SF 1679

1st Engrossment - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:22am

A bill for an act
relating to public employment; authorizing retirement incentives.

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

Section 1. new text begin RETIREMENT INCENTIVE.
new text end

new text begin Subdivision 1. new text end

new text begin Eligibility. new text end

new text begin (a) An eligible appointing authority may offer the
retirement incentive in this section to an employee who:
new text end

new text begin (1) has at least 15 years of allowable service in one or more of the funds listed in
Minnesota Statutes, section 356.30, subdivision 3, or has at least 15 years of coverage by
the individual retirement account plan governed by Minnesota Statutes, chapter 354B,
and upon retirement is immediately eligible for a retirement annuity or benefit from one
or more of these funds;
new text end

new text begin (2) terminates service after the effective date of this section, and before July 15,
2011; and
new text end

new text begin (3) is not in receipt of a public retirement plan retirement annuity, retirement
allowance, or service pension during the month preceding the termination of qualified
employment.
new text end

new text begin (b) An eligible appointing authority is any appointing authority in the executive,
legislative, or judicial branch of state government, the Public Employees Retirement
Association, the Minnesota State Retirement System, the Teachers Retirement Association,
the Minnesota State Colleges and Universities, or the University of Minnesota.
new text end

new text begin (c) An elected official is not eligible to receive an incentive under this section.
new text end

new text begin (d) An employee who, after termination of employment, receives an employer
contribution for health insurance, may not receive a payment for health insurance under
this section from that appointing authority.
new text end

new text begin Subd. 2. new text end

new text begin Incentive. new text end

new text begin For an employee eligible under subdivision 1, the appointing
authority may for a period of up to 36 months, pay all or part of the employer contribution,
as specified in the collective bargaining agreement or compensation plan covering the
position from which the employee terminates service, for health and dental insurance
for the employee, and, if the employee had dependent coverage immediately before
retirement, for the employee's dependents. The contributions and coverage provided under
this section are those the employee was receiving as of the date of termination, subject to
any changes in contributions and coverage specified in the collective bargaining agreement
or compensation plan covering the position from which the employee terminated service.
new text end

new text begin Subd. 3. new text end

new text begin Employer discretion; implementation. new text end

new text begin Provision of an incentive under
this section is at the discretion of the appointing authority. Unilateral implementation of
this section by the appointing authority is not an unfair labor practice under Minnesota
Statutes, chapter 179A.
new text end

new text begin Subd. 4. new text end

new text begin Acceptance. new text end

new text begin An employee who is eligible for an incentive under this
section, who is offered an incentive by the appointing authority, and who accepts the
incentive offer must do so in writing. A copy of the acceptance document must be
provided by the appointing authority to the applicable retirement plan within 15 days of
its execution.
new text end

new text begin Subd. 5. new text end

new text begin Reemployment prohibition. new text end

new text begin An appointing authority referenced in
subdivision 1 may not employ or retain as a consultant an individual who received an
incentive payment under this section for a period of three years after termination of service.
new text end