HF 134

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to retirement; general state employees 
  1.3             retirement plan of the Minnesota state retirement 
  1.4             system; authorizing the purchase of service credit for 
  1.5             prior state highway department employment as a 
  1.6             full-time right-of-way agency trainee. 
  1.7      BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  [MSRS-GENERAL; SERVICE CREDIT PURCHASE 
  1.9   AUTHORIZATION FOR PRIOR HIGHWAY DEPARTMENT EMPLOYMENT.] 
  1.10     (a) Notwithstanding any provision of law to the contrary, 
  1.11  an eligible person described in paragraph (b) is authorized to 
  1.12  purchase allowable service credit from the general state 
  1.13  employees retirement plan of the Minnesota state retirement 
  1.14  system for the period described in paragraph (c) by making the 
  1.15  prior service credit purchase payment required under paragraph 
  1.16  (d). 
  1.17     (b) An eligible person is a person who: 
  1.18     (1) is a current employee of the Minnesota department of 
  1.19  children, families, and learning and is a current member of the 
  1.20  general state employees retirement plan of the Minnesota state 
  1.21  retirement system; 
  1.22     (2) was born on December 22, 1945; 
  1.23     (3) was initially hired into state service by the 
  1.24  university of Minnesota on October 1, 1966; 
  1.25     (4) was subsequently employed by the Minnesota highway 
  1.26  department as a right-of-way agent trainee in June, 1969; and 
  2.1      (5) resumed membership in the general state employees 
  2.2   retirement plan on August 1, 1970. 
  2.3      (c) The allowable service credit purchase period is one 
  2.4   year and two months. 
  2.5      (d) To purchase the allowable service credit, the eligible 
  2.6   person must pay an amount equal to the employee contribution 
  2.7   rate or rates in effect during the prior service credit period 
  2.8   applied to the actual salary rates in effect during the prior 
  2.9   service period, plus annual compound interest at the rate of 8.5 
  2.10  percent from the date that the contribution would have been made 
  2.11  if made contemporaneous with the service period for purchase to 
  2.12  the date on which the payment was actually made.  Upon receipt 
  2.13  of the payment by the eligible person, the executive director of 
  2.14  the Minnesota state retirement system should notify the 
  2.15  commissioner of transportation of that fact.  Within 30 days of 
  2.16  that notification, the department of transportation shall pay 
  2.17  the balance of the service credit purchase payment amount under 
  2.18  Minnesota Statutes, section 356.55, that is not paid by the 
  2.19  eligible person.  If the department does not make the payment 
  2.20  required under this paragraph in a timely fashion, the executive 
  2.21  director shall notify the commissioner of finance who shall 
  2.22  immediately deduct the payment amount from the department of 
  2.23  transportation appropriation. 
  2.24     (e) The eligible person must provide all relevant 
  2.25  documentation of the applicability of the requirements set forth 
  2.26  in paragraph (b) and any other applicable information that the 
  2.27  executive director of the Minnesota state retirement system may 
  2.28  request. 
  2.29     (f) Allowable service credit for the purchase period must 
  2.30  be granted by the general state employees retirement plan to the 
  2.31  eligible person upon receipt of the prior service credit 
  2.32  purchase payment amount. 
  2.33     (g) The prior service credit purchase authority expires on 
  2.34  July 1, 2002, or on the date of the termination of active state 
  2.35  service by the eligible person, whichever occurs earlier. 
  2.36     Sec. 2.  [EFFECTIVE DATE.] 
  3.1      Section 1 is effective on the day following final enactment.