HF 932

as introduced - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to retirement; Duluth fire and police joint 
  1.3             consolidation account in the public employees police 
  1.4             and fire fund; authorizing certain benefit 
  1.5             recomputations and additional postretirement 
  1.6             adjustments for certain eligible retirees. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  [DULUTH FIRE AND POLICE JOINT CONSOLIDATION 
  1.9   ACCOUNT; BENEFIT RECOMPUTATION AND ADDITIONAL POSTRETIREMENT 
  1.10  ADJUSTMENTS FOR CERTAIN RETIRED MEMBERS.] 
  1.11     (a) Notwithstanding any provision of Minnesota Statutes, 
  1.12  chapters 353A and 353B, or any other law to the contrary, an 
  1.13  eligible retiree of the Duluth fire and police joint 
  1.14  consolidation account as defined in paragraph (b) is eligible to 
  1.15  receive a benefit recomputation as provided in paragraph (d) and 
  1.16  an additional postretirement adjustment as provided in paragraph 
  1.17  (e) as provided in paragraph (c). 
  1.18     (b) An eligible retiree of the Duluth fire and police joint 
  1.19  consolidation account is a person who is: 
  1.20     (1) a former firefighter who was employed by the city of 
  1.21  Duluth before June 15, 1980, who terminated that employment 
  1.22  before January 1, 1993, and who, under the benefit plan of the 
  1.23  Duluth fire department relief association in effect on December 
  1.24  31, 1992, either:  (i) had sufficient service credit at 
  1.25  termination to receive a service pension; or (ii) was 
  1.26  immediately eligible upon termination to receive a disability 
  2.1   benefit; or 
  2.2      (2) still is a survivor of a person described under clause 
  2.3   (1) who is currently eligible for the receipt of a survivor 
  2.4   benefit under the benefit plan of the Duluth fire department 
  2.5   relief association in effect on December 31, 1992. 
  2.6      (c) An eligible retiree who terminated active employment as 
  2.7   a Duluth firefighter before January 1, 1988, or who became a 
  2.8   survivor of a deceased active or retired Duluth firefighter 
  2.9   before January 1, 1993, is entitled solely to the additional 
  2.10  postretirement adjustment as provided in paragraph (e).  An 
  2.11  eligible retiree who terminated active employment as a Duluth 
  2.12  firefighter after December 31, 1987, is entitled to the benefit 
  2.13  recomputation as provided in paragraph (d) and the additional 
  2.14  postretirement adjustment as provided in paragraph (e). 
  2.15     (d) The benefit recomputation under this paragraph is the 
  2.16  larger of the benefit amount paid during the month immediately 
  2.17  preceding the date of enactment or the benefit amount calculated 
  2.18  under the public employees police and fire fund benefit plan as 
  2.19  defined in Minnesota Statutes, section 353A.02, subdivision 24, 
  2.20  in effect on the date of employment termination, whichever is 
  2.21  larger. 
  2.22     (e) The additional postretirement adjustment is the total 
  2.23  compounded percentage adjustments payable from the Minnesota 
  2.24  postretirement investment fund under Minnesota Statutes, section 
  2.25  11A.18, that occurred since the date that the eligible retiree 
  2.26  began receipt of the applicable pension or benefit or January 1, 
  2.27  1988, whichever date is later, reduced by any increase in the 
  2.28  pension or benefit amount that the eligible retiree received 
  2.29  during the same period under the benefit plan of the Duluth fire 
  2.30  department relief association. 
  2.31     (f) The benefit recomputation or additional postretirement 
  2.32  adjustment is payable as of the first of the month next 
  2.33  following the date of local approval under section 2.  The 
  2.34  initial payment must include the additional benefit amounts that 
  2.35  would have been payable under paragraph (d) or (e) if those 
  2.36  provisions had been applicable as of the date that the eligible 
  3.1   retiree began receipt of the applicable pension or benefit or 
  3.2   January 1, 1988, whichever date is later, plus annual interest 
  3.3   at the rate of six percent, compounded quarterly based on the 
  3.4   quarterly balances of the additional benefit amounts accruing. 
  3.5      Sec. 2.  [EFFECTIVE DATE.] 
  3.6      (a) Section 1 is effective on the day following approval by 
  3.7   majority vote of the city council of the city of Duluth, 
  3.8   compliance with the requirements of Minnesota Statutes, section 
  3.9   645.021, and the filing of a certified copy of the applicable 
  3.10  approval document with the executive director of the public 
  3.11  employees retirement association. 
  3.12     (b) The city council of the city of Duluth may consider 
  3.13  approval of this enactment only following consideration of an 
  3.14  actuarial cost estimate of the benefit recomputations and 
  3.15  additional postretirement adjustments prepared by an approved 
  3.16  actuary under the applicable provisions of Minnesota Statutes, 
  3.17  section 356.215.