as introduced - 89th Legislature (2015 - 2016) Posted on 03/10/2016 03:24pm
A bill for an act
relating to retirement; volunteer firefighter relief associations; increasing
lump-sum service pension maximums for defined benefit relief associations;
lowering the vesting requirement for Eden Prairie volunteer firefighters relief
association volunteer firefighters returning to active service; amending Minnesota
Statutes 2015 Supplement, section 424A.02, subdivision 3.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2015 Supplement, section 424A.02, subdivision 3,
is amended to read:
(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 |
||
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(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.
new text begin
This section is effective January 1, 2017.
new text end
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(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.
new text end
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(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.
new text end
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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.
new text end