2004 Minnesota Statutes

     490.124 Maturity of benefits; retirement and survivors' 
  annuities. 

    Subdivision 1.    Basic retirement annuity.  Except as 
 qualified hereinafter from and after mandatory retirement date, 
 normal retirement date, early retirement date, or one year from 
 the disability retirement date, as the case may be, a retirement 
 annuity shall be payable to a retiring judge from the judges' 
 retirement fund in an amount equal to:  (1) the percent 
 specified in section 356.315, subdivision 7, multiplied by the 
 judge's final average compensation multiplied by the number of 
 years and fractions of years of allowable service rendered prior 
 to July 1, 1980; plus (2) the percent specified in section 
 356.315, subdivision 8, multiplied by the judge's final average 
 compensation multiplied by the number of years and fractions of 
 years of allowable service rendered after June 30, 1980.  
 Service that exceeds the service credit limit in section 
 490.121, subdivision 22, must be excluded in calculating the 
 retirement annuity, but compensation earned during this service 
 must be used in determining a judge's final average compensation 
 and calculating the retirement annuity.  

    Subd. 2.    Minimum service requirement; extension of 
 term.  No judge shall be eligible for an annuity at normal or 
 early retirement date if the judge has less than five years of 
 allowable service.  A judge who shall retire on or, as permitted 
 under sections 490.121 to 490.132, after mandatory retirement 
 date, shall be entitled to a proportionate annuity based upon 
 the allowable service of the judge at date of retirement. 

    A judge who was in office on December 31, 1973, and 
 thereafter and who, by the date on which the current term 
 expires, would not be eligible to retire with full benefits 
 under statutes in effect on December 31, 1973, may apply to the 
 governor for an extension to serve up to three additional years, 
 stating the intention of the judge to retire upon attaining 
 eligibility to receive a retirement allowance.  Notwithstanding 
 section 490.125, the governor shall forthwith make a written 
 order accepting the retirement application, and extending the 
 term of office of the judge for the period of time, not to 
 exceed three years, as may be necessary to make the judge 
 eligible for retirement, solely for purposes of computing 
 benefits hereunder. 

    Subd. 3.    Early retirement.  The retirement annuity 
 provided by subdivision 1 of any judge electing to retire at an 
 early retirement date shall be reduced by one-half of one 
 percent per month from the retirement date to normal retirement 
 date. 

    Subd. 4.    Disability retirement.  From and after 
 disability retirement date, a disabled judge shall be entitled 
 to continuation of the judge's full salary payable by the 
 judge's employer, as if the judge's office were not vacated by 
 retirement, for a period of up to one full year, but in no event 
 beyond the judge's mandatory retirement date.  During this year 
 the judge will earn additional service credit.  The salary 
 earned will be subject to retirement deductions and will be 
 included in computing final average compensation.  Thereafter a 
 disability retirement annuity computed as provided in 
 subdivision 1 shall be paid, provided that the judge shall 
 receive a minimum annuity of 25 percent of the judge's final 
 average compensation. 

    Subd. 5.    Deferred benefits.  (a) Any benefit to which 
 a judge is entitled under this section may be deferred until 
 early or normal retirement date, notwithstanding termination of 
 such judge's service prior thereto. 

    (b) The retirement annuity of, or the survivor benefit 
 payable on behalf of, a former judge, who terminated service 
 before July 1, 1997, which is not first payable until after June 
 30, 1997, must be increased on an actuarial equivalent basis to 
 reflect the change in the postretirement interest rate actuarial 
 assumption under section 356.215, subdivision 8, from five 
 percent to six percent under a calculation procedure and tables 
 adopted by the board of directors of the Minnesota State 
 Retirement System and approved by the actuary retained by the 
 Legislative Commission on Pensions and Retirement. 

    Subd. 6.    Part-time judges.  Notwithstanding other 
 provisions of this section, except as provided herein, service 
 by a judge who was not paid an annual salary or who served in a 
 jurisdiction in which the judge was entitled to practice law 
 while serving as a judge shall be credited only at one-half of 
 the regular rate.  Any period of part time uncredited judicial 
 service may be credited service for the purposes of sections 
 490.121 to 490.132 only if: 

    (a) The judge or the judge's employer pays to the judges' 
 retirement fund a sum equal to the rate of employee tax 
 specified in the Federal Insurance Contributions Act during the 
 period of part time service applied to one-half of the average 
 salary earned during the period of part-time service, plus 
 accrued interest thereon at the rate of five percent per year 
 compounded annually from the period of service so credited to 
 the date payment is made; 

    (b) The payment is made in not more than 36 monthly 
 installments; and 

    (c) The judge shall elect to make the payment and shall 
 commence doing so within 90 days after the commencement of the 
 judge's first term in office. 

    Subd. 7.  Repealed, 1977 c 432 s 49 

    Subd. 8.    Exclusive normal retirement benefits.  Any 
 judge who retires after December 31, 1973, shall be entitled to 
 a retirement pension, retirement compensation or other 
 retirement payment under statutes applicable solely to judges 
 pursuant to this section only, except that any such judge in 
 office prior to January 1, 1974, who retires at or after normal 
 retirement age may then elect to receive during the judge's 
 lifetime a normal retirement annuity computed on the basis of 
 retirement compensation provided for such judge under statutes 
 in effect on December 31, 1973, in lieu of the amount of normal 
 retirement annuity otherwise computed under sections 490.121 to 
 490.132.  For purposes of this subdivision, the Conciliation 
 Court of the city of Duluth shall be deemed to have been a court 
 of record by the statutes in effect on December 31, 1973.  

    Subd. 9.    Survivors' annuity.  Upon the death of a 
 judge prior to retirement, or upon the death of a person who has 
 qualified for an annuity but who ceases to be a judge prior to 
 retirement and has not received a refund of contributions 
 pursuant to subdivision 12, a surviving spouse or, if there be 
 no surviving spouse, dependent children, shall receive an 
 annuity, payable monthly, equal to 60 percent of the normal 
 retirement annuity which would have been payable to the judge or 
 former judge had the date of death been the normal retirement 
 date, provided that the surviving spouse or dependent children 
 shall receive an annuity of not less than 25 percent of the 
 judge's or former judge's final average compensation. 

    If a judge, whose surviving spouse was not entitled to 
 survivors benefits provided solely for judges under statutes in 
 effect prior to January 1, 1974, shall have died prior to 
 retirement on or after May 23, 1973 and before January 1, 1974, 
 a surviving spouse and dependent children, if any, shall be 
 entitled to survivors benefits as provided hereunder as if such 
 judge had died on January 1, 1974. 

    Subd. 10.    Prior survivors' benefits; limitation.  
 Benefits provided pursuant to section 490.102, subdivision 6, or 
 490.1091, for a surviving spouse of a retired judge, payable 
 after the death of the judge, shall be limited to: 

    (a) Spouses of judges who have retired prior to January 1, 
 1974; and 

    (b) Spouses of judges in office on December 31, 1973 and 
 thereafter who elect to continue contributions pursuant to 
 section 490.102, subdivision 6 or 490.109.  The contributions 
 shall be in addition to contributions pursuant to section 
 490.123, and upon retirement the judge may not elect to receive 
 any optional annuity pursuant to subdivision 11 unless the judge 
 and the spouse shall waive any benefits pursuant to section 
 490.102, subdivision 6 or 490.1091. 

    No other judge in office on or after January 1, 1974, shall 
 be required to contribute pursuant to section 490.102, 
 subdivision 6 or 490.109. 

    Subd. 11.    Optional annuities.  No survivor or death 
 benefits may be paid in connection with the death of a judge who 
 retires after December 31, 1973, except as otherwise provided in 
 sections 490.121 to 490.132.  Except as provided in subdivision 
 10, a judge may elect to receive, instead of the normal 
 retirement annuity, an optional retirement annuity in the form 
 of an annuity payable for a period certain and for life after 
 that period, a joint and survivor annuity without reinstatement 
 in the event of the designated beneficiary predeceasing the 
 retired judge, or a joint and survivor annuity with 
 reinstatement in the event of the designated beneficiary 
 predeceasing the retired judge.  An optional retirement annuity 
 must be actuarially equivalent to a single-life annuity with no 
 term certain and must be established by the board of directors 
 of the Minnesota State Retirement System.  In establishing these 
 optional retirement annuity forms, the board shall obtain the 
 written recommendation of the actuary retained by the 
 Legislative Commission on Pensions and Retirement.  The 
 recommendations must be a part of the permanent records of the 
 board. 

    Subd. 12.    Refund.  (a) A person who ceases to be a 
 judge but who does not qualify for a retirement annuity or other 
 benefit under section 490.121 is entitled to a refund in an 
 amount equal to all the member's employee contributions to the 
 judges' retirement fund plus interest computed under section 
 352.22, subdivision 2. 

    (b) A refund of contributions under paragraph (a) 
 terminates all service credits and all rights and benefits of 
 the judge and the judge's survivors.  A person who becomes a 
 judge again after taking a refund under paragraph (a) may 
 reinstate the previously terminated service credits, rights, and 
 benefits by repaying the total amount of the previously received 
 refund.  The refund repayment must include interest on the total 
 amount previously received at an annual rate of 8.5 percent 
 compounded annually from the date on which the refund was 
 received until the date on which the refund is repaid. 

    Subd. 13.    Death refund.  If a judge who has not 
 received other benefits under this chapter dies and there are no 
 survivor benefits payable under this chapter, a refund plus 
 interest as provided in subdivision 12 is payable to the last 
 designated beneficiary named on a form filed with the director 
 before the death of the judge, or if no designation is on file, 
 the refund is payable to the estate of the deceased judge. 

    HIST: 1973 c 744 s 4; 1974 c 406 s 92; 1975 c 418 s 3,4; 1978 
 c 626 s 2,3; 1979 c 296 s 3; 1980 c 607 art 15 s 17; 1981 c 224 
 s 229-232; 1981 c 319 s 1,2; 1983 c 128 s 35; 1983 c 286 s 22; 
 1984 c 574 s 16; 1986 c 444; 1987 c 259 s 80; 1988 c 709 art 9 s 
 4; art 10 s 2; 1989 c 319 art 5 s 7; 1991 c 345 art 1 s 104; 
 1992 c 432 art 1 s 10; 1992 c 598 art 1 s 13; 1993 c 307 art 1 s 
 41,42; 1996 c 438 art 1 s 4; 1997 c 233 art 1 s 66,67; 2000 c 
 461 art 18 s 8; 2002 c 392 art 11 s 52; 2004 c 267 art 9 s 23