2000 Minnesota Statutes

     355.311 Second social security referendum. 

    Subdivision 1.    Election of social security coverage.  
 Any member of the basic program of the Minneapolis employees 
 retirement fund established under the provisions of chapter 422A 
 shall be entitled to elect social security coverage retroactive 
 to July 1, 1978 in a second social security referendum.  Any 
 member who so elects shall become a member of the coordinated 
 program of the public employees retirement association and 
 sufficient assets shall be transferred by the board of trustees 
 of the Minneapolis employees retirement fund to the coordinated 
 program of the public employees retirement association pursuant 
 to Minnesota Statutes 1980, section 353.023. 

    Subd. 2.    Payment of retroactive social security 
 employee and employer taxes.  Effective retroactively with 
 respect to any employment after the date of retroactive coverage 
 by municipal employees who are employed on the date of the 
 agreement or modification of the agreement with the Secretary of 
 Health, Education and Welfare, the executive secretary of the 
 Minneapolis employees retirement fund shall cause to be paid out 
 of the fund an amount for each municipal employee as defined 
 pursuant to Minnesota Statutes 1978, section 355.302, 
 subdivision 4, retroactively included, equal to the employee and 
 employer taxes which would have been imposed by the Federal 
 Insurance Contributions Act if the service by the employee 
 constituted employment within the meaning of that act.  This 
 payment shall be computed from the date of retroactive coverage 
 to the date that deductions are first taken from the wages of 
 each municipal employee pursuant to Minnesota Statutes 1978, 
 Section 355.309.  Amounts paid to meet the required employee 
 contribution shall first be deducted from the accumulated 
 deductions of the municipal employee and then from the remaining 
 assets of the fund. 

    Subd. 3.    Appropriation.  The amounts required by 
 this section are hereby appropriated from the Minneapolis 
 employees retirement fund and the executive secretary of the 
 fund is authorized to make any necessary disbursements and 
 transfers.  The amounts so required shall be paid to the 
 contribution fund provided for in the Enabling Act.  

    Subd. 4.    Balances due after payment of retroactive 
 social security employee and employer taxes.  Any municipal 
 employee as defined pursuant to Minnesota Statutes 1978, section 
 355.302, subdivision 4, who elects social security coverage from 
 and after January 1, 1979, and thereby transfers from the basic 
 program of the Minneapolis employees fund to the coordinated 
 program of the public employees retirement association and from 
 whose account retroactive social security employee taxes are 
 paid by the board of the Minneapolis employees fund shall be 
 required to reimburse the Minneapolis employees retirement fund 
 in an amount equal to the difference between employee 
 contributions at the rate of eight percent of the employee's 
 total salary for the period of retroactive social security 
 coverage and the aggregate of six percent of the employee's 
 total salary for the period of retroactive social security 
 coverage plus the rate of retroactive social security employee 
 taxes paid on the salary of the municipal employee restricted to 
 the earnings limitations imposed by the Federal Insurance 
 Contributions Act covering service as a municipal employee 
 rendered from and after July 1, 1978.  In the event that a 
 municipal employee does not reimburse the Minneapolis employees 
 retirement fund within 30 days following notification by the 
 executive secretary of the amount of reimbursement which is due, 
 interest at the rate of six percent per annum compounded 
 annually from the date the amount was first payable following 
 notification until the date payment is made shall accrue.  The 
 city or the public corporation which employs a municipal 
 employee electing social security coverage from and after 
 January 1, 1979, for service on which retroactive social 
 security employer taxes are paid from the Minneapolis employees 
 retirement fund shall reimburse the Minneapolis employees 
 retirement fund in an amount equal to the reimbursement amount 
 payable by the municipal employee.  The employer reimbursement 
 may be paid from the proceeds of a tax levy made for this 
 purpose or from any other funds available to the employer. 

    HIST: 1979 c 293 s 4; 1979 c 303 art 6 s 7; 1980 c 607 art 16 
 s 17 subd 2; 1981 c 224 s 154-156; 1981 c 298 s 11; 1987 c 384 
 art 2 s 83