1.1                          A bill for an act 
  1.2             relating to retirement; city of Minneapolis; 
  1.3             authorizing at city option long service active police 
  1.4             officers to terminate active service and be rehired 
  1.5             with public employees police and fire retirement plan 
  1.6             coverage; amending Minnesota Statutes 1998, sections 
  1.7             353.64, subdivision 1; 423B.01, subdivision 2; and 
  1.8             423B.14; proposing coding for new law in Minnesota 
  1.9             Statutes, chapter 423B. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 1998, section 353.64, 
  1.12  subdivision 1, is amended to read: 
  1.13     Subdivision 1.  [POLICE AND FIRE FUND MEMBERSHIP.] (a) A 
  1.14  person who prior to July 1, 1961, was a member of the police and 
  1.15  fire fund, by virtue of being a police officer or firefighter, 
  1.16  shall, as long as the person remains in either position, 
  1.17  continue membership in the fund.  
  1.18     (b) A person who was employed by a governmental subdivision 
  1.19  as a police officer and was a member of the police and fire fund 
  1.20  on July 1, 1978, by virtue of being a police officer as defined 
  1.21  by this section on that date, and if employed by the same 
  1.22  governmental subdivision in a position in the same department in 
  1.23  which the person was employed on that date, shall continue 
  1.24  membership in the fund whether or not that person has the power 
  1.25  of arrest by warrant after that date. 
  1.26     (c) A person who was employed by a governmental subdivision 
  1.27  as a police officer or a firefighter, whichever applies, was an 
  2.1   active member of the local police or salaried firefighters 
  2.2   relief association located in that governmental subdivision by 
  2.3   virtue of that employment as of the effective date of the 
  2.4   consolidation as authorized by sections 353A.01 to 353A.10, and 
  2.5   has elected coverage by the public employees police and fire 
  2.6   fund benefit plan, shall become a member of the police and fire 
  2.7   fund after that date if employed by the same governmental 
  2.8   subdivision in a position in the same department in which the 
  2.9   person was employed on that date. 
  2.10     (d) Any other employee serving on a full-time basis as a 
  2.11  police officer or firefighter on or after July 1, 1961, shall 
  2.12  become a member of the public employees police and fire fund.  
  2.13     (e) An employee serving on less than a full-time basis as a 
  2.14  police officer shall become a member of the public employees 
  2.15  police and fire fund only after a resolution stating that the 
  2.16  employee should be covered by the police and fire fund is 
  2.17  adopted by the governing body of the governmental subdivision 
  2.18  employing the person declaring that the position which the 
  2.19  person holds is that of a police officer. 
  2.20     (f) An employee serving on less than a full-time basis as a 
  2.21  firefighter shall become a member of the public employees police 
  2.22  and fire fund only after a resolution stating that the employee 
  2.23  should be covered by the police and fire fund is adopted by the 
  2.24  governing body of the governmental subdivision employing the 
  2.25  person declaring that the position which the person holds is 
  2.26  that of a firefighter. 
  2.27     (g) A Minneapolis police officer rehired by the city of 
  2.28  Minneapolis under section 5 is a member of the plan for service 
  2.29  rendered after being rehired. 
  2.30     (h) A police officer or firefighter employed by a 
  2.31  governmental subdivision who by virtue of that employment is 
  2.32  required by law to be a member of and to contribute to any 
  2.33  police or firefighter relief association governed by section 
  2.34  69.77 which has not consolidated with the public employees 
  2.35  police and fire fund and any police officer or firefighter of a 
  2.36  relief association that has consolidated with the association 
  3.1   for which the employee has not elected coverage by the public 
  3.2   employees police and fire fund benefit plan as provided in 
  3.3   sections 353A.01 to 353A.10 shall not become a member of the 
  3.4   public employees police and fire fund. 
  3.5      Sec. 2.  Minnesota Statutes 1998, section 423B.01, 
  3.6   subdivision 2, is amended to read: 
  3.7      Subd. 2.  [ACTIVE MEMBER.] (a) "Active member" means a 
  3.8   person who was hired and duly appointed by the city of 
  3.9   Minneapolis before May 1, 1959, as a police stenographer, police 
  3.10  clerk, police telephone operator, police radio operator, or 
  3.11  police mechanic or before June 15, 1980, as a police officer, 
  3.12  police matron, or assistant police matron, who is regularly 
  3.13  entered on the payroll of the police department, and who serves 
  3.14  on active duty. 
  3.15     (b) "Active member" does not include any person who 
  3.16  terminates active employment as a Minneapolis police officer 
  3.17  after June 1, 1999, and who is subsequently rehired as a 
  3.18  Minneapolis police officer under section 5. 
  3.19     Sec. 3.  Minnesota Statutes 1998, section 423B.14, is 
  3.20  amended to read: 
  3.21     423B.14 [HEALTH INSURANCE ACCOUNT.] 
  3.22     (a) Notwithstanding any law to the contrary, contributions 
  3.23  of active members of the relief association with at least 25 
  3.24  years of service made after the 25th year of service must be 
  3.25  deposited in a separate account and used to pay the future 
  3.26  health insurance costs of the individual member upon that 
  3.27  member's retirement. 
  3.28     (b) A member who retires with at least 25 years of service 
  3.29  is entitled to receive periodic distributions from the remaining 
  3.30  balance in the member's health insurance account, in the amount 
  3.31  and with the frequency specified by the retiring member in 
  3.32  conformance with rules adopted by the board of trustees for this 
  3.33  purpose. 
  3.34     A person who terminates active employment as a Minneapolis 
  3.35  police officer and is subsequently reemployed as a Minneapolis 
  3.36  police officer under section 5 is not entitled to a benefit 
  4.1   under this section until the subsequent reemployment is 
  4.2   terminated. 
  4.3      Sec. 4.  [423B.19] [BENEFIT ELIGIBILITY IN CERTAIN 
  4.4   INSTANCES.] 
  4.5      A person who is a member of the relief association, who 
  4.6   terminates active employment as a Minneapolis police officer, 
  4.7   and who subsequently is rehired as a Minneapolis police officer 
  4.8   under section 5 is not eligible to receive a service pension 
  4.9   under section 423B.09, periodic distributions from the health 
  4.10  insurance account under section 423B.14, or investment related 
  4.11  postretirement adjustments under section 423B.15 until the 
  4.12  person terminates all active employment by the city of 
  4.13  Minneapolis. 
  4.14     Sec. 5.  [CITY OF MINNEAPOLIS; REEMPLOYMENT CONTRACTS WITH 
  4.15  CERTAIN POLICE OFFICERS AUTHORIZED.] 
  4.16     (a) Notwithstanding any provision of Minnesota Statutes, 
  4.17  chapters 179A, 353, 423A, or 423B, to the contrary, the city of 
  4.18  Minneapolis, at the option of the chief of police, may enter 
  4.19  into a reemployment contract with an eligible police officer. 
  4.20     (b) An eligible police officer is a Minneapolis police 
  4.21  officer who was first employed by the city as a police officer 
  4.22  before June 15, 1980, and who is an active member of the 
  4.23  Minneapolis police relief association. 
  4.24     (c) The reemployment contract between the city of 
  4.25  Minneapolis and an eligible police officer must provide for the 
  4.26  following: 
  4.27     (1) the eligible police officer must terminate active 
  4.28  employment as a police officer by the city on a specified date 
  4.29  and must be rehired by the city as a police officer on a 
  4.30  subsequent specified date; 
  4.31     (2) the eligible police officer must have retirement 
  4.32  coverage by the public employees police and fire plan upon and 
  4.33  after rehiring; 
  4.34     (3) the eligible police officer must not apply for or begin 
  4.35  receipt of a service pension from the Minneapolis police relief 
  4.36  association until the contractual period of reemployment as a 
  5.1   Minneapolis police officer has concluded and the eligible police 
  5.2   officer actually terminates employment by the city of 
  5.3   Minneapolis; 
  5.4      (4) the eligible police officer must agree to be reemployed 
  5.5   as a Minneapolis police officer for a period of at least five 
  5.6   years and agrees not to seek or agree to employment as a police 
  5.7   officer by another Minnesota governmental subdivision or agency 
  5.8   during that reemployment period; 
  5.9      (5) the eligible police officer will retain pretermination 
  5.10  seniority rights and other accrued employment benefits and 
  5.11  benefit coverages other than future pension plan coverage upon 
  5.12  rehiring; and 
  5.13     (6) the annual compensation to be paid to the reemployed 
  5.14  eligible police officer during the reemployment period. 
  5.15     Sec. 6.  [EFFECTIVE DATE.] 
  5.16     Sections 1 through 5 are effective on the day following 
  5.17  approval by the city council of the city of Minneapolis and 
  5.18  compliance with Minnesota Statutes, section 645.021.