On April 14, 2003, the Legislative Commission on Pensions and Retirement began assembling the 2003 Omnibus Retirement Bill. During the April 14, 2003, meeting, the Commission took formal action to include four items in the 2003 Omnibus Retirement Bill. This memorandum summarizes the April 14, 2003, formulation of the 2003 Omnibus Retirement Bill.

As assembled on April 14, 2003, the 2003 Omnibus Retirement Bill includes the following:

1. More Frequent Minnesota Supplemental Investment Fund Account Valuations. The Minnesota Supplemental Investment Fund accounts must be valued on a monthly basis, with authority for more frequent valuations as determined by the State Board of Investment (Article 1, Section 1).
   Source: Lipman Commission Amendment

2. State Board of Investment Designation of State Deferred Compensation Program Investment Accounts. The accounts of the Minnesota Supplemental Investment Fund available for investment through the State Deferred Compensation Program are restricted to those designated by the State Board of Investment (Article 1, Section 2).
   Source: Lipman Commission Amendment

1. PERA Phased Retirement, Part-Time Employment With Full-Time Service Credit, and Voluntary Leave Programs. A PERA plan-covered public employee who is employed for at least half time, who agrees to a reduction of 25 percent in their regularly scheduled work hours, and who is eligible for an immediate unreduced retirement annuity from the applicable plan is permitted to continue active employment as agreed, without earning additional service credit, and receive a retirement annuity without any reemployed retirement annuity limitation. Also, a public employee is permitted to reduce their work hours to half time or less and continue to make full member contributions, have full employer contributions made on their behalf, and receive full allowable service from the applicable PERA pension plan. In addition, a government subdivision may allow public employees to take a voluntary leave of unspecified duration during the fiscal years 2003-2005 biennium and continue to make the balance of full member and employer contributions during the leave.
   Source: H.F. 1386 (Krinkie); S.F. 1361 (Pogemiller), as amended by the Commission

1. Continued PERA-General Membership for Red Wing Environmental Learning Center Employees. Employees of the Red Wing Environmental Learning Center, a nonprofit organization, are permitted to continue to be certified to the General Employee Retirement Plan of the Public Employees Retirement Association (PERA-General) as Red Wing School District employees (Article 4, Sections 2 (in part) and 6).
   Source: H.F. 947 (Dempsey); S.F. 947 (Murphy)

1. Pre-Session Submission of MnSCU Retirement-Related Administrative Provisions. The Minnesota State Colleges and Universities System (MnSCU) is required to submit its retirement related administrative proposals in October each year, as the other retirement plan administrators are required to do.
   Source: Commission Amendment suggested by the Commission staff in conjunction with H.F. 1474 (Erickson); S.F. 1420 (Pogemiller)

Primarily for language use and stylistic considerations, some additional corrections or modifications are needed to the PERA early retirement incentive provisions included in Revisor Amendment A03-0514. Amendment LCPR03-165 makes those changes.

Revisor Amendment A03-0514 had three problems. First, some cross-references are incorrect. Second, some of the sections refer to requirements or options available under "this act," which may cause confusion. Third, one provision is somewhat contradictory. Two of the options offered under this article do allow individuals to accrue additional service credit in PERA plans, but section 2 states that the article does not apply to anyone who earns service credit in any Minnesota plan, other than a volunteer fire plan. Amendment LCPR03-165 corrects the cross-references and revises references to "this act" to read "sections 1 to 9." The third change attempts to address the confusion in Section 2 by clarifying that the individuals cannot earn additional service credit in Minnesota plans during the duration of these provisions, except in PERA plans as indicated in applicable sections.