2006 Minnesota Statutes

354A.36 PERMANENT DISABILITY BENEFITS.
    Subdivision 1. Minimum age, service, and salary requirements. Any coordinated member
who has at least three years of allowable service credit, has an average salary of at least $75 per
month, and has become totally and permanently disabled shall be entitled to a disability benefit.
If the disabled coordinated member's allowable service credit has not been continuous, at least
two years of the required allowable service shall be required to have been rendered subsequent
to the last interruption in service.
    Subd. 2. Time and manner of payments. The disability benefit shall begin to accrue from
the later of either 90 days following the commencement of the permanent disability or the first day
of the month following the date on which the written application for the disability benefit has been
filed with the board, but payment shall not begin to accrue until any salary which is received by the
disabled coordinated member for either annual or sick leave during the period of disability ceases.
    Subd. 3. Computation of disability benefit. The coordinated permanent disability benefit is
an amount equal to the normal coordinated retirement annuity computed under section 354A.31,
subdivision 4 , based on allowable service credited to the date of disability but without any
reduction for the commencement of the benefit prior to the attainment of normal retirement age or
age 62 with at least 30 years of service credit as specified in section 354A.31, subdivision 6.
    Subd. 3a. Optional annuity election. A disabled coordinated member may elect to receive
the normal disability benefit or an optional annuity as provided in section 354A.32. The election
of an optional annuity shall be made prior to commencement of payment of the disability benefit
and shall be effective 30 days after receipt of the election or the date on which the disability
benefit begins to accrue, whichever occurs later. Upon becoming effective, the optional annuity
shall begin to accrue on the same date as provided for the disability benefit.
    Subd. 4. Determination of disability. The board of the teachers retirement fund association
shall make the final determination of the existence of a permanent and total disability. The board
shall have the coordinated member examined by at least two licensed physicians, licensed
chiropractors, or licensed psychologists who are selected by the board. After making any required
examinations, each physician, chiropractor, or psychologist with respect to a mental impairment,
shall make a written report to the board concerning the coordinated member, which shall include
a statement of the expert opinion of the physician, chiropractor, or psychologist as to whether
or not the member is permanently and totally disabled within the meaning of section 354A.011,
subdivision 14 . The board shall also obtain a written statement from the employer as to whether
or not the coordinated member was terminated or separated from active employment due to
a disability which is deemed by the employer to reasonably prevent further service by the
member to the employer and which caused the coordinated member not to be entitled to further
compensation from the employer for services rendered by the member. If, after consideration of
the reports of the physicians, chiropractors, or psychologists with respect to a mental impairment,
and any evidence presented by the member or by any other interested parties, the board determines
that the coordinated member is totally and permanently disabled within the meaning of section
354A.011, subdivision 14, it shall grant the coordinated member a disability benefit. A member
who is placed on a leave of absence without compensation as a result of the disability is not
barred from receiving a disability benefit under this section.
    Subd. 5. Offset against benefits paid under other laws. The coordinated disability benefit
shall be reduced by any amounts received or receivable by a coordinated member from the school
district under applicable workers' compensation laws.
    Subd. 6. Requirement for regular physical examinations. At least once each year during
the first five years following the granting of a disability benefit to a coordinated member by the
board and at least once in every three year period thereafter, the board shall require the disability
benefit recipient to undergo an expert examination as a condition for continued entitlement of
the benefit recipient to receive a disability benefit. The expert examination must be made at the
place of residence of the disability benefit recipient or at any other place mutually agreeable
to the disability benefit recipient and the board. The expert examination must be made by a
physician or physicians, by a chiropractor or chiropractors, or by one or more psychologists
engaged by the board. The physician or physicians, the chiropractor or chiropractors, or the
psychologist or psychologists with respect to a mental impairment, conducting the expert
examination shall make a written report to the board concerning the disability benefit recipient
and the recipient's disability, including a statement of the expert opinion of the physician,
chiropractor, or psychologist as to whether or not the member remains permanently and totally
disabled within the meaning of section 354A.011, subdivision 14. If the board determines from
consideration of the written expert examination report of the physician, of the chiropractor, or
of the psychologist, with respect to a mental impairment, that the disability benefit recipient is
no longer permanently and totally disabled or if the board determines that the benefit recipient
is engaged or is able to engage in a gainful occupation, unless the disability benefit recipient is
partially employed under subdivision 7, then further disability benefit payments from the fund
must be discontinued. The discontinuation of disability benefits must occur immediately if the
disability recipient is reinstated to the district payroll following sick leave and within 60 days
of the determination by the board following the expert examination and report of the physician
or physicians, chiropractor or chiropractors, or psychologist or psychologists engaged by the
board that the disability benefit recipient is no longer permanently and totally disabled within the
meaning of section 354A.011, subdivision 14.
    Subd. 7. Partial reemployment of disability benefit recipient. If a disability benefit
recipient resumes gainful employment but the compensation from the employment is less than
the recipient's salary at the date of disability or the salary paid currently to positions similar to
the position which the recipient held at the date of disability, the recipient shall be entitled to a
disability benefit from the board in an amount which when added to the compensation for the
partial reemployment does not exceed the lower of the recipient's salary at the date of disability
or the salary paid currently to positions similar to the position which the recipient held at the
date of disability, and does not in any event exceed the disability benefit originally computed
pursuant to subdivision 3.
    Subd. 8. Examination refusal. If a disability benefit recipient refuses to submit to a medical
examination as provided in subdivision 6, then further disability benefit payments from the fund
shall be discontinued and all rights of the recipient to a disability benefit shall be revoked by
the board.
    Subd. 9. Return to teaching service. Any disability benefit recipient who resumes active
teaching service in the district in which the teachers retirement fund association is located shall
also resume making employee contributions to the fund pursuant to section 354A.12, subdivision
1 .
    Subd. 10. Retirement status upon attaining normal retirement age. No person shall be
entitled to receive both a disability benefit under this section and a retirement annuity under
section 354A.31. If a disability benefit recipient remains totally and permanently disabled upon
attaining normal retirement age, the disability benefit shall terminate and the former disability
benefit recipient shall be deemed to be on retirement status. If the former disability benefit
recipient had elected an optional annuity pursuant to subdivision 3a, the recipient shall receive
an annuity in accordance with the terms of the optional annuity previously elected, or if the
recipient had not elected an optional annuity pursuant to subdivision 3a, the recipient shall be
entitled either to receive a retirement annuity in an amount equal to the greater of either a single
life retirement annuity calculated pursuant to section 354A.31 or the disability benefit paid to
the recipient immediately prior to the recipient's attaining normal retirement age or elect either a
single life retirement annuity as provided in this section or an actuarial equivalent optional form
retirement annuity as provided in section 354A.32. Election of an optional annuity shall be made
prior to the person attaining normal retirement age. If an optional annuity is elected, the election
shall be effective on the date on which the person attains the normal retirement age and the
optional annuity shall begin to accrue on the first day of the month next following the month in
which the person attains normal retirement age.
History: 1979 c 217 s 21; 1981 c 68 s 27,28; 1987 c 372 art 9 s 33; 1989 c 319 art 13 s
83-85; 1992 c 598 art 6 s 16; 2004 c 267 art 8 s 31,32