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HF 2777

as introduced - 93rd Legislature (2023 - 2024) Posted on 03/09/2023 12:50pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to retirement; statewide volunteer firefighter retirement plan; amending
requirements applicable to a relief association after the affiliated fire department
joins the statewide volunteer firefighter retirement plan; amending Minnesota
Statutes 2022, section 353G.06, subdivisions 2, 3.

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

Section 1.

Minnesota Statutes 2022, section 353G.06, subdivision 2, is amended to read:


Subd. 2.

Other relief association changes.

In addition to the transfer and
disestablishment of the special fund under subdivision 1, notwithstanding any provisions
of chapter 424A or 424B to the contrary, upon the effective date of the change in deleted text begin volunteer
firefighter retirement
deleted text end coverage, if the relief association membership elects to retain the relief
association as a deleted text begin fraternaldeleted text end new text begin nonprofit new text end organization after the deleted text begin benefitdeleted text end coverage election, the
following changes must be implemented with respect to the deleted text begin applicable volunteer firefighterdeleted text end
relief association:

deleted text begin (1) the relief association board of trustees membership is reduced to five, comprised of
the fire chief of the fire department and four trustees elected by and from the relief association
membership;
deleted text end

deleted text begin (2) the relief association may only maintain a general fund, which continues to be
governed by section 424A.06;
deleted text end

deleted text begin (3)deleted text end new text begin (1) new text end the relief association is not authorized to receive deleted text begin the proceeds ofdeleted text end any state aid or
deleted text begin to receivedeleted text end any municipal funds; and

deleted text begin (4)deleted text end new text begin (2) new text end the relief association may not pay any service pension or benefit that was not
authorized as a general fund disbursement under the articles of incorporation or bylaws of
the relief association in effect immediately prior to the plan coverage election process.

new text begin EFFECTIVE DATE. new text end

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

Sec. 2.

Minnesota Statutes 2022, section 353G.06, subdivision 3, is amended to read:


Subd. 3.

Successor in interest.

Upon the disestablishment of the special fund of the
deleted text begin volunteer firefighterdeleted text end relief association under this section, the deleted text begin statewide volunteer firefighterdeleted text end
new text begin retirement new text end plan is the successor in interest of the special fund of the deleted text begin volunteer firefighterdeleted text end
relief association for all claims against the special fund other than a claim against the special
fund, the deleted text begin volunteer firefighterdeleted text end relief association, the municipality, the fire department, or
any person connected with the deleted text begin volunteer firefighterdeleted text end relief association in a fiduciary capacity
under chapter 356A or common law that was based on any act or acts which were not
performed in good faith and which constituted a breach of a fiduciary obligation. As the
successor in interest of the special fund of the deleted text begin volunteer firefighterdeleted text end relief association, the
deleted text begin statewide volunteer firefighterdeleted text end new text begin retirement new text end plan may assert any applicable defense in any
judicial proceeding which the board of trustees of the deleted text begin volunteer firefighterdeleted text end relief association
or the municipality would have been entitled to assert.

new text begin EFFECTIVE DATE. new text end

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