1999 Minnesota Statutes

     354B.21 Coverage. 

    Subdivision 1.    Eligibility.  The following persons 
 are eligible to have coverage by the individual retirement 
 account plan and to be participants in the plan: 

    (1) employees of the board who are employed as faculty in 
 an employment classification included in the state university 
 instructional unit, the community college instructional unit, or 
 the technical college instructional unit under section 179A.10, 
 subdivision 2; 

    (2) the chancellor and employees of the board in eligible 
 unclassified administrative positions; 

    (3) the employees in eligible unclassified administrative 
 positions in the state universities; 

    (4) the employees in eligible unclassified administrative 
 positions in the technical colleges; and 

    (5) the employees in eligible unclassified administrative 
 positions of the higher education services office or of the 
 community colleges. 

    Subd. 2.    Coverage; election.  (a) An eligible person 
 is entitled to elect coverage by the plan.  If the eligible 
 person does not make a timely election of coverage by the plan, 
 the person has the coverage specified in subdivision 3. 

    (b) For eligible persons who were employed by the former 
 state university system or the former community college system 
 before May 1, 1995, the person has the retirement coverage that 
 the person had for employment immediately before May 1, 1995. 

    (c) For all other eligible persons, the election of 
 coverage must be made within 90 days of May 10, 1995, or 90 days 
 of receiving notice from the employer of the options available 
 under this section, whichever occurs later. 

    Subd. 3.    Default coverage.  (a) If an eligible person 
 fails to elect coverage by the plan under subdivision 2 or if 
 the person fails to make a timely election, the following 
 retirement coverage applies: 

    (1) for employees of the board who are employed in faculty 
 positions in the technical colleges, in the state universities 
 or in the community colleges, the retirement coverage is by the 
 plan established by this chapter; 

    (2) for employees of the board who are employed in faculty 
 positions in the technical colleges, the retirement coverage is 
 by the plan established by this chapter unless on June 30, 1997, 
 the employee was a member of the teachers retirement association 
 established under chapter 354 and then the retirement coverage 
 is by the teachers retirement association, or, unless the 
 employee was a member of a first class city teacher retirement 
 fund established under chapter 354A on June 30, 1995, and then 
 the retirement coverage is by the Duluth teachers retirement 
 fund association if the person was a member of that plan on June 
 30, 1995, or the Minneapolis teachers retirement fund 
 association if the person was a member of that plan on June 30, 
 1995, or the St. Paul teachers retirement fund association if 
 the person was a member of that plan on June 30, 1995; and 

    (3) for employees of the board who are employed in eligible 
 unclassified administrative positions, the retirement coverage 
 is by the plan established by this chapter. 

    (b) If an employee fails to correctly certify prior 
 membership in the teachers retirement association to the 
 Minnesota state colleges and universities system, the system 
 shall not pay interest on employee contributions, employer 
 contributions, and additional employer contributions to the 
 teachers retirement association under section 354.52, 
 subdivision 4. 

    Subd. 3a.    Continuation of plan coverage in certain 
 instances.  For a person with retirement coverage by a first 
 class city teacher retirement fund association instead of the 
 individual retirement account plan under subdivision 3, clause 
 (2), coverage by the applicable retirement fund association 
 continues for the duration of the person's employment by the 
 board of trustees of the Minnesota state colleges and 
 universities unless, within 90 days of a change in employment 
 within the Minnesota state colleges and universities system, the 
 person elects the individual retirement account plan for all 
 future employment by the board of trustees of the Minnesota 
 state colleges and universities. 

    Subd. 3b.    Coverage of certain former technical college 
 faculty members.  A person who was employed as a teacher by a 
 technical college before July 1, 1995, and who subsequently is 
 reclassified into a different employment position while 
 continuing to perform the same or essentially the same 
 employment duties and consequently shifts from the technical 
 college instructional collective bargaining unit to another 
 state collective bargaining unit retains coverage by the 
 teachers retirement association or the applicable first class 
 city teachers retirement fund association, whichever applies. 

    Subd. 3c.    Election of TRA coverage in certain 
 instances.  (a) A person who was employed as a teacher by a 
 technical college before July 1, 1995, and who has retirement 
 coverage for that technical college teacher employment by a 
 first class city teacher retirement fund association under 
 chapter 354A may elect to have future higher education system 
 teacher employment retirement coverage by the teacher retirement 
 association governed by chapter 354. 

    (b) The election to transfer prospective retirement 
 coverage under paragraph (a) must be made by the technical 
 college teacher by October 1, 1995, or within 90 days of 
 initially being employed by the higher education system, 
 whichever is later.  The election must be made in writing on a 
 form prescribed by the executive director of the teachers 
 retirement association.  The election, once filed with the 
 executive director of the teachers retirement association, is 
 irrevocable. 

    (c) An election to transfer prospective retirement coverage 
 under paragraph (a) does not affect prior allowable service 
 credit under section 354A.011, subdivision 4.  The transfer of 
 prospective retirement coverage does not make the person 
 eligible for a refund of member contributions during the course 
 of the person's employment by the higher education system. 

    Subd. 4.    Coverage in the event of acting, interim, or 
 temporary appointments.  (a) A person previously employed by 
 the board and subsequently appointed by the board to an acting, 
 interim, or temporary faculty or eligible unclassified 
 administrative position by the board retains the retirement 
 coverage that the person had in the prior board position.  If 
 the participant's status becomes permanent, the participant has 
 the option to make an election of retirement coverage 
 appropriate to the retirement plan in which the employment 
 position should have retirement coverage consistent with 
 subdivision 2. 

    (b) A person who is appointed to an acting, interim, or 
 temporary faculty position by the board and who was not employed 
 in a faculty position by the board immediately before that 
 appointment must elect coverage as provided in subdivision 2. 

    Subd. 5.    Payment for certain prior uncovered service. 
  (a) A person employed in a faculty position by the board who 
 was initially excluded from participation in the individual 
 retirement account plan coverage, who was not covered by any 
 other Minnesota public pension plan for that service, and who is 
 subsequently eligible to participate in the individual 
 retirement account plan may make member contributions for that 
 period of prior uncovered teaching employment or eligible 
 unclassified administrative employment with the board. 

    (b) The member contributions for prior uncovered board 
 service are the amount that the person would have paid if the 
 prior service had been covered employment.  The payment must be 
 made to the individual retirement account plan administrator and 
 may be made only by payroll deduction.  The payment must be made 
 by the later of: 

    (1) 45 days of the start of covered employment; or 

    (2) the end of the fiscal year in which covered employment 
 began. 

    (c) The board must contribute an amount to match any 
 contribution made by a plan participant under this subdivision. 

    (d) Payments of contributions for prior uncovered board 
 service under this subdivision must be invested in the same 
 manner as the regular contributions made by or on behalf of the 
 plan participant. 

    Subd. 6.    Continuation of coverage.  Once a person is 
 employed in a position that qualifies for participation in the 
 individual retirement account plan and elects to participate in 
 the plan, all subsequent service by the person as a faculty 
 member employed by the board or other employing unit is covered 
 by the individual retirement account plan. 

    HIST: 1995 c 141 art 4 s 9; 1995 c 212 art 3 s 59; art 4 s 64; 
 1997 c 241 art 8 s 5