a one-third time basis and not more than a <br/>
<a id="pl.85.10"></a><var>85.10</var>two-thirds time basis in the system from which the person retired under an agreement in <br/>
<a id="pl.85.11"></a><var>85.11</var>which the person may not earn a salary of more than $46,000 $62,000  in a calendar year <br/>
<a id="pl.85.12"></a><var>85.12</var>from through employment after retirement in the system from which the person retired.<br/>
<a id="pl.85.13"></a><var>85.13</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.8.3.0"></a><a id="pl.85.14"></a><var>85.14</var>    Sec. 3. Minnesota Statutes 2012, section 352.1155, subdivision 4, is amended to read:<br/>
<a id="pl.85.15"></a><var>85.15</var>    Subd. 4. <b>Exemption limit.</b> For a person eligible under this section who earns more <br/>
<a id="pl.85.16"></a><var>85.16</var>than $46,000 $62,000 in a calendar year from through reemployment in the Minnesota <br/>
<a id="pl.85.17"></a><var>85.17</var>State Colleges and Universities system following retirement, the annuity reduction <br/>
<a id="pl.85.18"></a><var>85.18</var>provisions of section 
         <statute_ref>352.115, subdivision 10</statute_ref>, apply only to income over $46,000 $62,000.<br/>
<a id="pl.85.19"></a><var>85.19</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.8.4.0"></a><a id="pl.85.20"></a><var>85.20</var>    Sec. 4. Minnesota Statutes 2012, section 354.445, is amended to read:<br/>
<a id="pl.85.21"></a><var>85.21</var><b>354.445 NO ANNUITY REDUCTION.</b><br/>
<a id="pl.85.22"></a><var>85.22</var>(a) The annuity reduction provisions of section 
         <statute_ref>354.44, subdivision 5</statute_ref>, do not apply <br/>
<a id="pl.85.23"></a><var>85.23</var>to a person who:<br/>
<a id="pl.85.24"></a><var>85.24</var>(1) retires from the Minnesota State Colleges and Universities system with at least <br/>
<a id="pl.85.25"></a><var>85.25</var>ten years of combined service credit in a system under the jurisdiction of the Board of <br/>
<a id="pl.85.26"></a><var>85.26</var>Trustees of the Minnesota State Colleges and Universities;<br/>
<a id="pl.85.27"></a><var>85.27</var>(2) was employed on a full-time basis immediately preceding retirement as a faculty <br/>
<a id="pl.85.28"></a><var>85.28</var>member or as an unclassified administrator in that system;<br/>
<a id="pl.85.29"></a><var>85.29</var>(3) was not a recipient of an early retirement incentive under section 136F.481;<br/>
<a id="pl.85.30"></a><var>85.30</var>(3) (4) begins drawing an annuity from the teachers retirement association; and<br/>
<a id="pl.85.31"></a><var>85.31</var>(4) (5) returns to work on not less than a one-third time basis and not more than a <br/>
<a id="pl.85.32"></a><var>85.32</var>two-thirds time basis in the system from which the person retired under an agreement in <br/>
<a id="pl.86.1"></a><var>86.1</var>which the person may not earn a salary of more than $46,000 $62,000 in a calendar year <br/>
<a id="pl.86.2"></a><var>86.2</var>from through employment after retirement in the system from which the person retired.<br/>
<a id="pl.86.3"></a><var>86.3</var>(b) Initial participation, the amount of time worked, and the duration of participation <br/>
<a id="pl.86.4"></a><var>86.4</var>under this section must be mutually agreed upon by the president of the institution where <br/>
<a id="pl.86.5"></a><var>86.5</var>the person returns to work and the employee. The president may require up to one-year <br/>
<a id="pl.86.6"></a><var>86.6</var>notice of intent to participate in the program as a condition of participation under this <br/>
<a id="pl.86.7"></a><var>86.7</var>section. The president shall determine the time of year the employee shall work. The <br/>
<a id="pl.86.8"></a><var>86.8</var>employer or the president may not require a person to waive any rights under a collective <br/>
<a id="pl.86.9"></a><var>86.9</var>bargaining agreement as a condition of participation under this section.<br/>
<a id="pl.86.10"></a><var>86.10</var>(c) Notwithstanding any law to the contrary, a person eligible under paragraphs (a) <br/>
<a id="pl.86.11"></a><var>86.11</var>and (b) may not, based on employment to which the waiver in this section applies, earn <br/>
<a id="pl.86.12"></a><var>86.12</var>further service credit in a Minnesota public defined benefit plan and is not eligible to <br/>
<a id="pl.86.13"></a><var>86.13</var>participate in a Minnesota public defined contribution plan, other than a volunteer fire plan <br/>
<a id="pl.86.14"></a><var>86.14</var>governed by chapter 424A. No employer or employee contribution to any of these plans <br/>
<a id="pl.86.15"></a><var>86.15</var>may be made on behalf of such a person.<br/>
<a id="pl.86.16"></a><var>86.16</var>(d) For a person eligible under paragraphs (a) and (b) who earns more than $46,000<br/>
<a id="pl.86.17"></a><var>86.17</var> $62,000 in a calendar year from through employment after retirement due to employment <br/>
<a id="pl.86.18"></a><var>86.18</var>by the Minnesota state colleges and universities system, the annuity reduction provisions <br/>
<a id="pl.86.19"></a><var>86.19</var>of section 
         <statute_ref>354.44, subdivision 5</statute_ref>, apply only to income over $46,000 $62,000.<br/>
<a id="pl.86.20"></a><var>86.20</var>(e) A person who returns to work under this section is a member of the appropriate <br/>
<a id="pl.86.21"></a><var>86.21</var>bargaining unit and is covered by the appropriate collective bargaining contract. Except <br/>
<a id="pl.86.22"></a><var>86.22</var>as provided in this section, the person's coverage is subject to any part of the contract <br/>
<a id="pl.86.23"></a><var>86.23</var>limiting rights of part-time employees.<br/>
<a id="pl.86.24"></a><var>86.24</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.8.5.0"></a><a id="pl.86.25"></a><var>86.25</var>    Sec. 5. Minnesota Statutes 2012, section 354A.31, subdivision 3a, is amended to read:<br/>
<a id="pl.86.26"></a><var>86.26</var>    Subd. 3a. <b>No annuity reduction.</b> (a) The annuity reduction provisions of <br/>
<a id="pl.86.27"></a><var>86.27</var>subdivision 3 do not apply to a person who:<br/>
<a id="pl.86.28"></a><var>86.28</var>(1) retires from the technical college system with at least ten years of service credit <br/>
<a id="pl.86.29"></a><var>86.29</var>in the system from which the person retires;<br/>
<a id="pl.86.30"></a><var>86.30</var>(2) was employed on a full-time basis immediately preceding retirement as a <br/>
<a id="pl.86.31"></a><var>86.31</var>technical college faculty member;<br/>
<a id="pl.86.32"></a><var>86.32</var>(3) was not a recipient of an early retirement incentive under section 136F.481;<br/>
<a id="pl.86.33"></a><var>86.33</var>(3) (4) begins drawing an annuity from a first class city teachers retirement <br/>
<a id="pl.86.34"></a><var>86.34</var>association; and<br/>
<a id="pl.87.1"></a><var>87.1</var>(4) (5) returns to work on not less than a one-third time basis and not more than a <br/>
<a id="pl.87.2"></a><var>87.2</var>two-thirds time basis in the technical college system under an agreement in which the <br/>
<a id="pl.87.3"></a><var>87.3</var>person may not earn a salary of more than $46,000 $62,000 in a calendar year from<br/>
<a id="pl.87.4"></a><var>87.4</var> through the technical college system.<br/>
<a id="pl.87.5"></a><var>87.5</var>(b) Initial participation, the amount of time worked, and the duration of participation <br/>
<a id="pl.87.6"></a><var>87.6</var>under this section must be mutually agreed upon by the employer and the employee. The <br/>
<a id="pl.87.7"></a><var>87.7</var>employer may require up to a one-year notice of intent to participate in the program as a <br/>
<a id="pl.87.8"></a><var>87.8</var>condition of participation under this section. The employer shall determine the time <br/>
<a id="pl.87.9"></a><var>87.9</var>of year the employee shall work.<br/>
<a id="pl.87.10"></a><var>87.10</var>(c) Notwithstanding any law to the contrary, a person eligible under paragraphs <br/>
<a id="pl.87.11"></a><var>87.11</var>(a) and (b) may not earn further service credit in a first class city teachers retirement <br/>
<a id="pl.87.12"></a><var>87.12</var>association and is not eligible to participate in the individual retirement account plan or <br/>
<a id="pl.87.13"></a><var>87.13</var>the supplemental retirement plan established in chapter 354B as a result of service under <br/>
<a id="pl.87.14"></a><var>87.14</var>this section. No employer or employee contribution to any of these plans may be made on <br/>
<a id="pl.87.15"></a><var>87.15</var>behalf of such a person.<br/>
<a id="pl.87.16"></a><var>87.16</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.8.6.0"></a><a id="pl.87.17"></a><var>87.17</var>    Sec. 6. Minnesota Statutes 2012, section 354B.21, subdivision 2, is amended to read:<br/>
<a id="pl.87.18"></a><var>87.18</var>    Subd. 2. <b>Coverage; election.</b> (a) An eligible person employed by the board has <br/>
<a id="pl.87.19"></a><var>87.19</var>the default coverage specified in subdivision 3, or other subdivisions of this section, <br/>
<a id="pl.87.20"></a><var>87.20</var>whichever is applicable, and retains that coverage for the period of covered employment <br/>
<a id="pl.87.21"></a><var>87.21</var>unless a timely election to change that coverage is made as specified in this section.<br/>
<a id="pl.87.22"></a><var>87.22</var>(b) An eligible person under subdivision 3, paragraph (b) or (c), is authorized to elect <br/>
<a id="pl.87.23"></a><var>87.23</var>prospective Teachers Retirement Association plan coverage.<br/>
<a id="pl.87.24"></a><var>87.24</var>(c) An eligible person under subdivision 3, paragraph (d), is authorized to elect <br/>
<a id="pl.87.25"></a><var>87.25</var>prospective coverage by the plan established by this chapter.<br/>
<a id="pl.87.26"></a><var>87.26</var>(d) The election under paragraph (a) must be made within one year of commencing <br/>
<a id="pl.87.27"></a><var>87.27</var>eligible Minnesota State Colleges and Universities system employment. If an election <br/>
<a id="pl.87.28"></a><var>87.28</var>is not made within the specified election period due to a termination of Minnesota State <br/>
<a id="pl.87.29"></a><var>87.29</var>Colleges and Universities system employment, an election may be made within 90 days <br/>
<a id="pl.87.30"></a><var>87.30</var>of returning to eligible Minnesota State Colleges and Universities system employment. <br/>
<a id="pl.87.31"></a><var>87.31</var>Except as specified in paragraph (f), all elections are irrevocable.<br/>
<a id="pl.87.32"></a><var>87.32</var>(e) Except as provided in paragraph (f), a purchase of service credit in the Teachers <br/>
<a id="pl.87.33"></a><var>87.33</var>Retirement Association plan for any period or periods of Minnesota State Colleges <br/>
<a id="pl.87.34"></a><var>87.34</var>and Universities system employment occurring before the election under this section <br/>
<a id="pl.87.35"></a><var>87.35</var>is prohibited.<br/>
<a id="pl.88.1"></a><var>88.1</var>(f) Notwithstanding other paragraphs in this subdivision, a faculty member who <br/>
<a id="pl.88.2"></a><var>88.2</var>is a member of the individual retirement account plan may elect to transfer retirement <br/>
<a id="pl.88.3"></a><var>88.3</var>coverage to the teachers retirement plan within one year of the faculty member first <br/>
<a id="pl.88.4"></a><var>88.4</var>achieving tenure or its equivalent at a Minnesota state college or university. The faculty <br/>
<a id="pl.88.5"></a><var>88.5</var>member electing Teachers Retirement Association coverage under this paragraph must <br/>
<a id="pl.88.6"></a><var>88.6</var>purchase service credit in the Teachers Retirement Association for the entire period of <br/>
<a id="pl.88.7"></a><var>88.7</var>time covered under the individual retirement account plan and the purchase payment <br/>
<a id="pl.88.8"></a><var>88.8</var>amount must be determined under section 
         <statute_ref>356.551</statute_ref>. The Teachers Retirement Association <br/>
<a id="pl.88.9"></a><var>88.9</var>may charge a faculty member transferring coverage a reasonable fee to cover the costs <br/>
<a id="pl.88.10"></a><var>88.10</var>associated with computing the actuarial cost of purchasing service credit and making the <br/>
<a id="pl.88.11"></a><var>88.11</var>transfer. A faculty member transferring from the individual retirement account plan to the <br/>
<a id="pl.88.12"></a><var>88.12</var>Teachers Retirement Association may use any balances to the credit of the faculty member <br/>
<a id="pl.88.13"></a><var>88.13</var>in the individual retirement account plan, any balances to the credit of the faculty member <br/>
<a id="pl.88.14"></a><var>88.14</var>in the higher education supplemental retirement plan established under chapter 354C, or <br/>
<a id="pl.88.15"></a><var>88.15</var>any source specified in section 
         <statute_ref>356.441, subdivision 1</statute_ref>, to purchase the service credit in the <br/>
<a id="pl.88.16"></a><var>88.16</var>Teachers Retirement Association. If the total amount of payments under this paragraph are <br/>
<a id="pl.88.17"></a><var>88.17</var>less than the total purchase payment amount under section 
         <statute_ref>356.551</statute_ref>, the payment amounts <br/>
<a id="pl.88.18"></a><var>88.18</var>must be refunded to the applicable source. The retirement coverage transfer and service <br/>
<a id="pl.88.19"></a><var>88.19</var>credit purchase authority under this paragraph expires with respect to any Minnesota State <br/>
<a id="pl.88.20"></a><var>88.20</var>Colleges and Universities System faculty initially hired after June 30, 2014.<br/>
<a id="pl.88.21"></a><var>88.21</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.8.7.0"></a><a id="pl.88.22"></a><var>88.22</var>    Sec. 7. Laws 2009, chapter 169, article 6, section 1, the effective date, is amended to <br/>
<a id="pl.88.23"></a><var>88.23</var>read:<br/>
<a id="pl.88.24"></a><var>88.24</var><b>EFFECTIVE DATE</b><b>; SUNSET</b><b>.</b>This section is effective the day following final <br/>
<a id="pl.88.25"></a><var>88.25</var>enactment and expires June 30, 2014.<br/>
<a id="pl.88.26"></a><var>88.26</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.9.0.0"></a>

<a id="bill.9.1.0"></a><a id="pl.88.29"></a><var>88.29</var>    Section 1. Minnesota Statutes 2012, section 353.6511, subdivision 7, is amended to read:<br/>
<a id="pl.88.30"></a><var>88.30</var>    Subd. 7. <b>Postretirement adjustments.</b>  Effective January 1, 2012, service pensions <br/>
<a id="pl.88.31"></a><var>88.31</var>and survivor benefits in force are entitled to be recomputed with the number of units <br/>
<a id="pl.88.32"></a><var>88.32</var>specified in subdivision 2, subdivision 4, and subdivision 6. Optional annuities under <br/>
<a id="pl.89.1"></a><var>89.1</var>Minnesota Statutes 2010, section 423C.05, subdivision 8, also are entitled to be recomputed <br/>
<a id="pl.89.2"></a><var>89.2</var>as the actuarial equivalent of the service pensions and survivor benefits with the number of <br/>
<a id="pl.89.3"></a><var>89.3</var>units specified in subdivision 2, subdivision 4, and subdivision 6. Retirement annuities, <br/>
<a id="pl.89.4"></a><var>89.4</var>service pensions, disability benefits, and survivor benefits after December 31, 2015, are <br/>
<a id="pl.89.5"></a><var>89.5</var>eligible for postretirement adjustments under section 
         <statute_ref>356.415, subdivision 1c</statute_ref>. The unit <br/>
<a id="pl.89.6"></a><var>89.6</var>value for the calculation of a retirement annuity first payable after December 31, 2015, is <br/>
<a id="pl.89.7"></a><var>89.7</var>the calendar year 2015 unit value, plus any annual postretirement adjustment percentage <br/>
<a id="pl.89.8"></a><var>89.8</var>amount payable after December 31, 2015, under section 
         <statute_ref>356.415, subdivision 1c</statute_ref>, payable <br/>
<a id="pl.89.9"></a><var>89.9</var>after December 31, 2015, and before the date of retirement paragraph (a), clause (1), or, <br/>
<a id="pl.89.10"></a><var>89.10</var>when applicable, under section 356.415, subdivision 1c, paragraph (b), clause (1).<br/>
<br/>
<a id="bill.9.2.0"></a><a id="pl.89.11"></a><var>89.11</var>    Sec. 2. Minnesota Statutes 2012, section 353.6512, subdivision 7, is amended to read:<br/>
<a id="pl.89.12"></a><var>89.12</var>    Subd. 7. <b>Postretirement adjustments.</b> Retirement annuities, service pensions, <br/>
<a id="pl.89.13"></a><var>89.13</var>disability benefits, and survivor benefits after December 31, 2015, are eligible for <br/>
<a id="pl.89.14"></a><var>89.14</var>postretirement adjustments under section 
         <statute_ref>356.415, subdivision 1c</statute_ref>. The unit value for the <br/>
<a id="pl.89.15"></a><var>89.15</var>calculation of a retirement annuity first payable after December 31, 2015, is the calendar <br/>
<a id="pl.89.16"></a><var>89.16</var>year 2015 unit value, plus any annual postretirement adjustment percentage amount <br/>
<a id="pl.89.17"></a><var>89.17</var>payable after December 31, 2015, under section 
         <statute_ref>356.415, subdivision 1c</statute_ref>, payable after <br/>
<a id="pl.89.18"></a><var>89.18</var>December 31, 2015, and before the date of retirement paragraph (a), clause (1), or, when <br/>
<a id="pl.89.19"></a><var>89.19</var>applicable, under section 356.415, subdivision 1c, paragraph (b), clause (1).<br/>
<br/>
<a id="bill.9.3.0"></a><a id="pl.89.20"></a><var>89.20</var>    Sec. 3. Minnesota Statutes 2013 Supplement, section 423A.02, subdivision 3, is <br/>
<a id="pl.89.21"></a><var>89.21</var>amended to read:<br/>
<a id="pl.89.22"></a><var>89.22</var>    Subd. 3. <b>Reallocation of amortization state aid.</b> (a) Seventy percent of the <br/>
<a id="pl.89.23"></a><var>89.23</var>difference between $5,720,000 and the current year amortization aid distributed under <br/>
<a id="pl.89.24"></a><var>89.24</var>subdivision 1 that is not distributed for any reason to a municipality must be distributed <br/>
<a id="pl.89.25"></a><var>89.25</var>by the commissioner of revenue according to this paragraph. The commissioner shall <br/>
<a id="pl.89.26"></a><var>89.26</var>distribute 50 percent of the amounts derived under this paragraph to the Teachers <br/>
<a id="pl.89.27"></a><var>89.27</var>Retirement Association, ten percent to the Duluth Teachers Retirement Fund Association, <br/>
<a id="pl.89.28"></a><var>89.28</var>and 40 percent to the St. Paul Teachers Retirement Fund Association to fund the unfunded <br/>
<a id="pl.89.29"></a><var>89.29</var>actuarial accrued liabilities of the respective funds. These payments must be made on July <br/>
<a id="pl.89.30"></a><var>89.30</var>15 each fiscal year. If the St. Paul Teachers Retirement Fund Association or the Duluth <br/>
<a id="pl.89.31"></a><var>89.31</var>Teachers Retirement Fund Association becomes fully funded, the association's eligibility <br/>
<a id="pl.89.32"></a><var>89.32</var>for its portion of this aid ceases. Amounts remaining in the undistributed balance account <br/>
<a id="pl.89.33"></a><var>89.33</var>at the end of the biennium if aid eligibility ceases cancel to the general fund.<br/>
<a id="pl.90.1"></a><var>90.1</var>    (b) In order to receive amortization aid under paragraph (a), before June 30 annually <br/>
<a id="pl.90.2"></a><var>90.2</var>Independent School District No. 625, St. Paul, must make an additional contribution of <br/>
<a id="pl.90.3"></a><var>90.3</var>$800,000 each year to the St. Paul Teachers Retirement Fund Association.<br/>
<a id="pl.90.4"></a><var>90.4</var>    (c) Thirty percent of the difference between $5,720,000 and the current year <br/>
<a id="pl.90.5"></a><var>90.5</var>amortization aid under subdivision 1a 1 that is not distributed for any reason to a <br/>
<a id="pl.90.6"></a><var>90.6</var>municipality must be distributed under section 
         <statute_ref>69.021, subdivision 7</statute_ref>, paragraph (d), as <br/>
<a id="pl.90.7"></a><var>90.7</var>additional funding to support a minimum fire state aid amount for volunteer firefighter <br/>
<a id="pl.90.8"></a><var>90.8</var>relief associations.<br/>
<a id="pl.90.9"></a><var>90.9</var><b>EFFECTIVE DATE.</b>This section is effective retroactively from July 1, 2013.<br/>
<br/>
<a id="bill.9.4.0"></a><a id="pl.90.10"></a><var>90.10</var>    Sec. 4. Minnesota Statutes 2013 Supplement, section 423A.022, subdivision 2, is <br/>
<a id="pl.90.11"></a><var>90.11</var>amended to read:<br/>
<a id="pl.90.12"></a><var>90.12</var>    Subd. 2. <b>Allocation.</b> (a) Of the total amount appropriated as supplemental state aid:<br/>
<a id="pl.90.13"></a><var>90.13</var>    (1) 58.065 58.064 percent must be paid to the executive director of the Public <br/>
<a id="pl.90.14"></a><var>90.14</var>Employees Retirement Association for deposit in the public employees police and fire <br/>
<a id="pl.90.15"></a><var>90.15</var>retirement fund established by section 
         <statute_ref>353.65, subdivision 1</statute_ref>;<br/>
<a id="pl.90.16"></a><var>90.16</var>    (2) 35.484 percent must be paid to municipalities other than municipalities solely <br/>
<a id="pl.90.17"></a><var>90.17</var>employing firefighters with retirement coverage provided by the public employees police <br/>
<a id="pl.90.18"></a><var>90.18</var>and fire retirement plan which qualified to receive fire state aid in that calendar year, <br/>
<a id="pl.90.19"></a><var>90.19</var>allocated in proportion to the most recent amount of fire state aid paid under section <br/>
<statute_ref><a id="pl.90.20"></a><var>90.20</var>69.021, subdivision 7
         </statute_ref>, for the municipality bears to the most recent total fire state aid <br/>
<a id="pl.90.21"></a><var>90.21</var>for all municipalities other than the municipalities solely employing firefighters with <br/>
<a id="pl.90.22"></a><var>90.22</var>retirement coverage provided by the public employees police and fire retirement plan <br/>
<a id="pl.90.23"></a><var>90.23</var>paid under section 
         <statute_ref>69.021, subdivision 7</statute_ref>, with the allocated amount for fire departments <br/>
<a id="pl.90.24"></a><var>90.24</var>participating in the voluntary statewide lump-sum volunteer firefighter retirement plan <br/>
<a id="pl.90.25"></a><var>90.25</var>paid to the executive director of the Public Employees Retirement Association for deposit <br/>
<a id="pl.90.26"></a><var>90.26</var>in the fund established by section 
         <statute_ref>353G.02, subdivision 3</statute_ref>, and credited to the respective <br/>
<a id="pl.90.27"></a><var>90.27</var>account and with the balance paid to the treasurer of each municipality for transmittal <br/>
<a id="pl.90.28"></a><var>90.28</var>within 30 days of receipt to the treasurer of the applicable volunteer firefighter relief <br/>
<a id="pl.90.29"></a><var>90.29</var>association for deposit in its special fund; and<br/>
<a id="pl.90.30"></a><var>90.30</var>    (3) 6.452 percent must be paid to the executive director of the Minnesota State <br/>
<a id="pl.90.31"></a><var>90.31</var>Retirement System for deposit in the state patrol retirement fund.<br/>
<a id="pl.90.32"></a><var>90.32</var>(b) For purposes of this section, the term "municipalities" includes independent <br/>
<a id="pl.90.33"></a><var>90.33</var>nonprofit firefighting corporations that participate in the voluntary statewide lump-sum <br/>
<a id="pl.90.34"></a><var>90.34</var>volunteer firefighter retirement plan under chapter 353G or with subsidiary volunteer <br/>
<a id="pl.90.35"></a><var>90.35</var>firefighter relief associations operating under chapter 424A.<br/>
<a id="pl.91.1"></a><var>91.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.9.5.0"></a><a id="pl.91.2"></a><var>91.2</var>    Sec. 5. Minnesota Statutes 2013 Supplement, section 423A.022, subdivision 3, is <br/>
<a id="pl.91.3"></a><var>91.3</var>amended to read:<br/>
<a id="pl.91.4"></a><var>91.4</var>    Subd. 3. <b>Reporting</b><b>; definitions</b><b>.</b> (a) On or before September 1, annually, the <br/>
<a id="pl.91.5"></a><var>91.5</var>executive director of the Public Employees Retirement Association shall report to the <br/>
<a id="pl.91.6"></a><var>91.6</var>commissioner of revenue the following:<br/>
<a id="pl.91.7"></a><var>91.7</var>    (1) the municipalities which employ firefighters with retirement coverage by the <br/>
<a id="pl.91.8"></a><var>91.8</var>public employees police and fire retirement plan;<br/>
<a id="pl.91.9"></a><var>91.9</var>    (2) the number of firefighters with public employees police and fire retirement plan <br/>
<a id="pl.91.10"></a><var>91.10</var>coverage employed by each municipality;<br/>
<a id="pl.91.11"></a><var>91.11</var>    (3) the fire departments covered by the voluntary statewide lump-sum volunteer <br/>
<a id="pl.91.12"></a><var>91.12</var>firefighter retirement plan; and<br/>
<a id="pl.91.13"></a><var>91.13</var>    (4) any other information requested by the commissioner to administer the police <br/>
<a id="pl.91.14"></a><var>91.14</var>and firefighter retirement supplemental state aid program.<br/>
<a id="pl.91.15"></a><var>91.15</var>    (b) For this subdivision, (i) the number of firefighters employed by a municipality <br/>
<a id="pl.91.16"></a><var>91.16</var>who have public employees police and fire retirement plan coverage means the number <br/>
<a id="pl.91.17"></a><var>91.17</var>of firefighters with public employees police and fire retirement plan coverage that were <br/>
<a id="pl.91.18"></a><var>91.18</var>employed by the municipality for not less than 30 hours per week for a minimum of six <br/>
<a id="pl.91.19"></a><var>91.19</var>months prior to December 31 preceding the date of the payment under this section and, if <br/>
<a id="pl.91.20"></a><var>91.20</var>the person was employed for less than the full year, prorated to the number of full months <br/>
<a id="pl.91.21"></a><var>91.21</var>employed; and (ii) the number of active police officers certified for police state aid receipt <br/>
<a id="pl.91.22"></a><var>91.22</var>under section 
<statute_ref>69.011, subdivisions 2</statute_ref> and 2b, means, for each municipality, the number of <br/>
<a id="pl.91.23"></a><var>91.23</var>police officers meeting the definition of peace officer in section 
<statute_ref>69.011, subdivision 1</statute_ref>, <br/>
<a id="pl.91.24"></a><var>91.24</var>counted as provided and limited by section 
<statute_ref>69.011, subdivisions 2</statute_ref> and 2b.<br/>
<a id="pl.91.25"></a><var>91.25</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.9.6.0"></a><a id="pl.91.26"></a><var>91.26</var>    Sec. 6. <b>ADDITIONAL SUPPLEMENTAL AID REVISION FOR OMITTED 2013 </b><br/>
<a id="pl.91.27"></a><var>91.27</var><b>INDEPENDENT NONPROFIT FIREFIGHTING CORPORATIONS.</b><br/>
<a id="pl.91.28"></a><var>91.28</var>(a) Notwithstanding any provision of Minnesota Statutes, chapter 423A, to the <br/>
<a id="pl.91.29"></a><var>91.29</var>contrary, this section modifies the allocation of the police and fire supplemental retirement <br/>
<a id="pl.91.30"></a><var>91.30</var>state aid under Minnesota Statutes 2013 Supplement, section 423A.022, for October <br/>
<a id="pl.91.31"></a><var>91.31</var>1, 2014.<br/>
<a id="pl.91.32"></a><var>91.32</var>(b) Before the allocation of the police and fire supplemental retirement state aid is <br/>
<a id="pl.91.33"></a><var>91.33</var>made for October 1, 2014, the commissioner of revenue shall:<br/>
<a id="pl.92.1"></a><var>92.1</var>(1) determine those fire departments that qualified for fire state aid under Minnesota <br/>
<a id="pl.92.2"></a><var>92.2</var>Statutes 2012, section 69.021, subdivision 7, on October 1, 2013, that did not receive a <br/>
<a id="pl.92.3"></a><var>92.3</var>2013 allocation of police and fire supplemental retirement state aid, and that were an <br/>
<a id="pl.92.4"></a><var>92.4</var>independent nonprofit firefighting corporation; and<br/>
<a id="pl.92.5"></a><var>92.5</var>(2) determine the amount of police and fire supplemental retirement state aid <br/>
<a id="pl.92.6"></a><var>92.6</var>under Minnesota Statutes 2013 Supplement, section 423A.022, that the fire departments <br/>
<a id="pl.92.7"></a><var>92.7</var>described in clause (1) would have received on October 1, 2013, if the fire departments <br/>
<a id="pl.92.8"></a><var>92.8</var>had been included in that allocation.<br/>
<a id="pl.92.9"></a><var>92.9</var>(c) The total amount determined in paragraph (b), clause (2), must be deducted from <br/>
<a id="pl.92.10"></a><var>92.10</var>the amount available for allocation under Minnesota Statutes 2013 Supplement, section <br/>
<a id="pl.92.11"></a><var>92.11</var>423A.022, subdivision 2, clause (2), and the commissioner of revenue shall pay to the fire <br/>
<a id="pl.92.12"></a><var>92.12</var>departments determined in paragraph (b), clause (1), their respective portion of the total as <br/>
<a id="pl.92.13"></a><var>92.13</var>an additional payment on October 1, 2014.<br/>
<a id="pl.92.14"></a><var>92.14</var>(d) The remaining amount after the deduction of the total amount under paragraph <br/>
<a id="pl.92.15"></a><var>92.15</var>(c) must be allocated as provided in Minnesota Statutes, section 423A.022, subdivision 2.<br/>
<br/>
<a id="bill.9.7.0"></a><a id="pl.92.16"></a><var>92.16</var>    Sec. 7. <b>PERA; STUDY OF LOCAL RELIEF ASSOCIATION BENEFITS </b><br/>
<a id="pl.92.17"></a><var>92.17</var><b>UNDER CONSOLIDATION.</b><br/>
<a id="pl.92.18"></a><var>92.18</var>The executive director of the Public Employees Retirement Association shall <br/>
<a id="pl.92.19"></a><var>92.19</var>report to the Legislative Commission on Pensions and Retirement by February 1, 2015, <br/>
<a id="pl.92.20"></a><var>92.20</var>regarding the situation of former members and surviving spouses of former members of <br/>
<a id="pl.92.21"></a><var>92.21</var>local salaried police and fire relief associations governed by Minnesota Statutes, chapter <br/>
<a id="pl.92.22"></a><var>92.22</var>423A, that consolidated with the public employees police and fire retirement plan under <br/>
<a id="pl.92.23"></a><var>92.23</var>Minnesota Statutes, chapter 353A, and Laws 1999, chapter 222, article 4.<br/>
<a id="pl.92.24"></a><var>92.24</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.10.0.0"></a>

<a id="bill.10.1.0"></a><a id="pl.92.27"></a><var>92.27</var>    Section 1. Minnesota Statutes 2013 Supplement, section 356.215, subdivision 8, <br/>
<a id="pl.92.28"></a><var>92.28</var>is amended to read:<br/>
<a id="pl.92.29"></a><var>92.29</var>    Subd. 8. <b>Interest and salary assumptions.</b> (a) The actuarial valuation must use <br/>
<a id="pl.92.30"></a><var>92.30</var>the applicable following preretirement interest assumption and the applicable following <br/>
<a id="pl.92.31"></a><var>92.31</var>postretirement interest assumption:<br/>
<a id="pl.92.32"></a><var>92.32</var>(1) select and ultimate interest rate assumption<br/>
<table>
<col width="50px"/>
<col width="35"/>
<col width="15"/>
<col width="15"/>
<tr>
<td><a id="pl.93.1"></a><var>93.1</var><br/>
<a id="pl.93.2"></a><var>93.2</var><br/>
<a id="pl.93.3"></a><var>93.3</var><br/>
<a id="pl.93.4"></a><var>93.4</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">ultimate <br/>
preretirement<br/>
                  		 interest rate <br/>
                  		assumption<br/>
</td>
<td align="center">ultimate <br/>
postretirement <br/>
interest rate <br/>
assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.5"></a><var>93.5</var><br/>
</td>
<td valign="top">general state employees retirement plan<br/>
</td>
<td align="center" valign="top">8.5%<br/>
</td>
<td align="center" valign="top">6.0%<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.6"></a><var>93.6</var><br/>
</td>
<td valign="top">correctional state employees retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.7"></a><var>93.7</var><br/>
</td>
<td valign="top">State Patrol retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.8"></a><var>93.8</var><br/>
<a id="pl.93.9"></a><var>93.9</var><br/>
<a id="pl.93.10"></a><var>93.10</var><br/>
</td>
<td valign="top">legislators retirement plan, and for the <br/>
                  		constitutional officers calculation of total plan <br/>
                  		liabilities<br/>
</td>
<td align="center" valign="top"> 0.0 <br/>
</td>
<td align="center" valign="top">  0.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.11"></a><var>93.11</var><br/>
</td>
<td valign="top">judges retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.12"></a><var>93.12</var><br/>
</td>
<td valign="top">general public employees retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.13"></a><var>93.13</var><br/>
</td>
<td valign="top">public employees police and fire retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.14"></a><var>93.14</var><br/>
<a id="pl.93.15"></a><var>93.15</var><br/>
</td>
<td valign="top">local government correctional service <br/>
                  		retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.16"></a><var>93.16</var><br/>
</td>
<td valign="top">teachers retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">6.0<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.17"></a><var>93.17</var><br/>
</td>
<td valign="top">Duluth teachers retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
</tr>
<tr>
<td><a id="pl.93.18"></a><var>93.18</var><br/>
</td>
<td valign="top">St. Paul teachers retirement plan<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
<td align="center" valign="top">8.5<br/>
</td>
</tr>
</table><a id="pl.93.19"></a><var>93.19</var>Except for the legislators retirement plan and the constitutional officers calculation <br/>
<a id="pl.93.20"></a><var>93.20</var>of total plan liabilities, the select preretirement interest rate assumption for the period <br/>
<a id="pl.93.21"></a><var>93.21</var>after June 30, 2012, through June 30, 2017, is 8.0 percent. Except for the legislators <br/>
<a id="pl.93.22"></a><var>93.22</var>retirement plan and the constitutional officers calculation of total plan liabilities, the select <br/>
<a id="pl.93.23"></a><var>93.23</var>postretirement interest rate assumption for the period after June 30, 2012, through June <br/>
<a id="pl.93.24"></a><var>93.24</var>30, 2017, is 5.5 percent, except for the Duluth teachers retirement plan and the St. Paul <br/>
<a id="pl.93.25"></a><var>93.25</var>teachers retirement plan, each with a select postretirement interest rate assumption for the <br/>
<a id="pl.93.26"></a><var>93.26</var>period after June 30, 2012, through June 30, 2017, of 8.0 percent.<br/>
<a id="pl.93.27"></a><var>93.27</var>(2) single rate preretirement and postretirement interest rate assumption<br/>
<table>
<col width="50px"/>
<col width="16.5"/>
<col width="6.7"/>
<col width="6.5"/>
<tr>
<td><a id="pl.93.28"></a><var>93.28</var><br/>
<a id="pl.93.29"></a><var>93.29</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">interest rate <br/>
                  		assumption<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.93.30"></a><var>93.30</var><br/>
</td>
<td>Bloomington Fire Department Relief Association<br/>
</td>
<td align="center">6.0<br/>
</td>
<td align="center"></td>
</tr>
<tr>
<td><a id="pl.93.31"></a><var>93.31</var><br/>
<a id="pl.93.32"></a><var>93.32</var><br/>
</td>
<td>local monthly benefit volunteer firefighters relief <br/>
                  		associations<br/>
</td>
<td align="center">5.0<br/>
</td>
<td align="center"></td>
</tr>
</table><a id="pl.93.33"></a><var>93.33</var>(b)(1) If funding stability has been attained, the valuation must use a postretirement <br/>
<a id="pl.93.34"></a><var>93.34</var>adjustment rate actuarial assumption equal to the postretirement adjustment rate specified <br/>
<a id="pl.93.35"></a><var>93.35</var>in section 354A.27, subdivision 7; 354A.29, subdivision 9; or 356.415, subdivision 1, <br/>
<a id="pl.93.36"></a><var>93.36</var>whichever applies.<br/>
<a id="pl.93.37"></a><var>93.37</var>(2) If funding stability has not been attained, the valuation must use a select <br/>
<a id="pl.93.38"></a><var>93.38</var>postretirement adjustment rate actuarial assumption equal to the postretirement adjustment <br/>
<a id="pl.93.39"></a><var>93.39</var>rate specified in section 354A.27, subdivision 6a; 354A.29, subdivision 8; or 356.415, <br/>
<a id="pl.93.40"></a><var>93.40</var>subdivisions 1a, 1b, 1c, 1d, 1e, or 1f, whichever applies, for a period ending when the <br/>
<a id="pl.93.41"></a><var>93.41</var>approved actuary projects that the plan will attain the defined funding stability measure, <br/>
<a id="pl.94.1"></a><var>94.1</var>and thereafter the valuation must use an ultimate postretirement adjustment rate actuarial <br/>
<a id="pl.94.2"></a><var>94.2</var>assumption equal to the postretirement adjustment rate under section 354A.27, subdivision <br/>
<a id="pl.94.3"></a><var>94.3</var>7; 354A.29, subdivision 9; or 356.415, subdivision 1, for the applicable period or periods <br/>
<a id="pl.94.4"></a><var>94.4</var>beginning when funding stability is projected to be attained. For actuarial valuations <br/>
<a id="pl.94.5"></a><var>94.5</var>prepared after June 29, 2015, the projection under this clause must use the same actuarial <br/>
<a id="pl.94.6"></a><var>94.6</var>assumptions as used in the actuarial valuation and must include the impact of any <br/>
<a id="pl.94.7"></a><var>94.7</var>retirement contribution change under section 352.045, 353.27, subdivision 3b, or 354.42, <br/>
<a id="pl.94.8"></a><var>94.8</var>subdivisions 4a, 4b, 4c, and 4d, whichever applies. For actuarial valuations prepared after <br/>
<a id="pl.94.9"></a><var>94.9</var>June 29, 2015, if the attainment of the defined funding stability measure is projected to be <br/>
<a id="pl.94.10"></a><var>94.10</var>later than the amortization target date applicable to the retirement plan in subdivision 11, the <br/>
<a id="pl.94.11"></a><var>94.11</var>actuarial valuation must include an exhibit setting forth the annual results, for a period of <br/>
<a id="pl.94.12"></a><var>94.12</var>at least 30 years from the valuation date, of the expected experience of the retirement plan <br/>
<a id="pl.94.13"></a><var>94.13</var>under its actuarial assumptions, the expected funded condition, the expected total financial <br/>
<a id="pl.94.14"></a><var>94.14</var>requirements, and the expected financial support on which that conclusion is based.<br/>
<a id="pl.94.15"></a><var>94.15</var>    (b) (c) The actuarial valuation must use the applicable following single rate future <br/>
<a id="pl.94.16"></a><var>94.16</var>salary increase assumption, the applicable following modified single rate future salary <br/>
<a id="pl.94.17"></a><var>94.17</var>increase assumption, or the applicable following graded rate future salary increase <br/>
<a id="pl.94.18"></a><var>94.18</var>assumption:<br/>
<a id="pl.94.19"></a><var>94.19</var>    (1) single rate future salary increase assumption<br/>
<table>
<col width="50px"/>
<col width="35"/>
<col width="13"/>
<col width="17"/>
<tr>
<td><a id="pl.94.20"></a><var>94.20</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center" colspan="2">future salary increase assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.94.21"></a><var>94.21</var><br/>
</td>
<td>legislators retirement plan<br/>
</td>
<td></td>
<td>5.0%<br/>
</td>
</tr>
<tr>
<td><a id="pl.94.22"></a><var>94.22</var><br/>
</td>
<td>judges retirement plan<br/>
</td>
<td></td>
<td>3.0 <br/>
</td>
</tr>
<tr>
<td><a id="pl.94.23"></a><var>94.23</var><br/>
<a id="pl.94.24"></a><var>94.24</var><br/>
</td>
<td>Bloomington Fire Department Relief <br/>
                  		Association<br/>
</td>
<td></td>
<td>4.0<br/>
</td>
</tr>
</table><a id="pl.94.25"></a><var>94.25</var>    (2) age-related future salary increase age-related select and ultimate future salary <br/>
<a id="pl.94.26"></a><var>94.26</var>increase assumption or graded rate future salary increase assumption<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="25"/>
<tr>
<td><a id="pl.94.27"></a><var>94.27</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">future salary increase assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.94.28"></a><var>94.28</var><br/>
</td>
<td>local government correctional service retirement plan<br/>
</td>
<td align="center">assumption C<br/>
</td>
</tr>
<tr>
<td><a id="pl.94.29"></a><var>94.29</var><br/>
</td>
<td>Duluth teachers retirement plan<br/>
</td>
<td align="center">assumption A<br/>
</td>
</tr>
<tr>
<td><a id="pl.94.30"></a><var>94.30</var><br/>
</td>
<td>St. Paul teachers retirement plan<br/>
</td>
<td align="center">assumption B<br/>
</td>
</tr>
</table><a id="pl.94.31"></a><var>94.31</var>For plans other than the Duluth teachers <br/>
<a id="pl.94.32"></a><var>94.32</var>retirement plan, the select calculation <br/>
<a id="pl.94.33"></a><var>94.33</var>is: during the designated select period, a <br/>
<a id="pl.94.34"></a><var>94.34</var>designated percentage rate is multiplied by <br/>
<a id="pl.94.35"></a><var>94.35</var>the result of the designated integer minus T, <br/>
<a id="pl.94.36"></a><var>94.36</var>where T is the number of completed years <br/>
<a id="pl.94.37"></a><var>94.37</var>of service, and is added to the applicable <br/>
<a id="pl.95.1"></a><var>95.1</var>future salary increase assumption. The <br/>
<a id="pl.95.2"></a><var>95.2</var>designated select period is ten years and <br/>
<a id="pl.95.3"></a><var>95.3</var>the designated integer is ten for the Duluth <br/>
<a id="pl.95.4"></a><var>95.4</var>Teachers Retirement Fund Association <br/>
<a id="pl.95.5"></a><var>95.5</var>and for the local government correctional <br/>
<a id="pl.95.6"></a><var>95.6</var>service retirement plan and 15 for the St. <br/>
<a id="pl.95.7"></a><var>95.7</var>Paul Teachers Retirement Fund Association. <br/>
<a id="pl.95.8"></a><var>95.8</var>The designated percentage rate is 0.2 <br/>
<a id="pl.95.9"></a><var>95.9</var>percent for the St. Paul Teachers Retirement <br/>
<a id="pl.95.10"></a><var>95.10</var>Fund Association. The select calculation <br/>
<a id="pl.95.11"></a><var>95.11</var>for the Duluth Teachers Retirement Fund <br/>
<a id="pl.95.12"></a><var>95.12</var>Association is 8.00 percent per year for <br/>
<a id="pl.95.13"></a><var>95.13</var>service years one through seven, 7.25 percent <br/>
<a id="pl.95.14"></a><var>95.14</var>per year for service years seven and eight, <br/>
<a id="pl.95.15"></a><var>95.15</var>and 6.50 percent per year for service years <br/>
<a id="pl.95.16"></a><var>95.16</var>eight and nine.<br/>
<a id="pl.95.17"></a><var>95.17</var>    The ultimate future salary increase assumption is:<br/>
<table>
<col width="50px"/>
<col width="10"/>
<col width="12.5"/>
<col width="12.5"/>
<col width="15"/>
<col width="15"/>
<tr>
<td><a id="pl.95.18"></a><var>95.18</var><br/>
</td>
<td>age<br/>
</td>
<td>A<br/>
</td>
<td>B<br/>
</td>
<td>C<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.19"></a><var>95.19</var><br/>
</td>
<td>16<br/>
</td>
<td>6.00%<br/>
</td>
<td>5.90%<br/>
</td>
<td>9.00%<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.20"></a><var>95.20</var><br/>
</td>
<td>17<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.21"></a><var>95.21</var><br/>
</td>
<td>18<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.22"></a><var>95.22</var><br/>
</td>
<td>19<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.23"></a><var>95.23</var><br/>
</td>
<td>20<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.24"></a><var>95.24</var><br/>
</td>
<td>21<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>8.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.25"></a><var>95.25</var><br/>
</td>
<td>22<br/>
</td>
<td>6.00<br/>
</td>
<td>5.90<br/>
</td>
<td>8.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.26"></a><var>95.26</var><br/>
</td>
<td>23<br/>
</td>
<td>6.00<br/>
</td>
<td>5.85<br/>
</td>
<td>8.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.27"></a><var>95.27</var><br/>
</td>
<td>24<br/>
</td>
<td>6.00<br/>
</td>
<td>5.80<br/>
</td>
<td>8.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.28"></a><var>95.28</var><br/>
</td>
<td>25<br/>
</td>
<td>6.00<br/>
</td>
<td>5.75<br/>
</td>
<td>7.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.29"></a><var>95.29</var><br/>
</td>
<td>26<br/>
</td>
<td>6.00<br/>
</td>
<td>5.70<br/>
</td>
<td>7.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.30"></a><var>95.30</var><br/>
</td>
<td>27<br/>
</td>
<td>6.00<br/>
</td>
<td>5.65<br/>
</td>
<td>7.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.31"></a><var>95.31</var><br/>
</td>
<td>28<br/>
</td>
<td>6.00<br/>
</td>
<td>5.60<br/>
</td>
<td>7.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.32"></a><var>95.32</var><br/>
</td>
<td>29<br/>
</td>
<td>6.00<br/>
</td>
<td>5.55<br/>
</td>
<td>6.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.33"></a><var>95.33</var><br/>
</td>
<td>30<br/>
</td>
<td>6.00<br/>
</td>
<td>5.50<br/>
</td>
<td>6.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.34"></a><var>95.34</var><br/>
</td>
<td>31<br/>
</td>
<td>6.00<br/>
</td>
<td>5.45<br/>
</td>
<td>6.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.35"></a><var>95.35</var><br/>
</td>
<td>32<br/>
</td>
<td>6.00<br/>
</td>
<td>5.40<br/>
</td>
<td>6.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.36"></a><var>95.36</var><br/>
</td>
<td>33<br/>
</td>
<td>6.00<br/>
</td>
<td>5.35<br/>
</td>
<td>6.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.37"></a><var>95.37</var><br/>
</td>
<td>34<br/>
</td>
<td>6.00<br/>
</td>
<td>5.30<br/>
</td>
<td>6.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.38"></a><var>95.38</var><br/>
</td>
<td>35<br/>
</td>
<td>6.00<br/>
</td>
<td>5.25<br/>
</td>
<td>6.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.39"></a><var>95.39</var><br/>
</td>
<td>36<br/>
</td>
<td>5.86<br/>
</td>
<td>5.20<br/>
</td>
<td>6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.95.40"></a><var>95.40</var><br/>
</td>
<td>37<br/>
</td>
<td>5.73<br/>
</td>
<td>5.15<br/>
</td>
<td>6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.1"></a><var>96.1</var><br/>
</td>
<td>38<br/>
</td>
<td>5.59<br/>
</td>
<td>5.10<br/>
</td>
<td>6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.2"></a><var>96.2</var><br/>
</td>
<td>39<br/>
</td>
<td>5.45<br/>
</td>
<td>5.05<br/>
</td>
<td>5.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.3"></a><var>96.3</var><br/>
</td>
<td>40<br/>
</td>
<td>5.31<br/>
</td>
<td>5.00<br/>
</td>
<td>5.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.4"></a><var>96.4</var><br/>
</td>
<td>41<br/>
</td>
<td>5.18<br/>
</td>
<td>4.95<br/>
</td>
<td>5.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.5"></a><var>96.5</var><br/>
</td>
<td>42<br/>
</td>
<td>5.04<br/>
</td>
<td>4.90<br/>
</td>
<td>5.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.6"></a><var>96.6</var><br/>
</td>
<td>43<br/>
</td>
<td>4.90<br/>
</td>
<td>4.85<br/>
</td>
<td>5.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.7"></a><var>96.7</var><br/>
</td>
<td>44<br/>
</td>
<td>4.76<br/>
</td>
<td>4.80<br/>
</td>
<td>5.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.8"></a><var>96.8</var><br/>
</td>
<td>45<br/>
</td>
<td>4.63<br/>
</td>
<td>4.75<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.9"></a><var>96.9</var><br/>
</td>
<td>46<br/>
</td>
<td>4.49<br/>
</td>
<td>4.70<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.10"></a><var>96.10</var><br/>
</td>
<td>47<br/>
</td>
<td>4.35<br/>
</td>
<td>4.65<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.11"></a><var>96.11</var><br/>
</td>
<td>48<br/>
</td>
<td>4.21<br/>
</td>
<td>4.60<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.12"></a><var>96.12</var><br/>
</td>
<td>49<br/>
</td>
<td>4.08<br/>
</td>
<td>4.55<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.13"></a><var>96.13</var><br/>
</td>
<td>50<br/>
</td>
<td>3.94<br/>
</td>
<td>4.50<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.14"></a><var>96.14</var><br/>
</td>
<td>51<br/>
</td>
<td>3.80<br/>
</td>
<td>4.45<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.15"></a><var>96.15</var><br/>
</td>
<td>52<br/>
</td>
<td>3.66<br/>
</td>
<td>4.40<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.16"></a><var>96.16</var><br/>
</td>
<td>53<br/>
</td>
<td>3.53<br/>
</td>
<td>4.35<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.17"></a><var>96.17</var><br/>
</td>
<td>54<br/>
</td>
<td>3.39<br/>
</td>
<td>4.30<br/>
</td>
<td>5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.18"></a><var>96.18</var><br/>
</td>
<td>55<br/>
</td>
<td>3.25<br/>
</td>
<td>4.25<br/>
</td>
<td>4.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.19"></a><var>96.19</var><br/>
</td>
<td>56<br/>
</td>
<td>3.25<br/>
</td>
<td>4.20<br/>
</td>
<td>4.75<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.20"></a><var>96.20</var><br/>
</td>
<td>57<br/>
</td>
<td>3.25<br/>
</td>
<td>4.15<br/>
</td>
<td>4.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.21"></a><var>96.21</var><br/>
</td>
<td>58<br/>
</td>
<td>3.25<br/>
</td>
<td>4.10<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.22"></a><var>96.22</var><br/>
</td>
<td>59<br/>
</td>
<td>3.25<br/>
</td>
<td>4.05<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.23"></a><var>96.23</var><br/>
</td>
<td>60<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.24"></a><var>96.24</var><br/>
</td>
<td>61<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.25"></a><var>96.25</var><br/>
</td>
<td>62<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.26"></a><var>96.26</var><br/>
</td>
<td>63<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.27"></a><var>96.27</var><br/>
</td>
<td>64<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.28"></a><var>96.28</var><br/>
</td>
<td>65<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.29"></a><var>96.29</var><br/>
</td>
<td>66<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.30"></a><var>96.30</var><br/>
</td>
<td>67<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.31"></a><var>96.31</var><br/>
</td>
<td>68<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.32"></a><var>96.32</var><br/>
</td>
<td>69<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.96.33"></a><var>96.33</var><br/>
</td>
<td>70<br/>
</td>
<td>3.25<br/>
</td>
<td>4.00<br/>
</td>
<td>4.00<br/>
</td>
<td></td>
</tr>
</table><a id="pl.96.34"></a><var>96.34</var>(3) service-related ultimate future salary increase assumption<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="25"/>
<tr>
<td><a id="pl.96.35"></a><var>96.35</var><br/>
<a id="pl.96.36"></a><var>96.36</var><br/>
</td>
<td>general state employees retirement plan of the <br/>
                  		Minnesota State Retirement System<br/>
</td>
<td align="center">assumption A<br/>
</td>
</tr>
<tr>
<td><a id="pl.96.37"></a><var>96.37</var><br/>
<a id="pl.96.38"></a><var>96.38</var><br/>
</td>
<td>general employees retirement plan of the Public <br/>
                  		Employees Retirement Association<br/>
</td>
<td align="center">assumption B<br/>
</td>
</tr>
<tr>
<td><a id="pl.96.39"></a><var>96.39</var><br/>
</td>
<td>Teachers Retirement Association<br/>
</td>
<td align="center">assumption C<br/>
</td>
</tr>
<tr>
<td><a id="pl.96.40"></a><var>96.40</var><br/>
</td>
<td>public employees police and fire retirement plan<br/>
</td>
<td align="center">assumption D<br/>
</td>
</tr>
<tr>
<td><a id="pl.96.41"></a><var>96.41</var><br/>
</td>
<td>State Patrol retirement plan<br/>
</td>
<td align="center">assumption E<br/>
</td>
</tr>
<tr>
<td><a id="pl.96.42"></a><var>96.42</var><br/>
<a id="pl.96.43"></a><var>96.43</var><br/>
</td>
<td>correctional state employees retirement plan of the <br/>
                  		Minnesota State Retirement System<br/>
</td>
<td align="center">assumption F<br/>
</td>
</tr>
</table>
<table>
<col width="50px"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<col width="8.5"/>
<tr>
<td><a id="pl.97.1"></a><var>97.1</var><br/>
<a id="pl.97.2"></a><var>97.2</var><br/>
</td>
<td>service <br/>
                  		length<br/>
</td>
<td>A<br/>
</td>
<td>B<br/>
</td>
<td>C<br/>
</td>
<td>D<br/>
</td>
<td>E<br/>
</td>
<td>F<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.3"></a><var>97.3</var><br/>
</td>
<td>1<br/>
</td>
<td>10.50%<br/>
</td>
<td>12.03%<br/>
</td>
<td>12.00%<br/>
</td>
<td>13.00%<br/>
</td>
<td>8.00%<br/>
</td>
<td>6.00%<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.4"></a><var>97.4</var><br/>
</td>
<td>2<br/>
</td>
<td>8.10<br/>
</td>
<td>8.90<br/>
</td>
<td>9.00<br/>
</td>
<td>11.00<br/>
</td>
<td>7.50<br/>
</td>
<td>5.85<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.5"></a><var>97.5</var><br/>
</td>
<td>3<br/>
</td>
<td>6.90<br/>
</td>
<td>7.46<br/>
</td>
<td>8.00<br/>
</td>
<td>9.00<br/>
</td>
<td>7.00<br/>
</td>
<td>5.70<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.6"></a><var>97.6</var><br/>
</td>
<td>4<br/>
</td>
<td>6.20<br/>
</td>
<td>6.58<br/>
</td>
<td>7.50<br/>
</td>
<td>8.00<br/>
</td>
<td>6.75<br/>
</td>
<td>5.55<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.7"></a><var>97.7</var><br/>
</td>
<td>5<br/>
</td>
<td>5.70<br/>
</td>
<td>5.97<br/>
</td>
<td>7.25<br/>
</td>
<td>6.50<br/>
</td>
<td>6.50<br/>
</td>
<td>5.40<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.8"></a><var>97.8</var><br/>
</td>
<td>6<br/>
</td>
<td>5.30<br/>
</td>
<td>5.52<br/>
</td>
<td>7.00<br/>
</td>
<td>6.10<br/>
</td>
<td>6.25<br/>
</td>
<td>5.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.9"></a><var>97.9</var><br/>
</td>
<td>7<br/>
</td>
<td>5.00<br/>
</td>
<td>5.16<br/>
</td>
<td>6.85<br/>
</td>
<td>5.80<br/>
</td>
<td>6.00<br/>
</td>
<td>5.10<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.10"></a><var>97.10</var><br/>
</td>
<td>8<br/>
</td>
<td>4.70<br/>
</td>
<td>4.87<br/>
</td>
<td>6.70<br/>
</td>
<td>5.60<br/>
</td>
<td>5.85<br/>
</td>
<td>4.95<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.11"></a><var>97.11</var><br/>
</td>
<td>9<br/>
</td>
<td>4.50<br/>
</td>
<td>4.63<br/>
</td>
<td>6.55<br/>
</td>
<td>5.40<br/>
</td>
<td>5.70<br/>
</td>
<td>4.80<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.12"></a><var>97.12</var><br/>
</td>
<td>10<br/>
</td>
<td>4.40<br/>
</td>
<td>4.42<br/>
</td>
<td>6.40<br/>
</td>
<td>5.30<br/>
</td>
<td>5.55<br/>
</td>
<td>4.65<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.13"></a><var>97.13</var><br/>
</td>
<td>11<br/>
</td>
<td>4.20<br/>
</td>
<td>4.24<br/>
</td>
<td>6.25<br/>
</td>
<td>5.20<br/>
</td>
<td>5.40<br/>
</td>
<td>4.55<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.14"></a><var>97.14</var><br/>
</td>
<td>12<br/>
</td>
<td>4.10<br/>
</td>
<td>4.08<br/>
</td>
<td>6.00<br/>
</td>
<td>5.10<br/>
</td>
<td>5.25<br/>
</td>
<td>4.45<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.15"></a><var>97.15</var><br/>
</td>
<td>13<br/>
</td>
<td>4.00<br/>
</td>
<td>3.94<br/>
</td>
<td>5.75<br/>
</td>
<td>5.00<br/>
</td>
<td>5.10<br/>
</td>
<td>4.35<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.16"></a><var>97.16</var><br/>
</td>
<td>14<br/>
</td>
<td>3.80<br/>
</td>
<td>3.82<br/>
</td>
<td>5.50<br/>
</td>
<td>4.90<br/>
</td>
<td>4.95<br/>
</td>
<td>4.25<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.17"></a><var>97.17</var><br/>
</td>
<td>15<br/>
</td>
<td>3.70<br/>
</td>
<td>3.70<br/>
</td>
<td>5.25<br/>
</td>
<td>4.80<br/>
</td>
<td>4.80<br/>
</td>
<td>4.15<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.18"></a><var>97.18</var><br/>
</td>
<td>16<br/>
</td>
<td>3.60<br/>
</td>
<td>3.60<br/>
</td>
<td>5.00<br/>
</td>
<td>4.80<br/>
</td>
<td>4.65<br/>
</td>
<td>4.05<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.19"></a><var>97.19</var><br/>
</td>
<td>17<br/>
</td>
<td>3.50<br/>
</td>
<td>3.51<br/>
</td>
<td>4.75<br/>
</td>
<td>4.80<br/>
</td>
<td>4.50<br/>
</td>
<td>3.95<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.20"></a><var>97.20</var><br/>
</td>
<td>18<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.80<br/>
</td>
<td>4.35<br/>
</td>
<td>3.85<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.21"></a><var>97.21</var><br/>
</td>
<td>19<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.25<br/>
</td>
<td>4.80<br/>
</td>
<td>4.20<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.22"></a><var>97.22</var><br/>
</td>
<td>20<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.00<br/>
</td>
<td>4.80<br/>
</td>
<td>4.05<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.23"></a><var>97.23</var><br/>
</td>
<td>21<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.90<br/>
</td>
<td>4.70<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.24"></a><var>97.24</var><br/>
</td>
<td>22<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.80<br/>
</td>
<td>4.60<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.25"></a><var>97.25</var><br/>
</td>
<td>23<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.70<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.26"></a><var>97.26</var><br/>
</td>
<td>24<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.60<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.27"></a><var>97.27</var><br/>
</td>
<td>25<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.28"></a><var>97.28</var><br/>
</td>
<td>26<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.29"></a><var>97.29</var><br/>
</td>
<td>27<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.30"></a><var>97.30</var><br/>
</td>
<td>28<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.31"></a><var>97.31</var><br/>
</td>
<td>29<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.32"></a><var>97.32</var><br/>
</td>
<td>30 or more<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>3.50<br/>
</td>
<td>4.50<br/>
</td>
<td>4.00<br/>
</td>
<td>3.75<br/>
</td>
</tr>
</table><a id="pl.97.33"></a><var>97.33</var>    (c) (d) The actuarial valuation must use the applicable following payroll growth <br/>
<a id="pl.97.34"></a><var>97.34</var>assumption for calculating the amortization requirement for the unfunded actuarial <br/>
<a id="pl.97.35"></a><var>97.35</var>accrued liability where the amortization retirement is calculated as a level percentage <br/>
<a id="pl.97.36"></a><var>97.36</var>of an increasing payroll:<br/>
<table>
<col width="50px"/>
<col width="40"/>
<col width="25"/>
<tr>
<td><a id="pl.97.37"></a><var>97.37</var><br/>
</td>
<td align="center">plan<br/>
</td>
<td align="center">payroll growth assumption<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.38"></a><var>97.38</var><br/>
<a id="pl.97.39"></a><var>97.39</var><br/>
</td>
<td>general state employees retirement plan of the <br/>
                  		Minnesota State Retirement System<br/>
</td>
<td align="center">3.75%<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.40"></a><var>97.40</var><br/>
</td>
<td>correctional state employees retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.41"></a><var>97.41</var><br/>
</td>
<td>State Patrol retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.97.42"></a><var>97.42</var><br/>
</td>
<td>judges retirement plan<br/>
</td>
<td align="center">3.00<br/>
</td>
</tr>
<tr>
<td><a id="pl.98.1"></a><var>98.1</var><br/>
<a id="pl.98.2"></a><var>98.2</var><br/>
</td>
<td>general employees retirement plan of the Public <br/>
                  		Employees Retirement Association<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.98.3"></a><var>98.3</var><br/>
</td>
<td>public employees police and fire retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.98.4"></a><var>98.4</var><br/>
</td>
<td>local government correctional service retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.98.5"></a><var>98.5</var><br/>
</td>
<td>teachers retirement plan<br/>
</td>
<td align="center">3.75<br/>
</td>
</tr>
<tr>
<td><a id="pl.98.6"></a><var>98.6</var><br/>
</td>
<td>Duluth teachers retirement plan<br/>
</td>
<td align="center">3.50<br/>
</td>
</tr>
<tr>
<td><a id="pl.98.7"></a><var>98.7</var><br/>
</td>
<td>St. Paul teachers retirement plan<br/>
</td>
<td align="center">4.00<br/>
</td>
</tr>
</table><a id="pl.98.8"></a><var>98.8</var>    (d) (e) The assumptions set forth in paragraphs (b) (c) and (c) (d) continue to apply, <br/>
<a id="pl.98.9"></a><var>98.9</var>unless a different salary assumption or a different payroll increase assumption:<br/>
<a id="pl.98.10"></a><var>98.10</var>    (1) has been proposed by the governing board of the applicable retirement plan;<br/>
<a id="pl.98.11"></a><var>98.11</var>    (2) is accompanied by the concurring recommendation of the actuary retained under <br/>
<a id="pl.98.12"></a><var>98.12</var>section 
         <statute_ref>356.214, subdivision 1</statute_ref>, if applicable, or by the approved actuary preparing the <br/>
<a id="pl.98.13"></a><var>98.13</var>most recent actuarial valuation report if section 
         <statute_ref>356.214</statute_ref> does not apply; and<br/>
<a id="pl.98.14"></a><var>98.14</var>    (3) has been approved or deemed approved under subdivision 18.<br/>
<a id="pl.98.15"></a><var>98.15</var><b>EFFECTIVE DATE.</b>This section is effective June 30, 2014, and applies to <br/>
<a id="pl.98.16"></a><var>98.16</var>actuarial valuation reports prepared on or after that date.<br/>
<br/>
<a id="bill.10.2.0"></a><a id="pl.98.17"></a><var>98.17</var>    Sec. 2. Minnesota Statutes 2012, section 356.215, subdivision 11, is amended to read:<br/>
<a id="pl.98.18"></a><var>98.18</var>    Subd. 11. <b>Amortization contributions.</b> (a) In addition to the exhibit indicating <br/>
<a id="pl.98.19"></a><var>98.19</var>the level normal cost, the actuarial valuation of the retirement plan must contain an <br/>
<a id="pl.98.20"></a><var>98.20</var>exhibit for financial reporting purposes indicating the additional annual contribution <br/>
<a id="pl.98.21"></a><var>98.21</var>sufficient to amortize the unfunded actuarial accrued liability and must contain an exhibit <br/>
<a id="pl.98.22"></a><var>98.22</var>for contribution determination purposes indicating the additional contribution sufficient <br/>
<a id="pl.98.23"></a><var>98.23</var>to amortize the unfunded actuarial accrued liability. For the retirement plans listed in <br/>
<a id="pl.98.24"></a><var>98.24</var>subdivision 8, paragraph (c), but excluding the MERF division of the Public Employees <br/>
<a id="pl.98.25"></a><var>98.25</var>Retirement Association and the legislators retirement plan, the additional contribution <br/>
<a id="pl.98.26"></a><var>98.26</var>must be calculated on a level percentage of covered payroll basis by the established date <br/>
<a id="pl.98.27"></a><var>98.27</var>for full funding in effect when the valuation is prepared, assuming annual payroll growth <br/>
<a id="pl.98.28"></a><var>98.28</var>at the applicable percentage rate set forth in subdivision 8, paragraph (c) (d). For all <br/>
<a id="pl.98.29"></a><var>98.29</var>other retirement plans and for the MERF division of the Public Employees Retirement <br/>
<a id="pl.98.30"></a><var>98.30</var>Association and the legislators retirement plan, the additional annual contribution must be <br/>
<a id="pl.98.31"></a><var>98.31</var>calculated on a level annual dollar amount basis.<br/>
<a id="pl.98.32"></a><var>98.32</var>    (b) For any retirement plan other than the general state employees retirement plan of <br/>
<a id="pl.98.33"></a><var>98.33</var>the Minnesota State Retirement System or a retirement plan governed by paragraph (d), <br/>
<a id="pl.98.34"></a><var>98.34</var>(e), (f), (g), (h), (i), or (j), or (k), if there has not been a change in the actuarial assumptions <br/>
<a id="pl.98.35"></a><var>98.35</var>used for calculating the actuarial accrued liability of the fund, a change in the benefit <br/>
<a id="pl.98.36"></a><var>98.36</var>plan governing annuities and benefits payable from the fund, a change in the actuarial <br/>
<a id="pl.99.1"></a><var>99.1</var>cost method used in calculating the actuarial accrued liability of all or a portion of the <br/>
<a id="pl.99.2"></a><var>99.2</var>fund, or a combination of the three, which change or changes by itself or by themselves <br/>
<a id="pl.99.3"></a><var>99.3</var>without inclusion of any other items of increase or decrease produce a net increase in the <br/>
<a id="pl.99.4"></a><var>99.4</var>unfunded actuarial accrued liability of the fund, the established date for full funding is the <br/>
<a id="pl.99.5"></a><var>99.5</var>first actuarial valuation date occurring after June 1, 2020.<br/>
<a id="pl.99.6"></a><var>99.6</var>    (c) For any retirement plan other than the general employees retirement plan of the <br/>
<a id="pl.99.7"></a><var>99.7</var>Public Employees Retirement Association, if there has been a change in any or all of the <br/>
<a id="pl.99.8"></a><var>99.8</var>actuarial assumptions used for calculating the actuarial accrued liability of the fund, a <br/>
<a id="pl.99.9"></a><var>99.9</var>change in the benefit plan governing annuities and benefits payable from the fund, a <br/>
<a id="pl.99.10"></a><var>99.10</var>change in the actuarial cost method used in calculating the actuarial accrued liability of all <br/>
<a id="pl.99.11"></a><var>99.11</var>or a portion of the fund, or a combination of the three, and the change or changes, by itself <br/>
<a id="pl.99.12"></a><var>99.12</var>or by themselves and without inclusion of any other items of increase or decrease, produce <br/>
<a id="pl.99.13"></a><var>99.13</var>a net increase in the unfunded actuarial accrued liability in the fund, the established date <br/>
<a id="pl.99.14"></a><var>99.14</var>for full funding must be determined using the following procedure:<br/>
<a id="pl.99.15"></a><var>99.15</var>    (i) the unfunded actuarial accrued liability of the fund must be determined in <br/>
<a id="pl.99.16"></a><var>99.16</var>accordance with the plan provisions governing annuities and retirement benefits and the <br/>
<a id="pl.99.17"></a><var>99.17</var>actuarial assumptions in effect before an applicable change;<br/>
<a id="pl.99.18"></a><var>99.18</var>    (ii) the level annual dollar contribution or level percentage, whichever is applicable, <br/>
<a id="pl.99.19"></a><var>99.19</var>needed to amortize the unfunded actuarial accrued liability amount determined under item <br/>
<a id="pl.99.20"></a><var>99.20</var>(i) by the established date for full funding in effect before the change must be calculated <br/>
<a id="pl.99.21"></a><var>99.21</var>using the interest assumption specified in subdivision 8 in effect before the change;<br/>
<a id="pl.99.22"></a><var>99.22</var>    (iii) the unfunded actuarial accrued liability of the fund must be determined in <br/>
<a id="pl.99.23"></a><var>99.23</var>accordance with any new plan provisions governing annuities and benefits payable from <br/>
<a id="pl.99.24"></a><var>99.24</var>the fund and any new actuarial assumptions and the remaining plan provisions governing <br/>
<a id="pl.99.25"></a><var>99.25</var>annuities and benefits payable from the fund and actuarial assumptions in effect before <br/>
<a id="pl.99.26"></a><var>99.26</var>the change;<br/>
<a id="pl.99.27"></a><var>99.27</var>    (iv) the level annual dollar contribution or level percentage, whichever is applicable, <br/>
<a id="pl.99.28"></a><var>99.28</var>needed to amortize the difference between the unfunded actuarial accrued liability amount <br/>
<a id="pl.99.29"></a><var>99.29</var>calculated under item (i) and the unfunded actuarial accrued liability amount calculated <br/>
<a id="pl.99.30"></a><var>99.30</var>under item (iii) over a period of 30 years from the end of the plan year in which the <br/>
<a id="pl.99.31"></a><var>99.31</var>applicable change is effective must be calculated using the applicable interest assumption <br/>
<a id="pl.99.32"></a><var>99.32</var>specified in subdivision 8 in effect after any applicable change;<br/>
<a id="pl.99.33"></a><var>99.33</var>    (v) the level annual dollar or level percentage amortization contribution under item <br/>
<a id="pl.99.34"></a><var>99.34</var>(iv) must be added to the level annual dollar amortization contribution or level percentage <br/>
<a id="pl.99.35"></a><var>99.35</var>calculated under item (ii);<br/>
<a id="pl.100.1"></a><var>100.1</var>    (vi) the period in which the unfunded actuarial accrued liability amount determined <br/>
<a id="pl.100.2"></a><var>100.2</var>in item (iii) is amortized by the total level annual dollar or level percentage amortization <br/>
<a id="pl.100.3"></a><var>100.3</var>contribution computed under item (v) must be calculated using the interest assumption <br/>
<a id="pl.100.4"></a><var>100.4</var>specified in subdivision 8 in effect after any applicable change, rounded to the nearest <br/>
<a id="pl.100.5"></a><var>100.5</var>integral number of years, but not to exceed 30 years from the end of the plan year in which <br/>
<a id="pl.100.6"></a><var>100.6</var>the determination of the established date for full funding using the procedure set forth in this <br/>
<a id="pl.100.7"></a><var>100.7</var>clause is made and not to be less than the period of years beginning in the plan year in which <br/>
<a id="pl.100.8"></a><var>100.8</var>the determination of the established date for full funding using the procedure set forth in <br/>
<a id="pl.100.9"></a><var>100.9</var>this clause is made and ending by the date for full funding in effect before the change; and<br/>
<a id="pl.100.10"></a><var>100.10</var>    (vii) the period determined under item (vi) must be added to the date as of which <br/>
<a id="pl.100.11"></a><var>100.11</var>the actuarial valuation was prepared and the date obtained is the new established date <br/>
<a id="pl.100.12"></a><var>100.12</var>for full funding.<br/>
<a id="pl.100.13"></a><var>100.13</var>    (d) For the MERF division of the Public Employees Retirement Association, the <br/>
<a id="pl.100.14"></a><var>100.14</var>established date for full funding is June 30, 2031.<br/>
<a id="pl.100.15"></a><var>100.15</var>    (e) For the general employees retirement plan of the Public Employees Retirement <br/>
<a id="pl.100.16"></a><var>100.16</var>Association, the established date for full funding is June 30, 2031.<br/>
<a id="pl.100.17"></a><var>100.17</var>    (f) For the Teachers Retirement Association, the established date for full funding is <br/>
<a id="pl.100.18"></a><var>100.18</var>June 30, 2037.<br/>
<a id="pl.100.19"></a><var>100.19</var>    (g) For the correctional state employees retirement plan of the Minnesota State <br/>
<a id="pl.100.20"></a><var>100.20</var>Retirement System, the established date for full funding is June 30, 2038.<br/>
<a id="pl.100.21"></a><var>100.21</var>    (h) For the judges retirement plan, the established date for full funding is June <br/>
<a id="pl.100.22"></a><var>100.22</var>30, 2038.<br/>
<a id="pl.100.23"></a><var>100.23</var>    (i) For the public employees police and fire retirement plan, the established date <br/>
<a id="pl.100.24"></a><var>100.24</var>for full funding is June 30, 2038.<br/>
<a id="pl.100.25"></a><var>100.25</var>    (j) For the St. Paul Teachers Retirement Fund Association, the established date for <br/>
<a id="pl.100.26"></a><var>100.26</var>full funding is June 30 of the 25th year from the valuation date. In addition to other <br/>
<a id="pl.100.27"></a><var>100.27</var>requirements of this chapter, the annual actuarial valuation must contain an exhibit <br/>
<a id="pl.100.28"></a><var>100.28</var>indicating the funded ratio and the deficiency or sufficiency in annual contributions when <br/>
<a id="pl.100.29"></a><var>100.29</var>comparing liabilities to the market value of the assets of the fund as of the close of the <br/>
<a id="pl.100.30"></a><var>100.30</var>most recent fiscal year.<br/>
<a id="pl.100.31"></a><var>100.31</var>(k) For the general state employees retirement plan of the Minnesota State <br/>
<a id="pl.100.32"></a><var>100.32</var>Retirement System, the established date for full funding is June 30, 2040.<br/>
<a id="pl.100.33"></a><var>100.33</var>    (l) For the retirement plans for which the annual actuarial valuation indicates an <br/>
<a id="pl.100.34"></a><var>100.34</var>excess of valuation assets over the actuarial accrued liability, the valuation assets in <br/>
<a id="pl.100.35"></a><var>100.35</var>excess of the actuarial accrued liability must be recognized as a reduction in the current <br/>
<a id="pl.100.36"></a><var>100.36</var>contribution requirements by an amount equal to the amortization of the excess expressed <br/>
<a id="pl.101.1"></a><var>101.1</var>as a level percentage of pay over a 30-year period beginning anew with each annual <br/>
<a id="pl.101.2"></a><var>101.2</var>actuarial valuation of the plan.<br/>
<a id="pl.101.3"></a><var>101.3</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014, and applies to actuarial <br/>
<a id="pl.101.4"></a><var>101.4</var>valuation results prepared on or after that date.<br/>
<br/>
<a id="bill.10.3.0"></a><a id="pl.101.5"></a><var>101.5</var>    Sec. 3. <b> REPEALER.</b><br/>
<a id="pl.101.6"></a><var>101.6</var>Minnesota Statutes 2012, section 356.415, subdivision 3, is repealed.<br/>
<a id="pl.101.7"></a><var>101.7</var><b>EFFECTIVE DATE.</b>This section is effective June 30, 2014, and applies to <br/>
<a id="pl.101.8"></a><var>101.8</var>actuarial valuation reports prepared on or after that date.<br/>
<br/>
<a id="bill.11.0.0"></a>

<a id="bill.11.1.0"></a><a id="pl.101.11"></a><var>101.11</var>    Section 1. Minnesota Statutes 2013 Supplement, section 354A.27, subdivision 6a, <br/>
<a id="pl.101.12"></a><var>101.12</var>is amended to read:<br/>
<a id="pl.101.13"></a><var>101.13</var>    Subd. 6a. <b>Postretirement adjustment transition.</b> (a) If the funded ratio of the <br/>
<a id="pl.101.14"></a><var>101.14</var>retirement plan based on the actuarial value of assets is at least 90 percent as reported in <br/>
<a id="pl.101.15"></a><var>101.15</var>the two most recent actuarial valuation  valuations prepared under sections 
         <statute_ref>356.214</statute_ref> and <br/>
<statute_ref><a id="pl.101.16"></a><var>101.16</var>356.215
         </statute_ref>, this subdivision expires and subsequent postretirement adjustments are governed <br/>
<a id="pl.101.17"></a><var>101.17</var>by subdivision 7.<br/>
<a id="pl.101.18"></a><var>101.18</var>(b) Each annuity or benefit recipient of the retirement plan who has been receiving <br/>
<a id="pl.101.19"></a><var>101.19</var>that annuity or benefit for at least 12 months as of the applicable January 1 is eligible to <br/>
<a id="pl.101.20"></a><var>101.20</var>receive a postretirement adjustment of one percent, payable on January 1.<br/>
<a id="pl.101.21"></a><var>101.21</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2015, unless Minnesota <br/>
<a id="pl.101.22"></a><var>101.22</var>Statutes, section 354A.27, subdivision 6a, is repealed by action of the 2014 legislature.<br/>
<br/>
<a id="bill.11.2.0"></a><a id="pl.101.23"></a><var>101.23</var>    Sec. 2. Minnesota Statutes 2012, section 354A.29, subdivision 8, is amended to read:<br/>
<a id="pl.101.24"></a><var>101.24</var>    Subd. 8. <b>Calculation of postretirement adjustments; transitional provision.</b> (a) <br/>
<a id="pl.101.25"></a><var>101.25</var>For purposes of computing postretirement adjustments for eligible benefit recipients of <br/>
<a id="pl.101.26"></a><var>101.26</var>the St. Paul Teachers Retirement Fund Association, the accrued liability funding ratio <br/>
<a id="pl.101.27"></a><var>101.27</var>based on the actuarial value of assets of the plan as determined by the two most recent <br/>
<a id="pl.101.28"></a><var>101.28</var>actuarial valuation  valuations prepared under sections 
         <statute_ref>356.214</statute_ref> and 
         <statute_ref>356.215</statute_ref> determines <br/>
<a id="pl.101.29"></a><var>101.29</var>the postretirement increase, as follows:<br/>
<table>
<col width="50px"/>
<col width="10"/>
<col width="27.5"/>
<col width="27.5"/>
<tr>
<td><a id="pl.102.1"></a><var>102.1</var><br/>
</td>
<td></td>
<td>Funding ratio<br/>
</td>
<td>Postretirement increase<br/>
</td>
</tr>
<tr>
<td><a id="pl.102.2"></a><var>102.2</var><br/>
</td>
<td></td>
<td>Less than 80 percent<br/>
</td>
<td>1 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.102.3"></a><var>102.3</var><br/>
<a id="pl.102.4"></a><var>102.4</var><br/>
</td>
<td></td>
<td>At least 80 percent but less than90 <br/>
                  		percent<br/>
</td>
<td>2 percent<br/>
</td>
</tr>
</table><a id="pl.102.5"></a><var>102.5</var>(b) The amount determined under paragraph (a) is the full postretirement increase <br/>
<a id="pl.102.6"></a><var>102.6</var>to be applied as a permanent increase to the regular payment of each eligible member <br/>
<a id="pl.102.7"></a><var>102.7</var>on January 1 of the next calendar year. For any eligible member whose effective date <br/>
<a id="pl.102.8"></a><var>102.8</var>of benefit commencement occurred during the calendar year before the postretirement <br/>
<a id="pl.102.9"></a><var>102.9</var>increase is applied, the full increase amount must be prorated on the basis of whole <br/>
<a id="pl.102.10"></a><var>102.10</var>calendar quarters in benefit payment status in the calendar year prior to the January 1 on <br/>
<a id="pl.102.11"></a><var>102.11</var>which the postretirement increase is applied, calculated to the third decimal place.<br/>
<a id="pl.102.12"></a><var>102.12</var>(c) If the accrued liability funding ratio based on the actuarial value of assets is at <br/>
<a id="pl.102.13"></a><var>102.13</var>least 90 percent in two consecutive actuarial valuations, this subdivision expires and <br/>
<a id="pl.102.14"></a><var>102.14</var>subsequent postretirement increases must be paid as specified in subdivision 9.<br/>
<a id="pl.102.15"></a><var>102.15</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2015.<br/>
<br/>
<a id="bill.11.3.0"></a><a id="pl.102.16"></a><var>102.16</var>    Sec. 3. Minnesota Statutes 2013 Supplement, section 356.415, subdivision 1a, is <br/>
<a id="pl.102.17"></a><var>102.17</var>amended to read:<br/>
<a id="pl.102.18"></a><var>102.18</var>    Subd. 1a. <b>Annual postretirement adjustments; Minnesota State Retirement </b><br/>
<a id="pl.102.19"></a><var>102.19</var><b>System plans other than State Patrol retirement plan.</b> (a) Retirement annuity, disability <br/>
<a id="pl.102.20"></a><var>102.20</var>benefit, or survivor benefit recipients of the legislators retirement plans, including <br/>
<a id="pl.102.21"></a><var>102.21</var>constitutional officers as specified in chapter 3A, the general state employees retirement <br/>
<a id="pl.102.22"></a><var>102.22</var>plan, the correctional state employees retirement plan, the unclassified state employees <br/>
<a id="pl.102.23"></a><var>102.23</var>retirement program, and the judges retirement plan are entitled to a postretirement <br/>
<a id="pl.102.24"></a><var>102.24</var>adjustment annually on January 1, as follows:<br/>
<a id="pl.102.25"></a><var>102.25</var>(1) a postretirement increase of two percent must be applied each year, effective <br/>
<a id="pl.102.26"></a><var>102.26</var>on January 1, to the monthly annuity or benefit of each annuitant or benefit recipient <br/>
<a id="pl.102.27"></a><var>102.27</var>who has been receiving an annuity or a benefit for at least 18 full months before the <br/>
<a id="pl.102.28"></a><var>102.28</var>January 1 increase; and<br/>
<a id="pl.102.29"></a><var>102.29</var>(2) for each annuitant or benefit recipient who has been receiving an annuity or <br/>
<a id="pl.102.30"></a><var>102.30</var>a benefit for at least six full months, an annual postretirement increase of 1/12 of two <br/>
<a id="pl.102.31"></a><var>102.31</var>percent for each month that the person has been receiving an annuity or benefit must be <br/>
<a id="pl.102.32"></a><var>102.32</var>applied, effective January 1, following the calendar year in which the person has been <br/>
<a id="pl.102.33"></a><var>102.33</var>retired for at least six months, but has been retired for less than 18 months.<br/>
<a id="pl.102.34"></a><var>102.34</var>(b) The increases provided by this subdivision commence on January 1, 2011. <br/>
<a id="pl.102.35"></a><var>102.35</var>Increases under this subdivision for the general state employees retirement plan, the <br/>
<a id="pl.103.1"></a><var>103.1</var>correctional state employees retirement plan, or the judges retirement plan terminate on <br/>
<a id="pl.103.2"></a><var>103.2</var>December 31 of the calendar year in which the two prior consecutive actuarial valuation<br/>
<a id="pl.103.3"></a><var>103.3</var> valuations prepared by the approved actuary under sections 
         <statute_ref>356.214</statute_ref> and 
         <statute_ref>356.215</statute_ref> and the <br/>
<a id="pl.103.4"></a><var>103.4</var>standards for actuarial work promulgated by the Legislative Commission on Pensions <br/>
<a id="pl.103.5"></a><var>103.5</var>and Retirement indicates that the market value of assets of the retirement plan equals or <br/>
<a id="pl.103.6"></a><var>103.6</var>exceeds 90 percent of the actuarial accrued liability of the retirement plan and increases <br/>
<a id="pl.103.7"></a><var>103.7</var>under subdivision 1 recommence after that date. Increases under this subdivision for <br/>
<a id="pl.103.8"></a><var>103.8</var>the legislators retirement plan or the elected state officers retirement plan terminate <br/>
<a id="pl.103.9"></a><var>103.9</var>on December 31 of the calendar year in which the actuarial valuation prepared by the <br/>
<a id="pl.103.10"></a><var>103.10</var>approved actuary under sections 
         <statute_ref>356.214</statute_ref> and 
         <statute_ref>356.215</statute_ref> and the standards for actuarial work <br/>
<a id="pl.103.11"></a><var>103.11</var>promulgated by the Legislative Commission on Pensions and Retirement indicates that the <br/>
<a id="pl.103.12"></a><var>103.12</var>market value of assets of the general state employees retirement plan equals or exceeds <br/>
<a id="pl.103.13"></a><var>103.13</var>90 percent of the actuarial accrued liability of the retirement plan and increases under <br/>
<a id="pl.103.14"></a><var>103.14</var>subdivision 1 recommence after that date.<br/>
<a id="pl.103.15"></a><var>103.15</var>(c) An increase in annuity or benefit payments under this subdivision must be made <br/>
<a id="pl.103.16"></a><var>103.16</var>automatically unless written notice is filed by the annuitant or benefit recipient with the <br/>
<a id="pl.103.17"></a><var>103.17</var>executive director of the applicable covered retirement plan requesting that the increase <br/>
<a id="pl.103.18"></a><var>103.18</var>not be made.<br/>
<a id="pl.103.19"></a><var>103.19</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.11.4.0"></a><a id="pl.103.20"></a><var>103.20</var>    Sec. 4. Minnesota Statutes 2012, section 356.415, subdivision 1d, is amended to read:<br/>
<a id="pl.103.21"></a><var>103.21</var>    Subd. 1d. <b>Teachers Retirement Association annual postretirement adjustments.</b><br/>
<a id="pl.103.22"></a><var>103.22</var>(a) Retirement annuity, disability benefit, or survivor benefit recipients of the Teachers <br/>
<a id="pl.103.23"></a><var>103.23</var>Retirement Association are entitled to a postretirement adjustment annually on January <br/>
<a id="pl.103.24"></a><var>103.24</var>1, as follows:<br/>
<a id="pl.103.25"></a><var>103.25</var>(1) for January 1, 2011, and January 1, 2012, no postretirement increase is payable;<br/>
<a id="pl.103.26"></a><var>103.26</var>(2) for January 1, 2013, and each successive January 1 until funding stability is <br/>
<a id="pl.103.27"></a><var>103.27</var>restored, a postretirement increase of two percent must be applied each year, effective <br/>
<a id="pl.103.28"></a><var>103.28</var>on January 1, to the monthly annuity or benefit amount of each annuitant or benefit <br/>
<a id="pl.103.29"></a><var>103.29</var>recipient who has been receiving an annuity or a benefit for at least 18 full months prior <br/>
<a id="pl.103.30"></a><var>103.30</var>to the January 1 increase;<br/>
<a id="pl.103.31"></a><var>103.31</var>(3) for January 1, 2013, and each successive January 1 until funding stability is <br/>
<a id="pl.103.32"></a><var>103.32</var>restored, for each annuitant or benefit recipient who has been receiving an annuity or a <br/>
<a id="pl.103.33"></a><var>103.33</var>benefit for at least six full months before the January 1 increase, an annual postretirement <br/>
<a id="pl.103.34"></a><var>103.34</var>increase of 1/12 of two percent for each month the person has been receiving an annuity or <br/>
<a id="pl.104.1"></a><var>104.1</var>benefit must be applied, effective January 1, for which the person has been retired for at <br/>
<a id="pl.104.2"></a><var>104.2</var>least six months but less than 18 months;<br/>
<a id="pl.104.3"></a><var>104.3</var>(4) for each January 1 following the restoration of funding stability, a postretirement <br/>
<a id="pl.104.4"></a><var>104.4</var>increase of 2.5 percent must be applied each year, effective January 1, to the monthly <br/>
<a id="pl.104.5"></a><var>104.5</var>annuity or benefit amount of each annuitant or benefit recipient who has been receiving an <br/>
<a id="pl.104.6"></a><var>104.6</var>annuity or a benefit for at least 18 full months prior to the January 1 increase; and<br/>
<a id="pl.104.7"></a><var>104.7</var>(5) for each January 1 following the restoration of funding stability, for each <br/>
<a id="pl.104.8"></a><var>104.8</var>annuitant or benefit recipient who has been receiving an annuity or a benefit for at least <br/>
<a id="pl.104.9"></a><var>104.9</var>six full months before the January 1 increase, an annual postretirement increase of 1/12 <br/>
<a id="pl.104.10"></a><var>104.10</var>of 2.5 percent for each month the person has been receiving an annuity or benefit must <br/>
<a id="pl.104.11"></a><var>104.11</var>be applied, effective January 1, for which the person has been retired for at least six <br/>
<a id="pl.104.12"></a><var>104.12</var>months but less than 18 months.<br/>
<a id="pl.104.13"></a><var>104.13</var>(b) Funding stability is restored when the market value of assets of the Teachers <br/>
<a id="pl.104.14"></a><var>104.14</var>Retirement Association equals or exceeds 90 percent of the actuarial accrued liabilities <br/>
<a id="pl.104.15"></a><var>104.15</var>of the Teachers Retirement Association in the two most recent prior actuarial valuation<br/>
<a id="pl.104.16"></a><var>104.16</var> valuations prepared under section 
         <statute_ref>356.215</statute_ref> and the standards for actuarial work by the <br/>
<a id="pl.104.17"></a><var>104.17</var>approved actuary retained by the Teachers Retirement Association under section 
         <statute_ref>356.214</statute_ref>.<br/>
<a id="pl.104.18"></a><var>104.18</var>(c) An increase in annuity or benefit payments under this section must be made <br/>
<a id="pl.104.19"></a><var>104.19</var>automatically unless written notice is filed by the annuitant or benefit recipient with the <br/>
<a id="pl.104.20"></a><var>104.20</var>executive director of the Teachers Retirement Association requesting that the increase <br/>
<a id="pl.104.21"></a><var>104.21</var>not be made.<br/>
<a id="pl.104.22"></a><var>104.22</var>(d) The retirement annuity payable to a person who retires before becoming eligible <br/>
<a id="pl.104.23"></a><var>104.23</var>for Social Security benefits and who has elected the optional payment as provided in <br/>
<a id="pl.104.24"></a><var>104.24</var>section 
         <statute_ref>354.35</statute_ref> must be treated as the sum of a period-certain retirement annuity and a life <br/>
<a id="pl.104.25"></a><var>104.25</var>retirement annuity for the purposes of any postretirement adjustment. The period-certain <br/>
<a id="pl.104.26"></a><var>104.26</var>retirement annuity plus the life retirement annuity must be the annuity amount payable <br/>
<a id="pl.104.27"></a><var>104.27</var>until age 62, 65, or normal retirement age, as selected by the member at retirement, for an <br/>
<a id="pl.104.28"></a><var>104.28</var>annuity amount payable under section 
         <statute_ref>354.35</statute_ref>. A postretirement adjustment granted on <br/>
<a id="pl.104.29"></a><var>104.29</var>the period-certain retirement annuity must terminate when the period-certain retirement <br/>
<a id="pl.104.30"></a><var>104.30</var>annuity terminates.<br/>
<a id="pl.104.31"></a><var>104.31</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2015.<br/>
<br/>
<a id="bill.11.5.0"></a><a id="pl.104.32"></a><var>104.32</var>    Sec. 5. Minnesota Statutes 2013 Supplement, section 356.415, subdivision 1e, is <br/>
<a id="pl.104.33"></a><var>104.33</var>amended to read:<br/>
<a id="pl.104.34"></a><var>104.34</var>    Subd. 1e. <b>Annual postretirement adjustments; State Patrol retirement plan.</b><br/>
<a id="pl.104.35"></a><var>104.35</var>(a) Retirement annuity, disability benefit, or survivor benefit recipients of the State Patrol <br/>
<a id="pl.105.1"></a><var>105.1</var>retirement plan are entitled to a postretirement adjustment annually on January 1, as <br/>
<a id="pl.105.2"></a><var>105.2</var>follows:<br/>
<a id="pl.105.3"></a><var>105.3</var>(1) a postretirement increase of one percent must be applied each year, effective on <br/>
<a id="pl.105.4"></a><var>105.4</var>January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who <br/>
<a id="pl.105.5"></a><var>105.5</var>has been receiving an annuity or a benefit for at least 18 full months before the January 1 <br/>
<a id="pl.105.6"></a><var>105.6</var>increase; and<br/>
<a id="pl.105.7"></a><var>105.7</var>(2) for each annuitant or benefit recipient who has been receiving an annuity or a <br/>
<a id="pl.105.8"></a><var>105.8</var>benefit for at least six full months, an annual postretirement increase of 1/12 of one percent <br/>
<a id="pl.105.9"></a><var>105.9</var>for each month that the person has been receiving an annuity or benefit must be applied, <br/>
<a id="pl.105.10"></a><var>105.10</var>effective January 1, following the calendar year in which the person has been retired for at <br/>
<a id="pl.105.11"></a><var>105.11</var>least six months, but has been retired for less than 18 months.<br/>
<a id="pl.105.12"></a><var>105.12</var>(b) The increases provided by this subdivision commence on January 1, 2014. <br/>
<a id="pl.105.13"></a><var>105.13</var>Increases under paragraph (a) for the State Patrol retirement plan terminate on December <br/>
<a id="pl.105.14"></a><var>105.14</var>31 of the calendar year in which the two prior consecutive actuarial valuation valuations <br/>
<a id="pl.105.15"></a><var>105.15</var>prepared by the approved actuary under sections 
         <statute_ref>356.214</statute_ref> and 
         <statute_ref>356.215</statute_ref> and the standards <br/>
<a id="pl.105.16"></a><var>105.16</var>for actuarial work promulgated by the Legislative Commission on Pensions and <br/>
<a id="pl.105.17"></a><var>105.17</var>Retirement indicates that the market value of assets of the retirement plan equals or <br/>
<a id="pl.105.18"></a><var>105.18</var>exceeds 85 percent of the actuarial accrued liability of the retirement plan and increases <br/>
<a id="pl.105.19"></a><var>105.19</var>under paragraph (c) recommence after that date.<br/>
<a id="pl.105.20"></a><var>105.20</var>(c) Retirement annuity, disability benefit, or survivor benefit recipients of the State <br/>
<a id="pl.105.21"></a><var>105.21</var>Patrol retirement plan are entitled to a postretirement adjustment annually on January <br/>
<a id="pl.105.22"></a><var>105.22</var>1, as follows:<br/>
<a id="pl.105.23"></a><var>105.23</var>(1) a postretirement increase of 1.5 percent must be applied each year, effective on <br/>
<a id="pl.105.24"></a><var>105.24</var>January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who <br/>
<a id="pl.105.25"></a><var>105.25</var>has been receiving an annuity or a benefit for at least 18 full months before the January 1 <br/>
<a id="pl.105.26"></a><var>105.26</var>increase; and<br/>
<a id="pl.105.27"></a><var>105.27</var>(2) for each annuitant or benefit recipient who has been receiving an annuity or a <br/>
<a id="pl.105.28"></a><var>105.28</var>benefit for at least six full months, an annual postretirement increase of 1/12 of 1.5 percent <br/>
<a id="pl.105.29"></a><var>105.29</var>for each month that the person has been receiving an annuity or benefit must be applied, <br/>
<a id="pl.105.30"></a><var>105.30</var>effective January 1, following the calendar year in which the person has been retired for at <br/>
<a id="pl.105.31"></a><var>105.31</var>least six months, but has been retired for less than 18 months.<br/>
<a id="pl.105.32"></a><var>105.32</var>(d) Increases under paragraph (c) for the State Patrol retirement plan terminate on <br/>
<a id="pl.105.33"></a><var>105.33</var>December 31 of the calendar year in which the two prior consecutive actuarial valuation<br/>
<a id="pl.105.34"></a><var>105.34</var> valuations prepared by the approved actuary under sections 
         <statute_ref>356.214</statute_ref> and 
         <statute_ref>356.215</statute_ref> and <br/>
<a id="pl.105.35"></a><var>105.35</var>the standards for actuarial work adopted by the Legislative Commission on Pensions <br/>
<a id="pl.105.36"></a><var>105.36</var>and Retirement indicates that the market value of assets of the retirement plan equals or <br/>
<a id="pl.106.1"></a><var>106.1</var>exceeds 90 percent of the actuarial accrued liability of the retirement plan and increases <br/>
<a id="pl.106.2"></a><var>106.2</var>under subdivision 1 recommence after that date.<br/>
<a id="pl.106.3"></a><var>106.3</var>(e) An increase in annuity or benefit payments under this subdivision must be made <br/>
<a id="pl.106.4"></a><var>106.4</var>automatically unless written notice is filed by the annuitant or benefit recipient with the <br/>
<a id="pl.106.5"></a><var>106.5</var>executive director of the applicable covered retirement plan requesting that the increase <br/>
<a id="pl.106.6"></a><var>106.6</var>not be made.<br/>
<a id="pl.106.7"></a><var>106.7</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.11.6.0"></a><a id="pl.106.8"></a><var>106.8</var>    Sec. 6. Minnesota Statutes 2013 Supplement, section 356.415, subdivision 1f, is <br/>
<a id="pl.106.9"></a><var>106.9</var>amended to read:<br/>
<a id="pl.106.10"></a><var>106.10</var>    Subd. 1f. <b>Annual postretirement adjustments; Minnesota State Retirement </b><br/>
<a id="pl.106.11"></a><var>106.11</var><b>System judges retirement plan.</b> (a) The increases provided under this subdivision begin <br/>
<a id="pl.106.12"></a><var>106.12</var>on January 1, 2014, and are in lieu of increases under subdivision 1 or 1a for retirement <br/>
<a id="pl.106.13"></a><var>106.13</var>annuity, disability benefit, or survivor benefit recipients of the judges retirement plan.<br/>
<a id="pl.106.14"></a><var>106.14</var>(b) Retirement annuity, disability benefit, or survivor benefit recipients of the <br/>
<a id="pl.106.15"></a><var>106.15</var>judges retirement plan are entitled to a postretirement adjustment annually on January <br/>
<a id="pl.106.16"></a><var>106.16</var>1, as follows:<br/>
<a id="pl.106.17"></a><var>106.17</var>(1) a postretirement increase of 1.75 percent must be applied each year, effective <br/>
<a id="pl.106.18"></a><var>106.18</var>on January 1, to the monthly annuity or benefit of each annuitant or benefit recipient <br/>
<a id="pl.106.19"></a><var>106.19</var>who has been receiving an annuity or a benefit for at least 18 full months before the <br/>
<a id="pl.106.20"></a><var>106.20</var>January 1 increase; and<br/>
<a id="pl.106.21"></a><var>106.21</var>(2) for each annuitant or benefit recipient who has been receiving an annuity or a <br/>
<a id="pl.106.22"></a><var>106.22</var>benefit for at least six full months, an annual postretirement increase of 1/12 of 1.75 <br/>
<a id="pl.106.23"></a><var>106.23</var>percent for each month that the person has been receiving an annuity or benefit must be <br/>
<a id="pl.106.24"></a><var>106.24</var>applied, effective January 1, following the calendar year in which the person has been <br/>
<a id="pl.106.25"></a><var>106.25</var>retired for at least six months, but has been retired for less than 18 months.<br/>
<a id="pl.106.26"></a><var>106.26</var>(c) Increases under this subdivision terminate on December 31 of the calendar <br/>
<a id="pl.106.27"></a><var>106.27</var>year in which the two prior consecutive actuarial valuation valuations prepared by the <br/>
<a id="pl.106.28"></a><var>106.28</var>approved actuary under sections 
         <statute_ref>356.214</statute_ref> and 
         <statute_ref>356.215</statute_ref> and the standards for actuarial work <br/>
<a id="pl.106.29"></a><var>106.29</var>promulgated by the Legislative Commission on Pensions and Retirement indicates that <br/>
<a id="pl.106.30"></a><var>106.30</var>the market value of assets of the judges retirement plan equals or exceeds 70 percent of <br/>
<a id="pl.106.31"></a><var>106.31</var>the actuarial accrued liability of the retirement plan. Increases under subdivision 1 or 1a, <br/>
<a id="pl.106.32"></a><var>106.32</var>whichever is applicable, begin on the January 1 next following that date.<br/>
<a id="pl.106.33"></a><var>106.33</var>(d) An increase in annuity or benefit payments under this subdivision must be made <br/>
<a id="pl.106.34"></a><var>106.34</var>automatically unless written notice is filed by the annuitant or benefit recipient with the <br/>
<a id="pl.107.1"></a><var>107.1</var>executive director of the applicable covered retirement plan requesting that the increase <br/>
<a id="pl.107.2"></a><var>107.2</var>not be made.<br/>
<a id="pl.107.3"></a><var>107.3</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.12.0.0"></a>

<a id="bill.12.1.0"></a><a id="pl.107.6"></a><var>107.6</var>    Section 1. Minnesota Statutes 2013 Supplement, section 69.051, subdivision 1a, <br/>
<a id="pl.107.7"></a><var>107.7</var>is amended to read:<br/>
<a id="pl.107.8"></a><var>107.8</var>    Subd. 1a. <b>Financial statement.</b> (a) The board of each volunteer firefighters relief <br/>
<a id="pl.107.9"></a><var>107.9</var>association, as defined in section 
         <statute_ref>424A.001, subdivision 4</statute_ref>, that is not required to file a <br/>
<a id="pl.107.10"></a><var>107.10</var>financial report and audit under subdivision 1 must prepare a detailed statement of the <br/>
<a id="pl.107.11"></a><var>107.11</var>financial affairs for the preceding fiscal year of the relief association's special and general <br/>
<a id="pl.107.12"></a><var>107.12</var>funds in the style and form prescribed by the state auditor. The detailed statement must <br/>
<a id="pl.107.13"></a><var>107.13</var>show:<br/>
<a id="pl.107.14"></a><var>107.14</var>(1) the sources and amounts of all money received;<br/>
<a id="pl.107.15"></a><var>107.15</var>(2) all disbursements, accounts payable and accounts receivable;<br/>
<a id="pl.107.16"></a><var>107.16</var>(3) the amount of money remaining in the treasury;<br/>
<a id="pl.107.17"></a><var>107.17</var>(4) total assets, including a listing of all investments;<br/>
<a id="pl.107.18"></a><var>107.18</var>(5) the accrued liabilities; and<br/>
<a id="pl.107.19"></a><var>107.19</var>(6) all other items necessary to show accurately the revenues and expenditures and <br/>
<a id="pl.107.20"></a><var>107.20</var>financial position of the relief association.<br/>
<a id="pl.107.21"></a><var>107.21</var>(b) The detailed financial statement required under paragraph (a) must be certified <br/>
<a id="pl.107.22"></a><var>107.22</var>by an independent a certified public accountant or by the state auditor or by the auditor or <br/>
<a id="pl.107.23"></a><var>107.23</var>accountant who regularly examines or audits the financial transactions of the municipality. <br/>
<a id="pl.107.24"></a><var>107.24</var>In addition to certifying the financial condition of the special and general funds of the relief <br/>
<a id="pl.107.25"></a><var>107.25</var>association, the accountant or auditor conducting the examination shall give an opinion <br/>
<a id="pl.107.26"></a><var>107.26</var>as to the condition of the special and general funds of the relief association, and shall <br/>
<a id="pl.107.27"></a><var>107.27</var>comment upon any exceptions to the report. The independent accountant or auditor must <br/>
<a id="pl.107.28"></a><var>107.28</var>have at least five years of public accounting, auditing, or similar experience, and must not <br/>
<a id="pl.107.29"></a><var>107.29</var>be an active, inactive, or retired member of the relief association or the fire department.<br/>
<a id="pl.107.30"></a><var>107.30</var>(c) The detailed statement required under paragraph (a) must be countersigned by:<br/>
<a id="pl.107.31"></a><var>107.31</var>(1) the municipal clerk or clerk-treasurer of the municipality; or<br/>
<a id="pl.107.32"></a><var>107.32</var>(2) where applicable, by the municipal clerk or clerk-treasurer of the largest <br/>
<a id="pl.107.33"></a><var>107.33</var>municipality in population which contracts with the independent nonprofit firefighting <br/>
<a id="pl.108.1"></a><var>108.1</var>corporation if the relief association is a subsidiary of an independent nonprofit firefighting <br/>
<a id="pl.108.2"></a><var>108.2</var>corporation and by the secretary of the independent nonprofit firefighting corporation; or<br/>
<a id="pl.108.3"></a><var>108.3</var>(3) by the chief financial official of the county in which the volunteer firefighter <br/>
<a id="pl.108.4"></a><var>108.4</var>relief association is located or primarily located if the relief association is associated with <br/>
<a id="pl.108.5"></a><var>108.5</var>a fire department that is not located in or associated with an organized municipality.<br/>
<a id="pl.108.6"></a><var>108.6</var>(d) The volunteer firefighters' relief association board must file the detailed statement <br/>
<a id="pl.108.7"></a><var>108.7</var>required under paragraph (a) in the relief association office for public inspection and <br/>
<a id="pl.108.8"></a><var>108.8</var>present it to the governing body of the municipality within 45 days after the close of the <br/>
<a id="pl.108.9"></a><var>108.9</var>fiscal year, and must submit a copy of the detailed statement to the state auditor within 90 <br/>
<a id="pl.108.10"></a><var>108.10</var>days of the close of the fiscal year.<br/>
<a id="pl.108.11"></a><var>108.11</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.2.0"></a><a id="pl.108.12"></a><var>108.12</var>    Sec. 2. Minnesota Statutes 2013 Supplement, section 69.051, subdivision 3, is <br/>
<a id="pl.108.13"></a><var>108.13</var>amended to read:<br/>
<a id="pl.108.14"></a><var>108.14</var>    Subd. 3. <b>Report by certain municipalities</b><b>; exceptions</b><b>.</b> (a) The chief <br/>
<a id="pl.108.15"></a><var>108.15</var>administrative officer of each municipality which has an organized fire department but <br/>
<a id="pl.108.16"></a><var>108.16</var>which does not have a firefighters' relief association governed by section 
         <statute_ref>69.77</statute_ref> or sections <br/>
<statute_ref><a id="pl.108.17"></a><var>108.17</var>424A.091
         </statute_ref> to 
         <statute_ref>424A.095</statute_ref> and which is not exempted under paragraph (b) or (c) shall annually <br/>
<a id="pl.108.18"></a><var>108.18</var>prepare a detailed financial report of the receipts and disbursements by the municipality <br/>
<a id="pl.108.19"></a><var>108.19</var>for fire protection service during the preceding calendar year on a form prescribed by the <br/>
<a id="pl.108.20"></a><var>108.20</var>state auditor. The financial report must contain any information which the state auditor <br/>
<a id="pl.108.21"></a><var>108.21</var>deems necessary to disclose the sources of receipts and the purpose of disbursements for <br/>
<a id="pl.108.22"></a><var>108.22</var>fire protection service. The financial report must be signed by the municipal clerk or <br/>
<a id="pl.108.23"></a><var>108.23</var>clerk-treasurer of the municipality. The financial report must be filed by the municipal clerk <br/>
<a id="pl.108.24"></a><var>108.24</var>or clerk-treasurer with the state auditor on or before July 1 annually. The municipality does <br/>
<a id="pl.108.25"></a><var>108.25</var>not qualify initially to receive, and is not entitled subsequently to retain, state aid under <br/>
<a id="pl.108.26"></a><var>108.26</var>this chapter if the financial reporting requirement or the applicable requirements of this <br/>
<a id="pl.108.27"></a><var>108.27</var>chapter or any other statute or special law have not been complied with or are not fulfilled.<br/>
<a id="pl.108.28"></a><var>108.28</var>(b) Each municipality that has an organized fire department and provides retirement <br/>
<a id="pl.108.29"></a><var>108.29</var>coverage to its firefighters through the voluntary statewide lump-sum volunteer firefighter <br/>
<a id="pl.108.30"></a><var>108.30</var>retirement plan under chapter 353G qualifies to have fire state aid transmitted to and <br/>
<a id="pl.108.31"></a><var>108.31</var>retained in the statewide lump-sum volunteer firefighter retirement fund without filing <br/>
<a id="pl.108.32"></a><var>108.32</var>a detailed financial report if the executive director of the Public Employees Retirement <br/>
<a id="pl.108.33"></a><var>108.33</var>Association certifies compliance by the municipality with the requirements of sections <br/>
<statute_ref><a id="pl.108.34"></a><var>108.34</var>353G.04
         </statute_ref> and 
         <statute_ref>353G.08</statute_ref>, paragraph (e), and certifies conformity by the applicable fire chief <br/>
<a id="pl.108.35"></a><var>108.35</var>with the requirements of section 
         <statute_ref>353G.07</statute_ref>.<br/>
<a id="pl.109.1"></a><var>109.1</var>(c) Each municipality qualifies to receive fire state aid under this chapter without <br/>
<a id="pl.109.2"></a><var>109.2</var>filing a financial report under paragraph (a) if the municipality:<br/>
<a id="pl.109.3"></a><var>109.3</var>(1) has an organized fire department;<br/>
<a id="pl.109.4"></a><var>109.4</var>(2) does not have a volunteer firefighters relief association directly associated with <br/>
<a id="pl.109.5"></a><var>109.5</var>its fire department;<br/>
<a id="pl.109.6"></a><var>109.6</var>(3) does not participate in the statewide lump-sum volunteer firefighter retirement <br/>
<a id="pl.109.7"></a><var>109.7</var>plan under chapter 353G;<br/>
<a id="pl.109.8"></a><var>109.8</var>(4) provides retirement coverage to its firefighters through the public employees <br/>
<a id="pl.109.9"></a><var>109.9</var>police and fire retirement plan under sections 353.63 to 353.68; and<br/>
<a id="pl.109.10"></a><var>109.10</var>(5) is certified by the executive director of the Public Employees Retirement <br/>
<a id="pl.109.11"></a><var>109.11</var>Association to the state auditor to have had an employer contribution under section <br/>
<a id="pl.109.12"></a><var>109.12</var>353.65, subdivision 3, for its firefighters for the immediately prior calendar year equal to <br/>
<a id="pl.109.13"></a><var>109.13</var>or greater than its fire state aid for the immediately prior calendar year.<br/>
<a id="pl.109.14"></a><var>109.14</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.109.15"></a><var>109.15</var>and applies to fire state aid payable on October 1, 2014.<br/>
<br/>
<a id="bill.12.3.0"></a><a id="pl.109.16"></a><var>109.16</var>    Sec. 3. Minnesota Statutes 2012, section 356A.06, subdivision 7, is amended to read:<br/>
<a id="pl.109.17"></a><var>109.17</var>    Subd. 7. <b>Expanded list of authorized investment securities.</b> (a) <b>Authority.</b> A <br/>
<a id="pl.109.18"></a><var>109.18</var>covered pension plan not described by subdivision 6, paragraph (a), is an expanded list <br/>
<a id="pl.109.19"></a><var>109.19</var>plan and shall invest its assets as specified in this subdivision. The governing board of an <br/>
<a id="pl.109.20"></a><var>109.20</var>expanded list plan may select and appoint investment agencies to act for or on its behalf.<br/>
<a id="pl.109.21"></a><var>109.21</var>    (b) <b>Securities generally; investment forms. </b>An expanded list plan is authorized <br/>
<a id="pl.109.22"></a><var>109.22</var>to purchase, sell, lend, and exchange the investment securities authorized under this <br/>
<a id="pl.109.23"></a><var>109.23</var>subdivision, including puts and call options and future contracts traded on a contract <br/>
<a id="pl.109.24"></a><var>109.24</var>market regulated by a governmental agency or by a financial institution regulated by <br/>
<a id="pl.109.25"></a><var>109.25</var>a governmental agency. These securities may be owned directly or through shares <br/>
<a id="pl.109.26"></a><var>109.26</var>in exchange-traded or mutual funds, or as units in commingled trusts, subject to any <br/>
<a id="pl.109.27"></a><var>109.27</var>limitations specified in this subdivision.<br/>
<a id="pl.109.28"></a><var>109.28</var>    (c) <b>Government obligations. </b>An expanded list plan is authorized to invest funds in <br/>
<a id="pl.109.29"></a><var>109.29</var>governmental bonds, notes, bills, mortgages, and other evidences of indebtedness if the <br/>
<a id="pl.109.30"></a><var>109.30</var>issue is backed by the full faith and credit of the issuer or the issue is rated among the top <br/>
<a id="pl.109.31"></a><var>109.31</var>four quality rating categories by a nationally recognized rating agency. The obligations in <br/>
<a id="pl.109.32"></a><var>109.32</var>which funds may be invested under this paragraph are guaranteed or insured issues of:<br/>
<a id="pl.109.33"></a><var>109.33</var>(1) the United States, one of its agencies, one of its instrumentalities, or an <br/>
<a id="pl.109.34"></a><var>109.34</var>organization created and regulated by an act of Congress;<br/>
<a id="pl.110.1"></a><var>110.1</var>(2) the Dominion of Canada or one of its provinces if the principal and interest are <br/>
<a id="pl.110.2"></a><var>110.2</var>payable in United States dollars;<br/>
<a id="pl.110.3"></a><var>110.3</var>(3) a state or one of its municipalities, political subdivisions, agencies, or <br/>
<a id="pl.110.4"></a><var>110.4</var>instrumentalities; and<br/>
<a id="pl.110.5"></a><var>110.5</var>(4) a United States government-sponsored organization of which the United States is <br/>
<a id="pl.110.6"></a><var>110.6</var>a member if the principal and interest are payable in United States dollars.<br/>
<a id="pl.110.7"></a><var>110.7</var>    (d) <b>Investment-grade corporate obligations. </b>An expanded list plan is authorized <br/>
<a id="pl.110.8"></a><var>110.8</var>to invest funds in bonds, notes, debentures, transportation equipment obligations, or <br/>
<a id="pl.110.9"></a><var>110.9</var>any other longer term evidences of indebtedness issued or guaranteed by a corporation <br/>
<a id="pl.110.10"></a><var>110.10</var>organized under the laws of the United States or any of its states, or the Dominion of <br/>
<a id="pl.110.11"></a><var>110.11</var>Canada or any of its provinces if:<br/>
<a id="pl.110.12"></a><var>110.12</var>    (1) the principal and interest are payable in United States dollars; and<br/>
<a id="pl.110.13"></a><var>110.13</var>    (2) the obligations are rated among the top four quality categories by a nationally <br/>
<a id="pl.110.14"></a><var>110.14</var>recognized rating agency.<br/>
<a id="pl.110.15"></a><var>110.15</var>(e) <b>Below-investment-grade corporate obligations.</b> An expanded list plan is <br/>
<a id="pl.110.16"></a><var>110.16</var>authorized to invest in unrated corporate obligations or in corporate obligations that are <br/>
<a id="pl.110.17"></a><var>110.17</var>not rated among the top four quality categories by a nationally recognized rating agency if:<br/>
<a id="pl.110.18"></a><var>110.18</var>(1) the aggregate value of these obligations does not exceed five percent of the <br/>
<a id="pl.110.19"></a><var>110.19</var>covered pension plan's market value;<br/>
<a id="pl.110.20"></a><var>110.20</var>(2) the covered pension plan's participation is limited to 50 percent of a single <br/>
<a id="pl.110.21"></a><var>110.21</var>offering subject to this paragraph; and<br/>
<a id="pl.110.22"></a><var>110.22</var>(3) the covered pension plan's participation is limited to 25 percent of an issuer's <br/>
<a id="pl.110.23"></a><var>110.23</var>obligations subject to this paragraph.<br/>
<a id="pl.110.24"></a><var>110.24</var>    (f) <b>Other obligations.</b> (1) An expanded list plan is authorized to invest funds in:<br/>
<a id="pl.110.25"></a><var>110.25</var>    (i) bankers acceptances and deposit notes if issued by a United States bank that is <br/>
<a id="pl.110.26"></a><var>110.26</var>rated in the highest four quality categories by a nationally recognized rating agency;<br/>
<a id="pl.110.27"></a><var>110.27</var>    (ii) certificates of deposit if issued by a United States bank or savings institution <br/>
<a id="pl.110.28"></a><var>110.28</var>rated in the highest four quality categories by a nationally recognized rating agency or <br/>
<a id="pl.110.29"></a><var>110.29</var>whose certificates of deposit are fully insured by federal agencies, or if issued by a credit <br/>
<a id="pl.110.30"></a><var>110.30</var>union in an amount within the limit of the insurance coverage provided by the National <br/>
<a id="pl.110.31"></a><var>110.31</var>Credit Union Administration;<br/>
<a id="pl.110.32"></a><var>110.32</var>    (iii) commercial paper if issued by a United States corporation or its Canadian <br/>
<a id="pl.110.33"></a><var>110.33</var>subsidiary and if rated in the highest two quality categories by a nationally recognized <br/>
<a id="pl.110.34"></a><var>110.34</var>rating agency;<br/>
<a id="pl.110.35"></a><var>110.35</var>    (iv) mortgage securities and asset-backed securities if rated in the top four quality <br/>
<a id="pl.110.36"></a><var>110.36</var>categories by a nationally recognized rating agency;<br/>
<a id="pl.111.1"></a><var>111.1</var>    (v) repurchase agreements and reverse repurchase agreements if collateralized with <br/>
<a id="pl.111.2"></a><var>111.2</var>letters of credit or securities authorized in this section;<br/>
<a id="pl.111.3"></a><var>111.3</var>    (vi) guaranteed investment contracts if issued by an insurance company or a bank <br/>
<a id="pl.111.4"></a><var>111.4</var>that is rated in the top four quality categories by a nationally recognized rating agency <br/>
<a id="pl.111.5"></a><var>111.5</var>or alternative guaranteed investment contracts if the underlying assets comply with the <br/>
<a id="pl.111.6"></a><var>111.6</var>requirements of this subdivision;<br/>
<a id="pl.111.7"></a><var>111.7</var>    (vii) savings accounts if fully insured by a federal agency; and<br/>
<a id="pl.111.8"></a><var>111.8</var>    (viii) guaranty fund certificates, surplus notes, or debentures if issued by a domestic <br/>
<a id="pl.111.9"></a><var>111.9</var>mutual insurance company.<br/>
<a id="pl.111.10"></a><var>111.10</var>    (2) Sections 
         <statute_ref>16A.58</statute_ref>, 
         <statute_ref>16C.03, subdivision 4</statute_ref>, and 
         <statute_ref>16C.05</statute_ref> do not apply to certificates <br/>
<a id="pl.111.11"></a><var>111.11</var>of deposit and collateralization agreements executed by the covered pension plan under <br/>
<a id="pl.111.12"></a><var>111.12</var>clause (1), item (ii).<br/>
<a id="pl.111.13"></a><var>111.13</var>    (3) In addition to investments authorized by clause (1), item (iv), an expanded list <br/>
<a id="pl.111.14"></a><var>111.14</var>plan is authorized to purchase from the Minnesota Housing Finance Agency all or any part <br/>
<a id="pl.111.15"></a><var>111.15</var>of a pool of residential mortgages, not in default, that has previously been financed by the <br/>
<a id="pl.111.16"></a><var>111.16</var>issuance of bonds or notes of the agency. The covered pension plan may also enter into <br/>
<a id="pl.111.17"></a><var>111.17</var>a commitment with the agency, at the time of any issue of bonds or notes, to purchase <br/>
<a id="pl.111.18"></a><var>111.18</var>at a specified future date, not exceeding 12 years from the date of the issue, the amount <br/>
<a id="pl.111.19"></a><var>111.19</var>of mortgage loans then outstanding and not in default that have been made or purchased <br/>
<a id="pl.111.20"></a><var>111.20</var>from the proceeds of the bonds or notes. The covered pension plan may charge reasonable <br/>
<a id="pl.111.21"></a><var>111.21</var>fees for any such commitment and may agree to purchase the mortgage loans at a price <br/>
<a id="pl.111.22"></a><var>111.22</var>sufficient to produce a yield to the covered pension plan comparable, in its judgment, <br/>
<a id="pl.111.23"></a><var>111.23</var>to the yield available on similar mortgage loans at the date of the bonds or notes. The <br/>
<a id="pl.111.24"></a><var>111.24</var>covered pension plan may also enter into agreements with the agency for the investment <br/>
<a id="pl.111.25"></a><var>111.25</var>of any portion of the funds of the agency. The agreement must cover the period of the <br/>
<a id="pl.111.26"></a><var>111.26</var>investment, withdrawal privileges, and any guaranteed rate of return.<br/>
<a id="pl.111.27"></a><var>111.27</var>    (g) <b>Corporate stocks. </b>An expanded list plan is authorized to invest in stocks or <br/>
<a id="pl.111.28"></a><var>111.28</var>convertible issues of any corporation organized under the laws of the United States or any <br/>
<a id="pl.111.29"></a><var>111.29</var>of its states, any corporation organized under the laws of the Dominion of Canada or any <br/>
<a id="pl.111.30"></a><var>111.30</var>of its provinces, or any corporation listed on an exchange that is regulated by an agency of <br/>
<a id="pl.111.31"></a><var>111.31</var>the United States or of the Canadian national government.<br/>
<a id="pl.111.32"></a><var>111.32</var>    An investment in any corporation must not exceed five percent of the total <br/>
<a id="pl.111.33"></a><var>111.33</var>outstanding shares of that corporation, except that an expanded list plan may hold up <br/>
<a id="pl.111.34"></a><var>111.34</var>to 20 percent of the shares of a real estate investment trust and up to 20 percent of the <br/>
<a id="pl.111.35"></a><var>111.35</var>shares of a closed mutual fund.<br/>
<a id="pl.112.1"></a><var>112.1</var>    (h) <b>Other investments.</b> (1) In addition to the investments authorized in paragraphs <br/>
<a id="pl.112.2"></a><var>112.2</var>(b) to (g), and subject to the provisions in clause (2), an expanded list plan is authorized <br/>
<a id="pl.112.3"></a><var>112.3</var>to invest funds in:<br/>
<a id="pl.112.4"></a><var>112.4</var>    (i) equity and debt investment businesses through participation in limited <br/>
<a id="pl.112.5"></a><var>112.5</var>partnerships, trusts, private placements, limited liability corporations, limited liability <br/>
<a id="pl.112.6"></a><var>112.6</var>companies, limited liability partnerships, and corporations;<br/>
<a id="pl.112.7"></a><var>112.7</var>    (ii) real estate ownership interests or loans secured by mortgages or deeds of trust <br/>
<a id="pl.112.8"></a><var>112.8</var>or shares of real estate investment trusts, through investment in limited partnerships, <br/>
<a id="pl.112.9"></a><var>112.9</var>bank-sponsored collective funds, trusts, mortgage participation agreements, and insurance <br/>
<a id="pl.112.10"></a><var>112.10</var>company commingled accounts, including separate accounts;<br/>
<a id="pl.112.11"></a><var>112.11</var>    (iii) resource investments through limited partnerships, trusts, private placements, <br/>
<a id="pl.112.12"></a><var>112.12</var>limited liability corporations, limited liability companies, limited liability partnerships, <br/>
<a id="pl.112.13"></a><var>112.13</var>and corporations; and<br/>
<a id="pl.112.14"></a><var>112.14</var>    (iv) international securities.<br/>
<a id="pl.112.15"></a><var>112.15</var>    (2) The investments authorized in clause (1) must conform to the following <br/>
<a id="pl.112.16"></a><var>112.16</var>provisions:<br/>
<a id="pl.112.17"></a><var>112.17</var>    (i) the aggregate value of all investments made under clause (1), items (i), (ii), and <br/>
<a id="pl.112.18"></a><var>112.18</var>(iii), may not exceed 35 percent of the market value of the fund for which the expanded <br/>
<a id="pl.112.19"></a><var>112.19</var>list plan is investing;<br/>
<a id="pl.112.20"></a><var>112.20</var>    (ii) there must be at least four unrelated owners of the investment other than the <br/>
<a id="pl.112.21"></a><var>112.21</var>expanded list plan for investments made under clause (1), item (i), (ii), or (iii);<br/>
<a id="pl.112.22"></a><var>112.22</var>    (iii) the expanded list plan's participation in an investment vehicle is limited to 20 <br/>
<a id="pl.112.23"></a><var>112.23</var>percent thereof for investments made under clause (1), item (i), (ii), or (iii);<br/>
<a id="pl.112.24"></a><var>112.24</var>    (iv) the expanded list plan's participation in a limited partnership does not include a <br/>
<a id="pl.112.25"></a><var>112.25</var>general partnership interest or other interest involving general liability. The expanded list <br/>
<a id="pl.112.26"></a><var>112.26</var>plan may not engage in any activity as a limited partner which creates general liability; and<br/>
<a id="pl.112.27"></a><var>112.27</var>(v) the aggregate value of all unrated obligations and obligations that are not rated <br/>
<a id="pl.112.28"></a><var>112.28</var>among the top four quality categories by a nationally recognized rating agency authorized <br/>
<a id="pl.112.29"></a><var>112.29</var>by paragraph (e) and clause (1), item (iv), must not exceed five percent of the covered <br/>
<a id="pl.112.30"></a><var>112.30</var>plan's market value; and<br/>
<a id="pl.112.31"></a><var>112.31</var>(vi) for volunteer firefighter relief associations, emerging market equity and <br/>
<a id="pl.112.32"></a><var>112.32</var>international debt investments authorized under clause (1), item (iv), must not exceed 15 <br/>
<a id="pl.112.33"></a><var>112.33</var>percent of the association's special fund market value.<br/>
<a id="pl.112.34"></a><var>112.34</var>(i) <b>Supplemental plan investments. </b>The governing body of an expanded list plan <br/>
<a id="pl.112.35"></a><var>112.35</var>may certify assets to the State Board of Investment for investment under section 
         <statute_ref>11A.17</statute_ref>.<br/>
<a id="pl.113.1"></a><var>113.1</var>(j) <b>Asset mix limitations. </b>The aggregate value of an expanded list plan's <br/>
<a id="pl.113.2"></a><var>113.2</var>investments under paragraphs (g) and (h) and equity investments under paragraph (i), <br/>
<a id="pl.113.3"></a><var>113.3</var>regardless of the form in which these investments are held, must not exceed 85 percent of <br/>
<a id="pl.113.4"></a><var>113.4</var>the covered plan's market value.<br/>
<a id="pl.113.5"></a><var>113.5</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.4.0"></a><a id="pl.113.6"></a><var>113.6</var>    Sec. 4. Minnesota Statutes 2012, section 356A.06, subdivision 7a, is amended to read:<br/>
<a id="pl.113.7"></a><var>113.7</var>    Subd. 7a. <b>Restrictions.</b> Any agreement to lend securities must be concurrently <br/>
<a id="pl.113.8"></a><var>113.8</var>collateralized with cash or securities with a market value of not less than 100 percent of the <br/>
<a id="pl.113.9"></a><var>113.9</var>market value of the loaned securities at the time of the agreement. For a covered pension <br/>
<a id="pl.113.10"></a><var>113.10</var>authorized to purchase put and call options and futures contracts under subdivision 7, any <br/>
<a id="pl.113.11"></a><var>113.11</var>agreement for put and call options and futures contracts may only be entered into with a <br/>
<a id="pl.113.12"></a><var>113.12</var>fully offsetting amount of cash or securities. Only securities authorized by this section, <br/>
<a id="pl.113.13"></a><var>113.13</var>excluding those under subdivision 7, paragraph (g) (h), clause (1), items (i) to (iv), may be <br/>
<a id="pl.113.14"></a><var>113.14</var>accepted as collateral or offsetting securities.<br/>
<a id="pl.113.15"></a><var>113.15</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.5.0"></a><a id="pl.113.16"></a><var>113.16</var>    Sec. 5. Minnesota Statutes 2012, section 424A.015, is amended by adding a <br/>
<a id="pl.113.17"></a><var>113.17</var>subdivision to read:<br/>
<a id="pl.113.18"></a><var>113.18</var>    Subd. 6. <b>Governing benefit plan provisions.</b> A service pension or ancillary benefit <br/>
<a id="pl.113.19"></a><var>113.19</var>payable under this chapter is governed by and must be calculated under the general statute, <br/>
<a id="pl.113.20"></a><var>113.20</var>special law, relief association articles of incorporation, and relief association bylaw <br/>
<a id="pl.113.21"></a><var>113.21</var>provisions applicable on the date on which the member separated from active service with <br/>
<a id="pl.113.22"></a><var>113.22</var>the fire department and active membership in the relief association.<br/>
<a id="pl.113.23"></a><var>113.23</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.6.0"></a><a id="pl.113.24"></a><var>113.24</var>    Sec. 6. Minnesota Statutes 2012, section 424A.016, subdivision 4, is amended to read:<br/>
<a id="pl.113.25"></a><var>113.25</var>    Subd. 4. <b>Individual accounts.</b> (a) An individual account must be established for <br/>
<a id="pl.113.26"></a><var>113.26</var>each firefighter who is a member of the relief association.<br/>
<a id="pl.113.27"></a><var>113.27</var>(b) To each individual active member account must be credited an equal share of:<br/>
<a id="pl.113.28"></a><var>113.28</var>(1) any amounts of fire state aid received by the relief association;<br/>
<a id="pl.113.29"></a><var>113.29</var>(2) any amounts of municipal contributions to the relief association raised from <br/>
<a id="pl.113.30"></a><var>113.30</var>levies on real estate or from other available municipal revenue sources exclusive of fire <br/>
<a id="pl.113.31"></a><var>113.31</var>state aid; and<br/>
<a id="pl.113.32"></a><var>113.32</var>(3) any amounts equal to the share of the assets of the special fund to the credit of:<br/>
<a id="pl.114.1"></a><var>114.1</var>(i) any former member who terminated active service with the fire department to <br/>
<a id="pl.114.2"></a><var>114.2</var>which the relief association is associated before meeting the minimum service requirement <br/>
<a id="pl.114.3"></a><var>114.3</var>provided for in subdivision 2, paragraph (b), and has not returned to active service with <br/>
<a id="pl.114.4"></a><var>114.4</var>the fire department for a period no shorter than five years; or<br/>
<a id="pl.114.5"></a><var>114.5</var>(ii) any retired member who retired before obtaining a full nonforfeitable interest in <br/>
<a id="pl.114.6"></a><var>114.6</var>the amounts credited to the individual member account under subdivision 2, paragraph <br/>
<a id="pl.114.7"></a><var>114.7</var>(b), and any applicable provision of the bylaws of the relief association. In addition, any <br/>
<a id="pl.114.8"></a><var>114.8</var>investment return on the assets of the special fund must be credited in proportion to the <br/>
<a id="pl.114.9"></a><var>114.9</var>share of the assets of the special fund to the credit of each individual active member <br/>
<a id="pl.114.10"></a><var>114.10</var>account. Administrative expenses of the relief association payable from the special <br/>
<a id="pl.114.11"></a><var>114.11</var>fund may be deducted from individual accounts in a manner specified in the bylaws of <br/>
<a id="pl.114.12"></a><var>114.12</var>the relief association.<br/>
<a id="pl.114.13"></a><var>114.13</var>(c) If the bylaws so permit and as the bylaws define, the relief association may credit <br/>
<a id="pl.114.14"></a><var>114.14</var>any investment return on the assets of the special fund to the accounts of inactive members.<br/>
<a id="pl.114.15"></a><var>114.15</var>(d) Amounts to be credited to individual accounts must be allocated uniformly <br/>
<a id="pl.114.16"></a><var>114.16</var>for all years of active service and allocations must be made for all years of service, <br/>
<a id="pl.114.17"></a><var>114.17</var>except for caps on service credit if so provided in the bylaws of the relief association. <br/>
<a id="pl.114.18"></a><var>114.18</var>Amounts forfeited under paragraph (b), clause (3), before a resumption of active service <br/>
<a id="pl.114.19"></a><var>114.19</var>and membership under section 424A.01, subdivision 6, remain forfeited and may not be <br/>
<a id="pl.114.20"></a><var>114.20</var>reinstated upon the resumption of active service and membership. The allocation method <br/>
<a id="pl.114.21"></a><var>114.21</var>may utilize monthly proration for fractional years of service, as the bylaws or articles of <br/>
<a id="pl.114.22"></a><var>114.22</var>incorporation of the relief association so provide. The bylaws or articles of incorporation <br/>
<a id="pl.114.23"></a><var>114.23</var>may define a "month," but the definition must require a calendar month to have at least 16 <br/>
<a id="pl.114.24"></a><var>114.24</var>days of active service. If the bylaws or articles of incorporation do not define a "month," a <br/>
<a id="pl.114.25"></a><var>114.25</var>"month" is a completed calendar month of active service measured from the member's <br/>
<a id="pl.114.26"></a><var>114.26</var>date of entry to the same date in the subsequent month.<br/>
<a id="pl.114.27"></a><var>114.27</var>(e) At the time of retirement under subdivision 2 and any applicable provision of the <br/>
<a id="pl.114.28"></a><var>114.28</var>bylaws of the relief association, a retiring member is entitled to that portion of the assets <br/>
<a id="pl.114.29"></a><var>114.29</var>of the special fund to the credit of the member in the individual member account which is <br/>
<a id="pl.114.30"></a><var>114.30</var>nonforfeitable under subdivision 3 and any applicable provision of the bylaws of the relief <br/>
<a id="pl.114.31"></a><var>114.31</var>association based on the number of years of service to the credit of the retiring member.<br/>
<a id="pl.114.32"></a><var>114.32</var>(f) Annually, the secretary of the relief association shall certify the individual <br/>
<a id="pl.114.33"></a><var>114.33</var>account allocations to the state auditor at the same time that the annual financial statement <br/>
<a id="pl.114.34"></a><var>114.34</var>or financial report and audit of the relief association, whichever applies, is due under <br/>
<a id="pl.114.35"></a><var>114.35</var>section 
         <statute_ref>69.051</statute_ref>.<br/>
<a id="pl.114.36"></a><var>114.36</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.7.0"></a><a id="pl.115.1"></a><var>115.1</var>    Sec. 7. Minnesota Statutes 2013 Supplement, section 424A.016, subdivision 6, is <br/>
<a id="pl.115.2"></a><var>115.2</var>amended to read:<br/>
<a id="pl.115.3"></a><var>115.3</var>    Subd. 6. <b>Deferred service pensions.</b> (a) A member of a relief association is entitled <br/>
<a id="pl.115.4"></a><var>115.4</var>to a deferred service pension if the member separates from active service and membership <br/>
<a id="pl.115.5"></a><var>115.5</var>and has completed the minimum service and membership requirements in subdivision 2. <br/>
<a id="pl.115.6"></a><var>115.6</var>The requirement that a member separate from active service and membership is waived <br/>
<a id="pl.115.7"></a><var>115.7</var>for persons who have discontinued their volunteer firefighter duties and who are employed <br/>
<a id="pl.115.8"></a><var>115.8</var>on a full-time basis under section 
         <statute_ref>424A.015, subdivision 1</statute_ref>.<br/>
<a id="pl.115.9"></a><var>115.9</var>    (b) The deferred service pension is payable when the former member reaches at <br/>
<a id="pl.115.10"></a><var>115.10</var>least age 50, or at least the minimum age specified in the bylaws governing the relief <br/>
<a id="pl.115.11"></a><var>115.11</var>association if that age is greater than age 50, and when the former member makes a valid <br/>
<a id="pl.115.12"></a><var>115.12</var>written application.<br/>
<a id="pl.115.13"></a><var>115.13</var>    (c) A defined contribution relief association may, if its governing bylaws so provide, <br/>
<a id="pl.115.14"></a><var>115.14</var>credit interest or additional investment performance on the deferred lump-sum service <br/>
<a id="pl.115.15"></a><var>115.15</var>pension during the period of deferral. If provided for in the bylaws, the interest must be <br/>
<a id="pl.115.16"></a><var>115.16</var>paid:<br/>
<a id="pl.115.17"></a><var>115.17</var>(1) at the investment performance rate actually earned on that portion of the assets <br/>
<a id="pl.115.18"></a><var>115.18</var>if the deferred benefit amount is invested by the relief association in a separate account <br/>
<a id="pl.115.19"></a><var>115.19</var>established and maintained by the relief association;<br/>
<a id="pl.115.20"></a><var>115.20</var>(2) at the investment performance rate actually earned on that portion of the assets <br/>
<a id="pl.115.21"></a><var>115.21</var>if the deferred benefit amount is invested in a separate investment vehicle held by the <br/>
<a id="pl.115.22"></a><var>115.22</var>relief association; or<br/>
<a id="pl.115.23"></a><var>115.23</var>(3) at the investment return on the assets of the special fund of the defined contribution <br/>
<a id="pl.115.24"></a><var>115.24</var>volunteer firefighter relief association in proportion to the share of the assets of the special <br/>
<a id="pl.115.25"></a><var>115.25</var>fund to the credit of each individual deferred member account through the accounting date <br/>
<a id="pl.115.26"></a><var>115.26</var>on which the investment return is recognized by and credited to the special fund.<br/>
<a id="pl.115.27"></a><var>115.27</var>    (d) Unless the bylaws of a relief association that has elected to pay interest or <br/>
<a id="pl.115.28"></a><var>115.28</var>additional investment performance on deferred lump-sum service pensions under <br/>
<a id="pl.115.29"></a><var>115.29</var>paragraph (c) specifies a different interest or additional investment performance method, <br/>
<a id="pl.115.30"></a><var>115.30</var>including the interest or additional investment performance period starting date and ending <br/>
<a id="pl.115.31"></a><var>115.31</var>date, the interest or additional investment performance on a deferred service pension <br/>
<a id="pl.115.32"></a><var>115.32</var>is creditable as follows:<br/>
<a id="pl.115.33"></a><var>115.33</var>(1) for a relief association that has elected to pay interest or additional investment <br/>
<a id="pl.115.34"></a><var>115.34</var>performance under paragraph (c), clause (1) or (3), beginning on the date that the <br/>
<a id="pl.115.35"></a><var>115.35</var>member separates from active service and membership and ending on the accounting <br/>
<a id="pl.116.1"></a><var>116.1</var>date immediately before the deferred member commences receipt of the deferred service <br/>
<a id="pl.116.2"></a><var>116.2</var>pension; or<br/>
<a id="pl.116.3"></a><var>116.3</var>(2) for a relief association that has elected to pay interest or additional investment <br/>
<a id="pl.116.4"></a><var>116.4</var>performance under paragraph (c), clause (2), beginning on the date that the member <br/>
<a id="pl.116.5"></a><var>116.5</var>separates from active service and membership and ending on the date that the separate <br/>
<a id="pl.116.6"></a><var>116.6</var>investment vehicle is valued immediately before the date on which the deferred member <br/>
<a id="pl.116.7"></a><var>116.7</var>commences receipt of the deferred service pension.<br/>
<a id="pl.116.8"></a><var>116.8</var>(e) The deferred service pension is governed by and must be calculated under <br/>
<a id="pl.116.9"></a><var>116.9</var>the general statute, special law, relief association articles of incorporation, and relief <br/>
<a id="pl.116.10"></a><var>116.10</var>association bylaw provisions applicable on the date on which the member separated from <br/>
<a id="pl.116.11"></a><var>116.11</var>active service with the fire department and active membership in the relief association.<br/>
<a id="pl.116.12"></a><var>116.12</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.8.0"></a><a id="pl.116.13"></a><var>116.13</var>    Sec. 8. Minnesota Statutes 2012, section 424A.016, subdivision 7, is amended to read:<br/>
<a id="pl.116.14"></a><var>116.14</var>    Subd. 7. <b>Limitation on ancillary benefits.</b> (a) A defined contribution relief <br/>
<a id="pl.116.15"></a><var>116.15</var>association may only pay an ancillary benefit which would constitute an authorized <br/>
<a id="pl.116.16"></a><var>116.16</var>disbursement as specified in section 
         <statute_ref>424A.05</statute_ref>. The ancillary benefit for active members <br/>
<a id="pl.116.17"></a><var>116.17</var>must equal the vested and nonvested amount of the individual account of the member.<br/>
<a id="pl.116.18"></a><var>116.18</var>(b) For deferred members, the ancillary benefit must equal the vested amount of <br/>
<a id="pl.116.19"></a><var>116.19</var>the individual account of the member. For the recipient of installment payments of a <br/>
<a id="pl.116.20"></a><var>116.20</var>service pension, the ancillary benefit must equal the remaining balance in the individual <br/>
<a id="pl.116.21"></a><var>116.21</var>account of the recipient.<br/>
<a id="pl.116.22"></a><var>116.22</var>(c) If the bylaws permit and as defined by the bylaws, the relief association may pay <br/>
<a id="pl.116.23"></a><var>116.23</var>an ancillary benefit to, or on behalf of, a member who is not active or deferred.<br/>
<a id="pl.116.24"></a><var>116.24</var>(d)(1) If a survivor or death benefit is payable under the articles of incorporation or <br/>
<a id="pl.116.25"></a><var>116.25</var>bylaws, the benefit must be paid:<br/>
<a id="pl.116.26"></a><var>116.26</var>(i) as a survivor benefit to the surviving spouse of the deceased firefighter;<br/>
<a id="pl.116.27"></a><var>116.27</var>(ii) as a survivor benefit to the surviving children of the deceased firefighter if no <br/>
<a id="pl.116.28"></a><var>116.28</var>surviving spouse;<br/>
<a id="pl.116.29"></a><var>116.29</var>(iii) as a survivor benefit to a designated beneficiary of the deceased firefighter if no <br/>
<a id="pl.116.30"></a><var>116.30</var>surviving spouse or surviving children; or<br/>
<a id="pl.116.31"></a><var>116.31</var>(iv) as a death benefit to the estate of the deceased active or deferred firefighter if no <br/>
<a id="pl.116.32"></a><var>116.32</var>surviving spouse, no surviving children, and no beneficiary designated.<br/>
<a id="pl.116.33"></a><var>116.33</var>(2) If there are no surviving children, the surviving spouse may waive, in writing, <br/>
<a id="pl.116.34"></a><var>116.34</var>wholly or partially, the spouse's entitlement to a survivor benefit.<br/>
<a id="pl.117.1"></a><var>117.1</var>(d) (e) For purposes of this section, for a defined contribution volunteer fire relief <br/>
<a id="pl.117.2"></a><var>117.2</var>association, a trust created under chapter 501B may be a designated beneficiary. If a trust <br/>
<a id="pl.117.3"></a><var>117.3</var>payable to the surviving children organized under chapter 501B has been established as <br/>
<a id="pl.117.4"></a><var>117.4</var>authorized by this section and there is no surviving spouse, the survivor benefit may be <br/>
<a id="pl.117.5"></a><var>117.5</var>paid to the trust, notwithstanding the requirements of this section.<br/>
<a id="pl.117.6"></a><var>117.6</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.9.0"></a><a id="pl.117.7"></a><var>117.7</var>    Sec. 9. Minnesota Statutes 2013 Supplement, section 424A.02, subdivision 3, is <br/>
<a id="pl.117.8"></a><var>117.8</var>amended to read:<br/>
<a id="pl.117.9"></a><var>117.9</var>    Subd. 3. <b>Flexible service pension maximums.</b> (a) Annually on or before August <br/>
<a id="pl.117.10"></a><var>117.10</var>1 as part of the certification of the financial requirements and minimum municipal <br/>
<a id="pl.117.11"></a><var>117.11</var>obligation determined under section 
         <statute_ref>424A.092, subdivision 4</statute_ref>, or 
         <statute_ref>424A.093, subdivision <br/>
<a id="pl.117.12"></a><var>117.12</var>5
         </statute_ref>, as applicable, the secretary or some other official of the relief association designated <br/>
<a id="pl.117.13"></a><var>117.13</var>in the bylaws of each defined benefit relief association shall calculate and certify to the <br/>
<a id="pl.117.14"></a><var>117.14</var>governing body of the applicable qualified municipality the average amount of available <br/>
<a id="pl.117.15"></a><var>117.15</var>financing per active covered firefighter for the most recent three-year period. The amount <br/>
<a id="pl.117.16"></a><var>117.16</var>of available financing includes any amounts of fire state aid received or receivable by the <br/>
<a id="pl.117.17"></a><var>117.17</var>relief association, any amounts of municipal contributions to the relief association raised <br/>
<a id="pl.117.18"></a><var>117.18</var>from levies on real estate or from other available revenue sources exclusive of fire state <br/>
<a id="pl.117.19"></a><var>117.19</var>aid, and one-tenth of the amount of assets in excess of the accrued liabilities of the relief <br/>
<a id="pl.117.20"></a><var>117.20</var>association calculated under section 
         <statute_ref>424A.092, subdivision 2</statute_ref>; 
         <statute_ref>424A.093, subdivisions 2</statute_ref> <br/>
<a id="pl.117.21"></a><var>117.21</var>and 4; or 
         <statute_ref>424A.094, subdivision 2</statute_ref>, if any.<br/>
<a id="pl.117.22"></a><var>117.22</var>    (b) The maximum service pension which the defined benefit relief association has <br/>
<a id="pl.117.23"></a><var>117.23</var>authority to provide for in its bylaws for payment to a member retiring after the calculation <br/>
<a id="pl.117.24"></a><var>117.24</var>date when the minimum age and service requirements specified in subdivision 1 are met <br/>
<a id="pl.117.25"></a><var>117.25</var>must be determined using the table in paragraph (c) or (d), whichever applies.<br/>
<a id="pl.117.26"></a><var>117.26</var>    (c) For a defined benefit relief association where the governing bylaws provide for <br/>
<a id="pl.117.27"></a><var>117.27</var>a monthly service pension to a retiring member, the maximum monthly service pension <br/>
<a id="pl.117.28"></a><var>117.28</var>amount per month for each year of service credited that may be provided for in the bylaws <br/>
<a id="pl.117.29"></a><var>117.29</var>is the greater of the service pension amount provided for in the bylaws on the date of the <br/>
<a id="pl.117.30"></a><var>117.30</var>calculation of the average amount of the available financing per active covered firefighter <br/>
<a id="pl.117.31"></a><var>117.31</var>or the maximum service pension figure corresponding to the average amount of available <br/>
<a id="pl.117.32"></a><var>117.32</var>financing per active covered firefighter:<br/>
<table>
<col width="50px"/>
<col width="20"/>
<col width="15"/>
<col width="15"/>
<col width="10"/>
<tr>
<td><a id="pl.118.1"></a><var>118.1</var><br/>
<a id="pl.118.2"></a><var>118.2</var><br/>
<a id="pl.118.3"></a><var>118.3</var><br/>
</td>
<td align="center" colspan="2" valign="top">Minimum Average Amount of Available <br/>
                  		Financing per Firefighter<br/>
</td>
<td align="center" colspan="2" valign="top">Maximum Service Pension Amount <br/>
                  		Payable per Month for Each <br/>
                  		Year of Service<br/>
</td>
</tr>
<tr>
<td><a id="pl.118.4"></a><var>118.4</var><br/>
</td>
<td align="right">$ ...<br/>
</td>
<td></td>
<td align="right">$ .25<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.5"></a><var>118.5</var><br/>
</td>
<td align="right">41<br/>
</td>
<td></td>
<td align="right">.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.6"></a><var>118.6</var><br/>
</td>
<td align="right">81<br/>
</td>
<td></td>
<td align="right">1.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.7"></a><var>118.7</var><br/>
</td>
<td align="right">122<br/>
</td>
<td></td>
<td align="right">1.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.8"></a><var>118.8</var><br/>
</td>
<td align="right">162<br/>
</td>
<td></td>
<td align="right">2.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.9"></a><var>118.9</var><br/>
</td>
<td align="right">203<br/>
</td>
<td></td>
<td align="right">2.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.10"></a><var>118.10</var><br/>
</td>
<td align="right">243<br/>
</td>
<td></td>
<td align="right">3.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.11"></a><var>118.11</var><br/>
</td>
<td align="right">284<br/>
</td>
<td></td>
<td align="right">3.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.12"></a><var>118.12</var><br/>
</td>
<td align="right">324<br/>
</td>
<td></td>
<td align="right">4.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.13"></a><var>118.13</var><br/>
</td>
<td align="right">365<br/>
</td>
<td></td>
<td align="right">4.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.14"></a><var>118.14</var><br/>
</td>
<td align="right">405<br/>
</td>
<td></td>
<td align="right">5.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.15"></a><var>118.15</var><br/>
</td>
<td align="right">486<br/>
</td>
<td></td>
<td align="right">6.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.16"></a><var>118.16</var><br/>
</td>
<td align="right">567<br/>
</td>
<td></td>
<td align="right">7.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.17"></a><var>118.17</var><br/>
</td>
<td align="right">648<br/>
</td>
<td></td>
<td align="right">8.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.18"></a><var>118.18</var><br/>
</td>
<td align="right">729<br/>
</td>
<td></td>
<td align="right">9.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.19"></a><var>118.19</var><br/>
</td>
<td align="right">810<br/>
</td>
<td></td>
<td align="right">10.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.20"></a><var>118.20</var><br/>
</td>
<td align="right">891<br/>
</td>
<td></td>
<td align="right">11.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.21"></a><var>118.21</var><br/>
</td>
<td align="right">972<br/>
</td>
<td></td>
<td align="right">12.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.22"></a><var>118.22</var><br/>
</td>
<td align="right">1053<br/>
</td>
<td></td>
<td align="right">13.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.23"></a><var>118.23</var><br/>
</td>
<td align="right">1134<br/>
</td>
<td></td>
<td align="right">14.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.24"></a><var>118.24</var><br/>
</td>
<td align="right">1215<br/>
</td>
<td></td>
<td align="right">15.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.25"></a><var>118.25</var><br/>
</td>
<td align="right">1296<br/>
</td>
<td></td>
<td align="right">16.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.26"></a><var>118.26</var><br/>
</td>
<td align="right">1377<br/>
</td>
<td></td>
<td align="right">17.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.27"></a><var>118.27</var><br/>
</td>
<td align="right">1458<br/>
</td>
<td></td>
<td align="right">18.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.28"></a><var>118.28</var><br/>
</td>
<td align="right">1539<br/>
</td>
<td></td>
<td align="right">19.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.29"></a><var>118.29</var><br/>
</td>
<td align="right">1620<br/>
</td>
<td></td>
<td align="right">20.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.30"></a><var>118.30</var><br/>
</td>
<td align="right">1701<br/>
</td>
<td></td>
<td align="right">21.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.31"></a><var>118.31</var><br/>
</td>
<td align="right">1782<br/>
</td>
<td></td>
<td align="right">22.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.32"></a><var>118.32</var><br/>
</td>
<td align="right">1823<br/>
</td>
<td></td>
<td align="right">22.50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.33"></a><var>118.33</var><br/>
</td>
<td align="right">1863<br/>
</td>
<td></td>
<td align="right">23.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.34"></a><var>118.34</var><br/>
</td>
<td align="right">1944<br/>
</td>
<td></td>
<td align="right">24.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.35"></a><var>118.35</var><br/>
</td>
<td align="right">2025<br/>
</td>
<td></td>
<td align="right">25.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.36"></a><var>118.36</var><br/>
</td>
<td align="right">2106<br/>
</td>
<td></td>
<td align="right">26.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.37"></a><var>118.37</var><br/>
</td>
<td align="right">2187<br/>
</td>
<td></td>
<td align="right">27.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.38"></a><var>118.38</var><br/>
</td>
<td align="right">2268<br/>
</td>
<td></td>
<td align="right">28.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.39"></a><var>118.39</var><br/>
</td>
<td align="right">2349<br/>
</td>
<td></td>
<td align="right">29.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.40"></a><var>118.40</var><br/>
</td>
<td align="right">2430<br/>
</td>
<td></td>
<td align="right">30.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.41"></a><var>118.41</var><br/>
</td>
<td align="right">2511<br/>
</td>
<td></td>
<td align="right">31.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.42"></a><var>118.42</var><br/>
</td>
<td align="right">2592<br/>
</td>
<td></td>
<td align="right">32.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.43"></a><var>118.43</var><br/>
</td>
<td align="right">2673<br/>
</td>
<td></td>
<td align="right">33.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.118.44"></a><var>118.44</var><br/>
</td>
<td align="right">2754<br/>
</td>
<td></td>
<td align="right">34.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.1"></a><var>119.1</var><br/>
</td>
<td align="right">2834<br/>
</td>
<td></td>
<td align="right">35.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.2"></a><var>119.2</var><br/>
</td>
<td align="right">2916<br/>
</td>
<td></td>
<td align="right">36.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.3"></a><var>119.3</var><br/>
</td>
<td align="right">2997<br/>
</td>
<td></td>
<td align="right">37.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.4"></a><var>119.4</var><br/>
</td>
<td align="right">3078<br/>
</td>
<td></td>
<td align="right">38.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.5"></a><var>119.5</var><br/>
</td>
<td align="right">3159<br/>
</td>
<td></td>
<td align="right">39.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.6"></a><var>119.6</var><br/>
</td>
<td align="right">3240<br/>
</td>
<td></td>
<td align="right">40.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.7"></a><var>119.7</var><br/>
</td>
<td align="right">3321<br/>
</td>
<td></td>
<td align="right">41.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.8"></a><var>119.8</var><br/>
</td>
<td align="right">3402<br/>
</td>
<td></td>
<td align="right">42.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.9"></a><var>119.9</var><br/>
</td>
<td align="right">3483<br/>
</td>
<td></td>
<td align="right">43.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.10"></a><var>119.10</var><br/>
</td>
<td align="right">3564<br/>
</td>
<td></td>
<td align="right">44.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.11"></a><var>119.11</var><br/>
</td>
<td align="right">3645<br/>
</td>
<td></td>
<td align="right">45.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.12"></a><var>119.12</var><br/>
</td>
<td align="right">3726<br/>
</td>
<td></td>
<td align="right">46.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.13"></a><var>119.13</var><br/>
</td>
<td align="right">3807<br/>
</td>
<td></td>
<td align="right">47.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.14"></a><var>119.14</var><br/>
</td>
<td align="right">3888<br/>
</td>
<td></td>
<td align="right">48.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.15"></a><var>119.15</var><br/>
</td>
<td align="right">3969<br/>
</td>
<td></td>
<td align="right">49.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.16"></a><var>119.16</var><br/>
</td>
<td align="right">4050<br/>
</td>
<td></td>
<td align="right">50.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.17"></a><var>119.17</var><br/>
</td>
<td align="right">4131<br/>
</td>
<td></td>
<td align="right">51.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.18"></a><var>119.18</var><br/>
</td>
<td align="right">4212<br/>
</td>
<td></td>
<td align="right">52.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.19"></a><var>119.19</var><br/>
</td>
<td align="right">4293<br/>
</td>
<td></td>
<td align="right">53.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.20"></a><var>119.20</var><br/>
</td>
<td align="right">4374<br/>
</td>
<td></td>
<td align="right">54.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.21"></a><var>119.21</var><br/>
</td>
<td align="right">4455<br/>
</td>
<td></td>
<td align="right">55.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.22"></a><var>119.22</var><br/>
</td>
<td align="right">4536<br/>
</td>
<td></td>
<td align="right">56.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.23"></a><var>119.23</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2008<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.24"></a><var>119.24</var><br/>
</td>
<td align="right">4617<br/>
</td>
<td></td>
<td align="right">57.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.25"></a><var>119.25</var><br/>
</td>
<td align="right">4698<br/>
</td>
<td></td>
<td align="right">58.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.26"></a><var>119.26</var><br/>
</td>
<td align="right">4779<br/>
</td>
<td></td>
<td align="right">59.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.27"></a><var>119.27</var><br/>
</td>
<td align="right">4860<br/>
</td>
<td></td>
<td align="right">60.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.28"></a><var>119.28</var><br/>
</td>
<td align="right">4941<br/>
</td>
<td></td>
<td align="right">61.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.29"></a><var>119.29</var><br/>
</td>
<td align="right">5022<br/>
</td>
<td></td>
<td align="right">62.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.30"></a><var>119.30</var><br/>
</td>
<td align="right">5103<br/>
</td>
<td></td>
<td align="right">63.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.31"></a><var>119.31</var><br/>
</td>
<td align="right">5184<br/>
</td>
<td></td>
<td align="right">64.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.32"></a><var>119.32</var><br/>
</td>
<td align="right">5265<br/>
</td>
<td></td>
<td align="right">65.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.33"></a><var>119.33</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2009<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.34"></a><var>119.34</var><br/>
</td>
<td align="right">5346<br/>
</td>
<td></td>
<td align="right">66.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.35"></a><var>119.35</var><br/>
</td>
<td align="right">5427<br/>
</td>
<td></td>
<td align="right">67.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.36"></a><var>119.36</var><br/>
</td>
<td align="right">5508<br/>
</td>
<td></td>
<td align="right">68.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.37"></a><var>119.37</var><br/>
</td>
<td align="right">5589<br/>
</td>
<td></td>
<td align="right">69.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.38"></a><var>119.38</var><br/>
</td>
<td align="right">5670<br/>
</td>
<td></td>
<td align="right">70.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.39"></a><var>119.39</var><br/>
</td>
<td align="right">5751<br/>
</td>
<td></td>
<td align="right">71.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.40"></a><var>119.40</var><br/>
</td>
<td align="right">5832<br/>
</td>
<td></td>
<td align="right">72.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.41"></a><var>119.41</var><br/>
</td>
<td align="right">5913<br/>
</td>
<td></td>
<td align="right">73.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.42"></a><var>119.42</var><br/>
</td>
<td align="right">5994<br/>
</td>
<td></td>
<td align="right">74.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.119.43"></a><var>119.43</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2010<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.1"></a><var>120.1</var><br/>
</td>
<td align="right">6075<br/>
</td>
<td></td>
<td align="right">75.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.2"></a><var>120.2</var><br/>
</td>
<td align="right">6156<br/>
</td>
<td></td>
<td align="right">76.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.3"></a><var>120.3</var><br/>
</td>
<td align="right">6237<br/>
</td>
<td></td>
<td align="right">77.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.4"></a><var>120.4</var><br/>
</td>
<td align="right">6318<br/>
</td>
<td></td>
<td align="right">78.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.5"></a><var>120.5</var><br/>
</td>
<td align="right">6399<br/>
</td>
<td></td>
<td align="right">79.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.6"></a><var>120.6</var><br/>
</td>
<td align="right">6480<br/>
</td>
<td></td>
<td align="right">80.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.7"></a><var>120.7</var><br/>
</td>
<td align="right">6561<br/>
</td>
<td></td>
<td align="right">81.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.8"></a><var>120.8</var><br/>
</td>
<td align="right">6642<br/>
</td>
<td></td>
<td align="right">82.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.9"></a><var>120.9</var><br/>
</td>
<td align="right">6723<br/>
</td>
<td></td>
<td align="right">83.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.10"></a><var>120.10</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2011<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.11"></a><var>120.11</var><br/>
</td>
<td align="right">6804<br/>
</td>
<td></td>
<td align="right">84.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.12"></a><var>120.12</var><br/>
</td>
<td align="right">6885<br/>
</td>
<td></td>
<td align="right">85.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.13"></a><var>120.13</var><br/>
</td>
<td align="right">6966<br/>
</td>
<td></td>
<td align="right">86.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.14"></a><var>120.14</var><br/>
</td>
<td align="right">7047<br/>
</td>
<td></td>
<td align="right">87.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.15"></a><var>120.15</var><br/>
</td>
<td align="right">7128<br/>
</td>
<td></td>
<td align="right">88.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.16"></a><var>120.16</var><br/>
</td>
<td align="right">7209<br/>
</td>
<td></td>
<td align="right">89.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.17"></a><var>120.17</var><br/>
</td>
<td align="right">7290<br/>
</td>
<td></td>
<td align="right">90.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.18"></a><var>120.18</var><br/>
</td>
<td align="right">7371<br/>
</td>
<td></td>
<td align="right">91.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.19"></a><var>120.19</var><br/>
</td>
<td align="right">7452<br/>
</td>
<td></td>
<td align="right">92.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.20"></a><var>120.20</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2012<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.21"></a><var>120.21</var><br/>
</td>
<td align="right">7533<br/>
</td>
<td></td>
<td align="right">93.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.22"></a><var>120.22</var><br/>
</td>
<td align="right">7614<br/>
</td>
<td></td>
<td align="right">94.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.23"></a><var>120.23</var><br/>
</td>
<td align="right">7695<br/>
</td>
<td></td>
<td align="right">95.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.24"></a><var>120.24</var><br/>
</td>
<td align="right">7776<br/>
</td>
<td></td>
<td align="right">96.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.25"></a><var>120.25</var><br/>
</td>
<td align="right">7857<br/>
</td>
<td></td>
<td align="right">97.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.26"></a><var>120.26</var><br/>
</td>
<td align="right">7938<br/>
</td>
<td></td>
<td align="right">98.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.27"></a><var>120.27</var><br/>
</td>
<td align="right">8019<br/>
</td>
<td></td>
<td align="right">99.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.28"></a><var>120.28</var><br/>
</td>
<td align="right">8100<br/>
</td>
<td></td>
<td align="right">100.00<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.29"></a><var>120.29</var><br/>
</td>
<td align="right">any amount in excess of <br/>
</td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.30"></a><var>120.30</var><br/>
</td>
<td align="right">8100<br/>
</td>
<td></td>
<td align="right">100.00<br/>
</td>
<td></td>
</tr>
</table><a id="pl.120.31"></a><var>120.31</var>    (d) For a defined benefit relief association in which the governing bylaws provide <br/>
<a id="pl.120.32"></a><var>120.32</var>for a lump-sum service pension to a retiring member, the maximum lump-sum service <br/>
<a id="pl.120.33"></a><var>120.33</var>pension amount for each year of service credited that may be provided for in the bylaws is <br/>
<a id="pl.120.34"></a><var>120.34</var>the greater of the service pension amount provided for in the bylaws on the date of the <br/>
<a id="pl.120.35"></a><var>120.35</var>calculation of the average amount of the available financing per active covered firefighter <br/>
<a id="pl.120.36"></a><var>120.36</var>or the maximum service pension figure corresponding to the average amount of available <br/>
<a id="pl.120.37"></a><var>120.37</var>financing per active covered firefighter for the applicable specified period:<br/>
<table>
<col width="50px"/>
<col width="20"/>
<col width="15"/>
<col width="15"/>
<col width="10"/>
<tr>
<td><a id="pl.120.38"></a><var>120.38</var><br/>
<a id="pl.120.39"></a><var>120.39</var><br/>
<a id="pl.120.40"></a><var>120.40</var><br/>
</td>
<td align="center" colspan="2" valign="top">Minimum Average Amount of Available <br/>
                  		Financing per Firefighter<br/>
</td>
<td align="center" colspan="2" valign="top">Maximum Lump-Sum Service <br/>
                  		Pension Amount Payable for <br/>
                  		Each Year of Service<br/>
</td>
</tr>
<tr>
<td><a id="pl.120.41"></a><var>120.41</var><br/>
</td>
<td align="right">$ ...<br/>
</td>
<td></td>
<td align="right">$ 10<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.120.42"></a><var>120.42</var><br/>
</td>
<td align="right">11<br/>
</td>
<td></td>
<td align="right">20<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.1"></a><var>121.1</var><br/>
</td>
<td align="right">16<br/>
</td>
<td></td>
<td align="right">30<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.2"></a><var>121.2</var><br/>
</td>
<td align="right">23<br/>
</td>
<td></td>
<td align="right">40<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.3"></a><var>121.3</var><br/>
</td>
<td align="right">27<br/>
</td>
<td></td>
<td align="right">50<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.4"></a><var>121.4</var><br/>
</td>
<td align="right">32<br/>
</td>
<td></td>
<td align="right">60<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.5"></a><var>121.5</var><br/>
</td>
<td align="right">43<br/>
</td>
<td></td>
<td align="right">80<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.6"></a><var>121.6</var><br/>
</td>
<td align="right">54<br/>
</td>
<td></td>
<td align="right">100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.7"></a><var>121.7</var><br/>
</td>
<td align="right">65<br/>
</td>
<td></td>
<td align="right">120<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.8"></a><var>121.8</var><br/>
</td>
<td align="right">77<br/>
</td>
<td></td>
<td align="right">140<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.9"></a><var>121.9</var><br/>
</td>
<td align="right">86<br/>
</td>
<td></td>
<td align="right">160<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.10"></a><var>121.10</var><br/>
</td>
<td align="right">97<br/>
</td>
<td></td>
<td align="right">180<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.11"></a><var>121.11</var><br/>
</td>
<td align="right">108<br/>
</td>
<td></td>
<td align="right">200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.12"></a><var>121.12</var><br/>
</td>
<td align="right">131<br/>
</td>
<td></td>
<td align="right">240<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.13"></a><var>121.13</var><br/>
</td>
<td align="right">151<br/>
</td>
<td></td>
<td align="right">280<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.14"></a><var>121.14</var><br/>
</td>
<td align="right">173<br/>
</td>
<td></td>
<td align="right">320<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.15"></a><var>121.15</var><br/>
</td>
<td align="right">194<br/>
</td>
<td></td>
<td align="right">360<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.16"></a><var>121.16</var><br/>
</td>
<td align="right">216<br/>
</td>
<td></td>
<td align="right">400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.17"></a><var>121.17</var><br/>
</td>
<td align="right">239<br/>
</td>
<td></td>
<td align="right">440<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.18"></a><var>121.18</var><br/>
</td>
<td align="right">259<br/>
</td>
<td></td>
<td align="right">480<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.19"></a><var>121.19</var><br/>
</td>
<td align="right">281<br/>
</td>
<td></td>
<td align="right">520<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.20"></a><var>121.20</var><br/>
</td>
<td align="right">302<br/>
</td>
<td></td>
<td align="right">560<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.21"></a><var>121.21</var><br/>
</td>
<td align="right">324<br/>
</td>
<td></td>
<td align="right">600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.22"></a><var>121.22</var><br/>
</td>
<td align="right">347<br/>
</td>
<td></td>
<td align="right">640<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.23"></a><var>121.23</var><br/>
</td>
<td align="right">367<br/>
</td>
<td></td>
<td align="right">680<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.24"></a><var>121.24</var><br/>
</td>
<td align="right">389<br/>
</td>
<td></td>
<td align="right">720<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.25"></a><var>121.25</var><br/>
</td>
<td align="right">410<br/>
</td>
<td></td>
<td align="right">760<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.26"></a><var>121.26</var><br/>
</td>
<td align="right">432<br/>
</td>
<td></td>
<td align="right">800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.27"></a><var>121.27</var><br/>
</td>
<td align="right">486<br/>
</td>
<td></td>
<td align="right">900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.28"></a><var>121.28</var><br/>
</td>
<td align="right">540<br/>
</td>
<td></td>
<td align="right">1000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.29"></a><var>121.29</var><br/>
</td>
<td align="right">594<br/>
</td>
<td></td>
<td align="right">1100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.30"></a><var>121.30</var><br/>
</td>
<td align="right">648<br/>
</td>
<td></td>
<td align="right">1200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.31"></a><var>121.31</var><br/>
</td>
<td align="right">702<br/>
</td>
<td></td>
<td align="right">1300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.32"></a><var>121.32</var><br/>
</td>
<td align="right">756<br/>
</td>
<td></td>
<td align="right">1400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.33"></a><var>121.33</var><br/>
</td>
<td align="right">810<br/>
</td>
<td></td>
<td align="right">1500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.34"></a><var>121.34</var><br/>
</td>
<td align="right">864<br/>
</td>
<td></td>
<td align="right">1600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.35"></a><var>121.35</var><br/>
</td>
<td align="right">918<br/>
</td>
<td></td>
<td align="right">1700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.36"></a><var>121.36</var><br/>
</td>
<td align="right">972<br/>
</td>
<td></td>
<td align="right">1800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.37"></a><var>121.37</var><br/>
</td>
<td align="right">1026<br/>
</td>
<td></td>
<td align="right">1900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.38"></a><var>121.38</var><br/>
</td>
<td align="right">1080<br/>
</td>
<td></td>
<td align="right">2000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.39"></a><var>121.39</var><br/>
</td>
<td align="right">1134<br/>
</td>
<td></td>
<td align="right">2100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.40"></a><var>121.40</var><br/>
</td>
<td align="right">1188<br/>
</td>
<td></td>
<td align="right">2200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.41"></a><var>121.41</var><br/>
</td>
<td align="right">1242<br/>
</td>
<td></td>
<td align="right">2300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.42"></a><var>121.42</var><br/>
</td>
<td align="right">1296<br/>
</td>
<td></td>
<td align="right">2400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.121.43"></a><var>121.43</var><br/>
</td>
<td align="right">1350<br/>
</td>
<td></td>
<td align="right">2500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.1"></a><var>122.1</var><br/>
</td>
<td align="right">1404<br/>
</td>
<td></td>
<td align="right">2600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.2"></a><var>122.2</var><br/>
</td>
<td align="right">1458<br/>
</td>
<td></td>
<td align="right">2700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.3"></a><var>122.3</var><br/>
</td>
<td align="right">1512<br/>
</td>
<td></td>
<td align="right">2800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.4"></a><var>122.4</var><br/>
</td>
<td align="right">1566<br/>
</td>
<td></td>
<td align="right">2900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.5"></a><var>122.5</var><br/>
</td>
<td align="right">1620<br/>
</td>
<td></td>
<td align="right">3000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.6"></a><var>122.6</var><br/>
</td>
<td align="right">1672<br/>
</td>
<td></td>
<td align="right">3100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.7"></a><var>122.7</var><br/>
</td>
<td align="right">1726<br/>
</td>
<td></td>
<td align="right">3200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.8"></a><var>122.8</var><br/>
</td>
<td align="right">1753<br/>
</td>
<td></td>
<td align="right">3250<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.9"></a><var>122.9</var><br/>
</td>
<td align="right">1780<br/>
</td>
<td></td>
<td align="right">3300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.10"></a><var>122.10</var><br/>
</td>
<td align="right">1820<br/>
</td>
<td></td>
<td align="right">3375<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.11"></a><var>122.11</var><br/>
</td>
<td align="right">1834<br/>
</td>
<td></td>
<td align="right">3400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.12"></a><var>122.12</var><br/>
</td>
<td align="right">1888<br/>
</td>
<td></td>
<td align="right">3500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.13"></a><var>122.13</var><br/>
</td>
<td align="right">1942<br/>
</td>
<td></td>
<td align="right">3600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.14"></a><var>122.14</var><br/>
</td>
<td align="right">1996<br/>
</td>
<td></td>
<td align="right">3700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.15"></a><var>122.15</var><br/>
</td>
<td align="right">2023<br/>
</td>
<td></td>
<td align="right">3750<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.16"></a><var>122.16</var><br/>
</td>
<td align="right">2050<br/>
</td>
<td></td>
<td align="right">3800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.17"></a><var>122.17</var><br/>
</td>
<td align="right">2104<br/>
</td>
<td></td>
<td align="right">3900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.18"></a><var>122.18</var><br/>
</td>
<td align="right">2158<br/>
</td>
<td></td>
<td align="right">4000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.19"></a><var>122.19</var><br/>
</td>
<td align="right">2212<br/>
</td>
<td></td>
<td align="right">4100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.20"></a><var>122.20</var><br/>
</td>
<td align="right">2265<br/>
</td>
<td></td>
<td align="right">4200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.21"></a><var>122.21</var><br/>
</td>
<td align="right">2319<br/>
</td>
<td></td>
<td align="right">4300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.22"></a><var>122.22</var><br/>
</td>
<td align="right">2373<br/>
</td>
<td></td>
<td align="right">4400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.23"></a><var>122.23</var><br/>
</td>
<td align="right">2427<br/>
</td>
<td></td>
<td align="right">4500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.24"></a><var>122.24</var><br/>
</td>
<td align="right">2481<br/>
</td>
<td></td>
<td align="right">4600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.25"></a><var>122.25</var><br/>
</td>
<td align="right">2535<br/>
</td>
<td></td>
<td align="right">4700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.26"></a><var>122.26</var><br/>
</td>
<td align="right">2589<br/>
</td>
<td></td>
<td align="right">4800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.27"></a><var>122.27</var><br/>
</td>
<td align="right">2643<br/>
</td>
<td></td>
<td align="right">4900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.28"></a><var>122.28</var><br/>
</td>
<td align="right">2697<br/>
</td>
<td></td>
<td align="right">5000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.29"></a><var>122.29</var><br/>
</td>
<td align="right">2751<br/>
</td>
<td></td>
<td align="right">5100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.30"></a><var>122.30</var><br/>
</td>
<td align="right">2805<br/>
</td>
<td></td>
<td align="right">5200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.31"></a><var>122.31</var><br/>
</td>
<td align="right">2859<br/>
</td>
<td></td>
<td align="right">5300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.32"></a><var>122.32</var><br/>
</td>
<td align="right">2913<br/>
</td>
<td></td>
<td align="right">5400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.33"></a><var>122.33</var><br/>
</td>
<td align="right">2967<br/>
</td>
<td></td>
<td align="right">5500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.34"></a><var>122.34</var><br/>
</td>
<td align="right">3021<br/>
</td>
<td></td>
<td align="right">5600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.35"></a><var>122.35</var><br/>
</td>
<td align="right">3075<br/>
</td>
<td></td>
<td align="right">5700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.36"></a><var>122.36</var><br/>
</td>
<td align="right">3129<br/>
</td>
<td></td>
<td align="right">5800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.37"></a><var>122.37</var><br/>
</td>
<td align="right">3183<br/>
</td>
<td></td>
<td align="right">5900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.38"></a><var>122.38</var><br/>
</td>
<td align="right">3237<br/>
</td>
<td></td>
<td align="right">6000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.39"></a><var>122.39</var><br/>
</td>
<td align="right">3291<br/>
</td>
<td></td>
<td align="right">6100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.40"></a><var>122.40</var><br/>
</td>
<td align="right">3345<br/>
</td>
<td></td>
<td align="right">6200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.41"></a><var>122.41</var><br/>
</td>
<td align="right">3399<br/>
</td>
<td></td>
<td align="right">6300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.42"></a><var>122.42</var><br/>
</td>
<td align="right">3453<br/>
</td>
<td></td>
<td align="right">6400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.122.43"></a><var>122.43</var><br/>
</td>
<td align="right">3507<br/>
</td>
<td></td>
<td align="right">6500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.1"></a><var>123.1</var><br/>
</td>
<td align="right">3561<br/>
</td>
<td></td>
<td align="right">6600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.2"></a><var>123.2</var><br/>
</td>
<td align="right">3615<br/>
</td>
<td></td>
<td align="right">6700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.3"></a><var>123.3</var><br/>
</td>
<td align="right">3669<br/>
</td>
<td></td>
<td align="right">6800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.4"></a><var>123.4</var><br/>
</td>
<td align="right">3723<br/>
</td>
<td></td>
<td align="right">6900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.5"></a><var>123.5</var><br/>
</td>
<td align="right">3777<br/>
</td>
<td></td>
<td align="right">7000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.6"></a><var>123.6</var><br/>
</td>
<td align="right">3831<br/>
</td>
<td></td>
<td align="right">7100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.7"></a><var>123.7</var><br/>
</td>
<td align="right">3885<br/>
</td>
<td></td>
<td align="right">7200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.8"></a><var>123.8</var><br/>
</td>
<td align="right">3939<br/>
</td>
<td></td>
<td align="right">7300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.9"></a><var>123.9</var><br/>
</td>
<td align="right">3993<br/>
</td>
<td></td>
<td align="right">7400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.10"></a><var>123.10</var><br/>
</td>
<td align="right">4047<br/>
</td>
<td></td>
<td align="right">7500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.11"></a><var>123.11</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2008<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.12"></a><var>123.12</var><br/>
</td>
<td align="right">4101<br/>
</td>
<td></td>
<td align="right">7600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.13"></a><var>123.13</var><br/>
</td>
<td align="right">4155<br/>
</td>
<td></td>
<td align="right">7700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.14"></a><var>123.14</var><br/>
</td>
<td align="right">4209<br/>
</td>
<td></td>
<td align="right">7800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.15"></a><var>123.15</var><br/>
</td>
<td align="right">4263<br/>
</td>
<td></td>
<td align="right">7900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.16"></a><var>123.16</var><br/>
</td>
<td align="right">4317<br/>
</td>
<td></td>
<td align="right">8000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.17"></a><var>123.17</var><br/>
</td>
<td align="right">4371<br/>
</td>
<td></td>
<td align="right">8100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.18"></a><var>123.18</var><br/>
</td>
<td align="right">4425<br/>
</td>
<td></td>
<td align="right">8200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.19"></a><var>123.19</var><br/>
</td>
<td align="right">4479<br/>
</td>
<td></td>
<td align="right">8300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.20"></a><var>123.20</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2009<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.21"></a><var>123.21</var><br/>
</td>
<td align="right">4533<br/>
</td>
<td></td>
<td align="right">8400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.22"></a><var>123.22</var><br/>
</td>
<td align="right">4587<br/>
</td>
<td></td>
<td align="right">8500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.23"></a><var>123.23</var><br/>
</td>
<td align="right">4641<br/>
</td>
<td></td>
<td align="right">8600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.24"></a><var>123.24</var><br/>
</td>
<td align="right">4695<br/>
</td>
<td></td>
<td align="right">8700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.25"></a><var>123.25</var><br/>
</td>
<td align="right">4749<br/>
</td>
<td></td>
<td align="right">8800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.26"></a><var>123.26</var><br/>
</td>
<td align="right">4803<br/>
</td>
<td></td>
<td align="right">8900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.27"></a><var>123.27</var><br/>
</td>
<td align="right">4857<br/>
</td>
<td></td>
<td align="right">9000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.28"></a><var>123.28</var><br/>
</td>
<td align="right">4911<br/>
</td>
<td></td>
<td align="right">9100<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.29"></a><var>123.29</var><br/>
</td>
<td align="center" colspan="2" valign="top">Effective beginning December 31, 2010<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.30"></a><var>123.30</var><br/>
</td>
<td align="right">4965<br/>
</td>
<td></td>
<td align="right">9200<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.31"></a><var>123.31</var><br/>
</td>
<td align="right">5019<br/>
</td>
<td></td>
<td align="right">9300<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.32"></a><var>123.32</var><br/>
</td>
<td align="right">5073<br/>
</td>
<td></td>
<td align="right">9400<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.33"></a><var>123.33</var><br/>
</td>
<td align="right">5127<br/>
</td>
<td></td>
<td align="right">9500<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.34"></a><var>123.34</var><br/>
</td>
<td align="right">5181<br/>
</td>
<td></td>
<td align="right">9600<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.35"></a><var>123.35</var><br/>
</td>
<td align="right">5235<br/>
</td>
<td></td>
<td align="right">9700<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.36"></a><var>123.36</var><br/>
</td>
<td align="right">5289<br/>
</td>
<td></td>
<td align="right">9800<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.37"></a><var>123.37</var><br/>
</td>
<td align="right">5343<br/>
</td>
<td></td>
<td align="right">9900<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.38"></a><var>123.38</var><br/>
</td>
<td align="right">5397<br/>
</td>
<td></td>
<td align="right">10,000<br/>
</td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.39"></a><var>123.39</var><br/>
</td>
<td align="right">any amount in excess of<br/>
</td>
<td></td>
<td align="right"></td>
<td></td>
</tr>
<tr>
<td><a id="pl.123.40"></a><var>123.40</var><br/>
</td>
<td align="right">5397<br/>
</td>
<td></td>
<td align="right">10,000<br/>
</td>
<td></td>
</tr>
</table><a id="pl.123.41"></a><var>123.41</var>    (e) For a defined benefit relief association in which the governing bylaws provide <br/>
<a id="pl.123.42"></a><var>123.42</var>for a monthly benefit service pension as an alternative form of service pension payment <br/>
<a id="pl.124.1"></a><var>124.1</var>to a lump-sum service pension, the maximum service pension amount for each pension <br/>
<a id="pl.124.2"></a><var>124.2</var>payment type must be determined using the applicable table contained in this subdivision.<br/>
<a id="pl.124.3"></a><var>124.3</var>    (f) If a defined benefit relief association establishes a service pension in compliance <br/>
<a id="pl.124.4"></a><var>124.4</var>with the applicable maximum contained in paragraph (c) or (d) and the minimum average <br/>
<a id="pl.124.5"></a><var>124.5</var>amount of available financing per active covered firefighter is subsequently reduced <br/>
<a id="pl.124.6"></a><var>124.6</var>because of a reduction in fire state aid or because of an increase in the number of active <br/>
<a id="pl.124.7"></a><var>124.7</var>firefighters, the relief association may continue to provide the prior service pension <br/>
<a id="pl.124.8"></a><var>124.8</var>amount specified in its bylaws, but may not increase the service pension amount until <br/>
<a id="pl.124.9"></a><var>124.9</var>the minimum average amount of available financing per firefighter under the table in <br/>
<a id="pl.124.10"></a><var>124.10</var>paragraph (c) or (d), whichever applies, permits.<br/>
<a id="pl.124.11"></a><var>124.11</var>    (g) No defined benefit relief association is authorized to provide a service pension in <br/>
<a id="pl.124.12"></a><var>124.12</var>an amount greater than the largest applicable flexible service pension maximum amount <br/>
<a id="pl.124.13"></a><var>124.13</var>even if the amount of available financing per firefighter is greater than the financing <br/>
<a id="pl.124.14"></a><var>124.14</var>amount associated with the largest applicable flexible service pension maximum.<br/>
<a id="pl.124.15"></a><var>124.15</var>(h) The method of calculating service pensions must be applied uniformly for all <br/>
<a id="pl.124.16"></a><var>124.16</var>years of active service. Credit must be given for all years of active service except for caps <br/>
<a id="pl.124.17"></a><var>124.17</var>on service credit if so provided in the bylaws of the relief association.<br/>
<a id="pl.124.18"></a><var>124.18</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.10.0"></a><a id="pl.124.19"></a><var>124.19</var>    Sec. 10. Minnesota Statutes 2013 Supplement, section 424A.02, subdivision 7, is <br/>
<a id="pl.124.20"></a><var>124.20</var>amended to read:<br/>
<a id="pl.124.21"></a><var>124.21</var>    Subd. 7. <b>Deferred service pensions.</b> (a) A member of a defined benefit relief <br/>
<a id="pl.124.22"></a><var>124.22</var>association is entitled to a deferred service pension if the member separates from active <br/>
<a id="pl.124.23"></a><var>124.23</var>service and membership and has completed the minimum service and membership <br/>
<a id="pl.124.24"></a><var>124.24</var>requirements in subdivision 1. The requirement that a member separate from active service <br/>
<a id="pl.124.25"></a><var>124.25</var>and membership is waived for persons who have discontinued their volunteer firefighter <br/>
<a id="pl.124.26"></a><var>124.26</var>duties and who are employed on a full-time basis under section 
         <statute_ref>424A.015, subdivision 1</statute_ref>.<br/>
<a id="pl.124.27"></a><var>124.27</var>    (b) The deferred service pension is payable when the former member reaches at <br/>
<a id="pl.124.28"></a><var>124.28</var>least age 50, or at least the minimum age specified in the bylaws governing the relief <br/>
<a id="pl.124.29"></a><var>124.29</var>association if that age is greater than age 50, and when the former member makes a valid <br/>
<a id="pl.124.30"></a><var>124.30</var>written application.<br/>
<a id="pl.124.31"></a><var>124.31</var>    (c) A defined benefit relief association that provides a lump-sum service pension <br/>
<a id="pl.124.32"></a><var>124.32</var>governed by subdivision 3 may, when its governing bylaws so provide, pay interest on the <br/>
<a id="pl.124.33"></a><var>124.33</var>deferred lump-sum service pension during the period of deferral. If provided for in the <br/>
<a id="pl.124.34"></a><var>124.34</var>bylaws, interest must be paid in one of the following manners:<br/>
<a id="pl.125.1"></a><var>125.1</var>    (1) at the investment performance rate actually earned on that portion of the assets <br/>
<a id="pl.125.2"></a><var>125.2</var>if the deferred benefit amount is invested by the relief association in a separate account <br/>
<a id="pl.125.3"></a><var>125.3</var>established and maintained by the relief association;<br/>
<a id="pl.125.4"></a><var>125.4</var>(2) at the investment performance rate actually earned on that portion of the assets <br/>
<a id="pl.125.5"></a><var>125.5</var>if the deferred benefit amount is invested in a separate investment vehicle held by the <br/>
<a id="pl.125.6"></a><var>125.6</var>relief association; or<br/>
<a id="pl.125.7"></a><var>125.7</var>    (3) at an interest rate of up to five percent, compounded annually, as set by the <br/>
<a id="pl.125.8"></a><var>125.8</var>board of trustees.<br/>
<a id="pl.125.9"></a><var>125.9</var>(d) Any change in the interest rate set by the board of directors trustees under <br/>
<a id="pl.125.10"></a><var>125.10</var>paragraph (c), clause (3), must be ratified by the governing body of the municipality <br/>
<a id="pl.125.11"></a><var>125.11</var>served by the fire department to which the relief association is directly associated, or by <br/>
<a id="pl.125.12"></a><var>125.12</var>the independent nonprofit firefighting corporation, as applicable.<br/>
<a id="pl.125.13"></a><var>125.13</var>    (e) Interest under paragraph (c), clause (3), is payable beginning on the January 1 <br/>
<a id="pl.125.14"></a><var>125.14</var>next following the date on which the deferred service pension interest rate as set by the <br/>
<a id="pl.125.15"></a><var>125.15</var>board of trustees was ratified by the governing body of the municipality served by the fire <br/>
<a id="pl.125.16"></a><var>125.16</var>department to which the relief association is directly associated, or by the independent <br/>
<a id="pl.125.17"></a><var>125.17</var>nonprofit firefighting corporation, as applicable.<br/>
<a id="pl.125.18"></a><var>125.18</var>    (f) Unless the bylaws of a relief association that has elected to pay interest or <br/>
<a id="pl.125.19"></a><var>125.19</var>additional investment performance on deferred lump-sum service pensions under <br/>
<a id="pl.125.20"></a><var>125.20</var>paragraph (c) specifies a different interest or additional investment performance method, <br/>
<a id="pl.125.21"></a><var>125.21</var>including the interest or additional investment performance period starting date and ending <br/>
<a id="pl.125.22"></a><var>125.22</var>date, the interest or additional investment performance on a deferred service pension <br/>
<a id="pl.125.23"></a><var>125.23</var>is creditable as follows:<br/>
<a id="pl.125.24"></a><var>125.24</var>(1) for a relief association that has elected to pay interest or additional investment <br/>
<a id="pl.125.25"></a><var>125.25</var>performance under paragraph (c), clause (1) or (3), beginning on the first day of the <br/>
<a id="pl.125.26"></a><var>125.26</var>month next following the date on which the member separates from active service and <br/>
<a id="pl.125.27"></a><var>125.27</var>membership and ending on the last day of the month immediately before the month in <br/>
<a id="pl.125.28"></a><var>125.28</var>which the deferred member commences receipt of the deferred service pension; or<br/>
<a id="pl.125.29"></a><var>125.29</var>(2) for a relief association that has elected to pay interest or additional investment <br/>
<a id="pl.125.30"></a><var>125.30</var>performance under paragraph (c), clause (2), beginning on the date that the member <br/>
<a id="pl.125.31"></a><var>125.31</var>separates from active service and membership and ending on the date that the separate <br/>
<a id="pl.125.32"></a><var>125.32</var>investment vehicle is valued immediately before the date on which the deferred member <br/>
<a id="pl.125.33"></a><var>125.33</var>commences receipt of the deferred service pension.<br/>
<a id="pl.125.34"></a><var>125.34</var>(g) For a deferred service pension that is transferred to a separate account established <br/>
<a id="pl.125.35"></a><var>125.35</var>and maintained by the relief association or separate investment vehicle held by the relief <br/>
<a id="pl.125.36"></a><var>125.36</var>association, the deferred member bears the full investment risk subsequent to transfer and <br/>
<a id="pl.126.1"></a><var>126.1</var>in calculating the accrued liability of the volunteer firefighters relief association that pays <br/>
<a id="pl.126.2"></a><var>126.2</var>a lump-sum service pension, the accrued liability for deferred service pensions is equal <br/>
<a id="pl.126.3"></a><var>126.3</var>to the separate relief association account balance or the fair market value of the separate <br/>
<a id="pl.126.4"></a><var>126.4</var>investment vehicle held by the relief association.<br/>
<a id="pl.126.5"></a><var>126.5</var>    (h) The deferred service pension is governed by and must be calculated under <br/>
<a id="pl.126.6"></a><var>126.6</var>the general statute, special law, relief association articles of incorporation, and relief <br/>
<a id="pl.126.7"></a><var>126.7</var>association bylaw provisions applicable on the date on which the member separated from <br/>
<a id="pl.126.8"></a><var>126.8</var>active service with the fire department and active membership in the relief association.<br/>
<a id="pl.126.9"></a><var>126.9</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.11.0"></a><a id="pl.126.10"></a><var>126.10</var>    Sec. 11. Minnesota Statutes 2012, section 424A.05, subdivision 3, is amended to read:<br/>
<a id="pl.126.11"></a><var>126.11</var>    Subd. 3. <b>Authorized disbursements from special fund.</b> Disbursements from the <br/>
<a id="pl.126.12"></a><var>126.12</var>special fund may not be made for any purpose other than one of the following:<br/>
<a id="pl.126.13"></a><var>126.13</var>    (1) for the payment of service pensions to retired members of the relief association if <br/>
<a id="pl.126.14"></a><var>126.14</var>authorized and paid under law and the bylaws governing the relief association;<br/>
<a id="pl.126.15"></a><var>126.15</var>(2) for the purchase of an annuity for the applicable person under section 
         <statute_ref>424A.015</statute_ref>, <br/>
<a id="pl.126.16"></a><var>126.16</var>subdivision 3, for the transfer of service pension or benefit amounts to the applicable <br/>
<a id="pl.126.17"></a><var>126.17</var>person's individual retirement account under section 
         <statute_ref>424A.015, subdivision 4</statute_ref>, or to the <br/>
<a id="pl.126.18"></a><var>126.18</var>applicable person's account in the Minnesota deferred compensation plan under section <br/>
<statute_ref><a id="pl.126.19"></a><var>126.19</var>424A.015, subdivision 5
         </statute_ref>;<br/>
<a id="pl.126.20"></a><var>126.20</var>    (3) for the payment of temporary or permanent disability benefits to disabled <br/>
<a id="pl.126.21"></a><var>126.21</var>members of the relief association if authorized and paid under law and specified in amount <br/>
<a id="pl.126.22"></a><var>126.22</var>in the bylaws governing the relief association;<br/>
<a id="pl.126.23"></a><var>126.23</var>    (4) for the payment of survivor benefits or for the payment of a death benefit to the <br/>
<a id="pl.126.24"></a><var>126.24</var>estate of the deceased active or deferred firefighter, if authorized and paid under law and <br/>
<a id="pl.126.25"></a><var>126.25</var>specified in amount in the bylaws governing the relief association;<br/>
<a id="pl.126.26"></a><var>126.26</var>    (5) for the payment of the fees, dues and assessments to the Minnesota State Fire <br/>
<a id="pl.126.27"></a><var>126.27</var>Department Association and to the Minnesota Area Relief State Fire Chiefs Association <br/>
<a id="pl.126.28"></a><var>126.28</var>Coalition in order to entitle relief association members to membership in and the benefits <br/>
<a id="pl.126.29"></a><var>126.29</var>of these associations or organizations;<br/>
<a id="pl.126.30"></a><var>126.30</var>(6) for the payment of insurance premiums to the state Volunteer Firefighters Benefit <br/>
<a id="pl.126.31"></a><var>126.31</var>Association, or an insurance company licensed by the state of Minnesota offering casualty <br/>
<a id="pl.126.32"></a><var>126.32</var>insurance, in order to entitle relief association members to membership in and the benefits <br/>
<a id="pl.126.33"></a><var>126.33</var>of the association or organization; and<br/>
<a id="pl.126.34"></a><var>126.34</var>    (7) for the payment of administrative expenses of the relief association as authorized <br/>
<a id="pl.126.35"></a><var>126.35</var>under section 
         <statute_ref>69.80</statute_ref>.<br/>
<a id="pl.127.1"></a><var>127.1</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.12.0"></a><a id="pl.127.2"></a><var>127.2</var>    Sec. 12. Minnesota Statutes 2012, section 424A.08, is amended to read:<br/>
<a id="pl.127.3"></a><var>127.3</var><b>424A.08 MUNICIPALITY WITHOUT RELIEF ASSOCIATION; </b><br/>
<a id="pl.127.4"></a><var>127.4</var><b>AUTHORIZED DISBURSEMENTS.</b><br/>
<a id="pl.127.5"></a><var>127.5</var>(a) Any qualified municipality which is entitled to receive fire state aid but which <br/>
<a id="pl.127.6"></a><var>127.6</var>has no volunteer firefighters' relief association directly associated with its fire department <br/>
<a id="pl.127.7"></a><var>127.7</var>and which has no full-time firefighters with retirement coverage by the public employees <br/>
<a id="pl.127.8"></a><var>127.8</var>police and fire retirement plan shall deposit the fire state aid in a special account <br/>
<a id="pl.127.9"></a><var>127.9</var>established for that purpose in the municipal treasury. Disbursement from the special <br/>
<a id="pl.127.10"></a><var>127.10</var>account may not be made for any purpose except:<br/>
<a id="pl.127.11"></a><var>127.11</var>(1) payment of the fees, dues and assessments to the Minnesota State Fire <br/>
<a id="pl.127.12"></a><var>127.12</var>Department Association and to the state Volunteer Firefighters' Benefit Association in <br/>
<a id="pl.127.13"></a><var>127.13</var>order to entitle its firefighters to membership in and the benefits of these state associations;<br/>
<a id="pl.127.14"></a><var>127.14</var>(2) payment of the cost of purchasing and maintaining needed equipment for the <br/>
<a id="pl.127.15"></a><var>127.15</var>fire department; and<br/>
<a id="pl.127.16"></a><var>127.16</var>(3) payment of the cost of construction, acquisition, repair, or maintenance of <br/>
<a id="pl.127.17"></a><var>127.17</var>buildings or other premises to house the equipment of the fire department.<br/>
<a id="pl.127.18"></a><var>127.18</var>(b) A qualified municipality which is entitled to receive fire state aid, which has no <br/>
<a id="pl.127.19"></a><var>127.19</var>volunteer firefighters' relief association directly associated with its fire department, which <br/>
<a id="pl.127.20"></a><var>127.20</var>does not participate in the voluntary statewide lump-sum volunteer firefighter retirement <br/>
<a id="pl.127.21"></a><var>127.21</var>plan under chapter 353G, and which has full-time firefighters with retirement coverage <br/>
<a id="pl.127.22"></a><var>127.22</var>by the public employees police and fire retirement plan may disburse the fire state aid as <br/>
<a id="pl.127.23"></a><var>127.23</var>provided in paragraph (a), for the payment of the employer contribution requirement with <br/>
<a id="pl.127.24"></a><var>127.24</var>respect to firefighters covered by the public employees police and fire retirement plan under <br/>
<a id="pl.127.25"></a><var>127.25</var>section 
         <statute_ref>353.65, subdivision 3</statute_ref>, or for a combination of the two types of disbursements.<br/>
<a id="pl.127.26"></a><var>127.26</var>(c) A municipality that has no volunteer firefighters' relief association directly <br/>
<a id="pl.127.27"></a><var>127.27</var>associated with it and that participates in the voluntary statewide lump-sum volunteer <br/>
<a id="pl.127.28"></a><var>127.28</var>firefighter retirement plan under chapter 353G shall transmit any fire state aid that it <br/>
<a id="pl.127.29"></a><var>127.29</var>receives to the voluntary statewide lump-sum volunteer firefighter retirement fund.<br/>
<a id="pl.127.30"></a><var>127.30</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.13.0"></a><a id="pl.127.31"></a><var>127.31</var>    Sec. 13. Minnesota Statutes 2013 Supplement, section 424A.092, subdivision 6, <br/>
<a id="pl.127.32"></a><var>127.32</var>is amended to read:<br/>
<a id="pl.128.1"></a><var>128.1</var>    Subd. 6. <b>Municipal ratification for plan amendments.</b> If the special fund of <br/>
<a id="pl.128.2"></a><var>128.2</var>the relief association does not have a surplus over full funding under subdivision 3, <br/>
<a id="pl.128.3"></a><var>128.3</var>paragraph (c), clause (5), and if the municipality is required to provide financial support <br/>
<a id="pl.128.4"></a><var>128.4</var>to the special fund of the relief association under this section, the adoption of or any <br/>
<a id="pl.128.5"></a><var>128.5</var>amendment to the articles of incorporation or bylaws of a relief association which <br/>
<a id="pl.128.6"></a><var>128.6</var>increases or otherwise affects the retirement coverage provided by or the service pensions <br/>
<a id="pl.128.7"></a><var>128.7</var>or retirement benefits payable from the special fund of any relief association to which this <br/>
<a id="pl.128.8"></a><var>128.8</var>section applies is not effective until it is ratified by the governing body of the municipality <br/>
<a id="pl.128.9"></a><var>128.9</var>in which the relief association is located served by the fire department to which the <br/>
<a id="pl.128.10"></a><var>128.10</var>relief association is directly associated or by the independent nonprofit firefighting <br/>
<a id="pl.128.11"></a><var>128.11</var>corporation, as applicable, and the officers of a relief association shall not seek municipal <br/>
<a id="pl.128.12"></a><var>128.12</var>ratification prior to preparing and certifying an estimate of the expected increase in the <br/>
<a id="pl.128.13"></a><var>128.13</var>accrued liability and annual accruing liability of the relief association attributable to the <br/>
<a id="pl.128.14"></a><var>128.14</var>amendment. If the special fund of the relief association has a surplus over full funding <br/>
<a id="pl.128.15"></a><var>128.15</var>under subdivision 3, paragraph (c), clause (5), and if the municipality is not required to <br/>
<a id="pl.128.16"></a><var>128.16</var>provide financial support to the special fund of the relief association under this section, <br/>
<a id="pl.128.17"></a><var>128.17</var>the relief association may adopt or amend its articles of incorporation or bylaws which <br/>
<a id="pl.128.18"></a><var>128.18</var>increase or otherwise affect the retirement coverage provided by or the service pensions <br/>
<a id="pl.128.19"></a><var>128.19</var>or retirement benefits payable from the special fund of the relief association which are <br/>
<a id="pl.128.20"></a><var>128.20</var>effective without municipal ratification so long as this does not cause the amount of the <br/>
<a id="pl.128.21"></a><var>128.21</var>resulting increase in the accrued liability of the special fund of the relief association to <br/>
<a id="pl.128.22"></a><var>128.22</var>exceed 90 percent of the amount of the surplus over full funding reported in the prior year <br/>
<a id="pl.128.23"></a><var>128.23</var>and this does not result in the financial requirements of the special fund of the relief <br/>
<a id="pl.128.24"></a><var>128.24</var>association exceeding the expected amount of the future fire state aid to be received by <br/>
<a id="pl.128.25"></a><var>128.25</var>the relief association as determined by the board of trustees following the preparation <br/>
<a id="pl.128.26"></a><var>128.26</var>of an estimate of the expected increase in the accrued liability and annual accruing <br/>
<a id="pl.128.27"></a><var>128.27</var>liability of the relief association attributable to the change. If a relief association adopts or <br/>
<a id="pl.128.28"></a><var>128.28</var>amends its articles of incorporation or bylaws without municipal ratification under this <br/>
<a id="pl.128.29"></a><var>128.29</var>subdivision, and, subsequent to the amendment or adoption, the financial requirements <br/>
<a id="pl.128.30"></a><var>128.30</var>of the special fund of the relief association under this section are such so as to require <br/>
<a id="pl.128.31"></a><var>128.31</var>financial support from the municipality, the provision which was implemented without <br/>
<a id="pl.128.32"></a><var>128.32</var>municipal ratification is no longer effective without municipal ratification and any service <br/>
<a id="pl.128.33"></a><var>128.33</var>pensions or retirement benefits payable after that date may be paid only in accordance with <br/>
<a id="pl.128.34"></a><var>128.34</var>the articles of incorporation or bylaws as amended or adopted with municipal ratification.<br/>
<a id="pl.128.35"></a><var>128.35</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.14.0"></a><a id="pl.129.1"></a><var>129.1</var>    Sec. 14. Minnesota Statutes 2013 Supplement, section 424A.093, subdivision 2, <br/>
<a id="pl.129.2"></a><var>129.2</var>is amended to read:<br/>
<a id="pl.129.3"></a><var>129.3</var>    Subd. 2. <b>Determination of actuarial condition and funding costs.</b> A relief <br/>
<a id="pl.129.4"></a><var>129.4</var>association to which this section applies shall obtain an actuarial valuation showing the <br/>
<a id="pl.129.5"></a><var>129.5</var>condition of the special fund of the relief association as of December 31, 1978, and at <br/>
<a id="pl.129.6"></a><var>129.6</var>least as of December 31 every four years thereafter. The valuation shall be prepared in <br/>
<a id="pl.129.7"></a><var>129.7</var>accordance with the provisions of sections 
         <statute_ref>356.215, subdivision 8</statute_ref>, and 
         <statute_ref>356.216</statute_ref> and any <br/>
<a id="pl.129.8"></a><var>129.8</var>applicable standards for actuarial work established by the Legislative Commission on <br/>
<a id="pl.129.9"></a><var>129.9</var>Pensions and Retirement, except that the figure for normal cost shall be expressed as a <br/>
<a id="pl.129.10"></a><var>129.10</var>level dollar amount, and the amortization contribution shall be the level dollar amount <br/>
<a id="pl.129.11"></a><var>129.11</var>calculated to amortize any current unfunded accrued liability by at least the date of full <br/>
<a id="pl.129.12"></a><var>129.12</var>funding specified in subdivision 4, clause (b). Each valuation shall be filed with the <br/>
<a id="pl.129.13"></a><var>129.13</var>governing body of the municipality in which the relief association is located served by the <br/>
<a id="pl.129.14"></a><var>129.14</var>fire department to which the relief association is directly associated or by the independent <br/>
<a id="pl.129.15"></a><var>129.15</var>nonprofit firefighting corporation, as applicable, and with the state auditor, not later than <br/>
<a id="pl.129.16"></a><var>129.16</var>July 1 of the year next following the date as of which the actuarial valuation is prepared. <br/>
<a id="pl.129.17"></a><var>129.17</var>Any relief association which is operating under a special law which requires that actuarial <br/>
<a id="pl.129.18"></a><var>129.18</var>valuations be obtained at least every four years and be prepared in accordance with <br/>
<a id="pl.129.19"></a><var>129.19</var>applicable actuarial standards set forth in statute may continue to have actuarial valuations <br/>
<a id="pl.129.20"></a><var>129.20</var>made according to the time schedule set forth in the special legislation subject to the <br/>
<a id="pl.129.21"></a><var>129.21</var>provisions of subdivision 3.<br/>
<a id="pl.129.22"></a><var>129.22</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.15.0"></a><a id="pl.129.23"></a><var>129.23</var>    Sec. 15. Minnesota Statutes 2013 Supplement, section 424A.093, subdivision 6, <br/>
<a id="pl.129.24"></a><var>129.24</var>is amended to read:<br/>
<a id="pl.129.25"></a><var>129.25</var>    Subd. 6. <b>Municipal ratification for plan amendments.</b> If the special fund of the <br/>
<a id="pl.129.26"></a><var>129.26</var>relief association does not have a surplus over full funding under subdivision 4, and <br/>
<a id="pl.129.27"></a><var>129.27</var>if the municipality is required to provide financial support to the special fund of the <br/>
<a id="pl.129.28"></a><var>129.28</var>relief association under this section, the adoption of or any amendment to the articles of <br/>
<a id="pl.129.29"></a><var>129.29</var>incorporation or bylaws of a relief association which increases or otherwise affects the <br/>
<a id="pl.129.30"></a><var>129.30</var>retirement coverage provided by or the service pensions or retirement benefits payable <br/>
<a id="pl.129.31"></a><var>129.31</var>from the special fund of any relief association to which this section applies is not effective <br/>
<a id="pl.129.32"></a><var>129.32</var>until it is ratified by the governing body of the municipality in which the relief association <br/>
<a id="pl.129.33"></a><var>129.33</var>is located served by the fire department to which the relief association is directly associated <br/>
<a id="pl.129.34"></a><var>129.34</var>or by the independent nonprofit firefighting corporation, as applicable. If the special <br/>
<a id="pl.129.35"></a><var>129.35</var>fund of the relief association has a surplus over full funding under subdivision 4, and if <br/>
<a id="pl.130.1"></a><var>130.1</var>the municipality is not required to provide financial support to the special fund of the <br/>
<a id="pl.130.2"></a><var>130.2</var>relief association under this section, the relief association may adopt or amend its articles <br/>
<a id="pl.130.3"></a><var>130.3</var>of incorporation or bylaws which increase or otherwise affect the retirement coverage <br/>
<a id="pl.130.4"></a><var>130.4</var>provided by or the service pensions or retirement benefits payable from the special fund <br/>
<a id="pl.130.5"></a><var>130.5</var>of the relief association which are effective without municipal ratification so long as this <br/>
<a id="pl.130.6"></a><var>130.6</var>does not cause the amount of the resulting increase in the accrued liability of the special <br/>
<a id="pl.130.7"></a><var>130.7</var>fund of the relief association to exceed 90 percent of the amount of the surplus over full <br/>
<a id="pl.130.8"></a><var>130.8</var>funding reported in the prior year and this does not result in the financial requirements of <br/>
<a id="pl.130.9"></a><var>130.9</var>the special fund of the relief association exceeding the expected amount of the future fire <br/>
<a id="pl.130.10"></a><var>130.10</var>state aid to be received by the relief association as determined by the board of trustees <br/>
<a id="pl.130.11"></a><var>130.11</var>following the preparation of an updated actuarial valuation including the proposed change <br/>
<a id="pl.130.12"></a><var>130.12</var>or an estimate of the expected actuarial impact of the proposed change prepared by the <br/>
<a id="pl.130.13"></a><var>130.13</var>actuary of the relief association. If a relief association adopts or amends its articles of <br/>
<a id="pl.130.14"></a><var>130.14</var>incorporation or bylaws without municipal ratification pursuant to this subdivision, and, <br/>
<a id="pl.130.15"></a><var>130.15</var>subsequent to the amendment or adoption, the financial requirements of the special fund <br/>
<a id="pl.130.16"></a><var>130.16</var>of the relief association under this section are such so as to require financial support from <br/>
<a id="pl.130.17"></a><var>130.17</var>the municipality, the provision which was implemented without municipal ratification is <br/>
<a id="pl.130.18"></a><var>130.18</var>no longer effective without municipal ratification and any service pensions or retirement <br/>
<a id="pl.130.19"></a><var>130.19</var>benefits payable after that date may be paid only in accordance with the articles of <br/>
<a id="pl.130.20"></a><var>130.20</var>incorporation or bylaws as amended or adopted with municipal ratification.<br/>
<a id="pl.130.21"></a><var>130.21</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.16.0"></a><a id="pl.130.22"></a><var>130.22</var>    Sec. 16. Minnesota Statutes 2013 Supplement, section 424A.094, subdivision 2, <br/>
<a id="pl.130.23"></a><var>130.23</var>is amended to read:<br/>
<a id="pl.130.24"></a><var>130.24</var>    Subd. 2. <b>Determination of actuarial condition and funding costs.</b> Each <br/>
<a id="pl.130.25"></a><var>130.25</var>independent nonprofit firefighting corporation to which this section applies shall determine <br/>
<a id="pl.130.26"></a><var>130.26</var>the actuarial condition and the funding costs of the subsidiary relief association using <br/>
<a id="pl.130.27"></a><var>130.27</var>the following procedure:<br/>
<a id="pl.130.28"></a><var>130.28</var>(1) An independent nonprofit firefighting corporation which has a subsidiary relief <br/>
<a id="pl.130.29"></a><var>130.29</var>association which pays a monthly benefit service pension shall procure an actuarial <br/>
<a id="pl.130.30"></a><var>130.30</var>valuation of the special fund of the subsidiary relief association at the same times and <br/>
<a id="pl.130.31"></a><var>130.31</var>in the same manner as specified in section 
         <statute_ref>424A.093</statute_ref>, subdivisions 2 and 3, and an <br/>
<a id="pl.130.32"></a><var>130.32</var>independent nonprofit firefighting corporation which has a subsidiary relief association <br/>
<a id="pl.130.33"></a><var>130.33</var>which pays a lump-sum service pension shall determine the accrued liability of the special <br/>
<a id="pl.130.34"></a><var>130.34</var>fund of the relief association in accordance with section 
         <statute_ref>424A.092, subdivision 2</statute_ref>.<br/>
<a id="pl.131.1"></a><var>131.1</var>(2) The financial requirements of the special fund of the subsidiary relief association <br/>
<a id="pl.131.2"></a><var>131.2</var>which pays a monthly benefit service pension shall be determined in the same manner <br/>
<a id="pl.131.3"></a><var>131.3</var>as specified in section 
         <statute_ref>424A.093, subdivision 4</statute_ref>, and the financial requirements of the <br/>
<a id="pl.131.4"></a><var>131.4</var>special fund of the subsidiary relief association shall be determined in the same manner as <br/>
<a id="pl.131.5"></a><var>131.5</var>specified in section 
         <statute_ref>424A.092, subdivision 3</statute_ref>.<br/>
<a id="pl.131.6"></a><var>131.6</var>(3) The minimum obligation of the independent nonprofit firefighting corporation on <br/>
<a id="pl.131.7"></a><var>131.7</var>behalf of the special fund of the subsidiary relief association shall be determined in the <br/>
<a id="pl.131.8"></a><var>131.8</var>same manner as specified in section 424A.092, subdivision 4, or 
<statute_ref>424A.093, subdivision 5</statute_ref>, <br/>
<a id="pl.131.9"></a><var>131.9</var>as applicable.<br/>
<a id="pl.131.10"></a><var>131.10</var>(4) The independent nonprofit firefighting corporation shall appropriate annually <br/>
<a id="pl.131.11"></a><var>131.11</var>from the income of the corporation an amount at least equal to the minimum obligation <br/>
<a id="pl.131.12"></a><var>131.12</var>of the independent nonprofit firefighting corporation on behalf of the special fund of <br/>
<a id="pl.131.13"></a><var>131.13</var>the subsidiary relief association.<br/>
<a id="pl.131.14"></a><var>131.14</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.17.0"></a><a id="pl.131.15"></a><var>131.15</var>    Sec. 17. Minnesota Statutes 2013 Supplement, section 424A.10, subdivision 2, is <br/>
<a id="pl.131.16"></a><var>131.16</var>amended to read:<br/>
<a id="pl.131.17"></a><var>131.17</var>    Subd. 2. <b>Payment of supplemental benefit.</b> (a) Upon the payment by a volunteer <br/>
<a id="pl.131.18"></a><var>131.18</var>firefighters' relief association or by the voluntary statewide lump-sum volunteer firefighter <br/>
<a id="pl.131.19"></a><var>131.19</var>retirement plan of a lump-sum distribution to a qualified recipient, the association must <br/>
<a id="pl.131.20"></a><var>131.20</var>pay a supplemental benefit to the qualified recipient. Notwithstanding any law to the <br/>
<a id="pl.131.21"></a><var>131.21</var>contrary, the relief association must pay the supplemental benefit out of its special fund <br/>
<a id="pl.131.22"></a><var>131.22</var>and the voluntary statewide lump-sum volunteer firefighter retirement plan must pay <br/>
<a id="pl.131.23"></a><var>131.23</var>the supplemental benefit out of the voluntary statewide lump-sum volunteer firefighter <br/>
<a id="pl.131.24"></a><var>131.24</var>retirement plan. This benefit is an amount equal to ten percent of the regular lump-sum <br/>
<a id="pl.131.25"></a><var>131.25</var>distribution that is paid on the basis of the recipient's service as a volunteer firefighter. <br/>
<a id="pl.131.26"></a><var>131.26</var>In no case may the amount of the supplemental benefit exceed $1,000. A supplemental <br/>
<a id="pl.131.27"></a><var>131.27</var>benefit under this paragraph may not be paid to a survivor of a deceased active or deferred <br/>
<a id="pl.131.28"></a><var>131.28</var>volunteer firefighter in that capacity.<br/>
<a id="pl.131.29"></a><var>131.29</var>    (b) Upon the payment by a relief association or the retirement plan of a lump-sum <br/>
<a id="pl.131.30"></a><var>131.30</var>survivor benefit to a survivor of a deceased active volunteer firefighter or of a deceased <br/>
<a id="pl.131.31"></a><var>131.31</var>deferred volunteer firefighter, the association must pay a supplemental survivor benefit to <br/>
<a id="pl.131.32"></a><var>131.32</var>the survivor of the deceased active or deferred volunteer firefighter from the special fund <br/>
<a id="pl.131.33"></a><var>131.33</var>of the relief association and the retirement plan must pay a supplemental survivor benefit <br/>
<a id="pl.131.34"></a><var>131.34</var>to the survivor of the deceased active or deferred volunteer firefighter from the retirement <br/>
<a id="pl.132.1"></a><var>132.1</var>fund if chapter 353G so provides. The amount of the supplemental survivor benefit is 20 <br/>
<a id="pl.132.2"></a><var>132.2</var>percent of the survivor benefit, but not to exceed $2,000.<br/>
<a id="pl.132.3"></a><var>132.3</var>    (c) For purposes of this section, the term "regular lump-sum distribution" means the <br/>
<a id="pl.132.4"></a><var>132.4</var>pretax lump-sum distribution excluding any interest that may have been credited during a <br/>
<a id="pl.132.5"></a><var>132.5</var>volunteer firefighter's period of deferral.<br/>
<a id="pl.132.6"></a><var>132.6</var>    (d) An individual may receive a supplemental benefit under paragraph (a) or under <br/>
<a id="pl.132.7"></a><var>132.7</var>paragraph (b), but not under both paragraphs with respect to one lump-sum volunteer <br/>
<a id="pl.132.8"></a><var>132.8</var>firefighter benefit.<br/>
<a id="pl.132.9"></a><var>132.9</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.12.18.0"></a><a id="pl.132.10"></a><var>132.10</var>    Sec. 18. Minnesota Statutes 2012, section 424B.12, is amended to read:<br/>
<a id="pl.132.11"></a><var>132.11</var><b>424B.12 MIXED CONSOLIDATING RELIEF ASSOCIATIONS; BENEFIT </b><br/>
<a id="pl.132.12"></a><var>132.12</var><b>PLAN; FUNDING.</b><br/>
<a id="pl.132.13"></a><var>132.13</var>    Subdivision 1. <b>Applicability.</b> This section applies where one or more of the <br/>
<a id="pl.132.14"></a><var>132.14</var>volunteer firefighters' relief associations involved in the consolidation are defined benefit <br/>
<a id="pl.132.15"></a><var>132.15</var>relief associations as defined in section 
         <statute_ref>424A.001, subdivision 1b</statute_ref>, and one or more of <br/>
<a id="pl.132.16"></a><var>132.16</var>the volunteer firefighters' relief associations involved in the consolidation are defined <br/>
<a id="pl.132.17"></a><var>132.17</var>contribution relief associations as defined in section 
         <statute_ref>424A.001, subdivision 1c</statute_ref>.<br/>
<a id="pl.132.18"></a><var>132.18</var>    Subd. 2. <b>Benefit plan.</b> The articles of incorporation or bylaws of the successor <br/>
<a id="pl.132.19"></a><var>132.19</var>relief association must specify whether the relief association is a defined benefit relief <br/>
<a id="pl.132.20"></a><var>132.20</var>association or whether the relief association is a defined contribution relief association. If <br/>
<a id="pl.132.21"></a><var>132.21</var>the successor relief association is a defined benefit relief association, the relief association <br/>
<a id="pl.132.22"></a><var>132.22</var>benefits must comply with sections 
         <statute_ref>424A.02</statute_ref> and 424B.11, subdivision 1a 424B.10. If <br/>
<a id="pl.132.23"></a><var>132.23</var>the successor relief association is a defined contribution relief association, the relief <br/>
<a id="pl.132.24"></a><var>132.24</var>association must comply with sections 
         <statute_ref>424A.016</statute_ref> and 424B.12 424B.11, subdivision 2.<br/>
<a id="pl.132.25"></a><var>132.25</var>    Subd. 3. <b>Funding.</b> If the successor relief association is a defined benefit relief <br/>
<a id="pl.132.26"></a><var>132.26</var>association, the relief association funding is governed by section 424B.11 424B.10, <br/>
<a id="pl.132.27"></a><var>132.27</var>subdivision 2. If the successor relief association is a defined contribution relief association, <br/>
<a id="pl.132.28"></a><var>132.28</var>the relief association funding is governed by section 424B.12 424B.11, subdivision 3.<br/>
<a id="pl.132.29"></a><var>132.29</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.13.0.0"></a>

<a id="bill.13.1.0"></a><a id="pl.132.32"></a><var>132.32</var>    Section 1. Minnesota Statutes 2012, section 11A.17, subdivision 1, is amended to read:<br/>
<a id="pl.133.1"></a><var>133.1</var>    Subdivision 1. <b>Purpose; accounts; continuation.</b> (a) The purpose of the <br/>
<a id="pl.133.2"></a><var>133.2</var>supplemental investment fund is to provide an investment vehicle for the assets of various <br/>
<a id="pl.133.3"></a><var>133.3</var>public retirement plans and funds.<br/>
<a id="pl.133.4"></a><var>133.4</var>(b) The fund consists of eight investment accounts: an income share account, a <br/>
<a id="pl.133.5"></a><var>133.5</var>growth share account, an international share account, a money market account, a fixed <br/>
<a id="pl.133.6"></a><var>133.6</var>interest account, a bond market account, a common stock index account, and a volunteer <br/>
<a id="pl.133.7"></a><var>133.7</var>firefighter account. The state board shall determine and make available investment <br/>
<a id="pl.133.8"></a><var>133.8</var>accounts within the supplemental investment fund. These accounts shall include an <br/>
<a id="pl.133.9"></a><var>133.9</var>appropriate array of diversified investment options for participants of the public retirement <br/>
<a id="pl.133.10"></a><var>133.10</var>plans under subdivision 5.<br/>
<a id="pl.133.11"></a><var>133.11</var>(c) The assets of the supplemental investment fund is a continuation of the <br/>
<a id="pl.133.12"></a><var>133.12</var>supplemental retirement fund in existence on January 1, 1980 must be invested by the <br/>
<a id="pl.133.13"></a><var>133.13</var>state board in types of investments permitted under section 11A.24.<br/>
<a id="pl.133.14"></a><var>133.14</var>(d) The state board shall make available a volunteer firefighter account for the <br/>
<a id="pl.133.15"></a><var>133.15</var>voluntary statewide lump-sum volunteer firefighter retirement plan under section 353G.02.<br/>
<a id="pl.133.16"></a><var>133.16</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.2.0"></a><a id="pl.133.17"></a><var>133.17</var>    Sec. 2. Minnesota Statutes 2012, section 11A.17, subdivision 9, is amended to read:<br/>
<a id="pl.133.18"></a><var>133.18</var>    Subd. 9. <b>Valuation of investment shares.</b> (a) The value of investment shares in <br/>
<a id="pl.133.19"></a><var>133.19</var>the income share account, the growth share account, the international share account, <br/>
<a id="pl.133.20"></a><var>133.20</var>the bond market account, and the common stock index for each investment account, <br/>
<a id="pl.133.21"></a><var>133.21</var>excluding a money market account,  must be determined by dividing the total market <br/>
<a id="pl.133.22"></a><var>133.22</var>value of the securities constituting the respective account by the total number of shares <br/>
<a id="pl.133.23"></a><var>133.23</var>then outstanding in the investment account.<br/>
<a id="pl.133.24"></a><var>133.24</var>(b) The value of investment shares in the a money market account and the fixed <br/>
<a id="pl.133.25"></a><var>133.25</var>interest account is must be $1 a share. Terms as to withdrawal schedules will be agreed <br/>
<a id="pl.133.26"></a><var>133.26</var>upon by the public retirement fund and the state board.<br/>
<a id="pl.133.27"></a><var>133.27</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.3.0"></a><a id="pl.133.28"></a><var>133.28</var>    Sec. 3. Minnesota Statutes 2012, section 352.115, subdivision 8, is amended to read:<br/>
<a id="pl.133.29"></a><var>133.29</var>    Subd. 8. <b>Accrual of annuity.</b> State employees shall apply for an annuity. The <br/>
<a id="pl.133.30"></a><var>133.30</var>application for an annuity must not be made more than 90 60 days before the time the state <br/>
<a id="pl.133.31"></a><var>133.31</var>employee is eligible to retire by reason of both age and service requirements or former <br/>
<a id="pl.133.32"></a><var>133.32</var>state employee elects to begin collecting a retirement annuity. If the director determines an <br/>
<a id="pl.133.33"></a><var>133.33</var>applicant for annuity has fulfilled the legal requirements for an annuity, the director shall <br/>
<a id="pl.134.1"></a><var>134.1</var>authorize the annuity payment in accordance with this chapter and payment must be made <br/>
<a id="pl.134.2"></a><var>134.2</var>as authorized. An annuity shall begin to accrue no earlier than 180 days before the date the <br/>
<a id="pl.134.3"></a><var>134.3</var>application is filed with the director, but not before the day following the termination of <br/>
<a id="pl.134.4"></a><var>134.4</var>state service or before the day the employee is eligible to retire by reason of both age and <br/>
<a id="pl.134.5"></a><var>134.5</var>service requirements. The retirement annuity shall cease with the last payment which had <br/>
<a id="pl.134.6"></a><var>134.6</var>accrued during the lifetime of the retired employee unless an optional annuity provided in <br/>
<a id="pl.134.7"></a><var>134.7</var>section 
         <statute_ref>352.116, subdivision 3</statute_ref>, had been selected and had become payable. The joint and <br/>
<a id="pl.134.8"></a><var>134.8</var>last survivor annuity shall cease with the last payment received by the survivor during <br/>
<a id="pl.134.9"></a><var>134.9</var>the lifetime of the survivor. If a retired employee had not selected an optional annuity, or <br/>
<a id="pl.134.10"></a><var>134.10</var>a survivor annuity is not payable under the option, and a spouse survives, the spouse is <br/>
<a id="pl.134.11"></a><var>134.11</var>entitled only to the annuity for the calendar month in which the retired employee died. <br/>
<a id="pl.134.12"></a><var>134.12</var>If an optional annuity is payable after the death of the retired employee, the survivor is <br/>
<a id="pl.134.13"></a><var>134.13</var>entitled to the annuity for the calendar month in which the retired employee died.<br/>
<a id="pl.134.14"></a><var>134.14</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.4.0"></a><a id="pl.134.15"></a><var>134.15</var>    Sec. 4. Minnesota Statutes 2012, section 352.115, subdivision 10, is amended to read:<br/>
<a id="pl.134.16"></a><var>134.16</var>    Subd. 10. <b>Reemployment of annuitant.</b> (a) Except for salary or wages received <br/>
<a id="pl.134.17"></a><var>134.17</var>as a temporary employee of the legislature during a legislative session, if any retired <br/>
<a id="pl.134.18"></a><var>134.18</var>employee again becomes entitled to receive salary or wages from any employer who <br/>
<a id="pl.134.19"></a><var>134.19</var>employs state employees as that term is defined in section 
         <statute_ref>352.01, subdivision 2</statute_ref>, in a <br/>
<a id="pl.134.20"></a><var>134.20</var>position covered by this chapter, the annuity or retirement allowance must cease when the <br/>
<a id="pl.134.21"></a><var>134.21</var>first of the month following the month that the retired employee has earned an amount <br/>
<a id="pl.134.22"></a><var>134.22</var>equal to the annual maximum earnings allowable for that age for the continued receipt of <br/>
<a id="pl.134.23"></a><var>134.23</var>full benefit amounts monthly under the federal old age, survivors, and disability insurance <br/>
<a id="pl.134.24"></a><var>134.24</var>program as set by the secretary of health and human services under United States Code, <br/>
<a id="pl.134.25"></a><var>134.25</var>title 42, section 403, in any calendar year. If the retired employee has not yet reached the <br/>
<a id="pl.134.26"></a><var>134.26</var>minimum age for the receipt of Social Security benefits, the maximum earnings for the <br/>
<a id="pl.134.27"></a><var>134.27</var>retired employee are equal to the annual maximum earnings allowable for the minimum <br/>
<a id="pl.134.28"></a><var>134.28</var>age for the receipt of Social Security benefits.<br/>
<a id="pl.134.29"></a><var>134.29</var>(b) The balance of the annual retirement annuity after cessation must be handled or <br/>
<a id="pl.134.30"></a><var>134.30</var>disposed of as provided in section 
         <statute_ref>356.47</statute_ref>.<br/>
<a id="pl.134.31"></a><var>134.31</var>(c) The annuity must be resumed when the first of the month following the month <br/>
<a id="pl.134.32"></a><var>134.32</var>that state service ends, or, if the retired employee is still employed at the beginning of the <br/>
<a id="pl.134.33"></a><var>134.33</var>next calendar year, at the beginning of that calendar year, and payment must again end <br/>
<a id="pl.134.34"></a><var>134.34</var>when the retired employee has earned the applicable reemployment earnings maximum <br/>
<a id="pl.134.35"></a><var>134.35</var>specified in this subdivision. If the retired employee is granted a sick leave without pay, <br/>
<a id="pl.135.1"></a><var>135.1</var>but not otherwise, the annuity or retirement allowance must be resumed during the period <br/>
<a id="pl.135.2"></a><var>135.2</var>of sick leave.<br/>
<a id="pl.135.3"></a><var>135.3</var>(d) No payroll deductions for the retirement fund may be made from the earnings of <br/>
<a id="pl.135.4"></a><var>135.4</var>a reemployed retired employee.<br/>
<a id="pl.135.5"></a><var>135.5</var>(e) No change may be made in the monthly amount of an annuity or retirement <br/>
<a id="pl.135.6"></a><var>135.6</var>allowance because of the reemployment of an annuitant.<br/>
<a id="pl.135.7"></a><var>135.7</var>(f) If a reemployed annuitant whose annuity is suspended under paragraph (a) <br/>
<a id="pl.135.8"></a><var>135.8</var>is having insurance premium amounts withheld under section 
         <statute_ref>356.87, subdivision 2</statute_ref>, <br/>
<a id="pl.135.9"></a><var>135.9</var>insurance premium amounts must continue to be withheld and transferred from the <br/>
<a id="pl.135.10"></a><var>135.10</var>suspended portion of the annuity. The balance of the annual retirement annuity after <br/>
<a id="pl.135.11"></a><var>135.11</var>cessation, after deduction of the insurance premium amounts, must be treated as specified <br/>
<a id="pl.135.12"></a><var>135.12</var>in paragraph (b).<br/>
<a id="pl.135.13"></a><var>135.13</var>(g) If a reemployed annuitant whose annuity is suspended under paragraph (a) <br/>
<a id="pl.135.14"></a><var>135.14</var>has a former spouse receiving a portion of the annuity allowable under section 518.58, <br/>
<a id="pl.135.15"></a><var>135.15</var>subdivision 1, the portion payable to the former spouse must continue to be paid.<br/>
<a id="pl.135.16"></a><var>135.16</var><b>EFFECTIVE DATE.</b>This section is effective retroactively from January 1, 2014.<br/>
<br/>
<a id="bill.13.5.0"></a><a id="pl.135.17"></a><var>135.17</var>    Sec. 5. Minnesota Statutes 2012, section 352.965, subdivision 4, is amended to read:<br/>
<a id="pl.135.18"></a><var>135.18</var>    Subd. 4. <b>Plan investments.</b> (a) Available investments under the plan may include:<br/>
<a id="pl.135.19"></a><var>135.19</var> are those investments chosen by the State Board of Investment under section 356.645 for <br/>
<a id="pl.135.20"></a><var>135.20</var>the plan.<br/>
<a id="pl.135.21"></a><var>135.21</var>    (1) shares in the Minnesota supplemental investment fund established in section <br/>
<a id="pl.135.22"></a><var>135.22</var><statute_ref>11A.17</statute_ref> that are selected to be offered under the plan by the State Board of Investment;<br/>
<a id="pl.135.23"></a><var>135.23</var>    (2) saving accounts in federally insured financial institutions;<br/>
<a id="pl.135.24"></a><var>135.24</var>    (3) life insurance contracts, fixed annuity, and variable annuity contracts from <br/>
<a id="pl.135.25"></a><var>135.25</var>companies that are subject to regulation by the commissioner of commerce;<br/>
<a id="pl.135.26"></a><var>135.26</var>    (4) investment options from open-end investment companies registered under the <br/>
<a id="pl.135.27"></a><var>135.27</var>federal Investment Company Act of 1940, United States Code, title 15, sections 80a-1 <br/>
<a id="pl.135.28"></a><var>135.28</var>to 80a-64;<br/>
<a id="pl.135.29"></a><var>135.29</var>    (5) investment options from a firm that is a registered investment advisor under the <br/>
<a id="pl.135.30"></a><var>135.30</var>Investment Advisers Act of 1940, United States Code, title 15, sections 80b-1 to 80b-21;<br/>
<a id="pl.135.31"></a><var>135.31</var>    (6) investment options of a bank as defined in United States Code, title 15, section <br/>
<a id="pl.135.32"></a><var>135.32</var>80b-2, subsection (a), paragraph (2), or a bank holding company as defined in the Bank <br/>
<a id="pl.135.33"></a><var>135.33</var>Holding Company Act of 1956, United States Code, title 12, section 1841, subsection <br/>
<a id="pl.135.34"></a><var>135.34</var>(a), paragraph (1); or<br/>
<a id="pl.136.1"></a><var>136.1</var>    (7) a combination of clause (1), (2), (3), (4), (5), or (6), as provided by the plan as <br/>
<a id="pl.136.2"></a><var>136.2</var>specified by the participant.<br/>
<a id="pl.136.3"></a><var>136.3</var>    (b) All amounts contributed to the deferred compensation plan and all earnings <br/>
<a id="pl.136.4"></a><var>136.4</var>on those amounts must be held for the exclusive benefit of the plan participants and <br/>
<a id="pl.136.5"></a><var>136.5</var>beneficiaries. These amounts must be held in trust, in custodial accounts, or in qualifying <br/>
<a id="pl.136.6"></a><var>136.6</var>annuity contracts as required by federal law in accordance with section 
<statute_ref>356A.06</statute_ref>, <br/>
<a id="pl.136.7"></a><var>136.7</var>subdivision 1. This subdivision does not authorize an employer contribution, except as <br/>
<a id="pl.136.8"></a><var>136.8</var>authorized in section 
<statute_ref>356.24, subdivision 1</statute_ref>, paragraph (a), clause (5). The state, political <br/>
<a id="pl.136.9"></a><var>136.9</var>subdivision, or other employing unit is not responsible for any loss that may result from <br/>
<a id="pl.136.10"></a><var>136.10</var>investment of the deferred compensation.<br/>
<a id="pl.136.11"></a><var>136.11</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.6.0"></a><a id="pl.136.12"></a><var>136.12</var>    Sec. 6. Minnesota Statutes 2012, section 352.965, is amended by adding a subdivision <br/>
<a id="pl.136.13"></a><var>136.13</var>to read:<br/>
<a id="pl.136.14"></a><var>136.14</var>    Subd. 4a. <b>Exclusive benefit.</b> All amounts contributed to the deferred compensation <br/>
<a id="pl.136.15"></a><var>136.15</var>plan and all earnings on those amounts must be held for the exclusive benefit of the plan <br/>
<a id="pl.136.16"></a><var>136.16</var>participants and beneficiaries. These amounts must be held in trust, in custodial accounts, <br/>
<a id="pl.136.17"></a><var>136.17</var>or in qualifying annuity contracts as required by federal law in accordance with section <br/>
<a id="pl.136.18"></a><var>136.18</var><statute_ref>356A.06</statute_ref>, subdivision 1.<br/>
<a id="pl.136.19"></a><var>136.19</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.7.0"></a><a id="pl.136.20"></a><var>136.20</var>    Sec. 7. Minnesota Statutes 2012, section 352.965, is amended by adding a subdivision <br/>
<a id="pl.136.21"></a><var>136.21</var>to read:<br/>
<a id="pl.136.22"></a><var>136.22</var>    Subd. 4b. <b>Employer contribution prohibition.</b> Except as authorized in section <br/>
<a id="pl.136.23"></a><var>136.23</var><statute_ref>356.24, subdivision 1</statute_ref>, clause (5), employer contributions are prohibited.<br/>
<a id="pl.136.24"></a><var>136.24</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.8.0"></a><a id="pl.136.25"></a><var>136.25</var>    Sec. 8. Minnesota Statutes 2012, section 352.98, subdivision 2, is amended to read:<br/>
<a id="pl.136.26"></a><var>136.26</var>    Subd. 2. <b>Contracting authorized.</b> (a) The executive director shall administer <br/>
<a id="pl.136.27"></a><var>136.27</var>the plan and contract with public and private entities to provide investment services, <br/>
<a id="pl.136.28"></a><var>136.28</var>record keeping, benefit payments, and other functions necessary for the administration of <br/>
<a id="pl.136.29"></a><var>136.29</var>the plan. If allowed by<br/>
<a id="pl.136.30"></a><var>136.30</var>    (b) As specified in section 356.645, the Minnesota State Board of Investment, the <br/>
<a id="pl.136.31"></a><var>136.31</var>Minnesota State Board of Investment supplemental investment funds may be offered as<br/>
<a id="pl.137.1"></a><var>137.1</var> shall determine an appropriate selection of investment options under that shall be offered <br/>
<a id="pl.137.2"></a><var>137.2</var>by the health care savings plan or plans.<br/>
<a id="pl.137.3"></a><var>137.3</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.9.0"></a><a id="pl.137.4"></a><var>137.4</var>    Sec. 9. Minnesota Statutes 2012, section 352D.04, is amended by adding a subdivision <br/>
<a id="pl.137.5"></a><var>137.5</var>to read:<br/>
<a id="pl.137.6"></a><var>137.6</var>    Subd. 1a. <b>State Board of Investment selection of investment products.</b> As <br/>
<a id="pl.137.7"></a><var>137.7</var>specified in section 356.645, the State Board of Investment shall select investment <br/>
<a id="pl.137.8"></a><var>137.8</var>products to be available to participants in the retirement program provided by this chapter.<br/>
<a id="pl.137.9"></a><var>137.9</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.10.0"></a><a id="pl.137.10"></a><var>137.10</var>    Sec. 10. Minnesota Statutes 2012, section 352D.04, is amended by adding a <br/>
<a id="pl.137.11"></a><var>137.11</var>subdivision to read:<br/>
<a id="pl.137.12"></a><var>137.12</var>    Subd. 1b. <b>Participant selection of investments.</b> (a) A program participant may <br/>
<a id="pl.137.13"></a><var>137.13</var>elect to participate in one or more of the investment products made available under the <br/>
<a id="pl.137.14"></a><var>137.14</var>program by specifying the percentage of the participant's contributions under subdivision <br/>
<a id="pl.137.15"></a><var>137.15</var>2 to be used to purchase shares in the applicable products.<br/>
<a id="pl.137.16"></a><var>137.16</var>(b) Before making an allocation election, or if the participant fails to specify an <br/>
<a id="pl.137.17"></a><var>137.17</var>allocation, the executive director shall, on behalf of that participant, purchase shares <br/>
<a id="pl.137.18"></a><var>137.18</var>in a default investment alternative. The investment alternative must be specified by <br/>
<a id="pl.137.19"></a><var>137.19</var>the Minnesota State Retirement System Board from the available investment options <br/>
<a id="pl.137.20"></a><var>137.20</var>authorized under subdivision 1a.<br/>
<a id="pl.137.21"></a><var>137.21</var>(c) A participant may revise the investment allocation for subsequent purchase of <br/>
<a id="pl.137.22"></a><var>137.22</var>shares, and a participant or former participant may also change the investment options <br/>
<a id="pl.137.23"></a><var>137.23</var>selected for all or a portion of shares previously purchased.<br/>
<a id="pl.137.24"></a><var>137.24</var>(d) Any investment allocation selection authorized under this subdivision, whether <br/>
<a id="pl.137.25"></a><var>137.25</var>relating to subsequent purchases of new shares or reallocating the existing portfolio, <br/>
<a id="pl.137.26"></a><var>137.26</var>must be conducted at times and under procedures prescribed by the executive director. <br/>
<a id="pl.137.27"></a><var>137.27</var>Any allocation or allocation revisions are effective at the end of the most recent United <br/>
<a id="pl.137.28"></a><var>137.28</var>States investment market day, unless subject to trading restrictions imposed on certain <br/>
<a id="pl.137.29"></a><var>137.29</var>investment options.<br/>
<a id="pl.137.30"></a><var>137.30</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.11.0"></a><a id="pl.137.31"></a><var>137.31</var>    Sec. 11. Minnesota Statutes 2012, section 353.27, subdivision 4, is amended to read:<br/>
<a id="pl.138.1"></a><var>138.1</var>    Subd. 4. <b>Employer reporting requirements; contributions; member status.</b><br/>
<a id="pl.138.2"></a><var>138.2</var>(a) A representative authorized by the head of each department shall deduct employee <br/>
<a id="pl.138.3"></a><var>138.3</var>contributions from the salary of each public employee who qualifies for membership in <br/>
<a id="pl.138.4"></a><var>138.4</var>the general employees retirement plan of the Public Employees Retirement Association <br/>
<a id="pl.138.5"></a><var>138.5</var>or in the public employees police and fire retirement plan under this chapter or chapter <br/>
<a id="pl.138.6"></a><var>138.6</var>353D or 353E at the rate under section 
         <statute_ref>353.27</statute_ref>, 
         <statute_ref>353.65</statute_ref>, 
         <statute_ref>353D.03</statute_ref>, or 
         <statute_ref>353E.03</statute_ref>, whichever is <br/>
<a id="pl.138.7"></a><var>138.7</var>applicable, that is in effect on the date the salary is paid. The employer representative must <br/>
<a id="pl.138.8"></a><var>138.8</var>also remit payment in a manner prescribed by the executive director for the aggregate <br/>
<a id="pl.138.9"></a><var>138.9</var>amount of the employee contributions and the required employer contributions to be <br/>
<a id="pl.138.10"></a><var>138.10</var>received by the association within 14 calendar days after each pay date. If the payment is <br/>
<a id="pl.138.11"></a><var>138.11</var>less than the amount required, the employer must pay the shortage amount to the association <br/>
<a id="pl.138.12"></a><var>138.12</var>and collect reimbursement of any employee contribution shortage paid on behalf of a <br/>
<a id="pl.138.13"></a><var>138.13</var>member through subsequent payroll withholdings from the wages of the employee. <br/>
<a id="pl.138.14"></a><var>138.14</var>Payment of shortages in employee contributions and associated employer contributions, if <br/>
<a id="pl.138.15"></a><var>138.15</var>applicable, must include interest at the rate specified in section 
         <statute_ref>353.28, subdivision 5</statute_ref>, if not <br/>
<a id="pl.138.16"></a><var>138.16</var>received within 30 days following the date the amount was initially due under this section.<br/>
<a id="pl.138.17"></a><var>138.17</var>(b) The head of each department or the person's designee shall submit for each <br/>
<a id="pl.138.18"></a><var>138.18</var>pay period to the association a salary deduction report in the format prescribed by the <br/>
<a id="pl.138.19"></a><var>138.19</var>executive director. The report must be received by the association within 14 calendar <br/>
<a id="pl.138.20"></a><var>138.20</var>days after each pay date or the employer may be assessed a fine of $5 per calendar day <br/>
<a id="pl.138.21"></a><var>138.21</var>until the association receives the required data. Data required as part of salary deduction <br/>
<a id="pl.138.22"></a><var>138.22</var>reporting must include, but are not limited to:<br/>
<a id="pl.138.23"></a><var>138.23</var>(1) the legal names and Social Security numbers of employees who are members;<br/>
<a id="pl.138.24"></a><var>138.24</var>(2) the amount of each employee's salary deduction;<br/>
<a id="pl.138.25"></a><var>138.25</var>(3) the amount of salary defined in section 
         <statute_ref>353.01, subdivision 10</statute_ref>, earned in the pay <br/>
<a id="pl.138.26"></a><var>138.26</var>period from which each deduction was made, including a breakdown of the portion of the <br/>
<a id="pl.138.27"></a><var>138.27</var>salary that represents overtime pay that the employee was paid for additional hours worked <br/>
<a id="pl.138.28"></a><var>138.28</var>beyond the regularly scheduled hours, pay for unused compensatory time, and the salary <br/>
<a id="pl.138.29"></a><var>138.29</var>amount earned by a reemployed annuitant under section 
         <statute_ref>353.37, subdivision 1</statute_ref>, or 
         <statute_ref>353.371, <br/>
<a id="pl.138.30"></a><var>138.30</var>subdivision 1
         </statute_ref>, or by a disabled member under section 
         <statute_ref>353.33, subdivision 7</statute_ref> or 7a;<br/>
<a id="pl.138.31"></a><var>138.31</var>(4) the beginning and ending dates of the payroll period covered and the date of <br/>
<a id="pl.138.32"></a><var>138.32</var>actual payment; and<br/>
<a id="pl.138.33"></a><var>138.33</var>(5) adjustments or corrections covering past pay periods as authorized by the <br/>
<a id="pl.138.34"></a><var>138.34</var>executive director.<br/>
<a id="pl.138.35"></a><var>138.35</var>(c) Employers must furnish the data required for enrollment for each new or <br/>
<a id="pl.138.36"></a><var>138.36</var>reinstated employee who qualifies for membership in the general employees retirement <br/>
<a id="pl.139.1"></a><var>139.1</var>plan of the Public Employees Retirement Association or in the public employees police <br/>
<a id="pl.139.2"></a><var>139.2</var>and fire retirement plan in the format prescribed by the executive director. The required <br/>
<a id="pl.139.3"></a><var>139.3</var>enrollment data on new members must be submitted to the association prior to or <br/>
<a id="pl.139.4"></a><var>139.4</var>concurrent with the submission of the initial employee salary deduction. Also, the <br/>
<a id="pl.139.5"></a><var>139.5</var>employer shall report to the association all member employment status changes, such as <br/>
<a id="pl.139.6"></a><var>139.6</var>leaves of absence, terminations, and death, and shall report the effective dates of those <br/>
<a id="pl.139.7"></a><var>139.7</var>changes, on an ongoing basis for the payroll cycle in which they occur. If an employer <br/>
<a id="pl.139.8"></a><var>139.8</var>fails to comply with the reporting requirements under this paragraph, the executive <br/>
<a id="pl.139.9"></a><var>139.9</var>director may assess a fine of $25 for each failure if the association staff has notified the <br/>
<a id="pl.139.10"></a><var>139.10</var>employer of the noncompliance and attempted to obtain the missing data or form from the <br/>
<a id="pl.139.11"></a><var>139.11</var>employer for a period of more than three months.<br/>
<a id="pl.139.12"></a><var>139.12</var>(d) The employer shall furnish data, forms, and reports as may be required by <br/>
<a id="pl.139.13"></a><var>139.13</var>the executive director for proper administration of the retirement system. Before <br/>
<a id="pl.139.14"></a><var>139.14</var>implementing new or different computerized reporting requirements, the executive <br/>
<a id="pl.139.15"></a><var>139.15</var>director shall give appropriate advance notice to governmental subdivisions to allow time <br/>
<a id="pl.139.16"></a><var>139.16</var>for system modifications.<br/>
<a id="pl.139.17"></a><var>139.17</var>(e) Notwithstanding paragraph (a), the executive director may provide for less <br/>
<a id="pl.139.18"></a><var>139.18</var>frequent reporting and payments for small employers.<br/>
<a id="pl.139.19"></a><var>139.19</var>(f) The executive director may establish reporting procedures and methods as <br/>
<a id="pl.139.20"></a><var>139.20</var>required to review compliance by employers with the salary and contribution reporting <br/>
<a id="pl.139.21"></a><var>139.21</var>requirements in this chapter. A review of the payroll records of a participating employer <br/>
<a id="pl.139.22"></a><var>139.22</var>may be conducted by the association on a periodic basis or as a result of concerns known <br/>
<a id="pl.139.23"></a><var>139.23</var>to exist within a governmental subdivision. An employer under review must extract <br/>
<a id="pl.139.24"></a><var>139.24</var>requested data and provide records to the association after receiving reasonable advanced <br/>
<a id="pl.139.25"></a><var>139.25</var>notice. Failure to provide requested information or materials will result in the employer <br/>
<a id="pl.139.26"></a><var>139.26</var>being liable to the association for any expenses associated with a field audit, which may <br/>
<a id="pl.139.27"></a><var>139.27</var>include staff salaries, administrative expenses, and travel expenses.<br/>
<a id="pl.139.28"></a><var>139.28</var><b>EFFECTIVE DATE.</b>This section is effective January 1, 2015.<br/>
<br/>
<a id="bill.13.12.0"></a><a id="pl.139.29"></a><var>139.29</var>    Sec. 12. Minnesota Statutes 2012, section 353.37, is amended by adding a subdivision <br/>
<a id="pl.139.30"></a><var>139.30</var>to read:<br/>
<a id="pl.139.31"></a><var>139.31</var>    Subd. 6. <b>Treatment in certain divorce situations.</b> Notwithstanding other <br/>
<a id="pl.139.32"></a><var>139.32</var>subdivisions of this section, if a reemployed annuitant whose annuity is suspended or <br/>
<a id="pl.139.33"></a><var>139.33</var>reduced under this section has a former spouse receiving a portion of the annuity under <br/>
<a id="pl.139.34"></a><var>139.34</var>section 518.58, subdivision 1, the portion payable to the former spouse must not be <br/>
<a id="pl.139.35"></a><var>139.35</var>suspended or deferred.<br/>
<a id="pl.140.1"></a><var>140.1</var><b>EFFECTIVE DATE.</b>This section is effective retroactively from January 1, 2014.<br/>
<br/>
<a id="bill.13.13.0"></a><a id="pl.140.2"></a><var>140.2</var>    Sec. 13. Minnesota Statutes 2012, section 353.371, is amended by adding a subdivision <br/>
<a id="pl.140.3"></a><var>140.3</var>to read:<br/>
<a id="pl.140.4"></a><var>140.4</var>    Subd. 8. <b>Program expiration.</b> (a) Initial postretirement option employment <br/>
<a id="pl.140.5"></a><var>140.5</var>agreements must not be entered into after June 30, 2019.<br/>
<a id="pl.140.6"></a><var>140.6</var>(b) This section expires on June 30, 2024.<br/>
<a id="pl.140.7"></a><var>140.7</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.14.0"></a><a id="pl.140.8"></a><var>140.8</var>    Sec. 14. Minnesota Statutes 2013 Supplement, section 353.651, subdivision 4, is <br/>
<a id="pl.140.9"></a><var>140.9</var>amended to read:<br/>
<a id="pl.140.10"></a><var>140.10</var>    Subd. 4. <b>Early retirement.</b> (a) A person who becomes a public employees police <br/>
<a id="pl.140.11"></a><var>140.11</var>and fire retirement plan member after June 30, 2007, or a former member who is reinstated <br/>
<a id="pl.140.12"></a><var>140.12</var>as a member of the plan after that date, who is at least 50 years of age and is at least <br/>
<a id="pl.140.13"></a><var>140.13</var>partially vested under section 
         <statute_ref>353.01, subdivision 47</statute_ref>, upon the termination of public <br/>
<a id="pl.140.14"></a><var>140.14</var>service employees police and fire retirement plan membership before July 1, 2014, if the <br/>
<a id="pl.140.15"></a><var>140.15</var>person is other than a county sheriff or after January 4, 2015, if the person is a county <br/>
<a id="pl.140.16"></a><var>140.16</var>sheriff is entitled upon application to a retirement annuity equal to the normal annuity <br/>
<a id="pl.140.17"></a><var>140.17</var>calculated under subdivision 3, reduced by two-tenths of one percent for each month that <br/>
<a id="pl.140.18"></a><var>140.18</var>the member is under age 55 at the time of retirement.<br/>
<a id="pl.140.19"></a><var>140.19</var>    (b) Upon the termination of public service employees police and fire retirement <br/>
<a id="pl.140.20"></a><var>140.20</var>plan membership before July 1, 2014, if the person is other than a county sheriff or <br/>
<a id="pl.140.21"></a><var>140.21</var>upon the termination of public service before January 5, 2015, if the person is a county <br/>
<a id="pl.140.22"></a><var>140.22</var>sheriff, any public employees police and fire retirement plan member who first became <br/>
<a id="pl.140.23"></a><var>140.23</var>a member of the plan before July 1, 2007, and who is not specified in paragraph (a), <br/>
<a id="pl.140.24"></a><var>140.24</var>upon attaining at least 50 years of age with at least three years of allowable service is <br/>
<a id="pl.140.25"></a><var>140.25</var>entitled upon application to a retirement annuity equal to the normal annuity calculated <br/>
<a id="pl.140.26"></a><var>140.26</var>under subdivision 3, reduced by one-tenth of one percent for each month that the member <br/>
<a id="pl.140.27"></a><var>140.27</var>is under age 55 at the time of retirement.<br/>
<a id="pl.140.28"></a><var>140.28</var>(c) A person other than a county sheriff who is a member of the public employees <br/>
<a id="pl.140.29"></a><var>140.29</var>police and fire retirement plan on or after July 1, 2014, or a county sheriff who is a <br/>
<a id="pl.140.30"></a><var>140.30</var>member of the public employees police and fire retirement plan on or after January 5, <br/>
<a id="pl.140.31"></a><var>140.31</var>2015, and who is at least 50 years old and is at least partially vested under section 
         <statute_ref>353.01</statute_ref>, <br/>
<a id="pl.140.32"></a><var>140.32</var>subdivision 47, and whose benefit effective date is after July 1, 2014, if other than a <br/>
<a id="pl.140.33"></a><var>140.33</var>county sheriff or after January 4, 2015, if a county sheriff and on or before July 1, 2019, is <br/>
<a id="pl.140.34"></a><var>140.34</var>entitled upon application to a retirement annuity equal to the normal annuity calculated <br/>
<a id="pl.141.1"></a><var>141.1</var>under subdivision 3, reduced for each month the member is under age 55 at the time of <br/>
<a id="pl.141.2"></a><var>141.2</var>retirement by applying a blended monthly rate that is equivalent to the sum of:<br/>
<a id="pl.141.3"></a><var>141.3</var>(1) one-sixtieth of the annual rate of five percent, prorated for each month the <br/>
<a id="pl.141.4"></a><var>141.4</var>person's benefit effective date is after July 1, 2014, or after December 31, 2014, whichever <br/>
<a id="pl.141.5"></a><var>141.5</var>applies; and<br/>
<a id="pl.141.6"></a><var>141.6</var>(2) one-sixtieth of the annual rate provided under paragraph (a) or (b), whichever <br/>
<a id="pl.141.7"></a><var>141.7</var>applies, for each month the person's benefit effective date is before July 1, 2019.<br/>
<a id="pl.141.8"></a><var>141.8</var>(d) A person other than a county sheriff who is a member of the public employees <br/>
<a id="pl.141.9"></a><var>141.9</var>police and fire retirement plan on or after July 1, 2014, or a county sheriff who is a member <br/>
<a id="pl.141.10"></a><var>141.10</var>of the public employees police and fire retirement plan on or after January 5, 2015, and <br/>
<a id="pl.141.11"></a><var>141.11</var>who is at least 50 years old and is at least partially vested under section 
         <statute_ref>353.01, subdivision <br/>
<a id="pl.141.12"></a><var>141.12</var>47
         </statute_ref>, whose benefit effective date is after July 1, 2019, is entitled, upon application, to a <br/>
<a id="pl.141.13"></a><var>141.13</var>retirement annuity equal to the normal annuity calculated under subdivision 3, reduced by <br/>
<a id="pl.141.14"></a><var>141.14</var>five percent annually, prorated for each month that the member is under age 55.<br/>
<a id="pl.141.15"></a><var>141.15</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.13.15.0"></a><a id="pl.141.16"></a><var>141.16</var>    Sec. 15. Minnesota Statutes 2012, section 353D.05, subdivision 1, is amended to read:<br/>
<a id="pl.141.17"></a><var>141.17</var>    Subdivision 1. <b>Investment.</b> As further specified under this section, employing unit <br/>
<a id="pl.141.18"></a><var>141.18</var>contributions, after the deduction of an amount for administrative expenses, and individual <br/>
<a id="pl.141.19"></a><var>141.19</var>participant contributions must be remitted to invested in the participant's account or <br/>
<a id="pl.141.20"></a><var>141.20</var>accounts in investment products authorized by the association that are made available <br/>
<a id="pl.141.21"></a><var>141.21</var>for this purpose by the State Board of Investment for investment in the Minnesota <br/>
<a id="pl.141.22"></a><var>141.22</var>supplemental investment fund established by under section 11A.17 356.645.<br/>
<a id="pl.141.23"></a><var>141.23</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.16.0"></a><a id="pl.141.24"></a><var>141.24</var>    Sec. 16. Minnesota Statutes 2012, section 353D.05, is amended by adding a <br/>
<a id="pl.141.25"></a><var>141.25</var>subdivision to read:<br/>
<a id="pl.141.26"></a><var>141.26</var>    Subd. 1a. <b>Participant selection of investments.</b> (a) A plan participant may elect <br/>
<a id="pl.141.27"></a><var>141.27</var>to allocate contributions, made by and on behalf of the participant, in one or more of the <br/>
<a id="pl.141.28"></a><var>141.28</var>investment products authorized by the association to be made available under the plan, <br/>
<a id="pl.141.29"></a><var>141.29</var>by specifying the percentage of the participant's contributions to be used to purchase <br/>
<a id="pl.141.30"></a><var>141.30</var>shares in the authorized products.<br/>
<a id="pl.141.31"></a><var>141.31</var>(b) If contributions are received before the participant has made an allocation <br/>
<a id="pl.141.32"></a><var>141.32</var>election, or if the participant fails to specify an allocation, the executive director shall, <br/>
<a id="pl.141.33"></a><var>141.33</var>on behalf of that participant, purchase shares in a default investment alternative. The <br/>
<a id="pl.142.1"></a><var>142.1</var>investment option must be specified by the Public Employees Retirement Association board <br/>
<a id="pl.142.2"></a><var>142.2</var>of trustees from the designated available investment options authorized under this section.<br/>
<a id="pl.142.3"></a><var>142.3</var>(c) A participant may revise the investment allocation for subsequent purchase of <br/>
<a id="pl.142.4"></a><var>142.4</var>shares, and a participant or former participant may also change the investment options <br/>
<a id="pl.142.5"></a><var>142.5</var>selected for all or a portion of shares previously purchased.<br/>
<a id="pl.142.6"></a><var>142.6</var>(d) Any investment allocation selection authorized under this subdivision, whether <br/>
<a id="pl.142.7"></a><var>142.7</var>relating to subsequent purchases of new shares or reallocating the existing portfolio, must <br/>
<a id="pl.142.8"></a><var>142.8</var>be conducted at times and under procedures prescribed by the executive director.<br/>
<a id="pl.142.9"></a><var>142.9</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.17.0"></a><a id="pl.142.10"></a><var>142.10</var>    Sec. 17. Minnesota Statutes 2012, section 354.44, subdivision 5, is amended to read:<br/>
<a id="pl.142.11"></a><var>142.11</var>    Subd. 5. <b>Resumption of teaching service after retirement.</b> (a) Any person who <br/>
<a id="pl.142.12"></a><var>142.12</var>retired under the provisions of this chapter and has thereafter resumed teaching in any <br/>
<a id="pl.142.13"></a><var>142.13</var>employer unit to which this chapter applies is eligible to continue to receive payments <br/>
<a id="pl.142.14"></a><var>142.14</var>in accordance with the annuity except that all or a portion of the annuity payments must <br/>
<a id="pl.142.15"></a><var>142.15</var>be deferred during the calendar year immediately following the fiscal year in which the <br/>
<a id="pl.142.16"></a><var>142.16</var>person's salary from the teaching service is in an amount greater than $46,000. The <br/>
<a id="pl.142.17"></a><var>142.17</var>amount of the annuity deferral is one-half of the salary amount in excess of $46,000 and <br/>
<a id="pl.142.18"></a><var>142.18</var>must be deducted from the annuity payable for the calendar year immediately following <br/>
<a id="pl.142.19"></a><var>142.19</var>the fiscal year in which the excess amount was earned.<br/>
<a id="pl.142.20"></a><var>142.20</var>    (b) If the person is retired for only a fractional part of the fiscal year during the initial <br/>
<a id="pl.142.21"></a><var>142.21</var>year of retirement, the maximum reemployment salary exempt from triggering a deferral <br/>
<a id="pl.142.22"></a><var>142.22</var>as specified in this subdivision must be prorated for that fiscal year.<br/>
<a id="pl.142.23"></a><var>142.23</var>    (c) After a person has reached the Social Security normal retirement age, no deferral <br/>
<a id="pl.142.24"></a><var>142.24</var>requirement is applicable regardless of the amount of salary.<br/>
<a id="pl.142.25"></a><var>142.25</var>    (d) The amount of the retirement annuity deferral must be handled or disposed <br/>
<a id="pl.142.26"></a><var>142.26</var>of as provided in section 
         <statute_ref>356.47</statute_ref>.<br/>
<a id="pl.142.27"></a><var>142.27</var>    (e) For the purpose of this subdivision, salary from teaching service includes all <br/>
<a id="pl.142.28"></a><var>142.28</var>salary or income earned as a teacher as defined in section 354.05, subdivision 2, paragraph <br/>
<a id="pl.142.29"></a><var>142.29</var>(a), clause (1). Salary from teaching service also includes, but is not limited to:<br/>
<a id="pl.142.30"></a><var>142.30</var>    (1) all income for services performed as a consultant or an, independent contractor <br/>
<a id="pl.142.31"></a><var>142.31</var>for, or third-party supplier, or as a employee of a consultant, independent contractor, or <br/>
<a id="pl.142.32"></a><var>142.32</var>third-party supplier, to an employer unit covered by the provisions of this chapter; and<br/>
<a id="pl.142.33"></a><var>142.33</var>    (2) the greater of either the income received or an amount based on the rate paid with <br/>
<a id="pl.142.34"></a><var>142.34</var>respect to an administrative position, consultant, or independent contractor, or third-party <br/>
<a id="pl.142.35"></a><var>142.35</var>supplier, or as an employee of a consultant, independent contractor, or third-party supplier,<br/>
<a id="pl.143.1"></a><var>143.1</var> in an employer unit with approximately the same number of pupils and at the same level <br/>
<a id="pl.143.2"></a><var>143.2</var>as the position occupied by the person who resumes teaching service.<br/>
<a id="pl.143.3"></a><var>143.3</var>(f) Notwithstanding other paragraphs of this subdivision, if the reemployed annuitant <br/>
<a id="pl.143.4"></a><var>143.4</var>has a former spouse receiving a portion of the annuity under section 518.58, subdivision 1, <br/>
<a id="pl.143.5"></a><var>143.5</var>the portion payable to the former spouse must not be deferred.<br/>
<a id="pl.143.6"></a><var>143.6</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.18.0"></a><a id="pl.143.7"></a><var>143.7</var>    Sec. 18. Minnesota Statutes 2012, section 354.48, subdivision 6a, is amended to read:<br/>
<a id="pl.143.8"></a><var>143.8</var>    Subd. 6a. <b>Medical adviser; duties.</b> The state commissioner of health or a <br/>
<a id="pl.143.9"></a><var>143.9</var>licensed physician on the staff of the Department of Health who is designated by the <br/>
<a id="pl.143.10"></a><var>143.10</var>commissioner is the medical adviser of The executive director may contract with an <br/>
<a id="pl.143.11"></a><var>143.11</var>accredited independent organization specializing in disability determinations, licensed <br/>
<a id="pl.143.12"></a><var>143.12</var>physicians, or physicians on the staff of the commissioner of health as designated by the <br/>
<a id="pl.143.13"></a><var>143.13</var>commissioner, to be the medical advisor to the executive director. The medical adviser <br/>
<a id="pl.143.14"></a><var>143.14</var>shall designate licensed physicians, licensed chiropractors, or licensed psychologists with <br/>
<a id="pl.143.15"></a><var>143.15</var>respect to a mental impairment, who shall examine applicants for disability benefits. The <br/>
<a id="pl.143.16"></a><var>143.16</var>medical adviser shall pass upon all expert reports based on any examinations performed <br/>
<a id="pl.143.17"></a><var>143.17</var>in order to determine whether a teacher is totally and permanently disabled as defined in <br/>
<a id="pl.143.18"></a><var>143.18</var>section 
         <statute_ref>354.05, subdivision 14</statute_ref>. The medical adviser shall also investigate all health and <br/>
<a id="pl.143.19"></a><var>143.19</var>medical statements and certificates by or on behalf of a teacher in connection with a <br/>
<a id="pl.143.20"></a><var>143.20</var>disability benefit, and shall report in writing to the director setting forth any conclusions <br/>
<a id="pl.143.21"></a><var>143.21</var>and recommendations on all matters referred to the medical adviser.<br/>
<a id="pl.143.22"></a><var>143.22</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.19.0"></a><a id="pl.143.23"></a><var>143.23</var>    Sec. 19. Minnesota Statutes 2013 Supplement, section 356.415, subdivision 1c, <br/>
<a id="pl.143.24"></a><var>143.24</var>is amended to read:<br/>
<a id="pl.143.25"></a><var>143.25</var>    Subd. 1c. <b>Annual postretirement adjustments; PERA-police and fire.</b> (a) <br/>
<a id="pl.143.26"></a><var>143.26</var>Retirement annuity, disability benefit, or survivor benefit recipients of the public <br/>
<a id="pl.143.27"></a><var>143.27</var>employees police and fire retirement plan are entitled to a postretirement adjustment <br/>
<a id="pl.143.28"></a><var>143.28</var>annually on January 1, until funding stability is restored, as follows:<br/>
<a id="pl.143.29"></a><var>143.29</var>(1) for each annuitant or benefit recipient whose annuity or benefit effective date is <br/>
<a id="pl.143.30"></a><var>143.30</var>on or before June 1, 2014, who has been receiving the annuity or benefit for at least 12 <br/>
<a id="pl.143.31"></a><var>143.31</var>full months as of the immediate preceding June 30, an amount equal to one percent in <br/>
<a id="pl.143.32"></a><var>143.32</var>each year; or<br/>
<a id="pl.144.1"></a><var>144.1</var>(2) for each annuitant or benefit recipient whose annuity or benefit effective date is <br/>
<a id="pl.144.2"></a><var>144.2</var>on or before June 1, 2014, who has been receiving the annuity or benefit for at least one <br/>
<a id="pl.144.3"></a><var>144.3</var>full month, but not less than 11 months, as of the immediate preceding June 30, an amount <br/>
<a id="pl.144.4"></a><var>144.4</var>equal to 1/12 of one percent for each month of annuity or benefit receipt; and<br/>
<a id="pl.144.5"></a><var>144.5</var>(3) for each annuitant or benefit recipient whose annuity or benefit effective date is <br/>
<a id="pl.144.6"></a><var>144.6</var>after June 1, 2014, unless section 27 applies, who will have been receiving an annuity <br/>
<a id="pl.144.7"></a><var>144.7</var>or benefit for at least 36 full months as of the immediate preceding June 30, an amount <br/>
<a id="pl.144.8"></a><var>144.8</var>equal to one percent; or<br/>
<a id="pl.144.9"></a><var>144.9</var>(4) for each annuitant or benefit recipient whose annuity or benefit effective date is <br/>
<a id="pl.144.10"></a><var>144.10</var>after June 1, 2014, unless section 27 applies, who has been receiving the annuity or benefit <br/>
<a id="pl.144.11"></a><var>144.11</var>for at least 25 full months, but less than 36 months as of the immediate preceding June 30, <br/>
<a id="pl.144.12"></a><var>144.12</var>an amount equal to 1/12 of one percent for each full month of annuity or benefit receipt <br/>
<a id="pl.144.13"></a><var>144.13</var>during the fiscal year in which the annuity or benefit was effective.<br/>
<a id="pl.144.14"></a><var>144.14</var>(b) Retirement annuity, disability benefit, or survivor benefit recipients of the public <br/>
<a id="pl.144.15"></a><var>144.15</var>employees police and fire retirement plan are entitled to a postretirement adjustment <br/>
<a id="pl.144.16"></a><var>144.16</var>annually on each January 1 following the restoration of funding stability as defined under <br/>
<a id="pl.144.17"></a><var>144.17</var>paragraph (c) and during the continuation of funding stability as defined under paragraph <br/>
<a id="pl.144.18"></a><var>144.18</var>(c), as follows:<br/>
<a id="pl.144.19"></a><var>144.19</var>(1) for each annuitant or benefit recipient who has been receiving the annuity or <br/>
<a id="pl.144.20"></a><var>144.20</var>benefit for at least 36 full months as of the immediate preceding June 30, an amount <br/>
<a id="pl.144.21"></a><var>144.21</var>equal to the percentage increase in the Consumer Price Index for urban wage earners and <br/>
<a id="pl.144.22"></a><var>144.22</var>clerical workers all items index published by the Bureau of Labor Statistics of the United <br/>
<a id="pl.144.23"></a><var>144.23</var>States Department of Labor between the immediate preceding June 30 and the June 30 <br/>
<a id="pl.144.24"></a><var>144.24</var>occurring 12 months previous, but not to exceed 2.5 percent; and<br/>
<a id="pl.144.25"></a><var>144.25</var>(2) for each annuitant or benefit recipient who has been receiving the annuity <br/>
<a id="pl.144.26"></a><var>144.26</var>or benefit for at least 25 full months, but less than 36 full months, as of the immediate <br/>
<a id="pl.144.27"></a><var>144.27</var>preceding June 30, an amount equal to 1/12 of the percentage increase in the Consumer <br/>
<a id="pl.144.28"></a><var>144.28</var>Price Index for urban wage earners and clerical workers all items index published by <br/>
<a id="pl.144.29"></a><var>144.29</var>the Bureau of Labor Statistics of the United States Department of Labor between the <br/>
<a id="pl.144.30"></a><var>144.30</var>immediate preceding June 30 and the June 30 occurring 12 months previous for each full <br/>
<a id="pl.144.31"></a><var>144.31</var>month of annuity or benefit receipt during the fiscal year in which the annuity or benefit <br/>
<a id="pl.144.32"></a><var>144.32</var>was effective, but not to exceed 1/12 of 2.5 percent for each full month of annuity or <br/>
<a id="pl.144.33"></a><var>144.33</var>benefit receipt during the fiscal year in which the annuity or benefit was effective.<br/>
<a id="pl.144.34"></a><var>144.34</var>(c) Funding stability is restored when the market value of assets of the public <br/>
<a id="pl.144.35"></a><var>144.35</var>employees police and fire retirement plan equals or exceeds 90 percent of the actuarial <br/>
<a id="pl.144.36"></a><var>144.36</var>accrued liabilities of the applicable plan in the two most recent consecutive actuarial <br/>
<a id="pl.145.1"></a><var>145.1</var>valuations prepared under section 
         <statute_ref>356.215</statute_ref> and under the standards for actuarial work of <br/>
<a id="pl.145.2"></a><var>145.2</var>the Legislative Commission on Pensions and Retirement by the approved actuary retained <br/>
<a id="pl.145.3"></a><var>145.3</var>by the Public Employees Retirement Association under section 
         <statute_ref>356.214</statute_ref>.<br/>
<a id="pl.145.4"></a><var>145.4</var>(d) After having met the definition of funding stability under paragraph (c), a full <br/>
<a id="pl.145.5"></a><var>145.5</var>or prorated increase, as provided in paragraph (a), clause (1), (2), (3), or (4), whichever <br/>
<a id="pl.145.6"></a><var>145.6</var>applies, rather than adjustments under paragraph (b), is again applied in a subsequent year <br/>
<a id="pl.145.7"></a><var>145.7</var>or years if the market value of assets of the public employees police and fire retirement <br/>
<a id="pl.145.8"></a><var>145.8</var>plan equals or is less than:<br/>
<a id="pl.145.9"></a><var>145.9</var>(1) 85 percent of the actuarial accrued liabilities of the applicable plan for two <br/>
<a id="pl.145.10"></a><var>145.10</var>consecutive actuarial valuations; or<br/>
<a id="pl.145.11"></a><var>145.11</var>(2) 80 percent of the actuarial accrued liabilities of the applicable plan for the most <br/>
<a id="pl.145.12"></a><var>145.12</var>recent actuarial valuation.<br/>
<a id="pl.145.13"></a><var>145.13</var>(e) An increase in annuity or benefit payments under this section must be made <br/>
<a id="pl.145.14"></a><var>145.14</var>automatically unless written notice is filed by the annuitant or benefit recipient with the <br/>
<a id="pl.145.15"></a><var>145.15</var>executive director of the Public Employees Retirement Association requesting that the <br/>
<a id="pl.145.16"></a><var>145.16</var>increase not be made.<br/>
<a id="pl.145.17"></a><var>145.17</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.145.18"></a><var>145.18</var>and the amendments to this section expire on February 2, 2015.<br/>
<br/>
<a id="bill.13.20.0"></a><a id="pl.145.19"></a><var>145.19</var>    Sec. 20. Minnesota Statutes 2012, section 356.635, subdivision 6, is amended to read:<br/>
<a id="pl.145.20"></a><var>145.20</var>    Subd. 6. <b>Eligible retirement plan.</b> (a) An "eligible retirement plan" is:<br/>
<a id="pl.145.21"></a><var>145.21</var>(1) an individual retirement account under section 408(a) or 408A of the federal <br/>
<a id="pl.145.22"></a><var>145.22</var>Internal Revenue Code;<br/>
<a id="pl.145.23"></a><var>145.23</var>(2) an individual retirement annuity plan under section 408(b) of the federal Internal <br/>
<a id="pl.145.24"></a><var>145.24</var>Revenue Code;<br/>
<a id="pl.145.25"></a><var>145.25</var>(3) an annuity plan under section 403(a) of the federal Internal Revenue Code;<br/>
<a id="pl.145.26"></a><var>145.26</var>(4) a qualified trust plan under section 401(a) of the federal Internal Revenue Code <br/>
<a id="pl.145.27"></a><var>145.27</var>that accepts the distributee's eligible rollover distribution;<br/>
<a id="pl.145.28"></a><var>145.28</var>(5) an annuity contract under section 403(b) of the federal Internal Revenue Code;<br/>
<a id="pl.145.29"></a><var>145.29</var>(6) an eligible deferred compensation plan under section 457(b) of the federal <br/>
<a id="pl.145.30"></a><var>145.30</var>Internal Revenue Code, which is maintained by a state or local government and which <br/>
<a id="pl.145.31"></a><var>145.31</var>agrees to separately account for the amounts transferred into the plan; or<br/>
<a id="pl.145.32"></a><var>145.32</var>(7) in the case of an eligible rollover distribution to a nonspousal beneficiary, an <br/>
<a id="pl.145.33"></a><var>145.33</var>individual account or annuity treated as an inherited individual retirement account under <br/>
<a id="pl.145.34"></a><var>145.34</var>section 402(c)(11) of the federal Internal Revenue Code.<br/>
<a id="pl.146.1"></a><var>146.1</var>(b) For distributions of after-tax contributions which are not includable in gross <br/>
<a id="pl.146.2"></a><var>146.2</var>income, the after-tax portion may be transferred only to an individual retirement account <br/>
<a id="pl.146.3"></a><var>146.3</var>or annuity described in section 408(a) or (b) of the federal Internal Revenue Code, to a <br/>
<a id="pl.146.4"></a><var>146.4</var>Roth individual retirement account described in section 408A of the federal Internal <br/>
<a id="pl.146.5"></a><var>146.5</var>Revenue Code, or to a qualified plan described in either section 401(a) of the federal <br/>
<a id="pl.146.6"></a><var>146.6</var>Internal Revenue Code or 403(a) to an annuity contract described in section 403(b) of <br/>
<a id="pl.146.7"></a><var>146.7</var>the federal Internal Revenue Code, that agrees to separately account for the amounts <br/>
<a id="pl.146.8"></a><var>146.8</var>transferred, including separately accounting for the portion of the distribution which is <br/>
<a id="pl.146.9"></a><var>146.9</var>includable in gross income and the portion of the distribution which is not includable.<br/>
<a id="pl.146.10"></a><var>146.10</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.13.21.0"></a><a id="pl.146.11"></a><var>146.11</var>    Sec. 21. <b>[356.645] INVESTMENT OF VARIOUS DEFINED CONTRIBUTION </b><br/>
<a id="pl.146.12"></a><var>146.12</var><b>PLAN ASSETS.</b><br/>
<a id="pl.146.13"></a><var>146.13</var>The State Board of Investment shall determine the investments to be made available <br/>
<a id="pl.146.14"></a><var>146.14</var>to plan participants in plans defined in sections 352.965 and 352.98 and chapters 352D <br/>
<a id="pl.146.15"></a><var>146.15</var>and 353D. Investments made available to plan participants must include at least one <br/>
<a id="pl.146.16"></a><var>146.16</var>or more of the following:<br/>
<a id="pl.146.17"></a><var>146.17</var>(1) shares in the Minnesota supplemental investment fund established in section <br/>
<a id="pl.146.18"></a><var>146.18</var>11A.17;<br/>
<a id="pl.146.19"></a><var>146.19</var>(2) saving accounts in federally insured financial institutions;<br/>
<a id="pl.146.20"></a><var>146.20</var>(3) life insurance contracts, fixed annuity contracts, and variable annuity contracts <br/>
<a id="pl.146.21"></a><var>146.21</var>from companies that are subject to regulation by the commissioner of commerce;<br/>
<a id="pl.146.22"></a><var>146.22</var>(4) investment options from open-end investment companies registered under the <br/>
<a id="pl.146.23"></a><var>146.23</var>federal Investment Company Act of 1940, United States Code, title 15, sections 80a-1 <br/>
<a id="pl.146.24"></a><var>146.24</var>to 80a-64;<br/>
<a id="pl.146.25"></a><var>146.25</var>(5) investment options from a firm that is a registered investment adviser under <br/>
<a id="pl.146.26"></a><var>146.26</var>the Investment Advisers Act of 1940, United States Code, title 15, sections 80b-1 to <br/>
<a id="pl.146.27"></a><var>146.27</var>80b-21; and<br/>
<a id="pl.146.28"></a><var>146.28</var>(6) investment options of a bank as defined in United States Code, title 15, section <br/>
<a id="pl.146.29"></a><var>146.29</var>80b-2, subsection (a), paragraph (2), or a bank holding company as defined in the Bank <br/>
<a id="pl.146.30"></a><var>146.30</var>Holding Company Act of 1956, United States Code, title 12, section 1841, subsection <br/>
<a id="pl.146.31"></a><var>146.31</var>(a), paragraph (1).<br/>
<a id="pl.146.32"></a><var>146.32</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.22.0"></a><a id="pl.146.33"></a><var>146.33</var>    Sec. 22. <b>[356.646] PLAN PARTICIPANT INVESTMENT RESPONSIBILITY.</b><br/>
<a id="pl.147.1"></a><var>147.1</var>    Subdivision 1. <b>Member investment responsibility.</b> The state, State Board of <br/>
<a id="pl.147.2"></a><var>147.2</var>Investment and its executive director and staff, plan administrators and their staff, and <br/>
<a id="pl.147.3"></a><var>147.3</var>participating public employers are not liable and are not responsible for any investment <br/>
<a id="pl.147.4"></a><var>147.4</var>losses due to choices made by participants or due to qualified default investment <br/>
<a id="pl.147.5"></a><var>147.5</var>alternatives.<br/>
<a id="pl.147.6"></a><var>147.6</var>    Subd. 2. <b>Application.</b> This section applies to the:<br/>
<a id="pl.147.7"></a><var>147.7</var>    (1) Minnesota state deferred compensation plan, established under section 352.965;<br/>
<a id="pl.147.8"></a><var>147.8</var>    (2) health care savings plan, established under section 352.98;<br/>
<a id="pl.147.9"></a><var>147.9</var>    (3) unclassified employees retirement program, established under chapter 352D;<br/>
<a id="pl.147.10"></a><var>147.10</var>    (4) public employees defined contribution plan, established under chapter 353D;<br/>
<a id="pl.147.11"></a><var>147.11</var>    (5) individual retirement account plan, established under chapter 354B;<br/>
<a id="pl.147.12"></a><var>147.12</var>    (6) higher education supplemental retirement plan, established under chapter 354C; <br/>
<a id="pl.147.13"></a><var>147.13</var>and<br/>
<a id="pl.147.14"></a><var>147.14</var>    (7) Arts Board and Humanities Commission individual retirement account plan, <br/>
<a id="pl.147.15"></a><var>147.15</var>established under chapter 354D.<br/>
<a id="pl.147.16"></a><var>147.16</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.23.0"></a><a id="pl.147.17"></a><var>147.17</var>    Sec. 23. Minnesota Statutes 2013 Supplement, section 356.91, is amended to read:<br/>
<a id="pl.147.18"></a><var>147.18</var><b>356.91 VOLUNTARY MEMBERSHIP DUES DEDUCTION.</b><br/>
<a id="pl.147.19"></a><var>147.19</var>    (a) Upon written authorization of a person receiving an annuity from a public pension <br/>
<a id="pl.147.20"></a><var>147.20</var>fund administered by the Minnesota State Retirement System or, the Public Employees <br/>
<a id="pl.147.21"></a><var>147.21</var>Retirement Association, or the Teachers Retirement Association, the executive director of <br/>
<a id="pl.147.22"></a><var>147.22</var>the public pension fund shall deduct from the retirement annuity an amount requested by <br/>
<a id="pl.147.23"></a><var>147.23</var>the annuitant to be paid as membership dues or other payments to any labor organization <br/>
<a id="pl.147.24"></a><var>147.24</var>that is an exclusive bargaining agent representing public employees or an organization <br/>
<a id="pl.147.25"></a><var>147.25</var>representing retired public employees of which the annuitant is a member and shall, on a <br/>
<a id="pl.147.26"></a><var>147.26</var>monthly basis, pay the amount to the organization so designated by the annuitant.<br/>
<a id="pl.147.27"></a><var>147.27</var>    (b) A pension fund and the plan fiduciaries which authorize or administer deductions <br/>
<a id="pl.147.28"></a><var>147.28</var>of dues payments under paragraph (a) are not liable for failure to properly deduct or transmit <br/>
<a id="pl.147.29"></a><var>147.29</var>the dues amounts, provided that the fund and the fiduciaries have acted in good faith.<br/>
<a id="pl.147.30"></a><var>147.30</var>    (c) Any labor organization that is an exclusive bargaining agent representing public <br/>
<a id="pl.147.31"></a><var>147.31</var>employees or an organization representing retired public employees may conduct blind <br/>
<a id="pl.147.32"></a><var>147.32</var>mailings to the annuitants of a retirement system specified in paragraph (a) by requesting <br/>
<a id="pl.147.33"></a><var>147.33</var>that the retirement system mail voluntary membership information and dues deduction <br/>
<a id="pl.147.34"></a><var>147.34</var>cards to annuitants. Such mailings shall not be for the purpose of supporting or opposing <br/>
<a id="pl.148.1"></a><var>148.1</var>any candidate, political party, or ballot measure. The organization requesting the blind <br/>
<a id="pl.148.2"></a><var>148.2</var>mailing shall pay all costs associated with these mailings, including but not limited to <br/>
<a id="pl.148.3"></a><var>148.3</var>copying, labeling, mailing, postage, and record keeping. In lieu of administering a blind <br/>
<a id="pl.148.4"></a><var>148.4</var>mailing in-house, a retirement system may transmit annuitant data necessary for conducting <br/>
<a id="pl.148.5"></a><var>148.5</var>a blind mailing to a mail center pursuant to a secure data share agreement with the mail <br/>
<a id="pl.148.6"></a><var>148.6</var>center which provides that neither the organization nor any other entity shall have direct <br/>
<a id="pl.148.7"></a><var>148.7</var>access to the data transmitted by the retirement system. The retirement system shall have <br/>
<a id="pl.148.8"></a><var>148.8</var>no obligation to approve or disapprove, or otherwise be responsible for, the content of the <br/>
<a id="pl.148.9"></a><var>148.9</var>mailings. No organization shall conduct more than two blind mailings per calendar year.<br/>
<a id="pl.148.10"></a><var>148.10</var><b>EFFECTIVE DATE.</b>This section is effective July 2, 2015.<br/>
<br/>
<a id="bill.13.24.0"></a><a id="pl.148.11"></a><var>148.11</var>    Sec. 24. Minnesota Statutes 2013 Supplement, section 363A.36, subdivision 1, is <br/>
<a id="pl.148.12"></a><var>148.12</var>amended to read:<br/>
<a id="pl.148.13"></a><var>148.13</var>    Subdivision 1. <b>Scope of application.</b> (a) For all contracts for goods and services in <br/>
<a id="pl.148.14"></a><var>148.14</var>excess of $100,000, no department or agency of the state shall accept any bid or proposal <br/>
<a id="pl.148.15"></a><var>148.15</var>for a contract or agreement from any business having more than 40 full-time employees <br/>
<a id="pl.148.16"></a><var>148.16</var>within this state on a single working day during the previous 12 months, unless the <br/>
<a id="pl.148.17"></a><var>148.17</var>commissioner is in receipt of the business' affirmative action plan for the employment of <br/>
<a id="pl.148.18"></a><var>148.18</var>minority persons, women, and qualified disabled individuals. No department or agency of <br/>
<a id="pl.148.19"></a><var>148.19</var>the state shall execute any such contract or agreement until the affirmative action plan <br/>
<a id="pl.148.20"></a><var>148.20</var>has been approved by the commissioner. Receipt of a certificate of compliance issued by <br/>
<a id="pl.148.21"></a><var>148.21</var>the commissioner shall signify that a firm or business has an affirmative action plan that <br/>
<a id="pl.148.22"></a><var>148.22</var>has been approved by the commissioner. A certificate shall be valid for a period of four <br/>
<a id="pl.148.23"></a><var>148.23</var>years. A municipality as defined in section 
         <statute_ref>466.01, subdivision 1</statute_ref>, that receives state <br/>
<a id="pl.148.24"></a><var>148.24</var>money for any reason is encouraged to prepare and implement an affirmative action plan <br/>
<a id="pl.148.25"></a><var>148.25</var>for the employment of minority persons, women, and the qualified disabled and submit the <br/>
<a id="pl.148.26"></a><var>148.26</var>plan to the commissioner.<br/>
<a id="pl.148.27"></a><var>148.27</var>    (b) This paragraph applies to a contract for goods or services in excess of $100,000 <br/>
<a id="pl.148.28"></a><var>148.28</var>to be entered into between a department or agency of the state and a business that is <br/>
<a id="pl.148.29"></a><var>148.29</var>not subject to paragraph (a), but that has more than 40 full-time employees on a single <br/>
<a id="pl.148.30"></a><var>148.30</var>working day during the previous 12 months in the state where the business has its primary <br/>
<a id="pl.148.31"></a><var>148.31</var>place of business. A department or agency of the state may not execute a contract or <br/>
<a id="pl.148.32"></a><var>148.32</var>agreement with a business covered by this paragraph unless the business has a certificate <br/>
<a id="pl.148.33"></a><var>148.33</var>of compliance issued by the commissioner under paragraph (a) or the business certifies <br/>
<a id="pl.148.34"></a><var>148.34</var>that it is in compliance with federal affirmative action requirements.<br/>
<a id="pl.149.1"></a><var>149.1</var>    (c) This section does not apply to contracts entered into by the State Board of <br/>
<a id="pl.149.2"></a><var>149.2</var>Investment for investment options under section 
         <statute_ref>352.965, subdivision 4</statute_ref> 356.645.<br/>
<a id="pl.149.3"></a><var>149.3</var>    (d) The commissioner shall issue a certificate of compliance or notice of denial <br/>
<a id="pl.149.4"></a><var>149.4</var>within 15 days of the application submitted by the business or firm.<br/>
<a id="pl.149.5"></a><var>149.5</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.13.25.0"></a><a id="pl.149.6"></a><var>149.6</var>    Sec. 25. Laws 2009, chapter 169, article 5, section 2, the effective date, as amended by <br/>
<a id="pl.149.7"></a><var>149.7</var>Laws 2010, chapter 359, article 5, section 27, is amended to read:<br/>
<a id="pl.149.8"></a><var>149.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment <br/>
<a id="pl.149.9"></a><var>149.9</var>and expires on June 30, 2014. Individuals must not be appointed to a postretirement <br/>
<a id="pl.149.10"></a><var>149.10</var>option position after that date.<br/>
<a id="pl.149.11"></a><var>149.11</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.13.26.0"></a><a id="pl.149.12"></a><var>149.12</var>    Sec. 26. <b>COUNTY SHERIFF TEMPORARY EARLY RETIREMENT </b><br/>
<a id="pl.149.13"></a><var>149.13</var><b>PROVISION.</b><br/>
<a id="pl.149.14"></a><var>149.14</var>    Subdivision 1. <b>Application.</b> (a) This section applies to a county sheriff who:<br/>
<a id="pl.149.15"></a><var>149.15</var>(1) terminates membership in the public employees police and fire retirement plan <br/>
<a id="pl.149.16"></a><var>149.16</var>after June 30, 2014, and by the final day in office in January 2015 as reported by the county;<br/>
<a id="pl.149.17"></a><var>149.17</var>(2) is at least age 50 but less than age 55 on the date of termination;<br/>
<a id="pl.149.18"></a><var>149.18</var>(3) is at least partially vested under Minnesota Statutes, section 353.01, subdivision <br/>
<a id="pl.149.19"></a><var>149.19</var>47, and meets all applicable requirements for receipt of an early retirement annuity from <br/>
<a id="pl.149.20"></a><var>149.20</var>the plan; and<br/>
<a id="pl.149.21"></a><var>149.21</var>(4) has as the benefit effective date the day following termination of public <br/>
<a id="pl.149.22"></a><var>149.22</var>employees police and fire retirement plan membership.<br/>
<a id="pl.149.23"></a><var>149.23</var>(b) Notwithstanding any provision of Minnesota Statutes, section 353.651, <br/>
<a id="pl.149.24"></a><var>149.24</var>subdivision 4, to the contrary, the early retirement annuity applicable to an eligible person <br/>
<a id="pl.149.25"></a><var>149.25</var>under paragraph (a) is the applicable benefit specified in subdivision 2.<br/>
<a id="pl.149.26"></a><var>149.26</var>    Subd. 2. <b>Early retirement annuity.</b> (a) If an eligible person became a public <br/>
<a id="pl.149.27"></a><var>149.27</var>employees police and fire retirement plan member after June 30, 2007, or was a former <br/>
<a id="pl.149.28"></a><var>149.28</var>member who was reinstated as a member after that date, the person is entitled, upon <br/>
<a id="pl.149.29"></a><var>149.29</var>application, to the normal annuity calculated under Minnesota Statutes, section 353.651, <br/>
<a id="pl.149.30"></a><var>149.30</var>subdivision 3, reduced by two-tenths of one percent for each month that the member <br/>
<a id="pl.149.31"></a><var>149.31</var>is under age 55 at the time of retirement.<br/>
<a id="pl.149.32"></a><var>149.32</var>(b) If an eligible person became a public employees police and fire retirement plan <br/>
<a id="pl.149.33"></a><var>149.33</var>member before July 1, 2007, and is covered under paragraph (a), the person is entitled, <br/>
<a id="pl.150.1"></a><var>150.1</var>upon application, to the normal annuity calculated under Minnesota Statutes, section <br/>
<a id="pl.150.2"></a><var>150.2</var>353.651, subdivision 3, reduced by one-tenth of one percent for each month that the <br/>
<a id="pl.150.3"></a><var>150.3</var>member is under age 55 at the time of retirement.<br/>
<a id="pl.150.4"></a><var>150.4</var>(c) If an eligible person is not fully vested, the annuity computed under this section <br/>
<a id="pl.150.5"></a><var>150.5</var>must be reduced accordingly.<br/>
<a id="pl.150.6"></a><var>150.6</var>    Subd. 3. <b>Expiration.</b> This section expires January 1, 2016.<br/>
<a id="pl.150.7"></a><var>150.7</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.13.27.0"></a><a id="pl.150.8"></a><var>150.8</var>    Sec. 27. <b>COUNTY SHERIFF TEMPORARY PROVISION; APPLICATION OF </b><br/>
<a id="pl.150.9"></a><var>150.9</var><b>POSTRETIREMENT ADJUSTMENT WAITING PERIOD.</b><br/>
<a id="pl.150.10"></a><var>150.10</var>    Subdivision 1. <b>Application.</b> Notwithstanding any provision of Minnesota Statutes, <br/>
<a id="pl.150.11"></a><var>150.11</var>section 356.415, subdivision 1c, paragraph (a), to the contrary, this section applies to a <br/>
<a id="pl.150.12"></a><var>150.12</var>county sheriff who:<br/>
<a id="pl.150.13"></a><var>150.13</var>(1) terminates membership in the public employees police and fire retirement plan <br/>
<a id="pl.150.14"></a><var>150.14</var>after June 30, 2014, and by the final day in office in January 2015 as reported by the county;<br/>
<a id="pl.150.15"></a><var>150.15</var>(2) is at least age 50 on the date of membership termination;<br/>
<a id="pl.150.16"></a><var>150.16</var>(3) is at least partially vested under Minnesota Statutes, section 353.01, subdivision <br/>
<a id="pl.150.17"></a><var>150.17</var>47, and meets all applicable requirements for receipt of a retirement annuity from the <br/>
<a id="pl.150.18"></a><var>150.18</var>public employees police and fire retirement plan; and<br/>
<a id="pl.150.19"></a><var>150.19</var>(4) has as the effective date for the commencement of the retirement annuity the day <br/>
<a id="pl.150.20"></a><var>150.20</var>following the date on which termination of public employees police and fire retirement <br/>
<a id="pl.150.21"></a><var>150.21</var>plan membership occurs.<br/>
<a id="pl.150.22"></a><var>150.22</var>    Subd. 2. <b>Waiting period for initial postretirement adjustment eligibility.</b> A <br/>
<a id="pl.150.23"></a><var>150.23</var>person to whom subdivision 1 applies is eligible to receive the initial postretirement <br/>
<a id="pl.150.24"></a><var>150.24</var>adjustment under Minnesota Statutes, section 356.415, subdivision 1c, paragraph (a), <br/>
<a id="pl.150.25"></a><var>150.25</var>clause (1) or (2), whichever applies, rather than under Minnesota Statutes, section <br/>
<a id="pl.150.26"></a><var>150.26</var>356.415, subdivision 1c, paragraph (a), clause (3) or (4).<br/>
<a id="pl.150.27"></a><var>150.27</var>    Subd. 3. <b>Expiration.</b> This section expires February 2, 2015.<br/>
<a id="pl.150.28"></a><var>150.28</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.13.28.0"></a><a id="pl.150.29"></a><var>150.29</var>    Sec. 28. <b> REPEALER.</b><br/>
<a id="pl.150.30"></a><var>150.30</var>Minnesota Statutes 2012, sections 11A.17, subdivision 4; 352.965, subdivision 5; <br/>
<a id="pl.150.31"></a><var>150.31</var>352D.04, subdivision 1; and 353D.05, subdivision 2, are repealed.<br/>
<a id="pl.150.32"></a><var>150.32</var><b>EFFECTIVE DATE.</b>This section is effective July 1, 2014.<br/>
<br/>
<a id="bill.14.0.0"></a>

<a id="bill.14.1.0"></a><a id="pl.151.3"></a><var>151.3</var>    Section 1. <b>PERA-POLICE AND FIRE; DISABILITY BENEFIT APPLICATION </b><br/>
<a id="pl.151.4"></a><var>151.4</var><b>DEADLINE EXTENSION FOR CERTAIN WADENA COUNTY SHERIFF'S </b><br/>
<a id="pl.151.5"></a><var>151.5</var><b>DEPUTIES.</b><br/>
<a id="pl.151.6"></a><var>151.6</var>(a) Notwithstanding any provision of Minnesota Statutes, section 353.031 or <br/>
<a id="pl.151.7"></a><var>151.7</var>353.656, to the contrary, an eligible person described in paragraph (b) is authorized to <br/>
<a id="pl.151.8"></a><var>151.8</var>file an application for a disability benefit from the public employees police and fire <br/>
<a id="pl.151.9"></a><var>151.9</var>retirement plan retroactively from the date of a shooting event in which the person was <br/>
<a id="pl.151.10"></a><var>151.10</var>involved on March 11, 2006.<br/>
<a id="pl.151.11"></a><var>151.11</var>(b) An eligible person is a person who:<br/>
<a id="pl.151.12"></a><var>151.12</var>(1) was born on August 11, 1971;<br/>
<a id="pl.151.13"></a><var>151.13</var>(2) was initially employed as a deputy sheriff by Wadena County on March 9, 2006;<br/>
<a id="pl.151.14"></a><var>151.14</var>(3) was, by virtue of law enforcement employment, a member of the public <br/>
<a id="pl.151.15"></a><var>151.15</var>employees police and fire retirement plan;<br/>
<a id="pl.151.16"></a><var>151.16</var>(4) was involved in the nonfatal shooting incident of a gun-wielding suspect near <br/>
<a id="pl.151.17"></a><var>151.17</var>Sebelia, Minnesota, on March 11, 2006, without being physically injured;<br/>
<a id="pl.151.18"></a><var>151.18</var>(5) resigned from the Wadena County sheriff's department in October 2010 after <br/>
<a id="pl.151.19"></a><var>151.19</var>being treated for mental health issues for the prior six months; and<br/>
<a id="pl.151.20"></a><var>151.20</var>(6) failed to apply for a mental health-related disability benefit by the November 11, <br/>
<a id="pl.151.21"></a><var>151.21</var>2007, deadline for applying for a disability benefit from the public employees police and <br/>
<a id="pl.151.22"></a><var>151.22</var>fire retirement plan based on the March 11, 2006, shooting incident.<br/>
<a id="pl.151.23"></a><var>151.23</var>(c) If the eligible person files a disability benefit application under paragraph (a) <br/>
<a id="pl.151.24"></a><var>151.24</var>on or before the expiration date specified in paragraph (d), and if the eligible person is <br/>
<a id="pl.151.25"></a><var>151.25</var>determined by the Public Employees Retirement Association as being disabled while in <br/>
<a id="pl.151.26"></a><var>151.26</var>the line of duty as a result of the March 11, 2006, shooting incident, the eligible person <br/>
<a id="pl.151.27"></a><var>151.27</var>is entitled to receive a duty disability benefit from the public employees police and fire <br/>
<a id="pl.151.28"></a><var>151.28</var>retirement plan under Minnesota Statutes, section 353.656, subdivision 1 or 1a, including <br/>
<a id="pl.151.29"></a><var>151.29</var>retroactive benefit payments from April 1, 2006.<br/>
<a id="pl.151.30"></a><var>151.30</var>(d) The authority for the eligible person to file a disability benefit application under <br/>
<a id="pl.151.31"></a><var>151.31</var>paragraph (a) expires on July 1, 2015.<br/>
<a id="pl.151.32"></a><var>151.32</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.14.2.0"></a><a id="pl.151.33"></a><var>151.33</var>    Sec. 2. <b>PERMITTING THE PURCHASE OF SALARY CREDIT BY CERTAIN </b><br/>
<a id="pl.151.34"></a><var>151.34</var><b>CURRENT AND FORMER CITY OF DULUTH OR DULUTH AIRPORT </b><br/>
<a id="pl.152.1"></a><var>152.1</var><b>AUTHORITY EMPLOYEES COVERED BY THE GENERAL EMPLOYEES </b><br/>
<a id="pl.152.2"></a><var>152.2</var><b>RETIREMENT PLAN OR THE PUBLIC EMPLOYEES POLICE AND FIRE </b><br/>
<a id="pl.152.3"></a><var>152.3</var><b>RETIREMENT PLAN.</b><br/>
<a id="pl.152.4"></a><var>152.4</var>    Subdivision 1. <b>Authorization.</b> Due to a Court of Appeals determination that certain <br/>
<a id="pl.152.5"></a><var>152.5</var>salary-supplement payments, provided to certain city of Duluth and Duluth Airport <br/>
<a id="pl.152.6"></a><var>152.6</var>Authority employees and deposited in the employee's deferred compensation account, <br/>
<a id="pl.152.7"></a><var>152.7</var>should have been considered salary for pension purposes, an eligible person is authorized <br/>
<a id="pl.152.8"></a><var>152.8</var>to receive the treatment specified in this section if the eligible person chooses to make the <br/>
<a id="pl.152.9"></a><var>152.9</var>employee contribution equivalent payment specified in this section.<br/>
<a id="pl.152.10"></a><var>152.10</var>    Subd. 2. <b>Eligible person.</b> (a) An eligible person:<br/>
<a id="pl.152.11"></a><var>152.11</var>(1) is a current or former employee of the city of Duluth or the Duluth Airport <br/>
<a id="pl.152.12"></a><var>152.12</var>Authority, employed by that governmental subdivision between August 1, 2007, and <br/>
<a id="pl.152.13"></a><var>152.13</var>December 31, 2011;<br/>
<a id="pl.152.14"></a><var>152.14</var>(2) was a participating member of the general employees retirement plan of the <br/>
<a id="pl.152.15"></a><var>152.15</var>Public Employees Retirement Association or the public employees police and fire <br/>
<a id="pl.152.16"></a><var>152.16</var>retirement plan for that employment; and<br/>
<a id="pl.152.17"></a><var>152.17</var>(3) had employer-paid amounts made to the person's deferred compensation account <br/>
<a id="pl.152.18"></a><var>152.18</var>for which contributions were not made to the applicable Public Employees Retirement <br/>
<a id="pl.152.19"></a><var>152.19</var>Association plan fund between August 1, 2007, and December 31, 2011, or the date of <br/>
<a id="pl.152.20"></a><var>152.20</var>the employee's termination of public service under Minnesota Statutes, section 353.01, <br/>
<a id="pl.152.21"></a><var>152.21</var>subdivision 11a, whichever is earlier, due to an erroneous application of law under which <br/>
<a id="pl.152.22"></a><var>152.22</var>the Public Employees Retirement Association executive director and board concluded <br/>
<a id="pl.152.23"></a><var>152.23</var>that these employer-paid amounts were not salary for pension purposes under Minnesota <br/>
<a id="pl.152.24"></a><var>152.24</var>Statutes, section 353.01, subdivision 10.<br/>
<a id="pl.152.25"></a><var>152.25</var>(b) A surviving spouse, as defined in this paragraph, is an eligible person for <br/>
<a id="pl.152.26"></a><var>152.26</var>purposes of this section. A surviving spouse means:<br/>
<a id="pl.152.27"></a><var>152.27</var>(1) the surviving spouse of an eligible person as defined in paragraph (a) who, at <br/>
<a id="pl.152.28"></a><var>152.28</var>the time of the eligible person's death, was a deferred annuitant of a Public Employees <br/>
<a id="pl.152.29"></a><var>152.29</var>Retirement Association plan specified in this section;<br/>
<a id="pl.152.30"></a><var>152.30</var>(2) the surviving spouse of an eligible person as defined in paragraph (a) receiving <br/>
<a id="pl.152.31"></a><var>152.31</var>benefits under a joint and survivor annuity from a Public Employees Retirement <br/>
<a id="pl.152.32"></a><var>152.32</var>Association plan specified in this section; or<br/>
<a id="pl.152.33"></a><var>152.33</var>(3) the surviving spouse of an eligible person as defined in paragraph (a) receiving a <br/>
<a id="pl.152.34"></a><var>152.34</var>survivor benefit under Minnesota Statutes, section 353.657.<br/>
<a id="pl.152.35"></a><var>152.35</var>    Subd. 3. <b>Employee contributions.</b> An eligible person may make payment of an <br/>
<a id="pl.152.36"></a><var>152.36</var>employee contribution equivalent amount to the fund of the general employees retirement <br/>
<a id="pl.153.1"></a><var>153.1</var>plan of the Public Employees Retirement Association or the public employees police <br/>
<a id="pl.153.2"></a><var>153.2</var>and fire retirement plan, whichever provided the coverage. The employee contribution <br/>
<a id="pl.153.3"></a><var>153.3</var>equivalent amount is the amount of employee contributions that would have been made <br/>
<a id="pl.153.4"></a><var>153.4</var>by the employee based on the employer-paid amounts made to the person's deferred <br/>
<a id="pl.153.5"></a><var>153.5</var>compensation account for the period specified in subdivision 2, and the employee <br/>
<a id="pl.153.6"></a><var>153.6</var>contribution rates to the applicable Public Employees Retirement Association plan during <br/>
<a id="pl.153.7"></a><var>153.7</var>that period. If an employee contribution equivalent amount is paid, it must be made in <br/>
<a id="pl.153.8"></a><var>153.8</var>full and in a lump sum.<br/>
<a id="pl.153.9"></a><var>153.9</var>    Subd. 4. <b>Employer contributions.</b> (a) If an eligible person makes the employee <br/>
<a id="pl.153.10"></a><var>153.10</var>equivalent contribution under subdivision 3, the city of Duluth or the Duluth Airport <br/>
<a id="pl.153.11"></a><var>153.11</var>Authority, whichever is the applicable employing unit, may make the corresponding <br/>
<a id="pl.153.12"></a><var>153.12</var>employer contributions, plus any employer supplemental and employer additional <br/>
<a id="pl.153.13"></a><var>153.13</var>contributions required by law during the applicable time period.<br/>
<a id="pl.153.14"></a><var>153.14</var>(b) Any contributions specified under this subdivision must be based on the <br/>
<a id="pl.153.15"></a><var>153.15</var>employer-paid amounts referred to in subdivision 2, and the contribution rates applicable <br/>
<a id="pl.153.16"></a><var>153.16</var>during the time period for regular employer contributions, and any employer supplemental <br/>
<a id="pl.153.17"></a><var>153.17</var>and employer additional contributions, if applicable.<br/>
<a id="pl.153.18"></a><var>153.18</var>(c) Within 30 days of receipt by the executive director of the Public Employees <br/>
<a id="pl.153.19"></a><var>153.19</var>Retirement Association of employee equivalent contributions under subdivision 3, <br/>
<a id="pl.153.20"></a><var>153.20</var>the executive director shall notify the city of Duluth or the Duluth Airport Authority, <br/>
<a id="pl.153.21"></a><var>153.21</var>whichever is the applicable employer, of amounts due under this subdivision. If the <br/>
<a id="pl.153.22"></a><var>153.22</var>employer chooses to make the payment specified in this subdivision, payment shall be <br/>
<a id="pl.153.23"></a><var>153.23</var>remitted by the applicable employer to the executive director for deposit in the applicable <br/>
<a id="pl.153.24"></a><var>153.24</var>fund within 30 days of notification. If payment is not made in full within that time period, <br/>
<a id="pl.153.25"></a><var>153.25</var>the executive director shall collect the necessary amounts by applying Minnesota Statutes, <br/>
<a id="pl.153.26"></a><var>153.26</var>section 353.28, subdivision 6.<br/>
<a id="pl.153.27"></a><var>153.27</var>    Subd. 5. <b>Benefit adjustments.</b> Upon receipt of the applicable employee equivalent <br/>
<a id="pl.153.28"></a><var>153.28</var>contribution under subdivision 3 from an eligible person, the executive director shall <br/>
<a id="pl.153.29"></a><var>153.29</var>revise the records of the Public Employees Retirement Association and grant the person <br/>
<a id="pl.153.30"></a><var>153.30</var>the additional salary credit. If a retirement, disability, or survivor annuity has commenced, <br/>
<a id="pl.153.31"></a><var>153.31</var>the executive director must adjust the benefit being paid to include in the calculation the <br/>
<a id="pl.153.32"></a><var>153.32</var>additional salary on which contributions were paid, and the adjusted benefit must be paid <br/>
<a id="pl.153.33"></a><var>153.33</var>retroactive from the effective date of the initial benefit payment under the annuity.<br/>
<a id="pl.153.34"></a><var>153.34</var>    Subd. 6. <b>Restrictions.</b> This section does not apply if service credit and other rights <br/>
<a id="pl.153.35"></a><var>153.35</var>under the plan were forfeited by taking a refund.<br/>
<a id="pl.154.1"></a><var>154.1</var>    Subd. 7. <b>Treatment of interest.</b> Notwithstanding any provision in Minnesota <br/>
<a id="pl.154.2"></a><var>154.2</var>Statutes, chapter 353, to the contrary, all payments specified in this section made by an <br/>
<a id="pl.154.3"></a><var>154.3</var>eligible person to the executive director for deposit in the applicable Public Employees <br/>
<a id="pl.154.4"></a><var>154.4</var>Retirement Association fund are to be made without interest. Any payments required from <br/>
<a id="pl.154.5"></a><var>154.5</var>the employer under this section are also without interest, provided the employer makes <br/>
<a id="pl.154.6"></a><var>154.6</var>the payment to the executive director within 30 days of notification. Interest shall be <br/>
<a id="pl.154.7"></a><var>154.7</var>charged, as specified in Minnesota Statutes, section 353.28, on any employer obligations <br/>
<a id="pl.154.8"></a><var>154.8</var>not paid within the 30-day period.<br/>
<a id="pl.154.9"></a><var>154.9</var>    Subd. 8. <b>Notification; counseling.</b> The executive director shall notify all active <br/>
<a id="pl.154.10"></a><var>154.10</var>members, deferred members, retirees, and survivors to whom this section may apply and <br/>
<a id="pl.154.11"></a><var>154.11</var>shall provide counseling regarding the implications of this section, including payment <br/>
<a id="pl.154.12"></a><var>154.12</var>requirements and likely adjustments in current or future benefit amounts if employee <br/>
<a id="pl.154.13"></a><var>154.13</var>equivalent contributions as specified in this section are made.<br/>
<a id="pl.154.14"></a><var>154.14</var>    Subd. 9. <b>Expiration of salary credit purchase authority.</b> Payment of employee <br/>
<a id="pl.154.15"></a><var>154.15</var>contribution equivalent amounts, as authorized under this section, is prohibited after <br/>
<a id="pl.154.16"></a><var>154.16</var>October 31, 2014.<br/>
<a id="pl.154.17"></a><var>154.17</var>    Subd. 10. <b>Ratification.</b> Actions taken before the effective date of this section by <br/>
<a id="pl.154.18"></a><var>154.18</var>the executive director and board of the Public Employees Retirement Association, the <br/>
<a id="pl.154.19"></a><var>154.19</var>city of Duluth, the Duluth Airport Authority, and eligible persons which are otherwise <br/>
<a id="pl.154.20"></a><var>154.20</var>consistent with this section are ratified.<br/>
<a id="pl.154.21"></a><var>154.21</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.14.3.0"></a><a id="pl.154.22"></a><var>154.22</var>    Sec. 3. <b>PERA-GENERAL; HENNEPIN COUNTY ELECTED SERVICE </b><br/>
<a id="pl.154.23"></a><var>154.23</var><b>CREDIT PURCHASE.</b><br/>
<a id="pl.154.24"></a><var>154.24</var>(a) Notwithstanding any provision of Minnesota Statutes, chapters 353 and 353D, <br/>
<a id="pl.154.25"></a><var>154.25</var>or other law to the contrary, an eligible person described in paragraph (b) is entitled to <br/>
<a id="pl.154.26"></a><var>154.26</var>purchase allowable service credit from the coordinated program of the general employees <br/>
<a id="pl.154.27"></a><var>154.27</var>retirement plan of the Public Employees Retirement Association for the period of service <br/>
<a id="pl.154.28"></a><var>154.28</var>as an elected county commissioner for Hennepin County that is not otherwise covered <br/>
<a id="pl.154.29"></a><var>154.29</var>under Minnesota Statutes, chapter 353, if the eligible person makes the payment required <br/>
<a id="pl.154.30"></a><var>154.30</var>under paragraph (d).<br/>
<a id="pl.154.31"></a><var>154.31</var>(b) An eligible person is a person who:<br/>
<a id="pl.154.32"></a><var>154.32</var>(1) was born on November 18, 1946; and<br/>
<a id="pl.154.33"></a><var>154.33</var>(2) was first elected as a Hennepin County commissioner in November 1978 and <br/>
<a id="pl.154.34"></a><var>154.34</var>was sworn in as a commissioner on January 2, 1979.<br/>
<a id="pl.155.1"></a><var>155.1</var>(c) If the eligible person described in paragraph (b) elects to participate in the general <br/>
<a id="pl.155.2"></a><var>155.2</var>employees retirement plan of the Public Employees Retirement Association governed by <br/>
<a id="pl.155.3"></a><var>155.3</var>Minnesota Statutes, chapter 353, effective on the first day of the month next following the <br/>
<a id="pl.155.4"></a><var>155.4</var>effective date of this section, the eligible person may apply to the executive director of <br/>
<a id="pl.155.5"></a><var>155.5</var>the Public Employees Retirement Association to make the service credit purchase under <br/>
<a id="pl.155.6"></a><var>155.6</var>this section. The application must be in writing and must be accompanied with necessary <br/>
<a id="pl.155.7"></a><var>155.7</var>documentation of the applicability of this section and of any other relevant information <br/>
<a id="pl.155.8"></a><var>155.8</var>that the executive director may require.<br/>
<a id="pl.155.9"></a><var>155.9</var>(d) Allowable service credit under Minnesota Statutes, section 353.01, subdivision <br/>
<a id="pl.155.10"></a><var>155.10</var>16, must be granted by the coordinated program of the general employees retirement plan <br/>
<a id="pl.155.11"></a><var>155.11</var>of the Public Employees Retirement Association to the eligible person upon the receipt <br/>
<a id="pl.155.12"></a><var>155.12</var>of the prior service credit purchase payment amount required under Minnesota Statutes, <br/>
<a id="pl.155.13"></a><var>155.13</var>section 356.551. The payment obligation must be offset first by a transfer of the account <br/>
<a id="pl.155.14"></a><var>155.14</var>balance to the credit of the eligible person from the defined contribution plan of the Public <br/>
<a id="pl.155.15"></a><var>155.15</var>Employees Retirement Association. If that transfer is insufficient, the balance of the <br/>
<a id="pl.155.16"></a><var>155.16</var>service credit purchase payment may be made from amounts to the credit of the eligible <br/>
<a id="pl.155.17"></a><var>155.17</var>person under Minnesota Statutes, section 352.965 or 383B.46.<br/>
<a id="pl.155.18"></a><var>155.18</var>(e) If, before July 1, 2018, the interest rate actuarial assumption, the mortality <br/>
<a id="pl.155.19"></a><var>155.19</var>actuarial assumption, or both actuarial assumptions of the general employees retirement <br/>
<a id="pl.155.20"></a><var>155.20</var>plan of the Public Employees Retirement Association are modified and the net result of <br/>
<a id="pl.155.21"></a><var>155.21</var>any modification is to increase the actuarial accrued liability of the retirement plan, the <br/>
<a id="pl.155.22"></a><var>155.22</var>eligible person, as a condition of a continued receipt of an annuity from the retirement <br/>
<a id="pl.155.23"></a><var>155.23</var>plan, shall reimburse the retirement fund for the amount of the increase in required <br/>
<a id="pl.155.24"></a><var>155.24</var>reserves for the annuity, determined as the difference between the present value of the <br/>
<a id="pl.155.25"></a><var>155.25</var>annuity on the effective date of the assumption change or changes before the assumption <br/>
<a id="pl.155.26"></a><var>155.26</var>change or changes and after the assumption change or changes. The executive director <br/>
<a id="pl.155.27"></a><var>155.27</var>shall certify the amount due, if any, to the eligible person and payment is due 30 days later.<br/>
<a id="pl.155.28"></a><var>155.28</var>(f) Authority for an eligible person to make the prior service credit purchase <br/>
<a id="pl.155.29"></a><var>155.29</var>under this section expires on December 31, 2015, or upon the termination of service as <br/>
<a id="pl.155.30"></a><var>155.30</var>a Hennepin County commissioner, whichever is earlier.<br/>
<a id="pl.155.31"></a><var>155.31</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.14.4.0"></a><a id="pl.155.32"></a><var>155.32</var>    Sec. 4. <b>PERA-P&amp;F; MILLE LACS BAND PRIOR SERVICE CREDIT </b><br/>
<a id="pl.155.33"></a><var>155.33</var><b>PURCHASE AUTHORIZED.</b><br/>
<a id="pl.156.1"></a><var>156.1</var>(a) An eligible person described in paragraph (b) is entitled to purchase allowable <br/>
<a id="pl.156.2"></a><var>156.2</var>service credit in the public employees police and fire retirement plan for the period <br/>
<a id="pl.156.3"></a><var>156.3</var>specified in paragraph (c) by remitting the payment calculated under paragraph (d).<br/>
<a id="pl.156.4"></a><var>156.4</var>(b) An eligible person is a person who:<br/>
<a id="pl.156.5"></a><var>156.5</var>(1) was born on June 28, 1966;<br/>
<a id="pl.156.6"></a><var>156.6</var>(2) was initially employed as a full-time police officer by the Mille Lacs tribal <br/>
<a id="pl.156.7"></a><var>156.7</var>police department on October 29, 1998;<br/>
<a id="pl.156.8"></a><var>156.8</var>(3) was initially employed as a part-time police officer by the city of Onamia on <br/>
<a id="pl.156.9"></a><var>156.9</var>July 28, 2002;<br/>
<a id="pl.156.10"></a><var>156.10</var>(4) was initially employed as a part-time police officer by the city of Pierz on March <br/>
<a id="pl.156.11"></a><var>156.11</var>14, 2013; and<br/>
<a id="pl.156.12"></a><var>156.12</var>(5) is an active member of the public employees police and fire retirement plan.<br/>
<a id="pl.156.13"></a><var>156.13</var>(c) The period of Mille Lacs tribal police department employment available for <br/>
<a id="pl.156.14"></a><var>156.14</var>purchase is the two-year period of Mille Lacs tribal police department employment <br/>
<a id="pl.156.15"></a><var>156.15</var>immediately preceding initial active membership in the public employees police and fire <br/>
<a id="pl.156.16"></a><var>156.16</var>retirement plan in that capacity.<br/>
<a id="pl.156.17"></a><var>156.17</var>(d) The full actuarial value prior service credit purchase payment amount must be <br/>
<a id="pl.156.18"></a><var>156.18</var>calculated under Minnesota Statutes, section 356.551.<br/>
<a id="pl.156.19"></a><var>156.19</var>(e) The eligible person must provide the executive director of the Public Employees <br/>
<a id="pl.156.20"></a><var>156.20</var>Retirement Association with any relevant requested information pertaining to the service <br/>
<a id="pl.156.21"></a><var>156.21</var>credit purchase.<br/>
<a id="pl.156.22"></a><var>156.22</var>(f) Authority to make a service credit purchase under this section expires on June 30, <br/>
<a id="pl.156.23"></a><var>156.23</var>2015, or upon the eligible person's termination from public employment as defined under <br/>
<a id="pl.156.24"></a><var>156.24</var>Minnesota Statutes, section 353.01, subdivision 11a, whichever occurs earlier.<br/>
<a id="pl.156.25"></a><var>156.25</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.14.5.0"></a><a id="pl.156.26"></a><var>156.26</var>    Sec. 5. <b>TEACHERS RETIREMENT ASSOCIATION; PROSPECTIVE </b><br/>
<a id="pl.156.27"></a><var>156.27</var><b>TEACHERS RETIREMENT ASSOCIATION COVERAGE; PURCHASE OF </b><br/>
<a id="pl.156.28"></a><var>156.28</var><b>PAST SERVICE CREDIT.</b><br/>
<a id="pl.156.29"></a><var>156.29</var>    (a) An eligible person described in paragraph (b) is authorized to become a <br/>
<a id="pl.156.30"></a><var>156.30</var>coordinated member of the Teachers Retirement Association and to purchase service <br/>
<a id="pl.156.31"></a><var>156.31</var>and salary credit in the Teachers Retirement Association coordinated plan retroactively <br/>
<a id="pl.156.32"></a><var>156.32</var>from January 1, 1995, upon making an election under paragraph (c) and upon making all <br/>
<a id="pl.156.33"></a><var>156.33</var>required payments under paragraphs (d) and (e).<br/>
<a id="pl.156.34"></a><var>156.34</var>    (b) An eligible person is a person who:<br/>
<a id="pl.156.35"></a><var>156.35</var>    (1) was born on October 29, 1957;<br/>
<a id="pl.157.1"></a><var>157.1</var>    (2) has been employed at Mesabi Range Community and Technical College as <br/>
<a id="pl.157.2"></a><var>157.2</var>an instructor since 1993;<br/>
<a id="pl.157.3"></a><var>157.3</var>    (3) in 1994 was classified in the unlimited part-time category;<br/>
<a id="pl.157.4"></a><var>157.4</var>    (4) became eligible for and was covered by the higher education individual <br/>
<a id="pl.157.5"></a><var>157.5</var>retirement account plan in January 1994; and <br/>
<a id="pl.157.6"></a><var>157.6</var>    (5) was not offered an election of Teachers Retirement Association coverage, as <br/>
<a id="pl.157.7"></a><var>157.7</var>required under Laws 1994, chapter 508, article 1, section 10.<br/>
<a id="pl.157.8"></a><var>157.8</var>    (c) To be eligible for coverage by the Teachers Retirement Association, an eligible <br/>
<a id="pl.157.9"></a><var>157.9</var>person must submit a written application to the executive director of the Teachers <br/>
<a id="pl.157.10"></a><var>157.10</var>Retirement Association on a form provided by the Teachers Retirement Association. The <br/>
<a id="pl.157.11"></a><var>157.11</var>application must include all documentation of the applicability of this section and any <br/>
<a id="pl.157.12"></a><var>157.12</var>other relevant information that the executive director may require. Teachers Retirement <br/>
<a id="pl.157.13"></a><var>157.13</var>Association plan membership commences as of September 1, 2014, for an applicable <br/>
<a id="pl.157.14"></a><var>157.14</var>eligible person, and past salary and service credit is granted from January 1, 1995, <br/>
<a id="pl.157.15"></a><var>157.15</var>as specified in this section, following receipt by the executive director of the written <br/>
<a id="pl.157.16"></a><var>157.16</var>application specified in this paragraph and receipt of the payments specified in paragraphs <br/>
<a id="pl.157.17"></a><var>157.17</var>(d) and (e). The authority granted by this section is voided if the applicable eligible <br/>
<a id="pl.157.18"></a><var>157.18</var>individual terminates from Minnesota State Colleges and Universities system employment <br/>
<a id="pl.157.19"></a><var>157.19</var>prior to receipt by the executive director of the Teachers Retirement Association of the <br/>
<a id="pl.157.20"></a><var>157.20</var>application specified in this paragraph and amounts specified in paragraphs (d) and (e). <br/>
<a id="pl.157.21"></a><var>157.21</var>Coverage by the Teachers Retirement Association is in lieu of coverage by the individual <br/>
<a id="pl.157.22"></a><var>157.22</var>retirement account plan.<br/>
<a id="pl.157.23"></a><var>157.23</var>    (d) If an eligible person makes an election under paragraph (c), the eligible person <br/>
<a id="pl.157.24"></a><var>157.24</var>shall make, before September 1, 2014, a contribution equal to the excess, if any, of the <br/>
<a id="pl.157.25"></a><var>157.25</var>employee contributions that the individual would have made if the Teachers Retirement <br/>
<a id="pl.157.26"></a><var>157.26</var>Association had provided coverage from January 1, 1995, rather than the individual <br/>
<a id="pl.157.27"></a><var>157.27</var>retirement account plan. These additional contribution amounts shall include 8.5 percent <br/>
<a id="pl.157.28"></a><var>157.28</var>annual compound interest computed from the date the contribution would have been made <br/>
<a id="pl.157.29"></a><var>157.29</var>if deducted from salary until paid. The total amount to be paid under this paragraph shall <br/>
<a id="pl.157.30"></a><var>157.30</var>be determined by the executive director of the Teachers Retirement Association and <br/>
<a id="pl.157.31"></a><var>157.31</var>written notification of the amount required under this paragraph should be transmitted <br/>
<a id="pl.157.32"></a><var>157.32</var>to the eligible individual.<br/>
<a id="pl.157.33"></a><var>157.33</var>    (e) If payment is made under paragraph (d), the value of the applicable eligible <br/>
<a id="pl.157.34"></a><var>157.34</var>person's higher education individual retirement account plan account shall be determined <br/>
<a id="pl.157.35"></a><var>157.35</var>as of September 1, 2014, and that account value shall be transferred to the Teachers <br/>
<a id="pl.157.36"></a><var>157.36</var>Retirement Association on or before September 15, 2014.<br/>
<a id="pl.158.1"></a><var>158.1</var>    (f) The Teachers Retirement Association shall determine the full actuarial value <br/>
<a id="pl.158.2"></a><var>158.2</var>imposed upon the Teachers Retirement Association under this section due to the salary <br/>
<a id="pl.158.3"></a><var>158.3</var>and service credit purchase.<br/>
<a id="pl.158.4"></a><var>158.4</var>    (g) From the total amount computed under paragraph (f), the executive director of the <br/>
<a id="pl.158.5"></a><var>158.5</var>Teachers Retirement Association shall subtract the amounts received under paragraphs (d) <br/>
<a id="pl.158.6"></a><var>158.6</var>and (e). The Minnesota State Colleges and Universities system is authorized to transmit the <br/>
<a id="pl.158.7"></a><var>158.7</var>remaining amount, if any, to the executive director of the Teachers Retirement Association.<br/>
<a id="pl.158.8"></a><var>158.8</var>    (h) Any payment amount specified from the Minnesota State Colleges and <br/>
<a id="pl.158.9"></a><var>158.9</var>Universities system under paragraph (g) shall be transmitted to the Teachers Retirement <br/>
<a id="pl.158.10"></a><var>158.10</var>Association within one month following receipt of amounts transmitted under paragraphs <br/>
<a id="pl.158.11"></a><var>158.11</var>(d) and (e), and following notification from the executive director of the Teachers <br/>
<a id="pl.158.12"></a><var>158.12</var>Retirement Association. If a payment from the Minnesota State Colleges and Universities <br/>
<a id="pl.158.13"></a><var>158.13</var>system specified under paragraph (g) is not made, the executive director of the Teachers <br/>
<a id="pl.158.14"></a><var>158.14</var>Retirement Association must notify the commissioner of Minnesota Management and <br/>
<a id="pl.158.15"></a><var>158.15</var>Budget of this fact and that commissioner must order that amounts specified under <br/>
<a id="pl.158.16"></a><var>158.16</var>paragraph (g) shall be deducted from appropriations or state aid to the Minnesota <br/>
<a id="pl.158.17"></a><var>158.17</var>State Colleges and Universities system and be transmitted to the Teachers Retirement <br/>
<a id="pl.158.18"></a><var>158.18</var>Association.<br/>
<a id="pl.158.19"></a><var>158.19</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>