354A.105 Minneapolis Teachers Retirement Fund Association; purchase of allowable service credit for teaching service outside Minnesota.
(a) Notwithstanding any law, article of incorporation, or bylaw provision of the Minneapolis Teachers Retirement Fund Association to the contrary, an active member who has engaged in other elementary or secondary public school teaching employment either outside the state of Minnesota, but rendered in the United States, or for the federal government before first becoming a member of the association and who has met the qualifications of paragraph (b) may elect to purchase and receive allowable service credit in the applicable program of the association for qualified prior service in other elementary or secondary public school teaching employment that satisfies the requirements of paragraph (c) by making the required payment under paragraph (d).
(b) A member may elect to purchase allowable service credit for other elementary or secondary public school teaching employment under this subdivision if:
(1) the member has at least three years of allowable service credit in the applicable program of the association; and
(2) the member did not and could not receive accrued benefits by leaving the person's accumulated member contributions with any other retirement system under the applicable law in effect at the termination of the other public employment.
(c) Service in other elementary or secondary public school teaching employment rendered in the United States qualifies for purchase under this subdivision if the service to be credited:
(1) does not exceed the lesser of ten years or the member's total years of allowable teaching service in the Minneapolis public schools at the time of the purchase;
(2) is equivalent to full-time allowable service as determined in accordance with the statutes and rules applicable to the association at the time of the purchase;
(3) is purchased in full year increments;
(4) is not for a period of service that has been used by the member to qualify for an annuity from any other public school retirement fund or system, as certified by the chief administrative officer of the applicable retirement system; and
(5) is not available to be used for the purpose of qualifying the member for a disability benefit from the association.
(d) For a person eligible to purchase credit for qualifying service under this subdivision, there must be paid to the association an amount equal to the present value, on the date of payment, of the amount of the additional retirement annuity that would be obtained by virtue of the purchase of the additional service credit, using the applicable preretirement interest rate specified in section 356.215, subdivision 8, and the mortality table adopted for the retirement fund association and assuming continuous future service in the retirement fund association until the age at which the minimum requirements are met for normal retirement with an annuity unreduced for retirement before the normal retirement age, including the provisions of section 356.30, and also assuming a future salary history that includes increases at the applicable rate assumed under section 356.215, subdivision 8.
(e) Payments under this section must be made only by the member. The employer unit may not make any payment to or on behalf of any member for the purpose of purchasing service credit under this section.
(f) This section is repealed effective July 1, 2005. On or before January 1, 2006, Special School District No. 1 and the Minneapolis Teachers Retirement Fund Association shall jointly report to the legislature and the governor on the effects of the provisions under this section on the district, fund, and members. The report shall include information on use of the service credit purchase provisions, the usefulness of this section in promoting the recruitment and retention objectives of the district, and the portability of pension benefits for teachers and school administrative personnel.
Official Publication of the State of Minnesota
Revisor of Statutes