2007 Minnesota Statutes

352.72 COVERAGE BY MORE THAN ONE RETIREMENT SYSTEM.
    Subdivision 1. Entitlement to annuity. (a) Any person who has been an employee covered
by a retirement system listed in paragraph (b) is entitled when qualified to an annuity from each
fund if total allowable service in all funds or in any two of these funds totals three or more years.
(b) This section applies to the Minnesota State Retirement System, the Public Employees
Retirement Association including the Public Employees Retirement Association police and
fire fund, the Teachers Retirement Association, the State Patrol Retirement Association, or any
other public employee retirement system in the state with a similar provision, except as noted in
paragraph (c).
(c) This section does not apply to other funds providing benefits for police officers or
firefighters.
(d) No portion of the allowable service upon which the retirement annuity from one fund
is based shall be again used in the computation for benefits from another fund. No refund may
have been taken from any one of these funds since service entitling the employee to coverage
under the system or the employee's membership in any of the associations last terminated. The
annuity from each fund must be determined by the appropriate provisions of the law except that
the requirement that a person must have at least three years allowable service in the respective
system or association does not apply for the purposes of this section if the combined service in
two or more of these funds equals three or more years.
    Subd. 2. Computation of deferred annuity. (a) The deferred annuity, if any, accruing under
subdivision 1, or section 352.22, subdivision 3, must be computed as provided in section 352.22,
subdivision 3 , on the basis of allowable service before termination of state service and augmented
as provided herein. The required reserves applicable to a deferred annuity or to an annuity for
which a former employee was eligible but had not applied or to any deferred segment of an
annuity must be determined as of the date the benefit begins to accrue and augmented by interest
compounded annually from the first day of the month following the month in which the employee
ceased to be a state employee, or July 1, 1971, whichever is later, to the first day of the month in
which the annuity begins to accrue. The rates of interest used for this purpose must be five percent
compounded annually until January 1, 1981, and three percent compounded annually thereafter
until January 1 of the year following the year in which the former employee attains age 55, and
from that date to the effective date of retirement, the rate is five percent compounded annually if
the employee became an employee before July 1, 2006, and at 2.5 percent compounded annually
if the employee becomes an employee after June 30, 2006. If a person has more than one period of
uninterrupted service, the required reserves related to each period must be augmented by interest
under this subdivision. The sum of the augmented required reserves so determined is the present
value of the annuity. "Uninterrupted service" for the purpose of this subdivision means periods of
covered employment during which the employee has not been separated from state service for
more than two years. If a person repays a refund, the service restored by the repayment must be
considered continuous with the next period of service for which the employee has credit with
this system. The formula percentages used for each period of uninterrupted service must be those
applicable to a new employee. The mortality table and interest assumption used to compute the
annuity must be those in effect when the employee files application for annuity. This section does
not reduce the annuity otherwise payable under this chapter.
(b) The retirement annuity or disability benefit of, or the survivor benefit payable on behalf
of, a former state employee 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 the tables adopted by the board and
approved by the actuary retained under section 356.214.
    Subd. 3.[Repealed, 1971 c 274 s 4]
    Subd. 4. Refund repayment. Any person who has received a refund from the state
employees retirement fund, and who is a member of a public retirement system included in
subdivision 1, may repay the refund with interest to the state employees retirement fund. If a
refund is repaid to the fund and more than one refund has been received from the fund, all refunds
must be repaid. Repayment must be made as provided in section 352.23, and under terms and
conditions consistent with that section as agreed upon with the director.
    Subd. 5. Early retirement. The requirements and provisions for retirement before normal
retirement age in sections 352.115, subdivision 1, and 352.116 also apply to an employee fulfilling
the requirements with a combination of service as provided in subdivision 1.
History: Ex1961 c 67 s 22; 1963 c 383 s 57; 1965 c 230 s 17; Ex1967 c 57 s 28; 1969 c
188 s 4; 1971 c 274 s 2,3; 1973 c 221 s 9,10; 1975 c 368 s 33,34; 1977 c 429 s 63; 1978 c 796 s
10; 1981 c 37 s 2; 1981 c 224 s 54,55; 1986 c 444; 1987 c 229 art 6 s 1; 1987 c 372 art 9 s 5;
1989 c 319 art 13 s 16-18; 1990 c 426 art 1 s 42; 1997 c 233 art 1 s 20; 2002 c 392 art 11 s 52;
2006 c 271 art 3 s 47; 2006 c 277 art 2 s 2