SF 2169

as introduced - 88th Legislature (2013 - 2014) Posted on 03/04/2014 09:08am

A bill for an act
relating to retirement; general employees retirement plan of the Public
Employees Retirement Association; permitting the purchase of service credit for
certain Hennepin County elected service.

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

Section 1. new text begin PERA-GENERAL; HENNEPIN COUNTY ELECTED SERVICE
CREDIT PURCHASE.
new text end

new text begin (a) Notwithstanding any provision of Minnesota Statutes, chapters 353 and 353D,
or other law to the contrary, an eligible person described in paragraph (b) is entitled to
purchase allowable service credit from the coordinated program of the general employees
retirement plan of the Public Employees Retirement Association for the period of service
as an elected county commissioner for Hennepin County that is not otherwise covered
under Minnesota Statutes, chapter 353, if the eligible person makes the payment required
under paragraph (d).
new text end

new text begin (b) An eligible person is a person who:
new text end

new text begin (1) was born on November 18, 1946; and
new text end

new text begin (2) was first elected as a Hennepin County commissioner in November 1978 and
was sworn in as a commissioner on January 2, 1979.
new text end

new text begin (c) If the eligible person described in paragraph (b) elects to participate in the general
employees retirement plan of the Public Employees Retirement Association governed by
Minnesota Statutes, chapter 353, effective on the first day of the month next following the
effective date of this section, the eligible person may apply to the executive director of
the Public Employees Retirement Association to make the service credit purchase under
this section. The application must be in writing and must be accompanied with necessary
documentation of the applicability of this section and of any other relevant information
that the executive director may require.
new text end

new text begin (d) Allowable service credit under Minnesota Statutes, section 353.01, subdivision
16, must be granted by the coordinated program of the general employees retirement plan
of the Public Employees Retirement Association to the eligible person upon the receipt
of the prior service credit purchase payment amount required under Minnesota Statutes,
section 356.551. The payment obligation must be offset first by a transfer of the account
balance to the credit of the eligible person from the defined contribution plan of the Public
Employees Retirement Association. If that transfer is insufficient, the balance of the
service credit purchase payment may be made from amounts to the credit of the eligible
person under Minnesota Statutes, section 352.965 or 383B.46.
new text end

new text begin (e) If, before July 1, 2018, the interest rate actuarial assumption, the mortality
actuarial assumption, or both actuarial assumptions of the general employees retirement
plan of the Public Employees Retirement Association are modified and the net result of
any modification is to increase the actuarial accrued liability of the retirement plan, the
eligible person, as a condition of a continued receipt of an annuity from the retirement
plan, shall reimburse the retirement fund for the amount of the increase in required
reserves for the annuity, determined as the difference between the present value of the
annuity on the effective date of the assumption change or changes before the assumption
change or changes and after the assumption change or changes. The executive director
shall certify the amount due, if any, to the eligible person and payment is due 30 days later.
new text end

new text begin (f) Authority for an eligible person to make the prior service credit purchase
under this section expires on December 31, 2015, or upon the termination of service as
a Hennepin County commissioner, whichever is earlier.
new text end

new text begin EFFECTIVE DATE. new text end

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