1.2relating to retirement; modifying the calculation of annuities under the Minnesota
1.3State Retirement System unclassified program; amending Minnesota Statutes 2016,
1.4section 352D.06, subdivision 1.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6    Section 1. Minnesota Statutes 2016, section 352D.06, subdivision 1, is amended to read:
1.7    Subdivision 1. Annuity; reserves. When a participant attains at least age 55, terminates
1.8from covered service, and applies for a retirement annuity, the cash value of the participant's
1.9shares must be transferred to the general state employees retirement fund and must be used
1.10to provide an annuity for the retired employee participant based upon the participant's age
1.11when the benefit begins to accrue according to the reserve basis used by the general state
1.12employees retirement plan in determining pensions and reserves.
1.13(a) Except for participants described in paragraph (b), the monthly amount of the annuity
1.14must be determined using the actuarial assumptions in effect for the general state employees
1.15retirement plan under section 356.215 on the accrual date.
1.16(b) For any participant who retires on or after July 1, 2017, and before July 1, 2020,
1.17when the participant is at least age 63 or has had at least 26 years of covered service, the
1.18monthly amount of the annuity must be determined using the actuarial assumptions in effect
1.19for the general state employees retirement plan under section 356.215 on June 30, 2016.
1.20    Subd. 1a. Postretirement adjustments. The annuity under this subdivision 1 is eligible
1.21for postretirement adjustments under section 356.415.
1.22EFFECTIVE DATE.This section is effective July 1, 2017.