LCPR05-201
1.1 M ............... moves to amend S.F. No. ....; H.F. No.
1.2 ...., as follows:
1.3 Delete everything after the enacting clause and insert:
1.4 "ARTICLE 1
1.5 CLARIFICATION/RECODIFICATION OF
1.6 STATEWIDE SPECIALTY RETIREMENT PLANS
1.7 Section 1. Minnesota Statutes 2004, section 3A.01,
1.8 subdivision 1, is amended to read:
1.9 Subdivision 1. PURPOSES. Each of the terms defined in
1.10 this section, for the purposes of this chapter shall be
1.11 given has the meanings meaning ascribed to them.
1.12 Sec. 2. Minnesota Statutes 2004, section 3A.01, is amended
1.13 by adding a subdivision to read:
1.14 Subd. 1a. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
1.15 means the condition of one allowance or benefit having an equal
1.16 actuarial present value to another allowance or benefit,
1.17 determined by the actuary retained under section 356.214 as of a
1.18 given date at a specified age with each actuarial present value
1.19 based on the mortality table applicable for the plan and
1.20 approved under section 356.215, subdivision 18, and using the
1.21 applicable preretirement or postretirement interest rate
1.22 assumption specified in section 356.215, subdivision 8.
1.23 Sec. 3. Minnesota Statutes 2004, section 3A.01, is amended
1.24 by adding a subdivision to read:
1.25 Subd. 1b. AVERAGE MONTHLY SALARY. "Average monthly
1.26 salary" means the average of the member's highest five
1.27 successive years of salary that was received as a member of the
1.28 legislature and upon which the member has made contributions
1.29 under section 3A.03, subdivision 1, or for which the member of
1.30 the legislature has made payments for past service under section
1.31 3A.02, subdivision 2, or has made, before July 1, 1994, payments
1.32 in lieu of contributions under Minnesota Statutes 1992, section
1.33 3A.031.
1.34 Sec. 4. Minnesota Statutes 2004, section 3A.01, is amended
1.35 by adding a subdivision to read:
1.36 Subd. 1c. CONSTITUTIONAL OFFICER. "Constitutional
2.1 officer" means a person who was duly elected, qualifies for, and
2.2 serves as the governor, the lieutenant governor, the attorney
2.3 general, the secretary of state, or the state auditor of the
2.4 state of Minnesota.
2.5 Sec. 5. Minnesota Statutes 2004, section 3A.01,
2.6 subdivision 2, is amended to read:
2.7 Subd. 2. DEPENDENT CHILD. (a) "Dependent child" means
2.8 any natural or adopted child of a deceased member of the
2.9 legislature or a former legislator who is under the age of 18,
2.10 or who is under the age of 22 and is a full‑time student, and
2.11 who, in either case, is unmarried and was actually dependent for
2.12 more than one‑half of support upon such the legislator for a
2.13 period of at least 90 days immediately prior to before the
2.14 legislator's death. It
2.15 (b) The term also includes any child of the member of the
2.16 legislature or former legislator who was conceived during the
2.17 lifetime of, and who was born after the death of, the member or
2.18 former legislator. This subdivision shall be retroactive as to
2.19 any dependent child under the age of 22 years as of April 1,
2.20 1975.
2.21 Sec. 6. Minnesota Statutes 2004, section 3A.01,
2.22 subdivision 6, is amended to read:
2.23 Subd. 6. DIRECTOR. "Director" means the executive
2.24 director of the Minnesota State Retirement System who was
2.25 appointed under section 352.03, subdivision 5.
2.26 Sec. 7. Minnesota Statutes 2004, section 3A.01, is amended
2.27 by adding a subdivision to read:
2.28 Subd. 6b. FORMER LEGISLATOR. "Former legislator" means a
2.29 legislator who has ceased to be a member of the legislature for
2.30 any reason, including, but not limited to, the expiration of the
2.31 term for which a member of the legislature was elected or the
2.32 death of the member.
2.33 Sec. 8. Minnesota Statutes 2004, section 3A.01, is amended
2.34 by adding a subdivision to read:
2.35 Subd. 6c. MEMBER OF THE LEGISLATURE. "Member of the
2.36 legislature" means a person who was a member of the House of
3.1 Representatives or of the Senate of the state of Minnesota who
3.2 has subscribed to the oath of office after July 1, 1965, and who
3.3 was first elected to a legislative office before July 1, 1997,
3.4 and retained coverage by the plan under Laws 1997, chapter 233,
3.5 article 2, section 15.
3.6 Sec. 9. Minnesota Statutes 2004, section 3A.01,
3.7 subdivision 8, is amended to read:
3.8 Subd. 8. NORMAL RETIREMENT AGE. "Normal retirement age"
3.9 means the age of 60 years with regard to any member of the
3.10 legislature whose service terminates prior to the beginning of
3.11 the 1981 legislative session, and the age of 62 years with
3.12 regard to any member of the legislature whose service terminates
3.13 after the beginning of the 1981 session.
3.14 Sec. 10. Minnesota Statutes 2004, section 3A.01, is
3.15 amended by adding a subdivision to read:
3.16 Subd. 9. RETIREMENT. "Retirement" means the period of
3.17 time after which a former legislator is entitled to a retirement
3.18 allowance.
3.19 Sec. 11. Minnesota Statutes 2004, section 3A.01, is
3.20 amended by adding a subdivision to read:
3.21 Subd. 10. SALARY. (a) "Salary" means the regular
3.22 compensation payable under law to a member of the legislature
3.23 and paid to the person for service as a legislator.
3.24 (b) The term includes the monthly compensation paid to the
3.25 member of the legislature and the per diem payments paid during
3.26 a regular or special session to the member of the legislature.
3.27 (c) The term does not include per diem payments paid to a
3.28 member of the legislature other than during the regular or
3.29 special session; additional compensation attributable to a
3.30 leadership position under section 3.099, subdivision 3; living
3.31 expense payments under section 3.101; and special session living
3.32 expense payments under section 3.103.
3.33 Sec. 12. Minnesota Statutes 2004, section 3A.011, is
3.34 amended to read:
3.35 3A.011 ADMINISTRATION OF PLAN.
3.36 The executive director and the board of directors of the
4.1 Minnesota State Retirement System shall administer the
4.2 legislators retirement plan in accordance with this chapter and
4.3 chapter 356A.
4.4 Sec. 13. Minnesota Statutes 2004, section 3A.02,
4.5 subdivision 1, is amended to read:
4.6 Subdivision 1. QUALIFICATIONS. (a) A former legislator
4.7 is entitled, upon written application to the director, to
4.8 receive a retirement allowance monthly, if the person:
4.9 (1) has either served at least six full years, without
4.10 regard to the application of section 3A.10, subdivision 2, or
4.11 has served during all or part of four regular sessions as a
4.12 member of the legislature, which service need not be continuous;
4.13 (2) has attained the normal retirement age;
4.14 (3) has retired as a member of the legislature; and
4.15 (4) has made all contributions provided for in section
4.16 3A.03, has made payments for past service under subdivision 2,
4.17 or has made payments in lieu of contributions under Minnesota
4.18 Statutes 1992, section 3A.031, prior to before July 1, 1994.
4.19 (b) This paragraph applies to members of the legislature
4.20 who terminate service as a legislator before July 1, 1997. For
4.21 service rendered before the beginning of the 1979 legislative
4.22 session, but not to exceed eight years of service, the
4.23 retirement allowance is an amount equal to five percent per year
4.24 of service of that member's average monthly salary. For service
4.25 in excess of eight years rendered before the beginning of the
4.26 1979 legislative session, and for service rendered after the
4.27 beginning of the 1979 legislative session, Unless the former
4.28 legislator has legislative service before January 1, 1979, the
4.29 retirement allowance is an amount equal to 2‑1/2 percent per
4.30 year of service of that member's average monthly salary.
4.31 (c) This paragraph applies to members of the legislature
4.32 who terminate service as a legislator after June 30, 1997. The
4.33 retirement allowance is an amount equal to the applicable rate
4.34 or rates under paragraph (b) per year of service of the member's
4.35 average monthly salary and adjusted for that person on an
4.36 actuarial equivalent basis to reflect the change in the
5.1 postretirement interest rate actuarial assumption under section
5.2 356.215, subdivision 8, from five percent to six percent. The
5.3 adjustment must be calculated by or, alternatively, the
5.4 adjustment procedure must be specified by, the actuary retained
5.5 by the Legislative Commission on Pensions and Retirement under
5.6 section 356.214. The purpose of this adjustment is to ensure
5.7 that the total amount of benefits that the actuary predicts an
5.8 individual member will receive over the member's lifetime under
5.9 this paragraph will be the same as the total amount of benefits
5.10 the actuary predicts the individual member would receive over
5.11 the member's lifetime under the law in effect before enactment
5.12 of this paragraph. If the former legislator has legislative
5.13 service before January 1, 1979, the person's benefit must
5.14 include the additional benefit amount in effect on January 1,
5.15 1979, and adjusted as otherwise provided in this paragraph.
5.16 (d) (c) The retirement allowance accrues beginning with the
5.17 first day of the month of receipt of the application, but not
5.18 before age 60, and for the remainder of the former legislator's
5.19 life, if the former legislator is not serving as a member of the
5.20 legislature or as a constitutional officer or commissioner as
5.21 defined in section 352C.021, subdivisions 2 and 3 subdivision 1b.
5.22 The annuity does not begin to accrue prior to before the
5.23 person's retirement as a legislator. No annuity payment may be
5.24 made retroactive for more than 180 days before the date that the
5.25 annuity application is filed with the director.
5.26 (e) (d) Any member who has served during all or part of
5.27 four regular sessions is considered to have served eight years
5.28 as a member of the legislature.
5.29 (f) (e) The retirement allowance ceases with the last
5.30 payment that accrued to the retired legislator during the
5.31 retired legislator's lifetime, except that the surviving spouse,
5.32 if any, is entitled to receive the retirement allowance of the
5.33 retired legislator for the calendar month in which the retired
5.34 legislator died.
5.35 Sec. 14. Minnesota Statutes 2004, section 3A.02,
5.36 subdivision 1b, is amended to read:
6.1 Subd. 1b. REDUCED RETIREMENT ALLOWANCE. (a) Upon
6.2 separation from service after the beginning of the 1981
6.3 legislative session, a former member of the legislature who has
6.4 attained the age set by the board of directors of the Minnesota
6.5 State Retirement System and who is otherwise qualified in
6.6 accordance with under subdivision 1 is entitled, upon making
6.7 written application on forms supplied a form prescribed by the
6.8 director, to a reduced retirement allowance in. The reduced
6.9 retirement allowance is an amount equal to the retirement
6.10 allowance specified in subdivision 1, paragraph (b), that is
6.11 reduced so that the reduced annuity allowance is the actuarial
6.12 equivalent of the annuity allowance that would be payable if the
6.13 former member of the legislature deferred receipt of the annuity
6.14 allowance and the annuity allowance amount were was augmented
6.15 at an annual rate of three percent compounded annually from the
6.16 date the annuity allowance begins to accrue until age 62.
6.17 (b) The age set by the board of directors under paragraph
6.18 (a) cannot be less an earlier age than the early retirement age
6.19 under section 352.116, subdivision 1a.
6.20 (c) If there is an actuarial cost to the plan of resetting
6.21 the early retirement age under paragraph (a), the retired
6.22 legislator is required to pay an additional amount to cover the
6.23 full actuarial value. The additional amount must be paid in a
6.24 lump sum within 30 days of the certification of the amount by
6.25 the executive director.
6.26 (d) The executive director of the Minnesota State
6.27 Retirement System shall report to the Legislative Commission on
6.28 Pensions and Retirement on the utilization of this
6.29 provision annually on or before September 1, 2000.
6.30 Sec. 15. Minnesota Statutes 2004, section 3A.02,
6.31 subdivision 3, is amended to read:
6.32 Subd. 3. APPROPRIATION. The amounts required for payment
6.33 of retirement allowances provided by this section are
6.34 appropriated annually to the director from the participation of
6.35 the legislators retirement plan in the Minnesota postretirement
6.36 investment fund and shall. The retirement allowance must be
7.1 paid monthly to the recipients entitled thereto to those
7.2 retirement allowances.
7.3 Sec. 16. Minnesota Statutes 2004, section 3A.02,
7.4 subdivision 4, is amended to read:
7.5 Subd. 4. DEFERRED ANNUITIES AUGMENTATION. (a) The
7.6 deferred annuity retirement allowance of any former legislator
7.7 must be augmented as provided herein.
7.8 (b) The required reserves applicable to the
7.9 deferred annuity retirement allowance, determined as of the date
7.10 the benefit begins to accrue using an appropriate mortality
7.11 table and an interest assumption of six percent, must be
7.12 augmented from the first of the month following the termination
7.13 of active service, or July 1, 1973, whichever is later, to the
7.14 first day of the month in which the annuity allowance begins to
7.15 accrue, at the following annually compounded rate of or rates:
7.16 five percent per annum compounded annually until January 1,
7.17 1981, and thereafter at the rate of three percent per annum
7.18 compounded annually until January 1 of the year in which the
7.19 former legislator attains age 55. From that date to the
7.20 effective date of retirement, the rate is five percent
7.21 compounded annually.
7.22 rate period
7.23 (1) five percent until January 1, 1981
7.24 (2) three percent from January 1, 1981, or from the
7.25 first day of the month following
7.26 the termination of active service,
7.27 whichever is later, until January 1
7.28 of the year in which the former
7.29 legislator attains age 55
7.31 (3) five percent from the period end date under
7.32 clause (2) to the effective date
7.33 of retirement.
7.34 (b) The retirement allowance of, or the survivor benefit
7.35 payable on behalf of, a former member of the legislature who
7.36 terminated service before July 1, 1997, which is not first
8.1 payable until after June 30, 1997, must be increased on an
8.2 actuarial equivalent basis to reflect the change in the
8.3 postretirement interest rate actuarial assumption under section
8.4 356.215, subdivision 8, from five percent to six percent under a
8.5 calculation procedure and tables adopted by the board of
8.6 directors of the Minnesota State Retirement System and approved
8.7 by the actuary retained by the Legislative Commission on
8.8 Pensions and Retirement.
8.9 Sec. 17. Minnesota Statutes 2004, section 3A.02,
8.10 subdivision 5, is amended to read:
8.11 Subd. 5. OPTIONAL ANNUITIES. (a) The board of directors
8.12 shall establish an optional retirement annuity in the form of a
8.13 joint and survivor annuity and an optional retirement annuity in
8.14 the form of a period certain and life thereafter. Except as
8.15 provided in paragraph (b), these optional annuity forms must be
8.16 actuarially equivalent to the normal annuity allowance computed
8.17 under this section, plus the actuarial value of any surviving
8.18 spouse benefit otherwise potentially payable at the time of
8.19 retirement under section 3A.04, subdivision 1. An individual
8.20 selecting an optional annuity under this subdivision waives and
8.21 the person's spouse waive any rights to surviving spouse
8.22 benefits under section 3A.04, subdivision 1.
8.23 (b) If a retired legislator selects the joint and survivor
8.24 annuity option, the retired legislator must receive a normal
8.25 single‑life annuity allowance if the designated optional annuity
8.26 beneficiary dies before the retired legislator and no reduction
8.27 may be made in the annuity to provide for restoration of the
8.28 normal single‑life annuity allowance in the event of the death
8.29 of the designated optional annuity beneficiary.
8.30 (c) The surviving spouse of a legislator who has attained
8.31 at least age 60 and who dies while a member of the legislature
8.32 may elect an optional joint and survivor annuity under paragraph
8.33 (a), in lieu of surviving spouse benefits under section 3A.04,
8.34 subdivision 1.
8.35 Sec. 18. Minnesota Statutes 2004, section 3A.03,
8.36 subdivision 1, is amended to read:
9.1 Subdivision 1. PERCENTAGE. (a) Every member of the
9.2 legislature shall contribute nine percent of total salary,.
9.3 (b) The contribution must be made by payroll deduction,
9.4 to and must be paid into the state treasury and deposited in the
9.5 general fund. It shall be the duty of
9.6 (c) The director to must record the periodic contributions
9.7 of each member of the legislature and must credit such each
9.8 contribution to the member's account.
9.9 Sec. 19. Minnesota Statutes 2004, section 3A.03,
9.10 subdivision 2, is amended to read:
9.11 Subd. 2. REFUND. (a) A former member who has made
9.12 contributions under subdivision 1 and who is no longer a member
9.13 of the legislature is entitled to receive, upon written
9.14 application to the executive director on a form prescribed by
9.15 the executive director, a refund from the general fund of all
9.16 contributions credited to the member's account with interest
9.17 computed as provided in section 352.22, subdivision 2.
9.18 (b) The refund of contributions as provided in paragraph (a)
9.19 terminates all rights of a former member of the legislature and
9.20 the survivors of the former member under this chapter.
9.21 (c) If the former member of the legislature again becomes a
9.22 member of the legislature after having taken a refund as
9.23 provided in paragraph (a), the member must be considered is a
9.24 new member of this plan the unclassified employees retirement
9.25 program of the Minnesota State Retirement System.
9.26 (d) However, the member may reinstate the rights and credit
9.27 for service previously forfeited under this chapter if the
9.28 member repays all refunds taken, plus interest at an annual rate
9.29 of 8.5 percent compounded annually from the date on which the
9.30 refund was taken to the date on which the refund is repaid.
9.31 (d) (e) No person may be required to apply for or to accept
9.32 a refund.
9.33 Sec. 20. Minnesota Statutes 2004, section 3A.04,
9.34 subdivision 1, is amended to read:
9.35 Subdivision 1. SURVIVING SPOUSE. (a) Upon the death of a
9.36 member of the legislature while serving as such a member after
10.1 June 30, 1973, or upon the death of a former member of the
10.2 legislature with at least the number of six full years of
10.3 service as required by section 3A.02, subdivision 1, clause
10.4 (1) or service in all or part of four regular legislative
10.5 sessions, the surviving spouse shall be paid is entitled to a
10.6 survivor benefit in the amount of.
10.7 (b) The surviving spouse benefit is one‑half of the
10.8 retirement allowance of the member of the legislature computed
10.9 as though the member were at least normal retirement age on the
10.10 date of death and based upon the member's allowable service
10.11 or upon eight years, whichever is greater. The augmentation
10.12 provided in section 3A.02, subdivision 4, if applicable, shall
10.13 must be applied for the period up to, and including, the month
10.14 of death.
10.15 (c) Upon the death of a former legislator receiving a
10.16 retirement allowance, the surviving spouse shall be is entitled
10.17 to one‑half of the amount of the retirement allowance being paid
10.18 to the legislator. Such
10.19 (d) The surviving spouse benefit shall be paid during is
10.20 payable for the lifetime of the surviving spouse.
10.21 Sec. 21. Minnesota Statutes 2004, section 3A.04,
10.22 subdivision 2, is amended to read:
10.23 Subd. 2. DEPENDENT CHILDREN. (a) Upon the death of a
10.24 member of the legislature while serving as a member, or upon the
10.25 death of a former member of the legislature who has rendered at
10.26 least the number of six full years of service as required by
10.27 section 3A.02, subdivision 1, clause (1) or service in all or
10.28 part of four regular legislative sessions and who was not
10.29 receiving a retirement allowance, each dependent child of the
10.30 member or former legislator shall be is entitled to receive a
10.31 survivor benefit in the following amount:
10.32 (1) for the first dependent child, a monthly allowance
10.33 which equals benefit equal to 25 percent of the monthly
10.34 retirement allowance of the member of the legislature or the
10.35 former legislator computed as though the member or the former
10.36 legislator had attained at least the normal retirement age on
11.1 the date of death and based upon the average monthly salary as
11.2 of the date of death or as of the date of termination, whichever
11.3 is applicable applies, and the member's allowable service or
11.4 eight years, whichever is greater;
11.5 (2) for each additional dependent child, a monthly
11.6 allowance which equals benefit equal to 12‑1/2 percent of the
11.7 monthly retirement allowance of the member or the former
11.8 legislator computed as provided in the case of the first child
11.9 clause (1); but and
11.10 (3) the total amount paid to the surviving spouse and to
11.11 the dependent child or children shall may not exceed, in any
11.12 one month, 100 percent of the monthly retirement allowance of
11.13 the member or of the former legislator computed as provided in
11.14 the case of the first child clause (1).
11.15 (b) The augmentation provided in section 3A.02, subdivision
11.16 4, if applicable, shall be applied applies from the first day of
11.17 the month next following the date of the termination of the
11.18 person from service as a member of the legislature to the month
11.19 of the death of the person.
11.20 (c) Upon the death of a former legislator who was receiving
11.21 a retirement allowance, the a surviving dependent child shall be
11.22 is entitled to the applicable percentage specified above in
11.23 paragraph (a), clause (1) or (2), whichever applies, of the
11.24 amount of the allowance which was paid to the former legislator
11.25 for the month immediately prior to before the date of death of
11.26 the former legislator.
11.27 (d) The payments for dependent children shall must be made
11.28 to the surviving spouse or to the guardian of the estate of the
11.29 dependent children, if there is one.
11.30 Sec. 22. Minnesota Statutes 2004, section 3A.04,
11.31 subdivision 3, is amended to read:
11.32 Subd. 3. PAYMENT. The surviving spouse's spouse and
11.33 dependent children's child or children survivor benefits payable
11.34 under this section shall be paid are payable by the director
11.35 monthly in the same manner as retirement allowances are
11.36 authorized to be paid by this chapter.
12.1 Sec. 23. Minnesota Statutes 2004, section 3A.04,
12.2 subdivision 4, is amended to read:
12.3 Subd. 4. DEATH REFUNDS. (a) Upon the death of a member
12.4 of the legislature or of a former legislator who was not
12.5 receiving a retirement allowance, without leaving either a
12.6 surviving spouse or a dependent child or dependent children, the
12.7 last designated beneficiary named on a form that was filed with
12.8 the director before the death of the legislator, or if no
12.9 designation is filed, the estate of the member or the former
12.10 legislator, upon application, shall be is entitled to a refund.
12.11 (b) The refund is the amount of contributions credited to
12.12 the person's account plus interest as provided in section 3A.03,
12.13 subdivision 2, clause (2) paragraph (a).
12.14 Sec. 24. Minnesota Statutes 2004, section 3A.04, is
12.15 amended by adding a subdivision to read:
12.16 Subd. 5. APPROPRIATION. The survivor benefits and the
12.17 death refunds authorized by this section are appropriated to the
12.18 director from the general fund when they are due and payable.
12.19 Sec. 25. Minnesota Statutes 2004, section 3A.05, is
12.20 amended to read:
12.21 3A.05 APPLICATION FOR SURVIVOR BENEFIT.
12.22 (a) Applications for survivor benefits pursuant to under
12.23 section 3A.04 shall must be filed with the director by the
12.24 surviving spouse and dependent child or children entitled to
12.25 benefits pursuant to under section 3A.04, or by the guardian of
12.26 the estate, if there is one, of the dependent child or children.
12.27 (b) Survivor benefits shall accrue as of the first day of
12.28 the month following the death of the member of the legislature
12.29 or former legislator and payments shall commence as of the first
12.30 of the month next following the filing of the application,
12.31 and shall be are retroactive to the date the benefit accrues;
12.32 provided, however, that no payment shall be retroactive for more
12.33 than or the first of the month occurring 12 months prior
12.34 to before the month in which the application is filed with the
12.35 director, whichever is earlier.
12.36 Sec. 26. Minnesota Statutes 2004, section 3A.07, is
13.1 amended to read:
13.2 3A.07 APPLICATION.
13.3 (a) Except as provided in paragraph (b), this chapter
13.4 applies to members of the legislature in service after July 1,
13.5 1965, who otherwise meet the requirements of this chapter.
13.6 (b) Members of the legislature who were elected for the
13.7 first time after June 30, 1997, or members of the legislature
13.8 who were elected before July 1, 1997, and who, after July 1,
13.9 1998, elect not to be members of the plan established by this
13.10 chapter are covered by the unclassified employees retirement
13.11 program governed by chapter 352D.
13.12 (c) The post‑July 1, 1998, coverage election under
13.13 paragraph (b) is irrevocable and must be made on a form
13.14 prescribed by the director. The second chance referendum
13.15 election under Laws 2002, chapter 392, article 15, also is
13.16 irrevocable.
13.17 Sec. 27. Minnesota Statutes 2004, section 3A.10,
13.18 subdivision 1, is amended to read:
13.19 Subdivision 1. SERVICE CREDIT FOR LEGISLATIVE TERM. (a)
13.20 In the case of a member of the house of representatives, one
13.21 full term of office shall must be considered two full years of
13.22 service, notwithstanding the fact that the oath of office may be
13.23 was taken on different days each biennium.
13.24 (b) In the case of a member of the senate, one full term of
13.25 office shall must be considered four full years of service,
13.26 notwithstanding the fact that the oath of office may be was
13.27 taken on different days at the start of each term.
13.28 (c) For purposes of this chapter, a legislative term shall
13.29 must be deemed to commence on January 1st 1 and to end on
13.30 December 31st 31.
13.31 Sec. 28. Minnesota Statutes 2004, section 3A.12, is
13.32 amended to read:
13.33 3A.12 COVERAGE BY MORE THAN ONE RETIREMENT SYSTEM OR
13.34 ASSOCIATION.
13.35 Subdivision 1. ENTITLEMENT TO ANNUITY. (a) Any
13.36 legislator who has been an employee covered by a member of a
14.1 retirement plan listed in paragraph (b) is entitled, when
14.2 otherwise qualified, to a retirement allowance or annuity from
14.3 each plan if the total allowable service in all plans or in any
14.4 two of these plans totals ten or more years.
14.5 (b) This section applies to any retirement plan or program
14.6 administered by the Minnesota State Retirement System, or a
14.7 member of any retirement plan administered by the Public
14.8 Employees Retirement Association, including the Public Employees
14.9 Retirement Association police and fire fund, or the Teachers
14.10 Retirement Association, or the Minneapolis employees
14.11 retirement Fund plan, or the State Patrol retirement fund plan,
14.12 or any other public employee retirement system in the state of
14.13 Minnesota having a like provision but excluding all.
14.14 (c) This section does not apply to other funds retirement
14.15 plans providing benefits for police or firefighters, shall be
14.16 entitled when qualified to an annuity from each fund if the
14.17 total allowable service for which the legislator has credit in
14.18 all funds or in any two of these funds totals ten or more years,
14.19 provided.
14.20 (d) No portion of the allowable service upon which the
14.21 retirement annuity from one fund plan is based is again used in
14.22 the computation for benefits from another fund plan. The
14.23 annuity from each fund shall plan must be determined by the
14.24 appropriate provisions of the law, except that the requirement
14.25 that a person must have at least ten a minimum number of years
14.26 of allowable service in the respective system or
14.27 association shall does not apply for the purposes of this
14.28 section provided if the combined service in two or more of these
14.29 funds plans equals ten or more years. The augmentation of
14.30 deferred annuities provided in section 3A.02, subdivision
14.31 4, shall apply applies to the annuities accruing hereunder under
14.32 this section.
14.33 Subd. 2. REFUND REPAYMENT. Any A former legislator who
14.34 has received a refund as provided in section 3A.03, subdivision
14.35 2, who is a currently contributing member of a retirement fund
14.36 plan specified in subdivision 1, paragraph (b), may repay the
15.1 refund as provided in section 3A.03, subdivision 2. Any A
15.2 member of the legislature who has received a refund from any of
15.3 the funds retirement plans specified in subdivision 1, may repay
15.4 the refund to the respective fund plan under such terms and
15.5 conditions consistent with the law governing such fund the
15.6 retirement plan if the law governing such fund the plan permits
15.7 the repayment of refunds. If the total amount to be repaid,
15.8 including principal and interest exceeds $2,000, repayment may
15.9 be made in three equal installments over a period of 18 months,
15.10 with the interest accrued during the period of the repayment
15.11 added to the final installment.
15.12 Sec. 29. Minnesota Statutes 2004, section 3A.13, is
15.13 amended to read:
15.14 3A.13 EXEMPTION FROM PROCESS AND TAXATION; HEALTH PREMIUM
15.15 DEDUCTION.
15.16 (a) The provisions of section 352.15 shall apply to the
15.17 legislators retirement plan, chapter 3A.
15.18 (b) The executive director of the Minnesota State
15.19 Retirement System must, at the request of a retired legislator
15.20 who is enrolled in a health insurance plan covering state
15.21 employees, deduct the person's health insurance premiums from
15.22 the person's annuity and transfer the amount of the premium to a
15.23 health insurance carrier covering state employees.
15.24 Sec. 30. 352C.001 RETIREMENT PLAN; APPLICATION.
15.25 (a) The retirement plan applicable to a former
15.26 constitutional officer who was first elected to a constitutional
15.27 office after July 1, 1967, and before July 1, 1997, is the
15.28 applicable portions of this chapter and chapter 356 in effect on
15.29 the date on which the person terminated active service as a
15.30 constitutional officer.
15.31 (b) Nothing in this section or section 2 or 3 is intended
15.32 to reduce the benefits of former constitutional officers or to
15.33 adversely modify their eligibility for benefits in effect as of
15.34 the day before the effective date of this section.
15.35 Sec. 31. Minnesota Statutes 2004, section 352C.091,
15.36 subdivision 1, is amended to read:
16.1 Subdivision 1. ADMINISTRATIVE AGENCY AND STANDARDS. This
16.2 chapter (a) The elected officers retirement plan must be
16.3 administered by the board of directors and the executive
16.4 director of the Minnesota State Retirement System.
16.5 (b) The elected state officers retirement plan must be
16.6 administered consistent with this chapter the applicable
16.7 statutory provisions governing the plan and chapters 356 and
16.8 356A.
16.9 Sec. 32. Minnesota Statutes 2004, section 490.121,
16.10 subdivision 1, is amended to read:
16.11 Subdivision 1. SCOPE. For purposes of sections 490.121
16.12 to 490.132, unless the context clearly indicates otherwise, each
16.13 of the terms defined in this section have has the meanings
16.14 meaning given them unless the context clearly indicates
16.15 otherwise it.
16.16 Sec. 33. Minnesota Statutes 2004, section 490.121, is
16.17 amended by adding a subdivision to read:
16.18 Subd. 2a. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
16.19 means the condition of one annuity or benefit having an equal
16.20 actuarial present value as another annuity or benefit,
16.21 determined as of a given date with each actuarial present value
16.22 based on the appropriate mortality table adopted by the board of
16.23 trustees based on the experience of the fund as recommended by
16.24 the actuary retained under section 356.214 and using the
16.25 applicable preretirement or postretirement interest rate
16.26 assumption specified in section 356.215, subdivision 8.
16.27 Sec. 34. Minnesota Statutes 2004, section 490.121,
16.28 subdivision 4, is amended to read:
16.29 Subd. 4. ALLOWABLE SERVICE. (a) "Allowable service"
16.30 means any calendar month, subject to the service credit limit in
16.31 subdivision 22, served as a judge at any time, or during which
16.32 the judge received compensation for that service from the state,
16.33 municipality, or county, whichever applies, and for which the
16.34 judge made any required member contribution. It also includes
16.35 any month served as a referee in probate for all referees in
16.36 probate who were in office prior to before January 1, 1974.
17.1 (b) "Allowable service" does not mean service as a retired
17.2 judge.
17.3 Sec. 35. Minnesota Statutes 2004, section 490.121,
17.4 subdivision 6, is amended to read:
17.5 Subd. 6. ANNUITY. "Annuity" means the payments that are
17.6 made each year to an annuitant from the judges' retirement fund,
17.7 pursuant to the provisions of under sections 490.121 to 490.132.
17.8 Sec. 36. Minnesota Statutes 2004, section 490.121,
17.9 subdivision 7, is amended to read:
17.10 Subd. 7. ANNUITANT. "Annuitant" means a former judge, a
17.11 surviving spouse, or a dependent child who is entitled to and is
17.12 receiving an annuity under the provisions of sections 490.121 to
17.13 490.132.
17.14 Sec. 37. Minnesota Statutes 2004, section 490.121, is
17.15 amended by adding a subdivision to read:
17.16 Subd. 7a. APPROVED ACTUARY. "Approved actuary" means an
17.17 actuary as defined in section 356.215, subdivision 1, paragraph
17.18 (c).
17.19 Sec. 38. Minnesota Statutes 2004, section 490.121, is
17.20 amended by adding a subdivision to read:
17.21 Subd. 7b. COURT. "Court" means any court of this state
17.22 that is established by the Minnesota Constitution.
17.23 Sec. 39. Minnesota Statutes 2004, section 490.121, is
17.24 amended by adding a subdivision to read:
17.25 Subd. 7c. DEPENDENT SURVIVING CHILD. "Dependent
17.26 surviving child" means any natural or adopted child of a
17.27 deceased judge who has not reached the age of 18 years, or
17.28 having reached the age of 18, is under age 22 and who is a
17.29 full‑time student throughout the normal school year, is
17.30 unmarried, and is actually dependent for more than one‑half of
17.31 the child's support upon the judge for a period of at least 90
17.32 days before the judge's death. It also includes any natural
17.33 child of the judge who was born after the death of the judge.
17.34 Sec. 40. Minnesota Statutes 2004, section 490.121,
17.35 subdivision 13, is amended to read:
17.36 Subd. 13. DISABILITY. "Disability" means the permanent
18.1 inability of a judge to continue to perform the functions of
18.2 judge by reason of a physical or mental impairment resulting
18.3 from a sickness or an injury.
18.4 Sec. 41. Minnesota Statutes 2004, section 490.121,
18.5 subdivision 14, is amended to read:
18.6 Subd. 14. DISABILITY RETIREMENT DATE. "Disability
18.7 retirement date" means the last day of the first month after the
18.8 date on which the governor determines, upon receipt of the
18.9 voluntary application by the judge or otherwise, that a judge
18.10 suffers from a disability.
18.11 Sec. 42. Minnesota Statutes 2004, section 490.121,
18.12 subdivision 15, is amended to read:
18.13 Subd. 15. DISABILITY RETIREMENT ANNUITY. "Disability
18.14 retirement annuity" means an annuity to which a judge is
18.15 entitled under section 490.124, subdivisions 1 and 4, after the
18.16 retirement for reason of the judge because of a disability.
18.17 Sec. 43. Minnesota Statutes 2004, section 490.121, is
18.18 amended by adding a subdivision to read:
18.19 Subd. 15a. EARLY RETIREMENT DATE. "Early retirement date"
18.20 means the last day of the month after a judge attains the age of
18.21 60 but before the judge reaches the normal retirement date.
18.22 Sec. 44. Minnesota Statutes 2004, section 490.121, is
18.23 amended by adding a subdivision to read:
18.24 Subd. 15b. EARLY RETIREMENT ANNUITY. "Early retirement
18.25 annuity" means an annuity to which a judge is entitled under
18.26 section 490.124, subdivisions 1 and 3, upon retirement by the
18.27 judge at an early retirement date.
18.28 Sec. 45. Minnesota Statutes 2004, section 490.121,
18.29 subdivision 21, is amended to read:
18.30 Subd. 21. FINAL AVERAGE COMPENSATION. "Final average
18.31 compensation" means the total amount of the salary payable to a
18.32 judge in the highest five years out of the last ten years prior
18.33 to before the event of maturity of benefits termination of
18.34 judicial service, divided by five; provided, however, that if
18.35 the number of years of service by the judge equals or exceeds
18.36 ten. If the number of years of service by the judge is less
19.1 than ten, but more than five, the highest five shall years of
19.2 salary must be counted , and. If the number of years of service
19.3 by the judge is less than five, the aggregate salary in such for
19.4 the period shall of service must be divided by the number of
19.5 months in such the period and multiplied by 12.
19.6 Sec. 46. Minnesota Statutes 2004, section 490.121, is
19.7 amended by adding a subdivision to read:
19.8 Subd. 21a. JUDGE. "Judge" means a judge or a justice of
19.9 any court as defined under subdivision 7b.
19.10 Sec. 47. Minnesota Statutes 2004, section 490.121, is
19.11 amended by adding a subdivision to read:
19.12 Subd. 21b. JUDGES' RETIREMENT FUND. "Judges' retirement
19.13 fund," "retirement fund," or "fund" means the fund created by
19.14 section 490.123.
19.15 Sec. 48. Minnesota Statutes 2004, section 490.121, is
19.16 amended by adding a subdivision to read:
19.17 Subd. 21c. MANDATORY RETIREMENT DATE. "Mandatory
19.18 retirement date" means the last day of the month in which a
19.19 judge has attained 70 years of age.
19.20 Sec. 49. Minnesota Statutes 2004, section 490.121, is
19.21 amended by adding a subdivision to read:
19.22 Subd. 21d. NORMAL RETIREMENT ANNUITY. Except as
19.23 otherwise provided in sections 490.121 to 490.132, "normal
19.24 retirement annuity" means an annuity to which a judge is
19.25 entitled under section 490.124, subdivision 1, upon retirement
19.26 on or after the normal retirement date of the judge.
19.27 Sec. 50. Minnesota Statutes 2004, section 490.121, is
19.28 amended by adding a subdivision to read:
19.29 Subd. 21e. NORMAL RETIREMENT DATE. "Normal retirement
19.30 date" means the last day of the month in which a judge attains
19.31 the age of 65.
19.32 Sec. 51. Minnesota Statutes 2004, section 490.121,
19.33 subdivision 22, is amended to read:
19.34 Subd. 22. SERVICE CREDIT LIMIT. "Service credit limit"
19.35 means the greater of: (1) 24 years of allowable service
19.36 under this chapter 490; or (2) for judges with allowable service
20.1 rendered prior to before July 1, 1980, the number of years of
20.2 allowable service under chapter 490, which, when multiplied by
20.3 the percentage listed in section 356.315, subdivision 7 or 8,
20.4 whichever is applicable to each year of service, equals 76.8.
20.5 Sec. 52. Minnesota Statutes 2004, section 490.121, is
20.6 amended by adding a subdivision to read:
20.7 Subd. 23. SURVIVING SPOUSE. "Surviving spouse" means the
20.8 surviving legally married spouse of a deceased judge.
20.9 Sec. 53. Minnesota Statutes 2004, section 490.121, is
20.10 amended by adding a subdivision to read:
20.11 Subd. 24. SURVIVOR'S ANNUITY. "Survivor's annuity" means
20.12 an annuity to which a surviving spouse or dependent child is
20.13 entitled under section 490.124, subdivision 9.
20.14 Sec. 54. Minnesota Statutes 2004, section 490.122, is
20.15 amended to read:
20.16 490.122 ADMINISTRATION OF JUDGES' RETIREMENT.
20.17 Subdivision 1. ADMINISTRATION. The policy‑making,
20.18 management, and administrative functions governing the operation
20.19 of the judges' retirement fund and the administration
20.20 of sections 490.121 to 490.132 this chapter are vested in the
20.21 board of directors and executive director of the Minnesota State
20.22 Retirement System with such. In administering the plan and
20.23 fund, the board and the director have the same duties,
20.24 authority, and responsibility as are provided in chapter 352.
20.25 Subd. 2. INAPPLICABILITY OF CERTAIN LAWS. Except as
20.26 otherwise specified, no provision of chapter 352 applies to the
20.27 judges' retirement fund or any judge.
20.28 Subd. 3. FIDUCIARY RESPONSIBILITY. Fiduciary
20.29 activities of relating to the uniform judges' retirement and
20.30 Survivors' Annuities for Judges plan must be undertaken in a
20.31 manner consistent with chapter 356A.
20.32 Sec. 55. Minnesota Statutes 2004, section 490.123,
20.33 subdivision 1, is amended to read:
20.34 Subdivision 1. FUND CREATION; REVENUE AND AUTHORIZED
20.35 DISBURSEMENTS. (a) There is created a special fund to be known
20.36 as the "judges' retirement fund".
21.1 (b) The judges' retirement fund must be credited with all
21.2 contributions,; all interest, dividends, and other investment
21.3 proceeds; and all other income authorized by this chapter or
21.4 other applicable law.
21.5 (c) From this fund there are appropriated the payments
21.6 authorized by sections 490.121 to 490.132, in the amounts and at
21.7 the times provided, including the necessary and reasonable
21.8 expenses of the Minnesota State Retirement System in
21.9 administering the fund and the transfers to the Minnesota
21.10 postretirement investment fund.
21.11 Sec. 56. Minnesota Statutes 2004, section 490.123,
21.12 subdivision 1a, is amended to read:
21.13 Subd. 1a. MEMBER CONTRIBUTION RATES. (a) A judge who is
21.14 covered by the federal Old Age, Survivors, Disability, and
21.15 Health Insurance Program and whose service does not exceed the
21.16 service credit limit in section 490.121, subdivision 22, shall
21.17 contribute to the fund from each salary payment a sum equal to
21.18 8.00 percent of salary.
21.19 (b) A judge not so covered whose service does not exceed
21.20 the service credit limit in section 490.121, subdivision 22,
21.21 shall contribute to the fund from each salary payment a sum
21.22 equal to 8.15 percent of salary.
21.23 (c) The contribution under this subdivision is payable by
21.24 salary deduction. The deduction must be made by the state court
21.25 administrator under section 352.04, subdivisions 4, 5, and 8.
21.26 Sec. 57. Minnesota Statutes 2004, section 490.123,
21.27 subdivision 1b, is amended to read:
21.28 Subd. 1b. EMPLOYER CONTRIBUTION RATE. (a) The employer
21.29 contribution rate to the fund on behalf of a judge is 20.5
21.30 percent of salary and. The employer obligation continues after
21.31 a judge exceeds the service credit limit in section 490.121,
21.32 subdivision 22.
21.33 (b) The employer contribution must be paid by the state
21.34 court administrator and. The employer contribution is payable
21.35 at the same time as member contributions are made under
21.36 subdivision 1a or as employee contributions are made to the
22.1 unclassified plan in program governed by chapter 352D for judges
22.2 whose service exceeds the limit in section 490.121, subdivision
22.3 22, are remitted.
22.4 Sec. 58. Minnesota Statutes 2004, section 490.123,
22.5 subdivision 1c, is amended to read:
22.6 Subd. 1c. ADDITIONAL EMPLOYER CONTRIBUTION. In the event
22.7 that If the employer contribution under subdivision 1b and the
22.8 assets of the judges retirement fund are insufficient to meet
22.9 reserve transfers to the Minnesota postretirement investment
22.10 fund or payments of survivor benefits before July 1, 1993 in a
22.11 month, the necessary amount is appropriated from the general
22.12 fund to the executive director of the Minnesota State Retirement
22.13 System, upon the certification of the required amount by the
22.14 executive director to the commissioner of finance.
22.15 Sec. 59. Minnesota Statutes 2004, section 490.123,
22.16 subdivision 2, is amended to read:
22.17 Subd. 2. COMMISSIONER OF FINANCE. The commissioner of
22.18 finance shall be is the ex officio treasurer of the judges'
22.19 retirement fund and the. The commissioner's general bond to the
22.20 state shall must be so conditioned as to cover all liability for
22.21 acting as the treasurer of this the fund. All moneys money
22.22 received by the commissioner pursuant to under this section
22.23 shall must be set aside in the state treasury to the credit of
22.24 the judges' retirement fund. The commissioner shall transmit
22.25 monthly to the executive director described in section 352.03,
22.26 subdivision 5, a detailed statement of all amounts so received
22.27 and credited to the fund. The commissioner shall pay out the
22.28 fund only upon vouchers signed by said executive director;
22.29 provided that vouchers for investment may be signed by the
22.30 secretary of the State Board of Investment.
22.31 Sec. 60. Minnesota Statutes 2004, section 490.123,
22.32 subdivision 3, is amended to read:
22.33 Subd. 3. INVESTMENT. (a) The executive director referred
22.34 to in subdivision 2 of the Minnesota State Retirement System
22.35 shall, from time to time, certify to the State Board of
22.36 Investment such portions of the judges' retirement fund as in
23.1 the director's judgment may not be required for immediate use.
23.2 (b) Assets from the judges' retirement fund shall must be
23.3 transferred to the Minnesota postretirement investment fund for
23.4 retirement and disability benefits as provided in sections
23.5 11A.18 and 352.119.
23.6 (c) The State Board of Investment shall thereupon invest
23.7 and reinvest sums so transferred, or certified, in such
23.8 securities as are duly authorized legal investments for such
23.9 purposes under section 11A.24 in compliance with sections
23.10 356A.04 and 356A.06.
23.11 Sec. 61. Minnesota Statutes 2004, section 490.124,
23.12 subdivision 1, is amended to read:
23.13 Subdivision 1. BASIC RETIREMENT ANNUITY. (a) Except as
23.14 qualified hereinafter from and after the mandatory retirement
23.15 date, the normal retirement date, the early retirement date, or
23.16 one year from the disability retirement date, as the case may
23.17 be, a retiring judge is eligible to receive a retirement annuity
23.18 shall be payable to a retiring judge from the judges' retirement
23.19 fund in.
23.20 (b) The retirement annuity is an amount equal to: (1) the
23.21 percent specified in section 356.315, subdivision 7, multiplied
23.22 by the judge's final average compensation with that result then
23.23 multiplied by the number of years and fractions of years of
23.24 allowable service rendered prior to before July 1, 1980; plus
23.25 (2) the percent specified in section 356.315, subdivision 8,
23.26 multiplied by the judge's final average compensation with that
23.27 result then multiplied by the number of years and fractions of
23.28 years of allowable service rendered after June 30, 1980.
23.29 (c) Service that exceeds the service credit limit in
23.30 section 490.121, subdivision 22, must be excluded in calculating
23.31 the retirement annuity, but the compensation earned by the judge
23.32 during this period of judicial service must be used in
23.33 determining a judge's final average compensation and calculating
23.34 the retirement annuity.
23.35 Sec. 62. Minnesota Statutes 2004, section 490.124,
23.36 subdivision 2, is amended to read:
24.1 Subd. 2. MINIMUM SERVICE REQUIREMENT; EXTENSION OF TERM.
24.2 No (a) Unless section 356.30 applies, a judge shall be is not
24.3 eligible for an annuity at the normal retirement date or the
24.4 early retirement date if the judge has less than five years of
24.5 allowable service.
24.6 (b) A judge who shall retire retires on or, as permitted
24.7 under sections 490.121 to 490.132, after the judge's mandatory
24.8 retirement date, shall be is entitled to a proportionate annuity
24.9 based upon the allowable service of the judge at the date of
24.10 retirement.
24.11 A judge who was in office on December 31, 1973, and
24.12 thereafter and who, by the date on which the current term
24.13 expires, would not be eligible to retire with full benefits
24.14 under statutes in effect on December 31, 1973, may apply to the
24.15 governor for an extension to serve up to three additional years,
24.16 stating the intention of the judge to retire upon attaining
24.17 eligibility to receive a retirement allowance. Notwithstanding
24.18 section 490.125, the governor shall forthwith make a written
24.19 order accepting the retirement application, and extending the
24.20 term of office of the judge for the period of time, not to
24.21 exceed three years, as may be necessary to make the judge
24.22 eligible for retirement, solely for purposes of computing
24.23 benefits hereunder.
24.24 Sec. 63. Minnesota Statutes 2004, section 490.124,
24.25 subdivision 3, is amended to read:
24.26 Subd. 3. EARLY REDUCED RETIREMENT. The retirement
24.27 annuity provided by under subdivision 1 of any judge electing
24.28 who elects to retire at an early retirement date shall must be
24.29 reduced by one‑half of one percent per month from the retirement
24.30 date to the normal retirement date.
24.31 Sec. 64. Minnesota Statutes 2004, section 490.124,
24.32 subdivision 4, is amended to read:
24.33 Subd. 4. DISABILITY RETIREMENT. (a) When the governor
24.34 determines that a judge is disabled under section 490.121,
24.35 subdivision 13, notice of the governor's determination must be
24.36 sent to the judge, to the chief justice of the Supreme Court, to
25.1 the state court administrator, and to the executive director of
25.2 the Minnesota State Retirement System.
25.3 (b) From and after disability retirement date, a disabled
25.4 judge shall be is entitled to continuation of the judge's full
25.5 salary payable by the judge's employer, as if the judge's office
25.6 were not vacated by retirement, for a period of up to one full
25.7 year, but in no event beyond the judge's mandatory retirement
25.8 date. During this year the judge will is entitled to earn
25.9 additional service credit in the judges' retirement plan. The
25.10 salary earned will be payable to a disabled judge is subject to
25.11 retirement deductions and will must be included in computing
25.12 final average compensation of the judge. Thereafter
25.13 (c) At the conclusion of the year of continued salary
25.14 following a disability or upon the judge's mandatory retirement
25.15 date, whichever is earlier, the disabled judge is entitled to a
25.16 disability retirement annuity computed as provided in
25.17 subdivision 1 shall be paid, provided that. If the computed
25.18 retirement annuity is a smaller amount, the judge shall is
25.19 entitled to receive a minimum annuity of 25 percent of the
25.20 judge's final average compensation.
25.21 Sec. 65. Minnesota Statutes 2004, section 490.124,
25.22 subdivision 5, is amended to read:
25.23 Subd. 5. DEFERRED BENEFITS. (a) Any A benefit to which a
25.24 judge is entitled under this section may be deferred until the
25.25 early or normal retirement date or later, notwithstanding the
25.26 termination of such the judge's service prior thereto.
25.27 (b) The retirement annuity of, or the survivor benefit
25.28 payable on behalf of, a former judge, who terminated service
25.29 before July 1, 1997, which is not first payable until after June
25.30 30, 1997, must be increased on an actuarial equivalent basis to
25.31 reflect the change in the postretirement interest rate actuarial
25.32 assumption under section 356.215, subdivision 8, from five
25.33 percent to six percent under a calculation procedure and tables
25.34 adopted by the board of directors of the Minnesota State
25.35 Retirement System and approved by the actuary retained by the
25.36 Legislative Commission on Pensions and Retirement under section
26.1 356.214.
26.2 Sec. 66. Minnesota Statutes 2004, section 490.124,
26.3 subdivision 8, is amended to read:
26.4 Subd. 8. EXCLUSIVE NORMAL RETIREMENT BENEFITS. Any (a)
26.5 Except as provided in paragraph (b), a judge who retires after
26.6 December 31, 1973, shall be is entitled to a retirement pension,
26.7 retirement compensation or other retirement payment under
26.8 statutes applicable solely to judges pursuant to under this
26.9 section only, except that any such.
26.10 (b) A judge who was in office prior to before January 1,
26.11 1974, who retires at or after normal retirement age may then
26.12 elect to receive during the judge's lifetime a normal retirement
26.13 annuity computed on the basis of retirement compensation
26.14 provided for such judge under statutes in effect on December 31,
26.15 1973, in lieu of the amount of normal retirement annuity
26.16 otherwise computed under sections 490.121 to 490.132.
26.17 For purposes of this subdivision, the Conciliation Court of
26.18 the city of Duluth shall be deemed to have been a court of
26.19 record by the statutes in effect on December 31, 1973.
26.20 Sec. 67. Minnesota Statutes 2004, section 490.124,
26.21 subdivision 9, is amended to read:
26.22 Subd. 9. SURVIVORS' ANNUITY. (a) Upon the death of a
26.23 judge prior to before retirement, or upon the death of a person
26.24 who has qualified for an annuity under this section but who
26.25 ceases to be a judge prior to before retirement and has who not
26.26 received a refund of contributions pursuant to under subdivision
26.27 12, a surviving spouse is entitled to, or, if there be no
26.28 surviving spouse, dependent children, shall are entitled to
26.29 receive an annuity, payable monthly, equal in total to 60
26.30 percent of the normal retirement annuity which would have been
26.31 payable to the judge or former judge had the date of death been
26.32 the normal retirement date, provided that the.
26.33 (b) The annuity payable to a surviving spouse or to
26.34 dependent children shall receive an annuity is an amount of not
26.35 less than 25 percent of the judge's or the former judge's final
26.36 average compensation.
27.1 If a judge, whose surviving spouse was not entitled to
27.2 survivors benefits provided solely for judges under statutes in
27.3 effect prior to January 1, 1974, shall have died prior to
27.4 retirement on or after May 23, 1973 and before January 1, 1974,
27.5 a surviving spouse and dependent children, if any, shall be
27.6 entitled to survivors benefits as provided hereunder as if such
27.7 judge had died on January 1, 1974.
27.8 Sec. 68. Minnesota Statutes 2004, section 490.124,
27.9 subdivision 10, is amended to read:
27.10 Subd. 10. PRIOR SURVIVORS' BENEFITS; LIMITATION. (a)
27.11 Benefits provided pursuant to under Minnesota Statutes 2004,
27.12 section 490.102, subdivision 6, or 490.1091, for a surviving
27.13 spouse of a retired judge, payable after the death of the judge,
27.14 shall be are limited to:
27.15 (a) spouses of judges who have retired prior to before
27.16 January 1, 1974; and .
27.17 (b) spouses of judges in office on December 31, 1973 and
27.18 thereafter who elect to continue contributions pursuant to
27.19 section 490.102, subdivision 6 or 490.109. The contributions
27.20 shall be in addition to contributions pursuant to section
27.21 490.123, and upon retirement the judge may not elect to receive
27.22 any optional annuity pursuant to subdivision 11 unless the judge
27.23 and the spouse shall waive any benefits pursuant to section
27.24 490.102, subdivision 6 or 490.1091.
27.25 (b) No other judge in office on or after January 1, 1974,
27.26 shall be is required to contribute pursuant to under Minnesota
27.27 Statutes 2004, section 490.102, subdivision 6, or 490.109.
27.28 Sec. 69. Minnesota Statutes 2004, section 490.124,
27.29 subdivision 11, is amended to read:
27.30 Subd. 11. LIMITATION ON SURVIVOR BENEFITS; OPTIONAL
27.31 ANNUITIES. (a) No survivor or death benefits may be paid in
27.32 connection with the death of a judge who retires after December
27.33 31, 1973, except as otherwise provided in sections 490.121 to
27.34 490.132.
27.35 (b) Except as provided in subdivision 10, a judge may elect
27.36 to receive, instead of the normal retirement annuity, an
28.1 optional retirement annuity in the form of either (1) an annuity
28.2 payable for a period certain and for life after that period, (2)
28.3 a joint and survivor annuity without reinstatement in the event
28.4 of if the designated beneficiary predeceasing predeceases the
28.5 retired judge, or (3) a joint and survivor annuity with
28.6 reinstatement in the event of if the designated beneficiary
28.7 predeceasing predeceases the retired judge.
28.8 (c) An optional retirement annuity must be actuarially
28.9 equivalent to a single‑life annuity with no term certain and
28.10 must be established by the board of directors of the Minnesota
28.11 State Retirement System. In establishing these optional
28.12 retirement annuity forms, the board shall obtain the written
28.13 recommendation of the actuary retained by the Legislative
28.14 Commission on Pensions and Retirement under section 356.214.
28.15 The recommendations must be retained as a part of the permanent
28.16 records of the board.
28.17 Sec. 70. Minnesota Statutes 2004, section 490.124,
28.18 subdivision 12, is amended to read:
28.19 Subd. 12. REFUND. (a) A person who ceases to be a
28.20 judge but who does not qualify for a retirement annuity or other
28.21 benefit under section 490.121 is entitled to a refund in an
28.22 amount that is equal to all of the member's employee
28.23 contributions to the judges' retirement fund plus interest
28.24 computed under section 352.22, subdivision 2.
28.25 (b) A refund of contributions under paragraph (a)
28.26 terminates all service credits and all rights and benefits of
28.27 the judge and the judge's survivors under this chapter.
28.28 (c) A person who becomes a judge again after taking a
28.29 refund under paragraph (a) may reinstate the previously
28.30 terminated allowable service credits credit, rights, and
28.31 benefits by repaying the total amount of the previously received
28.32 refund. The refund repayment must include interest on the total
28.33 amount previously received at an annual rate of 8.5 percent,
28.34 compounded annually, from the date on which the refund was
28.35 received until the date on which the refund is repaid.
28.36 Sec. 71. Minnesota Statutes 2004, section 490.124,
29.1 subdivision 13, is amended to read:
29.2 Subd. 13. DEATH REFUND. If a judge who has not received
29.3 other benefits under this chapter dies and there are no survivor
29.4 benefits payable under this chapter, a refund plus interest as
29.5 provided in subdivision 12 is payable to the last designated
29.6 beneficiary named on a form filed with the director before the
29.7 death of the judge, or, if no designation is on file, the refund
29.8 is payable to the estate of the deceased judge.
29.9 Sec. 72. Minnesota Statutes 2004, section 490.125,
29.10 subdivision 1, is amended to read:
29.11 Subdivision 1. MANDATORY RETIREMENT AGE. Except as
29.12 otherwise provided in sections 490.121 to 490.132, each a judge
29.13 shall retire terminate active service as a judge on the judge's
29.14 mandatory retirement date.
29.15 Sec. 73. Minnesota Statutes 2004, section 490.126, is
29.16 amended to read:
29.17 490.126 PROCEDURES.
29.18 Subdivision 1. COMPULSORY RETIREMENT. Proceedings for
29.19 compulsory retirement of a judge, if necessary, shall must be
29.20 conducted in accordance with rules issued by the Supreme Court
29.21 pursuant to under section 490.16.
29.22 Subd. 2. VACANCIES. Any judge may make written
29.23 application to the governor for retirement. The governor
29.24 thereupon shall direct the judge's retirement by written order
29.25 which, when filed in the Office of the Secretary of State, shall
29.26 effect effects a vacancy in the office to be filled as provided
29.27 by law.
29.28 Subd. 3. APPLICATION FOR ANNUITY OR REFUND. An
29.29 application for an annuity or a refund under sections 490.121 to
29.30 490.132 may be made by the potential annuitant or by someone
29.31 authorized to act for the potential annuitant. Every
29.32 application for an annuity or refund, with accompanied by a
29.33 proof of age and by a record of years of service when
29.34 required, shall must be submitted to the governing
29.35 body executive director of the Minnesota State Retirement System
29.36 in a form prescribed by it the director.
30.1 Subd. 4. MANNER OF PAYMENT. Unless otherwise
30.2 specifically provided by statute or agreed upon by the annuitant
30.3 and the governing body board of directors of the Minnesota State
30.4 Retirement System, annuities payable under sections 490.121 to
30.5 490.132 shall must be paid in the manner and at the intervals as
30.6 prescribed by the executive director of the Minnesota State
30.7 Retirement System. The annuity shall cease ceases with the last
30.8 payment received by the annuitant while living.
30.9 Subd. 5. EXEMPTION FROM PROCESS; NO ASSIGNMENT. None of
30.10 the money, annuities, or other benefits provided in this chapter
30.11 is assignable either in law or equity or is subject to state
30.12 estate tax, or to execution, levy, attachment, garnishment, or
30.13 other legal process, except as provided in section 518.58,
30.14 518.581, or 518.6111.
30.15 Sec. 74. Minnesota Statutes 2004, section 490.133, is
30.16 amended to read:
30.17 490.133 RETIREMENT; TRANSITION PROVISIONS; TRANSFER TO
30.18 COURT OF APPEALS.
30.19 (a) If a judge to whom or to whose survivors benefits would
30.20 be payable under Minnesota Statutes 2004, sections 490.101 to
30.21 490.12, is elected or appointed to the Court of Appeals, that
30.22 judge and the judge's survivors, shall continue to be eligible
30.23 for benefits under those sections and not under sections 490.121
30.24 to 490.132.
30.25 (b) In that the case of a judge to whom paragraph (a)
30.26 applies, the service of the judge in the Court of Appeals shall
30.27 must be added to the prior service as district judge, probate
30.28 judge, or judge of any other court of record in determining
30.29 eligibility and the compensation of a judge of the Court of
30.30 Appeals at the time of the judge's death, disability, or
30.31 retirement shall be is the "compensation allotted to the office"
30.32 for the purposes of calculating benefit amounts.
30.33 (c) All other judges of the Court of Appeals and their
30.34 survivors shall be are subject to the retirement and survivor's
30.35 annuity provisions of sections 490.121 to 490.132.
30.36 Sec. 75. 490A.01 BOARD OF JUDICIAL STANDARDS;
31.1 ESTABLISHMENT.
31.2 Subdivision 1. ESTABLISHMENT; COMPOSITION. The Board on
31.3 Judicial Standards is established. The board is a continuation
31.4 of the board established by Laws 1971, chapter 909, sections 1
31.5 and 2, as amended.
31.6 Subd. 2. COMPOSITION; APPOINTMENT. (a) The board
31.7 consists of one judge of the Court of Appeals, three trial court
31.8 judges, two lawyers who have practiced law in the state for at
31.9 least ten years, and four citizens who are not judges, retired
31.10 judges, or lawyers.
31.11 (b) All members must be appointed by the governor with the
31.12 advice and consent of the senate. Senate confirmation is not
31.13 required for judicial members.
31.14 Subd. 3. TERM MAXIMUM; MEMBERSHIP TERMINATION. No member
31.15 may serve more than two full four‑year terms or their equivalent.
31.16 Membership terminates if a member ceases to hold the position
31.17 that qualified the member for appointment.
31.18 Subd. 4. MEMBER TERMS; COMPENSATION; REMOVAL. The
31.19 membership terms, compensation, removal of members, and filling
31.20 of vacancies on the board are as provided in section 15.0575.
31.21 Subd. 5. EXECUTIVE SECRETARY APPOINTMENT; SALARY. (a)
31.22 The board shall appoint the executive secretary.
31.23 (b) The salary of the executive secretary of the board is
31.24 85 percent of the maximum salary provided for an administrative
31.25 law judge under section 15A.083, subdivision 6a.
31.26 Sec. 76. 490A.02 JUDICIAL STANDARDS BOARD; POWERS.
31.27 Subdivision 1. JUDICIAL DISQUALIFICATION. A judge is
31.28 disqualified from acting as a judge, without a loss of salary,
31.29 while there is pending an indictment or any information charging
31.30 the judge with a crime that is punishable as a felony under
31.31 either Minnesota law or federal law, or while there is pending a
31.32 recommendation to the Supreme Court by the Board on Judicial
31.33 Standards for the judge's removal or retirement.
31.34 Subd. 2. JUDICIAL SUSPENSION. On receipt of a
31.35 recommendation of the Board on Judicial Standards or on its own
31.36 motion, the Supreme Court may suspend a judge from office
32.1 without salary when the judge pleads guilty to or no contest to
32.2 or is found guilty of a crime that is punishable as a felony
32.3 under either Minnesota law or federal law or any other crime
32.4 that involves moral turpitude. If the conviction is reversed,
32.5 the suspension terminates and the judge must be paid a salary
32.6 for the period of suspension. If the judge is suspended and the
32.7 conviction becomes final, the Supreme Court shall remove the
32.8 judge from office.
32.9 Subd. 3. JUDICIAL DISABILITY. On receipt of a
32.10 recommendation of the Board on Judicial Standards, the Supreme
32.11 Court may retire a judge for a disability that the court
32.12 determines seriously interferes with the performance of the
32.13 judge's duties and is or is likely to become permanent, and
32.14 censure or remove a judge for an action or inaction that may
32.15 constitute persistent failure to perform the judge's duties,
32.16 incompetence in performing the judge's duties, habitual
32.17 intemperance, or conduct prejudicial to the administration of
32.18 justice that brings the judicial office into disrepute.
32.19 Subd. 4. AUTHORITY TO REOPEN MATTERS. The board is
32.20 specifically empowered to reopen any matter wherein any
32.21 information or evidence was previously precluded by a statute of
32.22 limitations or by a previously existing provision of time
32.23 limitation.
32.24 Subd. 5. RETIREMENT STATUS. (a) A judge who is retired
32.25 by the Supreme Court must be considered to have retired
32.26 voluntarily.
32.27 (b) This section and section 490A.01 must not affect the
32.28 right of a judge who is suspended, retired, or removed hereunder
32.29 from qualifying for any pension or other retirement benefits to
32.30 which the judge would otherwise be entitled by law to receive.
32.31 Subd. 6. ELIGIBILITY FOR JUDICIAL OFFICE; PRACTICE
32.32 LAW. A judge removed by the Supreme Court is ineligible for any
32.33 future service in a judicial office. The question of the right
32.34 of a removed judge to practice law in this state must be
32.35 referred to the proper authority for review.
32.36 Subd. 7. SUPREME COURT RULES. The Supreme Court shall
33.1 make rules to implement this section.
33.2 Sec. 77. REPEALER; EFFECT ON BENEFIT COVERAGE.
33.3 Subdivision 1. LEGISLATORS RETIREMENT PLAN; REPEALED AS
33.4 OBSOLETE. Minnesota Statutes 2004, sections 3A.01, subdivisions
33.5 3, 4, 6a, and 7; 3A.02, subdivision 2; 3A.04, subdivision 1; and
33.6 3A.09, are repealed.
33.7 Subd. 2. ELECTIVE STATE OFFICERS RETIREMENT PLAN;
33.8 REPEALED AS OBSOLETE. Minnesota Statutes 2004, sections
33.9 352C.01; 352C.011; 352C.021; 352C.031; 352C.033; 352C.04;
33.10 352C.051; 352C.09; and 352C.091, subdivisions 2 and 3, are
33.11 repealed.
33.12 Subd. 3. JUDICIAL RETIREMENT PLANS; REPEALED AS
33.13 OBSOLETE. Minnesota Statutes 2004, sections 490.021; 490.025,
33.14 subdivisions 1, 2, 3, 4, and 6; 490.101; 490.102; 490.103;
33.15 490.105; 490.106; 490.107; 490.108; 490.109; 490.1091; 490.12;
33.16 and 490.121, subdivisions 2, 3, 5, 8, 9, 10, 11, 12, 16, 17, 18,
33.17 19, and 20, are repealed.
33.18 Subd. 4. JUDICIAL STANDARDS BOARD; REPEALED FOR
33.19 RELOCATION AS MINNESOTA STATUTES, CHAPTER 490A. Minnesota
33.20 Statutes 2004, sections 490.021; 490.025, subdivisions 1, 2, 3,
33.21 4, and 6; 490.101; 490.102; 490.103; 490.105; 490.106; 490.107;
33.22 490.108; 490.109; 490.1091; 490.12; and 490.121, subdivisions 2,
33.23 3, 5, 8, 9, 10, 11, 12, 16, 17, 18, 19, and 20, are repealed.
33.24 Subd. 5. UNIFORM JUDICIAL RETIREMENT PLAN; NO BENEFIT
33.25 DIMINISHMENT INTENDED; PROCEDURE. Sections 32 to 76 are not
33.26 intended to reduce or increase the entitlement of active,
33.27 deferred, or retired judges to retirement annuities or benefits
33.28 as of July 1, 2005, as reflected in the records of the Minnesota
33.29 State Retirement System. If the executive director of the
33.30 Minnesota State Retirement System determines that any provisions
33.31 of sections 32 to 76 functions to modify, impair, or diminish
33.32 the retirement annuity or benefit entitlement of any judge that
33.33 had accrued or earned before July 1, 2005, the executive
33.34 director shall certify that determination and a recommendation
33.35 as to the required legislative correction to the chair of the
33.36 Legislative Commission on Pensions and Retirement, the chair of
34.1 the Senate State and Local Governmental Operations Committee,
34.2 the chair of the House Governmental Operations and Veterans
34.3 Affairs Policy Committee, and the executive director of the
34.4 Legislative Commission on Pensions and Retirement on or before
34.5 the October 1 next following that determination.
34.6 Sec. 78. EFFECTIVE DATE.
34.7 Sections 1 to 77 are effective on July 1, 2005.
34.8 ARTICLE 2
34.9 COVERED SALARY; AVERAGE SALARY
34.10 Section 1. Minnesota Statutes 2004, section 352.01, is
34.11 amended by adding a subdivision to read:
34.12 Subd. 14a. AVERAGE SALARY. (a) "Average salary" means
34.13 the average of the highest five successive years of salary upon
34.14 which the employee has made contributions to the retirement fund
34.15 by payroll deductions. Average salary must be based upon all
34.16 allowable service if this service is less than five years.
34.17 (b) "Average salary" does not include the payment of
34.18 accrued unused annual leave or overtime paid at time of final
34.19 separation from state service if paid in a lump sum nor does it
34.20 include the reduced salary, if any, paid during the period the
34.21 employee is entitled to workers' compensation benefit payments
34.22 for temporary disability.
34.23 (c) For an employee covered by the correctional state
34.24 employees retirement plan, "average salary" means the average of
34.25 the monthly salary during the employee's highest five successive
34.26 years of salary as an employee covered by the general state
34.27 employees retirement plan, or the correctional state employees
34.28 retirement plan, or by a combination of the two. If the total
34.29 of the covered service is less than five years, the
34.30 determination of average salary must be based on all allowable
34.31 service.
34.32 Sec. 2. Minnesota Statutes 2004, section 352.115,
34.33 subdivision 2, is amended to read:
34.34 Subd. 2. AVERAGE SALARY NORMAL RETIREMENT ANNUITY. The
34.35 retirement annuity hereunder payable at normal retirement age or
34.36 thereafter must be computed in accordance with the applicable
35.1 provisions of the formula stated in subdivision 3, on the basis
35.2 of the employee's average salary for the period of allowable
35.3 service. This retirement annuity is known as the "normal"
35.4 retirement annuity.
35.5 For each year of allowable service, "average salary" of an
35.6 employee in determining a retirement annuity means the average
35.7 of the highest five successive years of salary upon which the
35.8 employee has made contributions to the retirement fund by
35.9 payroll deductions. Average salary must be based upon all
35.10 allowable service if this service is less than five years.
35.11 "Average salary" does not include the payment of accrued
35.12 unused annual leave or overtime paid at time of final separation
35.13 from state service if paid in a lump sum nor does it include the
35.14 reduced salary, if any, paid during the period the employee is
35.15 entitled to workers' compensation benefit payments for temporary
35.16 disability.
35.17 Sec. 3. Minnesota Statutes 2004, section 352.115,
35.18 subdivision 3, is amended to read:
35.19 Subd. 3. RETIREMENT ANNUITY FORMULA. (a) This paragraph,
35.20 in conjunction with section 352.116, subdivision 1, applies to a
35.21 person who became a covered employee or a member of a pension
35.22 fund listed in section 356.30, subdivision 3, before July 1,
35.23 1989, unless paragraph (b), in conjunction with section 352.116,
35.24 subdivision 1a, produces a higher annuity amount, in which case
35.25 paragraph (b) will apply. The employee's average salary, as
35.26 defined in section 352.01, subdivision 2 14a, multiplied by the
35.27 percent specified in section 356.315, subdivision 1, per year of
35.28 allowable service for the first ten years and the percent
35.29 specified in section 356.315, subdivision 2, for each later year
35.30 of allowable service and pro rata for completed months less than
35.31 a full year shall determine the amount of the retirement annuity
35.32 to which the employee is entitled.
35.33 (b) This paragraph applies to a person who has become at
35.34 least 55 years old and first became a covered employee after
35.35 June 30, 1989, and to any other covered employee who has become
35.36 at least 55 years old and whose annuity amount, when calculated
36.1 under this paragraph and in conjunction with section 352.116,
36.2 subdivision 1a, is higher than it is when calculated under
36.3 paragraph (a), in conjunction with section 352.116, subdivision
36.4 1. The employee's average salary, as defined in section 352.01,
36.5 subdivision 2 14a, multiplied by the percent specified in
36.6 section 356.315, subdivision 2, for each year of allowable
36.7 service and pro rata for months less than a full year shall
36.8 determine the amount of the retirement annuity to which the
36.9 employee is entitled.
36.10 Sec. 4. Minnesota Statutes 2004, section 352.87,
36.11 subdivision 3, is amended to read:
36.12 Subd. 3. RETIREMENT ANNUITY FORMULA. A person specified
36.13 in subdivision 1 will have is entitled to receive a retirement
36.14 annuity applicable for allowable service credit under this
36.15 section calculated by multiplying the employee's average salary,
36.16 as defined in section 352.115 352.01, subdivision 2 14a, by the
36.17 percent specified in section 356.315, subdivision 2a, for each
36.18 year or portions of a year of allowable service credit. No
36.19 reduction for retirement prior to before the normal retirement
36.20 age, as specified in section 352.01, subdivision 25, applies to
36.21 service to which this section applies.
36.22 Sec. 5. Minnesota Statutes 2004, section 352.93,
36.23 subdivision 1, is amended to read:
36.24 Subdivision 1. BASIS OF ANNUITY; WHEN TO APPLY. After
36.25 separation from state service, an employee covered under section
36.26 352.91 who has reached age 55 years and has credit for at least
36.27 three years of covered correctional service or a combination of
36.28 covered correctional service and regular Minnesota general
36.29 employees state retirement System plan service is entitled upon
36.30 application to a retirement annuity under this section, based
36.31 only on covered correctional employees' service. Application
36.32 may be made no earlier than 60 days before the date the employee
36.33 is eligible to retire by reason of both age and service
36.34 requirements.
36.35 In this section, "average salary" means the average of the
36.36 monthly salary during the employee's highest five successive
37.1 years of salary as an employee covered by the Minnesota State
37.2 Retirement System. Average salary must be based upon all
37.3 allowable service if this service is less than five years.
37.4 Sec. 6. Minnesota Statutes 2004, section 352C.021, is
37.5 amended by adding a subdivision to read:
37.6 Subd. 1a. AVERAGE SALARY. "Average salary," for purposes
37.7 of calculating the normal retirement annuity under section
37.8 352C.031, subdivision 4, means the average of the highest five
37.9 successive years of salary upon which contributions have been
37.10 made under section 352C.09.
37.11 Sec. 7. Minnesota Statutes 2004, section 353.01, is
37.12 amended by adding a subdivision to read:
37.13 Subd. 17a. AVERAGE SALARY. (a) "Average salary," for
37.14 purposes of calculating a retirement annuity under section
37.15 353.29, subdivision 3, means an amount equivalent to the average
37.16 of the highest salary of the member, police officer, or
37.17 firefighter, whichever applies, upon which employee
37.18 contributions were paid for any five successive years of
37.19 allowable service, based on dates of salary periods as listed on
37.20 salary deduction reports. Average salary must be based upon all
37.21 allowable service if this service is less than five years.
37.22 (b) "Average salary" may not include any reduced salary
37.23 paid during a period in which the employee is entitled to
37.24 benefit payments from workers' compensation for temporary
37.25 disability, unless the average salary is higher, including this
37.26 period.
37.27 Sec. 8. Minnesota Statutes 2004, section 353.29,
37.28 subdivision 3, is amended to read:
37.29 Subd. 3. RETIREMENT ANNUITY FORMULA. (a) This paragraph,
37.30 in conjunction with section 353.30, subdivisions 1, 1a, 1b, and
37.31 1c, applies to any member who first became a public employee or
37.32 a member of a pension fund listed in section 356.30, subdivision
37.33 3, before July 1, 1989, unless paragraph (b), in conjunction
37.34 with section 353.30, subdivision 5, produces a higher annuity
37.35 amount, in which case paragraph (b) will apply. The average
37.36 salary as defined in section 353.01, subdivision 2 17a,
38.1 multiplied by the percent specified in section 356.315,
38.2 subdivision 3, for each year of allowable service for the first
38.3 ten years and thereafter by the percent specified in section
38.4 356.315, subdivision 4, per year of allowable service and
38.5 completed months less than a full year for the "basic member,"
38.6 and the percent specified in section 356.315, subdivision 1, for
38.7 each year of allowable service for the first ten years and
38.8 thereafter by the percent specified in section 356.315,
38.9 subdivision 2, per year of allowable service and completed
38.10 months less than a full year for the "coordinated member," shall
38.11 determine the amount of the "normal" retirement annuity.
38.12 (b) This paragraph applies to a member who has become at
38.13 least 55 years old and first became a public employee after June
38.14 30, 1989, and to any other member whose annuity amount, when
38.15 calculated under this paragraph and in conjunction with section
38.16 353.30, subdivision 5, is higher than it is when calculated
38.17 under paragraph (a), in conjunction with section 353.30,
38.18 subdivisions 1, 1a, 1b, and 1c. The average salary, as defined
38.19 in section 353.01, subdivision 2 17a, multiplied by the percent
38.20 specified in section 356.315, subdivision 4, for each year of
38.21 allowable service and completed months less than a full year for
38.22 a basic member and the percent specified in section 356.315,
38.23 subdivision 2, per year of allowable service and completed
38.24 months less than a full year for a coordinated member, shall
38.25 determine the amount of the normal retirement annuity.
38.26 Sec. 9. Minnesota Statutes 2004, section 353.33,
38.27 subdivision 3, is amended to read:
38.28 Subd. 3. COMPUTATION OF BENEFITS. This disability
38.29 benefit is an amount equal to the normal annuity payable to a
38.30 member who has reached normal retirement age with the same
38.31 number of years of allowable service and the same average
38.32 salary, as provided in section 353.01, subdivision 17a, and
38.33 section 353.29, subdivisions 2 and subdivision 3.
38.34 A basic member shall receive a supplementary monthly
38.35 benefit of $25 to age 65 or the five‑year anniversary of the
38.36 effective date of the disability benefit, whichever is later.
39.1 If the disability benefits under this subdivision exceed
39.2 the average salary as defined in section 353.29 353.01,
39.3 subdivision 2 17a, the disability benefits must be reduced to an
39.4 amount equal to said the average salary.
39.5 Sec. 10. Minnesota Statutes 2004, section 353.651,
39.6 subdivision 3, is amended to read:
39.7 Subd. 3. RETIREMENT ANNUITY FORMULA. The average salary
39.8 as defined in section 353.01, subdivision 2 17a, multiplied by
39.9 the percent specified in section 356.315, subdivision 6, per
39.10 year of allowable service determines the amount of the normal
39.11 retirement annuity. If the member has earned allowable service
39.12 for performing services other than those of a police officer or
39.13 firefighter, the annuity representing such that service is must
39.14 be computed under sections 353.29 and 353.30.
39.15 Sec. 11. Minnesota Statutes 2004, section 353.656,
39.16 subdivision 1, is amended to read:
39.17 Subdivision 1. IN LINE OF DUTY; COMPUTATION OF BENEFITS.
39.18 A member of the police and fire plan who becomes disabled and
39.19 physically unfit to perform duties as a police officer,
39.20 firefighter, or paramedic as defined under section 353.64,
39.21 subdivision 10, as a direct result of an injury, sickness, or
39.22 other disability incurred in or arising out of any act of duty,
39.23 which has or is expected to render the member physically or
39.24 mentally unable to perform the duties as a police officer,
39.25 firefighter, or paramedic as defined under section 353.64,
39.26 subdivision 10, for a period of at least one year, shall receive
39.27 disability benefits during the period of such disability. The
39.28 benefits must be in an amount equal to 60 percent of the
39.29 "average salary" as defined in section 353.651 353.01,
39.30 subdivision 2 17a, plus an additional percent specified in
39.31 section 356.315, subdivision 6, of that average salary for each
39.32 year of service in excess of 20 years. If the disability under
39.33 this subdivision occurs before the member has at least five
39.34 years of allowable service credit in the police and fire plan,
39.35 the disability benefit must be computed on the "average salary"
39.36 from which deductions were made for contribution to the police
40.1 and fire fund.
40.2 Sec. 12. Minnesota Statutes 2004, section 354.05, is
40.3 amended by adding a subdivision to read:
40.4 Subd. 13a. AVERAGE SALARY. (a) "Average salary," for the
40.5 purpose of determining the member's retirement annuity, means
40.6 the average salary upon which contributions were made for the
40.7 highest five successive years of formula service credit.
40.8 (b) "Average salary" may not include any more than the
40.9 equivalent of 60 monthly salary payments.
40.10 (c) "Average salary" must be based upon all years of
40.11 formula service credit if this service credit is less than five
40.12 years.
40.13 Sec. 13. Minnesota Statutes 2004, section 354.44,
40.14 subdivision 6, is amended to read:
40.15 Subd. 6. COMPUTATION OF FORMULA PROGRAM RETIREMENT
40.16 ANNUITY. (a) The formula retirement annuity must be computed in
40.17 accordance with the applicable provisions of the formulas stated
40.18 in paragraph (b) or (d) on the basis of each member's average
40.19 salary under section 354.05, subdivision 13a, for the period of
40.20 the member's formula service credit.
40.21 For all years of formula service credit, "average salary,"
40.22 for the purpose of determining the member's retirement annuity,
40.23 means the average salary upon which contributions were made and
40.24 upon which payments were made to increase the salary limitation
40.25 provided in Minnesota Statutes 1971, section 354.511, for the
40.26 highest five successive years of formula service credit
40.27 provided, however, that such "average salary" shall not include
40.28 any more than the equivalent of 60 monthly salary payments.
40.29 Average salary must be based upon all years of formula service
40.30 credit if this service credit is less than five years.
40.31 (b) This paragraph, in conjunction with paragraph (c),
40.32 applies to a person who first became a member of the association
40.33 or a member of a pension fund listed in section 356.30,
40.34 subdivision 3, before July 1, 1989, unless paragraph (d), in
40.35 conjunction with paragraph (e), produces a higher annuity
40.36 amount, in which case paragraph (d) applies. The average salary
41.1 as defined in paragraph (a) section 354.05, subdivision 13a,
41.2 multiplied by the following percentages per year of formula
41.3 service credit shall determine the amount of the annuity to
41.4 which the member qualifying therefor is entitled:
41.5 Coordinated Member Basic Member
41.6 Each year of service the percent the percent
41.7 during first ten specified in specified in
41.8 section 356.315, section 356.315,
41.9 subdivision 1, subdivision 3,
41.10 per year per year
41.11 Each year of service the percent the percent
41.12 thereafter specified in specified in
41.13 section 356.315, section 356.315,
41.14 subdivision 2, subdivision 4,
41.15 per year per year
41.16 (c)(i) This paragraph applies only to a person who first
41.17 became a member of the association or a member of a pension fund
41.18 listed in section 356.30, subdivision 3, before July 1, 1989,
41.19 and whose annuity is higher when calculated under paragraph (b),
41.20 in conjunction with this paragraph than when calculated under
41.21 paragraph (d), in conjunction with paragraph (e).
41.22 (ii) Where any member retires prior to normal retirement
41.23 age under a formula annuity, the member shall be paid a
41.24 retirement annuity in an amount equal to the normal annuity
41.25 provided in paragraph (b) reduced by one‑quarter of one percent
41.26 for each month that the member is under normal retirement age at
41.27 the time of retirement except that for any member who has 30 or
41.28 more years of allowable service credit, the reduction shall be
41.29 applied only for each month that the member is under age 62.
41.30 (iii) Any member whose attained age plus credited allowable
41.31 service totals 90 years is entitled, upon application, to a
41.32 retirement annuity in an amount equal to the normal annuity
41.33 provided in paragraph (b), without any reduction by reason of
41.34 early retirement.
41.35 (d) This paragraph applies to a member who has become at
41.36 least 55 years old and first became a member of the association
42.1 after June 30, 1989, and to any other member who has become at
42.2 least 55 years old and whose annuity amount when calculated
42.3 under this paragraph and in conjunction with paragraph (e), is
42.4 higher than it is when calculated under paragraph (b), in
42.5 conjunction with paragraph (c). The average salary, as defined
42.6 in paragraph (a) section 354.05, subdivision 13a, multiplied by
42.7 the percent specified by section 356.315, subdivision 4, for
42.8 each year of service for a basic member and by the percent
42.9 specified in section 356.315, subdivision 2, for each year of
42.10 service for a coordinated member shall determine the amount of
42.11 the retirement annuity to which the member is entitled.
42.12 (e) This paragraph applies to a person who has become at
42.13 least 55 years old and first becomes a member of the association
42.14 after June 30, 1989, and to any other member who has become at
42.15 least 55 years old and whose annuity is higher when calculated
42.16 under paragraph (d) in conjunction with this paragraph than when
42.17 calculated under paragraph (b), in conjunction with paragraph
42.18 (c). An employee who retires under the formula annuity before
42.19 the normal retirement age shall be paid the normal annuity
42.20 provided in paragraph (d) reduced so that the reduced annuity is
42.21 the actuarial equivalent of the annuity that would be payable to
42.22 the employee if the employee deferred receipt of the annuity and
42.23 the annuity amount were augmented at an annual rate of three
42.24 percent compounded annually from the day the annuity begins to
42.25 accrue until the normal retirement age.
42.26 (f) No retirement annuity is payable to a former employee
42.27 with a salary that exceeds 95 percent of the governor's salary
42.28 unless and until the salary figures used in computing the
42.29 highest five successive years average salary under paragraph (a)
42.30 have been audited by the Teachers Retirement Association and
42.31 determined by the executive director to comply with the
42.32 requirements and limitations of section 354.05, subdivisions 35
42.33 and 35a.
42.34 Sec. 14. Minnesota Statutes 2004, section 354A.011, is
42.35 amended by adding a subdivision to read:
42.36 Subd. 7a. AVERAGE SALARY. "Average salary," for purposes
43.1 of computing a normal coordinated program retirement annuity
43.2 under section 354A.31, subdivision 4 or 4a, means an amount
43.3 equal to the average salary upon which contributions were made
43.4 for the highest five successive years of service credit but may
43.5 not in any event include any more than the equivalent of 60
43.6 monthly salary payments. Average salary must be based upon all
43.7 years of service credit if this service credit is less than five
43.8 years.
43.9 Sec. 15. Minnesota Statutes 2004, section 354A.31,
43.10 subdivision 4, is amended to read:
43.11 Subd. 4. COMPUTATION OF THE NORMAL COORDINATED RETIREMENT
43.12 ANNUITY; MINNEAPOLIS AND ST. PAUL FUNDS. (a) This subdivision
43.13 applies to the coordinated programs of the Minneapolis Teachers
43.14 Retirement Fund Association and the St. Paul Teachers Retirement
43.15 Fund Association.
43.16 (b) The normal coordinated retirement annuity shall be is
43.17 an amount equal to a retiring coordinated member's average
43.18 salary under section 354A.011, subdivision 7a, multiplied by the
43.19 retirement annuity formula percentage. Average salary for
43.20 purposes of this section shall mean an amount equal to the
43.21 average salary upon which contributions were made for the
43.22 highest five successive years of service credit, but which shall
43.23 not in any event include any more than the equivalent of 60
43.24 monthly salary payments. Average salary must be based upon all
43.25 years of service credit if this service credit is less than five
43.26 years.
43.27 (c) This paragraph, in conjunction with subdivision 6,
43.28 applies to a person who first became a member or a member in a
43.29 pension fund listed in section 356.30, subdivision 3, before
43.30 July 1, 1989, unless paragraph (d), in conjunction with
43.31 subdivision 7, produces a higher annuity amount, in which case
43.32 paragraph (d) will apply. The retirement annuity formula
43.33 percentage for purposes of this paragraph is the percent
43.34 specified in section 356.315, subdivision 1, per year for each
43.35 year of coordinated service for the first ten years and the
43.36 percent specified in section 356.315, subdivision 2, for each
44.1 year of coordinated service thereafter.
44.2 (d) This paragraph applies to a person who has become at
44.3 least 55 years old and who first becomes a member after June 30,
44.4 1989, and to any other member who has become at least 55 years
44.5 old and whose annuity amount, when calculated under this
44.6 paragraph and in conjunction with subdivision 7 is higher than
44.7 it is when calculated under paragraph (c), in conjunction with
44.8 the provisions of subdivision 6. The retirement annuity formula
44.9 percentage for purposes of this paragraph is the percent
44.10 specified in section 356.315, subdivision 2, for each year of
44.11 coordinated service.
44.12 Sec. 16. Minnesota Statutes 2004, section 354A.31,
44.13 subdivision 4a, is amended to read:
44.14 Subd. 4a. COMPUTATION OF THE NORMAL COORDINATED
44.15 RETIREMENT ANNUITY; DULUTH FUND. (a) This subdivision applies
44.16 to the new law coordinated program of the Duluth Teachers
44.17 Retirement Fund Association.
44.18 (b) The normal coordinated retirement annuity is an amount
44.19 equal to a retiring coordinated member's average salary under
44.20 section 354A.011, subdivision 7a, multiplied by the retirement
44.21 annuity formula percentage. Average salary for purposes of this
44.22 section means an amount equal to the average salary upon which
44.23 contributions were made for the highest five successive years of
44.24 service credit, but may not in any event include any more than
44.25 the equivalent of 60 monthly salary payments. Average salary
44.26 must be based upon all years of service credit if this service
44.27 credit is less than five years.
44.28 (c) This paragraph, in conjunction with subdivision 6,
44.29 applies to a person who first became a member or a member in a
44.30 pension fund listed in section 356.30, subdivision 3, before
44.31 July 1, 1989, unless paragraph (d), in conjunction with
44.32 subdivision 7, produces a higher annuity amount, in which case
44.33 paragraph (d) applies. The retirement annuity formula
44.34 percentage for purposes of this paragraph is the percent
44.35 specified in section 356.315, subdivision 1, per year for each
44.36 year of coordinated service for the first ten years and the
45.1 percent specified in section 356.315, subdivision 2, for each
45.2 subsequent year of coordinated service.
45.3 (d) This paragraph applies to a person who is at least 55
45.4 years old and who first becomes a member after June 30, 1989,
45.5 and to any other member who is at least 55 years old and whose
45.6 annuity amount, when calculated under this paragraph and in
45.7 conjunction with subdivision 7, is higher than it is when
45.8 calculated under paragraph (c) in conjunction with subdivision
45.9 6. The retirement annuity formula percentage for purposes of
45.10 this paragraph is the percent specified in section 356.315,
45.11 subdivision 2, for each year of coordinated service.
45.12 Sec. 17. Minnesota Statutes 2004, section 422A.01, is
45.13 amended by adding a subdivision to read:
45.14 Subd. 4a. AVERAGE SALARY. (a) "Average salary" means the
45.15 arithmetic average annual salary, wages or compensation of the
45.16 member from the city for any five calendar years out of the last
45.17 ten calendar years of service, except as provided for in section
45.18 422A.16, which may include the year in which the employee
45.19 retires, as selected by the employee.
45.20 (b) A member with more than five calendar years of service
45.21 but less than ten calendar years may select any five calendar
45.22 years of service to determine the average salary. A member with
45.23 less than five years of service with the city shall use all
45.24 earnings to determine the average salary.
45.25 Sec. 18. Minnesota Statutes 2004, section 422A.15,
45.26 subdivision 1, is amended to read:
45.27 Subdivision 1. FORMULA PENSION AND ANNUITY. Except as
45.28 otherwise provided in subdivision 3, each contributing member
45.29 who, at the time of retirement, fulfills the conditions
45.30 necessary to enable the member to retire, shall is entitled to
45.31 receive what shall be known as a "formula pension and annuity"
45.32 equal to two percent for each year of allowable service for the
45.33 first ten years and thereafter 2.5 percent per year of allowable
45.34 service of the arithmetic average annual salary, wages or
45.35 compensation of the member from the city for any five calendar
45.36 years out of the last ten calendar years of service except as
46.1 provided for in section 422A.16, which may include the year in
46.2 which the employee retires, as selected by the employee,
46.3 multiplied by the years of service credited by the retirement
46.4 fund. The formula pension and annuity shall must be computed on
46.5 the single life plan but subject to the option selections
46.6 provided for in section 422A.17.
46.7 In order to be entitled to the formula pension and annuity
46.8 herein provided for, the retiring employee at the time of
46.9 cessation of employment and of actual retirement shall must have
46.10 attained the age of 60 years or have been employed by the city
46.11 not less than 30 years, or meet the qualifications provided for
46.12 in section 422A.16, and in addition thereto have contributed to
46.13 the retirement fund at the percentage rate prescribed by the
46.14 retirement law applicable when the salary, wages or compensation
46.15 was paid on all salaries, wages, or compensation received from
46.16 the city or from an applicable employing unit. The years of
46.17 service to be applied in the formula pension and annuity shall
46.18 must be found and determined by the retirement board, except
46.19 that no credit shall may be allowed for any year in which a back
46.20 charge is owing at time of retirement and the earnings from any
46.21 year in which a back charge is owing shall may not be used in
46.22 determining the average annual salary.
46.23 Sec. 19. Minnesota Statutes 2004, section 422A.16,
46.24 subdivision 9, is amended to read:
46.25 Subd. 9. INCOMPETENCY OR DEATH OF MEMBER. Any member of
46.26 the contributing class who becomes permanently separated from
46.27 the service of the city under subdivision 8, may, by an
46.28 instrument in writing, filed with the municipal employees
46.29 retirement board within 30 days after such the separation
46.30 becomes permanent, elect to allow the member contributions
46.31 to such the fund to the date of separation to remain on deposit
46.32 in such the fund, and in such the event the member shall be
46.33 is entitled to receive a retirement allowance at age 65,
46.34 provided the member, or someone acting in the member's behalf if
46.35 the member be incompetent, shall must make a written application
46.36 for such the retirement allowance in the same manner provided
47.1 for in section 422A.17 and in accordance with the provisions of
47.2 section 422A.15, subdivision 1, except for determining
47.3 average annual salary. A member with more than five calendar
47.4 years of service but less than ten calendar years may select any
47.5 five calendar years of service to determine the average annual
47.6 salary. A member with less than five years of service with the
47.7 city shall use all earnings to determine the average annual
47.8 salary.
47.9 If the contributing member dies before reaching the age of
47.10 65 years, or having attained the age of 65 years without having
47.11 made the election provided for herein, the net accumulated
47.12 amount of deductions from the member's salary, pay or
47.13 compensation, plus interest, to the member's credit on date of
47.14 death shall be paid is payable to such the person or persons as
47.15 have been nominated by written designation filed with the
47.16 retirement board, in such the form as that the retirement board
47.17 shall require requires.
47.18 If the employee fails to make a designation, or if the
47.19 person or persons designated by such the employee predeceases
47.20 such the employee, the net accumulated credit to such the
47.21 employee's account on date of death shall be paid is payable to
47.22 such the employee's estate.
47.23 The provisions of subdivisions 4, 5, and 6 shall also apply
47.24 to any member qualifying for benefits under this subdivision,
47.25 except for purposes of this subdivision the age referred to in
47.26 subdivision 4 shall be is 65 years.
47.27 Sec. 20. Minnesota Statutes 2004, section 490.121,
47.28 subdivision 21, is amended to read:
47.29 Subd. 21. FINAL AVERAGE COMPENSATION. "Final average
47.30 compensation" means the total amount of salary payable paid to a
47.31 judge in the highest five years of the last ten years prior to
47.32 before the event of maturity of benefits, divided by five;
47.33 provided, however, that. If the number of years of service is
47.34 less than ten, the highest five shall years of salary must be
47.35 counted, and. If the number of years of service is less than
47.36 five, the aggregate salary in such during the period shall must
48.1 be divided by the number of months in such the period and
48.2 multiplied by 12.
48.3 Sec. 21. REPEALER.
48.4 Minnesota Statutes 2004, sections 352C.031, subdivision 3;
48.5 353.29, subdivision 2; and 353.651, subdivision 2, are repealed.
48.6 Sec. 22. EFFECTIVE DATE.
48.7 Sections 1 to 21 are effective July 1, 2005.
48.8 ARTICLE 3
48.9 ACTUARIAL EQUIVALENCE
48.10 Section 1. Minnesota Statutes 2004, section 352.01,
48.11 subdivision 12, is amended to read:
48.12 Subd. 12. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
48.13 means the condition of one annuity or benefit having an equal
48.14 actuarial present value as another annuity or benefit,
48.15 determined as of a given date at a specified age with each
48.16 actuarial present value based on the appropriate mortality table
48.17 adopted by the board of directors based on the experience of the
48.18 fund as recommended by the actuary retained by the Legislative
48.19 Commission on Pensions and Retirement under section 356.214, and
48.20 approved under section 356.215, subdivision 18, and using the
48.21 applicable preretirement or postretirement interest rate
48.22 assumption specified in section 356.215, subdivision 8.
48.23 Sec. 2. Minnesota Statutes 2004, section 353.01,
48.24 subdivision 14, is amended to read:
48.25 Subd. 14. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
48.26 means the condition of one annuity or benefit having an equal
48.27 actuarial present value as another annuity or benefit,
48.28 determined as of a given date with each actuarial present value
48.29 based on the appropriate mortality table adopted by the board of
48.30 trustees based on the experience of the fund as recommended by
48.31 the actuary retained by the Legislative Commission on Pensions
48.32 and Retirement under section 356.214, and approved under section
48.33 356.215, subdivision 18, and using the applicable preretirement
48.34 or postretirement interest rate assumption specified in section
48.35 356.215, subdivision 8.
48.36 Sec. 3. Minnesota Statutes 2004, section 354.05,
49.1 subdivision 7, is amended to read:
49.2 Subd. 7. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
49.3 means the condition of one annuity or benefit having an equal
49.4 actuarial present value as another annuity or benefit,
49.5 determined as of a given date with each actuarial present value
49.6 based on the appropriate mortality table adopted by the board of
49.7 trustees based on the experience of the association as
49.8 recommended by the actuary retained by the Legislative
49.9 Commission on Pensions and Retirement under section 356.214, and
49.10 approved under section 356.215, subdivision 18, and using the
49.11 applicable preretirement or postretirement interest rate
49.12 assumption specified in section 356.215, subdivision 8.
49.13 Sec. 4. Minnesota Statutes 2004, section 354A.011,
49.14 subdivision 3a, is amended to read:
49.15 Subd. 3a. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
49.16 means the condition of one annuity or benefit having an equal
49.17 actuarial present value as another annuity or benefit,
49.18 determined as of a given date with each actuarial present value
49.19 based on the appropriate mortality table adopted by the
49.20 appropriate board of trustees based on the experience of that
49.21 retirement fund association as recommended by the actuary
49.22 retained by the Legislative Commission on Pensions and
49.23 Retirement under section 356.214, and approved under section
49.24 356.215, subdivision 18, and using the applicable preretirement
49.25 or postretirement interest rate assumption specified in section
49.26 356.215, subdivision 8.
49.27 Sec. 5. Minnesota Statutes 2004, section 422A.01,
49.28 subdivision 6, is amended to read:
49.29 Subd. 6. PRESENT WORTH OR PRESENT VALUE. "Present worth"
49.30 or "present value" means that the present amount of money if
49.31 increased at the applicable postretirement or preretirement
49.32 interest rate assumption specified in section 356.215,
49.33 subdivision 8, and based on the mortality table adopted by the
49.34 board of trustees based on the experience of the fund as
49.35 recommended by the actuary retained by the Legislative
49.36 Commission on Pensions and Retirement under section 356.214, and
50.1 approved under section 356.215, subdivision 18, will at
50.2 retirement equal the actuarial accrued liability of the annuity
50.3 already earned.
50.4 Sec. 6. Minnesota Statutes 2004, section 490.121,
50.5 subdivision 20, is amended to read:
50.6 Subd. 20. ACTUARIAL EQUIVALENT. "Actuarial equivalent"
50.7 means the condition of one annuity or benefit having an equal
50.8 actuarial present value as another annuity or benefit,
50.9 determined as of a given date with each actuarial present value
50.10 based on the appropriate mortality table adopted by the board of
50.11 trustees directors of the Minnesota State Retirement System
50.12 based on the experience of the fund as recommended by
50.13 the commission‑retained actuary retained under section 356.214,
50.14 and approved under section 356.215, subdivision 18, and using
50.15 the applicable preretirement or postretirement interest rate
50.16 assumption specified in section 356.215, subdivision 8.
50.17 Sec. 7. EFFECTIVE DATE.
50.18 Sections 1 to 6 are effective July 1, 2005."
50.19 Delete the title and insert:
50.20 "A bill for an act
50.21 relating to retirement; statewide and major public
50.22 pension plans; clarifying and revising various plan
50.23 provisions; eliminating obsolete provisions; defining
50.24 final average salary; clarifying references to
50.25 actuarial services in determining actuarial
50.26 equivalence; amending Minnesota Statutes 2004,
50.27 sections 3A.01, subdivisions 1, 2, 6, 8, and by adding
50.28 subdivisions; 3A.011; 3A.02, subdivisions 1, 1b, 3, 4,
50.29 5; 3A.03, subdivisions 1, 2; 3A.04, subdivisions 1, 2,
50.30 3, 4, and by adding a subdivision; 3A.05; 3A.07;
50.31 3A.10, subdivision 1; 3A.12; 3A.13; 352.01,
50.32 subdivision 12, and by adding a subdivision; 352.115,
50.33 subdivisions 2, 3; 352.87, subdivision 3; 352.93,
50.34 subdivision 1; 352C.021, and by adding a subdivision;
50.35 352C.091, subdivision 1; 353.01, subdivision 14, and
50.36 by adding a subdivision; 353.29, subdivision 3;
50.37 353.33, subdivision 3; 353.651, subdivision 3;
50.38 353.656, subdivision 1; 354.05, subdivision 7, and by
50.39 adding a subdivision; 354.44, subdivision 6; 354A.011,
50.40 subdivision 3a, and by adding a subdivision; 354A.31,
50.41 subdivisions 4, 4a; 422A.01, subdivision 6, and by
50.42 adding a subdivision; 422A.15, subdivision 1; 422A.16,
50.43 subdivision 9; 490.121, subdivisions 1, 4, 6, 7, 13,
50.44 14, 15, 20, 21, 21, 22, and by adding subdivisions;
50.45 490.122; 490.123, subdivisions 1, 1a, 1b, 1c, 2, 3;
50.46 490.124, subdivisions 1, 2, 3, 4, 5, 8, 9, 10, 11, 12,
50.47 13; 490.125, subdivision 1; 490.126; 490.133;
50.48 proposing coding for new law in/as Minnesota Statutes,
50.49 chapters 352C; 490A; repealing Minnesota Statutes
50.50 2004, sections 3A.01, subdivisions 3, 4, 6a, 7; 3A.02,
50.51 subdivision 2; 3A.04, subdivision 1; 3A.09; 352C.01;
51.1 352C.011; 352C.021; 352C.031, subdivision 3; 352C.033;
51.2 352C.04; 352C.051; 352C.09; 352C.091, subdivisions 2,
51.3 3; 353.29, subdivision 2; 353.651, subdivision 2;
51.4 490.021; 490.025, subdivisions 1, 2, 3, 4, 6; 490.101;
51.5 490.102; 490.103; 490.105; 490.106; 490.107; 490.108;
51.6 490.109; 490.1091; 490.12; 490.121, subdivisions 2, 3,
51.7 5, 8, 9, 10, 11, 12, 16, 17, 18, 19, 20."