SS1057A51 
  1.1      Senator Nienow moved to amend S.F. No. 1057  as follows: 
  1.2      Page 96, after line 6, insert: 
  1.3                              "ARTICLE 9 
  1.4                       SERVICE CREDIT PURCHASES  
  1.5      Section 1.  [PURCHASE OF PRIOR SERVICE CREDIT FOR SELECTED 
  1.6   RUSH CITY POSITIONS.] 
  1.7      Subdivision 1.  [PURCHASE OF PRIOR SERVICE CREDIT.] (a) An 
  1.8   employee who has retirement coverage under the correctional 
  1.9   employees retirement plan of the Minnesota State Retirement 
  1.10  System for employment as a corrections discipline unit 
  1.11  supervisor, dental hygienist, or psychologist 2 at the Minnesota 
  1.12  Correctional Facility-Rush City, under Minnesota Statutes 2004, 
  1.13  section 352.91, subdivision 3g, may elect to purchase prior 
  1.14  service credit for eligible state service with the Department of 
  1.15  Corrections as defined in paragraph (b) performed before the 
  1.16  first day of the first full pay period beginning on or after 
  1.17  August 1, 2004.  If an eligible employee elects to purchase 
  1.18  prior service credit under this section, all eligible prior 
  1.19  service credit must be purchased. 
  1.20     (b) For purposes of this section, eligible state service 
  1.21  with the Department of Corrections is any prior period of 
  1.22  continuous service performed as an employee of the Department of 
  1.23  Corrections that would have been eligible for correctional 
  1.24  employees retirement plan coverage under Minnesota Statutes 
  1.25  2004, section 352.91, subdivision 3g, if that prior service had 
  1.26  been performed after the first day of the first full pay period 
  1.27  beginning after August 1, 2004, rather than before that date.  
  1.28  Service is continuous if there has been no period of 
  1.29  discontinuation of eligible state service for a period greater 
  1.30  than 180 calendar days.  
  1.31     (c) The commissioner of corrections shall certify eligible 
  1.32  state service, if any, under this section to the executive 
  1.33  director of the Minnesota State Retirement System. 
  1.34     (d) An eligible employee under this section is entitled to 
  1.35  purchase the applicable prior service credit if the department 
  1.36  certifies that the employee met the eligibility requirements for 
  2.1   coverage. 
  2.2      Subd. 2.  [REQUIRED EMPLOYEE CONTRIBUTION.] (a) An eligible 
  2.3   employee electing to purchase prior service credit under 
  2.4   subdivision 1 must pay an additional employee contribution for 
  2.5   that prior service credit.  The additional member contribution 
  2.6   is the contribution differential percentage applied to the 
  2.7   actual salary paid to the employee during the period of the 
  2.8   prior eligible state service, plus interest at the rate of six 
  2.9   percent per annum, compounded annually.  The contribution 
  2.10  differential percentage is the difference between the employee 
  2.11  contribution rate of the correctional employees retirement plan 
  2.12  and the applicable employee contribution rate of the general 
  2.13  state employees retirement plan during the prior eligible state 
  2.14  service period. 
  2.15     (b) The additional member contribution must be paid only in 
  2.16  a lump sum.  Payment must accompany the election to obtain prior 
  2.17  service credit.  No election of payment may be made by the 
  2.18  person or accepted by the executive director after June 30, 2006.
  2.19     Subd. 3.  [TRANSFER OF ASSETS.] If full payment is made 
  2.20  under subdivisions 1 and 2, assets must be transferred from the 
  2.21  general employees retirement plan to the correctional employees 
  2.22  retirement plan, in an amount equal to the present value of 
  2.23  benefits earned under the general employees retirement plan for 
  2.24  each applicable eligible employee transferring to the 
  2.25  correctional employees retirement plan for the period being 
  2.26  transferred, multiplied by the accrued liability funding ratio 
  2.27  for active general plan employees, as determined by the actuary 
  2.28  retained under Minnesota Statutes, section 356.214, and in 
  2.29  accordance with Minnesota Statutes, section 356.215.  The 
  2.30  transfer of assets must be made within 45 days after the 
  2.31  eligible employee elects under this section to transfer prior 
  2.32  service to the correctional employees retirement plan. 
  2.33     Subd. 4.  [EFFECT OF THE ASSET TRANSFER.] Upon transfer of 
  2.34  assets in subdivision 3, applicable service credit in the 
  2.35  general state employees plan of the Minnesota State Retirement 
  2.36  System is forfeited and may not be reinstated.  The service 
  3.1   credit and transferred assets must be credited to the 
  3.2   correctional employees retirement plan. 
  3.3      Subd. 5.  [PAYMENT OF ACTUARIAL CALCULATION COSTS.] The 
  3.4   expense of the actuary retained under Minnesota Statutes, 
  3.5   section 356.214, attributable to the calculations under 
  3.6   subdivision 3, must be paid by the Department of Corrections 
  3.7   within 30 days after the request for payment by the actuary. 
  3.8      Sec. 2.  [EFFECTIVE DATE.] 
  3.9      Section 1 is effective on the day following final 
  3.10  enactment." 
  3.11     Amend the title as follows: 
  3.12     Page 1, line 14, before "appropriating" insert "authorizing 
  3.13  service credit purchases;" 
  3.14     The motion prevailed. #did not prevail.  So the amendment 
  3.15  was #not adopted.