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SF 588

2nd Engrossment - 89th Legislature (2015 - 2016) Posted on 09/28/2016 09:33am

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Current Version - 2nd Engrossment

A bill for an act
relating to retirement; modifying cost of living adjustments; eliminating cost
of living adjustment triggers; increasing St. Paul Teachers Retirement Fund
Association employer contributions; making administrative changes to the
Minnesota State Retirement System, Teachers Retirement Association, Public
Employees Retirement Association, and St. Paul Teachers Retirement Fund
Association; clarifying refund repayment procedures; modifying executive
director credentials; clarifying combined service annuity augmentation rates
and service requirements; revising appeal procedures; clarifying coverage for
charter school administrators; modifying service credit purchase procedures;
establishing new procedures for disability applications due to private disability
insurance requirements; clarifying death and disability benefit payment
provisions; modifying annual benefit limitations for federal tax code compliance;
authorizing use of IRS correction procedures; clarifying benefit offsets for
certain refund payments; clarifying police and fire plan coverage for certain
Hennepin Healthcare System supervisors; modifying various economic actuarial
assumptions; adopting recommendations of the Volunteer Firefighter Relief
Association Working Group; increasing relief association lump-sum service
pension maximums; lowering certain vesting requirements for Eden Prairie
Volunteer Firefighters Relief Association; providing for the consolidation of the
Coleraine and Bovey Volunteer Firefighters Relief Associations; modifying the
MSRS disability application deadlines in certain instances; adopting definition
of the Hometown Heroes Act related to public safety officer death benefits;
allowing service credit purchase and Rule of 90-eligibility for certain Minnesota
Department of Transportation employees; authorizing MnSCU employees to
elect retroactive and prospective TRA coverage; authorizing MnSCU employee
to transfer past service from IRAP to PERA; increasing maximum employer
contribution to a supplemental laborers pension fund; authorizing certain
additional sources of retirement plan funding; making technical and conforming
changes;amending Minnesota Statutes 2014, sections 3A.03, subdivision 3;
16A.14, subdivision 2a; 352.03, subdivisions 5, 6; 352.113, subdivisions 2, 4;
353.01, subdivision 43; 353.012; 353.32, subdivisions 1, 4; 353.34, subdivision
2; 354.05, subdivision 2, by adding a subdivision; 354.06, subdivisions 2,
2a; 354.095; 354.45, by adding a subdivision; 354.46, subdivision 6; 354.48,
subdivision 1; 354.52, subdivisions 4, 6; 354A.011, subdivision 29; 354A.093,
subdivision 4; 354A.095; 354A.12, subdivision 2a; 354A.35, subdivision 2;
354A.38, as amended; 356.24, subdivision 1; 356.30, subdivision 1; 356.635, by
adding subdivisions; 356.96, subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13;
423A.02, subdivision 3; 424A.01, by adding subdivisions; 424A.015, by adding
a subdivision; 424B.20, subdivision 4; 490.121, subdivisions 25, 26; Minnesota
Statutes 2015 Supplement, sections 3A.03, subdivision 2; 352.23; 352B.11,
subdivision 4; 352D.05, subdivision 4; 353.01, subdivision 16; 353.0162; 353.64,
subdivision 10; 353G.02, subdivision 6; 354.44, subdivision 9; 354A.093,
subdivision 6; 354A.096; 354A.29, subdivision 7; 356.215, subdivisions 8,
11; 356.415, subdivisions 1a, 1d, 1e, 1f; 356.50, subdivision 2; 356.551,
subdivision 2; 356.635, subdivision 10; 424A.02, subdivision 3; 490.124,
subdivision 12; proposing coding for new law in Minnesota Statutes, chapters
356; 424A; repealing Minnesota Statutes 2014, sections 352.04, subdivision
11; 353.0161, subdivision 1; 353.34, subdivision 6; 354A.12, subdivision 2c;
354A.31, subdivision 3; 356.47, subdivision 1; 356.611, subdivisions 3, 3a, 4, 5;
356.96, subdivisions 14, 15; 424A.02, subdivision 13; Minnesota Statutes 2015
Supplement, sections 353.0161, subdivisions 2, 3; 354A.12, subdivision 3c;
354A.29, subdivisions 8, 9; 356.415, subdivision 1.

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

ARTICLE 1

MSRS, TRA, AND SPTRFA POST-RETIREMENT ADJUSTMENT REVISIONS
SPTRFA SUPPLEMENTAL EMPLOYER CONTRIBUTION

Section 1.

Minnesota Statutes 2014, section 354A.12, subdivision 2a, is amended to
read:


Subd. 2a.

Employer regular and additional contributions.

(a) The employing
units shall make the following employer contributions to the teachers retirement fund
association:

(1) for any each coordinated member of the St. Paul Teachers Retirement Fund
Association, the employing unit shall make a regular employer contribution to the
retirement fund association in an amount equal to the designated percentage of the salary
of the coordinated member as provided below:

after June 30, 2014
5.5 percent
after June 30, 2015
6 percent
after June 30, 2016
6.25 percent
after June 30, 2017
6.5 percent
after June 30, 2018
7.0 percent

(2) for any each basic member of the St. Paul Teachers Retirement Fund Association,
the employing unit shall make a regular employer contribution to the respective retirement
fund in an amount according to the schedule below:

after June 30, 2014
9 percent of salary
after June 30, 2015
9.5 percent of salary
after June 30, 2016
9.75 percent of salary
after June 30, 2017
10 percent of salary
after June 30, 2018
10.5 percent of salary

(3) for a each basic member of the St. Paul Teachers Retirement Fund Association,
the employing unit shall make an additional employer contribution to the respective fund
in an amount equal to 3.64 percent of the salary of the basic member;

(4) for a each coordinated member of the St. Paul Teachers Retirement Fund
Association, the employing unit shall make an additional employer contribution to the
respective fund in an amount equal to 3.84 percent of the coordinated member's salary.

(b) The regular and additional employer contributions must be remitted directly to
the St. Paul Teachers Retirement Fund Association at least once each month. Delinquent
amounts are payable with interest under the procedure in subdivision 1a.

(c) Payments of regular and additional employer contributions for school district
or technical college employees who are paid from normal operating funds must be made
from the appropriate fund of the district or technical college.

(d) When an employer contribution rate changes for a fiscal year, the new
contribution rate is effective for the entire salary paid by the employer with the first
payroll cycle reported.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 354A.29, subdivision 7, is
amended to read:


Subd. 7.

Eligibility for payment and calculation of postretirement adjustments.

(a) Annually, after June 30, the board of trustees of the St. Paul Teachers Retirement
Fund Association must determine the amount of any postretirement adjustment using the
procedures in this subdivision and subdivision 8 or 9, whichever is applicable.

(b) On January 1, each person who has been receiving an annuity or benefit under
the articles of incorporation, the bylaws, or this chapter, whose effective date of benefit
commencement occurred on or before July 1 of the immediately preceding calendar year
immediately before the adjustment, is eligible to receive a postretirement increase as
specified in subdivision 8 or 9
as determined under paragraph (c), clause (1) or (2),
whichever applies
.

(c) The amount provided for under this subdivision is the full postretirement increase
to be applied as a permanent increase to the regular payment of each eligible member.

(1) A one percent postretirement increase shall apply for any eligible member
whose effective date of benefit commencement occurred on or before January 1 of the
immediately preceding calendar year.

(2) A one-half of one percent postretirement increase shall apply for any eligible
member whose effective date of benefit commencement occurred after January 1 of the
immediately preceding calendar year.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 3.

Minnesota Statutes 2015 Supplement, section 356.215, subdivision 8, is
amended to read:


Subd. 8.

Interest and salary assumptions.

(a) The actuarial valuation must use the
applicable following interest assumption:

(1) select and ultimate interest rate assumption

plan
ultimate interest
rate assumption
teachers retirement plan
8.5%

The select preretirement interest rate assumption for the period through June 30,
2017, is eight percent.

(2) single rate interest rate assumption

plan
interest rate
assumption
general state employees retirement plan
8%
correctional state employees retirement plan
8
State Patrol retirement plan
8
legislators retirement plan, and for the
constitutional officers calculation of total plan
liabilities
0
judges retirement plan
8
general public employees retirement plan
8
public employees police and fire retirement plan
8
local government correctional service retirement
plan
8
St. Paul teachers retirement plan
8
Bloomington Fire Department Relief Association
6
local monthly benefit volunteer firefighter relief
associations
5
monthly benefit retirement plans in the statewide
volunteer firefighter retirement plan
6

(b)(1) If funding stability has been attained, the valuation of each public pension
and retirement plan enumerated in section 356.20, subdivision 2, clauses (2), (4), (8),
(11), and (13),
must use a postretirement adjustment rate actuarial assumption equal to
the postretirement adjustment rate specified in section 354A.27, subdivision 7; 354A.29,
subdivision 9
; or
356.415, subdivision 1 1b, 1c, 1e, or 1f, whichever applies.

(2) If funding stability has not been attained, the valuation of each public pension
and retirement plan enumerated in section 356.20, subdivision 2, clauses (2), (4), (8), (11),
and (13),
must use a select postretirement adjustment rate actuarial assumption equal to
the postretirement adjustment rate specified in section 354A.27, subdivision 6a; 354A.29,
subdivision 8
; or
356.415, subdivision 1a, 1b, 1c, 1d, 1e, or 1f, whichever applies, for a
period ending when the approved actuary estimates that the plan will attain the defined
funding stability measure, and thereafter an ultimate postretirement adjustment rate
actuarial assumption equal to the postretirement adjustment rate under section 354A.27,
subdivision 7
; 354A.29, subdivision 9; or
356.415, subdivision 1 1b, 1c, 1e, or 1f, for the
applicable period or periods beginning when funding stability is projected to be attained.

(3) The valuation of each public pension and retirement plan enumerated in section
356.20, subdivision 2, clauses (1), (3), (5), and (12), must use a postretirement adjustment
rate actuarial assumption equal to the postretirement adjustment rate specified in section
354A.29 or 356.415, subdivision 1a or 1d, whichever applies.

(c) The actuarial valuation must use the applicable following single rate future salary
increase assumption, the applicable following modified single rate future salary increase
assumption, or the applicable following graded rate future salary increase assumption:

(1) single rate future salary increase assumption

plan
future salary increase assumption
legislators retirement plan
5%
judges retirement plan
2.75
Bloomington Fire Department Relief
Association
4

(2) age-related future salary increase age-related select and ultimate future salary
increase assumption or graded rate future salary increase assumption

plan
future salary increase assumption
local government correctional service retirement plan
assumption B
St. Paul teachers retirement plan
assumption A

For plans other than the St. Paul teachers
retirement plan and the local government
correctional service retirement plan, the
select calculation is: during the designated
select period, a designated percentage rate
is multiplied by the result of the designated
integer minus T, where T is the number of
completed years of service, and is added
to the applicable future salary increase
assumption. The designated select period
is ten years and the designated integer is
ten for the local government correctional
service retirement plan and 15 for the St.
Paul Teachers Retirement Fund Association.
The designated percentage rate is 0.2 percent
for the St. Paul Teachers Retirement Fund
Association.

The ultimate future salary increase assumption is:

age
A
B
16
5.9%
8.75%
17
5.9
8.75
18
5.9
8.75
19
5.9
8.75
20
5.9
8.75
21
5.9
8.5
22
5.9
8.25
23
5.85
8
24
5.8
7.75
25
5.75
7.5
26
5.7
7.25
27
5.65
7
28
5.6
6.75
29
5.55
6.5
30
5.5
6.5
31
5.45
6.25
32
5.4
6.25
33
5.35
6.25
34
5.3
6
35
5.25
6
36
5.2
5.75
37
5.15
5.75
38
5.1
5.75
39
5.05
5.5
40
5
5.5
41
4.95
5.5
42
4.9
5.25
43
4.85
5
44
4.8
5
45
4.75
4.75
46
4.7
4.75
47
4.65
4.75
48
4.6
4.75
49
4.55
4.75
50
4.5
4.75
51
4.45
4.75
52
4.4
4.75
53
4.35
4.75
54
4.3
4.75
55
4.25
4.5
56
4.2
4.5
57
4.15
4.25
58
4.1
4
59
4.05
4
60
4
4
61
4
4
62
4
4
63
4
4
64
4
4
65
4
3.75
66
4
3.75
67
4
3.75
68
4
3.75
69
4
3.75
70
4
3.75

(3) service-related ultimate future salary increase assumption

general state employees retirement plan of the
Minnesota State Retirement System
assumption A
general employees retirement plan of the Public
Employees Retirement Association
assumption B
Teachers Retirement Association
assumption C
public employees police and fire retirement plan
assumption D
State Patrol retirement plan
assumption E
correctional state employees retirement plan of the
Minnesota State Retirement System
assumption F
service
length
A
B
C
D
E
F
1
10.25%
11.78%
12%
12.75%
7.75%
5.75%
2
7.85
8.65
9
10.75
7.25
5.6
3
6.65
7.21
8
8.75
6.75
5.45
4
5.95
6.33
7.5
7.75
6.5
5.3
5
5.45
5.72
7.25
6.25
6.25
5.15
6
5.05
5.27
7
5.85
6
5
7
4.75
4.91
6.85
5.55
5.75
4.85
8
4.45
4.62
6.7
5.35
5.6
4.7
9
4.25
4.38
6.55
5.15
5.45
4.55
10
4.15
4.17
6.4
5.05
5.3
4.4
11
3.95
3.99
6.25
4.95
5.15
4.3
12
3.85
3.83
6
4.85
5
4.2
13
3.75
3.69
5.75
4.75
4.85
4.1
14
3.55
3.57
5.5
4.65
4.7
4
15
3.45
3.45
5.25
4.55
4.55
3.9
16
3.35
3.35
5
4.55
4.4
3.8
17
3.25
3.26
4.75
4.55
4.25
3.7
18
3.25
3.25
4.5
4.55
4.1
3.6
19
3.25
3.25
4.25
4.55
3.95
3.5
20
3.25
3.25
4
4.55
3.8
3.5
21
3.25
3.25
3.9
4.45
3.75
3.5
22
3.25
3.25
3.8
4.35
3.75
3.5
23
3.25
3.25
3.7
4.25
3.75
3.5
24
3.25
3.25
3.6
4.25
3.75
3.5
25
3.25
3.25
3.5
4.25
3.75
3.5
26
3.25
3.25
3.5
4.25
3.75
3.5
27
3.25
3.25
3.5
4.25
3.75
3.5
28
3.25
3.25
3.5
4.25
3.75
3.5
29
3.25
3.25
3.5
4.25
3.75
3.5
30 or more
3.25
3.25
3.5
4.25
3.75
3.5

(d) The actuarial valuation must use the applicable following payroll growth
assumption for calculating the amortization requirement for the unfunded actuarial
accrued liability where the amortization retirement is calculated as a level percentage
of an increasing payroll:

plan
payroll growth assumption
general state employees retirement plan of the
Minnesota State Retirement System
3.5%
correctional state employees retirement plan
3.5
State Patrol retirement plan
3.5
judges retirement plan
2.75
general employees retirement plan of the Public
Employees Retirement Association
3.5
public employees police and fire retirement plan
3.5
local government correctional service retirement plan
3.5
teachers retirement plan
3.75
St. Paul teachers retirement plan
4

(e) The assumptions set forth in paragraphs (c) and (d) continue to apply, unless a
different salary assumption or a different payroll increase assumption:

(1) has been proposed by the governing board of the applicable retirement plan;

(2) is accompanied by the concurring recommendation of the actuary retained under
section 356.214, subdivision 1, if applicable, or by the approved actuary preparing the
most recent actuarial valuation report if section 356.214 does not apply; and

(3) has been approved or deemed approved under subdivision 18.

EFFECTIVE DATE.

This section is effective June 30, 2016.

Sec. 4.

Minnesota Statutes 2015 Supplement, section 356.215, subdivision 11, is
amended to read:


Subd. 11.

Amortization contributions.

(a) In addition to the exhibit indicating
the level normal cost, the actuarial valuation of the retirement plan must contain an
exhibit for financial reporting purposes indicating the additional annual contribution
sufficient to amortize the unfunded actuarial accrued liability and must contain an exhibit
for contribution determination purposes indicating the additional contribution sufficient
to amortize the unfunded actuarial accrued liability. For the retirement plans listed in
subdivision 8, paragraph (c), but excluding the legislators retirement plan, the additional
contribution must be calculated on a level percentage of covered payroll basis by the
established date for full funding in effect when the valuation is prepared, assuming annual
payroll growth at the applicable percentage rate set forth in subdivision 8, paragraph (d).
For all other retirement plans and for the legislators retirement plan, the additional annual
contribution must be calculated on a level annual dollar amount basis.

(b) For any retirement plan other than a retirement plan governed by paragraph (d),
(e), (f), (g), (h), (i), or (j), if there has not been a change in the actuarial assumptions
used for calculating the actuarial accrued liability of the fund, a change in the benefit
plan governing annuities and benefits payable from the fund, a change in the actuarial
cost method used in calculating the actuarial accrued liability of all or a portion of the
fund, or a combination of the three, which change or changes by itself or by themselves
without inclusion of any other items of increase or decrease produce a net increase in the
unfunded actuarial accrued liability of the fund, the established date for full funding is the
first actuarial valuation date occurring after June 1, 2020.

(c) For any retirement plan, if there has been a change in any or all of the actuarial
assumptions used for calculating the actuarial accrued liability of the fund, a change in
the benefit plan governing annuities and benefits payable from the fund, a change in the
actuarial cost method used in calculating the actuarial accrued liability of all or a portion
of the fund, or a combination of the three, and the change or changes, by itself or by
themselves and without inclusion of any other items of increase or decrease, produce a net
increase in the unfunded actuarial accrued liability in the fund, the established date for full
funding must be determined using the following procedure:

(i) the unfunded actuarial accrued liability of the fund must be determined in
accordance with the plan provisions governing annuities and retirement benefits and the
actuarial assumptions in effect before an applicable change;

(ii) the level annual dollar contribution or level percentage, whichever is applicable,
needed to amortize the unfunded actuarial accrued liability amount determined under item
(i) by the established date for full funding in effect before the change must be calculated
using the interest assumption specified in subdivision 8 in effect before the change;

(iii) the unfunded actuarial accrued liability of the fund must be determined in
accordance with any new plan provisions governing annuities and benefits payable from
the fund and any new actuarial assumptions and the remaining plan provisions governing
annuities and benefits payable from the fund and actuarial assumptions in effect before
the change;

(iv) the level annual dollar contribution or level percentage, whichever is applicable,
needed to amortize the difference between the unfunded actuarial accrued liability amount
calculated under item (i) and the unfunded actuarial accrued liability amount calculated
under item (iii) over a period of 30 years from the end of the plan year in which the
applicable change is effective must be calculated using the applicable interest assumption
specified in subdivision 8 in effect after any applicable change;

(v) the level annual dollar or level percentage amortization contribution under item
(iv) must be added to the level annual dollar amortization contribution or level percentage
calculated under item (ii);

(vi) the period in which the unfunded actuarial accrued liability amount determined
in item (iii) is amortized by the total level annual dollar or level percentage amortization
contribution computed under item (v) must be calculated using the interest assumption
specified in subdivision 8 in effect after any applicable change, rounded to the nearest
integral number of years, but not to exceed 30 years from the end of the plan year in which
the determination of the established date for full funding using the procedure set forth in this
clause is made and not to be less than the period of years beginning in the plan year in which
the determination of the established date for full funding using the procedure set forth in
this clause is made and ending by the date for full funding in effect before the change; and

(vii) the period determined under item (vi) must be added to the date as of which
the actuarial valuation was prepared and the date obtained is the new established date
for full funding.

(d) For the general employees retirement plan of the Public Employees Retirement
Association, the established date for full funding is June 30, 2031.

(e) For the Teachers Retirement Association, the established date for full funding is
June 30, 2037 2046.

(f) For the correctional state employees retirement plan of the Minnesota State
Retirement System, the established date for full funding is June 30, 2038.

(g) For the judges retirement plan, the established date for full funding is June
30, 2038.

(h) For the public employees police and fire retirement plan, the established date
for full funding is June 30, 2038.

(i) For the St. Paul Teachers Retirement Fund Association, the established date for
full funding is June 30, 2042. In addition to other requirements of this chapter, the annual
actuarial valuation must contain an exhibit indicating the funded ratio and the deficiency
or sufficiency in annual contributions when comparing liabilities to the market value of
the assets of the fund as of the close of the most recent fiscal year.

(j) For the general state employees retirement plan of the Minnesota State Retirement
System, the established date for full funding is June 30, 2040.

(k) For the retirement plans for which the annual actuarial valuation indicates an
excess of valuation assets over the actuarial accrued liability, the valuation assets in
excess of the actuarial accrued liability must be recognized as a reduction in the current
contribution requirements by an amount equal to the amortization of the excess expressed
as a level percentage of pay over a 30-year period beginning anew with each annual
actuarial valuation of the plan.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 5.

Minnesota Statutes 2015 Supplement, section 356.415, subdivision 1a, is
amended to read:


Subd. 1a.

Annual postretirement adjustments; Minnesota State Retirement
System plans other than the State Patrol and judges retirement plan plans.

(a)
Retirement annuity, disability benefit, or survivor benefit recipients of the legislators
retirement plan, including constitutional officers as specified in chapter 3A, the general
state employees retirement plan, the correctional state employees retirement plan, and
the unclassified state employees retirement program are entitled to a postretirement
adjustment annually on January 1, as follows:

(1) for each successive January 1, if the definition of funding stability under
paragraph (b) has not been met as of the prior July 1 for or with respect to the applicable
retirement plan,
effective January 1, 2017, through December 31, 2017, a postretirement
increase of two 1.75 percent must be applied each year, effective on January 1, to the
monthly annuity or benefit of each annuitant or benefit recipient who has been receiving
an annuity or a benefit for at least 12 full months as of the June 30 of the calendar year
immediately before the adjustment; and

(2) for each successive January 1, if the definition of funding stability under
paragraph (b) has not been met as of the prior July 1 for or with respect to the applicable
retirement plan,
effective January 1, 2017, through December 31, 2017, for each annuitant
or benefit recipient who has been receiving an annuity or a benefit for at least one full
month, but less than 12 full months as of the June 30 of the calendar year immediately
before the adjustment, an annual postretirement increase of 1/12 of two 1.75 percent for
each month that the person has been receiving an annuity or benefit must be applied.;

(3) effective January 1, 2018, and thereafter, a postretirement increase of two percent
must be applied to the monthly annuity or benefit of each annuitant or benefit recipient
who has been receiving an annuity or a benefit for at least 12 full months as of the June 30
of the calendar year immediately before the adjustment; and

(4) effective January 1, 2018, and thereafter, for each annuitant or benefit recipient
who has been receiving an annuity or a benefit for at least one full month, but less than
12 full months as of the June 30 of the calendar year immediately before the adjustment,
an annual postretirement increase of 1/12 of two percent for each month that the person
has been receiving an annuity or benefit must be applied.

(b) Increases under this subdivision for the general state employees retirement
plan or the correctional state employees retirement plan terminate on December 31 of
the calendar year in which two prior consecutive actuarial valuations prepared by the
approved actuary under sections 356.214 and 356.215 and the standards for actuarial work
promulgated by the Legislative Commission on Pensions and Retirement indicate that the
market value of assets of the retirement plan equals or exceeds 90 percent of the actuarial
accrued liability of the retirement plan and increases under subdivision 1 recommence
after that date. Increases under this subdivision for the legislators retirement plan
established under chapter 3A, including the constitutional officers specified in that chapter,
and for the unclassified state employees retirement program, terminate on December 31
of the calendar year in which two prior consecutive actuarial valuations prepared by the
approved actuary under sections 356.214 and 356.215 and the standards for actuarial work
promulgated by the Legislative Commission on Pensions and Retirement indicate that the
market value of assets of the general state employees retirement plan equals or exceeds
90 percent of the actuarial accrued liability of the retirement plan and increases under
subdivision 1 recommence after that date.

(c) After having met the definition of funding stability under paragraph (b), the
increase provided in paragraph (a), clauses (1) and (2), rather than an increase under
subdivision 1, for the general state employees retirement plan or the correctional state
employees retirement plan, is again to be applied in a subsequent year or years if the
market value of assets of the applicable plan equals or is less than:

(1) 85 percent of the actuarial accrued liabilities of the applicable plan for two
consecutive actuarial valuations; or

(2) 80 percent of the actuarial accrued liabilities of the applicable plan for the most
recent actuarial valuation.

(d) After having met the definition of funding stability under paragraph (b), the
increase provided in paragraph (a), clauses (1) and (2), rather than an increase under
subdivision 1, for the legislators retirement plan, including the constitutional officers,
and for the unclassified state employees retirement program, is again to be applied in a
subsequent year or years if the market value of assets of the general state employees
retirement plan equals or is less than:

(1) 85 percent of the actuarial accrued liabilities of the applicable plan for two
consecutive actuarial valuations; or

(2) 80 percent of the actuarial accrued liabilities of the applicable plan for the most
recent actuarial valuation.

(e) (b) An increase in annuity or benefit payments under this subdivision must be
made automatically unless written notice is filed by the annuitant or benefit recipient
with the executive director of the applicable covered retirement plan requesting that the
increase not be made.

EFFECTIVE DATE.

This section is effective June 30, 2016.

Sec. 6.

Minnesota Statutes 2015 Supplement, section 356.415, subdivision 1d, is
amended to read:


Subd. 1d.

Teachers Retirement Association annual postretirement adjustments.

(a) Retirement annuity, disability benefit, or survivor benefit recipients of the Teachers
Retirement Association are entitled to a postretirement adjustment annually on January
1, as follows:

(1) for each January 1 until funding stability is restored, effective January 1, 2017,
through December 31, 2017,
a postretirement increase of two one percent must be applied
each year, effective on January 1, to the monthly annuity or benefit amount of each
annuitant or benefit recipient who has been receiving an annuity or a benefit for at least 12
full months as of the June 30 of the calendar year immediately before the adjustment;

(2) for each January 1 until funding stability is restored effective January 1, 2017,
through December 31, 2017
, for each annuitant or benefit recipient who has been receiving
an annuity or a benefit for at least one full month, but less than 12 full months as of the
June 30 of the calendar year immediately before the adjustment, an annual postretirement
increase of 1/12 of two one percent for each month the person has been receiving an
annuity or benefit must be applied;

(3) for each January 1 following the restoration of funding stability effective January
1, 2018, and thereafter
, a postretirement increase of 2.5 two percent must be applied each
year, effective January 1,
to the monthly annuity or benefit amount of each annuitant or
benefit recipient who has been receiving an annuity or a benefit for at least 12 full months
as of the June 30 of the calendar year immediately before the adjustment; and

(4) for each January 1 following the restoration of funding stability effective January
1, 2018, and thereafter
, for each annuitant or benefit recipient who has been receiving an
annuity or a benefit for at least one full month, but less than 12 full months as of the June
30 of the calendar year immediately before the adjustment, an annual postretirement
increase of 1/12 of 2.5 two percent for each month the person has been receiving an
annuity or benefit must be applied.

(b) Funding stability is restored when the market value of assets of the Teachers
Retirement Association equals or exceeds 90 percent of the actuarial accrued liabilities
of the Teachers Retirement Association in the two most recent prior actuarial valuations
prepared under section 356.215 and the standards for actuarial work by the approved
actuary retained by the Teachers Retirement Association under section 356.214.

(c) After having met the definition of funding stability under paragraph (b), the
increase provided in paragraph (a), clauses (1) and (2), rather than an increase under
subdivision 1, or the increase under paragraph (a), clauses (3) and (4), is again to be applied
in a subsequent year or years if the market value of assets of the plan equals or is less than:

(1) 85 percent of the actuarial accrued liabilities of the plan for two consecutive
actuarial valuations; or

(2) 80 percent of the actuarial accrued liabilities of the plan for the most recent
actuarial valuation.

(d) (b) An increase in annuity or benefit payments under this section must be made
automatically unless written notice is filed by the annuitant or benefit recipient with the
executive director of the Teachers Retirement Association requesting that the increase
not be made.

(e) (c) The retirement annuity payable to a person who retires before becoming
eligible for Social Security benefits and who has elected the optional payment as provided
in section 354.35 must be treated as the sum of a period-certain retirement annuity
and a life retirement annuity for the purposes of any postretirement adjustment. The
period-certain retirement annuity plus the life retirement annuity must be the annuity
amount payable until age 62, 65, or normal retirement age, as selected by the member
at retirement, for an annuity amount payable under section 354.35. A postretirement
adjustment granted on the period-certain retirement annuity must terminate when the
period-certain retirement annuity terminates.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 7.

Minnesota Statutes 2015 Supplement, section 356.415, subdivision 1e, is
amended to read:


Subd. 1e.

Annual postretirement adjustments; State Patrol retirement plan.

(a) Retirement annuity, disability benefit, or survivor benefit recipients of the State Patrol
retirement plan are entitled to a postretirement adjustment annually on January 1 if the
definition of funding stability under paragraph (b) has not been met, as follows:

(1) a postretirement increase of one percent must be applied each year, effective on
January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who
has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of
the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or
a benefit for at least one full month, but less than 12 full months as of the June 30 of
the calendar year immediately before the adjustment, an annual postretirement increase
of 1/12 of one percent for each month that the person has been receiving an annuity or
benefit must be applied.

(b) Increases under paragraph (a) for the State Patrol retirement plan terminate on
December 31 of the calendar year in which two prior consecutive actuarial valuations for
the plan prepared by the approved actuary under sections 356.214 and 356.215 and the
standards for actuarial work promulgated by the Legislative Commission on Pensions
and Retirement indicates that the market value of assets of the retirement plan equals or
exceeds 85 percent of the actuarial accrued liability of the retirement plan. Thereafter,
increases under paragraph (a) become effective again on the December 31 of the calendar
year in which the actuarial valuation, or prior consecutive actuarial valuations for the
plan prepared by the approved actuary under sections 356.214 and 356.215 and the
standards for actuarial work promulgated by the Legislative Commission on Pensions and
Retirement indicates that the market value of the assets of the retirement plan equals or is
less than 80 percent of the actuarial accrued liability of the retirement plan for two years,
or equals or is less than 75 percent of the actuarial accrued liability of the retirement plan
for one year and increases under paragraph (c) commence after that date.

(c) Retirement annuity, disability benefit, or survivor benefit recipients of the State
Patrol retirement plan are entitled to a postretirement adjustment annually on January 1 if
the definition of funding stability under paragraph (b) has been met
, as follows:

(1) a postretirement increase of 1.5 percent must be applied each year, effective on
January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who
has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of
the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or
a benefit for at least one full month, but less than 12 full months as of the June 30 of
the calendar year immediately before the adjustment, an annual postretirement increase
of 1/12 of 1.5 percent for each month that the person has been receiving an annuity or
benefit must be applied.

(d) Increases under paragraph (c) for the State Patrol retirement plan terminate on
December 31 of the calendar year in which two prior consecutive actuarial valuations
prepared by the approved actuary under sections 356.214 and 356.215 and the standards
for actuarial work adopted by the Legislative Commission on Pensions and Retirement
indicates that the market value of assets of the retirement plan equals or exceeds 90 percent
of the actuarial accrued liability of the retirement plan and increases under subdivision
1 recommence
paragraph (e) commence after that date.

(e) Retirement annuity, disability benefit, or survivor benefit recipients of the State
Patrol retirement plan are entitled to a postretirement adjustment annually on January 1 if
the definition of funding stability under paragraph (d) has been met, as follows:

(1) a postretirement increase of 2.5 percent must be applied each year, effective on
January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who
has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of
the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or
a benefit for at least one full month, but less than 12 full months as of the June 30 of
the calendar year immediately before the adjustment, an annual postretirement increase
of 1/12 of 2.5 percent for each month that the person has been receiving an annuity or
benefit must be applied.

(e) (f) An increase in annuity or benefit payments under this subdivision must be
made automatically unless written notice is filed by the annuitant or benefit recipient
with the executive director of the applicable covered retirement plan requesting that the
increase not be made.

EFFECTIVE DATE.

This section is effective June 30, 2016.

Sec. 8.

Minnesota Statutes 2015 Supplement, section 356.415, subdivision 1f, is
amended to read:


Subd. 1f.

Annual postretirement adjustments; Minnesota State Retirement
System judges retirement plan.

(a) The increases provided under this subdivision are in
lieu of increases under subdivision 1 or 1a for retirement annuity, disability benefit, or
survivor benefit recipients of the judges retirement plan.

(b) (a) Retirement annuity, disability benefit, or survivor benefit recipients of the
judges retirement plan are entitled to a postretirement adjustment annually on January 1 if
the definition of funding stability under paragraph (b) has not been met
, as follows:

(1) a postretirement increase of 1.75 percent must be applied each year, effective on
January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who
has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of
the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or a
benefit for at least one full month, but less than 12 full months as of the June 30 of the
calendar year immediately before the adjustment, an annual postretirement increase of
1/12 of 1.75 percent for each month that the person has been receiving an annuity or
benefit must be applied.

(c) (b) Increases under this subdivision paragraph (a) terminate on December 31
of the calendar year in which two prior consecutive actuarial valuations prepared by the
approved actuary under sections 356.214 and 356.215 and the standards for actuarial work
promulgated by the Legislative Commission on Pensions and Retirement indicates that
the market value of assets of the judges retirement plan equals or exceeds 70 percent of
the actuarial accrued liability of the retirement plan. and increases under subdivision
1 or 1a, whichever is applicable, begin on the January 1 next following
paragraph (c)
commence after
that date.

(c) Retirement annuity, disability benefit, or survivor benefit recipients of the judges
retirement plan are entitled to a postretirement adjustment annually on January 1 if the
definition of funding stability under paragraph (d) has not been met, as follows:

(1) a postretirement increase of two percent must be applied each year, effective on
January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who
has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of
the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or a
benefit for at least one full month, but less than 12 full months as of the June 30 of the
calendar year immediately before the adjustment, an annual postretirement increase of
1/12 of two percent for each month that the person has been receiving an annuity or
benefit must be applied.

(d) Increases under paragraph (c) terminate on December 31 of the calendar year
in which two prior consecutive actuarial valuations prepared by the approved actuary
under sections 356.214 and 356.215 and the standards for actuarial work adopted by the
Legislative Commission on Pensions and Retirement indicates that the market value of
assets of the judges retirement plan equals or exceeds 90 percent of the actuarial accrued
liability of the retirement plan and increases under paragraph (e) commence after that date.

(e) Retirement annuity, disability benefit, or survivor benefit recipients of the judges
retirement plan are entitled to a postretirement adjustment annually on January 1 if the
definition of funding stability under paragraph (d) has been met, as follows:

(1) a postretirement increase of 2.5 percent must be applied each year, effective on
January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who
has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of
the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or
a benefit for at least one full month, but less than 12 full months as of the June 30 of
the calendar year immediately before the adjustment, an annual postretirement increase
of 1/12 of 2.5 percent for each month that the person has been receiving an annuity or
benefit must be applied.

(d) (f) An increase in annuity or benefit payments under this subdivision must be
made automatically unless written notice is filed by the annuitant or benefit recipient
with the executive director of the applicable covered retirement plan requesting that the
increase not be made.

EFFECTIVE DATE.

This section is effective June 30, 2016.

Sec. 9.

Minnesota Statutes 2014, section 490.121, subdivision 25, is amended to read:


Subd. 25.

Tier I.

"Tier I" is the benefit program of the retirement plan with a
membership specified by section 490.1221, paragraph (b), and governed by sections
356.415, subdivisions 1 and subdivision 1f; and 490.121 to 490.133, except as modified
in sections 490.121, subdivision 21f, paragraph (b); 490.1222; 490.123, subdivision 1a,
paragraph (b); and 490.124, subdivision 1, paragraphs (c) and (d).

EFFECTIVE DATE.

This section is effective June 30, 2016.

Sec. 10.

Minnesota Statutes 2014, section 490.121, subdivision 26, is amended to read:


Subd. 26.

Tier II.

"Tier II" is the benefit program of the retirement plan with a
membership specified by section 490.1221, paragraph (c), and governed by sections
356.415, subdivisions 1 and subdivision 1f; 490.121 to 490.133, as modified in section
490.121, subdivision 21f, paragraph (b); 490.1222; 490.123, subdivision 1a, paragraph
(b); and 490.124, subdivision 1, paragraphs (c) and (d).

EFFECTIVE DATE.

This section is effective June 30, 2016.

Sec. 11. REPEALER.

(a) Minnesota Statutes 2015 Supplement, section 356.415, subdivision 1, is repealed.

(b) Minnesota Statutes 2015 Supplement, section 354A.29, subdivisions 8 and
9,
are repealed.

EFFECTIVE DATE.

Paragraph (a) is effective June 30, 2016. Paragraph (b) is
effective July 1, 2016.

ARTICLE 2

MINNESOTA STATE RETIREMENT SYSTEM
ADMINISTRATIVE PROVISIONS

Section 1.

Minnesota Statutes 2015 Supplement, section 3A.03, subdivision 2, is
amended to read:


Subd. 2.

Refund.

(a) A former member who has made contributions under
subdivision 1 and who is no longer a member of the legislature is entitled to receive, upon
written application to the executive director on a form prescribed by the executive director,
a refund from the general fund of all contributions credited to the member's account with
interest computed as provided in section 352.22, subdivision 2.

(b) The refund of contributions as provided in paragraph (a) terminates all rights of a
former member of the legislature and the survivors of the former member under this chapter.

(c) If the former member of the legislature again becomes a member of the legislature
after having taken a refund as provided in paragraph (a), the member is a member of the
unclassified employees retirement program of the Minnesota State Retirement System.

(d) However, the member may reinstate the rights and credit for service previously
forfeited under this chapter if the member repays all refunds taken, plus interest at the
rate of 8.5 percent until June 30, 2015, and eight percent thereafter compounded annually
from the date on which the refund was taken to the date on which the refund is repaid.
Repayment must be made as provided in section 352.23, paragraph (d).

(e) No person may be required to apply for or to accept a refund.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2014, section 3A.03, subdivision 3, is amended to read:


Subd. 3.

Legislators retirement fund.

(a) The legislators retirement fund, a special
retirement fund, is created within the state treasury. The legislators retirement fund must
be credited with any investment proceeds on the assets of the retirement fund.

(b) The payment of annuities under section 3A.115, paragraph (b), is appropriated
from the legislators retirement fund.

(c) The legislators retirement fund may receive transfers of general fund proceeds.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 3.

Minnesota Statutes 2014, section 16A.14, subdivision 2a, is amended to read:


Subd. 2a.

Exceptions.

The allotment and encumbrance system does not apply to:

(1) appropriations for the courts or the legislature;

(2) payment of unemployment benefits.; and

(3) transactions within the defined contribution funds administered by the Minnesota
State Retirement System.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 4.

Minnesota Statutes 2014, section 352.03, subdivision 5, is amended to read:


Subd. 5.

Executive director;, deputy director, and assistant director.

(a) The
board shall appoint an executive director, in this chapter called the director, of the
system must be appointed by the board
on the basis of fitness education, experience in
the retirement field, and leadership ability to manage and lead system staff, and ability
to assist the board in setting a vision for the system
. The director must have had at
least five years' experience on the administrative staff of a major retirement system in
either an executive level management position or in a position with responsibility for the
governance, management, or administration of a retirement plan
.

(b) The executive director, deputy director, and assistant director must be in the
unclassified service but appointees may be selected from civil service lists if desired. The
salary of the executive director must be as provided by section 15A.0815. The salary of
the deputy director and assistant director must be set in accordance with section 43A.18,
subdivision 3
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 5.

Minnesota Statutes 2014, section 352.03, subdivision 6, is amended to read:


Subd. 6.

Duties and powers of executive director.

The management of the system
is vested in the director, who is the executive and administrative head of the system. The
director may appoint a deputy director and an assistant director with the approval of the
board.
The director shall be advisor to the board on matters pertaining to the system and
shall also act as the secretary of the board. The director shall:

(1) attend meetings of the board;

(2) prepare and recommend to the board appropriate rules to carry out this chapter;

(3) establish and maintain an adequate system of records and accounts following
recognized accounting principles and controls;

(4) designate an assistant director with the approval of the board;

(5) (4) appoint any employees, both permanent and temporary, that are necessary to
carry out the provisions of this chapter;

(6) (5) organize the work of the system as the director deems necessary to fulfill the
functions of the system, and define the duties of its employees and delegate to them any
powers or duties, subject to the control of the director and under conditions the director
may prescribe. Appointments to exercise delegated power must be by written order and
shall be filed with the secretary of state;

(7) (6) with the advice and consent of the board, contract for the services of an
approved actuary, professional management services, and any other consulting services as
necessary and fix the compensation for those services. The contracts are not subject to
competitive bidding under chapter 16C. Any approved actuary retained by the executive
director shall function as the actuarial advisor of the board and the executive director, and
may perform actuarial valuations and experience studies to supplement those performed
by the actuary retained under section 356.214. Any supplemental actuarial valuations or
experience studies shall be filed with the executive director of the Legislative Commission
on Pensions and Retirement. Professional management services may not be contracted for
more often than once in six years. Copies of professional management survey reports must
be transmitted to the secretary of the senate, the chief clerk of the house of representatives,
and the Legislative Reference Library as provided by section 3.195, and to the executive
director of the commission at the time as reports are furnished to the board. Only
management firms experienced in conducting management surveys of federal, state, or
local public retirement systems are qualified to contract with the director;

(8) (7) with the advice and consent of the board provide in-service training for the
employees of the system;

(9) (8) make refunds of accumulated contributions to former state employees and
to the designated beneficiary, surviving spouse, legal representative, or next of kin of
deceased state employees or deceased former state employees, as provided in this chapter;

(10) (9) determine the amount of the annuities and disability benefits of employees
covered by the system and authorize payment of the annuities and benefits beginning as
of the dates on which the annuities and benefits begin to accrue, in accordance with the
provisions of this chapter;

(11) (10) pay annuities, refunds, survivor benefits, salaries, and necessary operating
expenses of the system;

(12) (11) certify funds available for investment to the State Board of Investment;

(13) (12) with the advice and approval of the board request the State Board of
Investment to sell securities when the director determines that funds are needed for the
system;

(14) (13) prepare and submit to the board and the legislature an annual financial
report covering the operation of the system, as required by section 356.20;

(15) (14) prepare and submit biennial and annual budgets to the board and with
the approval of the board submit the budgets to the Department of Management and
Budget; and

(16) (15) with the approval of the board, perform other duties required to administer
the retirement and other provisions of this chapter and to do its business.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 6.

Minnesota Statutes 2015 Supplement, section 352.23, is amended to read:


352.23 TERMINATION OF RIGHTS; REPAYMENT OF REFUND.

(a) When any employee accepts a refund as provided in section 352.22, all existing
allowable service credits and all rights and benefits to which the employee was entitled
before accepting the refund terminate.

(b) Terminated service credits and rights must not again be restored until the former
employee acquires at least six months of allowable service credit after taking the last
refund. In that event, the employee may repay and repays all refunds previously taken
from the retirement fund with interest as provided in paragraph (d).

(c) Repayment of refunds entitles the employee only to credit for service covered
by (1) salary deductions; (2) payments previously made in lieu of salary deductions as
permitted under law in effect when the payment in lieu of deductions was made; (3)
payments made to obtain credit for service as permitted by laws in effect when payment was
made; and (4) allowable service previously credited while receiving temporary workers'
compensation as provided in section 352.01, subdivision 11, paragraph (a), clause (3).

(d) Payments under this section for repayment of refunds are to be paid with interest
at the rate of 8.5 percent until June 30, 2015, and eight percent thereafter compounded
annually from the date the refund was taken until the date the refund is repaid. They
Repayment may be paid in a lump sum or by payroll deduction in the manner provided in
section 352.04. Payment may be
made in partial payments consistent with section 356.44
during employment or
in a lump sum up to six months after termination from service.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 7.

Minnesota Statutes 2015 Supplement, section 352B.11, subdivision 4, is
amended to read:


Subd. 4.

Reentry into state service.

When a former member, who has become
separated from state service that entitled the member to membership and has received
a refund of retirement payments, reenters the state service in a position that entitles
the member to membership, that member shall receive credit for the period of prior
allowable state service if the member repays into the fund the amount of the refund, plus
interest on it at the rate of 8.5 percent until June 30, 2015, and eight percent thereafter
compounded annually, at any time before subsequent retirement. Repayment may be
made in installments or in a lump sum
. Repayment must be made as provided in section
352.23, paragraph (d).

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 8.

Minnesota Statutes 2015 Supplement, section 352D.05, subdivision 4, is
amended to read:


Subd. 4.

Repayment of refund.

(a) A participant in the unclassified program may
repay regular refunds taken under section 352.22, as provided in section 352.23.

(b) A participant in the unclassified program or an employee covered by the general
employees retirement plan who has withdrawn the value of the total shares may repay
the refund taken and thereupon restore the service credit, rights and benefits forfeited by
paying into the fund the amount refunded plus interest at the rate of 8.5 percent until June
30, 2015, and eight percent thereafter compounded annually from the date that the refund
was taken until the date that the refund is repaid. If the participant had withdrawn only the
employee shares as permitted under prior laws, repayment must be pro rata.

(c) Except as provided in section 356.441, the repayment of a refund under this
section must be made in a lump sum.
Repayment must be made as provided in section
352.23, paragraph (d).

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 9.

Minnesota Statutes 2015 Supplement, section 490.124, subdivision 12, is
amended to read:


Subd. 12.

Refund.

(a) A person who ceases to be a judge is entitled to a refund
in an amount that is equal to all of the member's employee contributions to the judges'
retirement fund plus interest computed under section 352.22, subdivision 2.

(b) A refund of contributions under paragraph (a) terminates all service credits and
all rights and benefits of the judge and the judge's survivors under this chapter.

(c) A person who becomes a judge again after taking a refund under paragraph (a)
may reinstate the previously terminated allowable service credit, rights, and benefits by
repaying the total amount of the previously received refund. The refund repayment must
include interest on the total amount previously received at the annual rate of 8.5 percent
until June 30, 2015, and eight percent thereafter, compounded annually, from the date on
which the refund was received until the date on which the refund is repaid. Repayment
must be made as provided in section 352.23, paragraph (d).

EFFECTIVE DATE.

This section is effective July 1, 2016.

ARTICLE 3

TEACHERS RETIREMENT ASSOCIATION
ADMINISTRATIVE PROVISIONS

Section 1.

Minnesota Statutes 2014, section 354.05, subdivision 2, is amended to read:


Subd. 2.

Teacher.

(a) "Teacher" means:

(1) a person who renders service as a teacher, supervisor, principal, superintendent,
librarian, nurse, counselor, social worker, therapist, or psychologist in:

(i) a public school of the state other than in Independent School District No. 625 or
in Independent School District No. 709, or in any
;

(ii) a charter school, irrespective of the location of the school, or in any; or

(iii) a charitable, penal, or correctional institutions institution of a governmental
subdivision, or ;

(2) a person who is engaged in educational administration in connection with the
state public school system, whether the position be a public office or an as employment;

(3) a person who renders service as a charter school director or chief administrative
officer, provided, however, that if the charter school director or chief administrative officer
is covered by the Public Employees Retirement Association general employees retirement
plan on July 1, 2016, the charter school director or chief administrative officer shall
continue to be covered by that plan and not by the Teachers Retirement Association
;

(2) (4) an employee of the Teachers Retirement Association;

(3) (5) a person who renders teaching service on a part-time basis and who also
renders other services for a single employing unit where the teaching service comprises at
least 50 percent of the combined employment salary is a member of the association for
all services with the single employing unit or, if less than 50 percent of the combined
employment salary, the executive director determines all of the combined service is
covered by the association; or

(4) (6) a person who is not covered by the plans established under chapter 352D,
354A, or 354B and who is employed by the Board of Trustees of the Minnesota State
Colleges and Universities system in an unclassified position as:

(i) a president, vice-president, or dean;

(ii) a manager or a professional in an academic or an academic support program
other than specified in item (i);

(iii) an administrative or a service support faculty position; or

(iv) a teacher or a research assistant.

(b) "Teacher" does not mean:

(1) a person who works for a school or institution as an independent contractor as
defined by the Internal Revenue Service;

(2) a person who renders part-time teaching service or who is a customized trainer
as defined by the Minnesota State Colleges and Universities system if (i) the service is
incidental to the regular nonteaching occupation of the person; and (ii) the employer
stipulates annually in advance that the part-time teaching service or customized training
service will not exceed 300 hours in a fiscal year and retains the stipulation in its records;
and (iii) the part-time teaching service or customized training service actually does not
exceed 300 hours in a fiscal year;

(3) a person exempt from licensure under section 122A.30;

(4) (2) annuitants of the teachers retirement plan who are employed after retirement
by an employing unit that participates in the teachers retirement plan during the course of
that reemployment;

(5) (3) a person who is employed by the University of Minnesota;

(6) (4) a member or an officer of any general governing or managing board or body
of an employing unit that participates in the teachers retirement plan; or

(7) (5) a person employed by Independent School District No. 625 or Independent
School District No. 709
as a teacher as defined in section 354A.011, subdivision 27.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2014, section 354.05, is amended by adding a subdivision
to read:


Subd. 17a.

Former spouse.

"Former spouse" means a person who is no longer a
spouse of a member due to dissolution of the marriage, legal separation, or annulment.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 3.

Minnesota Statutes 2014, section 354.06, subdivision 2, is amended to read:


Subd. 2.

President; executive director.

The board shall annually elect one of
its members as president. It shall elect an executive director, whose salary shall be as
provided by section 15A.0815. The salary of the assistant executive director who shall be
in the unclassified service, shall be set in accordance with section 43A.18, subdivision 3.
The executive director shall serve during the pleasure of the board and be the executive
officer of the board, with such duties as the board shall prescribe. The board shall employ
all other clerks and employees necessary to properly administer the association. The
cost and expense of administering the provisions of this chapter shall be paid by the
association. The board shall appoint an executive director shall be appointed by the
board
on the basis of fitness education, experience in the retirement field and leadership,
ability to manage and lead system staff, and ability to assist the board in setting a vision
for the system
. The executive director shall have had at least five years of experience
on the administrative staff of a major retirement system in either an executive-level
management position or in a position with responsibility for the governance, management,
or administration of a retirement plan
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 4.

Minnesota Statutes 2014, section 354.06, subdivision 2a, is amended to read:


Subd. 2a.

Duties of executive director.

The management of the association is
vested in the executive director who shall be the executive and administrative head of
the association. The executive director shall act as advisor to the board on all matters
pertaining to the association and shall also act as the secretary of the board. The executive
director shall:

(1) attend all meetings of the board;

(2) prepare and recommend to the board appropriate rules to carry out the provisions
of this chapter;

(3) establish and maintain an adequate system of records and accounts following
recognized accounting principles and controls;

(4) designate, as necessary, a deputy executive director and an assistant executive
director in the unclassified service, as defined in section 43A.08, whose salaries shall
be set in accordance with section 43A.18, subdivision 3,
and two assistant executive
directors in the classified service, as defined in section 43A.07, with the approval of the
board, and appoint such employees, both permanent and temporary, as are necessary to
carry out the provisions of this chapter;

(5) organize the work of the association as the director deems necessary to fulfill the
functions of the association, and define the duties of its employees and delegate to them
any powers or duties, subject to the director's control and under such conditions as the
director may prescribe;

(6) with the approval of the board, contract and set the compensation for the services
of an approved actuary, professional management services, and any other consulting
services. These contracts are not subject to the competitive bidding procedure prescribed
by chapter 16C. An approved actuary retained by the executive director shall function as
the actuarial advisor of the board and the executive director and may perform actuarial
valuations and experience studies to supplement those performed by the actuary retained
under section 356.214. Any supplemental actuarial valuations or experience studies shall
be filed with the executive director of the Legislative Commission on Pensions and
Retirement. Copies of professional management survey reports must be transmitted to the
secretary of the senate, the chief clerk of the house of representatives, and the Legislative
Reference Library as provided by section 3.195, and to the executive director of the
commission at the same time as reports are furnished to the board. Only management
firms experienced in conducting management surveys of federal, state, or local public
retirement systems are qualified to contract with the executive director;

(7) with the approval of the board, provide in-service training for the employees
of the association;

(8) make refunds of accumulated contributions to former members and to the
designated beneficiary, surviving spouse, legal representative, or next of kin of deceased
members or deceased former members, under this chapter;

(9) determine the amount of the annuities and disability benefits of members covered
by the association and authorize payment of the annuities and benefits beginning as of the
dates on which the annuities and benefits begin to accrue, under this chapter;

(10) pay annuities, refunds, survivor benefits, salaries, and necessary operating
expenses of the association;

(11) prepare and submit to the board and the legislature an annual financial report
covering the operation of the association, as required by section 356.20;

(12) certify funds available for investment to the State Board of Investment;

(13) with the advice and approval of the board, request the State Board of Investment
to sell securities on determining that funds are needed for the purposes of the association;

(14) prepare and submit biennial and annual budgets to the board and with the
approval of the board submit those budgets to the Department of Management and
Budget; and

(15) with the approval of the board, perform such other duties as may be required for
the administration of the association and the other provisions of this chapter and for the
transaction of its business. The executive director may:

(i) reduce all or part of the accrued interest and fines payable by an employing
unit for reporting requirements under section 354.52, based on an evaluation of any
extenuating circumstances of the employing unit;

(ii) assign association employees to conduct field audits of an employing unit to
ensure compliance with the provisions of this chapter; and

(iii) recover overpayments, if not repaid to the association, by suspending or reducing
the payment of a retirement annuity, refund, disability benefit, survivor benefit, or optional
annuity under this chapter until the overpayment, plus interest, has been recovered.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 5.

Minnesota Statutes 2014, section 354.095, is amended to read:


354.095 MEDICAL LEAVE.

(a) Upon granting a medical leave, an employing unit must certify the leave to the
association on a form specified by the executive director. A member of the association
who is on an authorized medical leave of absence is entitled to receive allowable service
credit, not to exceed one year five years, for the period of leave, upon making the
prescribed payment to the fund under section 354.72. A member may not receive more
than one year of allowable service credit during any fiscal year by making payment under
this section. A member may not receive disability benefits under section 354.48 and
receive allowable service credit under this section for the same period of time.

(b) The executive director shall reject an application for disability benefits under
section 354.48 if the member is applying only because an employer-sponsored provider of
private disability insurance benefits requires such an application and the member would
not have applied for disability benefits in the absence of such requirement. The member
shall submit a copy of the disability insurance policy that requires an application for
disability benefits from the plan if the member wishes to assert that the application is only
being submitted because of the disability insurance policy requirement.

(c) Notwithstanding the provisions of any agreement to the contrary, employee
and employer contributions may not be made to receive allowable service credit under
this section if the member does not retain the right to full reinstatement both during and
at the end of the medical leave.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 6.

Minnesota Statutes 2015 Supplement, section 354.44, subdivision 9, is
amended to read:


Subd. 9.

Determining applicable law.

A former teacher who returns to covered
service following a termination and who is not receiving a retirement annuity under this
section must have earned at least 85 days one-half year of credited service following the
return to covered service to be eligible for improved benefits resulting from any law
change enacted subsequent to that termination.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 7.

Minnesota Statutes 2014, section 354.45, is amended by adding a subdivision
to read:


Subd. 3.

Payment upon death of former spouse.

Upon the death of the former
spouse to whom payments are to be made before the end of the specified payment period,
payments shall be made according to the terms of a beneficiary form completed by the
former spouse or, if no beneficiary form, to the estate of the former spouse.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 8.

Minnesota Statutes 2014, section 354.46, subdivision 6, is amended to read:


Subd. 6.

Application.

(a) A beneficiary designation and an application for benefits
under this section must be in writing on a form prescribed by the executive director.

(b) Sections 354.55, subdivision 11, and 354.60 apply to a deferred annuity payable
under this section.

(c) Unless otherwise specified, the annuity must be computed under section 354.44,
subdivision 2
or 6, whichever is applicable.

(d) Each designated beneficiary eligible for a lifetime benefit under this subdivision
may apply for an annuity any time after the member's death. The benefit may not begin to
accrue more than six months before the date the application is filed with the executive
director and may not accrue before the member's death.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 9.

Minnesota Statutes 2014, section 354.48, subdivision 1, is amended to read:


Subdivision 1.

Age, service and salary requirements.

A member who is totally and
permanently disabled, who has not reached the normal retirement age as defined in section
354.05, subdivision 38,
and who has at least three years of credited allowable service at the
time that the total and permanent disability begins is entitled to a disability benefit based
on this allowable service in an amount provided in subdivision 3. If the disabled member's
teaching service has terminated at any time, at least two of the required three years of
allowable service must have been rendered after last becoming a member. Any member
whose average salary is less than $75 per month is not entitled to disability benefits.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 10.

Minnesota Statutes 2014, section 354.52, subdivision 4, is amended to read:


Subd. 4.

Reporting and remittance requirements.

An employer shall remit all
amounts due to the association and furnish a statement indicating the amount due and
transmitted with any other information required by the executive director. If an amount
due is not received by the association within 14 calendar days of the payroll warrant,
the amount accrues interest at an annual rate of 8.5 percent compounded annually from
the due date until the amount is received by the association. All amounts due and other
employer obligations not remitted within 60 days of notification by the association must
may be certified to the commissioner of management and budget who shall deduct the
amount from any state aid or appropriation amount applicable to the employing unit.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 11.

Minnesota Statutes 2014, section 354.52, subdivision 6, is amended to read:


Subd. 6.

Noncompliance consequences.

(a) An employing unit that does not
comply with the reporting requirements under subdivision 2a, 4a, 4b, or 4d, clause (1),
must pay a fine of $5 per calendar day until the association receives the required data.

(b) If the annual base salary required to be reported under subdivision 4d has not
been settled or determined as of June 16, the fine commences if the annual base salary has
not been reported to the association within 14 days following the settlement date.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 12.

Minnesota Statutes 2014, section 423A.02, subdivision 3, is amended to read:


Subd. 3.

Reallocation of amortization state aid.

(a) Seventy percent of the
difference between $5,720,000 and the current year amortization aid distributed under
subdivision 1 that is not distributed for any reason to a municipality must be distributed
by the commissioner of revenue according to this paragraph. The commissioner shall
distribute 60 percent of the amounts derived under this paragraph to the Teachers
Retirement Association, and 40 percent to the St. Paul Teachers Retirement Fund
Association to fund the unfunded actuarial accrued liabilities of the respective funds.
These payments must be made on July 15 each fiscal year. If the St. Paul Teachers
Retirement Fund Association or the Duluth Teachers Retirement Fund Association
becomes fully funded, the association's eligibility for its portion of this aid ceases.
Amounts remaining in the undistributed balance account at the end of the biennium if aid
eligibility ceases cancel to the general fund.

(b) In order to receive amortization aid under paragraph (a), before June 30 annually
Independent School District No. 625, St. Paul, must make an additional contribution of
$800,000 each year to the St. Paul Teachers Retirement Fund Association.

(c) Thirty percent of the difference between $5,720,000 and the current year
amortization aid under subdivision 1 that is not distributed for any reason to a municipality
must be distributed under section 69.021, subdivision 7, paragraph (d), as additional
funding to support a minimum fire state aid amount for volunteer firefighter relief
associations.

EFFECTIVE DATE.

This section is effective July 1, 2016.

ARTICLE 4

PUBLIC EMPLOYEES RETIREMENT ASSOCIATION
ADMINISTRATIVE PROVISIONS

Section 1.

Minnesota Statutes 2015 Supplement, section 353.0162, is amended to read:


353.0162 REDUCED SALARY PERIODS SALARY CREDIT PURCHASE
FOR PERIODS OF REDUCED SALARY.

(a) A member may purchase additional differential salary credit, as described in
paragraph (c),
for a period specified in this section paragraph (b).

(b) The applicable period is a period during which the member is receiving a no or
reduced salary from the employer while the member is:

(1) receiving temporary workers' compensation payments related to the member's
service to the public employer;

(2) on an authorized leave of absence, except that if the authorized leave of absence
exceeds 12 months, the period of leave for which differential salary credit may be
purchased is limited to 12 months
; or

(3) on an authorized partial paid leave of absence as a result of a budgetary or salary
savings program offered or mandated by a governmental subdivision, if certified to the
executive director by the governmental subdivision
.

(c) The Differential salary amount credit is the difference between the average
monthly
salary received by the member during the a period of reduced salary under
this section
specified in paragraph (b) and the average monthly salary of the member,
excluding overtime, on which contributions to the applicable plan were would have
been
made during the period of the last six months of covered employment occurring
immediately before the period of reduced salary, applied to
based on the member's normal
employment period, measured in hours or otherwise, as applicable, and rate of pay.

(d) To receive eligible differential salary credit, the member shall pay the plan, by
delivering payment to the executive director,
an amount equal to:

(1) the applicable employee contribution rate under section 353.27, subdivision
2
; 353.65, subdivision 2; or 353E.03, subdivision 1, as applicable, multiplied by the
differential salary amount;

(2) plus an employer equivalent payment equal to the applicable employer
contribution rate in section 353.27, subdivision 3; 353.65, subdivision 3; or 353E.03,
subdivision 2
, as applicable, multiplied by the differential salary amount;

(3) plus, if applicable, an equivalent employer additional amount equal to the
additional employer contribution rate in section 353.27, subdivision 3a, multiplied by the
differential salary amount.

(e) The employer, by appropriate action of its governing body and documented in its
official records, may pay the employer equivalent contributions and, as applicable, the
equivalent employer additional contributions on behalf of the member.

(f) Payment under this section must include interest on the contribution amount or
amounts, whichever applies, at an 8.5 percent annual rate until June 30, 2015, and at an
eight percent annual rate thereafter, prorated for applicable months from the date on which
the period of reduced salary specified under this section in paragraph (b) terminates to the
date on which the payment or payments are received by the executive director. Payment
under this section must be completed within by the earlier earliest of:

(1) 30 days from after termination of public service by the employee under section
353.01, subdivision 11a, or ;

(2) one year after the termination of the period specified in paragraph (b), as further
restricted under this section
; or

(3) 30 days after the commencement of a disability benefit.

(g) The period for which additional allowable salary credit may be purchased is
limited to the period during which the person receives temporary workers' compensation
payments or for those business years in which the governmental subdivision offers or
mandates a budget or salary savings program, as certified to the executive director by a
resolution of the governing body of the governmental subdivision. For an authorized leave
of absence, the period for which allowable salary credit may be purchased may not exceed
12 months of authorized leave.

(h) To purchase (g) If the member has purchased 12 months of differential salary
credit for a subsequent period of temporary workers' compensation benefits or subsequent
authorized medical leave of absence
, the member must return to public service and render
a minimum of three months of allowable service to purchase differential salary credit for
a subsequent leave of absence
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2014, section 353.32, subdivision 1, is amended to read:


Subdivision 1.

Before retirement.

If a member or former member who terminated
public service
dies before retirement or before receiving any retirement annuity and no
other payment of any kind is or may become payable to any person, a refund is payable to
the designated beneficiary or, if there be none, to the surviving spouse, or, if none, to the
legal representative of the decedent's estate. The refund must be in an amount equal to
accumulated deductions, less the sum of any disability or survivor benefits that have been
paid by the fund,
plus annual compound interest thereon at the rate specified in section
353.34, subdivision 2, and less the sum of any disability or survivor benefits, if any, that
may have been paid by the fund;
provided that a survivor who has a right to benefits under
section 353.31 may waive such benefits in writing, except such benefits for a dependent
child under the age of 18 years may only be waived under an order of the district court.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 3.

Minnesota Statutes 2014, section 353.34, subdivision 2, is amended to read:


Subd. 2.

Refund with interest.

(a) Except as provided in subdivision 1, any person
who ceases to be a public employee is entitled to receive a refund in an amount equal
to accumulated deductions with, less the sum of any disability benefits that have been
paid by the fund, plus
annual compound interest to the first day of the month in which
the refund is processed.

(b) For a person who ceases to be a public employee before July 1, 2011, the refund
interest is at the rate of six percent to June 30, 2011, and at the rate of four percent after
June 30, 2011. For a person who ceases to be a public employee after July 1, 2011, the
refund interest is at the rate of four percent.

(c) If a person repays a refund and subsequently applies for another refund, the
repayment amount, including interest, is added to the fiscal year balance in which the
repayment was made.

(d) If the refund payable to a member is based on employee deductions that are
determined to be invalid under section 353.27, subdivision 7, the interest payable on the
invalid employee deductions is four percent.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 4.

Minnesota Statutes 2015 Supplement, section 353.64, subdivision 10, is
amended to read:


Subd. 10.

Pension coverage for Hennepin Healthcare System, Inc.; paramedics
and emergency medical technicians.

An employee of Hennepin Healthcare System,
Inc. is a member of the public employees police and fire retirement plan under sections
353.63 to 353.68 if the person is:

(1) certified as a paramedic or emergency medical technician by the state under
section 144E.28, subdivision 4;

(2) employed full time by Hennepin County as:

(i) a paramedic or;

(ii) an emergency medical technician by Hennepin County; or

(iii) a supervisor or manager of paramedics or emergency medical technicians; and

(3) not eligible for coverage under the agreement signed between the state and the
secretary of the federal Department of Health and Human Services making the provisions
of the federal Old Age, Survivors, and Disability Insurance Act applicable to paramedics
and emergency medical technicians because the person's position is excluded after that
date from application under United States Code, title 42, sections 418(d)(5)(A) and
418(d)(8)(D), and section 355.07.

Hennepin Healthcare System, Inc. shall deduct the employee contribution from
the salary of each full-time paramedic and emergency medical technician it employs as
required by section 353.65, subdivision 2, shall make the employer contribution for each
full-time paramedic and emergency medical technician it employs as required by section
353.65, subdivision 3, and shall meet the employer recording and reporting requirements
in section 353.65, subdivision 4.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 5. REPEALER.

(a) Minnesota Statutes 2014, section 353.0161, subdivision 1, is repealed.

(b) Minnesota Statutes 2015 Supplement, section 353.0161, subdivisions 2 and
3,
are repealed.

EFFECTIVE DATE.

This section is effective July 1, 2016.

ARTICLE 5

ST. PAUL TEACHERS RETIREMENT FUND ASSOCIATION
ADMINISTRATIVE PROVISIONS

Section 1.

Minnesota Statutes 2014, section 354A.093, subdivision 4, is amended to
read:


Subd. 4.

Eligible payment period.

(a) To receive service credit under this section,
the contributions specified in this section must be transmitted to the applicable first class
city
St. Paul Teachers Retirement Fund Association during the period which begins with
the date the individual returns to teaching service and which has a duration of three times
the length of the uniformed service period, but not to exceed five years.

(b) Notwithstanding paragraph (a), if the payment period determined under
paragraph (a) is less than one year, the contributions required under this section to receive
service credit may be made within one year from the discharge date.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 354A.093, subdivision 6, is
amended to read:


Subd. 6.

Interest requirements.

The employer shall pay interest on all equivalent
employee and employer contribution amounts payable under this section. Interest must
be computed at the rate of 8.5 percent until June 30, 2015, and eight percent thereafter
compounded annually
from the end of each fiscal year of the leave or break in service to the
end of the month in which payment is received at the annual compound rate of 8.5 percent
for any period, or portion thereof, through June 30, 2015, and eight percent thereafter
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 3.

Minnesota Statutes 2015 Supplement, section 354A.096, is amended to read:


354A.096 MEDICAL LEAVE.

Any teacher in the coordinated program of the St. Paul Teachers Retirement Fund
Association who is on an authorized medical leave of absence and subsequently returns to
teaching service is entitled to receive allowable service credit, not to exceed one year, for
the period of leave, upon making the prescribed payment to the fund. This payment must
include the required employee and employer contributions at the rates specified in section
354A.12, subdivisions 1 and 2a, as applied to the member's average full-time monthly
salary rate on the date the leave of absence commenced plus annual interest compounded
annually from the end of the fiscal year during which the leave terminates to the end of
the month during which payment is made
at the rate of 8.5 percent until for any period,
or portion thereof,
through June 30, 2015, and eight percent thereafter per year from the
end of the fiscal year during which the leave terminates to the end of the month during
which payment is made
. The member must pay the total amount required unless the
employing unit, at its option, pays the employer contributions. The total amount required
must be paid by the end of the fiscal year following the fiscal year in which the leave of
absence terminated or before the member retires, whichever is earlier. Payment must be
accompanied by a copy of the resolution or action of the employing authority granting the
leave and the employing authority, upon granting the leave, must certify the leave to the
association in a manner specified by the executive director. A member may not receive
more than one year of allowable service credit during any fiscal year by making payment
under this section. A member may not receive disability benefits under section 354A.36
and receive allowable service credit under this section for the same period of time.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 4.

Minnesota Statutes 2014, section 354A.38, as amended by Laws 2015, chapter
68, article 2, section 15, is amended to read:


354A.38 EFFECT OF REFUND; REPAYMENT OF REFUND.

Subdivision 1.

Effect of refund; termination of service credit.

If a coordinated
member or former coordinated member applies for and accepts is issued a refund pursuant
to section 354A.37, all allowable service which was credited to the member or former
member shall be terminated.

Subd. 2.

Repayment of refund.

A coordinated member with at least two years of
allowable service credited subsequent to the member's last application for and acceptance
payment of a refund pursuant to section 354A.37 shall be entitled to repay the refund. The
amount of the refund repayment shall be calculated pursuant to subdivision 3. If the
member has previously applied for and accepted taken more than one refund, and the
previous refund or
all refunds have not been must be repaid pro rata, then the member
shall be entitled only to repay all outstanding refunds and shall not be entitled to repay
only the most recent refund
.

Subd. 3.

Computation of refund repayment amount.

If the coordinated member
elects to repay a refund under subdivision 2, the repayment to the fund must be in an
amount equal to the refunds the member has accepted been issued plus interest at the rate
of 8.5 percent until June 30, 2015, and eight percent thereafter
compounded annually
from the date that the refund was accepted issued to the date that the refund is repaid at a
rate of 8.5 percent for any period, or portion thereof, through June 30, 2015, and eight
percent thereafter
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

ARTICLE 6

RETIREMENT SYSTEMS, GENERALLY, ADMINISTRATIVE PROVISIONS

Section 1.

Minnesota Statutes 2014, section 356.30, subdivision 1, is amended to read:


Subdivision 1.

Eligibility; computation of annuity.

(a) Notwithstanding any
provisions of the laws governing the retirement plans enumerated in subdivision 3, a
person who has met the qualifications of paragraph (b) may elect to receive:

(1) a retirement annuity from each enumerated retirement plan in which the person
has at least one-half year of allowable service, based on the allowable service in each plan,
and subject to the provisions of paragraph (c).; and

(2) augmentation of a deferred annuity calculated at the appropriate rate under the
laws governing the applicable enumerated retirement plan.

(b) A person may receive, upon retirement, a retirement annuity from each
enumerated retirement plan in which the person has at least one-half year of allowable
service
annuities as described in paragraph (a), clause (1), and augmentation of a any
deferred annuity calculated at the appropriate rate under the laws governing each public
pension plan or fund named in subdivision 3, based on the date of the person's initial
entry into public employment from the date the person terminated all public service
as
described in paragraph (a), clause (2),
if:

(1) the person has allowable service in any two or more of the enumerated plans;

(2) the person has sufficient allowable service in total that equals or exceeds the
applicable service credit vesting requirement of the retirement plan with the longest
applicable service credit vesting requirement; and

(3) the person has not begun to receive an annuity from any enumerated plan or the
person has made application for benefits from each applicable plan
before terminating all
public service;
and

(4) the effective dates of the retirement annuity with each plan under which the
person chooses to receive an annuity are within a one-year period.

(c) The retirement annuity from each plan must be based upon the allowable service,
accrual rates, and average salary in the applicable plan except as further specified or
modified in the following clauses:

(1) the laws governing annuities must be the law in effect on the date of termination
from the last period of public service under a covered retirement plan with which the person
earned a minimum of one-half year of allowable service credit during that employment;

(2) the "average salary" on which the annuity from each covered plan in which
the employee has credit in a formula plan must be based on the employee's highest five
successive years of covered salary during the entire service in covered plans;

(3) the accrual rates to be used by each plan must be those percentages prescribed by
each plan's formula as continued for the respective years of allowable service from one
plan to the next, recognizing all previous allowable service with the other covered plans;

(4) the allowable service in all the plans must be combined in determining eligibility
for and the application of each plan's provisions in respect to reduction in the annuity
amount for retirement prior to normal retirement age; and

(5) the annuity amount payable for any allowable service under a nonformula plan
of a covered plan must not be affected, but such service and covered salary must be used
in the above calculation.

(d) This section does not apply to any person whose final termination from the last
public service under a covered plan was before May 1, 1975.

(e) For the purpose of computing annuities under this section, the accrual rates
used by any covered plan, except the public employees police and fire plan, the judges
retirement fund, and the State Patrol retirement plan, must not exceed 2.7 percent per year
of service for any year of service or fraction thereof. The formula percentage used by the
judges retirement fund must not exceed 3.2 percent per year of service for any year of
service or fraction thereof. The accrual rate used by the public employees police and fire
plan and the State Patrol retirement plan must not exceed 3.0 percent per year of service
for any year of service or fraction thereof. The accrual rate or rates used by the legislators
retirement plan must not exceed 2.5 percent, but this limit does not apply to the adjustment
provided under section 3A.02, subdivision 1, paragraph (c).

(f) Any period of time for which a person has credit in more than one of the covered
plans must be used only once for the purpose of determining total allowable service.

(g) If the period of duplicated service credit is more than one-half year, or the person
has credit for more than one-half year, with each of the plans, each plan must apply its
formula to a prorated service credit for the period of duplicated service based on a fraction
of the salary on which deductions were paid to that fund for the period divided by the total
salary on which deductions were paid to all plans for the period.

(h) If the period of duplicated service credit is less than one-half year, or when
added to other service credit with that plan is less than one-half year, the service credit
must be ignored and a refund of contributions made to the person in accord with that
plan's refund provisions.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2015 Supplement, section 356.50, subdivision 2, is
amended to read:


Subd. 2.

Service credit procedure.

(a) To obtain the public pension plan
allowable service credit, the eligible person under subdivision 1 shall pay the required
member contribution amount. The required member contribution amount is the member
contribution rate or rates in effect for the pension plan during the period of service covered
by the back pay award, applied to the unpaid gross salary amounts of the back pay award
including unemployment insurance, workers' compensation, or wages from other sources
which reduced the back award. No contributions may be made under this clause for
compensation covered by a public pension plan listed in section 356.30, subdivision 3,
for employment during the removal period. The person shall pay the required member
contribution amount within 60 days of the date of receipt of the back pay award or within
60 days of a billing from the retirement fund, whichever is later.

(b) The public employer who wrongfully discharged the public employee must pay
an employer contribution on the back pay award. The employer contribution must be
based on the employer contribution rate or rates in effect for the pension plan during the
period of service covered by the back pay award, applied to the salary amount on which
the member contribution amount was determined under paragraph (a). The employer must
pay the
interest on both the required member and employer contribution amount must be
paid by the employer
amounts from the date the contribution amount would have been paid
to the date of actual payment
at the annual compound rate of 8.5 percent for any period
for the Teachers Retirement Association and 8.5 percent until for any period, or portion
thereof, through
June 30, 2015, and eight percent thereafter, for any other retirement plan
listed in section 356.30, subdivision 3, per year, expressed monthly, between the date the
contribution amount would have been paid to the date of actual payment
. The employer
payment must be made within 30 days of the payment under paragraph (a).

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 3.

Minnesota Statutes 2015 Supplement, section 356.551, subdivision 2, is
amended to read:


Subd. 2.

Determination.

(a) Unless the minimum purchase amount set forth in
paragraph (c) applies, the prior service credit purchase amount is an amount equal to the
actuarial present value, on the date of payment, as calculated by the chief administrative
officer of the pension plan and reviewed by the actuary retained under section 356.214,
of the amount of the additional retirement annuity obtained by the acquisition of the
additional service credit in this section.

(b) Calculation of this amount must be made using the preretirement interest rate
applicable to the public pension plan specified in section 356.215, subdivision 8, and
the mortality table adopted for the public pension plan. The calculation must assume
continuous future service in the public pension plan until, and retirement at, the age at
which the minimum requirements of the fund for normal retirement or retirement with an
annuity unreduced for retirement at an early age, including section 356.30, are met with
the additional service credit purchased. The calculation must also assume a full-time
equivalent salary, or actual salary, whichever is greater, and a future salary history that
includes annual salary increases at the applicable salary increase rate for the plan specified
in section 356.215, subdivision 4d 8.

(c) The prior service credit purchase amount may not be less than the amount
determined by applying, for each year or fraction of a year being purchased, the sum of the
employee contribution rate, the employer contribution rate, and the additional employer
contribution rate, if any, applicable during that period, to the person's annual salary during
that period, or fractional portion of a year's salary, if applicable, plus interest at the annual
rate of 8.5 percent
until June 30, 2015, and eight percent thereafter compounded annually
from the end of the year in which contributions would otherwise have been made to
the date on which the payment is received at the rate of 8.5 percent for any period for
the Teachers Retirement Association and 8.5 percent for any period, or portion thereof,
through June 30, 2015, and eight percent thereafter, for any other retirement plan listed
in section 356.30, subdivision 3
.

(d) Unless otherwise provided by statutes governing a specific plan, payment must
be made in one lump sum within one year of the prior service credit authorization or prior
to the member's effective date of retirement, whichever is earlier. Payment of the amount
calculated under this section must be made by the applicable eligible person.

(e) However, the current employer or the prior employer may, at its discretion, pay
all or any portion of the payment amount that exceeds an amount equal to the employee
contribution rates in effect during the period or periods of prior service applied to the
actual salary rates in effect during the period or periods of prior service, plus interest at the
rate of 8.5 percent a year
compounded annually from the date on which the contributions
would otherwise have been made to the date on which the payment is made at the rate of
8.5 percent for any period for the Teachers Retirement Association and 8.5 percent for any
period, or portion thereof, through June 30, 2015, and eight percent thereafter, for any other
retirement plan listed in section 356.30, subdivision 3
. If the employer agrees to payments
under this subdivision, the purchaser must make the employee payments required under
this subdivision within 90 days of the prior service credit authorization. If that employee
payment is made, the employer payment under this subdivision must be remitted to the
chief administrative officer of the public pension plan within 60 days of receipt by the
chief administrative officer of the employee payments specified under this subdivision.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 4.

Minnesota Statutes 2014, section 356.635, is amended by adding a subdivision
to read:


Subd. 9a.

Definitions.

(a) The following definitions apply for purposes of this
subdivision and subdivisions 10 to 12.

(b) "Annual addition" means the sum for the limitation year of all pretax and after-tax
contributions made by the member or the member's employer and credited to an account
in the name of the member in any defined contribution plan maintained by the employer.

(c) "Compensation" means the compensation actually paid or made available to
a member for any limitation year, including all items of remuneration described in
Code of Federal Regulations, title 26, section 1.415(c)-2(b), and excluding all items of
remuneration described in Code of Federal Regulations, title 26, section 1.415(c)-2(c).
Compensation for pension plan purposes for any limitation year shall not exceed the
applicable federal compensation limit described in section 356.611, subdivision 2.

(d) "Limitation year" means the calendar year or fiscal year, whichever is applicable
to the particular pension plan.

(e) "Maximum permissible benefit" means an annual benefit of $160,000,
automatically adjusted under section 415(d) of the Internal Revenue Code for each
limitation year ending after December 31, 2001, payable in the form of a single life
annuity. The new limitation shall apply to limitation years ending with or within the
calendar year of the date of the adjustment, but a member's benefits shall not reflect the
adjusted limit prior to January 1 of that calendar year. The maximum permissible benefit
amount shall be further adjusted as follows:

(1) if the member has less than ten years of participation, the maximum permissible
benefit shall be multiplied by a fraction, the numerator of which is the number of years (or
part thereof, but not less than one year) of participation in the plan, and the denominator of
which is ten;

(2) if the annual benefit begins before the member has attained age 62, the
determination as to whether the maximum permissible benefit limit has been satisfied shall
be made, in accordance with regulations prescribed by the United States secretary of the
treasury, by reducing the limit so that the limit, as so reduced, equals an annual benefit,
beginning when the annual benefit actually begins, which is equivalent to a $160,000, as
adjusted, annual benefit beginning at age 62; and

(3) if the annual benefit begins after the member has attained age 65, the
determination as to whether the maximum permissible benefit limit has been satisfied shall
be made, in accordance with regulations prescribed by the United States secretary of the
treasury, by increasing the limit so that the limit, as so increased, equals an annual benefit,
beginning when the annual benefit actually begins, which is equivalent to a $160,000, as
adjusted, annual benefit beginning at age 65.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 5.

Minnesota Statutes 2015 Supplement, section 356.635, subdivision 10, is
amended to read:


Subd. 10.

Annual benefit limitations; defined benefit plans.

(a) The annual benefit
payable to a member shall not exceed the maximum permissible benefit. If the benefit the
member would otherwise receive for a limitation year would result in the payment of an
annual benefit in excess of the maximum permissible benefit, the benefit shall be reduced
to the extent necessary so the benefit does not exceed the maximum permissible benefit.

(b) For purposes of applying the limits of section 415(b) of the Internal Revenue
Code, a retirement
limitation in paragraph (a), an annual benefit that is payable in any
form other than a single life annuity and that is subject to section 417(e)(3) of the Internal
Revenue Code must
shall be adjusted to an actuarially equivalent single life annuity
that equals, if the annuity starting date is in a plan year beginning after 2005, the annual
amount of the single life annuity commencing at the same annuity starting date that has
the same actuarial present value as the participant's member's form of benefit, using
whichever of the following produces the greatest annual amount:

(1) the interest rate and the mortality table or other tabular factor specified in the
plan for adjusting benefits in the same form;

(2) a 5.5 percent interest rate assumption and the applicable mortality table; or

(3) the applicable interest rate under section 417(e)(3) of the Internal Revenue Code
and the applicable mortality table, divided by 1.05.

(c) If a member participated in more than one pension plan in which the employer
participates, the benefits under each plan must be reduced proportionately to satisfy the
limitation in paragraph (a).

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 6.

Minnesota Statutes 2014, section 356.635, is amended by adding a subdivision
to read:


Subd. 11.

Annual addition limitation; defined contribution plans.

The annual
additions by or on behalf of a member to a defined contribution plan for any limitation
year shall not exceed the lesser of (1) 100 percent of the member's compensation for
the limitation year or (2) the dollar limit in effect for the limitation year under section
415(c)(1)(A) of the Internal Revenue Code, as adjusted by the United States secretary of
the treasury under section 415(d)(1)(C) of the Internal Revenue Code.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 7.

Minnesota Statutes 2014, section 356.635, is amended by adding a subdivision
to read:


Subd. 12.

Incorporation by reference.

Any requirements of section 415(b) and (c)
of the Internal Revenue Code and related regulations and agency guidance not addressed
by subdivisions 10 and 11 shall be considered incorporated by reference, including
provisions applicable to qualified police and firefighters and to survivor and disability
benefits. Subdivisions 10 to 12 shall be interpreted in a manner that is consistent with the
requirements of section 415(b) and (c) of the Internal Revenue Code and the related
regulations.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 8.

Minnesota Statutes 2014, section 356.635, is amended by adding a subdivision
to read:


Subd. 13.

Correction of errors.

The executive director of each plan may correct an
operational, demographic, employer eligibility, or plan document error as the executive
director deems necessary or appropriate to preserve and protect the plan's tax qualification
under section 401(a) of the Internal Revenue Code, including as provided in the Internal
Revenue Service's Employee Plans Compliance Resolution System (EPCRS) or any
successor thereto. To the extent deemed necessary by the executive director to implement
correction, the executive director may:

(1) make distributions;

(2) transfer assets; or

(3) recover an overpayment by reducing future benefit payments or designating
appropriate revenue or source of funding that will restore to the plan the amount of the
overpayment.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 9.

Minnesota Statutes 2014, section 356.96, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) Unless the language or context clearly indicates that
a different meaning is intended, for the purpose of this section, the terms in paragraphs
(b) to (e)
this subdivision have the meanings given them.

(b) "Chief administrative officer" "Executive director" means the executive director
of a covered pension plan or the executive director's designee or representative.

(c) "Covered pension plan" means a plan enumerated in section 356.20, subdivision
2
, clauses (1) to (4), (8), and (11) to (14), but does not mean the deferred compensation
plan administered under sections 352.965 and 352.97 or to the postretirement health care
savings plan administered under section 352.98.

(d) "Governing board" means the Board of Trustees of the Public Employees
Retirement Association, the Board of Trustees of the Teachers Retirement Association, or
the Board of Directors of the Minnesota State Retirement System.

(e) "Person" includes means an active, retired, deferred, or nonvested inactive
participant in a covered pension plan or a beneficiary of a participant, or an individual
who has applied to be a participant or who is or may be a survivor of a participant,
or the representative of a state agency or other governmental unit that employs active
participants in a covered pension plan.

(f) "Petitioner" means a person who has filed a petition for review of an executive
director's determination under this section.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 10.

Minnesota Statutes 2014, section 356.96, subdivision 2, is amended to read:


Subd. 2.

Right to review appeal to executive director; determination.

A
determination made by the chief administrative officer person may appeal a decision by
the staff
of a covered pension plan regarding a the person's eligibility, benefits, or other
rights under the plan with which the person does not agree to the executive director of
the plan. The appeal must be in writing and be delivered to the executive director. The
executive director may overturn, modify, or affirm the staff's decision. The executive
director's determination
is subject to review under this section.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 11.

Minnesota Statutes 2014, section 356.96, subdivision 3, is amended to read:


Subd. 3.

Notice of determination.

If the applicable chief administrative officer
denies an application or a written request, modifies a benefit, or terminates a benefit
of a person
claiming a right or potential rights under a covered pension plan, the chief
administrative officer shall notify that person through a written notice containing:
The
executive director shall issue a written notice of determination to the person who files an
appeal under subdivision 2. The notice of determination must be delivered by certified
mail to the address to which the most recent benefit payment was sent or, if that address
is that of a financial institution, to the last known address of the person. The notice of
determination shall include the following:

(1) a statement of the reasons for the determination;

(2) a notice statement that the person may petition the governing board of the
covered pension plan for a review of the determination and that a person's petition for
review must be filed in the administrative office of the covered pension plan within no
later than
60 days of the receipt after the date of the written notice of the determination;

(3) a statement indicating that a failure to petition for review within 60 days
precludes the person from contesting in any other further administrative or judicial
review or court procedure the issues determined by the chief administrative officer of the
executive director's determination
;

(4) a statement indicating that all relevant materials, documents, affidavits, and
other records that the person wishes to be reviewed in support of the petition and a list
of any witnesses who will testify before the governing board, along with a summary of
their testimony,
must be filed with and received in the administrative office of the covered
pension plan at least 15 days before the date of the hearing under subdivision 10 or as
directed by the administrative law judge who conducts a fact-finding conference under
subdivision 7, paragraph (b), or a contested case hearing under subdivision 12, paragraph
(b)
; and

(5) a summary of this section, including all filing requirements and deadlines.; and

(6) the statement required under subdivision 4, paragraph (a), if applicable.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 12.

Minnesota Statutes 2014, section 356.96, subdivision 4, is amended to read:


Subd. 4.

Termination of benefits.

(a) If a covered pension plan decides to the
executive director's determination will
terminate a benefit that is being paid to a person,
before terminating the benefit, the chief administrative officer must, in addition to the
other procedures prescribed in this section, provide the individual with written notice of
the pending benefit termination by certified mail. The notice must explain the reason for
the pending benefit termination. The person must be given an
the notice of determination
must also state that the person has the
opportunity to explain, in writing, in person, by
telephone, or by e-mail, the reasons that the benefit should not be terminated.

(b) If the chief administrative officer is unable to contact the person and notice of
determination is returned as undeliverable, and the person cannot be reached by any other
reasonable means of communication, and the executive director
determines that a failure
to terminate the benefit will result in unauthorized payment by a covered pension plan,
the chief administrative officer executive director may terminate the benefit immediately
upon mailing a written notice containing the information required by subdivision 3 to the
address to which the most recent benefit payment was sent and, if that address is that of a
financial institution, to the last known address of the person
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 13.

Minnesota Statutes 2014, section 356.96, subdivision 5, is amended to read:


Subd. 5.

Petition for review.

(a) Upon receipt of the notice of determination
required in subdivision 3,
a person who claims a right under subdivision 2 may petition
the governing board of the covered pension plan for a review of that decision by the
governing board of the covered pension plan
the executive director's determination.

(b) A petition under this section must be sent to the chief administrative officer
by mail and must be postmarked
The petitioner must file the petition for review with
the administrative office of the covered pension plan
no later than 60 days after the
person received date of the notice of determination required by subdivision 3. Filing of
the petition is effective upon mailing or personal delivery.
The petition must include
the person's petitioner's statement of the reason or reasons that the person believes the
decision of the chief administrative officer
determination of the executive director
should be reversed or modified. The petition may include all documentation and written
materials that the petitioner deems to be relevant. In developing a record for review by
the board when a decision is appealed, the chief administrative officer may direct that the
applicant participate in a fact-finding session conducted by an administrative law judge
assigned by the Office of Administrative Hearings and, as applicable, participate in a
vocational assessment conducted by a qualified rehabilitation counselor on contract with
the applicable retirement system.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 14.

Minnesota Statutes 2014, section 356.96, subdivision 6, is amended to read:


Subd. 6.

Failure to petition.

If a timely petition for review under subdivision 5 is
not filed with the chief administrative officer, office of the covered pension plan's plan,
the executive director's
determination is final and is not subject to further administrative
or judicial review.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 15.

Minnesota Statutes 2014, section 356.96, subdivision 7, is amended to read:


Subd. 7.

Notice of hearing; fact-finding; filing and timing requirements.

(a)
After receiving a petition, the chief administrative officer executive director must schedule
a timely hearing to review of the petition before the governing board of the covered
pension plan or the executive director may defer the scheduling of a hearing until after
a fact-finding conference under paragraph (b)
. The review must be scheduled to take
into consideration any necessary accommodations to allow the petitioner to participate
in the governing board's review.

(b) The executive director may direct the petitioner to participate in a fact-finding
conference conducted by an administrative law judge assigned by the Office of
Administrative Hearings. The fact-finding conference is an informal proceeding not
subject to the provisions of Minnesota Rules, chapter 1400, except that part 1400.7300
shall govern the admissibility of evidence and part 1400.8603 shall govern how the
fact-finding conference is conducted. The administrative law judge must issue a report
and a recommendation to the governing board.

(c) If the petitioner's claim relates to disability benefits, the executive director may
direct the petitioner to participate in a vocational assessment conducted by a qualified
rehabilitation counselor under contract with the covered pension plan. The counselor must
issue a report regarding the assessment to the governing board.

(b) (d) Not less than 30 calendar days before the date scheduled for the hearing
date before the governing board, the chief administrative officer executive director must
provide by mail to notify the petitioner an acknowledgment of the receipt of the person's
petition and a follow-up notice
of the time and place of the meeting at which the governing
board is scheduled to consider the petition and conduct the hearing. If there has been
no fact-finding conference under paragraph (b), not less than 15 days before the date
scheduled for the hearing, the petitioner and the executive director
must provide a copy to
the governing board and the other party copies
of all relevant documents, documentary
evidence, summaries, and recommendations assembled by or on behalf of the plan
administration to be considered by the governing board
that will be presented and a list of
witnesses who will testify, along with a summary of their testimony
.

(c) all documents and materials that the petitioner wishes to be part of the record
for review must be filed with the chief administrative officer and must be received in the
offices of the covered pension plan at least 15 days before the date of the meeting at
which the petition is scheduled to be heard.

(d) A (e) The petitioner may request a continuance postponement of a the date
scheduled for the hearing if the request is received by the chief administrative officer within
before the governing board within a reasonable time, but no later than ten calendar days of
before the scheduled hearing date of the applicable board meeting. The chief administrative
officer must reschedule the review within a reasonable time. only one continuance may be
granted to any petitioner
. A petitioner shall be granted only one postponement unless the
applicable covered pension plan agrees to additional postponements
.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 16.

Minnesota Statutes 2014, section 356.96, subdivision 8, is amended to read:


Subd. 8.

Record for review.

(a) All evidence, including all records, documents, and
affidavits in the possession of the covered pension plan of which the covered pension plan
desires to avail itself and be considered by the governing board, and all evidence which the
petitioner wishes to present to the governing board, including any evidence which would
otherwise be classified by law as "private," must be made part of the hearing record.

(b) The chief administrative officer executive director must provide a copy of
the record to each member of the governing board at least seven five days before the
scheduled hearing date.

(c) Any additional document, affidavit, or other relevant information that the
petitioner requests be part of the record may be admitted with the consent of the governing
board.
If a fact-finding conference under subdivision 7, paragraph (b), is not conducted,
the record is limited to those materials provided to the petitioner in accordance with
subdivision 7, paragraph (d), those filed by the petitioner with the covered pension plan
in a timely manner in accordance with subdivision 7, paragraph (e), any vocational
assessment report under subdivision 7, paragraph (c), and any testimony at the hearing
before the governing board. Any additional evidence may be placed in the record pursuant
to subdivision 10, paragraph (b).

(d) If a fact-finding conference under subdivision 7, paragraph (b), or a contested
case hearing under subdivision 12, paragraph (b), is conducted, the record before the
governing board must be limited to the following:

(1) the record from the Office of Administrative Hearings;

(2) seven-page submissions by the petitioner and a representative of the covered
pension plan commenting on the administrative law judge's recommendation; and

(3) any vocational assessment report under subdivision 7, paragraph (c).

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 17.

Minnesota Statutes 2014, section 356.96, subdivision 9, is amended to read:


Subd. 9.

Amended determination.

At any time before the hearing before the
governing board, for good cause shown and made part of the records of the plan, the chief
administrative officer
executive director may reverse, alter, amend, or modify the prior
decision which is subject to review under this section by issuing an amended decision
determination to the petitioner. Upon doing so, the chief administrative officer executive
director
may cancel the governing board's scheduled review of the person's petition and
shall so notify the petitioner.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 18.

Minnesota Statutes 2014, section 356.96, subdivision 10, is amended to read:


Subd. 10.

Board hearing.

(a) The governing board shall hold a timely hearing
on a petition for review as part of a regularly scheduled board meeting, or as part of
a special meeting if so scheduled. All governing board members who participate in the
decision-making process must be familiar with the record. The governing board shall
make its decision on a petition solely on the record as submitted and on the proceedings
of the hearing.

(b) At the hearing, the petitioner, the petitioner's attorney representative, if any, and
the chief administrative officer executive director and a representative of the covered
pension plan who does not also serve as the governing board's legal advisor during the
board's decision-making process,
may state and discuss with the governing board their
positions with respect to the petition. If no fact-finding conference under subdivision
7, paragraph (b), or contested case hearing under subdivision 12, paragraph (b), was
conducted, additional evidence may be received in the form of testimony from previously
disclosed witnesses.
The governing board may allow further documentation to be placed
in the record at the board meeting only with the agreement of both the chief administrative
officer
executive director and the petitioner. The chief administrative officer executive
director
may not otherwise participate in the board's decision-making process.

(b) When a petition presents a contested issue of law, an assistant attorney general
may participate and may argue on behalf of the legal position taken by the chief
administrative officer if that assistant attorney general does not also serve as the governing
board's legal advisor during the board's decision-making process.

(c) A motion by a board member, supported by a summary of the relevant facts,
conclusions and reasons, as properly amended and approved by a majority of the
governing board, constitutes the board's final decision. A verbatim statement of the
board's final decision must be served upon the petitioner. If the decision is contrary to the
petitioner's desired outcome, the notice shall inform the petitioner of the appeal rights set
forth in subdivision 13.

(d) (c) If a petitioner who received timely notice of a scheduled hearing fails to
appear, the governing board may nevertheless hear the petition and issue a decision.

(d) The governing board's decision shall be made upon a motion by a board member
and approval by a majority of the governing board. The governing board must issue
its decision as a written order containing findings of fact, conclusions of law, and the
board's decision no later than 30 days after the hearing. If the decision is contrary to the
petitioner's desired outcome, the notice must inform the petitioner of the appeal rights set
forth in subdivision 13.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 19.

Minnesota Statutes 2014, section 356.96, subdivision 11, is amended to read:


Subd. 11.

Disability medical issues.

(a) If a person petitions the governing board
the petitioner seeks to reverse or modify a determination which found by the executive
director
that there exists no was insufficient medical data supporting to support an
application for disability benefits, the governing board may reverse that determination
only if there is in fact medical evidence supporting the application. The governing board
has the discretion to resubmit a disability benefit application at any time to a medical
advisor for reconsideration, and the resubmission may include an instruction that further
medical examinations be obtained.

(b) The governing board may make a determination contrary to the recommendation
of the medical advisor only if there is expert medical evidence in the record to support
its contrary decision. If there is no medical evidence contrary to the opinion of the
medical advisor in the record and the medical advisor attests that the decision was made in
accordance with the applicable disability standard, the board must follow the decision of
the medical advisor regarding the cause of the disability.

(c) The obligation of the governing board to follow the decision of the medical
advisor under paragraph (b) does not apply to instances when the governing board makes
a determination different from the recommendation of the medical advisor on issues
that do not involve medical issues.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 20.

Minnesota Statutes 2014, section 356.96, subdivision 12, is amended to read:


Subd. 12.

Referral for administrative hearing.

(a) Notwithstanding any provision
of sections 14.03, 14.06, and 14.57 to 14.69 to the contrary, a challenge to a determination
of the chief administrative officer of a covered pension plan
A fact-finding conference
under subdivision 7, paragraph (b),
must be conducted exclusively under the procedures
set forth in this section and is not as a contested case under chapter 14.

(b) Notwithstanding the provisions of paragraph (a), A governing board, in its sole
discretion, may refer a petition brought under this section to the Office of Administrative
Hearings for a contested case hearing under sections 14.57 to 14.69.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 21.

Minnesota Statutes 2014, section 356.96, subdivision 13, is amended to read:


Subd. 13.

Appeal of the governing board's decision; judicial review.

Within No
later than
60 days of after the date of the mailing of the notice of the governing board's
decision, the petitioner may appeal the decision by filing a writ of certiorari with the
Court of Appeals under section 606.01 and Rule 115 of the Minnesota Rules of Civil
Appellate Procedure. Failure by a person to appeal to the Court of Appeals within the
60-day period precludes the person from later raising, in any subsequent administrative
hearing or court proceeding, those substantive and procedural issues that reasonably
should have been raised upon a timely appeal.

Sec. 22. REPEALER.

Minnesota Statutes 2014, sections 356.611, subdivisions 3, 3a, 4, and 5; and 356.96,
subdivisions 14 and 15,
are repealed.

EFFECTIVE DATE.

This section is effective July 1, 2016.

ARTICLE 7

ACTUARIAL ASSUMPTION CHANGES

Section 1.

Minnesota Statutes 2015 Supplement, section 356.215, subdivision 8,
is amended to read:


Subd. 8.

Interest and salary assumptions.

(a) The actuarial valuation must use the
applicable following interest assumption:

(1) select and ultimate interest rate assumption

plan
ultimate interest
rate assumption
teachers retirement plan
8.5%

The select preretirement interest rate assumption for the period through June 30,
2017, is eight percent.

(2) single rate interest rate assumption

plan
interest rate
assumption
general state employees retirement plan
8%
correctional state employees retirement plan
8
State Patrol retirement plan
8
legislators retirement plan, and for the
constitutional officers calculation of total plan
liabilities
0
judges retirement plan
8
general public employees retirement plan
8
public employees police and fire retirement plan
8
local government correctional service retirement
plan
8
teachers retirement plan
8
St. Paul teachers retirement plan
8
Bloomington Fire Department Relief Association
6
local monthly benefit volunteer firefighter relief
associations
5
monthly benefit retirement plans in the statewide
volunteer firefighter retirement plan
6

(b)(1) If funding stability has been attained, the valuation must use a postretirement
adjustment rate actuarial assumption equal to the postretirement adjustment rate specified
in section 354A.27, subdivision 7; 354A.29, subdivision 9;, or 356.415, subdivision 1,
whichever applies.

(2) If funding stability has not been attained, the valuation must use a select
postretirement adjustment rate actuarial assumption equal to the postretirement adjustment
rate specified in section 354A.27, subdivision 6a; 354A.29, subdivision 8;, or 356.415,
subdivision 1a, 1b, 1c, 1d, 1e, or 1f, whichever applies, for a period ending when the
approved actuary estimates that the plan will attain the defined funding stability measure,
and thereafter an ultimate postretirement adjustment rate actuarial assumption equal
to the postretirement adjustment rate under section 354A.27, subdivision 7; 354A.29,
subdivision 9;, or 356.415, subdivision 1, for the applicable period or periods beginning
when funding stability is projected to be attained.

(c) The actuarial valuation must use the applicable following single rate future salary
increase assumption, the applicable following modified single rate future salary increase
assumption, or the applicable following graded rate future salary increase assumption:

(1) single rate future salary increase assumption

plan
future salary increase assumption
legislators retirement plan
5%
judges retirement plan
2.75
Bloomington Fire Department Relief
Association
4

(2) age-related future salary increase age-related select and ultimate future salary
increase assumption or graded rate future salary increase
assumption

plan
future salary increase assumption
local government correctional service retirement plan
assumption B
St. Paul teachers retirement plan
assumption A

For plans other than the St. Paul Teachers
Retirement plan and the local government
correctional service retirement plan, the
select calculation is:
Fund Association,
during the a designated select period of 15
years, in addition to the age-based rates
shown below
, a designated percentage rate
of 0.2 percent is multiplied by the result of
the designated integer 15 minus T, where T
is the number of completed years of service,
and is added to the applicable future salary
increase assumption. The designated select
period is ten years and the designated integer
is ten for the local government correctional
service retirement plan and 15 for the St.
Paul Teachers Retirement Fund Association.
The designated percentage rate is 0.2 percent
for the St. Paul Teachers Retirement Fund
Association.

The ultimate future salary increase assumption is:

age
A
B
16
5.9%
8.75%
17
5.9
8.75
18
5.9
8.75
19
5.9
8.75
20
5.9
8.75
21
5.9
8.5
22
5.9
8.25
23
5.85
8
24
5.8
7.75
25
5.75
7.5
26
5.7
7.25
27
5.65
7
28
5.6
6.75
29
5.55
6.5
30
5.5
6.5
31
5.45
6.25
32
5.4
6.25
33
5.35
6.25
34
5.3
6
35
5.25
6
36
5.2
5.75
37
5.15
5.75
38
5.1
5.75
39
5.05
5.5
40
5
5.5
41
4.95
5.5
42
4.9
5.25
43
4.85
5
44
4.8
5
45
4.75
4.75
46
4.7
4.75
47
4.65
4.75
48
4.6
4.75
49
4.55
4.75
50
4.5
4.75
51
4.45
4.75
52
4.4
4.75
53
4.35
4.75
54
4.3
4.75
55
4.25
4.5
56
4.2
4.5
57
4.15
4.25
58
4.1
4
59
4.05
4
60
4
4
61
4
4
62
4
4
63
4
4
64
4
4
65
4
3.75
66
4
3.75
67
4
3.75
68
4
3.75
69
4
3.75
70
4
3.75

(3) service-related ultimate future salary increase assumption

general state employees retirement plan of the
Minnesota State Retirement System
assumption A
general employees retirement plan of the Public
Employees Retirement Association
assumption B
Teachers Retirement Association
assumption C
public employees police and fire retirement plan
assumption D
State Patrol retirement plan
assumption E
correctional state employees retirement plan of the
Minnesota State Retirement System
assumption F
service
length
A
B
C
D
E
F
1
10.25 14%
11.78
11.5%
12 9.5%
12.75%
7.75%
5.75%
2
7.85 11.5
8.65 8.5
9 9.5
10.75
7.25
5.6
3
6.65 6.25
7.21 7
8 7.75
8.75
6.75
5.45
4
5.95 5.5
6.33 6
7.5 7.25
7.75
6.5
5.3
5
5.45 5.25
5.72 5.5
7.25 7
6.25
6.25
5.15
6
5.05 5.15
5.27 5.2
7
5.85
6
5
7
4.75 5
4.91 4.9
6.85
5.55
5.75
4.85
8
4.45 4.75
4.62 4.8
6.7
5.35
5.6
4.7
9
4.25 4.5
4.38 4.7
6.55
5.15
5.45
4.55
10
4.15 4.25
4.17 4.5
6.4
5.05
5.3
4.4
11
3.95 4.2
3.99 4.25
6.25
4.95
5.15
4.3
12
3.85 4.15
3.83 4.1
6
4.85
5
4.2
13
3.75 4.1
3.69 4
5.75
4.75
4.85
4.1
14
3.55 4.05
3.57 3.9
5.5
4.65
4.7
4
15
3.45 4
3.45 3.9
5.25
4.55
4.55
3.9
16
3.35 3.95
3.35 3.85
5
4.55
4.4
3.8
17
3.25 3.9
3.26 3.8
4.75
4.55
4.25
3.7
18
3.25 3.85
3.25 3.75
4.5
4.55
4.1
3.6
19
3.25 3.8
3.25 3.75
4.25 4.3
4.55
3.95
3.5
20
3.25 3.75
3.25 3.75
4 4.2
4.55
3.8
3.5
21
3.25 3.7
3.25 3.75
3.9 4.1
4.45
3.75
3.5
22
3.25 3.65
3.25 3.7
3.8 4
4.35
3.75
3.5
23
3.25 3.6
3.25 3.6
3.7 3.9
4.25
3.75
3.5
24
3.25 3.55
3.25 3.6
3.6 3.8
4.25
3.75
3.5
25
3.25 3.5
3.25 3.6
3.5 3.7
4.25
3.75
3.5
26
3.25 3.5
3.25 3.5
3.5 3.6
4.25
3.75
3.5
27
3.25 3.5
3.25 3.5
3.5
4.25
3.75
3.5
28
3.25 3.5
3.25 3.5
3.5
4.25
3.75
3.5
29
3.25 3.5
3.25 3.5
3.5
4.25
3.75
3.5
30 or more
3.25 3.5
3.25 3.5
3.5
4.25
3.75
3.5

(d) The actuarial valuation must use the applicable following payroll growth
assumption for calculating the amortization requirement for the unfunded actuarial
accrued liability where the amortization retirement is calculated as a level percentage
of an increasing payroll:

plan
payroll growth assumption
general state employees retirement plan of the
Minnesota State Retirement System
3.5%
correctional state employees retirement plan
3.5
State Patrol retirement plan
3.5
judges retirement plan
2.75
general employees retirement plan of the Public
Employees Retirement Association
3.5
public employees police and fire retirement plan
3.5
local government correctional service retirement plan
3.5
teachers retirement plan
3.75 3.5
St. Paul teachers retirement plan
4

(e) The assumptions set forth in paragraphs (c) and (d) continue to apply, unless a
different salary assumption or a different payroll increase assumption:

(1) has been proposed by the governing board of the applicable retirement plan;

(2) is accompanied by the concurring recommendation of the actuary retained under
section 356.214, subdivision 1, if applicable, or by the approved actuary preparing the
most recent actuarial valuation report if section 356.214 does not apply; and

(3) has been approved or deemed approved under subdivision 18.

EFFECTIVE DATE.

This section is effective July 1, 2016, and applies to actuarial
valuations prepared on or after that date.

ARTICLE 8

VOLUNTEER FIREFIGHTER RELIEF ASSOCIATIONS MODIFICATIONS

Section 1.

Minnesota Statutes 2015 Supplement, section 353G.02, subdivision 6,
is amended to read:


Subd. 6.

Initial administrative expenses of the monthly benefit retirement
division; allocation of reimbursement.

(a) The administration expenses incurred by the
Public Employees Retirement Association in the establishment of the monthly benefit
retirement division of the voluntary statewide volunteer firefighter retirement plan,
including any computer programming expenses and any actuarial consultant expenses, are
payable from the assets of the initial monthly benefit volunteer firefighter relief association
that elects to transfer its administration to the voluntary statewide volunteer firefighter
retirement plan, following the transfer of assets.

(b) The administrative expenses in excess of $33,600 paid under paragraph (a) must
be reimbursed by the next nine monthly benefit volunteer firefighter relief associations
that transfer plan administration to the voluntary statewide volunteer firefighter retirement
plan. The reimbursement charge for each of the nine is three-tenths of one percent of the
market value of assets of the volunteer firefighter relief association as of December 31,
2012. The reimbursement amounts, up to the amount of administrative expenses actually
incurred under paragraph (a) in excess of $33,600, must be credited to the account of the
fire department associated with the former monthly benefit volunteer firefighter relief
association that first transferred plan administration to the volunteer firefighter retirement
plan.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

[424A.003] CERTIFICATION OF SERVICE CREDIT.

(a) When a municipal fire department, a joint powers fire department, or an
independent nonprofit firefighting corporation is directly associated with the volunteer
firefighters relief association, the fire chief shall certify annually by March 31 the service
credit for the previous calendar year of each volunteer firefighter rendering active service
with the fire department.

(b) The certification shall be made to an officer of the relief association's board
of trustees and to the municipal clerk or clerk-treasurer of the largest municipality in
population served by the associated fire department.

(c) The fire chief shall notify each volunteer firefighter rendering active service with
the fire department of the amount of service credit rendered by the firefighter for the
previous calendar year. The service credit notification and a description of the process and
deadlines for the firefighter to challenge the fire chief's determination of service credit
must be provided to the firefighter 60 days prior to its certification to the relief association
and municipality. If the service credit amount is challenged, the fire chief shall accept
and consider any additional pertinent information and shall make a final determination of
service credit.

(d) The service credit certification must be expressed as the number of completed
months of the previous year during which an active volunteer firefighter rendered at least
the minimum level of duties as specified and required by the fire department under the
rules, regulations, and policies applicable to the fire department. No more than one year of
service credit may be certified for a calendar year.

(e) If a volunteer firefighter who is a member of the relief association leaves active
firefighting service to render active military service that is required to be governed by the
federal Uniformed Services Employment and Reemployment Rights Act, as amended,
the firefighter must be certified as providing service credit for the period of the military
service, up to the applicable limit of the federal Uniformed Services Employment
and Reemployment Rights Act. If the volunteer firefighter does not return from the
military service in compliance with the federal Uniformed Services Employment and
Reemployment Rights Act, the service credits applicable to that military service credit
period are forfeited and canceled at the end of the calendar year in which the time limit
set by federal law occurs.

EFFECTIVE DATE.

This section is effective January 1, 2017.

Sec. 3.

Minnesota Statutes 2014, section 424A.01, is amended by adding a subdivision
to read:


Subd. 4a.

Prohibition on receipt of concurrent service credit.

No firefighter may
be credited with service credit in a volunteer firefighters relief association for the same
hours of service for which coverage is already provided in a fund operated pursuant to
chapter 353.

EFFECTIVE DATE.

This section is effective January 1, 2017, and applies to
service rendered on or after that date.

Sec. 4.

Minnesota Statutes 2014, section 424A.01, is amended by adding a subdivision
to read:


Subd. 5a.

Volunteer emergency medical personnel.

Volunteer emergency
medical personnel are eligible to be members of the applicable volunteer firefighters
relief association and to qualify for service pension or other benefit coverage of the relief
association on the same basis as fire department personnel who perform or supervise fire
suppression or fire prevention duties, if:

(1) the fire department employs or otherwise uses the services of persons solely as
volunteer emergency medical personnel to perform emergency medical response duties or
supervise emergency medical response activities;

(2) the bylaws of the relief association authorize the eligibility; and

(3) the eligibility is approved by:

(i) the municipality, if the fire department is a municipal department;

(ii) the joint powers board, if the fire department is a joint powers entity; or

(iii) the contracting municipality or municipalities, if the fire department is an
independent nonprofit firefighting corporation.

EFFECTIVE DATE.

This section is effective January 1, 2017, and applies to
service rendered on or after that date.

Sec. 5.

Minnesota Statutes 2014, section 424A.015, is amended by adding a
subdivision to read:


Subd. 7.

Combined service pensions.

(a) A volunteer firefighter with credit for
service as an active firefighter in more than one volunteer firefighters relief association is
entitled to a prorated service pension from each relief association if:

(1) the articles of incorporation or bylaws of the relief associations provide;

(2) the applicable requirements of paragraphs (b) and (c) are met; and

(3) the volunteer firefighter otherwise qualifies.

(b) A volunteer firefighter receiving a prorated service pension under this subdivision
must have a total combined amount of service credit from the two or more relief
associations of ten years or more, unless the bylaws of every affected relief association
specify less than a ten-year service vesting requirement, in which case, the total amount of
required service credit is the longest service vesting requirement of the relief associations.
The member must have one year or more of service credit in each relief association. The
prorated service pension must be based on:

(1) for defined benefit relief associations, the service pension amount in effect for
the relief association on the date on which active volunteer firefighting services covered
by that relief association terminate; and

(2) for defined contribution relief associations, the member's individual account
balance on the date on which active volunteer firefighting services covered by that relief
association terminate.

(c) To receive a prorated service pension under this subdivision, the firefighter
must become a member of the second or succeeding association and must give notice of
membership to the prior association within two years of the date of termination of active
service with the prior association. The second or subsequent relief association secretary
must certify the notice.

EFFECTIVE DATE.

This section is effective January 1, 2017.

Sec. 6.

Minnesota Statutes 2015 Supplement, section 424A.02, subdivision 3, is
amended to read:


Subd. 3.

Flexible service pension maximums.

(a) Annually on or before August
1 as part of the certification of the financial requirements and minimum municipal
obligation determined under section 424A.092, subdivision 4, or 424A.093, subdivision 5,
as applicable, the secretary or some other official of the relief association designated in the
bylaws of each defined benefit relief association shall calculate and certify to the governing
body of the applicable municipality the average amount of available financing per active
covered firefighter for the most recent three-year period. The amount of available financing
includes any amounts of fire state aid and police and firefighter retirement supplemental
state aid received or receivable by the relief association, any amounts of municipal
contributions to the relief association raised from levies on real estate or from other
available revenue sources exclusive of fire state aid, and one-tenth of the amount of assets in
excess of the accrued liabilities of the relief association calculated under section 424A.092,
subdivision 2
; 424A.093, subdivisions 2 and 4; or 424A.094, subdivision 2, if any.

(b) The maximum service pension which the defined benefit relief association has
authority to provide for in its bylaws for payment to a member retiring after the calculation
date when the minimum age and service requirements specified in subdivision 1 are met
must be determined using the table in paragraph (c) or (d), whichever applies.

(c) For a defined benefit relief association where the governing bylaws provide for
a monthly service pension to a retiring member, the maximum monthly service pension
amount per month for each year of service credited that may be provided for in the bylaws
is the greater of the service pension amount provided for in the bylaws on the date of the
calculation of the average amount of the available financing per active covered firefighter
or the maximum service pension figure corresponding to the average amount of available
financing per active covered firefighter:

Minimum Average Amount of Available
Financing per Firefighter
Maximum Service Pension Amount
Payable per Month for Each
Year of Service
$ ...
$ .25
41
.50
81
1.00
122
1.50
162
2.00
203
2.50
243
3.00
284
3.50
324
4.00
365
4.50
405
5.00
486
6.00
567
7.00
648
8.00
729
9.00
810
10.00
891
11.00
972
12.00
1053
13.00
1134
14.00
1215
15.00
1296
16.00
1377
17.00
1458
18.00
1539
19.00
1620
20.00
1701
21.00
1782
22.00
1823
22.50
1863
23.00
1944
24.00
2025
25.00
2106
26.00
2187
27.00
2268
28.00
2349
29.00
2430
30.00
2511
31.00
2592
32.00
2673
33.00
2754
34.00
2834
35.00
2916
36.00
2997
37.00
3078
38.00
3159
39.00
3240
40.00
3321
41.00
3402
42.00
3483
43.00
3564
44.00
3645
45.00
3726
46.00
3807
47.00
3888
48.00
3969
49.00
4050
50.00
4131
51.00
4212
52.00
4293
53.00
4374
54.00
4455
55.00
4536
56.00
4617
57.00
4698
58.00
4779
59.00
4860
60.00
4941
61.00
5022
62.00
5103
63.00
5184
64.00
5265
65.00
5346
66.00
5427
67.00
5508
68.00
5589
69.00
5670
70.00
5751
71.00
5832
72.00
5913
73.00
5994
74.00
6075
75.00
6156
76.00
6237
77.00
6318
78.00
6399
79.00
6480
80.00
6561
81.00
6642
82.00
6723
83.00
6804
84.00
6885
85.00
6966
86.00
7047
87.00
7128
88.00
7209
89.00
7290
90.00
7371
91.00
7452
92.00
7533
93.00
7614
94.00
7695
95.00
7776
96.00
7857
97.00
7938
98.00
8019
99.00
8100
100.00
any amount in excess of
8100
100.00

(d) For a defined benefit relief association in which the governing bylaws provide
for a lump-sum service pension to a retiring member, the maximum lump-sum service
pension amount for each year of service credited that may be provided for in the bylaws is
the greater of the service pension amount provided for in the bylaws on the date of the
calculation of the average amount of the available financing per active covered firefighter
or the maximum service pension figure corresponding to the average amount of available
financing per active covered firefighter for the applicable specified period:

Minimum Average Amount of Available
Financing per Firefighter
Maximum Lump-Sum Service
Pension Amount Payable for
Each Year of Service
$ ...
$ 10
11
20
16
30
23
40
27
50
32
60
43
80
54
100
65
120
77
140
86
160
97
180
108
200
131
240
151
280
173
320
194
360
216
400
239
440
259
480
281
520
302
560
324
600
347
640
367
680
389
720
410
760
432
800
486
900
540
1000
594
1100
648
1200
702
1300
756
1400
810
1500
864
1600
918
1700
972
1800
1026
1900
1080
2000
1134
2100
1188
2200
1242
2300
1296
2400
1350
2500
1404
2600
1458
2700
1512
2800
1566
2900
1620
3000
1672
3100
1726
3200
1753
3250
1780
3300
1820
3375
1834
3400
1888
3500
1942
3600
1996
3700
2023
3750
2050
3800
2104
3900
2158
4000
2212
4100
2265
4200
2319
4300
2373
4400
2427
4500
2481
4600
2535
4700
2589
4800
2643
4900
2697
5000
2751
5100
2805
5200
2859
5300
2913
5400
2967
5500
3021
5600
3075
5700
3129
5800
3183
5900
3237
6000
3291
6100
3345
6200
3399
6300
3453
6400
3507
6500
3561
6600
3615
6700
3669
6800
3723
6900
3777
7000
3831
7100
3885
7200
3939
7300
3993
7400
4047
7500
4101
7600
4155
7700
4209
7800
4263
7900
4317
8000
4371
8100
4425
8200
4479
8300
4533
8400
4587
8500
4641
8600
4695
8700
4749
8800
4803
8900
4857
9000
4911
9100
4965
9200
5019
9300
5073
9400
5127
9500
5181
9600
5235
9700
5289
9800
5343
9900
5397
10,000
any amount in excess of 5451
10,100
5397 5505
10,000 10,200
5559
10,300
5613
10,400
5667
10,500
5721
10,600
5775
10,700
5829
10,800
5883
10,900
5937
11,000
5991
11,100
6045
11,200
6099
11,300
6153
11,400
6207
11,500
6261
11,600
6315
11,700
6369
11,800
6423
11,900
6477
12,000
6531
12,100
6585
12,200
6639
12,300
6693
12,400
6747
12,500
6801
12,600
6855
12,700
6909
12,800
6963
12,900
7017
13,000
7071
13,100
7125
13,200
7179
13,300
7233
13,400
7287
13,500
7341
13,600
7395
13,700
7449
13,800
7503
13,900
7557
14,000
7611
14,100
7665
14,200
7719
14,300
7773
14,400
7827
14,500
7881
14,600
7935
14,700
7989
14,800
8043
14,900
8097
15,000
any amount in excess of 8097
15,000

(e) For a defined benefit relief association in which the governing bylaws provide
for a monthly benefit service pension as an alternative form of service pension payment
to a lump-sum service pension, the maximum service pension amount for each pension
payment type must be determined using the applicable table contained in this subdivision.

(f) If a defined benefit relief association establishes a service pension in compliance
with the applicable maximum contained in paragraph (c) or (d) and the minimum average
amount of available financing per active covered firefighter is subsequently reduced
because of a reduction in fire state aid or because of an increase in the number of active
firefighters, the relief association may continue to provide the prior service pension
amount specified in its bylaws, but may not increase the service pension amount until
the minimum average amount of available financing per firefighter under the table in
paragraph (c) or (d), whichever applies, permits.

(g) No defined benefit relief association is authorized to provide a service pension in
an amount greater than the largest applicable flexible service pension maximum amount
even if the amount of available financing per firefighter is greater than the financing
amount associated with the largest applicable flexible service pension maximum.

(h) The method of calculating service pensions must be applied uniformly for all
years of active service. Credit must be given for all years of active service except for caps
on service credit if so provided in the bylaws of the relief association.

EFFECTIVE DATE; LOCAL APPROVAL.

(a) For relief associations other than
the Eden Prairie volunteer firefighters relief association, this section is effective January
1, 2017.

(b) For the Eden Prairie volunteer firefighters relief association, this section is
effective the day after the city council of Eden Prairie and its chief clerical officer timely
complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and
3, or January 1, 2017, whichever is earlier.

Sec. 7.

Minnesota Statutes 2014, section 424B.20, subdivision 4, is amended to read:


Subd. 4.

Benefit trust fund establishment.

(a) After the settlement of nonbenefit
legal obligations of the special fund of the volunteer firefighters relief association under
subdivision 3, the board of the relief association shall transfer the remaining assets of the
special fund, as securities or in cash, as applicable, to the chief financial official of the
municipality in which the associated fire department was located if the fire department was
a municipal fire department or to the chief financial official of the municipality with the
largest population served by the fire department if the fire department was an independent
nonprofit firefighting corporation. If the fire department was a joint powers entity, the
remaining assets of the special fund shall be transferred to the chief financial official of
the municipality designated as the fiscal agent in the joint powers agreement or, if the
agreement does not designate a municipality as the fiscal agent, the remaining assets of
the special fund shall be transferred to the chief financial official of the municipality with
the largest population served by the joint powers fire department.
The board shall also
compile a schedule of the relief association members to whom a service pension is or will
be owed, any beneficiary to whom a benefit is owed, the amount of the service pension or
benefit payable based on the applicable bylaws and state law and the service rendered to
the date of the dissolution, and the date on which the pension or benefit would first be
payable under the bylaws of the relief association and state law.

(b) The municipality in which is located receiving the remaining assets of the special
fund of
a volunteer firefighters relief association that is dissolving under this section shall
establish a separate account in the municipal treasury which must function as a trust fund
for members of the volunteer firefighters relief association and their beneficiaries to whom
the volunteer firefighters relief association owes a service pension or other benefit under
the bylaws of the relief association and state law. Upon proper application, on or after the
initial date on which the service pension or benefit is payable, the municipal treasurer shall
pay the pension or benefit due, based on the schedule prepared under paragraph (a) and the
other records of the dissolved relief association. The trust fund under this section must be
invested and managed consistent with chapter 356A and section 424A.095. Upon payment
of the last service pension or benefit due and owing, any remaining assets in the trust
fund cancel to the general fund of the municipality. or, if the fire department was a joint
powers entity, any remaining assets in the trust fund cancel to the general fund of each
municipality that was a contracting party to the joint powers agreement as specified in the
joint powers agreement. If the joint powers agreement does not specify how the remaining
assets are to be distributed among the contracting parties, each of the contracting parties
shall receive a pro rata share of the remaining assets based on the proportion of total
operating contributions each contracting municipality made to the joint powers entity over
the most recent ten calendar years.
If the special fund of the volunteer firefighters relief
association had an unfunded actuarial accrued liability upon dissolution, the municipality
is liable for that unfunded actuarial accrued liability. If the fire department was a joint
powers entity, the contracting municipalities are liable for their share of the unfunded
actuarial accrued liability as specified in the joint powers agreement. If the joint powers
agreement does not specify liability for any unfunded actuarial accrued liability, the
contracting municipalities are liable for their pro rata share of the unfunded actuarial
accrued liability based on the proportion of total operating contributions each contracting
municipality made to the joint powers entity over the most recent ten calendar years.

EFFECTIVE DATE.

This section is effective January 1, 2017.

Sec. 8. EDEN PRAIRIE VOLUNTEER FIREFIGHTERS RELIEF
ASSOCIATION SERVICE PENSIONS; RETURN TO ACTIVE SERVICE.

(a) Notwithstanding any provision of Minnesota Statutes, section 424A.01,
subdivision 6, section 424A.02, subdivision 2, or any other provision of law to the
contrary, if the bylaws of the Eden Prairie volunteer firefighters relief association so
provide, a former firefighter who has received a lump-sum service pension or is receiving
a monthly benefit service pension and returns to active relief association membership
under Minnesota Statutes, section 424A.01, subdivision 6, paragraph (b), is entitled to
receive an unreduced lump-sum service pension for the resumption service period if the
firefighter completes at least three years of active service as an active member of the fire
department during the resumption service period and completes at least three years of
active membership with the relief association during the resumption service period.

(b) A lump-sum service pension must be calculated by applying the service pension
amount in effect on the date of the firefighter's termination of the resumption service for
all years of the resumption service. No firefighter may be paid a service pension more
than once for the same period of service. Payment of a lump-sum service pension shall
have no effect on the firefighter's previous service pension.

EFFECTIVE DATE.

This section is effective the day after the Eden Prairie City
Council and its chief clerical officer timely complete their compliance with Minnesota
Statutes, section 645.021, subdivisions 2 and 3.

Sec. 9. COLERAINE AND BOVEY VOLUNTEER FIREFIGHTERS RELIEF
ASSOCIATIONS; CONSOLIDATION.

Subdivision 1.

Consolidation.

Notwithstanding any provision of Minnesota
Statutes, section 424B.02, subdivision 2, paragraph (c), to the contrary, the Coleraine and
Bovey volunteer firefighters relief associations are consolidated effective September 1,
2016, if all other consolidation requirements are satisfied pursuant to Minnesota Statutes,
chapter 424B.

Subd. 2.

Reporting.

The consolidated relief association created under subdivision
1 shall report the number of active firefighter members of the relief association as of
September 1, 2016, to the state auditor and to the commissioner of revenue no later
than September 7, 2016. The commissioner may use this information to determine and
calculate any minimum fire state aid payable under Minnesota Statutes, section 69.021,
beginning with aid payable in 2016.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 10. REPEALER.

Minnesota Statutes 2014, section 424A.02, subdivision 13, is repealed.

EFFECTIVE DATE.

This section is effective January 1, 2017.

ARTICLE 9

MSRS-ADMINISTERED RETIREMENT PLAN MODIFICATIONS

Section 1.

Minnesota Statutes 2014, section 352.113, subdivision 2, is amended to read:


Subd. 2.

Application; accrual of benefits.

(a) An employee making claim for a
total and permanent disability benefit, or someone acting on behalf of the employee upon
proof of authority satisfactory to the director, shall file a written application for benefits in
the office of the system on or before the deadline specified in subdivision 4, paragraph (g).

(b) The application must be in a form and manner prescribed by the executive director.

(c) The benefit shall begin to accrue the day following the start of disability or the
day following the last day paid, whichever is later, but not earlier than 180 days before the
date the application is filed with the director.

EFFECTIVE DATE.

This section is effective July 1, 2016.

Sec. 2.

Minnesota Statutes 2014, section 352.113, subdivision 4, is amended to read:


Subd. 4.

Medical or psychological examinations; authorization for payment of
benefit.

(a) Any physician, psychologist, chiropractor, or physician assistant providing
any service specified in this section must be licensed.

(b) An applicant shall provide a detailed report signed by a physician, and at least
one additional report signed by a physician, chiropractor, psychologist, or physician
assistant with evidence to support an application for total and permanent disability. The
reports must include an expert opinion regarding whether the employee is permanently
and totally disabled within the meaning of section 352.01, subdivision 17, and that the
disability arose before the employee was placed on any paid or unpaid leave of absence or
terminated public service.

(c) If there is medical evidence that supports the expectation that at some point
the person applying for the disability benefit will no longer be disabled, the decision
granting the disability benefit may provide for a termination date upon which the total and
permanent disability can be expected to no longer exist. When a termination date is part
of the decision granting benefits, prior to the benefit termination the executive director
shall review any evidence provided by the disabled employee to show that the disabling
condition for which benefits were initially granted continues. If the benefits cease, the
disabled employee may follow the appeal procedures described in section 356.96 or may
reapply for disability benefits using the process described in this subdivision.

(d) Any claim to disability must be supported by a report from the employer
indicating that there is no available work that the employee can perform with the disabling
condition and that all reasonable accommodations have been considered. Upon request of
the executive director, an employer shall provide evidence of the steps the employer has
taken to attempt to provide reasonable accommodations and continued employment to
the claimant.

(e) The director shall also obtain written certification from the employer stating
whether the employment has ceased or whether the employee is on sick leave of absence
because of a disability that will prevent further service to the employer and that the
employee is not entitled to compensation from the employer.

(f) The medical adviser shall consider the reports of the physicians, physician
assistants, psychologists, and chiropractors and any other evidence supplied by the
employee or other interested parties. If the medical adviser finds the employee totally and
permanently disabled, the adviser shall make appropriate recommendation to the director
in writing together with the date from which the employee has been totally disabled. The
director shall then determine if the disability occurred within 18 months of filing the
application, while still in the employment of the state, and the propriety of authorizing
payment of a disability benefit as provided in this section
and constitutes a total and
permanent disability as defined in section 353.01, subdivision 19
.

(g) A terminated employee may apply for a disability benefit within 18 months of
termination as long as the disability occurred while in the employment of the state. The
fact that an employee is placed on leave of absence without compensation because of
disability does not bar that employee from receiving a disability benefit.

(h) Upon appeal, the board of directors may extend the disability benefit application
deadline in paragraph (g) by an additional 18 months if the terminated employee is
determined by the board of directors to have a cognitive impairment that made it unlikely
that the terminated employee understood that there was an application deadline or that the
terminated employee was able to meet the application deadline.

(i) Unless the payment of a disability benefit has terminated because the employee is
no longer totally disabled, or because the employee has reached normal retirement age as
provided in this section, the disability benefit must cease with the last payment received
by the disabled employee or which had accrued during the lifetime of the employee unless
there is a spouse surviving. In that event, the surviving spouse is entitled to the disability
benefit for the calendar month in which the disabled employee died.

EFFECTIVE DATE.

This section is effective July 1, 2016.

ARTICLE 10

PERA-ADMINISTERED RETIREMENT PLAN MODIFICATIONS

Section 1.

Minnesota Statutes 2014, section 353.01, subdivision 43, is amended to read:


Subd. 43.

Line of duty death.

"Line of duty death" means:

(1) a death that occurs while performing or as a direct result of performing normal or
less frequent duties which are specific to protecting the property and personal safety of
others and that present inherent dangers that are specific to the positions covered by the
public employees police and fire plan.; or

(2) a death that is determined by the commissioner of public safety to meet the
requirements of section 299A.41, subdivision 3.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 11

GENERALLY APPLICABLE RETIREMENT CHANGES

Section 1.

Minnesota Statutes 2014, section 356.24, subdivision 1, is amended to read:


Subdivision 1.

Restriction; exceptions.

It is unlawful for a school district or other
governmental subdivision or state agency to levy taxes for or to contribute public funds to
a supplemental pension or deferred compensation plan that is established, maintained,
and operated in addition to a primary pension program for the benefit of the governmental
subdivision employees other than:

(1) to a supplemental pension plan that was established, maintained, and operated
before May 6, 1971;

(2) to a plan that provides solely for group health, hospital, disability, or death
benefits;

(3) to the individual retirement account plan established by chapter 354B;

(4) to a plan that provides solely for severance pay under section 465.72 to a retiring
or terminating employee;

(5) for employees other than personnel employed by the Board of Trustees of the
Minnesota State Colleges and Universities and covered under the Higher Education
Supplemental Retirement Plan under chapter 354C, but including city managers covered
by an alternative retirement arrangement under section 353.028, subdivision 3, paragraph
(a), or by the defined contribution plan of the Public Employees Retirement Association
under section 353.028, subdivision 3, paragraph (b), if the supplemental plan coverage is
provided for in a personnel policy of the public employer or in the collective bargaining
agreement between the public employer and the exclusive representative of public
employees in an appropriate unit or in the individual employment contract between a city
and a city manager, and if for each available investment all fees and historic rates of return
for the prior one-, three-, five-, and ten-year periods, or since inception, are disclosed in an
easily comprehended document not to exceed two pages, in an amount matching employee
contributions on a dollar for dollar basis, but not to exceed an employer contribution of
one-half of the available elective deferral permitted per year per employee, under the
Internal Revenue Code:

(i) to the state of Minnesota deferred compensation plan under section 352.965;

(ii) in payment of the applicable portion of the contribution made to any investment
eligible under section 403(b) of the Internal Revenue Code, if the employing unit has
complied with any applicable pension plan provisions of the Internal Revenue Code with
respect to the tax-sheltered annuity program during the preceding calendar year; or

(iii) any other deferred compensation plan offered by the employer under section
457 of the Internal Revenue Code;

(6) for personnel employed by the Board of Trustees of the Minnesota State Colleges
and Universities and not covered by clause (5), to the supplemental retirement plan under
chapter 354C, if the supplemental plan coverage is provided for in a personnel policy
or in the collective bargaining agreement of the public employer with the exclusive
representative of the covered employees in an appropriate unit, in an amount matching
employee contributions on a dollar for dollar basis, but not to exceed an employer
contribution of $2,700 a year for each employee;

(7) to a supplemental plan or to a governmental trust to save for postretirement
health care expenses qualified for tax-preferred treatment under the Internal Revenue
Code, if the supplemental plan coverage is provided for in a personnel policy or in the
collective bargaining agreement of a public employer with the exclusive representative of
the covered employees in an appropriate unit;

(8) to the laborers national industrial pension fund or to a laborers local pension fund
for the employees of a governmental subdivision who are covered by a collective bargaining
agreement that provides for coverage by that fund and that sets forth a fund contribution
rate, but not to exceed an employer contribution of $5,000 $7,000 per year per employee;

(9) to the plumbers and pipefitters national pension fund or to a plumbers and
pipefitters local pension fund for the employees of a governmental subdivision who are
covered by a collective bargaining agreement that provides for coverage by that fund and
that sets forth a fund contribution rate, but not to exceed an employer contribution of
$5,000 per year per employee;

(10) to the international union of operating engineers pension fund for the employees
of a governmental subdivision who are covered by a collective bargaining agreement that
provides for coverage by that fund and that sets forth a fund contribution rate, but not to
exceed an employer contribution of $5,000 per year per employee;

(11) to a supplemental plan organized and operated under the federal Internal
Revenue Code, as amended, that is wholly and solely funded by the employee's
accumulated sick leave, accumulated vacation leave, and accumulated severance pay;

(12) to the International Association of Machinists national pension fund for the
employees of a governmental subdivision who are covered by a collective bargaining
agreement that provides for coverage by that fund and that sets forth a fund contribution
rate, but not to exceed an employer contribution of $5,000 per year per employee;

(13) for employees of United Hospital District, Blue Earth, to the state of Minnesota
deferred compensation program, if the employee makes a contribution, in an amount that
does not exceed the total percentage of covered salary under section 353.27, subdivisions
3 and 3a;

(14) to the alternative retirement plans established by the Hennepin County Medical
Center under section 383B.914, subdivision 5; or

(15) to the International Brotherhood of Teamsters Central States pension plan for
fixed-route bus drivers employed by the St. Cloud Metropolitan Transit Commission who
are members of the International Brotherhood of Teamsters Local 638 by virtue of that
employment.

Sec. 2.

[356.631] ADDITIONAL SOURCES OF FUNDING.

Notwithstanding any other provision of law to the contrary, in addition to all sources
of funding described in Minnesota Statutes, section 356.63, paragraphs (a) and (b), any
public retirement plan described in Minnesota Statutes, section 356.63, paragraph (b), is
authorized to accept, at its discretion, for deposit in its fund the following:

(1) gifts;

(2) donations;

(3) bequests; and

(4) life insurance death benefits.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3. REPEALER.

Minnesota Statutes 2014, sections 352.04, subdivision 11; and 353.34, subdivision
6,
are repealed.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 12

SMALL GROUP RETIREMENT CHANGES

Section 1. MSRS-GENERAL RETIREMENT ELIGIBILITY CLARIFICATION;
SERVICE CREDIT PURCHASE IN CERTAIN INSTANCES.

(a) Notwithstanding any provision of law to the contrary, an eligible person
described in paragraph (b) is entitled to purchase prior uncredited service credit under
paragraph (c) and, if the service credit purchase is made, to have an effective start date
for active retirement plan membership of June 1, 1989, and to retire under Minnesota
Statutes, section 352.116, subdivision 1.

(b) An eligible person is a person who:

(1) was born on the dates as follows:

employee
birth date
A
October 2, 1968
B
June 12, 1965
C
August 10, 1958
D
April 29, 1963
E
April 11, 1955
F
August 13, 1966
G
April 22, 1961
H
December 31, 1958
I
October 10, 1966
J
February 4, 1961
K
August 21, 1963
L
January 23, 1960
M
September 19, 1966
N
November 3, 1961
O
June 13, 1958
P
June 23, 1954
Q
October 20, 1956
R
July 28, 1955
S
May 6, 1960
T
March 19, 1966
U
August 19, 1966
V
March 14, 1959

(2) became an employee of the Minnesota Department of Transportation prior
to July 1, 1989, in a position which was not covered by the general state employees
retirement plan of the Minnesota State Retirement System;

(3) was eventually employed as a permanent employee after June 30, 1989, and
covered by the general state employees retirement plan of the Minnesota State Retirement
System on the dates as follows:

employee
membership record date
A
September 27, 1989
B
September 27, 1989
C
September 26, 1989
D
September 27, 1989
E
September 26, 1989
F
September 13, 1989
G
September 1, 1989
H
September 27, 1989
I
September 27, 1989
J
September 13, 1989
K
September 13, 1989
L
September 26, 1989
M
August 30, 1989
N
September 26, 1989
O
September 13, 1989
P
September 27, 1989
Q
September 27, 1989
R
September 27, 1989
S
September 13, 1989
T
September 13, 1989
U
September 27, 1989
V
September 26, 1989

(4) was sent annual statements by the Minnesota State Retirement System between
July 1, 2005, and July 1, 2015, indicating eligibility for a retirement benefit under
Minnesota Statutes, section 352.116, subdivision 1; and

(5) was sent notification from the Minnesota State Retirement System revising the
start date for general state employees retirement plan membership from a date before
July 1, 1989, to a date after June 30, 1989, and indicating consequent inapplicability of
Minnesota Statutes, section 352.116, subdivision 1.

(c) An eligible person may purchase allowable service credit in the general state
employees retirement plan of the Minnesota State Retirement System by paying an
amount equal to the employer contributions and employee contributions that would have
been paid from June 1, 1989, to the end of the month prior to the date the employee
entered covered service plus interest at the rate of 8.5 percent until June 30, 2015, and
eight percent thereafter compounded annually on the combined employer and employee
contribution amount from the date the contributions would have been paid to the date the
Minnesota State Retirement System receives payment for this service credit purchase.
The payment must be made in a lump sum.

(d) An eligible person who purchases allowable service credit under paragraph (c)
has a June 1, 1989, start date for the purpose of allowable service credited by the general
state employees retirement plan of the Minnesota State Retirement System and is eligible
for a retirement annuity under Minnesota Statutes, section 352.116, subdivision 1.

(e) Authority to purchase prior uncredited service credit under this section expires
on July 1, 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2. PERA-GENERAL; PURCHASE OF SERVICE CREDIT FOR ST.
CLOUD STATE UNIVERSITY EMPLOYEE.

(a) Notwithstanding any provision of law to the contrary, an eligible person described
in paragraph (b) is entitled to purchase from the general employees retirement plan of the
Public Employees Retirement Association allowable service credit under Minnesota
Statutes, section 353.01, subdivision 16, for the period of service described in paragraph (c).

(b) An eligible person is a person who:

(1) was born on September 1, 1960;

(2) was an employee of St. Cloud State University on March 14, 2016;

(3) was a member of the general employees retirement plan of the Public Employees
Retirement Association on March 14, 2016;

(4) was employed by St. Cloud Technical College on April 1, 1993, and was a
member of the general employees retirement plan of the Public Employees Retirement
Association; and

(5) changed employment within St. Cloud State University on February 22, 2006,
and was erroneously placed into the higher education individual retirement account
plan from February 22, 2006, until May 10, 2011, by the Minnesota State Colleges and
Universities system.

(c) The period of uncredited service authorized for purchase is the period of February
22, 2006, until May 10, 2011, during which time the eligible person was erroneously
placed into and contributed to the higher education individual retirement account plan.

(d) The eligible person's member contributions to the higher education individual
retirement account plan must be transferred to the Public Employees Retirement
Association with any earned investment returns on those contributions. The eligible
person must pay the member contributions that the eligible person would have made to
the Public Employees Retirement Association on the eligible person's compensation from
the Minnesota State Colleges and Universities system for the period of service described
in paragraph (c) as if the person had been covered by the Public Employees Retirement
Association during the period, plus annual compound interest on that amount at the rate
of 8.5 percent from February 22, 2006, until June 30, 2015, and eight percent from July
1, 2015, until the date on which payment is made to the Public Employees Retirement
Association, less the transferred member contributions and investment earnings.

(e) Upon transfer of the equivalent member contribution amount and any additional
payments under paragraph (d), the balance of the eligible person's higher education
individual retirement account plan account must be transferred to the Public Employees
Retirement Association within 60 days following the receipt of the eligible person's
payment under paragraph (d).

(f) Upon the transfer of the amounts under paragraphs (d) and (e), the Minnesota
State Colleges and Universities system shall pay the prior service credit purchase payment
amount calculated under Minnesota Statutes, section 356.551, less any amounts received
under paragraphs (d) and (e), within 60 days following the receipt of the eligible person's
payment under paragraph (d).

(g) Upon the transfers and payments under paragraph (f), the eligible person must be
credited by the Public Employees Retirement Association with allowable service credit
for Minnesota State Colleges and Universities System employment from February 22,
2006, until May 10, 2011.

(h) Authority to make a service credit purchase under this section expires January
1, 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3. TRA COVERAGE ELECTION AND PERA REFUND REPAYMENT
AUTHORITY FOR CERTAIN MNSCU EMPLOYEE.

(a) Notwithstanding any provision of Minnesota Statutes, chapter 353 or 354B,
to the contrary, an eligible person described in paragraph (b) is eligible to become a
coordinated member of the Teachers Retirement Association and to purchase service
and salary credit in the Teachers Retirement Association coordinated plan retroactively
from July 1, 2001, upon repaying a member contribution refund taken from the general
employees retirement plan of the Public Employees Retirement Association under
paragraph (c), upon making an election under paragraph (e), and upon making all required
payments under paragraphs (f) and (g).

(b) An eligible person is a person who:

(1) was born April 4, 1956;

(2) was employed by a governmental subdivision in 1995, with retirement coverage
in the general employees retirement plan of the Public Employees Retirement Association,
for which a refund of member contributions and interest was taken before 2001;

(3) was employed by St. Cloud State University in the late 1990s, with retirement
coverage in the general state employees retirement plan of the Minnesota State Retirement
System;

(4) was hired as an academic advisor by St. Cloud State University on July 1, 2001,
with retirement coverage in the higher education individual retirement account plan; and

(5) was not informed of the option to elect Teachers Retirement Association
coverage in the coverage election authorized by Minnesota Statutes 2001, section
354B.21, so remained in the higher education individual retirement account plan.

(c) The refund repayment required by Minnesota Statutes, section 356.551,
subdivision 1, paragraph (c), must be calculated under Minnesota Statutes, section 353.35,
subdivision 1, paragraph (c).

(d) Authority to repay a refund under this section expires January 1, 2017.

(e) To be eligible for coverage by the Teachers Retirement Association, an eligible
person must submit a written application to the executive director of the Teachers
Retirement Association on a form provided by the Teachers Retirement Association. The
application must include all documentation of the applicability of this section and any
other relevant information that the executive director may require. Teachers Retirement
Association plan membership commences after the date of the retirement coverage
election under this section and past salary and service credit is granted for past Minnesota
State Colleges and Universities system employment from July 1, 2001, until the executive
director receives the written application specified in this paragraph and receipts of the
payments specified in paragraphs (c), (f), and (g). Coverage by the Teachers Retirement
Association is in lieu of coverage by the individual retirement account plan.

(f) If the eligible person makes the retirement coverage election under paragraph (e),
the eligible person's member contributions to the higher education individual retirement
account plan must be transferred to the Teachers Retirement Association with any earned
investment returns on those contributions. If the transferred member contributions and
investment earnings are less than the calculated amount of the member contributions
that the eligible person would have made to the Teachers Retirement Association on
the eligible person's compensation from the Minnesota State Colleges and Universities
system for the period from July 1, 2001, to the date of the retirement coverage election if
the person had been covered by the Teachers Retirement Association during the period,
plus annual compound interest at the rate of 8.5 percent, then the eligible person shall
pay the balance of that calculated member contribution obligation within 30 days of
the retirement coverage election.

(g) Upon the transfer of the equivalent member contribution amount and any
additional payment under paragraph (f), the balance of the eligible person's higher
education individual retirement account plan account must be transferred to the Teachers
Retirement Association. If the amounts under paragraph (f) and the individual retirement
account plan balance under this paragraph are less than the prior service credit purchase
payment amount calculated under Minnesota Statutes, section 356.551, the Minnesota
State Colleges and Universities system shall pay the difference within 60 days of the
retirement election date.

(h) The authority to make a retirement coverage election under this section expires
January 1, 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4. TRA COVERAGE FOR CERTAIN MESABI RANGE COMMUNITY
AND TECHNICAL COLLEGE FACULTY MEMBERS.

(a) Notwithstanding any provision of law to the contrary, an eligible person
described in paragraph (b) is authorized to become a coordinated member of the Teachers
Retirement Association and to purchase service and salary credit in the Teachers
Retirement Association coordinated plan retroactive from July 19, 2000, or September 15,
2000, whichever is applicable, upon making an election under paragraph (c) and upon
making all required payments under paragraphs (d) and (e).

(b) An eligible person is a person who:

(1) either:

(i) was born on September 25, 1964, and has been employed at Mesabi Range
Community and Technical College and a contributing member of the higher education
individual retirement account plan since July 19, 2000; or

(ii) was born on October 15, 1963, and has been employed at Mesabi Range
Community and Technical College and a contributing member of the higher education
individual retirement account plan since September 15, 2000;

(2) was classified in the unlimited full-time category on August 21, 2012;

(3) became eligible for an election of Teachers Retirement Association coverage
under Laws 2009, chapter 169, article 6, section 1; and

(4) was not offered an election of Teachers Retirement Association coverage by the
Minnesota State Colleges and Universities system.

(c) To be eligible for coverage by the Teachers Retirement Association, an eligible
person must submit a written application to the executive director of the Teachers
Retirement Association on a form provided by the Teachers Retirement Association. The
application must include all documentation of the applicability of this section and any
other relevant information that the executive director may require. Teachers Retirement
Association plan membership commences after the date of the retirement coverage
election under this section and past salary and service credit is granted for past Minnesota
State Colleges and Universities system employment from July 19, 2000, or September 15,
2000, whichever is applicable, until the executive director receives the written application
specified in this paragraph and receipts of the payments specified in paragraphs (d) and
(e). Coverage by the Teachers Retirement Association is in lieu of coverage by the
individual retirement account plan.

(d) If the eligible person makes the retirement coverage election under paragraph (c),
the eligible person shall make a contribution to the Teachers Retirement Association equal
to the excess, if any, of the employee contributions that the eligible person would have
made if the Teachers Retirement Association had provided coverage from July 19, 2000, or
September 15, 2000, whichever is applicable, rather than the individual retirement account
plan. These additional contribution amounts shall include 8.5 percent annual compound
interest computed from the date the contribution would have been made if deducted from
salary until paid. The total amount to be paid under this paragraph shall be determined by
the executive director of the Teachers Retirement Association and written notification of
the amount required under this paragraph must be transmitted to the eligible person.

(e) If payment is made under paragraph (d), the value of the applicable eligible
person's higher education individual retirement account plan account shall be transferred
to the Teachers Retirement Association.

(f) The Teachers Retirement Association shall determine the required purchase
payment amount calculated under Minnesota Statutes, section 356.551, imposed upon
the Teachers Retirement Association under this section due to the salary and service
credit purchase.

(g) From the total amount computed under paragraph (f), the executive director of
the Teachers Retirement Association shall subtract the amounts received under paragraphs
(d) and (e). The Minnesota State Colleges and Universities system must transmit the
remaining amount, if any, to the executive director of the Teachers Retirement Association
within 60 days following the receipt of the payments under paragraphs (d) and (e).

(h) The authority to make a retirement coverage election under this section expires
on January 1, 2017.

EFFECTIVE DATE.

This section is effective the day following final enactment.

ARTICLE 13

TECHNICAL CORRECTIONS

Section 1.

Minnesota Statutes 2015 Supplement, section 353.01, subdivision 16,
is amended to read:


Subd. 16.

Allowable service; limits and computation.

(a) "Allowable service"
means:

(1) service during years of actual membership in the course of which employee
deductions were withheld from salary and contributions were made at the applicable rates
under section 353.27, 353.65, or 353E.03;

(2) periods of service covered by payments in lieu of salary deductions under
sections 353.27, subdivisions 12 and 12a, and 353.35;

(3) service in years during which the public employee was not a member but for
which the member later elected, while a member, to obtain credit by making payments to
the fund as permitted by any law then in effect;

(4) a period of authorized leave of absence during which the employee receives pay
as specified in subdivision 10, paragraph (a), clause (4) or (5), from which deductions for
employee contributions are made, deposited, and credited to the fund;

(5) a period of authorized leave of absence without pay, or with pay that is not
included in the definition of salary under subdivision 10, paragraph (a), clause (4) or
(5), for which salary deductions are not authorized, and for which a member obtained
service credit for up to 12 months of the authorized leave period by payment under section
353.0161 or 353.0162, to the fund made in place of salary deductions;

(6) a periodic, repetitive leave that is offered to all employees of a governmental
subdivision. The leave program may not exceed 208 hours per annual normal work cycle
as certified to the association by the employer. A participating member obtains service
credit by making employee contributions in an amount or amounts based on the member's
average salary, excluding overtime pay, that would have been paid if the leave had not
been taken. The employer shall pay the employer and additional employer contributions
on behalf of the participating member. The employee and the employer are responsible
to pay interest on their respective shares at the rate of 8.5 percent until June 30, 2015,
and eight percent thereafter, compounded annually, from the end of the normal cycle
until full payment is made. An employer shall also make the employer and additional
employer contributions, plus 8.5 percent interest until June 30, 2015, and eight percent
interest thereafter, compounded annually, on behalf of an employee who makes employee
contributions but terminates public service. The employee contributions must be made
within one year after the end of the annual normal working cycle or within 30 days after
termination of public service, whichever is sooner. The executive director shall prescribe
the manner and forms to be used by a governmental subdivision in administering a
periodic, repetitive leave. Upon payment, the member must be granted allowable service
credit for the purchased period;

(7) an authorized temporary or seasonal layoff under subdivision 12, limited to three
months allowable service per authorized temporary or seasonal layoff in one calendar year.
An employee who has received the maximum service credit allowed for an authorized
temporary or seasonal layoff must return to public service and must obtain a minimum of
three months of allowable service subsequent to the layoff in order to receive allowable
service for a subsequent authorized temporary or seasonal layoff;

(8) a period during which a member is absent from employment by a governmental
subdivision by reason of service in the uniformed services, as defined in United States
Code, title 38, section 4303(13), if the member returns to public service with the same
governmental subdivision upon discharge from service in the uniformed service within the
time frames required under United States Code, title 38, section 4312(e), provided that
the member did not separate from uniformed service with a dishonorable or bad conduct
discharge or under other than honorable conditions. The service must be credited if the
member pays into the fund equivalent employee contributions based upon the contribution
rate or rates in effect at the time that the uniformed service was performed multiplied by
the full and fractional years being purchased and applied to the annual salary rate. The
annual salary rate is the average annual salary during the purchase period that the member
would have received if the member had continued to be employed in covered employment
rather than to provide uniformed service, or, if the determination of that rate is not
reasonably certain, the annual salary rate is the member's average salary rate during the
12-month period of covered employment rendered immediately preceding the period of the
uniformed service. Payment of the member equivalent contributions must be made during
a period that begins with the date on which the individual returns to public employment
and that is three times the length of the military leave period, or within five years of the
date of discharge from the military service, whichever is less. If the determined payment
period is less than one year, the contributions required under this clause to receive service
credit may be made within one year of the discharge date. Payment may not be accepted
following 30 days after termination of public service under subdivision 11a. If the member
equivalent contributions provided for in this clause are not paid in full, the member's
allowable service credit must be prorated by multiplying the full and fractional number
of years of uniformed service eligible for purchase by the ratio obtained by dividing
the total member contributions received by the total member contributions otherwise
required under this clause. The equivalent employer contribution, and, if applicable, the
equivalent additional employer contribution must be paid by the governmental subdivision
employing the member if the member makes the equivalent employee contributions. The
employer payments must be made from funds available to the employing unit, using the
employer and additional employer contribution rate or rates in effect at the time that the
uniformed service was performed, applied to the same annual salary rate or rates used to
compute the equivalent member contribution. The governmental subdivision involved
may appropriate money for those payments. The amount of service credit obtainable
under this section may not exceed five years unless a longer purchase period is required
under United States Code, title 38, section 4312. The employing unit shall pay interest
on all equivalent member and employer contribution amounts payable under this clause.
Interest must be computed at the rate of 8.5 percent until June 30, 2015, and eight percent
thereafter, compounded annually, from the end of each fiscal year of the leave or the break
in service to the end of the month in which the payment is received. Upon payment, the
employee must be granted allowable service credit for the purchased period; or

(9) a period specified under section 353.0162.

(b) No member may receive more than 12 months of allowable service credit in a
year either for vesting purposes or for benefit calculation purposes.

(c) For an active member who was an active member of the former Minneapolis
Firefighters Relief Association on December 29, 2011, "allowable service" is the period
of service credited by the Minneapolis Firefighters Relief Association as reflected in
the transferred records of the association up to December 30, 2011, and the period
of service credited under paragraph (a), clause (1), after December 30, 2011. For an
active member who was an active member of the former Minneapolis Police Relief
Association on December 29, 2011, "allowable service" is the period of service credited
by the Minneapolis Police Relief Association as reflected in the transferred records of the
association up to December 30, 2011, and the period of service credited under paragraph
(a), clause (1), after December 30, 2011.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Minnesota Statutes 2014, section 353.012, is amended to read:


353.012 UNIVERSITY OF MINNESOTA EMPLOYEES; FURLOUGH
SERVICE AND SALARY CREDIT.

A furloughed employee of the University of Minnesota who is a member of the
public employees police and fire plan may obtain allowable service and salary credit
for the furlough period. The allowable service and salary credit authorization is a leave
of absence authorization for purposes of section 353.0161 and the purchase payment
procedure of section 353.0161, subdivision 2, applies
353.0162.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Minnesota Statutes 2014, section 353.32, subdivision 4, is amended to read:


Subd. 4.

Lack, or death, of beneficiary.

If a member or former member dies
without having designated a beneficiary or if the beneficiary should die before making
application for refund, and if there is no surviving spouse, and if the legal representative of
such member or former member does not apply for refund within five years from the date
of death of the member or former member, the accumulated deductions to the member or
former member's credit at the time of death shall be disposed of in the manner provided
in section 353.34, subdivision 6 356.631.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2014, section 354A.011, subdivision 29, is amended to read:


Subd. 29.

Vesting; vested.

(a) "Vesting" or "vested" means having entitlement to a
nonforfeitable annuity or benefit from a the St. Paul Teachers Retirement Fund Association
coordinated member program administered by a teachers retirement fund association by
having credit for sufficient allowable service under paragraph (b) or (c), whichever applies

when the teacher has accrued credit for at least three years of allowable service
.

(b) For purposes of qualifying for an annuity or a benefit as a coordinated plan
member of the St. Paul Teachers Retirement Fund Association, the teacher is vested when
the teacher has accrued credit for at least three years of service.

(c) For purposes of qualifying for an annuity or a benefit as a coordinated plan
member of the Duluth Teachers Retirement Fund Association:

(1) a teacher who first became a member of the plan before July 1, 2010, is vested
when the teacher has accrued at least three years of service; and

(2) a teacher who first became a member of the plan after June 30, 2010, is vested
when the teacher has accrued at least five years of service.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 5.

Minnesota Statutes 2014, section 354A.095, is amended to read:


354A.095 PARENTAL AND MATERNITY LEAVE.

Basic or coordinated members of the St. Paul Teachers Retirement Fund Association
and new coordinated members of the Duluth Teachers Retirement Fund Association,
who are granted parental or maternity leave of absence by the employing authority, are
entitled to obtain service credit not to exceed one year for the period of leave upon
payment to the applicable fund by the end of the fiscal year following the fiscal year in
which the leave of absence terminated. The amount of the payment must include the total
required employee and employer contributions for the period of leave prescribed in section
354A.12. Payment must be based on the member's average monthly salary rate upon
return to teaching service, and is payable without interest. Payment must be accompanied
by a certified or otherwise adequate copy of the resolution or action of the employing
authority granting or approving the leave.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 6.

Minnesota Statutes 2014, section 354A.35, subdivision 2, is amended to read:


Subd. 2.

Death while eligible to retire; surviving spouse optional annuity.

(a)
The surviving spouse of a vested coordinated member who dies prior to retirement may
elect to receive, instead of a refund with interest under subdivision 1, an annuity equal
to the 100 percent joint and survivor annuity the member could have qualified for had
the member terminated service on the date of death. The surviving spouse eligible for
a surviving spouse benefit under this paragraph may apply for the annuity at any time
after the date on which the deceased employee would have attained the required age for
retirement based on the employee's allowable service. A surviving spouse eligible for
surviving spouse benefits under paragraph (b) or (c) may apply for an annuity at any time
after the member's death. The member's surviving spouse shall be paid a joint and survivor
annuity under section 354A.32 and computed under section 354A.31.

(b) If the member was under age 55 and has credit for at least 30 years of allowable
service on the date of death, the surviving spouse may elect to receive a 100 percent joint
and survivor annuity based on the age of the member and surviving spouse on the date
of death. The annuity is payable using the full early retirement reduction under section
354A.31, subdivision 6, paragraph (a), to age 55 and one-half of the early retirement
reduction from age 55 to the age payment begins.

(c) If a vested member of the Duluth Teachers Retirement Fund Association was
under age 55 on the date of death but did not yet qualify for retirement, the surviving
spouse may elect to receive the 100 percent joint and survivor annuity based on the age
of the member and the survivor at the time of death. The annuity is payable using the
full early retirement reduction under section 354A.31, subdivision 6 or 7, to age 55 and
one-half of the early retirement reduction from age 55 to the date payment begins.

(d) (c) If a vested member of the St. Paul Teachers Retirement Fund Association
was under age 55 on the date of death but did not yet qualify for retirement, the surviving
spouse may elect to receive the 100 percent joint and survivor annuity based on the age
of the member and the survivor at the time of death. The annuity is payable using the
full early retirement reduction under section 354A.31, subdivision 6 or 7, to age 55 and
one-half of the actuarial equivalent reduction from age 55 to the date payment begins.
The actuarial equivalent reduction is calculated so that the reduced annuity is the actuarial
equivalent of the annuity that would be payable to the member if the member deferred
receipt of the annuity and the annuity amount were augmented at an annual rate of 2.5
percent compounded annually from the day the annuity begins to accrue until the normal
retirement age.

(e) (d) Sections 354A.37, subdivision 2, and 354A.39 apply to a deferred annuity
or surviving spouse benefit payable under this section. The benefits are payable for the
life of the surviving spouse, or upon expiration of the term certain benefit payment under
subdivision 2b.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 7. REPEALER.

(a) Minnesota Statutes 2014, sections 354A.12, subdivision 2c; 354A.31, subdivision
3; and 356.47, subdivision 1,
are repealed.

(b) Minnesota Statutes 2015 Supplement, section 354A.12, subdivision 3c, is
repealed.

EFFECTIVE DATE.

This section is effective the day following final enactment.

APPENDIX

Repealed Minnesota Statutes: S0588-2

352.04 STATE EMPLOYEES RETIREMENT FUND, CONTRIBUTIONS BY EMPLOYEE AND EMPLOYER.

Subd. 11.

Gifts and bequests.

The director may credit to the retirement fund any money received in the form of donations, gifts, appropriations, bequests, or otherwise, or derived from it.

353.0161 AUTHORIZED LEAVE OF ABSENCE SERVICE CREDIT PURCHASE PROCEDURE.

Subdivision 1.

Application.

This section applies to employees covered by any plan specified in this chapter or chapter 353E for any period of authorized leave of absence specified in section 353.01, subdivision 16, paragraph (a), clause (5), for which the employee obtains credit for allowable service by making payment as specified in this section to the applicable fund.

Subd. 2.

Purchase procedure.

(a) An employee covered by a plan specified in subdivision 1 may purchase credit for allowable service in that plan for a period specified in subdivision 1 if the employee makes a payment as specified in paragraph (b) or (c), whichever applies. The employing unit, at its option, may pay the employer portion of the amount specified in paragraph (b) on behalf of its employees.

(b) If payment is received by the executive director within one year from the date the member returned to work following the authorized leave, or within 30 days after the date of termination of public service if the member did not return to work, the payment amount is equal to the employee and employer contribution rates specified in law for the applicable plan at the end of the leave period, or at termination of public service, whichever is earlier, multiplied by the employee's average monthly salary, excluding overtime, upon which deductions were paid during the six months, or portion thereof, before the commencement of the leave of absence and by the number of months of the leave of absence for which the employee wants allowable service credit. Payments made under this paragraph must include compound interest at the monthly rate of 0.71 percent until June 30, 2015, and 0.667 percent per month thereafter from the last day of the leave period until the last day of the month in which payment is received.

(c) If payment is received by the executive director after one year, the payment amount is the amount determined under section 356.551. Payment under this paragraph must be made before the date the person terminates public service under section 353.01, subdivision 11a.

Subd. 3.

Restriction on subsequent purchases.

To purchase salary credit or service credit for a subsequent authorized leave of absence period, the member must return to public service and render a minimum of three months of allowable service credit.

353.34 RIGHTS UPON TERMINATION OF MEMBERSHIP.

Subd. 6.

Additions to fund.

The board of trustees may credit to the general employees retirement fund any money received in the form of contributions, donations, gifts, appropriations, bequests, or otherwise.

354A.12 CONTRIBUTIONS BY EMPLOYEE AND EMPLOYER.

Subd. 2c.

Duluth Teachers Retirement Fund Association; employer contributions for reemployed annuitants.

The school district shall make the regular employer contributions and additional employer contributions specified in subdivision 2a on behalf of any retired member of the Duluth Teachers Retirement Fund Association who is reemployed by Independent School District No. 709, including providing service to the school district as an independent contractor or as an employee of an independent contractor.

Subd. 3c.

Termination of supplemental contributions and direct matching and state aid.

(a) The supplemental contributions payable to the St. Paul Teachers Retirement Fund Association by Independent School District No. 625 under section 423A.02, subdivision 3, and all forms of aid under subdivision 3a to the St. Paul Teachers Retirement Fund Association must continue until the actuarial value of assets of the fund equal or exceed the actuarial accrued liability of the fund as determined in the most recent actuarial report for the fund by the actuary retained under section 356.214 or until the established date for full funding under section 356.215, subdivision 11, whichever occurs earlier.

(b) The aid to the Duluth Teachers Retirement Fund Association under section 423A.02, subdivision 3, and all forms of state aid under subdivision 3a to the Duluth Teachers Retirement Fund Association must continue until the current assets of the fund equal or exceed the actuarial accrued liability of the fund as determined in the most recent actuarial report for the fund by the actuary retained under section 356.214 or until the established date for full funding under section 356.215, subdivision 11, whichever occurs earlier.

354A.29 ST. PAUL TEACHERS RETIREMENT FUND ASSOCIATION POSTRETIREMENT ADJUSTMENT.

Subd. 8.

Calculation of postretirement adjustments; percentage based.

(a) For purposes of computing postretirement adjustments for eligible benefit recipients of the St. Paul Teachers Retirement Fund Association, the accrued liability funding ratio based on the actuarial value of assets of the plan as determined by the two most recent actuarial valuations prepared under sections 356.214 and 356.215 determines the postretirement increase, as follows:

Funding ratio Postretirement increase
Less than 80 percent 1 percent
At least 80 percent but less than 90 percent 2 percent

(b) The amount determined under paragraph (a) is the full postretirement increase to be applied as a permanent increase to the regular payment of each eligible member on January 1 of the next calendar year. For any eligible member whose effective date of benefit commencement occurred after January 1 of the calendar year immediately before the postretirement increase is applied, the amount determined under paragraph (a) must be reduced by 50 percent.

(c) If the accrued liability funding ratio based on the actuarial value of assets is at least 90 percent in two consecutive actuarial valuations, subsequent postretirement increases must be paid as specified in subdivision 9.

(d) If, following a postretirement increase under paragraph (a), the accrued liability funding ratio, based on the actuarial value of assets, falls below 80 percent for two consecutive actuarial valuations, the applicable postretirement increase must be reduced to one percent until January 1 of the calendar year next following the date on which the requirements for an increase under paragraph (a) are again satisfied.

Subd. 9.

Calculation of postretirement adjustments.

(a) This subdivision applies if the requirements of subdivision 8, paragraph (c), have been satisfied.

(b) A percentage adjustment must be paid under this subdivision to eligible persons under subdivision 7.

(c) The amount of 2.5 percent is the full postretirement adjustment to be applied as a permanent increase to the regular payment of each eligible member on January 1 of the next calendar year. For any eligible member whose effective date of benefit commencement occurred after January 1 of the calendar year immediately before the postretirement adjustment is applied, the postretirement adjustment amount must be reduced by 50 percent.

(d) In the event the accrued liability funding ratio based on the actuarial value of assets falls below 90 percent for two consecutive actuarial valuations, the applicable postretirement increase must be determined under subdivision 8 until January 1 of the calendar year next following the date on which the requirements of subdivision 8, paragraph (c), are again satisfied.

354A.31 COORDINATED PROGRAM RETIREMENT BENEFITS.

Subd. 3.

Resumption of teaching after commencement of a retirement annuity.

(a) Any person who retired and is receiving a coordinated program retirement annuity under the provisions of sections 354A.31 to 354A.41 or any person receiving a basic program retirement annuity under the governing sections in the articles of incorporation or bylaws and who has resumed teaching service for the school district in which the teachers retirement fund association exists is entitled to continue to receive retirement annuity payments, except that all or a portion of the annuity payments must be deferred during the calendar year immediately following the calendar year in which the person's salary from the teaching service is in an amount greater than $46,000. The amount of the annuity deferral is one-third the salary amount in excess of $46,000 and must be deducted from the annuity payable for the calendar year immediately following the calendar year in which the excess amount was earned.

(b) If the person is retired for only a fractional part of the calendar year during the initial year of retirement, the maximum reemployment salary exempt from triggering a deferral as specified in this subdivision must be prorated for that calendar year.

(c) After a person has reached the Social Security normal retirement age, no deferral requirement is applicable regardless of the amount of any compensation received for teaching service for the school district in which the teachers retirement fund association exists.

(d) The amount of the retirement annuity deferral must be handled or disposed of as provided in section 356.47.

(e) Notwithstanding other paragraphs of this subdivision, for any retired Duluth Teachers Retirement Fund Association member whose effective date of retirement is after June 30, 2013, amounts specified as deferred under this subdivision must instead be forfeited to the Duluth Teachers Retirement Fund Association fund.

(f) Notwithstanding other paragraphs of this subdivision, for any retired St. Paul Teachers Retirement Fund Association basic or coordinated program member whose effective date of retirement is after June 30, 2013, amounts specified as deferred under this subdivision must instead be forfeited to the St. Paul Teachers Retirement Fund Association fund.

(g) For the purpose of this subdivision, salary from teaching service includes: (i) all income for services performed as a consultant or independent contractor; or income resulting from working with the school district in any capacity; and (ii) the greater of either the income received or an amount based on the rate paid with respect to an administrative position, consultant, or independent contractor in the school district in which the teachers retirement fund association exists and at the same level as the position occupied by the person who resumes teaching service.

(h) On or before February 15 of each year, each applicable employing unit shall report to the teachers retirement fund association the amount of postretirement salary as defined in this subdivision, earned as a teacher, consultant, or independent contractor during the previous calendar year by each retiree of the teachers retirement fund association for teaching service performed after retirement. The report must be in a format approved by the executive secretary or director.

356.415 POSTRETIREMENT ADJUSTMENTS; STATEWIDE RETIREMENT PLANS.

Subdivision 1.

Annual postretirement adjustments; generally.

(a) Except as otherwise provided in subdivision 1a, 1b, 1c, 1d, 1e, or 1f, retirement annuity, disability benefit, or survivor benefit recipients of a covered retirement plan are entitled to a postretirement adjustment annually on January 1, as follows:

(1) a postretirement increase of 2.5 percent must be applied each year, effective January 1, to the monthly annuity or benefit of each annuitant or benefit recipient who has been receiving an annuity or a benefit for at least 12 full months as of the June 30 of the calendar year immediately before the adjustment; and

(2) for each annuitant or benefit recipient who has been receiving an annuity or a benefit amount for at least one full month, but less than 12 full months as of the June 30 of the calendar year immediately before the adjustment, an annual postretirement increase of 1/12 of 2.5 percent for each month that the person has been receiving an annuity or benefit must be applied.

(b) An increase in annuity or benefit payments under this section must be made automatically unless written notice is filed by the annuitant or benefit recipient with the executive director of the covered retirement plan requesting that the increase not be made.

356.47 DISPOSITION OF AMOUNT IN EXCESS OF REEMPLOYED ANNUITANT EARNINGS LIMITATIONS.

Subdivision 1.

Application.

(a) This section applies to the balance of annual retirement annuities on the amount of retirement annuity reductions after reemployed annuitant earnings limitations for retirement plans governed by section 352.115, subdivision 10; 353.37; or 354.44, subdivision 5.

(b) This section also applies to the balance of annual retirement annuities on the amount of retirement annuity reductions under section 354A.31, subdivision 3, for members of the Duluth Teachers Retirement Fund Association whose effective date of retirement is before July 1, 2013.

(c) This section also applies to the balance of annual retirement annuities on the amount of retirement annuity reductions under section 354A.31, subdivision 3, for members of the St. Paul Teachers Retirement Fund Association whose effective date of retirement is before July 1, 2013.

356.611 LIMITATION ON PUBLIC EMPLOYEE SALARIES FOR PENSION PURPOSES.

Subd. 3.

Maximum benefit limitations.

An annuitant's annual benefit, if necessary, must be reduced to the extent required by section 415(b) of the federal Internal Revenue Code, as adjusted by the United States secretary of the treasury under section 415(d) of the federal Internal Revenue Code for any applicable increases in the cost of living, including applicable increases in the cost of living after the member's termination of employment. If an annuitant participated in more than one pension plan in which the employer participates, the benefits under each plan must be reduced proportionately, if necessary, to satisfy the applicable limitation.

Subd. 3a.

Maximum annual addition limitation, defined contribution plans.

The annual additions on behalf of a member to a defined contribution plan for any limitation year shall not exceed the applicable limitation on annual additions under section 415(c) of the federal Internal Revenue Code, as adjusted by the United States secretary of the treasury under section 415(d) of the federal Internal Revenue Code.

Subd. 4.

Compensation.

For purposes of this section, compensation means a member's compensation actually paid or made available for any limitation year including all items of remuneration described in federal treasury regulation section 1.415 (c)-2(b) and excluding all items of remuneration described in federal treasury regulation section 1.415 (c)-2(c). Compensation for pension plan purposes for any limitation year shall not exceed the applicable federal compensation limit described in subdivision 2.

Subd. 5.

Limitation year.

Unless otherwise specifically provided, for purposes of section 415 of the federal Internal Revenue Code, the limitation year of a pension plan covered by this section is the calendar year or fiscal year, whichever is applicable.

356.96 PENSION PLAN APPEAL PROCEDURES.

Subd. 14.

Petitions without notice.

Notwithstanding the petition notice and requirements under this section, a person who believes that the person's rights have been affected by a decision made by the administration of a covered pension plan may request a review under this section by the appropriate governing board. The petition under this subdivision must be made within 45 days of the time that the person knew or should have known of the disputed decision.

Subd. 15.

Governing board review panel.

Any covered pension plan subject to this section, by motion duly made and adopted, may appoint a panel of governing board members to hear and determine any or all petitions brought under this section. The governing board review panel must contain a minimum number of board members that would otherwise constitute a quorum of board members under the governing body's rules and procedures.

424A.02 DEFINED BENEFIT RELIEF ASSOCIATIONS; SERVICE PENSIONS.

Subd. 13.

Combined service pensions.

(a) If the articles of incorporation or bylaws of the defined benefit relief associations so provide, a volunteer firefighter with credit for service as an active firefighter in more than one defined benefit volunteer firefighters relief association is entitled, when the applicable requirements of paragraph (b) are met and when otherwise qualified, to a prorated service credit from each relief association.

(b) A volunteer firefighter receiving a prorated service pension under this subdivision must have a total amount of service credit of ten years or more, if the bylaws of every affected relief association do not specify only a five-year service vesting requirement, or five years or more, if the bylaws of every affected relief association require only a five-year service vesting requirement, as a member of two or more relief associations otherwise qualified. The member must have one year or more of service credit in each relief association. The prorated service pension must be based on the service pension amount in effect for the relief association on the date on which active volunteer firefighting services covered by that relief association terminate. To receive a service pension under this subdivision, the firefighter must become a member of the second or succeeding association and must give notice of membership to the prior association within two years of the date of termination of active service with the prior association. The notice must be attested to by the second or subsequent relief association secretary.

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3.17 3.18 3.19 3.20 3.21 3.22 3.23 3.24 3.25 3.26 3.27 3.28 3.29 3.30 3.31 3.32 3.33 4.1 4.2 4.3
4.4
4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 4.21 4.22 4.23 4.24 4.25 4.26 4.27 4.28 4.29 4.30 4.31 4.32 4.33 4.34 4.35 4.36 4.37 4.38 4.39 5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11 5.12 5.13 5.14 5.15 5.16 5.17 5.18 5.19 5.20 5.21 5.22 5.23 5.24 5.25 5.26 5.27 5.28 5.29 5.30 5.31 5.32 5.33 5.34 5.35 5.36 5.37 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 6.9 6.10 6.11 6.12 6.13 6.14 6.15 6.16 6.17 6.18 6.19 6.20 6.21 6.22 6.23 6.24 6.25 6.26 6.27 6.28 6.29 6.30 6.31 6.32 6.33 6.34 6.35 6.36 6.37 6.38 6.39 6.40 6.41 6.42 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21 7.22 7.23 7.24 7.25 7.26 7.27 7.28 7.29 7.30 7.31 7.32 7.33 7.34 7.35 7.36 7.37 7.38 7.39 7.40 7.41 7.42 7.43 8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15 8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27 8.28 8.29 8.30 8.31 8.32 8.33 8.34 8.35 8.36 8.37 8.38 8.39 8.40 8.41 9.1 9.2 9.3 9.4
9.5
9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13 9.14 9.15 9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25 9.26 9.27 9.28 9.29 9.30 9.31 9.32 9.33 9.34 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13 10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30 10.31 10.32 10.33 10.34 10.35 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8 11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16 11.17 11.18 11.19 11.20 11.21 11.22 11.23
11.24
11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 11.34 11.35 12.1 12.2 12.3 12.4 12.5 12.6 12.7 12.8 12.9 12.10 12.11 12.12 12.13 12.14 12.15 12.16 12.17 12.18 12.19 12.20 12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 12.32 12.33 12.34 12.35 13.1 13.2 13.3 13.4 13.5 13.6 13.7 13.8 13.9 13.10 13.11 13.12 13.13 13.14 13.15 13.16 13.17 13.18 13.19 13.20 13.21 13.22 13.23 13.24 13.25
13.26
13.27 13.28 13.29 13.30 13.31 13.32 13.33 13.34 13.35 14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10 14.11 14.12 14.13 14.14 14.15 14.16 14.17 14.18 14.19 14.20 14.21 14.22 14.23 14.24 14.25 14.26 14.27 14.28 14.29 14.30 14.31 14.32 14.33 14.34 14.35 14.36 15.1 15.2 15.3 15.4 15.5 15.6 15.7 15.8 15.9
15.10
15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22 15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 15.31 15.32 15.33 15.34 15.35 16.1 16.2 16.3 16.4 16.5 16.6 16.7 16.8 16.9 16.10 16.11 16.12 16.13 16.14 16.15 16.16 16.17 16.18 16.19 16.20 16.21 16.22 16.23 16.24 16.25 16.26 16.27 16.28 16.29 16.30 16.31 16.32 16.33 16.34 16.35 17.1 17.2 17.3 17.4
17.5
17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13 17.14 17.15 17.16 17.17 17.18 17.19 17.20 17.21 17.22 17.23 17.24 17.25 17.26 17.27 17.28 17.29 17.30 17.31 17.32 17.33 17.34 18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 18.9 18.10 18.11 18.12 18.13 18.14 18.15 18.16 18.17 18.18 18.19 18.20 18.21 18.22 18.23 18.24 18.25 18.26 18.27 18.28 18.29 18.30 18.31
18.32
18.33 18.34 18.35 19.1 19.2 19.3
19.4
19.5 19.6 19.7 19.8 19.9 19.10
19.11
19.12 19.13 19.14 19.15
19.16 19.17
19.18 19.19 19.20
19.21 19.22 19.23 19.24 19.25 19.26 19.27 19.28 19.29 20.1 20.2 20.3 20.4 20.5 20.6 20.7 20.8 20.9
20.10
20.11 20.12 20.13 20.14 20.15 20.16 20.17
20.18
20.19 20.20 20.21 20.22 20.23 20.24
20.25
20.26 20.27 20.28 20.29 20.30 20.31 20.32 21.1 21.2 21.3 21.4 21.5 21.6 21.7
21.8
21.9 21.10 21.11 21.12 21.13 21.14 21.15 21.16 21.17 21.18 21.19 21.20 21.21 21.22 21.23 21.24 21.25 21.26 21.27 21.28 21.29 21.30 21.31 21.32 21.33 21.34 21.35 22.1 22.2 22.3 22.4 22.5 22.6 22.7 22.8 22.9 22.10 22.11 22.12 22.13 22.14 22.15 22.16 22.17 22.18 22.19 22.20 22.21 22.22 22.23 22.24 22.25 22.26 22.27 22.28
22.29
22.30 22.31 22.32 22.33 22.34 23.1 23.2 23.3 23.4 23.5 23.6 23.7 23.8 23.9 23.10 23.11 23.12 23.13 23.14 23.15 23.16
23.17
23.18 23.19 23.20 23.21 23.22 23.23 23.24 23.25 23.26 23.27 23.28
23.29
23.30 23.31 23.32 23.33 24.1 24.2 24.3 24.4 24.5 24.6 24.7 24.8 24.9 24.10
24.11
24.12 24.13 24.14 24.15 24.16 24.17 24.18 24.19 24.20 24.21 24.22 24.23 24.24 24.25
24.26
24.27 24.28 24.29
24.30 24.31 24.32 24.33 25.1 25.2 25.3 25.4 25.5 25.6 25.7 25.8 25.9 25.10 25.11 25.12 25.13 25.14 25.15 25.16 25.17 25.18 25.19 25.20 25.21 25.22 25.23 25.24 25.25 25.26 25.27 25.28 25.29 25.30 25.31 25.32 25.33 25.34 25.35 26.1 26.2 26.3 26.4 26.5 26.6 26.7 26.8 26.9 26.10 26.11
26.12
26.13 26.14 26.15 26.16
26.17
26.18 26.19 26.20 26.21 26.22 26.23 26.24 26.25 26.26 26.27 26.28 26.29 26.30 26.31 26.32 26.33
27.1
27.2 27.3 27.4 27.5 27.6 27.7 27.8 27.9 27.10 27.11 27.12 27.13 27.14 27.15 27.16 27.17 27.18 27.19 27.20 27.21 27.22 27.23 27.24 27.25 27.26 27.27 27.28 27.29 27.30 27.31 27.32 27.33 27.34 28.1 28.2 28.3 28.4 28.5 28.6 28.7 28.8 28.9 28.10 28.11 28.12 28.13 28.14 28.15 28.16 28.17 28.18 28.19 28.20 28.21 28.22 28.23 28.24 28.25 28.26 28.27 28.28 28.29 28.30 28.31
28.32
28.33 28.34 29.1 29.2 29.3 29.4 29.5 29.6 29.7 29.8 29.9 29.10 29.11 29.12 29.13 29.14 29.15 29.16 29.17 29.18 29.19
29.20
29.21 29.22 29.23 29.24 29.25 29.26 29.27
29.28
29.29 29.30 29.31 29.32 30.1 30.2
30.3
30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13 30.14
30.15
30.16 30.17 30.18 30.19 30.20 30.21 30.22 30.23 30.24
30.25
30.26 30.27 30.28 30.29 30.30 30.31 30.32 31.1 31.2 31.3
31.4
31.5 31.6 31.7 31.8 31.9 31.10 31.11
31.12
31.13 31.14 31.15 31.16 31.17 31.18 31.19 31.20 31.21 31.22 31.23 31.24 31.25 31.26 31.27 31.28 31.29 31.30 31.31 31.32 31.33
32.1
32.2 32.3 32.4
32.5 32.6 32.7 32.8 32.9 32.10 32.11 32.12 32.13 32.14 32.15 32.16 32.17 32.18 32.19 32.20 32.21 32.22 32.23 32.24 32.25 32.26 32.27 32.28 32.29 32.30 32.31 32.32 32.33 32.34 33.1 33.2 33.3 33.4 33.5 33.6 33.7 33.8 33.9 33.10 33.11 33.12 33.13 33.14 33.15 33.16 33.17 33.18 33.19 33.20 33.21 33.22 33.23 33.24 33.25 33.26 33.27 33.28 33.29
33.30
33.31 33.32 33.33 33.34 33.35 34.1 34.2 34.3 34.4 34.5 34.6 34.7
34.8
34.9 34.10 34.11 34.12 34.13 34.14 34.15 34.16 34.17 34.18 34.19 34.20 34.21 34.22 34.23 34.24
34.25
34.26 34.27 34.28 34.29 34.30 34.31 34.32 34.33 35.1 35.2 35.3 35.4 35.5 35.6 35.7 35.8 35.9 35.10 35.11 35.12 35.13 35.14 35.15 35.16
35.17
35.18 35.19 35.20 35.21
35.22
35.23 35.24 35.25
35.26 35.27 35.28 35.29 35.30 35.31 35.32 36.1 36.2 36.3
36.4
36.5 36.6 36.7 36.8 36.9 36.10 36.11 36.12
36.13
36.14 36.15 36.16 36.17 36.18 36.19 36.20 36.21 36.22 36.23 36.24 36.25 36.26 36.27 36.28 36.29 36.30 36.31 36.32 36.33 37.1 37.2 37.3
37.4
37.5 37.6 37.7 37.8 37.9 37.10 37.11 37.12 37.13 37.14 37.15 37.16 37.17 37.18 37.19 37.20 37.21 37.22 37.23 37.24 37.25 37.26
37.27
37.28 37.29
37.30 38.1 38.2 38.3 38.4 38.5 38.6 38.7 38.8 38.9 38.10 38.11 38.12 38.13 38.14 38.15 38.16 38.17 38.18 38.19 38.20 38.21 38.22 38.23 38.24 38.25 38.26 38.27 38.28 38.29 38.30 38.31 38.32 38.33 38.34 38.35 38.36 39.1 39.2 39.3 39.4 39.5 39.6 39.7 39.8 39.9 39.10 39.11 39.12 39.13 39.14 39.15 39.16 39.17 39.18 39.19 39.20 39.21 39.22 39.23 39.24 39.25 39.26 39.27 39.28 39.29
39.30
39.31 39.32 39.33 39.34 39.35 40.1 40.2 40.3 40.4 40.5 40.6 40.7 40.8 40.9 40.10 40.11 40.12 40.13 40.14 40.15 40.16 40.17 40.18 40.19 40.20 40.21
40.22
40.23 40.24 40.25 40.26 40.27 40.28 40.29 40.30 40.31 40.32 40.33 40.34 40.35 41.1 41.2 41.3 41.4 41.5 41.6 41.7 41.8 41.9 41.10 41.11 41.12 41.13 41.14 41.15 41.16 41.17 41.18 41.19 41.20 41.21 41.22 41.23 41.24 41.25 41.26 41.27 41.28 41.29 41.30 41.31 41.32 41.33 41.34
41.35
42.1 42.2 42.3 42.4 42.5 42.6 42.7 42.8 42.9 42.10 42.11 42.12 42.13 42.14 42.15 42.16 42.17 42.18 42.19 42.20 42.21 42.22 42.23 42.24 42.25 42.26 42.27 42.28 42.29 42.30 42.31 42.32 42.33 42.34 42.35 42.36 43.1 43.2
43.3
43.4 43.5 43.6 43.7 43.8 43.9 43.10 43.11 43.12 43.13 43.14 43.15 43.16 43.17 43.18 43.19 43.20 43.21 43.22 43.23 43.24 43.25 43.26
43.27
43.28 43.29 43.30 43.31 43.32 43.33 44.1 44.2
44.3
44.4 44.5 44.6 44.7 44.8 44.9 44.10 44.11 44.12
44.13
44.14 44.15 44.16 44.17 44.18 44.19 44.20 44.21 44.22 44.23 44.24 44.25 44.26 44.27
44.28
44.29 44.30 44.31 44.32 45.1 45.2 45.3 45.4 45.5 45.6 45.7 45.8 45.9 45.10 45.11 45.12 45.13 45.14 45.15 45.16
45.17
45.18 45.19 45.20 45.21 45.22 45.23 45.24 45.25
45.26
45.27 45.28 45.29 45.30 45.31 45.32 45.33 46.1 46.2 46.3 46.4 46.5 46.6 46.7 46.8 46.9 46.10 46.11 46.12 46.13 46.14 46.15 46.16 46.17 46.18 46.19 46.20 46.21 46.22
46.23
46.24 46.25 46.26 46.27 46.28 46.29 46.30 46.31 46.32 46.33 46.34 46.35 47.1 47.2 47.3 47.4 47.5
47.6
47.7 47.8 47.9 47.10 47.11 47.12 47.13 47.14 47.15 47.16 47.17 47.18 47.19 47.20 47.21 47.22 47.23 47.24 47.25
47.26
47.27 47.28 47.29 47.30 47.31
47.32
48.1 48.2 48.3 48.4 48.5 48.6 48.7 48.8 48.9 48.10 48.11 48.12 48.13 48.14 48.15 48.16 48.17 48.18 48.19 48.20 48.21 48.22 48.23 48.24 48.25 48.26 48.27 48.28 48.29 48.30 48.31 48.32 48.33 48.34 48.35 48.36 49.1 49.2 49.3 49.4 49.5
49.6
49.7 49.8 49.9 49.10 49.11 49.12 49.13 49.14 49.15 49.16 49.17 49.18 49.19 49.20 49.21 49.22 49.23 49.24 49.25 49.26 49.27 49.28 49.29 49.30 49.31
49.32
49.33 50.1 50.2 50.3 50.4 50.5 50.6 50.7
50.8
50.9 50.10 50.11 50.12 50.13 50.14 50.15 50.16 50.17 50.18 50.19 50.20 50.21 50.22 50.23 50.24 50.25 50.26 50.27 50.28 50.29 50.30 50.31 50.32 50.33 50.34 51.1 51.2 51.3 51.4 51.5 51.6 51.7 51.8 51.9 51.10
51.11
51.12 51.13 51.14 51.15 51.16 51.17 51.18 51.19 51.20 51.21 51.22 51.23 51.24 51.25 51.26 51.27 51.28 51.29 51.30
51.31
51.32 52.1 52.2 52.3 52.4 52.5 52.6 52.7 52.8
52.9
52.10 52.11 52.12 52.13 52.14 52.15 52.16 52.17 52.18
52.19 52.20 52.21
52.22
52.23 52.24
52.25 52.26 52.27 52.28 52.29 52.30 52.31 52.32 53.1 53.2 53.3 53.4 53.5 53.6 53.7 53.8 53.9 53.10 53.11 53.12 53.13 53.14 53.15 53.16 53.17 53.18 53.19 53.20 53.21 53.22 53.23 53.24 53.25 53.26 53.27 53.28 53.29 53.30 53.31 53.32 53.33 53.34 53.35 53.36 53.37 53.38 53.39 53.40 54.1 54.2 54.3 54.4 54.5 54.6 54.7 54.8 54.9 54.10 54.11 54.12 54.13 54.14 54.15 54.16 54.17 54.18 54.19 54.20 54.21 54.22 54.23 54.24 54.25 54.26 54.27 54.28 54.29 54.30 54.31 54.32 54.33 54.34 54.35 54.36 54.37 55.1 55.2 55.3 55.4 55.5 55.6 55.7 55.8 55.9 55.10 55.11 55.12 55.13 55.14 55.15 55.16 55.17 55.18 55.19 55.20 55.21 55.22 55.23 55.24 55.25 55.26 55.27 55.28 55.29 55.30 55.31 55.32 55.33 55.34 55.35 55.36 55.37 55.38 55.39 55.40 55.41 55.42 55.43 56.1 56.2 56.3 56.4 56.5 56.6 56.7 56.8 56.9 56.10 56.11 56.12 56.13 56.14 56.15 56.16 56.17 56.18 56.19 56.20 56.21 56.22 56.23 56.24 56.25 56.26 56.27 56.28 56.29 56.30 56.31 56.32 56.33 56.34 56.35 56.36 56.37 56.38 56.39 56.40 56.41 56.42 56.43 57.1 57.2 57.3 57.4 57.5 57.6 57.7 57.8 57.9 57.10 57.11 57.12 57.13 57.14 57.15 57.16 57.17 57.18 57.19 57.20 57.21 57.22 57.23 57.24 57.25 57.26 57.27 57.28 57.29
57.30 57.31
57.32 57.33
57.34 57.35 57.36 57.37 58.1 58.2 58.3 58.4 58.5 58.6 58.7 58.8 58.9 58.10 58.11 58.12 58.13 58.14 58.15 58.16
58.17
58.18 58.19 58.20 58.21 58.22 58.23 58.24 58.25 58.26 58.27 58.28 58.29 58.30 58.31 58.32 58.33 58.34 59.1 59.2 59.3 59.4 59.5 59.6 59.7 59.8 59.9 59.10 59.11 59.12 59.13 59.14 59.15
59.16
59.17 59.18 59.19 59.20 59.21 59.22
59.23 59.24
59.25 59.26 59.27 59.28 59.29 59.30 59.31 60.1 60.2 60.3 60.4 60.5 60.6 60.7 60.8 60.9
60.10 60.11
60.12 60.13 60.14 60.15 60.16 60.17 60.18 60.19 60.20 60.21 60.22 60.23 60.24 60.25 60.26 60.27 60.28 60.29 60.30 60.31 60.32 60.33 60.34 60.35 61.1 61.2
61.3
61.4 61.5 61.6 61.7 61.8 61.9 61.10 61.11 61.12 61.13 61.14 61.15 61.16 61.17 61.18 61.19 61.20 61.21 61.22 61.23 61.24 61.25 61.26 61.27 61.28 61.29 61.30 61.31 61.32 61.33 61.34 61.35 61.36 62.1 62.2 62.3 62.4 62.5 62.6 62.7 62.8 62.9 62.10 62.11 62.12 62.13 62.14 62.15 62.16 62.17 62.18 62.19 62.20 62.21 62.22 62.23 62.24 62.25 62.26 62.27 62.28 62.29 62.30 62.31 62.32 62.33 62.34 62.35 62.36 62.37 62.38 62.39 62.40 62.41 62.42 62.43 63.1 63.2 63.3 63.4 63.5 63.6 63.7 63.8 63.9 63.10 63.11 63.12 63.13 63.14 63.15 63.16 63.17 63.18 63.19 63.20 63.21 63.22 63.23 63.24 63.25 63.26 63.27 63.28 63.29 63.30 63.31 63.32 63.33 63.34 63.35 63.36 63.37 63.38 63.39 63.40 63.41 63.42 63.43 64.1 64.2 64.3 64.4 64.5 64.6 64.7 64.8 64.9 64.10 64.11 64.12 64.13 64.14 64.15 64.16 64.17 64.18 64.19 64.20 64.21 64.22 64.23 64.24 64.25 64.26 64.27 64.28 64.29 64.30 64.31 64.32 64.33 64.34 64.35 64.36 64.37 64.38 64.39 64.40 64.41 64.42 65.1 65.2 65.3 65.4 65.5 65.6 65.7 65.8 65.9 65.10 65.11 65.12 65.13 65.14 65.15 65.16 65.17 65.18 65.19 65.20 65.21 65.22 65.23 65.24 65.25 65.26 65.27 65.28 65.29 65.30 65.31 65.32 65.33 65.34 65.35 65.36 65.37 65.38 65.39 65.40 65.41 65.42 65.43 66.1 66.2 66.3 66.4 66.5 66.6 66.7 66.8 66.9 66.10 66.11 66.12 66.13 66.14 66.15 66.16 66.17 66.18 66.19 66.20 66.21 66.22 66.23 66.24 66.25 66.26 66.27 66.28 66.29 66.30 66.31 66.32 66.33 66.34 66.35 66.36 66.37 66.38 66.39 66.40 66.41 66.42 66.43 67.1 67.2 67.3 67.4 67.5 67.6 67.7 67.8 67.9 67.10 67.11 67.12 67.13 67.14 67.15 67.16 67.17 67.18 67.19 67.20 67.21 67.22 67.23 67.24 67.25 67.26 67.27 67.28 67.29 67.30 67.31 67.32 67.33 67.34 67.35 67.36 67.37 67.38 67.39 67.40 67.41 67.42 67.43 68.1 68.2 68.3 68.4 68.5 68.6 68.7 68.8 68.9 68.10 68.11 68.12 68.13 68.14 68.15 68.16 68.17 68.18 68.19 68.20 68.21 68.22 68.23 68.24 68.25 68.26 68.27 68.28 68.29 68.30 68.31 68.32 68.33 68.34 68.35 68.36 68.37 68.38 68.39 68.40 68.41 69.1 69.2 69.3 69.4 69.5 69.6 69.7 69.8 69.9 69.10
69.11 69.12 69.13 69.14 69.15 69.16 69.17
69.18 69.19 69.20 69.21 69.22 69.23 69.24 69.25 69.26 69.27 69.28 69.29 69.30 69.31 69.32 69.33 69.34 70.1 70.2 70.3 70.4 70.5 70.6 70.7 70.8 70.9 70.10 70.11 70.12 70.13 70.14 70.15 70.16 70.17 70.18 70.19 70.20 70.21 70.22 70.23 70.24 70.25 70.26 70.27 70.28 70.29
70.30
70.31 70.32 70.33 70.34 70.35 71.1 71.2 71.3 71.4 71.5 71.6 71.7 71.8 71.9 71.10 71.11 71.12
71.13 71.14 71.15
71.16 71.17 71.18 71.19 71.20 71.21 71.22 71.23 71.24 71.25 71.26 71.27 71.28
71.29
71.30 71.31
71.32
72.1 72.2
72.3 72.4 72.5 72.6 72.7 72.8 72.9 72.10 72.11
72.12
72.13 72.14 72.15 72.16 72.17 72.18 72.19 72.20 72.21 72.22 72.23 72.24 72.25 72.26 72.27 72.28 72.29 72.30 72.31 72.32 72.33 72.34 73.1 73.2 73.3 73.4 73.5 73.6 73.7 73.8 73.9 73.10 73.11 73.12 73.13 73.14 73.15 73.16 73.17 73.18 73.19 73.20 73.21 73.22 73.23 73.24 73.25 73.26 73.27 73.28 73.29 73.30 73.31 73.32
73.33
74.1 74.2
74.3 74.4 74.5 74.6 74.7 74.8 74.9 74.10
74.11
74.12 74.13
74.14 74.15 74.16 74.17 74.18 74.19 74.20 74.21 74.22 74.23 74.24 74.25 74.26 74.27 74.28 74.29 74.30 74.31 74.32 74.33 75.1 75.2 75.3 75.4 75.5 75.6 75.7 75.8 75.9 75.10 75.11 75.12 75.13 75.14 75.15 75.16 75.17 75.18 75.19 75.20 75.21 75.22 75.23 75.24 75.25 75.26 75.27 75.28 75.29 75.30 75.31 75.32 75.33 75.34 75.35 75.36 76.1 76.2 76.3 76.4 76.5 76.6 76.7 76.8 76.9 76.10 76.11 76.12 76.13 76.14 76.15 76.16 76.17 76.18 76.19 76.20 76.21
76.22 76.23 76.24 76.25 76.26 76.27 76.28 76.29 76.30
76.31
76.32 76.33 76.34
77.1
77.2 77.3
77.4 77.5 77.6 77.7 77.8 77.9 77.10 77.11 77.12 77.13 77.14 77.15 77.16 77.17 77.18 77.19 77.20 77.21 77.22 77.23 77.24 77.25 77.26 77.27 77.28 77.29 77.30 77.31 77.32 77.33 77.34 77.35 77.36 77.37 77.38 78.1 78.2 78.3 78.4 78.5 78.6 78.7 78.8 78.9 78.10 78.11 78.12 78.13 78.14 78.15 78.16 78.17 78.18 78.19 78.20 78.21 78.22 78.23 78.24 78.25 78.26 78.27 78.28 78.29 78.30 78.31 78.32 78.33 78.34 78.35 78.36 78.37 78.38 78.39 78.40 79.1 79.2 79.3 79.4 79.5 79.6 79.7 79.8
79.9
79.10 79.11 79.12 79.13 79.14 79.15 79.16 79.17 79.18 79.19 79.20 79.21 79.22 79.23 79.24 79.25 79.26 79.27 79.28 79.29 79.30 79.31 79.32 79.33 79.34 79.35 80.1 80.2 80.3 80.4 80.5 80.6 80.7 80.8 80.9 80.10 80.11 80.12 80.13 80.14 80.15 80.16 80.17 80.18 80.19 80.20 80.21 80.22
80.23
80.24 80.25 80.26 80.27 80.28 80.29 80.30 80.31 80.32 80.33 80.34 80.35 81.1 81.2 81.3 81.4 81.5 81.6 81.7 81.8 81.9 81.10 81.11 81.12 81.13 81.14 81.15 81.16 81.17 81.18 81.19 81.20 81.21 81.22 81.23 81.24 81.25 81.26 81.27 81.28 81.29 81.30 81.31 81.32 81.33 81.34 81.35 81.36 82.1 82.2 82.3 82.4 82.5 82.6 82.7 82.8 82.9 82.10 82.11 82.12
82.13
82.14 82.15 82.16 82.17 82.18 82.19 82.20 82.21 82.22 82.23 82.24 82.25 82.26 82.27 82.28 82.29 82.30 82.31 82.32 82.33 82.34 83.1 83.2 83.3 83.4 83.5 83.6 83.7 83.8 83.9 83.10 83.11 83.12 83.13 83.14 83.15 83.16 83.17 83.18 83.19 83.20 83.21 83.22 83.23 83.24 83.25 83.26 83.27 83.28 83.29 83.30 83.31 83.32 83.33 83.34 83.35 83.36
84.1
84.2 84.3
84.4 84.5 84.6 84.7 84.8 84.9 84.10 84.11 84.12 84.13 84.14 84.15 84.16 84.17 84.18 84.19 84.20 84.21 84.22 84.23 84.24 84.25 84.26 84.27 84.28 84.29 84.30 84.31 84.32 84.33 84.34 84.35 85.1 85.2 85.3 85.4 85.5 85.6 85.7 85.8 85.9 85.10 85.11 85.12 85.13 85.14 85.15 85.16 85.17 85.18 85.19 85.20 85.21 85.22 85.23 85.24 85.25 85.26 85.27 85.28 85.29 85.30 85.31 85.32 85.33 85.34 85.35 85.36 86.1 86.2 86.3 86.4 86.5 86.6 86.7 86.8 86.9 86.10 86.11 86.12 86.13 86.14 86.15 86.16 86.17 86.18 86.19 86.20 86.21 86.22 86.23 86.24 86.25 86.26 86.27 86.28 86.29 86.30
86.31
86.32 86.33 86.34 87.1 87.2 87.3 87.4 87.5
87.6
87.7 87.8 87.9 87.10 87.11 87.12 87.13 87.14
87.15
87.16 87.17 87.18 87.19 87.20 87.21 87.22 87.23 87.24 87.25 87.26 87.27 87.28 87.29 87.30
87.31
88.1 88.2 88.3 88.4 88.5 88.6 88.7 88.8 88.9 88.10 88.11 88.12 88.13
88.14
88.15 88.16 88.17 88.18 88.19 88.20 88.21 88.22 88.23 88.24 88.25 88.26 88.27 88.28 88.29 88.30 88.31 88.32 88.33 88.34 89.1 89.2 89.3 89.4 89.5 89.6 89.7 89.8 89.9 89.10 89.11 89.12 89.13 89.14 89.15 89.16 89.17 89.18 89.19
89.20
89.21 89.22 89.23 89.24 89.25
89.26

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569