LCPR05-216
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 "2005 OMNIBUS
RETIREMENT BILL
1.5 ARTICLE 1
1.6 CLARIFICATION/RECODIFICATION
OF
1.7 STATEWIDE SPECIALTY RETIREMENT
PLANS
1.8
Section 1. Minnesota Statutes
2004, section 3A.01,
1.9
subdivision 1, is amended to read:
1.10
Subdivision 1. PURPOSES. Each
of the terms defined in
1.11 this section, for the purposes of
this chapter shall be
1.12 given has the meanings
meaning ascribed to them.
1.13
Sec. 2. Minnesota Statutes 2004,
section 3A.01, is amended
1.14 by adding a subdivision to read:
1.15
Subd. 1a. ACTUARIAL
EQUIVALENT. "Actuarial equivalent"
1.16 means the condition of one allowance
or benefit having an equal
1.17 actuarial present value to another
allowance or benefit,
1.18 determined by the actuary retained
under section 356.214 as of a
1.19 given date at a specified age with
each actuarial present value
1.20 based on the mortality table
applicable for the plan and
1.21 approved under section 356.215,
subdivision 18, and using the
1.22 applicable preretirement or
postretirement interest rate
1.23 assumption specified in section
356.215, subdivision 8.
1.24
Sec. 3. Minnesota Statutes 2004,
section 3A.01, is amended
1.25 by adding a subdivision to read:
1.26
Subd. 1b. AVERAGE
MONTHLY SALARY. "Average monthly
1.27 salary" means the average of the
member's highest five
1.28 successive years of salary that was
received as a member of the
1.29 legislature and upon which the member
has made contributions
1.30 under section 3A.03, subdivision 1,
or for which the member of
1.31 the legislature has made payments for
past service under section
1.32 3A.02, subdivision 2, or has made,
before July 1, 1994, payments
1.33 in lieu of contributions under
Minnesota Statutes 1992, section
1.34 3A.031.
1.35
Sec. 4. Minnesota Statutes 2004,
section 3A.01, is amended
1.36 by adding a subdivision to read:
2.1
Subd. 1c. CONSTITUTIONAL
OFFICER. "Constitutional
2.2 officer"
means a person who was duly elected, qualifies for, and
2.3 serves
as the governor, the lieutenant governor, the attorney
2.4 general,
the secretary of state, or the state auditor of the
2.5 state
of Minnesota.
2.6
Sec. 5. Minnesota Statutes 2004,
section 3A.01,
2.7
subdivision 2, is amended to read:
2.8
Subd. 2. DEPENDENT CHILD. (a)
"Dependent child" means
2.9
any natural or adopted child of a deceased member of the
2.10 legislature or a former
legislator who is under the age of 18,
2.11 or who is under the age of 22 and is a
full‑time student, and
2.12 who, in either case, is
unmarried and was actually dependent for
2.13 more than one‑half of support upon
such the legislator for a
2.14 period of at least 90 days
immediately prior to before the
2.15 legislator's death. It
2.16
(b) The term also includes any child of the member of the
2.17 legislature or former legislator who
was conceived during the
2.18 lifetime of, and who was born
after the death of, the member or
2.19 former legislator. This subdivision shall be retroactive as
to
2.20 any dependent child under the age of
22 years as of April 1,
2.21 1975.
2.22
Sec. 6. Minnesota Statutes 2004,
section 3A.01,
2.23 subdivision 6, is amended to read:
2.24
Subd. 6. DIRECTOR.
"Director" means the executive
2.25 director of the Minnesota State
Retirement System who was
2.26 appointed under section 352.03,
subdivision 5.
2.27
Sec. 7. Minnesota Statutes 2004,
section 3A.01, is amended
2.28 by adding a subdivision to read:
2.29
Subd. 6b. FORMER
LEGISLATOR. "Former legislator" means a
2.30 legislator who has ceased to be a
member of the legislature for
2.31 any reason, including, but not
limited to, the expiration of the
2.32 term
for which a member of the legislature was elected or the
2.33 death of the member.
2.34
Sec. 8. Minnesota Statutes 2004,
section 3A.01, is amended
2.35 by adding a subdivision to read:
2.36
Subd. 6c. MEMBER OF THE
LEGISLATURE. "Member of the
3.1 legislature"
means a person who was a member of the House of
3.2 Representatives
or of the Senate of the state of Minnesota who
3.3 has
subscribed to the oath of office after July 1, 1965, and who
3.4 was
first elected to a legislative office before July 1, 1997,
3.5 and
retained coverage by the plan under Laws 1997, chapter 233,
3.6 article
2, section 15.
3.7
Sec. 9. Minnesota Statutes 2004,
section 3A.01,
3.8
subdivision 8, is amended to read:
3.9
Subd. 8. NORMAL RETIREMENT
AGE. "Normal retirement age"
3.10 means the age of 60 years with regard
to any member of the
3.11 legislature whose service terminates
prior to the beginning of
3.12 the 1981 legislative session, and the
age of 62 years with
3.13 regard to any member of the
legislature whose service terminates
3.14 after the beginning of the 1981
session.
3.15
Sec. 10. Minnesota Statutes 2004,
section 3A.01, is
3.16 amended by adding a subdivision to read:
3.17
Subd. 9. RETIREMENT.
"Retirement" means the period of
3.18 time after which a former legislator
is entitled to a retirement
3.19 allowance.
3.20
Sec. 11. Minnesota Statutes 2004,
section 3A.01, is
3.21 amended by adding a subdivision to read:
3.22
Subd. 10. SALARY. (a)
"Salary" means the regular
3.23 compensation payable under law to a
member of the legislature
3.24 and paid to the person for service as
a legislator.
3.25
(b) The term includes the monthly compensation paid to the
3.26 member of the legislature and the per
diem payments paid during
3.27 a regular or special session to the
member of the legislature.
3.28
(c) The term does not include per diem payments paid to a
3.29 member of the legislature other than
during the regular or
3.30 special session; additional
compensation attributable to a
3.31 leadership position under section
3.099, subdivision 3; living
3.32 expense payments under section 3.101;
and special session living
3.33 expense payments under section 3.103.
3.34
Sec. 12. Minnesota Statutes 2004,
section 3A.011, is
3.35 amended to read:
3.36
3A.011 ADMINISTRATION OF PLAN.
4.1
The executive director and the board of directors of the
4.2
Minnesota State Retirement System shall administer the
4.3
legislators retirement plan in accordance with this chapter and
4.4
chapter 356A.
4.5
Sec. 13. Minnesota Statutes 2004,
section 3A.02,
4.6
subdivision 1, is amended to read:
4.7
Subdivision 1. QUALIFICATIONS.
(a) A former legislator
4.8 is
entitled, upon written application to the director, to
4.9
receive a retirement allowance monthly, if the person:
4.10
(1) has either served at least six full years, without
4.11 regard to the application of section
3A.10, subdivision 2, or
4.12 has served during all or part of four
regular sessions as a
4.13 member of the legislature, which service
need not be continuous;
4.14
(2) has attained the normal retirement age;
4.15
(3) has retired as a member of the legislature; and
4.16
(4) has made all contributions provided for in section
4.17 3A.03, has made payments for past
service under subdivision 2,
4.18 or
has made payments in lieu of contributions under Minnesota
4.19 Statutes 1992, section 3A.031, prior
to before July 1, 1994.
4.20
(b) This paragraph applies to members of the legislature
4.21 who terminate service as a legislator
before July 1, 1997. For
4.22 service rendered before the beginning
of the 1979 legislative
4.23 session, but not to exceed eight
years of service, the
4.24 retirement allowance is an amount
equal to five percent per year
4.25 of service of that member's average
monthly salary. For service
4.26 in excess of eight years rendered
before the beginning of the
4.27 1979 legislative session, and for
service rendered after the
4.28 beginning of the 1979 legislative
session, Unless the former
4.29 legislator has legislative service
before January 1, 1979, the
4.30 retirement allowance is an amount equal
to 2‑1/2 percent per
4.31 year of service of that member's average
monthly salary.
4.32
(c) This paragraph applies to members of the legislature
4.33 who terminate service as a legislator
after June 30, 1997. The
4.34 retirement allowance is an amount
equal to the applicable rate
4.35 or rates under paragraph (b) per year
of service of the member's
4.36 average monthly salary and
adjusted for that person on an
5.1
actuarial equivalent basis to reflect the change in the
5.2
postretirement interest rate actuarial assumption under section
5.3
356.215, subdivision 8, from five percent to six percent. The
5.4
adjustment must be calculated by or, alternatively, the
5.5
adjustment procedure must be specified by, the actuary retained
5.6 by
the Legislative Commission on Pensions and Retirement under
5.7 section
356.214. The purpose of this adjustment
is to ensure
5.8
that the total amount of benefits that the actuary predicts an
5.9
individual member will receive over the member's lifetime under
5.10 this paragraph will be the same as the
total amount of benefits
5.11 the actuary predicts the individual
member would receive over
5.12 the member's lifetime under the law in
effect before enactment
5.13 of this paragraph. If the former legislator has legislative
5.14 service before January 1, 1979, the
person's benefit must
5.15 include the additional benefit amount
in effect on January 1,
5.16 1979, and adjusted as otherwise
provided in this paragraph.
5.17
(d) (c) The retirement allowance accrues beginning with
the
5.18 first day of the month of receipt of the
application, but not
5.19 before age 60, and for the remainder of
the former legislator's
5.20 life, if the former legislator is not
serving as a member of the
5.21 legislature or as a constitutional
officer or commissioner as
5.22 defined in section 352C.021,
subdivisions 2 and 3 subdivision 1b.
5.23 The annuity does not begin to accrue prior
to before the
5.24 person's retirement as a
legislator. No annuity payment may be
5.25 made retroactive for more than 180 days
before the date that the
5.26 annuity application is filed with the
director.
5.27
(e) (d) Any member who has served during all or part of
5.28 four regular sessions is considered to
have served eight years
5.29 as a member of the legislature.
5.30
(f) (e) The retirement allowance ceases with the last
5.31 payment that accrued to the retired
legislator during the
5.32 retired legislator's lifetime, except
that the surviving spouse,
5.33 if any, is entitled to receive
the retirement allowance of the
5.34 retired legislator for the
calendar month in which the retired
5.35 legislator died.
5.36
Sec. 14. Minnesota Statutes 2004,
section 3A.02,
6.1
subdivision 1b, is amended to read:
6.2
Subd. 1b. REDUCED RETIREMENT
ALLOWANCE. (a) Upon
6.3
separation from service after the beginning of the 1981
6.4
legislative session, a former member of the legislature who has
6.5
attained the age set by the board of directors of the Minnesota
6.6
State Retirement System and who is otherwise qualified in
6.7 accordance
with under subdivision 1 is entitled, upon making
6.8
written application on forms supplied a form prescribed by
the
6.9
director, to a reduced retirement allowance in. The reduced
6.10 retirement allowance is an amount
equal to the retirement
6.11 allowance specified in subdivision 1,
paragraph (b), that is
6.12 reduced so that the reduced annuity
allowance is the actuarial
6.13 equivalent of the annuity allowance
that would be payable if the
6.14 former member of the legislature
deferred receipt of the annuity
6.15 allowance and the annuity allowance
amount were was augmented
6.16 at an annual rate of three percent
compounded annually from the
6.17 date the annuity allowance
begins to accrue until age 62.
6.18
(b) The age set by the board of directors under paragraph
6.19 (a) cannot be less an earlier
age than the early retirement age
6.20 under section 352.116, subdivision 1a.
6.21
(c) If there is an actuarial cost to the plan of resetting
6.22 the early retirement age under paragraph
(a), the retired
6.23 legislator is required to pay an
additional amount to cover the
6.24 full actuarial value. The additional amount must be paid in a
6.25 lump sum within 30 days of the
certification of the amount by
6.26 the executive director.
6.27
(d) The executive director of the Minnesota State
6.28 Retirement System shall report to the
Legislative Commission on
6.29 Pensions and Retirement on the
utilization of this
6.30 provision annually on or before
September 1, 2000.
6.31
Sec. 15. Minnesota Statutes 2004,
section 3A.02,
6.32 subdivision 3, is amended to read:
6.33
Subd. 3. APPROPRIATION.
The amounts required for payment
6.34 of retirement allowances provided by
this section are
6.35 appropriated annually to the director
from the participation of
6.36 the legislators retirement plan
in the Minnesota postretirement
7.1
investment fund and shall.
The retirement allowance must be
7.2
paid monthly to the recipients entitled thereto to those
7.3 retirement
allowances.
7.4
Sec. 16. Minnesota Statutes 2004,
section 3A.02,
7.5
subdivision 4, is amended to read:
7.6
Subd. 4. DEFERRED ANNUITIES
AUGMENTATION. (a) The
7.7
deferred annuity retirement allowance of any former
legislator
7.8
must be augmented as provided herein.
7.9
(b) The required reserves applicable to the
7.10 deferred annuity retirement
allowance, determined as of the date
7.11 the benefit begins to accrue using an
appropriate mortality
7.12 table and an interest assumption of six
percent, must be
7.13 augmented from the first of the month
following the termination
7.14 of active service, or July 1,
1973, whichever is later, to the
7.15 first day of the month in which the annuity
allowance begins to
7.16 accrue, at the following annually
compounded rate of or rates:
7.17
five percent per annum compounded annually until January 1,
7.18 1981, and thereafter at the rate of
three percent per annum
7.19 compounded annually until January 1
of the year in which the
7.20 former legislator attains age 55. From that date to the
7.21 effective date of retirement, the
rate is five percent
7.22 compounded annually.
7.23
rate period
7.24
(1) five percent until
January 1, 1981
7.25
(2) three percent from
January 1, 1981, or from the
7.26 first day of the
month following
7.27 the termination
of active service,
7.28 whichever is
later, until January 1
7.29 of the year in which the former
7.30 legislator
attains age 55
7.32
(3) five percent from
the period end date under
7.33 clause (2) to the
effective date
7.34 of retirement.
7.35
(b) The retirement allowance of, or the survivor benefit
7.36 payable on behalf of, a former member
of the legislature who
8.1 terminated
service before July 1, 1997, which is not first
8.2 payable
until after June 30, 1997, must be increased on an
8.3 actuarial
equivalent basis to reflect the change in the
8.4 postretirement
interest rate actuarial assumption under section
8.5 356.215,
subdivision 8, from five percent to six percent under a
8.6 calculation
procedure and tables adopted by the board of
8.7 directors
of the Minnesota State Retirement System and approved
8.8 by
the actuary retained by the Legislative Commission on
8.9 Pensions
and Retirement.
8.10
Sec. 17. Minnesota Statutes 2004,
section 3A.02,
8.11 subdivision 5, is amended to read:
8.12
Subd. 5. OPTIONAL ANNUITIES.
(a) The board of directors
8.13 shall establish an optional retirement
annuity in the form of a
8.14 joint and survivor annuity and an
optional retirement annuity in
8.15 the form of a period certain and life
thereafter. Except as
8.16 provided in paragraph (b), these
optional annuity forms must be
8.17 actuarially equivalent to the normal annuity
allowance computed
8.18 under this section, plus the actuarial
value of any surviving
8.19 spouse benefit otherwise potentially
payable at the time of
8.20 retirement under section 3A.04,
subdivision 1. An individual
8.21 selecting an optional annuity under this
subdivision waives and
8.22 the person's spouse waive any
rights to surviving spouse
8.23 benefits under section 3A.04,
subdivision 1.
8.24
(b) If a retired legislator selects the joint and survivor
8.25 annuity option, the retired legislator
must receive a normal
8.26 single‑life annuity allowance
if the designated optional annuity
8.27 beneficiary dies before the retired
legislator and no reduction
8.28 may be made in the annuity to provide
for restoration of the
8.29 normal single‑life annuity allowance
in the event of the death
8.30 of the designated optional annuity
beneficiary.
8.31
(c) The surviving spouse of a legislator who has attained
8.32 at least age 60 and who dies while a
member of the legislature
8.33 may elect an optional joint and survivor
annuity under paragraph
8.34 (a), in lieu of surviving spouse
benefits under section 3A.04,
8.35 subdivision 1.
8.36
Sec. 18. Minnesota Statutes 2004,
section 3A.03,
9.1
subdivision 1, is amended to read:
9.2
Subdivision 1. PERCENTAGE.
(a) Every member of the
9.3
legislature shall contribute nine percent of total salary,.
9.4
(b) The contribution must be made by payroll deduction,
9.5 to
and must be paid into the state treasury and deposited in the
9.6
general fund. It shall be the
duty of
9.7
(c) The director to must record the periodic
contributions
9.8 of
each member of the legislature and must credit such each
9.9
contribution to the member's account.
9.10
Sec. 19. Minnesota Statutes 2004,
section 3A.03,
9.11 subdivision 2, is amended to read:
9.12
Subd. 2. REFUND. (a) A
former member who has made
9.13 contributions under subdivision 1 and
who is no longer a member
9.14 of the legislature is entitled to
receive, upon written
9.15 application to the executive director on
a form prescribed by
9.16 the executive director, a refund from
the general fund of all
9.17 contributions credited to the member's
account with interest
9.18 computed as provided in section 352.22,
subdivision 2.
9.19
(b) The refund of contributions as provided in paragraph (a)
9.20 terminates all rights of a former member
of the legislature and
9.21 the survivors of the former member under
this chapter.
9.22
(c) If the former member of the legislature again becomes a
9.23 member of the legislature after having
taken a refund as
9.24 provided in paragraph (a), the member must
be considered is a
9.25 new member of this plan the
unclassified employees retirement
9.26 program of the Minnesota State
Retirement System.
9.27
(d) However, the member may reinstate the rights and credit
9.28 for service previously forfeited under
this chapter if the
9.29 member repays all refunds taken,
plus interest at an annual rate
9.30 of 8.5 percent compounded annually from
the date on which the
9.31 refund was taken to the date on which
the refund is repaid.
9.32
(d) (e) No person may be required to apply for or to
accept
9.33 a refund.
9.34
Sec. 20. Minnesota Statutes 2004,
section 3A.04,
9.35 subdivision 1, is amended to read:
9.36
Subdivision 1. SURVIVING
SPOUSE. (a) Upon the death of a
10.1
member of the legislature while serving as such a member after
10.2 June
30, 1973, or upon the death of a former member of the
10.3
legislature with at least the number of six full years of
10.4
service as required by section 3A.02, subdivision 1, clause
10.5 (1)
or service in all or part of four regular legislative
10.6 sessions,
the surviving spouse shall be paid is entitled to a
10.7
survivor benefit in the amount of.
10.8
(b) The surviving spouse benefit is one‑half of the
10.9 retirement
allowance of the member of the legislature computed
10.10 as though the member were at least
normal retirement age on the
10.11 date of death and based upon the
member's allowable service
10.12 or upon eight years,
whichever is greater. The augmentation
10.13 provided in section 3A.02, subdivision
4, if applicable, shall
10.14 must be applied for the period
up to, and including, the month
10.15 of death.
10.16
(c) Upon the death of a former legislator receiving a
10.17 retirement allowance, the surviving
spouse shall be is entitled
10.18 to one‑half of the amount of the retirement
allowance being paid
10.19 to the legislator. Such
10.20
(d) The surviving spouse benefit shall be paid during is
10.21 payable for the lifetime of the
surviving spouse.
10.22
Sec. 21. Minnesota Statutes 2004,
section 3A.04,
10.23 subdivision 2, is amended to read:
10.24
Subd. 2. DEPENDENT CHILDREN.
(a) Upon the death of a
10.25 member of the legislature while serving as
a member, or upon the
10.26 death of a former member of the
legislature who has rendered at
10.27 least the number of six full
years of service as required by
10.28 section 3A.02, subdivision 1, clause
(1) or service in all or
10.29 part of four regular legislative
sessions and who was not
10.30 receiving a retirement allowance, each
dependent child of the
10.31 member or former legislator shall be
is entitled to receive a
10.32 survivor benefit in the following
amount:
10.33
(1) for the first dependent child, a monthly allowance
10.34 which equals benefit equal to
25 percent of the monthly
10.35 retirement allowance of the member of
the legislature or the
10.36 former legislator computed as though the
member or the former
11.1
legislator had attained at least the normal retirement age on
11.2
the date of death and based upon the average monthly salary as
11.3 of
the date of death or as of the date of termination, whichever
11.4 is
applicable applies, and the member's allowable service or
11.5
eight years, whichever is greater;
11.6
(2) for each additional dependent child, a monthly
11.7 allowance
which equals benefit equal to 12‑1/2 percent of the
11.8
monthly retirement allowance of the member or the former
11.9
legislator computed as provided in the case of the first child
11.10 clause (1); but and
11.11
(3) the total amount paid to the surviving spouse and to
11.12 the dependent child or
children shall may not exceed, in any
11.13 one month, 100 percent of the
monthly retirement allowance of
11.14 the member or of the former
legislator computed as provided in
11.15 the case of the first child clause
(1).
11.16
(b) The augmentation provided in section 3A.02, subdivision
11.17 4, if applicable, shall be applied
applies from the first day of
11.18 the month next following the date of the
termination of the
11.19 person from service as a member
of the legislature to the month
11.20 of the death of the person.
11.21
(c) Upon the death of a former legislator who was receiving
11.22 a retirement allowance, the a
surviving dependent child shall be
11.23 is entitled to the applicable
percentage specified above in
11.24 paragraph (a), clause (1) or (2), whichever
applies, of the
11.25 amount of the allowance which was paid
to the former legislator
11.26 for the month immediately prior to
before the date of death of
11.27 the former legislator.
11.28
(d) The payments for dependent children shall must
be made
11.29 to the surviving spouse or to the
guardian of the estate of the
11.30 dependent children, if there is
one.
11.31
Sec. 22. Minnesota Statutes 2004,
section 3A.04,
11.32 subdivision 3, is amended to read:
11.33
Subd. 3. PAYMENT. The
surviving spouse's spouse and
11.34 dependent children's child or
children survivor benefits payable
11.35 under this section shall be paid are
payable by the director
11.36 monthly in the same manner as retirement
allowances are
12.1 authorized to be paid by this chapter.
12.2
Sec. 23. Minnesota Statutes 2004,
section 3A.04,
12.3
subdivision 4, is amended to read:
12.4
Subd. 4. DEATH REFUNDS. (a)
Upon the death of a member
12.5 of
the legislature or of a former legislator who was not
12.6
receiving a retirement allowance, without leaving either a
12.7
surviving spouse or a dependent child or dependent
children, the
12.8
last designated beneficiary named on a form that was filed with
12.9
the director before the death of the legislator, or if no
12.10 designation is filed, the estate of the
member or the former
12.11 legislator, upon application, shall
be is entitled to a refund.
12.12
(b) The refund is the amount of contributions credited to
12.13 the person's account plus
interest as provided in section 3A.03,
12.14 subdivision 2, clause (2) paragraph
(a).
12.15
Sec. 24. Minnesota Statutes 2004,
section 3A.04, is
12.16 amended by adding a subdivision to read:
12.17
Subd. 5. APPROPRIATION.
The survivor benefits and the
12.18 death refunds authorized by this
section are appropriated to the
12.19 director from the general fund when
they are due and payable.
12.20 Sec. 25.
Minnesota Statutes 2004, section 3A.05, is
12.21 amended to read:
12.22
3A.05 APPLICATION FOR SURVIVOR BENEFIT.
12.23
(a) Applications for survivor benefits pursuant to under
12.24 section 3A.04 shall must
be filed with the director by the
12.25 surviving spouse and dependent child
or children entitled to
12.26 benefits pursuant to under
section 3A.04, or by the guardian of
12.27 the estate, if there is one, of the
dependent child or children.
12.28
(b) Survivor benefits shall accrue as of the first day of
12.29 the month following the death of the
member of the legislature
12.30 or former legislator and payments shall
commence as of the first
12.31 of the month next following the filing
of the application,
12.32 and shall be are
retroactive to the date the benefit accrues;
12.33 provided, however, that no payment
shall be retroactive for more
12.34 than or the first of the month
occurring 12 months prior
12.35 to before the month in
which the application is filed with the
12.36 director, whichever is earlier.
13.1
Sec. 26. Minnesota Statutes 2004,
section 3A.07, is
13.2
amended to read:
13.3
3A.07 APPLICATION.
13.4
(a) Except as provided in paragraph (b), this chapter
13.5 applies
to members of the legislature in service after July 1,
13.6
1965, who otherwise meet the requirements of this chapter.
13.7
(b) Members of the legislature who were elected for the
13.8
first time after June 30, 1997, or members of the legislature
13.9
who were elected before July 1, 1997, and who, after July 1,
13.10 1998, elect not to be members of the
plan established by this
13.11 chapter are covered by the unclassified
employees retirement
13.12 program governed by chapter 352D.
13.13
(c) The post‑July 1, 1998, coverage election under
13.14 paragraph (b) is irrevocable and must be
made on a form
13.15 prescribed by the director. The second chance referendum
13.16 election under Laws 2002, chapter
392, article 15, also is
13.17 irrevocable.
13.18
Sec. 27. Minnesota Statutes 2004,
section 3A.10,
13.19 subdivision 1, is amended to read:
13.20
Subdivision 1. SERVICE CREDIT
FOR LEGISLATIVE TERM. (a)
13.21 In the case of a member of the house of
representatives, one
13.22 full term of office shall must
be considered two full years of
13.23 service, notwithstanding the fact
that the oath of office may be
13.24 was taken on different days each
biennium.
13.25
(b) In the case of a member of the senate, one full term of
13.26 office shall must be
considered four full years of service,
13.27 notwithstanding the fact that the oath
of office may be was
13.28 taken on different days at the start of
each term.
13.29
(c) For purposes of this chapter, a legislative term shall
13.30 must be deemed to commence on
January 1st 1 and to end on
13.31 December 31st 31.
13.32
Sec. 28. Minnesota Statutes 2004,
section 3A.12, is
13.33 amended to read:
13.34
3A.12 COVERAGE BY MORE THAN ONE RETIREMENT SYSTEM OR
13.35 ASSOCIATION.
13.36
Subdivision 1. ENTITLEMENT TO
ANNUITY. (a) Any
14.1
legislator who has been an employee covered by a member of a
14.2 retirement
plan listed in paragraph (b) is entitled, when
14.3 otherwise
qualified, to a retirement allowance or annuity from
14.4 each
plan if the total allowable service in all plans or in any
14.5 two
of these plans totals ten or more years.
14.6
(b) This section applies to any retirement plan or program
14.7 administered
by the Minnesota State Retirement System, or a
14.8 member
of any retirement plan administered by the Public
14.9
Employees Retirement Association, including the Public Employees
14.10 Retirement Association police and fire
fund, or the Teachers
14.11 Retirement Association, or the
Minneapolis employees
14.12 retirement Fund plan, or
the State Patrol retirement fund plan,
14.13 or any other public employee retirement
system in the state of
14.14 Minnesota having a like provision but
excluding all.
14.15
(c) This section does not apply to other funds retirement
14.16 plans providing benefits for
police or firefighters, shall be
14.17 entitled when qualified to an annuity
from each fund if the
14.18 total allowable service for which the
legislator has credit in
14.19 all funds or in any two of these
funds totals ten or more years,
14.20 provided.
14.21
(d) No portion of the allowable service upon which the
14.22 retirement annuity from one fund plan
is based is again used in
14.23 the computation for benefits from
another fund plan. The
14.24 annuity from each fund shall plan
must be determined by the
14.25 appropriate provisions of the law,
except that the requirement
14.26 that a person must have at least ten
a minimum number of years
14.27 of allowable service in the
respective system or
14.28 association shall does not
apply for the purposes of this
14.29 section provided if the
combined service in two or more of these
14.30 funds plans equals ten or
more years. The augmentation of
14.31 deferred annuities provided in section
3A.02, subdivision
14.32 4, shall apply applies to
the annuities accruing hereunder under
14.33 this section.
14.34
Subd. 2. REFUND REPAYMENT.
Any A former legislator who
14.35 has received a refund as provided in
section 3A.03, subdivision
14.36 2, who is a currently contributing
member of a retirement fund
15.1 plan
specified in subdivision 1, paragraph (b), may repay the
15.2
refund as provided in section 3A.03, subdivision 2. Any A
15.3
member of the legislature who has received a refund from any of
15.4
the funds retirement plans specified in subdivision 1,
may repay
15.5
the refund to the respective fund plan under such terms
and
15.6
conditions consistent with the law governing such fund the
15.7 retirement
plan if the law governing such fund the plan permits
15.8
the repayment of refunds. If the
total amount to be repaid,
15.9
including principal and interest exceeds $2,000, repayment may
15.10 be made in three equal installments over
a period of 18 months,
15.11 with the interest accrued during
the period of the repayment
15.12 added to the final installment.
15.13
Sec. 29. Minnesota Statutes 2004,
section 3A.13, is
15.14 amended to read:
15.15
3A.13 EXEMPTION FROM PROCESS AND TAXATION; HEALTH PREMIUM
15.16 DEDUCTION.
15.17
(a) The provisions of section 352.15 shall apply to the
15.18 legislators retirement plan, chapter
3A.
15.19
(b) The executive director of the Minnesota State
15.20 Retirement System must, at the request
of a retired legislator
15.21 who is enrolled in a health insurance
plan covering state
15.22 employees, deduct the person's health
insurance premiums from
15.23 the person's annuity and transfer the
amount of the premium to a
15.24 health insurance carrier covering state employees.
15.25
Sec. 30. 352C.001 RETIREMENT
PLAN; APPLICATION.
15.26
(a) The retirement plan applicable to a former
15.27 constitutional officer who was first
elected to a constitutional
15.28 office after July 1, 1967, and before
July 1, 1997, is the
15.29 applicable portions of this chapter
and chapter 356 in effect on
15.30 the date on which the person
terminated active service as a
15.31 constitutional officer.
15.32
(b) Nothing in this section or section 2 or 3 is intended
15.33 to reduce the benefits of former
constitutional officers or to
15.34 adversely modify their eligibility
for benefits in effect as of
15.35 the day before the effective date of
this section.
15.36
Sec. 31. Minnesota Statutes 2004,
section 352C.091,
16.1
subdivision 1, is amended to read:
16.2
Subdivision 1. ADMINISTRATIVE
AGENCY AND STANDARDS. This
16.3 chapter
(a) The elected officers retirement plan must be
16.4
administered by the board of directors and the executive
16.5 director
of the Minnesota State Retirement System.
16.6
(b) The elected state officers retirement plan must be
16.7
administered consistent with this chapter the applicable
16.8 statutory
provisions governing the plan and chapters 356 and
16.9
356A.
16.10
Sec. 32. Minnesota Statutes 2004,
section 490.121,
16.11 subdivision 1, is amended to read:
16.12
Subdivision 1. SCOPE. For
purposes of sections 490.121
16.13 to 490.132, unless the context
clearly indicates otherwise, each
16.14 of the terms defined in this
section have has the meanings
16.15 meaning given them unless the
context clearly indicates
16.16 otherwise it.
16.17
Sec. 33. Minnesota Statutes 2004,
section 490.121, is
16.18 amended by adding a subdivision to read:
16.19
Subd. 2a. ACTUARIAL
EQUIVALENT. "Actuarial equivalent"
16.20 means the condition of one annuity or
benefit having an equal
16.21 actuarial present value as another
annuity or benefit,
16.22 determined as of a given date with
each actuarial present value
16.23 based on the appropriate mortality
table adopted by the board of
16.24 trustees based on the experience of
the fund as recommended by
16.25 the actuary retained under section
356.214 and using the
16.26 applicable preretirement or
postretirement interest rate
16.27 assumption specified in section
356.215, subdivision 8.
16.28
Sec. 34. Minnesota Statutes 2004,
section 490.121,
16.29 subdivision 4, is amended to read:
16.30
Subd. 4. ALLOWABLE SERVICE.
(a) "Allowable service"
16.31 means any calendar month, subject to the
service credit limit in
16.32 subdivision 22, served as a judge at any
time, or during which
16.33 the judge received compensation for
that service from the state,
16.34 municipality, or county, whichever
applies, and for which the
16.35 judge made any required member
contribution. It also includes
16.36 any month served as a referee in
probate for all referees in
17.1
probate who were in office prior to before January 1,
1974.
17.2
(b) "Allowable service" does not mean service as a retired
17.3 judge.
17.4
Sec. 35. Minnesota Statutes 2004,
section 490.121,
17.5
subdivision 6, is amended to read:
17.6
Subd. 6. ANNUITY.
"Annuity" means the payments that are
17.7
made each year to an annuitant from the judges' retirement fund,
17.8 pursuant
to the provisions of under sections 490.121 to 490.132.
17.9
Sec. 36. Minnesota Statutes 2004,
section 490.121,
17.10 subdivision 7, is amended to read:
17.11
Subd. 7. ANNUITANT.
"Annuitant" means a former judge, a
17.12 surviving spouse, or a
dependent child who is entitled to and is
17.13 receiving an annuity under the
provisions of sections 490.121 to
17.14 490.132.
17.15
Sec. 37. Minnesota Statutes 2004,
section 490.121, is
17.16 amended by adding a subdivision to read:
17.17
Subd. 7a. APPROVED
ACTUARY. "Approved actuary" means an
17.18 actuary as defined in section
356.215, subdivision 1, paragraph
17.19 (c).
17.20
Sec. 38. Minnesota Statutes 2004,
section 490.121, is
17.21 amended by adding a subdivision to read:
17.22
Subd. 7b. COURT. "Court"
means any court of this state
17.23 that is established by the Minnesota
Constitution.
17.24
Sec. 39. Minnesota Statutes 2004,
section 490.121, is
17.25 amended by adding a subdivision to read:
17.26
Subd. 7c. DEPENDENT
SURVIVING CHILD. "Dependent
17.27 surviving child" means any
natural or adopted child of a
17.28 deceased judge who has not reached
the age of 18 years, or
17.29 having reached the age of 18, is
under age 22 and who is a
17.30 full‑time student throughout
the normal school year, is
17.31 unmarried, and is actually dependent
for more than one‑half of
17.32 the child's support upon the judge
for a period of at least 90
17.33 days before the judge's death. It
also includes any natural
17.34 child of the judge who was born after
the death of the judge.
17.35
Sec. 40. Minnesota Statutes 2004,
section 490.121,
17.36 subdivision 13, is amended to read:
18.1
Subd. 13. DISABILITY.
"Disability" means the permanent
18.2
inability of a judge to continue to perform the functions of
18.3
judge by reason of a physical or mental impairment resulting
18.4
from a sickness or an injury.
18.5
Sec. 41. Minnesota Statutes 2004,
section 490.121,
18.6
subdivision 14, is amended to read:
18.7
Subd. 14. DISABILITY
RETIREMENT DATE. "Disability
18.8
retirement date" means the last day of the first month after the
18.9 date
on which the governor determines, upon receipt of the
18.10 voluntary application by the judge or
otherwise, that a judge
18.11 suffers from a disability.
18.12
Sec. 42. Minnesota Statutes 2004,
section 490.121,
18.13 subdivision 15, is amended to read:
18.14
Subd. 15. DISABILITY
RETIREMENT ANNUITY. "Disability
18.15 retirement annuity" means an
annuity to which a judge is
18.16 entitled under section 490.124,
subdivisions 1 and 4, after the
18.17 retirement for reason of the
judge because of a disability.
18.18
Sec. 43. Minnesota Statutes 2004,
section 490.121, is
18.19 amended by adding a subdivision to read:
18.20
Subd. 15a. EARLY
RETIREMENT DATE. "Early retirement date"
18.21 means the last day of the month after
a judge attains the age of
18.22 60 but before the judge reaches the
normal retirement date.
18.23
Sec. 44. Minnesota Statutes 2004,
section 490.121, is
18.24 amended by adding a subdivision to read:
18.25
Subd. 15b. EARLY
RETIREMENT ANNUITY. "Early retirement
18.26 annuity" means an annuity to
which a judge is entitled under
18.27 section 490.124, subdivisions 1 and
3, upon retirement by the
18.28 judge at an early retirement date.
18.29
Sec. 45. Minnesota Statutes 2004,
section 490.121,
18.30 subdivision 21, is amended to read:
18.31
Subd. 21. FINAL AVERAGE
COMPENSATION. "Final average
18.32 compensation" means the total
amount of the salary payable to a
18.33 judge in the highest five years out
of the last ten years prior
18.34 to before the event of
maturity of benefits termination of
18.35 judicial service, divided by five;
provided, however, that if
18.36 the number of years of service by the
judge equals or exceeds
19.1 ten. If the number of years of service by the
judge is less
19.2
than ten, but more than five, the highest five shall years
of
19.3 salary
must be counted , and.
If the number of years of service
19.4 by
the judge is less than five, the aggregate salary in such for
19.5 the
period shall of service must be divided by the number of
19.6
months in such the period and multiplied by 12.
19.7
Sec. 46. Minnesota Statutes 2004,
section 490.121, is
19.8
amended by adding a subdivision to read:
19.9
Subd. 21a. JUDGE. "Judge"
means a judge or a justice of
19.10 any court as defined under subdivision
7b.
19.11
Sec. 47. Minnesota Statutes 2004,
section 490.121, is
19.12 amended by adding a subdivision to read:
19.13
Subd. 21b. JUDGES'
RETIREMENT FUND. "Judges' retirement
19.14 fund," "retirement
fund," or "fund" means the fund created by
19.15 section 490.123.
19.16
Sec. 48. Minnesota Statutes 2004,
section 490.121, is
19.17 amended by adding a subdivision to read:
19.18
Subd. 21c. MANDATORY
RETIREMENT DATE. "Mandatory
19.19 retirement date" means the last
day of the month in which a
19.20 judge has attained 70 years of age.
19.21
Sec. 49. Minnesota Statutes 2004,
section 490.121, is
19.22 amended by adding a subdivision to read:
19.23
Subd. 21d. NORMAL
RETIREMENT ANNUITY. Except as
19.24 otherwise provided in sections
490.121 to 490.132, "normal
19.25 retirement annuity" means an
annuity to which a judge is
19.26 entitled under section 490.124,
subdivision 1, upon retirement
19.27 on or after the normal retirement
date of the judge.
19.28
Sec. 50. Minnesota Statutes 2004,
section 490.121, is
19.29 amended by adding a subdivision to read:
19.30
Subd. 21e. NORMAL
RETIREMENT DATE. "Normal retirement
19.31 date" means the last day of the
month in which a judge attains
19.32 the age of 65.
19.33
Sec. 51. Minnesota Statutes 2004,
section 490.121,
19.34 subdivision 22, is amended to read:
19.35
Subd. 22. SERVICE CREDIT
LIMIT. "Service credit limit"
19.36 means the greater of: (1) 24 years of allowable service
20.1
under this chapter 490; or (2) for judges with allowable
service
20.2
rendered prior to before July 1, 1980, the number of years
of
20.3
allowable service under chapter 490, which, when multiplied by
20.4
the percentage listed in section 356.315, subdivision 7 or 8,
20.5
whichever is applicable to each year of service, equals 76.8.
20.6
Sec. 52. Minnesota Statutes 2004,
section 490.121, is
20.7
amended by adding a subdivision to read:
20.8
Subd. 23. SURVIVING
SPOUSE. "Surviving spouse" means the
20.9 surviving
legally married spouse of a deceased judge.
20.10
Sec. 53. Minnesota Statutes 2004,
section 490.121, is
20.11 amended by adding a subdivision to read:
20.12
Subd. 24. SURVIVOR'S
ANNUITY. "Survivor's annuity" means
20.13 an annuity to which a surviving
spouse or dependent child is
20.14 entitled under section 490.124,
subdivision 9.
20.15
Sec. 54. Minnesota Statutes 2004,
section 490.122, is
20.16 amended to read:
20.17
490.122 ADMINISTRATION OF JUDGES' RETIREMENT.
20.18
Subdivision 1. ADMINISTRATION.
The policy‑making,
20.19 management, and administrative functions
governing the operation
20.20 of the judges' retirement fund and the
administration
20.21 of sections 490.121 to 490.132 this
chapter are vested in the
20.22 board of directors and executive
director of the Minnesota State
20.23 Retirement System with such. In administering the plan and
20.24 fund, the board and the director have
the same duties,
20.25 authority, and responsibility as are
provided in chapter 352.
20.26
Subd. 2. INAPPLICABILITY
OF CERTAIN LAWS. Except as
20.27 otherwise specified, no provision of
chapter 352 applies to the
20.28 judges' retirement fund or any judge.
20.29
Subd. 3. FIDUCIARY
RESPONSIBILITY. Fiduciary
20.30 activities of relating to
the uniform judges' retirement and
20.31 Survivors' Annuities for Judges plan
must be undertaken in a
20.32 manner consistent with chapter 356A.
20.33 Sec. 55.
Minnesota Statutes 2004, section 490.123,
20.34 subdivision 1, is amended to read:
20.35
Subdivision 1. FUND CREATION;
REVENUE AND AUTHORIZED
20.36 DISBURSEMENTS. (a) There is created a
special fund to be known
21.1 as
the "judges' retirement fund".
21.2
(b) The judges' retirement fund must be credited with all
21.3
contributions,; all interest, dividends, and other
investment
21.4 proceeds;
and all other income authorized by this chapter or
21.5 other
applicable law.
21.6
(c) From this fund there are appropriated the payments
21.7
authorized by sections 490.121 to 490.132, in the amounts and at
21.8
the times provided, including the necessary and reasonable
21.9
expenses of the Minnesota State Retirement System in
21.10 administering the fund and the transfers
to the Minnesota
21.11 postretirement investment fund.
21.12
Sec. 56. Minnesota Statutes 2004,
section 490.123,
21.13 subdivision 1a, is amended to read:
21.14
Subd. 1a. MEMBER CONTRIBUTION
RATES. (a) A judge who is
21.15 covered by the federal Old Age,
Survivors, Disability, and
21.16 Health Insurance Program and
whose service does not exceed the
21.17 service credit limit in section 490.121,
subdivision 22, shall
21.18 contribute to the fund from each salary
payment a sum equal to
21.19 8.00 percent of salary.
21.20
(b) A judge not so covered whose service does not exceed
21.21 the service credit limit in section
490.121, subdivision 22,
21.22 shall contribute to the fund from
each salary payment a sum
21.23 equal to 8.15 percent of salary.
21.24
(c) The contribution under this subdivision is payable by
21.25 salary deduction. The deduction must be made by the state
court
21.26 administrator under section 352.04,
subdivisions 4, 5, and 8.
21.27
Sec. 57. Minnesota Statutes 2004,
section 490.123,
21.28 subdivision 1b, is amended to read:
21.29
Subd. 1b. EMPLOYER
CONTRIBUTION RATE. (a) The employer
21.30 contribution rate to the fund on behalf
of a judge is 20.5
21.31 percent of salary and. The employer obligation continues after
21.32 a judge exceeds the service credit limit
in section 490.121,
21.33 subdivision 22.
21.34
(b) The employer contribution must be paid by the state
21.35 court administrator and. The employer contribution is payable
21.36 at the same time as member contributions
are made under
22.1
subdivision 1a or as employee contributions are made to
the
22.2
unclassified plan in program governed by chapter 352D for
judges
22.3
whose service exceeds the limit in section 490.121, subdivision
22.4
22, are remitted.
22.5
Sec. 58. Minnesota Statutes 2004,
section 490.123,
22.6
subdivision 1c, is amended to read:
22.7
Subd. 1c. ADDITIONAL EMPLOYER
CONTRIBUTION. In the event
22.8 that
If the employer contribution under subdivision 1b and the
22.9
assets of the judges retirement fund are insufficient to meet
22.10 reserve transfers to the Minnesota
postretirement investment
22.11 fund or payments of survivor benefits before
July 1, 1993 in a
22.12 month, the necessary amount is
appropriated from the general
22.13 fund to the executive director of the Minnesota
State Retirement
22.14 System, upon the certification of
the required amount by the
22.15 executive director to the commissioner
of finance.
22.16
Sec. 59. Minnesota Statutes 2004,
section 490.123,
22.17 subdivision 2, is amended to read:
22.18
Subd. 2. COMMISSIONER OF
FINANCE. The commissioner of
22.19 finance shall be is the ex
officio treasurer of the judges'
22.20 retirement fund and the. The commissioner's general bond to the
22.21 state shall must be so
conditioned as to cover all liability for
22.22 acting as the treasurer of this
the fund. All moneys money
22.23 received by the commissioner pursuant
to under this section
22.24 shall must be set aside in
the state treasury to the credit of
22.25 the judges' retirement fund. The commissioner shall transmit
22.26 monthly to the executive director
described in section 352.03,
22.27 subdivision 5, a detailed statement
of all amounts so received
22.28 and credited to the fund. The commissioner shall pay out the
22.29 fund only upon vouchers signed by
said executive director;
22.30 provided that vouchers for investment
may be signed by the
22.31 secretary of the State Board of
Investment.
22.32
Sec. 60. Minnesota Statutes 2004,
section 490.123,
22.33 subdivision 3, is amended to read:
22.34
Subd. 3. INVESTMENT. (a)
The executive director referred
22.35 to in subdivision 2 of the
Minnesota State Retirement System
22.36 shall, from time to time, certify to the
State Board of
23.1
Investment such portions of the judges' retirement fund as in
23.2
the director's judgment may not be required for immediate use.
23.3
(b) Assets from the judges' retirement fund shall must
be
23.4
transferred to the Minnesota postretirement investment fund for
23.5
retirement and disability benefits as provided in sections
23.6
11A.18 and 352.119.
23.7
(c) The State Board of Investment shall thereupon invest
23.8
and reinvest sums so transferred, or certified, in such
23.9
securities as are duly authorized legal investments for such
23.10 purposes under section 11A.24 in
compliance with sections
23.11 356A.04 and 356A.06.
23.12
Sec. 61. Minnesota Statutes 2004,
section 490.124,
23.13 subdivision 1, is amended to read:
23.14
Subdivision 1. BASIC
RETIREMENT ANNUITY. (a) Except as
23.15 qualified hereinafter from and after the
mandatory retirement
23.16 date, the normal retirement date,
the early retirement date, or
23.17 one year from the disability retirement
date, as the case may
23.18 be, a retiring judge is eligible to
receive a retirement annuity
23.19 shall be payable to a retiring judge
from the judges' retirement
23.20 fund in.
23.21
(b) The retirement annuity is an amount equal to: (1) the
23.22 percent specified in section 356.315,
subdivision 7, multiplied
23.23 by the judge's final average
compensation with that result then
23.24 multiplied by the number of years and
fractions of years of
23.25 allowable service rendered prior to
before July 1, 1980; plus
23.26 (2) the percent specified in section
356.315, subdivision 8,
23.27 multiplied by the judge's final average
compensation with that
23.28 result then multiplied by the
number of years and fractions of
23.29 years of allowable service rendered
after June 30, 1980.
23.30
(c) Service that exceeds the service credit limit in
23.31 section 490.121, subdivision 22, must be
excluded in calculating
23.32 the retirement annuity, but the
compensation earned by the judge
23.33 during this period of judicial
service must be used in
23.34 determining a judge's final average
compensation and calculating
23.35 the retirement annuity.
23.36
Sec. 62. Minnesota Statutes 2004,
section 490.124,
24.1
subdivision 2, is amended to read:
24.2
Subd. 2. MINIMUM SERVICE
REQUIREMENT; EXTENSION OF TERM.
24.3 No
(a) Unless section 356.30 applies, a judge shall be is not
24.4
eligible for an annuity at the normal retirement date or the
24.5
early retirement date if the judge has less than five years of
24.6
allowable service.
24.7
(b) A judge who shall retire retires on or, as
permitted
24.8
under sections 490.121 to 490.132, after the judge's mandatory
24.9
retirement date, shall be is entitled to a proportionate
annuity
24.10 based upon the allowable service of the
judge at the date of
24.11 retirement.
24.12
A judge who was in office on December 31, 1973, and
24.13 thereafter and who, by the date on
which the current term
24.14 expires, would not be eligible to
retire with full benefits
24.15 under statutes in effect on December
31, 1973, may apply to the
24.16 governor for an extension to serve up
to three additional years,
24.17 stating the intention of the judge to
retire upon attaining
24.18 eligibility to receive a retirement
allowance. Notwithstanding
24.19 section 490.125, the governor shall
forthwith make a written
24.20 order accepting the retirement
application, and extending the
24.21 term of office of the judge for the
period of time, not to
24.22 exceed three years, as may be
necessary to make the judge
24.23 eligible for retirement, solely for
purposes of computing
24.24 benefits hereunder.
24.25
Sec. 63. Minnesota Statutes 2004,
section 490.124,
24.26 subdivision 3, is amended to read:
24.27
Subd. 3. EARLY REDUCED
RETIREMENT. The retirement
24.28 annuity provided by under
subdivision 1 of any judge electing
24.29 who elects to retire at an early
retirement date shall must be
24.30 reduced by one‑half of one percent
per month from the retirement
24.31 date to the normal retirement
date.
24.32
Sec. 64. Minnesota Statutes 2004,
section 490.124,
24.33 subdivision 4, is amended to read:
24.34
Subd. 4. DISABILITY
RETIREMENT. (a) When the governor
24.35 determines that a judge is disabled
under section 490.121,
24.36 subdivision 13, notice of the
governor's determination must be
25.1 sent
to the judge, to the chief justice of the Supreme Court, to
25.2 the
state court administrator, and to the executive director of
25.3 the
Minnesota State Retirement System.
25.4
(b) From and after disability retirement date, a disabled
25.5
judge shall be is entitled to continuation of the judge's
full
25.6
salary payable by the judge's employer, as if the judge's office
25.7
were not vacated by retirement, for a period of up to one full
25.8
year, but in no event beyond the judge's mandatory retirement
25.9
date. During this year the judge will
is entitled to earn
25.10 additional service credit in the
judges' retirement plan. The
25.11 salary earned will be payable
to a disabled judge is subject to
25.12 retirement deductions and will must
be included in computing
25.13 final average compensation of the
judge. Thereafter
25.14
(c) At the conclusion of the year of continued salary
25.15 following a disability or upon the
judge's mandatory retirement
25.16 date, whichever is earlier, the
disabled judge is entitled to a
25.17 disability retirement annuity computed
as provided in
25.18 subdivision 1 shall be paid, provided
that. If the computed
25.19 retirement annuity is a smaller
amount, the judge shall is
25.20 entitled to receive a minimum
annuity of 25 percent of the
25.21 judge's final average compensation.
25.22
Sec. 65. Minnesota Statutes 2004,
section 490.124,
25.23 subdivision 5, is amended to read:
25.24
Subd. 5. DEFERRED BENEFITS.
(a) Any A benefit to which a
25.25 judge is entitled under this section may
be deferred until the
25.26 early or normal retirement date or
later, notwithstanding the
25.27 termination of such the
judge's service prior thereto.
25.28
(b) The retirement annuity of, or the survivor benefit
25.29 payable on behalf of, a former judge,
who terminated service
25.30 before July 1, 1997, which is not first
payable until after June
25.31 30, 1997, must be increased on an
actuarial equivalent basis to
25.32 reflect the change in the postretirement
interest rate actuarial
25.33 assumption under section 356.215,
subdivision 8, from five
25.34 percent to six percent under a
calculation procedure and tables
25.35 adopted by the board of directors of the
Minnesota State
25.36 Retirement System and approved by the
actuary retained by the
26.1 Legislative
Commission on Pensions and Retirement under section
26.2 356.214.
26.3
Sec. 66. Minnesota Statutes 2004,
section 490.124,
26.4
subdivision 8, is amended to read:
26.5
Subd. 8. EXCLUSIVE NORMAL
RETIREMENT BENEFITS. Any (a)
26.6 Except
as provided in paragraph (b), a judge who retires after
26.7
December 31, 1973, shall be is entitled to a retirement
pension,
26.8
retirement compensation or other retirement payment under
26.9
statutes applicable solely to judges pursuant to under
this
26.10 section only, except that any such.
26.11
(b) A judge who was in office prior to before
January 1,
26.12 1974, who retires at or after normal
retirement age may then
26.13 elect to receive during the judge's
lifetime a normal retirement
26.14 annuity computed on the basis of
retirement compensation
26.15 provided for such judge under statutes
in effect on December 31,
26.16 1973, in lieu of the amount of normal
retirement annuity
26.17 otherwise computed under sections
490.121 to 490.132.
26.18
For purposes of this subdivision, the Conciliation Court of
26.19 the city of Duluth shall be deemed to
have been a court of
26.20 record by the statutes in effect on
December 31, 1973.
26.21
Sec. 67. Minnesota Statutes 2004,
section 490.124,
26.22 subdivision 9, is amended to read:
26.23
Subd. 9. SURVIVORS' ANNUITY.
(a) Upon the death of a
26.24 judge prior to before
retirement, or upon the death of a person
26.25 who has qualified for an annuity under
this section but who
26.26 ceases to be a judge prior to before
retirement and has who not
26.27 received a refund of contributions pursuant
to under subdivision
26.28 12, a surviving spouse is entitled
to, or, if there be no
26.29 surviving spouse, dependent children, shall
are entitled to
26.30 receive an annuity, payable monthly,
equal in total to 60
26.31 percent of the normal retirement annuity
which would have been
26.32 payable to the judge or former judge had
the date of death been
26.33 the normal retirement date, provided
that the.
26.34
(b) The annuity payable to a
surviving spouse or to
26.35 dependent children shall receive an
annuity is an amount of not
26.36 less than 25 percent of the judge's or the
former judge's final
27.1
average compensation.
27.2
If a judge, whose surviving spouse was not entitled to
27.3 survivors
benefits provided solely for judges under statutes in
27.4 effect
prior to January 1, 1974, shall have died prior to
27.5 retirement
on or after May 23, 1973 and before January 1, 1974,
27.6 a
surviving spouse and dependent children, if any, shall be
27.7 entitled
to survivors benefits as provided hereunder as if such
27.8 judge
had died on January 1, 1974.
27.9
Sec. 68. Minnesota Statutes 2004,
section 490.124,
27.10 subdivision 10, is amended to read:
27.11
Subd. 10. PRIOR SURVIVORS'
BENEFITS; LIMITATION. (a)
27.12 Benefits provided pursuant to under
Minnesota Statutes 2004,
27.13 section 490.102, subdivision 6, or
490.1091, for a surviving
27.14 spouse of a retired judge, payable after
the death of the judge,
27.15 shall be are limited to:
27.16
(a) spouses of judges who have retired prior to before
27.17 January 1, 1974; and .
27.18
(b) spouses of judges in office on December 31, 1973 and
27.19 thereafter who elect to continue
contributions pursuant to
27.20 section 490.102, subdivision 6 or
490.109. The contributions
27.21 shall be in addition to contributions
pursuant to section
27.22 490.123, and upon retirement the
judge may not elect to receive
27.23 any optional annuity pursuant to
subdivision 11 unless the judge
27.24 and the spouse shall waive any
benefits pursuant to section
27.25 490.102, subdivision 6 or 490.1091.
27.26
(b) No other judge in office on or after January 1, 1974,
27.27 shall be is required to
contribute pursuant to under Minnesota
27.28 Statutes 2004, section 490.102,
subdivision 6, or 490.109.
27.29
Sec. 69. Minnesota Statutes 2004,
section 490.124,
27.30 subdivision 11, is amended to read:
27.31
Subd. 11. LIMITATION ON
SURVIVOR BENEFITS; OPTIONAL
27.32 ANNUITIES. (a) No survivor or death
benefits may be paid in
27.33 connection with the death of a judge who
retires after December
27.34 31, 1973, except as otherwise provided
in sections 490.121 to
27.35 490.132.
27.36
(b) Except as provided in subdivision 10, a judge may elect
28.1 to
receive, instead of the normal retirement annuity, an
28.2
optional retirement annuity in the form of either (1) an annuity
28.3
payable for a period certain and for life after that period, (2)
28.4 a
joint and survivor annuity without reinstatement in the event
28.5 of
if the designated beneficiary predeceasing predeceases the
28.6
retired judge, or (3) a joint and survivor annuity with
28.7
reinstatement in the event of if the designated
beneficiary
28.8 predeceasing
predeceases the retired judge.
28.9
(c) An optional retirement annuity must be actuarially
28.10 equivalent to a single‑life
annuity with no term certain and
28.11 must be established by the board of
directors of the Minnesota
28.12 State Retirement System. In establishing these optional
28.13 retirement annuity forms, the board
shall obtain the written
28.14 recommendation of the actuary retained by
the Legislative
28.15 Commission on Pensions and Retirement
under section 356.214.
28.16 The recommendations must be retained
as a part of the permanent
28.17 records of the board.
28.18
Sec. 70. Minnesota Statutes 2004,
section 490.124,
28.19 subdivision 12, is amended to read:
28.20
Subd. 12. REFUND. (a) A
person who ceases to be a
28.21 judge but who does not qualify for a
retirement annuity or other
28.22 benefit under section 490.121 is
entitled to a refund in an
28.23 amount that is equal to all of
the member's employee
28.24 contributions to the judges' retirement
fund plus interest
28.25 computed under section 352.22,
subdivision 2.
28.26
(b) A refund of contributions under paragraph (a)
28.27 terminates all service credits and all
rights and benefits of
28.28 the judge and the judge's survivors under
this chapter.
28.29
(c) A person who becomes a judge again after taking a
28.30 refund under paragraph (a) may reinstate
the previously
28.31 terminated allowable service credits
credit, rights, and
28.32 benefits by repaying the total amount of
the previously received
28.33 refund.
The refund repayment must include interest on the total
28.34 amount previously received at an annual
rate of 8.5 percent,
28.35 compounded annually, from the
date on which the refund was
28.36 received until the date on which the
refund is repaid.
29.1
Sec. 71. Minnesota Statutes 2004,
section 490.124,
29.2
subdivision 13, is amended to read:
29.3
Subd. 13. DEATH REFUND. If
a judge who has not received
29.4
other benefits under this chapter dies and there are no survivor
29.5
benefits payable under this chapter, a refund plus interest as
29.6
provided in subdivision 12 is payable to the last designated
29.7
beneficiary named on a form filed with the director before the
29.8
death of the judge, or, if no designation is on file, the
refund
29.9 is
payable to the estate of the deceased judge.
29.10
Sec. 72. Minnesota Statutes 2004,
section 490.125,
29.11 subdivision 1, is amended to read:
29.12
Subdivision 1. MANDATORY
RETIREMENT AGE. Except as
29.13 otherwise provided in sections 490.121
to 490.132, each a judge
29.14 shall retire terminate active service
as a judge on the judge's
29.15 mandatory retirement date.
29.16
Sec. 73. Minnesota Statutes 2004,
section 490.126, is
29.17 amended to read:
29.18
490.126 PROCEDURES.
29.19
Subdivision 1. COMPULSORY
RETIREMENT. Proceedings for
29.20 compulsory retirement of a judge, if
necessary, shall must be
29.21 conducted in accordance with rules
issued by the Supreme Court
29.22 pursuant to under section
490.16.
29.23
Subd. 2. VACANCIES. Any
judge may make written
29.24 application to the governor for
retirement. The governor
29.25 thereupon shall direct the judge's
retirement by written order
29.26 which, when filed in the Office of the
Secretary of State, shall
29.27 effect effects a vacancy
in the office to be filled as provided
29.28 by law.
29.29
Subd. 3. APPLICATION FOR
ANNUITY OR REFUND. An
29.30 application for an annuity or a
refund under sections 490.121 to
29.31 490.132 may be made by the potential
annuitant or by someone
29.32 authorized to act for the potential
annuitant. Every
29.33 application for an annuity or refund, with
accompanied by a
29.34 proof of age and by a record of
years of service when
29.35 required, shall must be
submitted to the governing
29.36 body executive director of
the Minnesota State Retirement System
30.1 in
a form prescribed by it the director.
30.2
Subd. 4. MANNER OF PAYMENT.
Unless otherwise
30.3
specifically provided by statute or agreed upon by the annuitant
30.4
and the governing body board of directors of the Minnesota
State
30.5
Retirement System, annuities payable under sections 490.121 to
30.6
490.132 shall must be paid in the manner and at the
intervals as
30.7
prescribed by the executive director of the Minnesota State
30.8
Retirement System. The annuity shall
cease ceases with the last
30.9
payment received by the annuitant while living.
30.10
Subd. 5. EXEMPTION FROM
PROCESS; NO ASSIGNMENT. None of
30.11 the money, annuities, or other benefits
provided in this chapter
30.12 is assignable either in law or equity or
is subject to state
30.13 estate tax, or to execution,
levy, attachment, garnishment, or
30.14 other legal process, except as provided
in section 518.58,
30.15 518.581, or 518.6111.
30.16
Sec. 74. Minnesota Statutes 2004,
section 490.133, is
30.17 amended to read:
30.18
490.133 RETIREMENT; TRANSITION PROVISIONS; TRANSFER TO
30.19 COURT OF APPEALS.
30.20
(a) If a judge to whom or to whose survivors benefits would
30.21 be payable under Minnesota Statutes
2004, sections 490.101 to
30.22 490.12, is elected or appointed to the
Court of Appeals, that
30.23 judge and the judge's survivors,
shall continue to be eligible
30.24 for benefits under those sections and
not under sections 490.121
30.25 to 490.132.
30.26
(b) In that the case of a judge to whom
paragraph (a)
30.27 applies, the service of the judge
in the Court of Appeals shall
30.28 must be added to the prior
service as district judge, probate
30.29 judge, or judge of any other court of
record in determining
30.30 eligibility and the compensation of a
judge of the Court of
30.31 Appeals at the time of the judge's
death, disability, or
30.32 retirement shall be is the
"compensation allotted to the office"
30.33 for the purposes of calculating benefit
amounts.
30.34
(c) All other judges of the Court of Appeals and their
30.35 survivors shall be are
subject to the retirement and survivor's
30.36 annuity provisions of sections 490.121
to 490.132.
31.1
Sec. 75. 490A.01 BOARD
OF JUDICIAL STANDARDS;
31.2
ESTABLISHMENT.
31.3
Subdivision 1. ESTABLISHMENT;
COMPOSITION. The Board on
31.4 Judicial
Standards is established. The board is a
continuation
31.5 of
the board established by Laws 1971, chapter 909, sections 1
31.6 and
2, as amended.
31.7
Subd. 2. COMPOSITION;
APPOINTMENT. (a) The board
31.8 consists
of one judge of the Court of Appeals, three trial court
31.9 judges,
two lawyers who have practiced law in the state for at
31.10 least ten years, and four citizens
who are not judges, retired
31.11 judges, or lawyers.
31.12 (b) All members must be appointed by the
governor with the
31.13 advice and consent of the
senate. Senate confirmation is not
31.14 required for judicial members.
31.15
Subd. 3. TERM MAXIMUM;
MEMBERSHIP TERMINATION. No member
31.16 may serve more than two full four‑year
terms or their equivalent.
31.17 Membership terminates if a member
ceases to hold the position
31.18 that qualified the member for
appointment.
31.19
Subd. 4. MEMBER TERMS;
COMPENSATION; REMOVAL. The
31.20 membership terms, compensation,
removal of members, and filling
31.21 of vacancies on the board are as
provided in section 15.0575.
31.22
Subd. 5. EXECUTIVE
SECRETARY APPOINTMENT; SALARY. (a)
31.23 The board shall appoint the executive
secretary.
31.24
(b) The salary of the executive secretary of the board is
31.25 85 percent of the maximum salary
provided for an administrative
31.26 law judge under section 15A.083,
subdivision 6a.
31.27
Sec. 76. 490A.02 JUDICIAL
STANDARDS BOARD; POWERS.
31.28
Subdivision 1. JUDICIAL
DISQUALIFICATION. A judge is
31.29 disqualified from acting as a judge,
without a loss of salary,
31.30 while there is pending an indictment
or any information charging
31.31 the judge with a crime that is
punishable as a felony under
31.32 either Minnesota law or federal law,
or while there is pending a
31.33 recommendation to the Supreme Court
by the Board on Judicial
31.34 Standards for the judge's removal or
retirement.
31.35
Subd. 2. JUDICIAL
SUSPENSION. On receipt of a
31.36 recommendation of the Board on
Judicial Standards or on its own
32.1 motion,
the Supreme Court may suspend a judge from office
32.2 without
salary when the judge pleads guilty to or no contest to
32.3 or
is found guilty of a crime that is punishable as a felony
32.4 under
either Minnesota law or federal law or any other crime
32.5 that
involves moral turpitude. If the
conviction is reversed,
32.6 the
suspension terminates and the judge must be paid a salary
32.7 for
the period of suspension. If the judge
is suspended and the
32.8 conviction
becomes final, the Supreme Court shall remove the
32.9 judge
from office.
32.10
Subd. 3. JUDICIAL
DISABILITY. On receipt of a
32.11 recommendation of the Board on
Judicial Standards, the Supreme
32.12 Court may retire a judge for a
disability that the court
32.13 determines seriously interferes with
the performance of the
32.14 judge's duties and is or is likely to
become permanent, and
32.15 censure or remove a judge for an
action or inaction that may
32.16 constitute persistent failure to
perform the judge's duties,
32.17 incompetence in performing the
judge's duties, habitual
32.18 intemperance, or conduct prejudicial
to the administration of
32.19 justice that brings the judicial
office into disrepute.
32.20
Subd. 4. AUTHORITY TO
REOPEN MATTERS. The board is
32.21 specifically empowered to reopen any
matter wherein any
32.22 information or evidence was
previously precluded by a statute of
32.23 limitations or by a previously
existing provision of time
32.24 limitation.
32.25
Subd. 5. RETIREMENT
STATUS. (a) A judge who is retired
32.26 by the Supreme Court must be
considered to have retired
32.27 voluntarily.
32.28
(b) This section and section 490A.01 must not affect the
32.29 right of a judge who is suspended,
retired, or removed hereunder
32.30 from qualifying for any pension or
other retirement benefits to
32.31 which the judge would otherwise be
entitled by law to receive.
32.32
Subd. 6. ELIGIBILITY
FOR JUDICIAL OFFICE; PRACTICE
32.33 LAW. A judge removed by the Supreme Court is ineligible
for any
32.34 future service in a judicial
office. The question of the right
32.35 of a removed judge to practice law in
this state must be
32.36 referred to the proper authority for
review.
33.1
Subd. 7. SUPREME COURT
RULES. The Supreme Court shall
33.2 make
rules to implement this section.
33.3
Sec. 77. REPEALER; EFFECT ON
BENEFIT COVERAGE.
33.4
Subdivision 1. LEGISLATORS
RETIREMENT PLAN; REPEALED AS
33.5
OBSOLETE.
Minnesota Statutes 2004, sections 3A.01, subdivisions
33.6 3,
4, 6a, and 7; 3A.02, subdivision 2; 3A.04, subdivision 1; and
33.7 3A.09,
are repealed.
33.8
Subd. 2. ELECTIVE STATE
OFFICERS RETIREMENT PLAN;
33.9
REPEALED AS OBSOLETE. Minnesota Statutes 2004, sections
33.10 352C.01; 352C.011; 352C.021;
352C.031; 352C.033; 352C.04;
33.11 352C.051; 352C.09; and 352C.091,
subdivisions 2 and 3, are
33.12 repealed.
33.13
Subd. 3. JUDICIAL
RETIREMENT PLANS; REPEALED AS
33.14 OBSOLETE. Minnesota Statutes 2004,
sections 490.021; 490.025,
33.15 subdivisions 1, 2, 3, 4, and 6;
490.101; 490.102; 490.103;
33.16 490.105; 490.106; 490.107; 490.108;
490.109; 490.1091; 490.12;
33.17 and 490.121, subdivisions 2, 3, 5, 8,
9, 10, 11, 12, 16, 17, 18,
33.18 19, and 20, are repealed.
33.19
Subd. 4. JUDICIAL
STANDARDS BOARD; REPEALED FOR
33.20 RELOCATION AS MINNESOTA STATUTES,
CHAPTER 490A. Minnesota
33.21 Statutes 2004, sections 490.021;
490.025, subdivisions 1, 2, 3,
33.22 4, and 6; 490.101; 490.102; 490.103;
490.105; 490.106; 490.107;
33.23 490.108; 490.109; 490.1091; 490.12;
and 490.121, subdivisions 2,
33.24 3, 5, 8, 9, 10, 11, 12, 16, 17, 18,
19, and 20, are repealed.
33.25
Subd. 5. UNIFORM
JUDICIAL RETIREMENT PLAN; NO BENEFIT
33.26 DIMINISHMENT INTENDED; PROCEDURE. Sections 32 to 76 are not
33.27 intended to reduce or increase the
entitlement of active,
33.28 deferred, or retired judges to
retirement annuities or benefits
33.29 as of July 1, 2005, as reflected in
the records of the Minnesota
33.30 State Retirement System. If the executive director of the
33.31 Minnesota State Retirement System
determines that any provisions
33.32 of sections 32 to 76 functions to
modify, impair, or diminish
33.33 the retirement annuity or benefit
entitlement of any judge that
33.34 had accrued or earned before July 1,
2005, the executive
33.35 director shall certify that
determination and a recommendation
33.36 as to the required legislative
correction to the chair of the
34.1 Legislative
Commission on Pensions and Retirement, the chair of
34.2 the
Senate State and Local Governmental Operations Committee,
34.3 the
chair of the House Governmental Operations and Veterans
34.4 Affairs
Policy Committee, and the executive director of the
34.5 Legislative
Commission on Pensions and Retirement on or before
34.6 the
October 1 next following that determination.
34.7
Sec. 78. EFFECTIVE DATE.
34.8
Sections 1 to 77 are effective on July 1, 2005.
34.9 ARTICLE 2
34.10 COVERED SALARY; AVERAGE
SALARY
34.11
Section 1. Minnesota Statutes
2004, section 352.01, is
34.12 amended by adding a subdivision to read:
34.13
Subd. 14a. AVERAGE
SALARY. (a) "Average salary" means
34.14 the average of the highest five
successive years of salary upon
34.15 which the employee has made
contributions to the retirement fund
34.16 by payroll deductions. Average salary must be based upon all
34.17 allowable service if this service is
less than five years.
34.18
(b) "Average salary" does not include the payment of
34.19 accrued unused annual leave or
overtime paid at time of final
34.20 separation from state service if paid
in a lump sum nor does it
34.21 include the reduced salary, if any,
paid during the period the
34.22 employee is entitled to workers'
compensation benefit payments
34.23 for temporary disability.
34.24
(c) For an employee covered by the correctional state
34.25 employees retirement plan,
"average salary" means the average of
34.26 the monthly salary during the
employee's highest five successive
34.27 years of salary as an employee
covered by the general state
34.28 employees retirement plan, or the
correctional state employees
34.29 retirement plan, or by a combination
of the two. If the total
34.30 of the covered service is less than
five years, the
34.31 determination of average salary must
be based on all allowable
34.32 service.
34.33
Sec. 2. Minnesota Statutes 2004,
section 352.115,
34.34 subdivision 2, is amended to read:
34.35
Subd. 2. AVERAGE SALARY
NORMAL RETIREMENT ANNUITY. The
34.36 retirement annuity hereunder payable at
normal retirement age or
35.1
thereafter must be computed in accordance with the applicable
35.2
provisions of the formula stated in subdivision 3, on the basis
35.3 of
the employee's average salary for the period of allowable
35.4
service. This retirement annuity
is known as the "normal"
35.5
retirement annuity.
35.6
For each year of allowable service, "average salary" of an
35.7 employee
in determining a retirement annuity means the average
35.8 of
the highest five successive years of salary upon which the
35.9 employee
has made contributions to the retirement fund by
35.10 payroll deductions. Average salary must be based upon all
35.11 allowable service if this service is
less than five years.
35.12
"Average salary" does not include the payment of accrued
35.13 unused annual leave or overtime paid
at time of final separation
35.14 from state service if paid in a lump
sum nor does it include the
35.15 reduced salary, if any, paid during
the period the employee is
35.16 entitled to workers' compensation
benefit payments for temporary
35.17 disability.
35.18
Sec. 3. Minnesota Statutes 2004,
section 352.115,
35.19 subdivision 3, is amended to read:
35.20
Subd. 3. RETIREMENT ANNUITY
FORMULA. (a) This paragraph,
35.21 in conjunction with section 352.116,
subdivision 1, applies to a
35.22 person who became a covered employee or
a member of a pension
35.23 fund listed in section 356.30,
subdivision 3, before July 1,
35.24 1989, unless paragraph (b), in
conjunction with section 352.116,
35.25 subdivision 1a, produces a higher
annuity amount, in which case
35.26 paragraph (b) will apply. The employee's average salary, as
35.27 defined in section 352.01, subdivision
2 14a, multiplied by the
35.28 percent specified in section 356.315,
subdivision 1, per year of
35.29 allowable service for the first ten
years and the percent
35.30 specified in section 356.315,
subdivision 2, for each later year
35.31 of allowable service and pro rata for
completed months less than
35.32 a full year shall determine the amount
of the retirement annuity
35.33 to which the employee is entitled.
35.34
(b) This paragraph applies to a person who has become at
35.35 least 55 years old and first became a
covered employee after
35.36 June 30, 1989, and to any other covered
employee who has become
36.1 at
least 55 years old and whose annuity amount, when calculated
36.2
under this paragraph and in conjunction with section 352.116,
36.3
subdivision 1a, is higher than it is when calculated under
36.4
paragraph (a), in conjunction with section 352.116, subdivision
36.5
1. The employee's average salary,
as defined in section 352.01,
36.6
subdivision 2 14a, multiplied by the percent specified in
36.7
section 356.315, subdivision 2, for each year of allowable
36.8
service and pro rata for months less than a full year shall
36.9
determine the amount of the retirement annuity to which the
36.10 employee is entitled.
36.11
Sec. 4. Minnesota Statutes 2004,
section 352.87,
36.12 subdivision 3, is amended to read:
36.13
Subd. 3. RETIREMENT ANNUITY
FORMULA. A person specified
36.14 in subdivision 1 will have is
entitled to receive a retirement
36.15 annuity applicable for allowable service
credit under this
36.16 section calculated by multiplying the
employee's average salary,
36.17 as defined in section 352.115 352.01,
subdivision 2 14a, by the
36.18 percent specified in section 356.315,
subdivision 2a, for each
36.19 year or portions of a year of allowable
service credit. No
36.20 reduction for retirement prior to
before the normal retirement
36.21 age, as specified in section 352.01,
subdivision 25, applies to
36.22 service to which this section applies.
36.23
Sec. 5. Minnesota Statutes 2004,
section 352.93,
36.24 subdivision 1, is amended to read:
36.25
Subdivision 1. BASIS OF
ANNUITY; WHEN TO APPLY. After
36.26 separation from state service, an
employee covered under section
36.27 352.91 who has reached age 55 years and
has credit for at least
36.28 three years of covered correctional
service or a combination of
36.29 covered correctional service and regular
Minnesota general
36.30 employees state retirement System
plan service is entitled upon
36.31 application to a retirement annuity
under this section, based
36.32 only on covered correctional employees'
service. Application
36.33 may be made no earlier than 60 days
before the date the employee
36.34 is eligible to retire by reason of both
age and service
36.35 requirements.
36.36
In this section, "average salary" means the average of the
37.1 monthly
salary during the employee's highest five successive
37.2 years
of salary as an employee covered by the Minnesota State
37.3 Retirement
System. Average salary must be based
upon all
37.4 allowable
service if this service is less than five years.
37.5
Sec. 6. Minnesota Statutes 2004,
section 352C.021, is
37.6
amended by adding a subdivision to read:
37.7
Subd. 1a. AVERAGE
SALARY. "Average salary," for purposes
37.8 of
calculating the normal retirement annuity under section
37.9 352C.031,
subdivision 4, means the average of the highest five
37.10 successive years of salary upon which
contributions have been
37.11 made under section 352C.09.
37.12
Sec. 7. Minnesota Statutes 2004,
section 353.01,
37.13 subdivision 10, is amended to read:
37.14
Subd. 10. SALARY. (a)
"Salary" means:
37.15
(1) the periodic compensation of a public employee, before
37.16 deductions for deferred compensation,
supplemental retirement
37.17 plans, or other voluntary salary reduction
programs, and also
37.18 means "wages" and includes net
income from fees;
37.19
(2) for a public employee who is covered by a supplemental
37.20 retirement plan under section 356.24,
subdivision 1, clause (8),
37.21 (9), or (10), which require all plan
contributions be made by
37.22 the employer, the contribution to the
applicable supplemental
37.23 retirement plan when the contribution
is from mandatory
37.24 withholdings from employees' wages;
and
37.25
(2) (3) for a public employee who has prior service
covered
37.26 by a local police or firefighters relief
association that has
37.27 consolidated with the Public Employees
Retirement Association or
37.28 to which section 353.665 applies and who
has elected coverage
37.29 either under the public employees police
and fire fund benefit
37.30 plan under section 353A.08 following the
consolidation or under
37.31 section 353.665, subdivision 4, the rate
of salary upon which
37.32 member contributions to the special fund
of the relief
37.33 association were made prior to the
effective date of the
37.34 consolidation as specified by law and by
bylaw provisions
37.35 governing the relief association on the
date of the initiation
37.36 of the consolidation procedure and the
actual periodic
38.1
compensation of the public employee after the effective date of
38.2
consolidation.
38.3
(b) Salary does not mean:
38.4
(1) the fees paid to district court reporters, unused
38.5
annual vacation or sick leave payments, in lump‑sum or periodic
38.6
payments, severance payments, reimbursement of expenses,
38.7
lump‑sum settlements not attached to a specific earnings period,
38.8 or
workers' compensation payments;
38.9
(2) employer‑paid amounts used by an employee toward the
38.10 cost of insurance coverage, employer‑paid
fringe benefits,
38.11 flexible spending accounts, cafeteria
plans, health care expense
38.12 accounts, day care expenses, or any
payments in lieu of any
38.13 employer‑paid group insurance
coverage, including the difference
38.14 between single and family rates that may
be paid to a member
38.15 with single coverage and certain amounts
determined by the
38.16 executive director to be ineligible;
38.17
(3) the amount equal to that which the employing
38.18 governmental subdivision would otherwise
pay toward single or
38.19 family insurance coverage for a covered
employee when, through a
38.20 contract or agreement with some but not
all employees, the
38.21 employer:
38.22
(i) discontinues, or for new hires does not provide,
38.23 payment toward the cost of the
employee's selected insurance
38.24 coverages under a group plan offered by
the employer;
38.25
(ii) makes the employee solely responsible for all
38.26 contributions toward the cost of the
employee's selected
38.27 insurance coverages under a group plan
offered by the employer,
38.28 including any amount the employer makes
toward other employees'
38.29 selected insurance coverages under a
group plan offered by the
38.30 employer; and
38.31
(iii) provides increased salary rates for employees who do
38.32 not have any employer‑paid group
insurance coverages;
38.33
(4) except as provided in section 353.86 or 353.87,
38.34 compensation of any kind paid to
volunteer ambulance service
38.35 personnel or volunteer firefighters, as
defined in subdivision
38.36 35 or 36; and
39.1
(5) the amount of compensation that exceeds the limitation
39.2
provided in section 356.611.
39.3
(c) Amounts provided to an employee by the employer through
39.4 a
grievance proceeding or a legal settlement are salary only if
39.5
the settlement is reviewed by the executive director and the
39.6
amounts are determined by the executive director to be
39.7
consistent with paragraph (a) and prior determinations.
39.8
Sec. 8. Minnesota Statutes 2004,
section 353.01, is
39.9
amended by adding a subdivision to read:
39.10
Subd. 17a. AVERAGE
SALARY. (a) "Average salary," for
39.11 purposes of calculating a retirement
annuity under section
39.12 353.29, subdivision 3, means an
amount equivalent to the average
39.13 of the highest salary of the member,
police officer, or
39.14 firefighter, whichever applies, upon
which employee
39.15 contributions were paid for any five
successive years of
39.16 allowable service, based on dates of
salary periods as listed on
39.17 salary deduction reports. Average salary must be based upon all
39.18 allowable service if this service is
less than five years.
39.19
(b) "Average salary" may not include any reduced salary
39.20 paid during a period in which the
employee is entitled to
39.21 benefit payments from workers'
compensation for temporary
39.22 disability, unless the average salary
is higher, including this
39.23 period.
39.24
Sec. 9. Minnesota Statutes 2004,
section 353.29,
39.25 subdivision 3, is amended to read:
39.26
Subd. 3. RETIREMENT ANNUITY
FORMULA. (a) This paragraph,
39.27 in conjunction with section 353.30,
subdivisions 1, 1a, 1b, and
39.28 1c, applies to any member who first
became a public employee or
39.29 a member of a pension fund listed in
section 356.30, subdivision
39.30 3, before July 1, 1989, unless paragraph
(b), in conjunction
39.31 with section 353.30, subdivision 5,
produces a higher annuity
39.32 amount, in which case paragraph (b) will
apply. The average
39.33 salary as defined in section 353.01,
subdivision 2 17a,
39.34 multiplied by the percent specified in
section 356.315,
39.35 subdivision 3, for each year of
allowable service for the first
39.36 ten years and thereafter by the percent
specified in section
40.1
356.315, subdivision 4, per year of allowable service and
40.2
completed months less than a full year for the "basic member,"
40.3
and the percent specified in section 356.315, subdivision 1, for
40.4
each year of allowable service for the first ten years and
40.5
thereafter by the percent specified in section 356.315,
40.6
subdivision 2, per year of allowable service and completed
40.7
months less than a full year for the "coordinated member,"
shall
40.8
determine the amount of the "normal" retirement annuity.
40.9
(b) This paragraph applies to a member who has become at
40.10 least 55 years old and first became a
public employee after June
40.11 30, 1989, and to any other member whose
annuity amount, when
40.12 calculated under this paragraph and in
conjunction with section
40.13 353.30, subdivision 5, is higher than it
is when calculated
40.14 under paragraph (a), in conjunction with
section 353.30,
40.15 subdivisions 1, 1a, 1b, and 1c. The average salary, as defined
40.16 in section 353.01, subdivision 2
17a, multiplied by the percent
40.17 specified in section 356.315,
subdivision 4, for each year of
40.18 allowable service and completed months
less than a full year for
40.19 a basic member and the percent specified
in section 356.315,
40.20 subdivision 2, per year of allowable
service and completed
40.21 months less than a full year for a
coordinated member, shall
40.22 determine the amount of the normal
retirement annuity.
40.23
Sec. 10. Minnesota Statutes 2004,
section 353.33,
40.24 subdivision 3, is amended to read:
40.25
Subd. 3. COMPUTATION OF
BENEFITS. This disability
40.26 benefit is an amount equal to the normal
annuity payable to a
40.27 member who has reached normal retirement
age with the same
40.28 number of years of allowable service and
the same average
40.29 salary, as provided in section
353.01, subdivision 17a, and
40.30 section 353.29, subdivisions 2 and
subdivision 3.
40.31
A basic member shall receive a supplementary monthly
40.32 benefit of $25 to age 65 or the five‑year
anniversary of the
40.33 effective date of the disability
benefit, whichever is later.
40.34
If the disability benefits under this subdivision exceed
40.35 the average salary as defined in section
353.29 353.01,
40.36 subdivision 2 17a, the
disability benefits must be reduced to an
41.1
amount equal to said the average salary.
41.2
Sec. 11. Minnesota Statutes 2004,
section 353.651,
41.3
subdivision 3, is amended to read:
41.4
Subd. 3. RETIREMENT ANNUITY
FORMULA. The average salary
41.5 as
defined in section 353.01, subdivision 2 17a, multiplied
by
41.6
the percent specified in section 356.315, subdivision 6, per
41.7
year of allowable service determines the amount of the normal
41.8
retirement annuity. If the member
has earned allowable service
41.9
for performing services other than those of a police officer or
41.10 firefighter, the annuity representing such
that service is must
41.11 be computed under sections 353.29
and 353.30.
41.12
Sec. 12. Minnesota Statutes 2004,
section 353.656,
41.13 subdivision 1, is amended to read:
41.14
Subdivision 1. IN LINE OF
DUTY; COMPUTATION OF BENEFITS.
41.15 A member of the police and fire plan who
becomes disabled and
41.16 physically unfit to perform duties as a
police officer,
41.17 firefighter, or paramedic as defined
under section 353.64,
41.18 subdivision 10, as a direct result of an
injury, sickness, or
41.19 other disability incurred in or arising
out of any act of duty,
41.20 which has or is expected to render the
member physically or
41.21 mentally unable to perform the duties as
a police officer,
41.22 firefighter, or paramedic as defined
under section 353.64,
41.23 subdivision 10, for a period of at least
one year, shall receive
41.24 disability benefits during the period of
such disability. The
41.25 benefits must be in an amount equal to
60 percent of the
41.26 "average salary" as defined in
section 353.651 353.01,
41.27 subdivision 2 17a, plus an
additional percent specified in
41.28 section 356.315, subdivision 6, of that
average salary for each
41.29 year of service in excess of 20
years. If the disability under
41.30 this subdivision occurs before the
member has at least five
41.31 years of allowable service credit in the
police and fire plan,
41.32 the disability benefit must be computed
on the "average salary"
41.33 from which deductions were made for
contribution to the police
41.34 and fire fund.
41.35
Sec. 13. Minnesota Statutes 2004,
section 354.05, is
41.36 amended by adding a subdivision to read:
42.1
Subd. 13a. AVERAGE
SALARY. (a) "Average salary," for the
42.2 purpose
of determining the member's retirement annuity, means
42.3 the
average salary upon which contributions were made for the
42.4 highest
five successive years of formula service credit.
42.5
(b) "Average salary" may not include any more than the
42.6 equivalent
of 60 monthly salary payments.
42.7
(c) "Average salary" must be based upon all years of
42.8 formula
service credit if this service credit is less than five
42.9 years.
42.10
Sec. 14. Minnesota Statutes 2004,
section 354.44,
42.11 subdivision 6, is amended to read:
42.12
Subd. 6. COMPUTATION OF
FORMULA PROGRAM RETIREMENT
42.13 ANNUITY. (a) The formula retirement
annuity must be computed in
42.14 accordance with the applicable
provisions of the formulas stated
42.15 in paragraph (b) or (d) on the basis of
each member's average
42.16 salary under section 354.05,
subdivision 13a, for the period of
42.17 the member's formula service
credit.
42.18
For all years of formula service credit, "average salary,"
42.19 for the purpose of determining the
member's retirement annuity,
42.20 means the average salary upon which
contributions were made and
42.21 upon which payments were made to
increase the salary limitation
42.22 provided in Minnesota Statutes 1971,
section 354.511, for the
42.23 highest five successive years of
formula service credit
42.24 provided, however, that such
"average salary" shall not include
42.25 any more than the equivalent of 60
monthly salary payments.
42.26 Average salary must be based upon all
years of formula service
42.27 credit if this service credit is less
than five years.
42.28
(b) This paragraph, in conjunction with paragraph (c),
42.29 applies to a person who first became a
member of the association
42.30 or a member of a pension fund listed in
section 356.30,
42.31 subdivision 3, before July 1, 1989,
unless paragraph (d), in
42.32 conjunction with paragraph (e), produces
a higher annuity
42.33 amount, in which case paragraph (d)
applies. The average salary
42.34 as defined in paragraph (a) section
354.05, subdivision 13a,
42.35 multiplied by the following percentages
per year of formula
42.36 service credit shall determine the amount
of the annuity to
43.1
which the member qualifying therefor is entitled:
43.2 Coordinated
Member Basic Member
43.3
Each year of service the
percent the percent
43.4
during first ten specified
in specified in
43.5 section
356.315, section 356.315,
43.6 subdivision 1, subdivision 3,
43.7 per year per year
43.8
Each year of service the
percent the percent
43.9
thereafter specified
in specified in
43.10 section 356.315, section 356.315,
43.11 subdivision 2, subdivision 4,
43.12 per year per year
43.13
(c)(i) This paragraph applies only to a person who first
43.14 became a member of the association or a
member of a pension fund
43.15 listed in section 356.30, subdivision 3,
before July 1, 1989,
43.16 and whose annuity is higher when
calculated under paragraph (b),
43.17 in conjunction with this paragraph than
when calculated under
43.18 paragraph (d), in conjunction with
paragraph (e).
43.19
(ii) Where any member retires prior to normal retirement
43.20 age under a formula annuity, the member
shall be paid a
43.21 retirement annuity in an amount equal to
the normal annuity
43.22 provided in paragraph (b) reduced by one‑quarter
of one percent
43.23 for each month that the member is under
normal retirement age at
43.24 the time of retirement except that for
any member who has 30 or
43.25 more years of allowable service credit,
the reduction shall be
43.26 applied only for each month that the
member is under age 62.
43.27
(iii) Any member whose attained age plus credited allowable
43.28 service totals 90 years is entitled,
upon application, to a
43.29 retirement annuity in an amount equal to
the normal annuity
43.30 provided in paragraph (b), without any
reduction by reason of
43.31 early retirement.
43.32
(d) This paragraph applies to a member who has become at
43.33 least 55 years old and first became a
member of the association
43.34 after June 30, 1989, and to any other
member who has become at
43.35 least 55 years old and whose annuity
amount when calculated
43.36 under this paragraph and in conjunction
with paragraph (e), is
44.1
higher than it is when calculated under paragraph (b), in
44.2
conjunction with paragraph (c).
The average salary, as defined
44.3 in
paragraph (a) section 354.05, subdivision 13a, multiplied by
44.4
the percent specified by section 356.315, subdivision 4, for
44.5
each year of service for a basic member and by the percent
44.6
specified in section 356.315, subdivision 2, for each year of
44.7
service for a coordinated member shall determine the amount of
44.8
the retirement annuity to which the member is entitled.
44.9
(e) This paragraph applies to a person who has become at
44.10 least 55 years old and first becomes a
member of the association
44.11 after June 30, 1989, and to any other
member who has become at
44.12 least 55 years old and whose annuity is
higher when calculated
44.13 under paragraph (d) in conjunction with
this paragraph than when
44.14 calculated under paragraph (b), in
conjunction with paragraph
44.15 (c).
An employee who retires under the formula annuity before
44.16 the normal retirement age shall be paid
the normal annuity
44.17 provided in paragraph (d) reduced so
that the reduced annuity is
44.18 the actuarial equivalent of the annuity
that would be payable to
44.19 the employee if the employee deferred
receipt of the annuity and
44.20 the annuity amount were augmented at an
annual rate of three
44.21 percent compounded annually from the day
the annuity begins to
44.22 accrue until the normal retirement age.
44.23
(f) No retirement annuity is payable to a former employee
44.24 with a salary that exceeds 95 percent of
the governor's salary
44.25 unless and until the salary figures used
in computing the
44.26 highest five successive years average
salary under paragraph (a)
44.27 have been audited by the Teachers
Retirement Association and
44.28 determined by the executive director to
comply with the
44.29 requirements and limitations of section
354.05, subdivisions 35
44.30 and 35a.
44.31
Sec. 15. Minnesota Statutes 2004,
section 354A.011, is
44.32 amended by adding a subdivision to read:
44.33
Subd. 7a. AVERAGE
SALARY. "Average salary," for purposes
44.34 of computing a normal coordinated
program retirement annuity
44.35 under section 354A.31, subdivision 4
or 4a, means an amount
44.36 equal to the average salary upon
which contributions were made
45.1 for
the highest five successive years of service credit but may
45.2 not
in any event include any more than the equivalent of 60
45.3 monthly
salary payments. Average salary must be
based upon all
45.4 years
of service credit if this service credit is less than five
45.5 years.
45.6
Sec. 16. Minnesota Statutes 2004,
section 354A.31,
45.7
subdivision 4, is amended to read:
45.8
Subd. 4. COMPUTATION OF THE
NORMAL COORDINATED RETIREMENT
45.9
ANNUITY; MINNEAPOLIS AND ST. PAUL FUNDS. (a) This subdivision
45.10 applies to the coordinated programs of
the Minneapolis Teachers
45.11 Retirement Fund Association and the St.
Paul Teachers Retirement
45.12 Fund Association.
45.13
(b) The normal coordinated retirement annuity shall be is
45.14 an amount equal to a retiring
coordinated member's average
45.15 salary under section 354A.011,
subdivision 7a, multiplied by the
45.16 retirement annuity formula
percentage. Average salary for
45.17 purposes of this section shall mean
an amount equal to the
45.18 average salary upon which
contributions were made for the
45.19 highest five successive years of
service credit, but which shall
45.20 not in any event include any more
than the equivalent of 60
45.21 monthly salary payments. Average salary must be based upon all
45.22 years of service credit if this
service credit is less than five
45.23 years.
45.24
(c) This paragraph, in conjunction with subdivision 6,
45.25 applies to a person who first became a
member or a member in a
45.26 pension fund listed in section 356.30,
subdivision 3, before
45.27 July 1, 1989, unless paragraph (d), in
conjunction with
45.28 subdivision 7, produces a higher annuity
amount, in which case
45.29 paragraph (d) will apply. The retirement annuity formula
45.30 percentage for purposes of this
paragraph is the percent
45.31 specified in section 356.315,
subdivision 1, per year for each
45.32 year of coordinated service for the
first ten years and the
45.33 percent specified in section 356.315,
subdivision 2, for each
45.34 year of coordinated service
thereafter.
45.35
(d) This paragraph applies to a person who has become at
45.36 least 55 years old and who first becomes
a member after June 30,
46.1
1989, and to any other member who has become at least 55 years
46.2
old and whose annuity amount, when calculated under this
46.3
paragraph and in conjunction with subdivision 7 is higher than
46.4 it
is when calculated under paragraph (c), in conjunction with
46.5
the provisions of subdivision 6.
The retirement annuity formula
46.6
percentage for purposes of this paragraph is the percent
46.7
specified in section 356.315, subdivision 2, for each year of
46.8
coordinated service.
46.9
Sec. 17. Minnesota Statutes 2004,
section 354A.31,
46.10 subdivision 4a, is amended to read:
46.11
Subd. 4a. COMPUTATION OF THE
NORMAL COORDINATED
46.12 RETIREMENT ANNUITY; DULUTH FUND. (a) This subdivision applies
46.13 to the new law coordinated program of
the Duluth Teachers
46.14 Retirement Fund Association.
46.15
(b) The normal coordinated retirement annuity is an amount
46.16 equal to a retiring coordinated member's
average salary under
46.17 section 354A.011, subdivision 7a,
multiplied by the retirement
46.18 annuity formula percentage. Average salary for purposes of this
46.19 section means an amount equal to the
average salary upon which
46.20 contributions were made for the
highest five successive years of
46.21 service credit, but may not in any
event include any more than
46.22 the equivalent of 60 monthly salary
payments. Average salary
46.23 must be based upon all years of
service credit if this service
46.24 credit is less than five years.
46.25
(c) This paragraph, in conjunction with subdivision 6,
46.26 applies to a person who first became a
member or a member in a
46.27 pension fund listed in section 356.30,
subdivision 3, before
46.28 July 1, 1989, unless paragraph (d), in
conjunction with
46.29 subdivision 7, produces a higher annuity
amount, in which case
46.30 paragraph (d) applies. The retirement annuity formula
46.31 percentage for purposes of this
paragraph is the percent
46.32 specified in section 356.315,
subdivision 1, per year for each
46.33 year of coordinated service for the
first ten years and the
46.34 percent specified in section 356.315,
subdivision 2, for each
46.35 subsequent year of coordinated service.
46.36
(d) This paragraph applies to a person who is at least 55
47.1
years old and who first becomes a member after June 30, 1989,
47.2
and to any other member who is at least 55 years old and whose
47.3
annuity amount, when calculated under this paragraph and in
47.4
conjunction with subdivision 7, is higher than it is when
47.5
calculated under paragraph (c) in conjunction with subdivision
47.6
6. The retirement annuity formula
percentage for purposes of
47.7
this paragraph is the percent specified in section 356.315,
47.8
subdivision 2, for each year of coordinated service.
47.9
Sec. 18. Minnesota Statutes 2004,
section 422A.01, is
47.10 amended by adding a subdivision to read:
47.11
Subd. 4a. AVERAGE
SALARY. (a) "Average salary" means the
47.12 arithmetic average annual salary,
wages or compensation of the
47.13 member from the city for any five
calendar years out of the last
47.14 ten calendar years of service, except
as provided for in section
47.15 422A.16, which may include the year
in which the employee
47.16 retires, as selected by the employee.
47.17
(b) A member with more than five calendar years of service
47.18 but less than ten calendar years may
select any five calendar
47.19 years of service to determine the
average salary. A member with
47.20 less than five years of service with
the city shall use all
47.21 earnings to determine the average
salary.
47.22
Sec. 19. Minnesota Statutes 2004,
section 422A.15,
47.23 subdivision 1, is amended to read:
47.24
Subdivision 1. FORMULA PENSION
AND ANNUITY. Except as
47.25 otherwise provided in subdivision 3,
each contributing member
47.26 who, at the time of retirement, fulfills
the conditions
47.27 necessary to enable the member to retire,
shall is entitled to
47.28 receive what shall be known as a
"formula pension and annuity"
47.29 equal to two percent for each year of
allowable service for the
47.30 first ten years and thereafter 2.5
percent per year of allowable
47.31 service of the arithmetic average
annual salary, wages or
47.32 compensation of the member from the
city for any five calendar
47.33 years out of the last ten calendar
years of service except as
47.34 provided for in section 422A.16,
which may include the year in
47.35 which the employee retires, as
selected by the employee,
47.36 multiplied by the years of service
credited by the retirement
48.1
fund. The formula pension and
annuity shall must be computed on
48.2
the single life plan but subject to the option selections
48.3
provided for in section 422A.17.
48.4
In order to be entitled to the formula pension and annuity
48.5
herein provided for, the retiring employee at the time of
48.6
cessation of employment and of actual retirement shall must
have
48.7
attained the age of 60 years or have been employed by the city
48.8
not less than 30 years, or meet the qualifications provided for
48.9 in
section 422A.16, and in addition thereto have contributed to
48.10 the retirement fund at the percentage
rate prescribed by the
48.11 retirement law applicable when the
salary, wages or compensation
48.12 was paid on all salaries, wages, or
compensation received from
48.13 the city or from an applicable employing
unit. The years of
48.14 service to be applied in the formula
pension and annuity shall
48.15 must be found and determined by
the retirement board, except
48.16 that no credit shall may
be allowed for any year in which a back
48.17 charge is owing at time of retirement
and the earnings from any
48.18 year in which a back charge is owing shall
may not be used in
48.19 determining the average annual
salary.
48.20
Sec. 20. Minnesota Statutes 2004,
section 422A.16,
48.21 subdivision 9, is amended to read:
48.22
Subd. 9. INCOMPETENCY OR DEATH
OF MEMBER. Any member of
48.23 the contributing class who becomes
permanently separated from
48.24 the service of the city under
subdivision 8, may, by an
48.25 instrument in writing, filed with the
municipal employees
48.26 retirement board within 30 days after such
the separation
48.27 becomes permanent, elect to allow the
member contributions
48.28 to such the fund to the
date of separation to remain on deposit
48.29 in such the fund, and in such
the event the member shall be
48.30 is entitled to receive a
retirement allowance at age 65,
48.31 provided the member, or someone acting
in the member's behalf if
48.32 the member be incompetent, shall must
make a written application
48.33 for such the retirement
allowance in the same manner provided
48.34 for in section 422A.17 and in accordance
with the provisions of
48.35 section 422A.15, subdivision 1,
except for determining
48.36 average annual salary. A member with more than five calendar
49.1 years
of service but less than ten calendar years may select any
49.2 five
calendar years of service to determine the average annual
49.3 salary. A member with less than five years of service
with the
49.4 city
shall use all earnings to determine the average annual
49.5 salary.
49.6
If the contributing member dies before reaching the age of
49.7 65
years, or having attained the age of 65 years without having
49.8
made the election provided for herein, the net accumulated
49.9
amount of deductions from the member's salary, pay or
49.10 compensation, plus interest, to the
member's credit on date of
49.11 death shall be paid is payable
to such the person or persons as
49.12 have been nominated by written
designation filed with the
49.13 retirement board, in such the
form as that the retirement board
49.14 shall require requires.
49.15
If the employee fails to make a designation, or if the
49.16 person or persons designated by such
the employee predeceases
49.17 such the employee, the net
accumulated credit to such the
49.18 employee's account on date of death shall
be paid is payable to
49.19 such the employee's
estate.
49.20
The provisions of subdivisions 4, 5, and 6 shall also
apply
49.21 to any member qualifying for benefits
under this subdivision,
49.22 except for purposes of this subdivision
the age referred to in
49.23 subdivision 4 shall be is
65 years.
49.24
Sec. 21. Minnesota Statutes 2004,
section 490.121,
49.25 subdivision 21, is amended to read:
49.26
Subd. 21. FINAL AVERAGE COMPENSATION.
"Final average
49.27 compensation" means the total
amount of salary payable paid to a
49.28 judge in the highest five years of the
last ten years prior to
49.29 before the event of maturity of
benefits, divided by five;
49.30 provided, however, that. If the number of years of service is
49.31 less than ten, the highest five shall
years of salary must be
49.32 counted, and. If the number of years of service is
less than
49.33 five, the aggregate salary in such
during the period shall must
49.34 be divided by the number of months in such
the period and
49.35 multiplied by 12.
49.36
Sec. 22. REPEALER.
50.1
Minnesota Statutes 2004, sections 352C.031, subdivision 3;
50.2 353.29,
subdivision 2; and 353.651, subdivision 2, are repealed.
50.3
Sec. 23. EFFECTIVE DATE.
50.4
Sections 1 to 22 are effective July 1, 2005.
50.5 ARTICLE 3
50.6 ACTUARIAL EQUIVALENCE
50.7
Section 1. Minnesota Statutes
2004, section 352.01,
50.8
subdivision 12, is amended to read:
50.9
Subd. 12. ACTUARIAL
EQUIVALENT. "Actuarial equivalent"
50.10 means the condition of one annuity or
benefit having an equal
50.11 actuarial present value as another
annuity or benefit,
50.12 determined as of a given date at a
specified age with each
50.13 actuarial present value based on the
appropriate mortality table
50.14 adopted by the board of directors based
on the experience of the
50.15 fund as recommended by the actuary
retained by the Legislative
50.16 Commission on Pensions and Retirement
under section 356.214, and
50.17 approved under section 356.215,
subdivision 18, and using the
50.18 applicable preretirement or
postretirement interest rate
50.19 assumption specified in section 356.215,
subdivision 8.
50.20
Sec. 2. Minnesota Statutes 2004,
section 353.01,
50.21 subdivision 14, is amended to read:
50.22
Subd. 14. ACTUARIAL
EQUIVALENT. "Actuarial equivalent"
50.23 means the condition of one annuity or
benefit having an equal
50.24 actuarial present value as another
annuity or benefit,
50.25 determined as of a given date with each
actuarial present value
50.26 based on the appropriate mortality table
adopted by the board of
50.27 trustees based on the experience of the
fund as recommended by
50.28 the actuary retained by the
Legislative Commission on Pensions
50.29 and Retirement under section
356.214, and approved under section
50.30 356.215, subdivision 18, and
using the applicable preretirement
50.31 or postretirement interest rate
assumption specified in section
50.32 356.215, subdivision 8.
50.33
Sec. 3. Minnesota Statutes 2004,
section 354.05,
50.34 subdivision 7, is amended to read:
50.35
Subd. 7. ACTUARIAL EQUIVALENT.
"Actuarial equivalent"
50.36 means the condition of one annuity or
benefit having an equal
51.1
actuarial present value as another annuity or benefit,
51.2
determined as of a given date with each actuarial present value
51.3
based on the appropriate mortality table adopted by the board of
51.4
trustees based on the experience of the association as
51.5
recommended by the actuary retained by the Legislative
51.6 Commission
on Pensions and Retirement under section 356.214, and
51.7 approved
under section 356.215, subdivision 18, and using the
51.8
applicable preretirement or postretirement interest rate
51.9
assumption specified in section 356.215, subdivision 8.
51.10
Sec. 4. Minnesota Statutes 2004,
section 354A.011,
51.11 subdivision 3a, is amended to read:
51.12
Subd. 3a. ACTUARIAL
EQUIVALENT. "Actuarial equivalent"
51.13 means the condition of one annuity or
benefit having an equal
51.14 actuarial present value as another
annuity or benefit,
51.15 determined as of a given date with each
actuarial present value
51.16 based on the appropriate mortality table
adopted by the
51.17 appropriate board of trustees based on
the experience of that
51.18 retirement fund association as
recommended by the actuary
51.19 retained by the Legislative
Commission on Pensions and
51.20 Retirement under section
356.214, and approved under section
51.21 356.215, subdivision 18, and
using the applicable preretirement
51.22 or postretirement interest rate
assumption specified in section
51.23 356.215, subdivision 8.
51.24
Sec. 5. Minnesota Statutes 2004,
section 422A.01,
51.25 subdivision 6, is amended to read:
51.26
Subd. 6. PRESENT WORTH OR
PRESENT VALUE. "Present worth"
51.27 or "present value" means that
the present amount of money if
51.28 increased at the applicable
postretirement or preretirement
51.29 interest rate assumption specified in
section 356.215,
51.30 subdivision 8, and based on the
mortality table adopted by the
51.31 board of trustees based on the
experience of the fund as
51.32 recommended by the actuary retained by
the Legislative
51.33 Commission on Pensions and Retirement
under section 356.214, and
51.34 approved under section 356.215,
subdivision 18, will at
51.35 retirement equal the actuarial accrued
liability of the annuity
51.36 already earned.
52.1
Sec. 6. Minnesota Statutes 2004,
section 490.121,
52.2
subdivision 20, is amended to read:
52.3
Subd. 20. ACTUARIAL
EQUIVALENT. "Actuarial equivalent"
52.4
means the condition of one annuity or benefit having an equal
52.5
actuarial present value as another annuity or benefit,
52.6
determined as of a given date with each actuarial present value
52.7
based on the appropriate mortality table adopted by the board of
52.8 trustees
directors of the Minnesota State Retirement System
52.9
based on the experience of the fund as recommended by
52.10 the commission‑retained
actuary retained under section 356.214,
52.11 and approved under section 356.215,
subdivision 18, and using
52.12 the applicable preretirement or
postretirement interest rate
52.13 assumption specified in section 356.215,
subdivision 8.
52.14
Sec. 7. EFFECTIVE DATE.
52.15
Sections 1 to 6 are effective July 1, 2005.
52.16 ARTICLE 4
52.17 MEMBERSHIP INCLUSIONS
52.18 AND EXCLUSIONS
52.19
Section 1. Minnesota Statutes
2004, section 69.011, is
52.20 amended by adding a subdivision to read:
52.21
Subd. 2c. INELIGIBILITY
OF CERTAIN POLICE OFFICERS. A
52.22 police officer employed by the
University of Minnesota who is
52.23 required by the Board of Regents to
the University of Minnesota
52.24 faculty retirement plan is not
eligible to be included in any
52.25 police state aid certification under
this section.
52.26
Sec. 2. Minnesota Statutes 2004,
section 353.01,
52.27 subdivision 6, is amended to read:
52.28
Subd. 6. GOVERNMENTAL
SUBDIVISION. (a) "Governmental
52.29 subdivision" means a county, city,
town, school district within
52.30 this state, or a department or unit of
state government, or any
52.31 public body whose revenues are derived
from taxation, fees,
52.32 assessments or from other sources.
52.33
(b) Governmental subdivision also means the Public
52.34 Employees Retirement Association, the
League of Minnesota
52.35 Cities, the Association of Metropolitan
Municipalities, public
52.36 hospitals owned or operated by, or an
integral part of, a
53.1
governmental subdivision or governmental subdivisions, the
53.2
Association of Minnesota Counties, the Metropolitan Intercounty
53.3
Association, the Minnesota Municipal Utilities Association, the
53.4
Metropolitan Airports Commission, the University of Minnesota
53.5 with
respect to police officers covered by the public employees
53.6 police
and fire retirement plan, the Minneapolis Employees
53.7
Retirement Fund for employment initially commenced after June
53.8
30, 1979, the Range Association of Municipalities and Schools,
53.9
soil and water conservation districts, economic development
53.10 authorities created or operating under
sections 469.090 to
53.11 469.108, the Port Authority of the city
of St. Paul, the Spring
53.12 Lake Park Fire Department, incorporated,
the Lake Johanna
53.13 Volunteer Fire Department, incorporated,
the Red Wing
53.14 Environmental Learning Center, and the
Dakota County
53.15 Agricultural Society.
53.16
(c) Governmental subdivision does not mean any municipal
53.17 housing and redevelopment authority
organized under the
53.18 provisions of sections 469.001 to
469.047; or any port authority
53.19 organized under sections 469.048 to
469.089 other than the Port
53.20 Authority of the city of St. Paul; or
any hospital district
53.21 organized or reorganized prior to July
1, 1975, under sections
53.22 447.31 to 447.37 or the successor of the
district, nor the
53.23 Minneapolis Community Development
Agency.
53.24
Sec. 3. Minnesota Statutes 2004,
section 353.64, is
53.25 amended by adding a subdivision to read:
53.26
Subd. 6a. UNIVERSITY OF
MINNESOTA POLICE OFFICERS;
53.27 EXCLUSION. (a) Unless paragraph (b)
applies, a person who is
53.28 employed as a peace officer by the
University of Minnesota at
53.29 any campus or facility of the
university, who is required by the
53.30 university to be and is licensed as a
peace officer by the
53.31 Minnesota Peace Officer Standards and
Training Board under
53.32 section 626.84 to 626.863, and who
has the full power of arrest
53.33 is a member of the police and fire
retirement plan.
53.34
(b) A police officer employed by the University of
53.35 Minnesota who is required by the
Board of Regents to contribute
53.36 to the University of Minnesota
faculty retirement plan is not
54.1 eligible
to be a member of the public employees police and fire
54.2 fund.
54.3
Sec. 4. EFFECTIVE DATE.
54.4
Sections 1 to 3 are effective on July 1, 2005.
54.5 ARTICLE 5
54.6 PENSION BENEFITS UPON
PRIVATIZATION
54.7
Section 1. Minnesota Statutes
2004, section 353F.02,
54.8
subdivision 4, is amended to read:
54.9
Subd. 4. MEDICAL FACILITY.
"Medical facility" means:
54.10
(1) Bridges Medical Services;
54.11
(2) the Fair Oaks Lodge, Wadena;
54.12
(2) (3) the Glencoe Area Health Center;
54.13
(3) (4) the Hutchinson Area Health Care;
54.14
(5) the Kanabec Hospital;
54.15
(4) (6) the Luverne Public Hospital;
54.16 (7) the Northfield Hospital;
54.17
(5) (8) the RenVilla Nursing Home;
54.18
(6) (9) the Renville County Hospital in Olivia;
54.19
(7) (10) the St. Peter Community Healthcare Center; and
54.20
(8) (11) the Waconia‑Ridgeview Medical Center.
54.21
Sec. 2. Laws 2004, chapter 267,
article 12, section 4, is
54.22 amended to read:
54.23
Sec. 4. EFFECTIVE DATE.
54.24
(a) Section 1, relating to the Fair Oaks Lodge, Wadena, is
54.25 effective upon the latter of:
54.26
(1) the day after the governing body of Todd County and its
54.27 chief clerical officer timely complete
their compliance with
54.28 Minnesota Statutes, section 645.021,
subdivisions 2 and 3; and
54.29
(2) the day after the governing body of Wadena County and
54.30 its chief clerical officer timely
complete their compliance with
54.31 Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
54.32
(b) Section 1, relating to the RenVilla Nursing Home, is
54.33 effective upon the latter of:
54.34
(1) the day after the governing body of the city of
54.35 Renville and its chief clerical officer
timely complete their
54.36 compliance with Minnesota Statutes,
section 645.021,
55.1
subdivisions 2 and 3, except that the certificate of approval
55.2 must
be filed before January 1, 2006; and
55.3
(2) the first day of the month next following certification
55.4 to
the governing body of the city of Renville by the executive
55.5
director of the Public Employees Retirement Association that the
55.6
actuarial accrued liability of the special benefit coverage
55.7
proposed for extension to the privatized RenVilla Nursing Home
55.8
employees under section 1 does not exceed the actuarial gain
55.9
otherwise to be accrued by the Public Employees Retirement
55.10 Association, as calculated by the
consulting actuary retained by
55.11 the Legislative Commission on Pensions
and Retirement, or the
55.12 actuary retained under Minnesota
Statutes, section 356.214,
55.13 whichever is applicable.
55.14
(c) The cost of the actuarial calculations must be borne by
55.15 the city of Renville or the purchaser of
the RenVilla Nursing
55.16 Home.
55.17
(d) Section 1, relating to the St. Peter Community
55.18 Healthcare Center, is effective upon the
latter of:
55.19
(1) the day after the governing body of the city of St.
55.20 Peter and its chief clerical officer
timely complete their
55.21 compliance with Minnesota Statutes,
section 645.021,
55.22 subdivisions 2 and 3; and
55.23
(2) the first day of the month next following certification
55.24 to the governing body of the city of St.
Peter by the executive
55.25 director of the Public Employees
Retirement Association that the
55.26 actuarial accrued liability of the
special benefit coverage
55.27 proposed for extension to the privatized
St. Peter Community
55.28 Healthcare Center employees under section
1 does not exceed the
55.29 actuarial gain otherwise to be accrued
by the Public Employees
55.30 Retirement Association, as calculated by
the consulting actuary
55.31 retained by the Legislative Commission
on Pensions and
55.32 Retirement, or the actuary retained
under Minnesota Statutes,
55.33 section 356.214, whichever is
applicable.
55.34
(e) The cost of the actuarial calculations must be borne by
55.35 the city of St. Peter or the purchaser
of the St. Peter
55.36 Community Healthcare Center.
56.1
(f) If the required actions under paragraphs (b) and (c)
56.2
occur, section 1 applies retroactively to the RenVilla Nursing
56.3
Home as of the date of privatization.
56.4
(g) If the required actions under paragraph (a) occur,
56.5
section 1 applies retroactively to Fair Oaks Lodge, Wadena, as
56.6 of
January 1, 2004.
56.7
(h) Sections 2 and 3 are effective on the day following
56.8
final enactment. of January 1, 2004.
56.9
Sec. 3. EFFECTIVE DATE.
56.10
(a) Section 1, relating to Bridges Medical Services, is
56.11 effective upon the later of:
56.12
(1) the day after the governing body of the city of Ada and
56.13 its chief clerical officer timely
complete their compliance with
56.14 Minnesota Statutes, section 645.021,
subdivisions 2 and 3; and
56.15
(2) the first day of the month next following certification
56.16 to the governing body of the city of
Ada by the executive
56.17 director of the Public Employees
Retirement Association that the
56.18 actuarial accrued liability of the
special benefit coverage
56.19 proposed for extension to the
privatized Bridges Medical
56.20 Services employees under section 1
does not exceed the actuarial
56.21 gain otherwise to be accrued by the
Public Employees Retirement
56.22 Association, as calculated by the
consulting actuary retained
56.23 under Minnesota Statutes, section
356.214.
56.24
(b) Section 1, relating to the Hutchinson Area Health Care,
56.25 is effective upon the later of:
56.26
(1) the day after the governing body of the city of
56.27 Hutchinson and its chief clerical
officer timely complete their
56.28 compliance with Minnesota Statutes,
section 645.021,
56.29 subdivisions 2 and 3; and
56.30
(2) the first day of the month next following certification
56.31 to the governing body of the city of
Hutchinson by the executive
56.32 director of the Public Employees
Retirement Association that the
56.33 actuarial accrued liability of the
special benefit coverage
56.34 proposed for extension to the
privatized Hutchinson Area Health
56.35 Care employees under section 1 does
not exceed the actuarial
56.36 gain otherwise to be accrued by the
Public Employees Retirement
57.1 Association,
as calculated by the consulting actuary retained by
57.2 the
Legislative Commission on Pensions and Retirement.
57.3
(c) Section 1, relating to the Northfield Hospital, is
57.4 effective
upon the later of:
57.5
(1) the day after the governing body of the city of
57.6 Hutchinson
and its chief clerical officer timely complete their
57.7 compliance
with Minnesota Statutes, section 645.021,
57.8 subdivisions
2 and 3; and
57.9
(2) the first day of the month next following certification
57.10 to the governing body of the city of
Hutchinson by the executive
57.11 director of the Public Employees
Retirement Association that the
57.12 actuarial accrued liability of the
special benefit coverage
57.13 proposed for extension to the
privatized Hutchinson Area Health
57.14 Care employees under section 1 does
not exceed the actuarial
57.15 gain otherwise to be accrued by the
Public Employees Retirement
57.16 Association, as calculated by the
consulting actuary retained by
57.17 the Legislative Commission on
Pensions and Retirement.
57.18
(d) The cost of the actuarial calculations must be borne by
57.19 the facility, the city in which the
facility is located, or the
57.20 purchaser of the facility.
57.21
(e) If the required actions in paragraphs (a), (b), or (c)
57.22 and (d) occur, section 1 applies
retroactively to the date of
57.23 privatization.
57.24
(f) Section 2 is effective on the day following final
57.25 enactment.
57.26 ARTICLE 6
57.27 MNSCU IRAP CHANGES
57.28
Section 1. Minnesota Statutes
2004, section 354B.25,
57.29 subdivision 2, is amended to read:
57.30
Subd. 2. INVESTMENT OPTIONS.
(a) The plan administrator
57.31 shall arrange for the purchase of
investment products.
57.32
(b) The investment products must be purchased with
57.33 contributions under section 354B.23 or
with money or assets
57.34 otherwise provided by law by authority
of the board.
57.35
(c) Various investment accounts offered through the
57.36 Minnesota supplemental investment fund
established under section
58.1
11A.17 and administered by the State Board of Investment is one
58.2 of
the may be included as investment products for the individual
58.3
retirement account plan. Direct
access must also be provided to
58.4
lower expense and no‑load mutual funds, as those terms are
58.5
defined by the federal Securities and Exchange Commission,
58.6
including stock funds, bond funds, and balanced funds. Other
58.7
investment products or combination of investment products which
58.8
may be included are:
58.9
(1) savings accounts at federally insured financial
58.10 institutions;
58.11
(2) life insurance contracts, fixed and variable annuity
58.12 contracts from companies that are
subject to regulation by the
58.13 commerce commissioner;
58.14
(3) investment options from open‑ended investment companies
58.15 registered under the federal Investment
Company Act of 1940,
58.16 United States Code, title 15, sections
80a‑1 to 80a‑64;
58.17
(4) investment options from a firm that is a registered
58.18 investment advisor under the federal
Investment Advisers Act of
58.19 1940, United States Code, title 15,
sections 80b‑1 to 80b‑21;
58.20 and
58.21
(5) investment options of a bank as defined in United
58.22 States Code, title 15, section 80b‑2,
subsection (a), paragraph
58.23 2, or a bank holding company as defined
in the Bank Holding
58.24 Company Act of 1956, United States Code,
title 12, section 1841,
58.25 subsection (a), paragraph (1).
58.26
Sec. 2. EFFECTIVE DATE.
58.27
Section 1 is effective the day following final enactment.
58.28 ARTICLE 7
58.29 SUPPLEMENTAL RETIREMENT PLANS
58.30
Section 1. Minnesota Statutes
2004, section 356.24,
58.31 subdivision 1, is amended to read:
58.32
Subdivision 1. RESTRICTION;
EXCEPTIONS. It is unlawful
58.33 for a school district or other
governmental subdivision or state
58.34 agency to levy taxes for, or to
contribute public funds to a
58.35 supplemental pension or deferred
compensation plan that is
58.36 established, maintained, and operated in
addition to a primary
59.1
pension program for the benefit of the governmental subdivision
59.2
employees other than:
59.3
(1) to a supplemental pension plan that was established,
59.4
maintained, and operated before May 6, 1971;
59.5
(2) to a plan that provides solely for group health,
59.6
hospital, disability, or death benefits;
59.7
(3) to the individual retirement account plan established
59.8 by
chapter 354B;
59.9
(4) to a plan that provides solely for severance pay under
59.10 section 465.72 to a retiring or
terminating employee;
59.11
(5) for employees other than personnel employed by the
59.12 Board of Trustees of the Minnesota State
Colleges and
59.13 Universities and covered under the
Higher Education Supplemental
59.14 Retirement Plan under chapter 354C, if
the supplemental plan
59.15 coverage is provided for in a personnel
policy of the public
59.16 employer or in the collective bargaining
agreement between the
59.17 public employer and the exclusive
representative of public
59.18 employees in an appropriate unit, in an
amount matching employee
59.19 contributions on a dollar for dollar
basis, but not to exceed an
59.20 employer contribution of $2,000 a year
per employee;
59.21
(i) to the state of Minnesota deferred compensation plan
59.22 under section 352.96; or
59.23
(ii) in payment of the applicable portion of the
59.24 contribution made to any investment
eligible under section
59.25 403(b) of the Internal Revenue Code, if
the employing unit has
59.26 complied with any applicable pension
plan provisions of the
59.27 Internal Revenue Code with respect to
the tax‑sheltered annuity
59.28 program during the preceding calendar
year;
59.29
(6) for personnel employed by the Board of Trustees of the
59.30 Minnesota State Colleges and
Universities and not covered by
59.31 clause (5), to the supplemental
retirement plan under chapter
59.32 354C, if the supplemental plan coverage
is provided for in a
59.33 personnel policy or in the collective
bargaining agreement of
59.34 the public employer with the exclusive
representative of the
59.35 covered employees in an appropriate
unit, in an amount matching
59.36 employee contributions on a dollar for
dollar basis, but not to
60.1
exceed an employer contribution of $2,700 a year for each
60.2 employee;
60.3
(7) to a supplemental plan or to a governmental trust to
60.4
save for postretirement health care expenses qualified for
60.5
tax‑preferred treatment under the Internal Revenue Code, if the
60.6
supplemental plan coverage is provided for in a personnel policy
60.7 or
in the collective bargaining agreement of a public employer
60.8
with the exclusive representative of the covered employees in an
60.9
appropriate unit;
60.10
(8) to the laborer's national industrial pension fund or to
60.11 a laborer's local pension fund
for the employees of a
60.12 governmental subdivision who are covered
by a collective
60.13 bargaining agreement that provides for
coverage by that fund and
60.14 that sets forth a fund contribution
rate, but not to exceed an
60.15 employer contribution of $2,000 $5,000
per year per employee;
60.16
(9) to the plumbers' and pipefitters' national pension fund
60.17 or to a plumbers' and pipefitters' local
pension fund for the
60.18 employees of a governmental subdivision
who are covered by a
60.19 collective bargaining agreement that
provides for coverage by
60.20 that fund and that sets forth a fund
contribution rate, but not
60.21 to exceed an employer contribution of $2,000
$5,000 per year per
60.22 employee;
60.23
(10) to the international union of operating engineers
60.24 pension fund for the employees of a
governmental subdivision who
60.25 are covered by a collective bargaining
agreement that provides
60.26 for coverage by that fund and that sets
forth a fund
60.27 contribution rate, but not to exceed an
employer contribution of
60.28 $2,000 $5,000 per year per
employee; or
60.29
(11) to a supplemental plan organized and operated under
60.30 the federal Internal Revenue Code, as
amended, that is wholly
60.31 and solely funded by the employee's
accumulated sick leave,
60.32 accumulated vacation leave, and
accumulated severance pay at the
60.33 date of retirement or the termination
of active employment.
60.34
Sec. 2. EFFECTIVE DATE.
60.35
Section 1 is effective on the day following final enactment.
60.36 ARTICLE 8
61.1 VOLUNTEER FIREFIGHTER
RELIEF
61.2 ASSOCIATION CHANGES
61.3
Section 1. Minnesota Statutes
2004, section 69.051,
61.4
subdivision 1, is amended to read:
61.5
Subdivision 1. FINANCIAL
REPORT AND AUDIT. The board of
61.6
each salaried firefighters' relief association, police relief
61.7
association, and volunteer firefighters' relief association as
61.8
defined in section 424A.001, subdivision 4, with assets of at
61.9
least $200,000 or liabilities of at least $200,000 in the prior
61.10 year or in any previous year,
according to the most recent
61.11 applicable actuarial valuation or
financial report if no
61.12 valuation is required, shall:
61.13
(1) prepare a financial report covering the special and
61.14 general funds of the relief association
for the preceding fiscal
61.15 year on a form prescribed by the state
auditor. The financial
61.16 report shall must contain
financial statements and disclosures
61.17 which present the true financial
condition of the relief
61.18 association and the results of relief
association operations in
61.19 conformity with generally accepted
accounting principles and in
61.20 compliance with the regulatory,
financing and funding provisions
61.21 of this chapter and any other applicable
laws. The financial
61.22 report shall must be
countersigned by the municipal clerk or
61.23 clerk‑treasurer of the
municipality in which the relief
61.24 association is located if the relief
association is a
61.25 firefighters' relief association which
is directly associated
61.26 with a municipal fire department or is a
police relief
61.27 association, or countersigned by the
secretary of the
61.28 independent nonprofit firefighting
corporation and by the
61.29 municipal clerk or clerk‑treasurer
of the largest municipality
61.30 in population which contracts with the
independent nonprofit
61.31 firefighting corporation if the Volunteer
Firefighter Relief
61.32 Association is a subsidiary of an
independent nonprofit
61.33 firefighting corporation;
61.34
(2) file the financial report in its office for public
61.35 inspection and present it to the city
council after the close of
61.36 the fiscal year. One copy of the financial report shall
must be
62.1
furnished to the state auditor after the close of the fiscal
62.2
year; and
62.3
(3) submit to the state auditor audited financial
62.4
statements which have been attested to by a certified public
62.5
accountant, public accountant, or the state auditor within 180
62.6
days after the close of the fiscal year.
The state auditor may
62.7
accept this report in lieu of the report required in clause (2).
62.8
Sec. 2. Minnesota Statutes 2004,
section 69.051,
62.9
subdivision 1a, is amended to read:
62.10
Subd. 1a. FINANCIAL STATEMENT.
(a) The board of each
62.11 volunteer firefighters' relief
association, as defined in
62.12 section 424A.001, subdivision 4, with
assets of less than
62.13 $200,000 and liabilities less than
$200,000, according to the
62.14 most recent financial report, shall
that is not required to file
62.15 a financial report and audit under
subdivision 1 must prepare a
62.16 detailed statement of the financial affairs
for the preceding
62.17 fiscal year of the relief association's
special and general
62.18 funds in the style and form prescribed
by the state auditor.
62.19 The detailed statement must show the
sources and amounts of all
62.20 money received; all disbursements,
accounts payable and accounts
62.21 receivable; the amount of money
remaining in the treasury; total
62.22 assets including a listing of all
investments; the accrued
62.23 liabilities; and all items necessary to
show accurately the
62.24 revenues and expenditures and financial
position of the relief
62.25 association.
62.26
(b) The detailed financial statement required under
62.27 paragraph (a) must be certified by an
independent public
62.28 accountant or auditor or by the auditor
or accountant who
62.29 regularly examines or audits the
financial transactions of the
62.30 municipality. In addition to certifying the financial
condition
62.31 of the special and general funds of the
relief association, the
62.32 accountant or auditor conducting the
examination shall give an
62.33 opinion as to the condition of the
special and general funds of
62.34 the relief association, and shall
comment upon any exceptions to
62.35 the report. The independent accountant or auditor shall
must
62.36 have at least five years of public
accounting, auditing, or
63.1
similar experience, and shall must not be an active,
inactive,
63.2 or
retired member of the relief association or the fire or
63.3
police department.
63.4
(c) The detailed statement required under paragraph (a)
63.5
must be countersigned by the municipal clerk or clerk‑treasurer
63.6 of
the municipality, or, where applicable, by the secretary of
63.7
the independent nonprofit firefighting corporation and by the
63.8
municipal clerk or clerk‑treasurer of the largest municipality
63.9 in
population which contracts with the independent nonprofit
63.10 firefighting corporation if the relief
association is a
63.11 subsidiary of an independent nonprofit
firefighting corporation.
63.12
(d) The volunteer firefighters' relief association board
63.13 must file the detailed statement
required under paragraph (a) in
63.14 the relief association office for public
inspection and present
63.15 it to the city council within 45 days
after the close of the
63.16 fiscal year, and must submit a copy of
the detailed statement to
63.17 the state auditor within 90 days of the
close of the fiscal year.
63.18
Sec. 3. Minnesota Statutes 2004,
section 69.771, is
63.19 amended to read:
63.20
69.771 VOLUNTEER FIREFIGHTERS' RELIEF ASSOCIATION
63.21 FINANCING GUIDELINES ACT; APPLICATION.
63.22
Subdivision 1. COVERED RELIEF
ASSOCIATIONS. The
63.23 applicable provisions of sections 69.771
to 69.776 shall apply
63.24 to any firefighters' relief association
other than a relief
63.25 association enumerated in section 69.77,
subdivision 1a, which
63.26 is organized under any laws of this
state, which is composed of
63.27 volunteer firefighters or is
composed partially of volunteer
63.28 firefighters and partially of salaried
firefighters with
63.29 retirement coverage provided by the
public employees police and
63.30 fire fund and which, in either case,
operates subject to the
63.31 service pension minimum requirements for
entitlement and
63.32 maximums contained in section 424A.02,
or subject to a special
63.33 law modifying those requirements or
maximums.
63.34
Subd. 2. AUTHORIZED EMPLOYER
SUPPORT FOR A RELIEF
63.35 ASSOCIATION. Notwithstanding any law to the
contrary, a
63.36 municipality may lawfully contribute
public funds, including the
64.1 transfer
of any applicable fire state aid, or may levy property
64.2
taxes for the support of a firefighters' relief association
64.3
specified in subdivision 1, however organized, which provides
64.4
retirement coverage or pays a service pension to retired
64.5
firefighter or a retirement benefit to a disabled firefighter or
64.6 a
surviving dependent of either an active or retired firefighter
64.7
for the operation and maintenance of the relief association only
64.8 if
the municipality and the relief association both comply with
64.9
the applicable provisions of sections 69.771 to 69.776.
64.10
Subd. 3. REMEDY FOR
NONCOMPLIANCE; DETERMINATION.
64.11 Any (a) A municipality in
which there exists a firefighters'
64.12 relief association as specified in
subdivision 1 which does not
64.13 comply with the applicable provisions of
sections 69.771 to
64.14 69.776 or the provisions of any
applicable special law relating
64.15 to the funding or financing of the
association shall does not
64.16 qualify initially to receive, or be
and is not entitled
64.17 subsequently to retain, fire state aid pursuant
to under
64.18 sections 69.011 to 69.051 until the
reason for the
64.19 disqualification specified by the
state auditor is remedied,
64.20 whereupon the municipality or relief
association, if otherwise
64.21 qualified, shall be is
entitled to again receive fire state aid
64.22 for the year occurring immediately
subsequent to the year in
64.23 which the disqualification is
remedied.
64.24
(b) The state auditor shall determine if a municipality to
64.25 which a firefighters' relief association
is directly associated
64.26 or a firefighters' relief association
fails to comply with the
64.27 provisions of sections 69.771 to 69.776
or the funding or
64.28 financing provisions of any applicable
special law based upon
64.29 the information contained in the annual
financial report of the
64.30 firefighters' relief association
required pursuant to under
64.31 section 69.051., the actuarial
valuation of the relief
64.32 association, if applicable, the
relief association officers'
64.33 financial requirements of the relief
association and minimum
64.34 municipal obligation determination
documentation under section
64.35 69.772, subdivisions 3 and 4; 69.773,
subdivisions 4 and 5; or
64.36 69.774, subdivision 2, if requested
to be filed by the state
65.1 auditor,
the applicable municipal or nonprofit firefighting
65.2 corporation
budget, if requested to be filed by the state
65.3 auditor,
and any other relevant documents or reports obtained by
65.4 the
state auditor.
65.5
(c) The municipality or nonprofit firefighting corporation
65.6 and
the associated relief association are not eligible to
65.7 receive
or to retain fire state aid if:
65.8
(1) the relief association fails to prepare or to file the
65.9 financial
report or financial statement under section 69.051;
65.10
(2) the relief association treasurer is not bonded in the
65.11 manner and in the amount required by
section 69.051, subdivision
65.12 2;
65.13
(3) the relief association officers fail to determine or
65.14 improperly determine the accrued
liability and the annual
65.15 accruing liability of the relief
association under section
65.16 69.772, subdivisions 2, 2a, and 3,
paragraph (c), clause (2), if
65.17 applicable;
65.18
(4) if applicable, the relief association officers fail to
65.19 obtain and file a required actuarial
valuation or the officers
65.20 file an actuarial valuation that does
not contain the special
65.21 fund actuarial liability calculated
under the entry age normal
65.22 actuarial cost method, the special
fund current assets, the
65.23 special fund unfunded actuarial
accrued liability, the special
65.24 fund normal cost under the entry age
normal actuarial cost
65.25 method, the amortization requirement
for the special fund
65.26 unfunded actuarial accrued liability
by the applicable target
65.27 date, a summary of the applicable
benefit plan, a summary of the
65.28 membership of the relief association,
a summary of the actuarial
65.29 assumptions used in preparing the
valuation, and a signed
65.30 statement by the actuary attesting to
its results and certifying
65.31 to the qualifications of the actuary
as an approved actuary
65.32 under section 356.215, subdivision 1,
paragraph (c);
65.33
(5) the municipality failed to provide a municipal
65.34 contribution, or the nonprofit
firefighting corporation failed
65.35 to provide a corporate contribution,
in the amount equal to the
65.36 minimum municipal obligation if the
relief association is
66.1 governed
under section 69.772, or the amount necessary, when
66.2 added
to the fire state aid actually received in the plan year
66.3 in
question, to at least equal in total the calculated annual
66.4 financial
requirements of the special fund of the relief
66.5 association
if the relief association is governed under section
66.6 69.773,
and, if the municipal or corporate contribution is
66.7 deficient,
the municipality failed to include the minimum
66.8 municipal
obligation certified under section 69.772, subdivision
66.9 3,
or 69.773, subdivision 5, in its budget and tax levy or the
66.10 nonprofit firefighting corporation
failed to include the minimum
66.11 corporate obligation certified under
section 69.774, subdivision
66.12 2, in the corporate budget;
66.13 (6) the relief association did not receive
municipal
66.14 ratification for the most recent plan
amendment when municipal
66.15 ratification was required under
section 69.772, subdivision 6;
66.16 69.773, subdivision 6; or 424A.02,
subdivision 10;
66.17
(7) the relief association invested special fund assets in
66.18 an investment security that is not
authorized under section
66.19 69.775;
66.20
(8) the relief association had an administrative expense
66.21 that is not authorized under section
69.80 or 424A.05,
66.22 subdivision 3, or the municipality
had an expenditure that is
66.23 not authorized under section 424A.08;
66.24
(9) the relief association officers fail to provide a
66.25 complete and accurate public pension
plan investment portfolio
66.26 and performance disclosure under
section 356.219;
66.27
(10) the relief association fails to obtain the
66.28 acknowledgment from a broker of the
statement of investment
66.29 restrictions under section 356A.06,
subdivision 8b;
66.30
(11) the relief association officers permitted to occur a
66.31 prohibited transaction under section
356A.06, subdivision 9, or
66.32 424A.001, subdivision 7, or failed to
undertake correction of a
66.33 prohibited transaction that did
occur; or
66.34
(12) the relief association pays a defined benefit service
66.35 pension in an amount that is in
excess of the applicable service
66.36 pension maximum under section
424A.02, subdivision 3.
67.1
Sec. 4. Minnesota Statutes 2004,
section 69.772,
67.2
subdivision 3, is amended to read:
67.3
Subd. 3. FINANCIAL
REQUIREMENTS OF RELIEF ASSOCIATION;
67.4
MINIMUM OBLIGATION OF MUNICIPALITY. (a) During the month of
67.5 July,
the officers of the relief association shall determine the
67.6
overall funding balance of the special fund for the current
67.7
calendar year, the financial requirements of the special fund
67.8
for the following calendar year and the minimum obligation of
67.9
the municipality with respect to the special fund for the
67.10 following calendar year in accordance
with the requirements of
67.11 this subdivision.
67.12
(1) (b) The overall funding balance of the special fund
for
67.13 the current calendar year shall must
be determined in the
67.14 following manner:
67.15
(a) (1) The total accrued liability of the special fund
for
67.16 all active and deferred members of the
relief association as of
67.17 December 31 of the current year shall
must be calculated
67.18 pursuant to under
subdivisions 2 and 2a, if applicable.
67.19
(b) (2) The total present assets of the special fund
67.20 projected to December 31 of the current
year, including receipts
67.21 by and disbursements from the special
fund anticipated to occur
67.22 on or before December 31 shall,
must be calculated. To the
67.23 extent possible, for those assets for
which a market value is
67.24 readily ascertainable, the current
market value as of the date
67.25 of the calculation for those assets shall
must be utilized in
67.26 making this calculation. For any asset for which no market
67.27 value is readily ascertainable, the cost
value or the book
67.28 value, whichever is applicable, shall
must be utilized in making
67.29 this calculation.
67.30
(c) (3) The amount of the total present assets of the
67.31 special fund calculated pursuant to
under clause (b) shall (2)
67.32 must be subtracted from the
amount of the total accrued
67.33 liability of the special fund calculated
pursuant to under
67.34 clause (a) (1). If the amount of total present assets exceeds
67.35 the amount of the total accrued
liability, then the special fund
67.36 shall be is considered to
have a surplus over full funding. If
68.1
the amount of the total present assets is less than the amount
68.2 of
the total accrued liability, then the special fund shall be
68.3 is
considered to have a deficit from full funding.
If the
68.4
amount of total present assets is equal to the amount of the
68.5
total accrued liability, then the special fund shall be is
68.6
considered to be fully funded.
68.7
(2) (c) The financial requirements of the special fund for
68.8
the following calendar year shall must be determined in
the
68.9
following manner:
68.10
(a) (1) The total accrued liability of the special fund
for
68.11 all active and deferred members of the
relief association as of
68.12 December 31 of the calendar year next
following the current
68.13 calendar year shall must
be calculated pursuant to under
68.14 subdivisions 2 and 2a, if applicable.
68.15
(b) (2) The increase in the total accrued liability of the
68.16 special fund for the following calendar
year over the total
68.17 accrued liability of the special fund
for the current year shall
68.18 must be calculated.
68.19
(c) (3) The amount of anticipated future administrative
68.20 expenses of the special fund shall
must be calculated by
68.21 multiplying the dollar amount of the
administrative expenses of
68.22 the special fund for the most recent prior
calendar year by the
68.23 factor of 1.035.
68.24
(d) (4) If the special fund is fully funded, the financial
68.25 requirement requirements
of the special fund for the following
68.26 calendar year shall be are
the figure which represents the
68.27 increase in the total accrued
liability of the special fund as
68.28 amounts calculated pursuant to
subclause (b) under clauses (2)
68.29 and (3).
68.30
(e) (5) If the special fund has a deficit from full
68.31 funding, the financial requirements of
the special fund for the
68.32 following calendar year shall be are
the financial requirements
68.33 of the special fund calculated as though
the special fund were
68.34 fully funded pursuant to subclause
(d) under clause (4) plus an
68.35 amount equal to one‑tenth of the original
amount of the deficit
68.36 from full funding of the special fund as
determined pursuant to
69.1 this
section for the calendar year 1971 until that deficit from
69.2 full
funding is fully retired, and plus an amount equal to
69.3 one‑tenth
of the increase in the deficit from full funding of
69.4 the
special fund under clause (2) resulting either from an
69.5
increase in the amount of the service pension accruing after
69.6 December
31, 1971 occurring in the last ten years or from a net
69.7 annual
investment loss occurring during the last ten years until
69.8
each increase in the deficit from full funding is fully
69.9
retired. The annual
amortization contribution under this clause
69.10 may not exceed the amount of the
deficit from full funding.
69.11
(f) (6) If the special fund has a surplus over full
69.12 funding, the financial requirements of
the special fund for the
69.13 following calendar year shall be are
the financial requirements
69.14 of the special fund calculated as though
the special fund were
69.15 fully funded pursuant to subclause
(d) under clause (4) reduced
69.16 by an amount equal to one‑tenth of
the amount of the surplus
69.17 over full funding of the special fund.
69.18
(3) (d) The minimum obligation of the municipality with
69.19 respect to the special fund shall be
is the financial
69.20 requirements of the special fund reduced
by the amount of any
69.21 fire state aid payable pursuant to
under sections 69.011 to
69.22 69.051 reasonably anticipated to
be received by the municipality
69.23 for transmittal to the special fund
during the following
69.24 calendar year, an amount of interest on
the assets of the
69.25 special fund projected to the beginning
of the following
69.26 calendar year calculated at the rate of
five percent per annum,
69.27 and the amount of any anticipated
contributions to the special
69.28 fund required by the relief
association bylaws from the active
69.29 members of the relief association reasonably
anticipated to be
69.30 received during the following
calendar year. A reasonable
69.31 amount of anticipated fire state aid
is an amount that does not
69.32 exceed the fire state aid actually
received in the prior year
69.33 multiplied by the factor 1.035.
69.34
Sec. 5. Minnesota Statutes 2004,
section 69.772,
69.35 subdivision 4, is amended to read:
69.36
Subd. 4. CERTIFICATION OF
FINANCIAL REQUIREMENTS AND
70.1
MINIMUM MUNICIPAL OBLIGATION; LEVY. (a) The officers of the
70.2
relief association shall certify the financial requirements of
70.3
the special fund of the relief association and the minimum
70.4
obligation of the municipality with respect to the special fund
70.5 of
the relief association as determined pursuant to under
70.6
subdivision 3 to the governing body of the municipality on or
70.7
before August 1 of each year. The
financial requirements of the
70.8 relief
association and the minimum municipal obligation must be
70.9 included
in the financial report or financial statement under
70.10 section 69.051.
70.11
(b) The municipality shall provide for at least the minimum
70.12 obligation of the municipality with
respect to the special fund
70.13 of the relief association by tax levy or
from any other source
70.14 of public revenue.
70.15
(c) The municipality may levy taxes for the payment of the
70.16 minimum municipal obligation without any
limitation as to rate
70.17 or amount and irrespective of any
limitations imposed by other
70.18 provisions of law upon the rate or
amount of taxation until the
70.19 balance of the special fund or any fund
of the relief
70.20 association has attained a specified
level. In addition, any
70.21 taxes levied pursuant to under
this section shall must not cause
70.22 the amount or rate of any other taxes
levied in that year or to
70.23 be levied in a subsequent year by the
municipality which are
70.24 subject to a limitation as to rate or
amount to be reduced.
70.25
(d) If the municipality does not include the full amount of
70.26 the minimum municipal obligations in its
levy for any year, the
70.27 officers of the relief association shall
certify that amount to
70.28 the county auditor, who shall spread a
levy in the amount of the
70.29 certified minimum municipal
obligation on the taxable property
70.30 of the municipality.
70.31
(e) If the state auditor determines that a municipal
70.32 contribution actually made in a plan
year was insufficient under
70.33 section 69.771, subdivision 3,
paragraph (c), clause (5), the
70.34 state auditor may request a copy of
the certifications under
70.35 this subdivision from the relief
association or from the city.
70.36 The relief association or the city,
whichever applies, must
71.1 provide
the certifications within 14 days of the date of the
71.2 request
from the state auditor.
71.3
Sec. 6. Minnesota Statutes 2004,
section 69.773,
71.4
subdivision 4, is amended to read:
71.5
Subd. 4. FINANCIAL
REQUIREMENTS OF SPECIAL FUND. Prior
71.6 to
(a) On or before August 1 of each year, the officers of the
71.7
relief association shall determine the financial requirements of
71.8
the special fund of the relief association in accordance with
71.9
the requirements of this subdivision.
71.10
(b) The financial requirements of the relief
71.11 association shall must be
based on the most recent actuarial
71.12 valuation of the special fund prepared
in accordance with
71.13 subdivision 2. If the relief association has an unfunded
71.14 actuarial accrued liability as reported
in the most recent
71.15 actuarial valuation, the financial
requirements shall must be
71.16 determined by adding the figures
calculated pursuant to under
71.17 paragraph (d), clauses (a)
(1), (b) (2), and (c) (3). If
71.18 the relief association does not have an
unfunded actuarial
71.19 accrued liability as reported in the
most recent actuarial
71.20 valuation, the financial requirements shall
must be an amount
71.21 equal to the figure calculated pursuant
to under paragraph (d),
71.22 clauses (a) (1) and (b)
(2), reduced by an amount equal to
71.23 one‑tenth of the amount of any
assets in excess of the actuarial
71.24 accrued liability of the relief
association.
71.25
(c) The determination of whether or not the relief
71.26 association has an unfunded actuarial
accrued liability
71.27 shall must be based on the
current market value of assets for
71.28 which a market value is readily
ascertainable and the cost or
71.29 book value, whichever is applicable, for
assets for which no
71.30 market value is readily ascertainable.
71.31
(a) (d) The components of the financial requirements of the
71.32 relief association are the following:
71.33
(1) The normal level cost requirement for the following
71.34 year, expressed as a dollar amount, shall
be is the figure for
71.35 the normal level cost of the relief
association as reported in
71.36 the actuarial valuation.
72.1
(b) (2) The amount of anticipated future administrative
72.2
expenses of the special fund shall must be calculated by
72.3
multiplying the dollar amount of the administrative expenses of
72.4
the special fund for the most recent prior calendar year by the
72.5
factor of 1.035.
72.6
(c) (3) The amortization contribution requirement to
retire
72.7
the current unfunded actuarial accrued liability by the
72.8
established date for full funding shall be is the figure
for the
72.9
amortization contribution as reported in the actuarial
72.10 valuation. If there has not been a change in the
actuarial
72.11 assumptions used for calculating the
actuarial accrued liability
72.12 of the special fund, a change in the
bylaws of the relief
72.13 association governing the service
pensions, retirement benefits,
72.14 or both, payable from the special
fund, or a change in the
72.15 actuarial cost method used to value all
or a portion of the
72.16 special fund which change or changes,
which by themselves,
72.17 without inclusion of any other items of
increase or decrease,
72.18 produce a net increase in the unfunded
actuarial accrued
72.19 liability of the special fund since
December 31, 1970, the
72.20 established date for full funding shall
be is the December 31,
72.21 1990 occurring ten years later. If there has been a change in
72.22 the actuarial assumptions used for
calculating the actuarial
72.23 accrued liability of the special fund, a
change in the bylaws of
72.24 the relief association governing the
service pensions,
72.25 retirement benefits, or both payable
from the special fund or a
72.26 change in the actuarial cost method used
to value all or a
72.27 portion of the special fund and the
change or changes, by
72.28 themselves and without inclusion of any
other items of increase
72.29 or decrease, produce a net increase in
the unfunded actuarial
72.30 accrued liability of the special fund since
December 31, 1970,
72.31 but prior to January 1, 1979 within
the past 20 years, the
72.32 established date for full funding shall
be December 31, 1998,
72.33 and if there has been a change since
December 31, 1978, the
72.34 established date for full funding
shall must be determined using
72.35 the following procedure:
72.36
(i) the unfunded actuarial accrued liability of the special
73.1 fund
attributable to experience losses that have occurred since
73.2 the
most recent prior actuarial valuation must be determined and
73.3 the
level annual dollar contribution needed to amortize the
73.4 experience
loss over a period of ten years ending on the
73.5 December
31 occurring ten years later must be calculated;
73.6
(ii) the unfunded actuarial accrued liability of the
73.7
special fund shall must be determined in accordance with
the
73.8
provisions governing service pensions, retirement benefits, and
73.9
actuarial assumptions in effect before an applicable change;
73.10
(ii) (iii) the level annual dollar contribution needed to
73.11 amortize this unfunded actuarial accrued
liability amount by the
73.12 date for full funding in effect prior
to before the change shall
73.13 must be calculated using the
interest assumption specified in
73.14 section 356.215, subdivision 8, in
effect before any applicable
73.15 change;
73.16
(iii) (iv) the unfunded actuarial accrued liability of the
73.17 special fund shall must be
determined in accordance with any new
73.18 provisions governing service pensions,
retirement benefits, and
73.19 actuarial assumptions and the remaining
provisions governing
73.20 service pensions, retirement benefits,
and actuarial assumptions
73.21 in effect before an applicable change;
73.22
(iv) (v) the level annual dollar contribution needed to
73.23 amortize the difference between the
unfunded actuarial accrued
73.24 liability amount calculated pursuant
to subclause (i) under item
73.25 (ii) and the unfunded actuarial
accrued liability amount
73.26 calculated pursuant to subclause
(iii) under item (iv) over a
73.27 period of 20 years starting December 31
of the year in which the
73.28 change is effective shall must
be calculated using the interest
73.29 assumption specified in section 356.215,
subdivision 8, in
73.30 effect after any applicable change;
73.31
(v) (vi) the annual amortization contribution calculated
73.32 pursuant to subclause (iv) shall under
item (v) must be added to
73.33 the annual amortization contribution
calculated pursuant to
73.34 subclause (ii) under items (i)
and (iii);
73.35
(vi) (vii) the period in which the unfunded actuarial
73.36 accrued liability amount determined in subclause
(iii) item (iv)
74.1
will be amortized by the total annual amortization contribution
74.2
computed pursuant to subclause (v) shall under item (vi) must
be
74.3
calculated using the interest assumption specified in section
74.4
356.215, subdivision 8, in effect after any applicable change,
74.5
rounded to the nearest integral number of years, but which shall
74.6 must
not exceed a period of 20 years from the end of the year in
74.7
which the determination of the date for full funding using this
74.8
procedure is made and which shall must not be less than
the
74.9
period of years beginning in the year in which the determination
74.10 of the date for full funding using this
procedure is made and
74.11 ending by the date for full funding in
effect before the change;
74.12
(vii) (viii) the period determined pursuant to
subclause
74.13 (vi) shall under item (vii)
must be added to the date as of
74.14 which the actuarial valuation was
prepared and the resulting
74.15 date shall be is the new
date for full funding.
74.16
Sec. 7. Minnesota Statutes 2004,
section 69.773,
74.17 subdivision 5, is amended to read:
74.18
Subd. 5. MINIMUM MUNICIPAL
OBLIGATION. (a) The officers
74.19 of the relief association shall
determine the minimum obligation
74.20 of the municipality with respect to the
special fund of the
74.21 relief association for the following
calendar year prior to on
74.22 or before August 1 of each year
in accordance with the
74.23 requirements of this subdivision.
74.24
(b) The minimum obligation of the municipality with respect
74.25 to the special fund shall be is
an amount equal to the financial
74.26 requirements of the special fund of the
relief association
74.27 determined pursuant to under
subdivision 4, reduced by the
74.28 estimated amount of any fire state aid
payable pursuant to under
74.29 sections 69.011 to 69.051 reasonably
anticipated to be received
74.30 by the municipality for transmittal to
the special fund of the
74.31 relief association during the following
year and the amount of
74.32 any anticipated contributions to the
special fund required by
74.33 the relief association bylaws from
the active members of the
74.34 relief association reasonably
anticipated to be received during
74.35 the following calendar year. A reasonable amount of anticipated
74.36 fire state aid is an amount that does
not exceed the fire state
75.1 aid
actually received in the prior year multiplied by the factor
75.2 1.035.
75.3
(c) The officers of the relief association shall certify
75.4
the financial requirements of the special fund of the relief
75.5
association and the minimum obligation of the municipality with
75.6
respect to the special fund of the relief association as
75.7
determined pursuant to under subdivision 4 and this
subdivision
75.8 to
the governing body of the municipality by August 1 of each
75.9
year. The financial
requirements of the relief association and
75.10 the minimum municipal obligation must
be included in the
75.11 financial report or financial
statement under section 69.051.
75.12
(d) The municipality shall provide for at least the minimum
75.13 obligation of the municipality with
respect to the special fund
75.14 of the relief association by tax levy or
from any other source
75.15 of public revenue. The municipality may levy taxes for the
75.16 payment of the minimum municipal
obligation without any
75.17 limitation as to rate or amount and
irrespective of any
75.18 limitations imposed by other provisions
of law or charter upon
75.19 the rate or amount of taxation until the
balance of the special
75.20 fund or any fund of the relief
association has attained a
75.21 specified level. In addition, any taxes levied pursuant to
75.22 under this section shall must
not cause the amount or rate of
75.23 any other taxes levied in that year or
to be levied in a
75.24 subsequent year by the municipality
which are subject to a
75.25 limitation as to rate or amount to be
reduced.
75.26
(e) If the municipality does not include the full amount of
75.27 the minimum municipal obligation in its
levy for any year, the
75.28 officers of the relief association shall
certify that amount to
75.29 the county auditor, who shall spread a
levy in the amount of the
75.30 minimum municipal obligation on the
taxable property of the
75.31 municipality.
75.32
(f) If the state auditor determines that a municipal
75.33 contribution actually made in a plan
year was insufficient under
75.34 section 69.771, subdivision 3,
paragraph (c), clause (5), the
75.35 state auditor may request from the
relief association or from
75.36 the city a copy of the certifications
under this subdivision.
76.1 The
relief association or the city, whichever applies, must
76.2 provide
the certifications within 14 days of the date of the
76.3 request
from the state auditor.
76.4
Sec. 8. Minnesota Statutes 2004,
section 69.775, is
76.5
amended to read:
76.6
69.775 INVESTMENTS.
76.7
(a) The special fund assets of the a relief associations
76.8 association
governed by sections 69.771 to 69.776 must be
76.9
invested in securities that are authorized investments under
76.10 section 356A.06, subdivision 6 or
7.
76.11
(b) Notwithstanding the foregoing, up to 75 percent of the
76.12 market value of the assets of the special
fund, not including
76.13 any money market mutual funds,
may be invested in open‑end
76.14 investment companies registered under
the federal Investment
76.15 Company Act of 1940, if the portfolio
investments of the
76.16 investment companies comply with the
type of securities
76.17 authorized for investment under section
356A.06, subdivision 7.
76.18
(c) Securities held by the associations before June 2,
76.19 1989, that do not meet the requirements
of this section may be
76.20 retained after that date if they were
proper investments for the
76.21 association on that date.
76.22
(d) The governing board of the association may select and
76.23 appoint investment agencies to act for
and in its behalf or may
76.24 certify special fund assets for
investment by the State Board of
76.25 Investment under section 11A.17.
76.26
(e) The governing board of the association may certify
76.27 general fund assets of the relief
association for investment by
76.28 the State Board of Investment in fixed
income pools or in a
76.29 separately managed account at the
discretion of the State Board
76.30 of Investment as provided in section 11A.14.
76.31
(f) The governing board of the association may select and
76.32 appoint a qualified private firm to
measure management
76.33 performance and return on investment,
and the firm shall use the
76.34 formula or formulas developed by the
state board under section
76.35 11A.04, clause (11).
76.36
Sec. 9. Minnesota Statutes 2004,
section 356A.06,
77.1
subdivision 7, is amended to read:
77.2
Subd. 7. EXPANDED LIST OF
AUTHORIZED INVESTMENT
77.3
SECURITIES.
(a) AUTHORITY. Except to the
extent otherwise
77.4
authorized by law or bylaws, a covered pension plan not
77.5
described by subdivision 6, paragraph (a), may invest its assets
77.6
only in accordance with this subdivision.
77.7
(b) SECURITIES GENERALLY.
The covered pension plan has
77.8
the authority to purchase, sell, lend, or exchange the
77.9
securities specified in paragraphs (c) to (g) (h),
including
77.10 puts and call options and future
contracts traded on a contract
77.11 market regulated by a governmental
agency or by a financial
77.12 institution regulated by a governmental
agency. These
77.13 securities may be owned as units in
commingled trusts that own
77.14 the securities described in paragraphs
(c) to (g) (h).
77.15 (c) GOVERNMENT
OBLIGATIONS. The covered pension plan may
77.16 invest funds in governmental bonds,
notes, bills, mortgages, and
77.17 other evidences of indebtedness provided
the issue is backed by
77.18 the full faith and credit of the issuer
or the issue is rated
77.19 among the top four quality rating
categories by a nationally
77.20 recognized rating agency. The obligations in which funds may be
77.21 invested under this paragraph include
guaranteed or insured
77.22 issues of (1) the United States, its
agencies, its
77.23 instrumentalities, or organizations
created and regulated by an
77.24 act of Congress; (2) Canada and its
provinces, provided the
77.25 principal and interest is payable in
United States dollars; (3)
77.26 the states and their municipalities,
political subdivisions,
77.27 agencies, or instrumentalities; (4) the
International Bank for
77.28 Reconstruction and Development, the
Inter‑American Development
77.29 Bank, the Asian Development Bank, the
African Development Bank,
77.30 or any other United States government
sponsored organization of
77.31 which the United States is a member,
provided the principal and
77.32 interest is payable in United States dollars.
77.33
(d) CORPORATE OBLIGATIONS.
The covered pension plan may
77.34 invest funds in bonds, notes,
debentures, transportation
77.35 equipment obligations, or any other
longer term evidences of
77.36 indebtedness issued or guaranteed by a corporation
organized
78.1
under the laws of the United States or any state thereof, or the
78.2
Dominion of Canada or any province thereof if they conform to
78.3
the following provisions:
78.4
(1) the principal and interest of obligations of
78.5
corporations incorporated or organized under the laws of the
78.6
Dominion of Canada or any province thereof must be payable in
78.7
United States dollars; and
78.8
(2) obligations must be rated among the top four quality
78.9
categories by a nationally recognized rating agency.
78.10
(e) OTHER OBLIGATIONS. (1)
The covered pension plan may
78.11 invest funds in bankers acceptances,
certificates of deposit,
78.12 deposit notes, commercial paper,
mortgage participation
78.13 certificates and pools, asset backed
securities, repurchase
78.14 agreements and reverse repurchase
agreements, guaranteed
78.15 investment contracts, savings accounts,
and guaranty fund
78.16 certificates, surplus notes, or
debentures of domestic mutual
78.17 insurance companies if they conform to
the following provisions:
78.18
(i) bankers acceptances and deposit notes of United States
78.19 banks are limited to those issued by
banks rated in the highest
78.20 four quality categories by a nationally
recognized rating
78.21 agency;
78.22
(ii) certificates of deposit are limited to those issued by
78.23 (A) United States banks and savings
institutions that are rated
78.24 in the highest four quality categories
by a nationally
78.25 recognized rating agency or whose
certificates of deposit are
78.26 fully insured by federal agencies; or
(B) credit unions in
78.27 amounts up to the limit of insurance
coverage provided by the
78.28 National Credit Union Administration;
78.29
(iii) commercial paper is limited to those issued by United
78.30 States corporations or their Canadian
subsidiaries and rated in
78.31 the highest two quality categories by a
nationally recognized
78.32 rating agency;
78.33
(iv) mortgage participation or pass through certificates
78.34 evidencing interests in pools of first
mortgages or trust deeds
78.35 on improved real estate located in the
United States where the
78.36 loan to value ratio for each loan as
calculated in accordance
79.1
with section 61A.28, subdivision 3, does not exceed 80 percent
79.2
for fully amortizable residential properties and in all other
79.3
respects meets the requirements of section 61A.28, subdivision
79.4 3;
79.5
(v) collateral for repurchase agreements and reverse
79.6
repurchase agreements is limited to letters of credit and
79.7
securities authorized in this section;
79.8
(vi) guaranteed investment contracts are limited to those
79.9
issued by insurance companies or banks rated in the top four
79.10 quality categories by a nationally
recognized rating agency or
79.11 to alternative guaranteed investment
contracts where the
79.12 underlying assets comply with the
requirements of this
79.13 subdivision;
79.14
(vii) savings accounts are limited to those fully insured
79.15 by federal agencies; and
79.16
(viii) asset backed securities must be rated in the top
79.17 four quality categories by a nationally
recognized rating agency.
79.18
(2) Sections 16A.58, 16C.03, subdivision 4, and 16C.05 do
79.19 not apply to certificates of deposit and
collateralization
79.20 agreements executed by the covered
pension plan under clause
79.21 (1), item (ii).
79.22
(3) In addition to investments authorized by clause (1),
79.23 item (iv), the covered pension plan may
purchase from the
79.24 Minnesota Housing Finance Agency all or
any part of a pool of
79.25 residential mortgages, not in default,
that has previously been
79.26 financed by the issuance of bonds or
notes of the agency. The
79.27 covered pension plan may also enter into
a commitment with the
79.28 agency, at the time of any issue of
bonds or notes, to purchase
79.29 at a specified future date, not
exceeding 12 years from the date
79.30 of the issue, the amount of mortgage
loans then outstanding and
79.31 not in default that have been made or
purchased from the
79.32 proceeds of the bonds or notes. The covered pension plan may
79.33 charge reasonable fees for any such
commitment and may agree to
79.34 purchase the mortgage loans at a price
sufficient to produce a
79.35 yield to the covered pension plan
comparable, in its judgment,
79.36 to the yield available on similar
mortgage loans at the date of
80.1
the bonds or notes. The covered
pension plan may also enter
80.2
into agreements with the agency for the investment of any
80.3
portion of the funds of the agency.
The agreement must cover
80.4
the period of the investment, withdrawal privileges, and any
80.5
guaranteed rate of return.
80.6
(f) CORPORATE STOCKS. The
covered pension plan may
80.7
invest funds in stocks or convertible issues of any corporation
80.8
organized under the laws of the United States or the states
80.9
thereof, any corporation organized under the laws of the
80.10 Dominion of Canada or its provinces, or
any corporation listed
80.11 on the New York Stock Exchange or the
American Stock Exchange an
80.12 exchange regulated by an agency of
the United States or of the
80.13 Canadian national government, if
they conform to the following
80.14 provisions:
80.15
(1) the aggregate value of corporate stock investments, as
80.16 adjusted for realized profits and
losses, must not exceed 85
80.17 percent of the market or book value,
whichever is less, of a
80.18 fund, less the aggregate value of
investments according to
80.19 subdivision 6 paragraph (h);
80.20
(2) investments must not exceed five percent of the total
80.21 outstanding shares of any one
corporation.
80.22
(g) EXCHANGE TRADED FUNDS.
The covered pension plan may
80.23 invest funds in exchange traded
funds, subject to the maximums,
80.24 the requirements, and the limitations
set forth in paragraph
80.25 (d), (e), (f), or (h), whichever
applies.
80.26
(h) OTHER INVESTMENTS.
(1) In addition to the
80.27 investments authorized in paragraphs (b)
to (f) (g), and subject
80.28 to the provisions in clause (2), the
covered pension plan may
80.29 invest funds in:
80.30
(i) venture capital investment businesses through
80.31 participation in limited partnerships
and corporations;
80.32
(ii) real estate ownership interests or loans secured by
80.33 mortgages or deeds of trust through
investment in limited
80.34 partnerships, bank sponsored collective
funds, trusts, and
80.35 insurance company commingled accounts,
including separate
80.36 accounts;
81.1 (iii) regional and mutual funds through bank
sponsored
81.2
collective funds and open‑end investment companies registered
81.3
under the Federal Investment Company Act of 1940;
81.4
(iv) resource investments through limited partnerships,
81.5
private placements, and corporations; and
81.6
(v) international securities.
81.7
(2) The investments authorized in clause (1) must conform
81.8 to
the following provisions:
81.9
(i) the aggregate value of all investments made according
81.10 to clause (1) may not exceed 35 percent
of the market value of
81.11 the fund for which the covered pension
plan is investing;
81.12
(ii) there must be at least four unrelated owners of the
81.13 investment other than the state board
for investments made under
81.14 clause (1), item (i), (ii), (iii), or
(iv);
81.15
(iii) covered pension plan participation in an investment
81.16 vehicle is limited to 20 percent thereof
for investments made
81.17 under clause (1), item (i), (ii), (iii),
or (iv); and
81.18
(iv) covered pension plan participation in a limited
81.19 partnership does not include a general
partnership interest or
81.20 other interest involving general
liability. The covered pension
81.21 plan may not engage in any activity as a
limited partner which
81.22 creates general liability.
81.23
Sec. 10. Minnesota Statutes 2004,
section 424A.02,
81.24 subdivision 3, is amended to read:
81.25
Subd. 3. FLEXIBLE SERVICE
PENSION MAXIMUMS. (a) Annually
81.26 on or before August 1 as part of the
certification of the
81.27 financial requirements and minimum
municipal obligation
81.28 determined under section 69.772,
subdivision 4, or 69.773,
81.29 subdivision 5, as applicable, the
secretary or some other
81.30 official of the relief association
designated in the bylaws of
81.31 each relief association shall calculate
and certify to the
81.32 governing body of the applicable
qualified municipality the
81.33 average amount of available financing
per active covered
81.34 firefighter for the most recent three‑year
period. The amount
81.35 of available financing shall include any
amounts of fire state
81.36 aid received or receivable by the relief
association, any
82.1
amounts of municipal contributions to the relief association
82.2
raised from levies on real estate or from other available
82.3
revenue sources exclusive of fire state aid, and one‑tenth of
82.4
the amount of assets in excess of the accrued liabilities of the
82.5
relief association calculated under section 69.772, subdivision
82.6 2;
69.773, subdivisions 2 and 4; or 69.774, subdivision 2, if
82.7
any.
82.8
(b) The maximum service pension which the relief
82.9
association has authority to provide for in its bylaws for
82.10 payment to a member retiring after the
calculation date when the
82.11 minimum age and service requirements
specified in subdivision 1
82.12 are met must be determined using the
table in paragraph (c) or
82.13 (d), whichever applies.
82.14
(c) For a relief association where the governing bylaws
82.15 provide for a monthly service pension to
a retiring member, the
82.16 maximum monthly service pension amount
per month for each year
82.17 of service credited that may be provided
for in the bylaws is
82.18 the greater of the service pension
amount provided for in the
82.19 bylaws on the date of the calculation
of the average amount of
82.20 the available financing per active
covered firefighter or the
82.21 maximum service pension figure
corresponding to the average
82.22 amount of available financing per active
covered firefighter:
82.23
Minimum Average Amount of
Maximum Service Pension
82.24
Available Financing per
Amount Payable per Month
82.25
Firefighter for Each
Year of Service
82.26
$...
$ .25
82.27 42 41 .50
82.28 84 81 1.00
82.29
126 122 1.50
82.30
168 162 2.00
82.31
209 203 2.50
82.32
252 243 3.00
82.33
294 284 3.50
82.34
335 324 4.00
82.35
378 365 4.50
82.36
420 405 5.00
83.1 503 486 6.00
83.2
587 567 7.00
83.3
672 648 8.00
83.4
755 729 9.00
83.5
839 810 10.00
83.6
923 891 11.00
83.7
1007 972 12.00
83.8
1090 1053 13.00
83.9
1175 1134 14.00
83.10
1259 1215 15.00
83.11
1342 1296 16.00
83.12
1427 1377 17.00
83.13
1510 1458 18.00
83.14
1594 1539 19.00
83.15
1677 1620 20.00
83.16
1762 1701 21.00
83.17
1845 1782 22.00
83.18
1888 1823 22.50
83.19
1929 1863 23.00
83.20
2014 1944 24.00
83.21
2098 2025 25.00
83.22
2183 2106 26.00
83.23
2267 2187 27.00
83.24
2351 2268 28.00
83.25
2436 2349 29.00
83.26
2520 2430 30.00
83.27
2604 2511 31.00
83.28
2689 2592
32.00
83.29
2773 2673 33.00
83.30
2857 2754 34.00
83.31
2942 2834 35.00
83.32
3026 2916 36.00
83.33
3110 2997 37.00
83.34
3194 3078 38.00
83.35
3278 3159 39.00
83.36
3362 3240 40.00
84.1
3446 3321 41.00
84.2
3530 3402 42.00
84.3
3614 3483 43.00
84.4
3698 3564 44.00
84.5
3782 3645 45.00
84.6
3866 3726 46.00
84.7
3950 3807 47.00
84.8
4034 3888 48.00
84.9
4118 3969 49.00
84.10
4202 4050 50.00
84.11
4286 4131 51.00
84.12
4370 4212 52.00
84.13
Effective beginning December 31, 2003:
84.14
4454 4293 53.00
84.15
4538 4374 54.00
84.16
4622 4455 55.00
84.17
4706 4536 56.00
84.18
(d) For a relief association in which the governing bylaws
84.19 provide for a lump sum service pension
to a retiring member, the
84.20 maximum lump sum service pension amount
for each year of service
84.21 credited that may be provided for in the
bylaws is the greater
84.22 of the service pension amount provided
for in the bylaws on the
84.23 date of the calculation of the
average amount of the available
84.24 financing per active covered
firefighter or the maximum service
84.25 pension figure corresponding to the
average amount of available
84.26 financing per active covered firefighter
for the applicable
84.27 specified period:
84.28
Minimum Average Amount
Maximum Lump Sum Service
84.29
of Available Financing
Pension Amount Payable
84.30
per Firefighter for Each
Year of Service
84.31
$..
$10
84.32
11
20
84.33
16
30
84.34
23
40
84.35
27 50
84.36
32
60
85.1
43
80
85.2
54
100
85.3
65
120
85.4
77 140
85.5
86
160
85.6
97
180
85.7
108
200
85.8
131
240
85.9
151
280
85.10
173
320
85.11
194
360
85.12
216
400
85.13
239 440
85.14
259
480
85.15
281
520
85.16
302
560
85.17
324
600
85.18
347
640
85.19
367
680
85.20
389
720
85.21
410
760
85.22
432
800
85.23
486
900
85.24
540
1000
85.25
594
1100
85.26
648
1200
85.27
702
1300
85.28
756 1400
85.29
810
1500
85.30
864
1600
85.31
918
1700
85.32
972
1800
85.33
1026 1900
85.34
1080
2000
85.35
1134
2100
85.36
1188
2200
86.1
1242
2300
86.2
1296
2400
86.3
1350
2500
86.4
1404
2600
86.5
1458
2700
86.6
1512 2800
86.7
1566
2900
86.8
1620
3000
86.9
1672
3100
86.10
1726
3200
86.11
1753
3250
86.12
1780
3300
86.13
1820
3375
86.14
1834
3400
86.15
1888
3500
86.16
1942
3600
86.17
1996
3700
86.18
2023
3750
86.19
2050
3800
86.20
2104
3900
86.21
2158 4000
86.22
2212
4100
86.23
2265
4200
86.24
2319
4300
86.25
2373
4400
86.26
2427 4500
86.27
2481
4600
86.28
2535
4700
86.29
2589
4800
86.30
2643
4900
86.31
2697
5000
86.32
2751
5100
86.33
2805
5200
86.34
2859
5300
86.35
2913 5400
86.36
2967
5500
87.1
3021
5600
87.2
3075
5700
87.3
3129
5800
87.4
3183
5900
87.5
3237
6000
87.6
3291
6100
87.7
3345
6200
87.8
3399
6300
87.9
3453
6400
87.10
3507
6500
87.11
3561
6600
87.12
3615
6700
87.13
3669
6800
87.14
3723 6900
87.15
3777
7000
87.16
Effective beginning December 31, 2003:
87.17
3831
7100
87.18
3885
7200
87.19
3939 7300
87.20
3993
7400
87.21
4047
7500
87.22
(e) For a relief association in which the governing bylaws
87.23 provide for a monthly benefit service
pension as an alternative
87.24 form of service pension payment to a
lump sum service pension,
87.25 the maximum service pension amount for
each pension payment type
87.26 must be determined using the applicable
table contained in this
87.27 subdivision.
87.28
(f) If a relief association establishes a service pension
87.29 in compliance with the applicable
maximum contained in paragraph
87.30 (c) or (d) and the minimum average
amount of available financing
87.31 per active covered firefighter is
subsequently reduced because
87.32 of a reduction in fire state aid or
because of an increase in
87.33 the number of active firefighters, the
relief association may
87.34 continue to provide the prior service
pension amount specified
87.35 in its bylaws, but may not increase the
service pension amount
87.36 until the minimum average amount of
available financing per
88.1
firefighter under the table in paragraph (c) or (d), whichever
88.2
applies, permits.
88.3
(g) No relief association is authorized to provide a
88.4
service pension in an amount greater than the largest applicable
88.5
flexible service pension maximum amount even if the amount of
88.6
available financing per firefighter is greater than the
88.7
financing amount associated with the largest applicable flexible
88.8
service pension maximum.
88.9
Sec. 11. Minnesota Statutes 2004,
section 424A.02,
88.10 subdivision 4, is amended to read:
88.11
Subd. 4. DEFINED CONTRIBUTION
LUMP SUM SERVICE
88.12 PENSIONS. (a) If the bylaws
governing the relief association so
88.13 provide exclusively, the relief
association may pay a defined
88.14 contribution lump sum service pension in
lieu of any defined
88.15 benefit service pension governed by subdivision
2.
88.16
(b) An individual account for each firefighter who is a
88.17 member of the relief association shall
must be established. To
88.18 each individual active member
account shall must be credited a
88.19 right to an equal share of: (a) (1) any amounts of fire
state
88.20 aid received by the relief association; (b)
(2) any amounts of
88.21 municipal contributions to the relief
association raised from
88.22 levies on real estate or from other
available revenue sources
88.23 exclusive of fire state aid; and (c)
(3) any amounts equal to
88.24 the share of the assets of the special
fund to the credit
88.25 of:
(1) (i) any former member who terminated active service
88.26 with the fire department to which the
relief association is
88.27 associated prior to before
meeting the minimum service
88.28 requirement provided for in subdivision
1 and has not returned
88.29 to active service with the fire
department for a period no
88.30 shorter than five years; or (2) (ii)
any retired member who
88.31 retired prior to before
obtaining a full nonforfeitable interest
88.32 in the amounts credited to the
individual member
88.33 account pursuant to under
subdivision 2 and any applicable
88.34 provision of the bylaws of the relief
association. In addition,
88.35 any interest or investment income
earned return on the assets of
88.36 the special fund shall must
be credited in proportion to the
89.1
share of the assets of the special fund to the credit of each
89.2
individual active member account through the date on which the
89.3 investment
return is recognized by and credited to the special
89.4 fund.
89.5
(c) At the time of retirement pursuant to under
subdivision
89.6 1
and any applicable provision of the bylaws of the relief
89.7
association, a retiring member shall be is entitled to
that
89.8
portion of the assets of the special fund to the credit of the
89.9
member in the individual member account which is
89.10 nonforfeitable pursuant to under
subdivision 2 and any
89.11 applicable provision of the bylaws of
the relief association
89.12 based on the number of years of service
to the credit of the
89.13 retiring member.
89.14
Sec. 12. Minnesota Statutes 2004,
section 424A.02,
89.15 subdivision 7, is amended to read:
89.16
Subd. 7. DEFERRED SERVICE
PENSIONS. (a) A member of a
89.17 relief association to which this
section applies is entitled to
89.18 a deferred service pension if the
member:
89.19
(1) has completed the lesser of the minimum period of
89.20 active service with the fire department
specified in the bylaws
89.21 or 20 years of active service with the
fire department;
89.22
(2) has completed at least five years of active membership
89.23 in the relief association; and
89.24
(3) separates from active service and membership before
89.25 reaching age 50 or the minimum age for
retirement and
89.26 commencement of a service pension
specified in the bylaws
89.27 governing the relief association if that
age is greater than age
89.28 50.
89.29
(b) The deferred service pension starts is payable when
the
89.30 former member reaches age 50, or
the minimum age specified in
89.31 the bylaws governing the relief
association if that age is
89.32 greater than age 50, and when the
former member makes a valid
89.33 written application.
89.34
(c) A relief association that provides a lump sum service
89.35 pension governed by subdivision 3
may, when its governing bylaws
89.36 so provide, pay interest on the deferred
lump sum service
90.1
pension during the period of deferral.
If provided for in the
90.2
bylaws, interest must be paid in one of the following manners:
90.3
(1) at the investment performance rate actually earned on
90.4
that portion of the assets if the deferred benefit amount is
90.5
invested by the relief association in a separate account
90.6
established and maintained by the relief association or if the
90.7
deferred benefit amount is invested in a separate investment
90.8
vehicle held by the relief association;
90.9
(2) at the an interest rate of up to five percent,
90.10 compounded annually as set by the
board of directors and
90.11 approved as provided in subdivision
10; or
90.12
(3) at a rate equal to the actual time weighted total rate
90.13 of return investment performance of the
special fund as reported
90.14 by the Office of the State Auditor under
section 356.219, up to
90.15 five percent, compounded annually, and
applied consistently for
90.16 all deferred service pensioners.
90.17
(d) A relief association may not use the method provided
90.18 for in paragraph (c), clause (3),
until it has modified its
90.19 bylaws to be consistent with that
clause.
90.20
(d) Interest under paragraph (c), clause (2) or (3), is
90.21 payable from the first day of the
month next following the date
90.22 on which the municipality has
approved the deferred service
90.23 pension interest rate established by
the board of trustees or
90.24 from the first day of the month next
following the date on which
90.25 the member separated from active fire
department service and
90.26 relief association membership,
whichever is later, to the last
90.27 day of the month immediately before
the month in which the
90.28 deferred member becomes eligible to
begin receipt of the service
90.29 pension and applies for the deferred
service pension.
90.30
(e) A relief association that provides a defined
90.31 contribution service pension may, if
its governing bylaws so
90.32 provide, credit interest or
additional investment performance on
90.33 the deferred lump sum service pension
during the period of
90.34 deferral. If provided for in the bylaws, the interest
must be
90.35 paid in one of the manners specified
in paragraph (c) or
90.36 alternatively the relief association
may credit any investment
91.1 return
on the assets of the special fund of the defined
91.2 contribution
volunteer firefighter relief association in
91.3 proportion
to the share of the assets of the special fund to the
91.4 credit
of each individual deferred member account through the
91.5 date
on which the investment return is recognized by and
91.6 credited
to the special fund.
91.7
(f) For a deferred service pension that is transferred to a
91.8
separate account established and maintained by the relief
91.9
association or separate investment vehicle held by the relief
91.10 association, the deferred member bears
the full investment risk
91.11 subsequent to transfer and in
calculating the accrued liability
91.12 of the volunteer firefighters relief
association that pays a
91.13 lump sum service pension, the accrued
liability for deferred
91.14 service pensions is equal to the
separate relief association
91.15 account balance or the fair market value
of the separate
91.16 investment vehicle held by the relief
association.
91.17
(f) (g) The deferred service pension is governed by and
91.18 must be calculated under the general
statute, special law,
91.19 relief association articles of
incorporation, and relief
91.20 association bylaw provisions applicable
on the date on which the
91.21 member separated from active service
with the fire department
91.22 and active membership in the relief
association.
91.23
Sec. 13. 424A.021 CREDIT
FOR BREAK IN SERVICE TO
91.24 PROVIDE UNIFORMED SERVICE.
91.25
Subdivision 1. AUTHORIZATION.
Subject to restrictions
91.26 stated in this section, a volunteer
firefighter who is absent
91.27 from firefighting service due to
service in the uniformed
91.28 services, as defined in United States
Code, title 38, section
91.29 4303(13), may obtain service credit
if the relief association is
91.30 a defined benefit plan or an
allocation of any fire state aid,
91.31 any municipal contributions, and any
investment return received
91.32 by the relief association if the
relief association is a defined
91.33 benefit contribution plan for the
period of the uniformed
91.34 service, not to exceed five years,
unless a longer period is
91.35 required under United States Code,
title 38, section 4312.
91.36
Subd. 2. LIMITATIONS.
(a) To be eligible for service
92.1 credit
or financial allocation under this section, the volunteer
92.2 firefighter
must return to firefighting service with coverage by
92.3 the
same relief association or by the successor to that relief
92.4 association
upon discharge from service in the uniformed service
92.5 within
the time frame required in United States Code, title 38,
92.6 section
4312(e).
92.7
(b) Service credit or financial allocation is not
92.8 authorized
if the firefighter separates from uniformed service
92.9 with
a dishonorable or bad conduct discharge or under other than
92.10 honorable conditions.
92.11
(c) Service credit or financial allocation is not
92.12 authorized if the firefighter fails
to provide notice to the
92.13 fire department that the individual
is leaving to provide
92.14 service in the uniformed service,
unless it is not feasible to
92.15 provide that notice due to the
emergency nature of the situation.
92.16
Sec. 14. Minnesota Statutes 2004,
section 424A.04,
92.17 subdivision 1, is amended to read:
92.18
Subdivision 1. MEMBERSHIP.
(a) Every A relief
92.19 association that is directly
associated with a municipal fire
92.20 department shall must be
managed by a board of trustees
92.21 consisting of nine members. Six trustees shall must be
elected
92.22 from the membership of the relief
association and three trustees
92.23 shall must be drawn from
the officials of the municipalities
92.24 served by the fire department to which
the relief association is
92.25 directly associated. The bylaws of a relief association which
92.26 provides a monthly benefit service
pension may provide that one
92.27 of the six trustees elected from the
relief
92.28 association membership may be a
retired member receiving a
92.29 monthly pension who is elected by the
membership of the relief
92.30 association. The three ex officio municipal
trustees shall be
92.31 the mayor, the clerk, clerk‑treasurer
or finance director, must
92.32 be one elected municipal official and
one elected or appointed
92.33 municipal official who are designated
as municipal
92.34 representatives by the municipal
governing board annually and
92.35 the chief of the municipal fire
department.
92.36
(b) Every A relief association that is a subsidiary of an
93.1
independent nonprofit firefighting corporation shall must
be
93.2
managed by a board of trustees consisting of ten nine
members.
93.3
Six trustees shall must be elected from the membership of
the
93.4
relief association, three two trustees shall must
be drawn from
93.5
the officials of the municipalities served by the fire
93.6
department to which the relief association is directly
93.7
associated, and one trustee shall be the fire chief serving with
93.8 the
independent nonprofit firefighting corporation. The bylaws
93.9 of
a relief association may provide that one of the six trustees
93.10 elected from the relief association membership
may be a retired
93.11 member receiving a monthly pension who
is elected by the
93.12 membership of the relief
association. The three ex officio
two
93.13 municipal trustees who are the
elected officials shall must
93.14 be elected or appointed municipal
officials, selected as follows:
93.15
(1) if only one municipality contracts with the independent
93.16 nonprofit firefighting corporation, the ex
officio municipal
93.17 trustees shall must be three
elected two officials of the
93.18 contracting municipality who are
designated annually by the
93.19 governing body of the municipality;
93.20 (2) if two municipalities contract with the
independent
93.21 nonprofit firefighting corporation,
the ex officio trustees
93.22 shall be two elected officials of the
largest municipality in
93.23 population and one elected official
of the next largest
93.24 municipality in population who are
designated by the governing
93.25 bodies of the applicable
municipalities; or
93.26
(3) (2) if three two or more municipalities
contract with
93.27 the independent nonprofit corporation,
the ex officio municipal
93.28 trustees shall must be one
elected official of from each of
93.29 the three two largest
municipalities in population who are
93.30 designated annually by the
governing bodies of the applicable
93.31 municipalities.
93.32
(c) The municipal trustees for a relief association that is
93.33 directly associated with a fire
department operated as or by a
93.34 joint powers entity must be
designated annually by the joint
93.35 powers board. The municipal trustees for a relief association
93.36 that is directly associated with a
fire department service area
94.1 township
must be designated by the township board.
94.2
(d) If a relief association lacks the ex officio municipal
94.3
board members provided for in paragraph (a), (b), or (b) (c)
94.4
because the fire department is not located in or associated with
94.5 an
organized municipality, joint powers entity, or township, the
94.6 ex
officio municipal board members must be appointed from the
94.7
fire department service area by the board of commissioners of
94.8
the applicable county.
94.9
(e) The term of these appointed ex officio municipal
board
94.10 members is three years one
year or until the person's successor
94.11 is qualified, whichever is later.
94.12
(d) An ex officio (f) A municipal trustee under paragraph
94.13 (a), (b), or (c) shall have,
or (d) has all the rights and
94.14 duties accorded to any other trustee,
except the right to be an
94.15 officer of the relief association
board of trustees.
94.16
(e) (g) A board shall must have at least
three officers,
94.17 which shall be who are a
president, a secretary and a treasurer.
94.18 These officers shall must
be elected from among the elected
94.19 trustees by either the full board of
trustees or by the
94.20 membership, as specified in the bylaws,
and. In no event shall
94.21 may any trustee hold more than
one officer position at any one
94.22 time.
The terms of the elected trustees and of the officers of
94.23 the board shall must be
specified in the bylaws of the relief
94.24 association, but shall may
not exceed three years. If the term
94.25 of the elected trustees exceeds one
year, the election of the
94.26 various trustees elected from the
membership shall initially and
94.27 shall thereafter continue to must
be staggered on as equal a
94.28 basis as is practicable.
94.29
Sec. 15. Minnesota Statutes 2004,
section 424B.10,
94.30 subdivision 1, is amended to read:
94.31
Subdivision 1. BENEFITS.
(a) Notwithstanding any
94.32 provision of section 424A.02,
subdivision 3, to the contrary,
94.33 the service pension of the subsequent
relief association as of
94.34 the effective date of consolidation is either
the service
94.35 pension amount specified in clause
(1) or the service pension
94.36 amounts specified in clause (2), as
provided for in the
95.1 consolidated
relief association's articles of incorporation or
95.2 bylaws:
95.3
(1) the highest dollar amount service pension amount of any
95.4
prior volunteer firefighters relief association in effect
95.5
immediately before the consolidation initiation if the pension
95.6
amount was implemented consistent with section 424A.02; or
95.7
(2) for service rendered by each individual volunteer
95.8 firefighter
under the consolidating volunteer firefighters
95.9 relief
association that the firefighter belonged to immediately
95.10 before the consolidation if the
pension amount was implemented
95.11 consistent with section 424A.02 and
for service rendered after
95.12 the effective date of the
consolidation, the highest dollar
95.13 amount service pension of any of the
consolidating volunteer
95.14 firefighters relief associations in
effect immediately before
95.15 the consolidation if the pension
amount was implemented
95.16 consistent with section 424A.02.
95.17
(b) Any increase in the service pension amount beyond the
95.18 amount implemented under paragraph (a)
must conform with the
95.19 requirements and limitations of sections
69.771 to 69.775 and
95.20 424A.02.
95.21
Sec. 16. STUDY OF STATEWIDE
LUMP‑SUM VOLUNTEER
95.22 FIREFIGHTER RETIREMENT PLAN; CREATION OF
TASK FORCE.
95.23
Subdivision 1. TASK
FORCE MEMBERSHIP. (a) A statewide
95.24 Volunteer Firefighter Retirement Plan
Study Task Force is
95.25 created.
95.26
(b) The task force members are:
95.27
(1) four members appointed by the president of the
95.28 Minnesota Area Relief Association
coalition;
95.29
(2) four members appointed by the president of the
95.30 Minnesota State Fire Department
Association;
95.31
(3) four members appointed by the president of the
95.32 Minnesota State Fire Chiefs
Association;
95.33
(4) four members appointed by the board of directors of the
95.34 League of Minnesota Cities;
95.35
(5) two members appointed by the board of directors of the
95.36 Insurance Federation of Minnesota;
96.1
(6) two members appointed by the board of directors of the
96.2 Minnesota
Association of Farm Mutual Insurance Companies; and
96.3
(7) the Minnesota state auditor or the auditor's designee.
96.4
(c) Appointments must be made on or before July 1, 2005.
96.5 If
the appointment is not made in a timely manner, or if there
96.6 is
a vacancy, the state auditor shall appoint the task force
96.7 member
or the replacement member.
96.8
(d) The chair of the task force shall be selected by the
96.9 task
force.
96.10
(e) Administrative services for the task force must be
96.11 provided by the Department of Public
Safety.
96.12
Subd. 2. TASK FORCE
DUTIES. (a) The task force shall
96.13 conduct fact finding regarding the
creation of a statewide
96.14 volunteer firefighter retirement
plan.
96.15
(b) The task force shall recommend whether a statewide
96.16 volunteer firefighter retirement plan
should be created. If the
96.17 task force concludes a statewide
volunteer fire plan has merit,
96.18 The task force shall recommend the
investment vehicle or
96.19 vehicles to be utilized by the plan,
the administration and
96.20 corporate governance structure of the
plan, the incentives
96.21 needed to formulate the plan, the
limitations applicable to the
96.22 plan, and the state resources needed
to be dedicated to the
96.23 plan.
The task force may also consider creation of regional
96.24 plans.
96.25
Subd. 3. REPORT. The
task force shall prepare a report
96.26 detailing its findings about a
potential statewide or regional
96.27 volunteer firefighter retirement plan
or plans. The report is
96.28 due January 15, 2006, and must be
filed with the Legislative
96.29 Reference Library; the chair of the
Legislative Commission on
96.30 Pensions and Retirement; the chair of
the State and Local
96.31 Governmental Operations Committee of
the senate; the chair of
96.32 the State Government, Economic
Development, and Judiciary Budget
96.33 Division of the senate Finance
Committee; the chair of the
96.34 Governmental Operations and Veterans
Affairs Policy Committee of
96.35 the house of representatives; and the
chair of the State
96.36 Government Finance Committee of the
house of representatives.
97.1
Sec. 17. APPROPRIATION.
97.2
$40,000 is appropriated from the general fund in fiscal
97.3 year
2006 to the commissioner of public safety to hire a
97.4 consultant
to assist the statewide Volunteer Firefighter
97.5 Retirement
Plan Study Task Force.
97.6
Sec. 18. EFFECTIVE DATE.
97.7
(a) Sections 1 to 12 and 14 to 17 are effective on July 1,
97.8 2005.
97.9
(b) Section 13 is effective on July 1, 2005, and applies to
97.10 breaks in service that end on or
after that date.
97.11 ARTICLE 9
97.12 LOCAL RETIREMENT PLANS
97.13
Section 1. AURORA, BIWABIK
CITY, HOYT LAKES, AND PALO
97.14 VOLUNTEER FIREFIGHTER RELIEF
ASSOCIATIONS; CONSOLIDATION.
97.15
(a) This section applies to consolidation of any
97.16 combination of two or more of the
following volunteer
97.17 firefighter relief associations: Aurora, Biwabik City, Hoyt
97.18 Lakes, and Palo.
97.19
(b) Notwithstanding Minnesota Statutes, section 424B.10,
97.20 subdivision 1, paragraph (a), the
service pension to be paid by
97.21 the relief association existing after
the consolidation is as
97.22 follows:
97.23
(1) for the service rendered by each individual volunteer
97.24 firefighter before the effective date
of the consolidation, the
97.25 service pension amount is the amount
payable to that volunteer
97.26 firefighter under the articles of
incorporation or bylaws of the
97.27 consolidating volunteer firefighters
relief association that the
97.28 firefighter was a member of
immediately before the
97.29 consolidation;
97.30
(2) for the service rendered after the effective date of
97.31 the consolidation, the service
pension amount is the highest
97.32 dollar amount service pension of any
of the consolidating
97.33 volunteer firefighters relief
associations under the articles of
97.34 incorporation or bylaws in effect
immediately before the
97.35 consolidation;
97.36
(3) after consolidation, increases in the amounts
98.1 established
in clauses (1) and (2) may be implemented if
98.2 consistent
with applicable requirements of Minnesota Statutes,
98.3 chapters
69 and 424A.
98.4
Sec. 2. EVELETH RETIRED POLICE
AND FIRE TRUST FUND; AD
98.5
HOC POSTRETIREMENT ADJUSTMENT.
98.6
(a) In addition to the current pensions and other
98.7 retirement
benefits payable, the pensions and retirement
98.8 benefits
payable to retired police officers and firefighters and
98.9 their
surviving spouses by the Eveleth police and fire trust
98.10 fund are increased by $100 per month. Increases are retroactive
98.11 to January 1, 2005.
98.12
(b) Following the January 1, 2005, effective date of the
98.13 benefit increase provided under
paragraph (a), every two years
98.14 thereafter, to be effective no
earlier than the applicable
98.15 January 1, the city council of the
city of Eveleth is authorized
98.16 to provide permanent, uniform benefit
increases, not less than
98.17 $10 per month nor to exceed $100 per
month, to any remaining
98.18 retirees and survivors receiving
benefits from the Eveleth
98.19 police and fire trust fund. Any given benefit improvement under
98.20 this paragraph is not effective
unless the city council passes a
98.21 resolution approving the increase.
98.22 (c) Within 30 days following the approval
of a resolution
98.23 under paragraph (b), the chief
administrative officer of the
98.24 city of Eveleth shall file a copy of
the resolution with the
98.25 executive director of the Legislative
Commission on Pensions and
98.26 Retirement, with the chair of the
House Governmental Operations
98.27 and Veterans Affairs Committee, and
with the chair of the Senate
98.28 State and Local Government Operations
Committee. Along with a
98.29 copy of the resolution, the city's
chief administrative officer
98.30 will send a statement indicating the
age of each benefit
98.31 recipient and the retirement benefit
or survivor benefit being
98.32 received before and after the benefit
increase.
98.33
Sec. 3. MAPLEWOOD AND OAKDALE
VOLUNTEER FIREFIGHTER
98.34 RELIEF ASSOCIATIONS; TRANSFER OF ASSETS.
98.35
Notwithstanding any limitations in Minnesota Statutes,
98.36 section 424A.02, subdivision 13, or
any other provision of law
99.1 to
the contrary, if an agreement between the affected relief
99.2 associations
and cities is reached as provided in this section,
99.3 the
Maplewood Firefighters Relief Association may transfer
99.4 assets
from its special fund to the Oakdale Fire Department
99.5 Relief
Association representing the value of the accumulated
99.6 service
credit for the current members of the Oakdale Fire
99.7 Department
Relief Association who are currently eligible to
99.8 receive
a combined service pension for firefighter service in
99.9 both
associations. The transfer of the assets
from the
99.10 Maplewood Firefighters Relief
Association to the Oakdale Fire
99.11 Department Relief Association must be
in an amount representing
99.12 the cumulative value of the service
credit earned by the members
99.13 of the Oakdale Fire Department Relief
Association who are
99.14 currently eligible to receive a
combined service pension for
99.15 firefighting service in both
associations for the service credit
99.16 that they accrued while working for
the Maplewood Fire
99.17 Department. The amount of the assets, liabilities, and
service
99.18 credit to be transferred must be
specified in a joint agreement
99.19 negotiated by the secretaries of and
ratified by the city
99.20 councils of the two relief
associations and ratified by the
99.21 boards of trustees of of both relief
associations and the cities
99.22 of Maplewood and Oakdale The
agreement must specify by name or
99.23 other appropriate means the
firefighters affected by the
99.24 liability, asset, and service credit
transfer. The ratification
99.25 must be expressed in the form of
resolutions adopted by each
99.26 entity. The agreements must specify the amount of
assets to be
99.27 transferred, the amount of
liabilities to be transferred, and
99.28 the amount of service credit each of
the applicable individuals
99.29 will receive in the Oakdale Fire
Department Relief Association.
99.30 Upon the ratification of the
agreement by both relief
99.31 associations and both cities, the
assets, liabilities, and
99.32 service credit of the applicable
individuals must be transferred
99.33 to the Oakdale Fire Department Relief
Association, and the
99.34 Maplewood Firefighters Relief
Association is be relieved of any
99.35 obligation to the individuals. A certified copy of the ratified
99.36 agreement must be filed with the
State Auditor and with the
100.1 Secretary of State.
100.2 Sec. 4.
EFFECTIVE DATE; LOCAL APPROVAL.
100.3 Section 1 is effective upon approval by
the Eveleth City
100.4 Council and compliance with Minnesota
Statutes, section 645.021.
100.5 (b) Section 2 is effective with respect
to a volunteer
100.6 firefighters relief association listed in
column A the day after
100.7 the governing body of the municipality
listed in column B and
100.8 its chief clerical officer timely complete
compliance with
100.9 Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
100.10 A B
100.11 Aurora city of Aurora
100.12 Biwabik city of Biwabik
100.13 Hoyt Lakes city of Hoyt Lakes
100.14 Palo town of White
100.15 (c) Section 3 is effective on the day
after the governing
100.16 body of the
city of Maplewood, the governing body of the city of
100.17 Oakdale,
the Maplewood chief clerical officer, and the Oakdale
100.18 chief
clerical officer complete their compliance with Minnesota
100.19 Statutes,
section 645.021, subdivisions 2 and 3."
100.20 Delete the title and insert:
100.21 "A bill for an act
100.22 relating to retirement; statewide
and major public
100.23 pension plans; clarifying and
revising various plan
100.24 provisions; eliminating obsolete
provisions; defining
100.25 final average salary; clarifying
references to
100.26 actuarial services in determining
actuarial
100.27 equivalence; defining covered salary
to include
100.28 certain employer contributions to
supplemental
100.29 retirement plans; excluding police
officers of the
100.30 University of Minnesota from the
public employees
100.31 police and fire fund; adding
employees of Bridges
100.32 Medical Services, Hutchinson Area Health
Care, and
100.33 Northfield Hospital, to
privatization coverage;
100.34 RenVilla Nursing Home privatization;
extending date
100.35 for filing special law approval with
the secretary of
100.36 state; modifying a higher education
individual
100.37 retirement account plan investment
option provision;
100.38 implementing the recommendations of
the Volunteer
100.39 Firefighter Relief Association
working group of the
100.40 state auditor; modifying the trigger date
for filing
100.41 financial reports; revising the per
firefighter
100.42 financing requirements for monthly
benefit service
100.43 pensions; modifying the options for
crediting interest
100.44 on deferred service pensions;
clarifying the deferred
100.45 service pension options available to
defined
100.46 contribution plans; providing for
the crediting of
100.47 service during military service
leaves; requiring the
100.48 amortization of experience losses;
clarifying the
100.49 compliance requirements for the
qualification for fire
100.50 state aid; modifying a limit on
mutual fund
101.1 investments; clarifying corporate
stock and
101.2 exchange‑traded funds
investment authority; modifying
101.3 the municipal representation
requirements on relief
101.4 association governing boards;
providing that certain
101.5 laws do not apply to the
consolidation of specified
101.6 volunteer firefighter relief
associations; providing
101.7 an ad hoc postretirement adjustment
to Eveleth police
101.8 and fire trust fund benefit
recipients; authorizing
101.9 the Maplewood Firefighters Relief
Association to
101.10 transfer assets to the Oakdale
Firefighters Relief
101.11 Association to cover service credits
earned by certain
101.12 individuals; amending Minnesota
Statutes 2004,
101.13 sections 3A.01, subdivisions 1, 2,
6, 8, and by adding
101.14 subdivisions; 3A.011; 3A.02,
subdivisions 1, 1b, 3, 4,
101.15 5; 3A.03, subdivisions 1, 2; 3A.04,
subdivisions 1, 2,
101.16 3, 4, and by adding a subdivision;
3A.05; 3A.07;
101.17 3A.10, subdivision 1; 3A.12; 3A.13;
69.011, by adding
101.18 a subdivision; 69.051, subdivisions
1, 1a; 69.771;
101.19 69.772, subdivisions 3, 4; 69.773,
subdivisions 4, 5;
101.20 69.775; 352.01, subdivision 12, and
by adding a
101.21 subdivision; 352.115, subdivisions
2, 3; 352.87,
101.22 subdivision 3; 352.93, subdivision
1; 352C.021, by
101.23 adding a subdivision; 352C.091,
subdivision 1; 353.01,
101.24 subdivisions 6, 10, 14, and by
adding a subdivision;
101.25 353.29, subdivision 3; 353.33,
subdivision 3; 353.64,
101.26 by adding a subdivision; 353.651,
subdivision 3;
101.27 353.656, subdivision 1; 353F.02,
subdivision 4;
101.28 354.05, subdivision 7, and by adding
a subdivision;
101.29 354.44, subdivision 6; 354A.011,
subdivision 3a, and
101.30 by adding a subdivision; 354A.31,
subdivisions 4, 4a;
101.31 354B.25, subdivision 2; 356.24,
subdivision 1;
101.32 356A.06, subdivision 7; 422A.01,
subdivision 6, and by
101.33 adding a subdivision; 422A.15,
subdivision 1; 422A.16,
101.34 subdivision 9; 424A.02, subdivisions
3, 4, 7; 424A.04,
101.35 subdivision 1; 424B.10, subdivision
1; 490.121,
101.36 subdivisions 1, 4, 6, 7, 13, 14, 15,
20, 21, 21, 22,
101.37 and by adding subdivisions; 490.122;
490.123,
101.38 subdivisions 1, 1a, 1b, 1c, 2, 3;
490.124,
101.39 subdivisions 1, 2, 3, 4, 5, 8, 9,
10, 11, 12, 13;
101.40 490.125, subdivision 1; 490.126;
490.133; Laws 2004,
101.41 Chapter 267, Article 12, Section 4;
proposing coding
101.42 for new law in/as Minnesota
Statutes, chapters 352C;
101.43 424A; 490A; repealing Minnesota
Statutes 2004,
101.44 sections 3A.01, subdivisions 3, 4,
6a, 7; 3A.02,
101.45 subdivision 2; 3A.04, subdivision 1;
3A.09; 352C.01;
101.46 352C.011; 352C.021; 352C.031,
subdivision 3; 352C.033;
101.47 352C.04; 352C.051; 352C.09;
352C.091, subdivisions 2,
101.48 3; 353.29, subdivision 2; 353.651,
subdivision 2;
101.49 490.021; 490.025, subdivisions 1, 1,
2, 2, 3, 3, 4, 4,
101.50 6, 6; 490.101; 490.102; 490.103;
490.105; 490.106;
101.51 490.107; 490.108; 490.109; 490.1091;
490.12; 490.121,
101.52 subdivisions 2, 2, 3, 3, 5, 5, 8, 8,
9, 9, 10, 10, 11,
101.53 11, 12, 12, 16, 16, 17, 17, 18, 18,
19, 19, 20, 20."