.................... moves to amend H.F. No. 1657, the delete everything amendment
(H1657DE1), as follows:
Page 56, after line 21, insert:
1.5CORRECTIONAL STATE EMPLOYEES RETIREMENT PLAN I
Section 1. Minnesota Statutes 2008, section 352.90, is amended to read:
It is the policy of the legislature to provide special retirement benefits for and special
contributions by certain correctional employees who may be required to retire at an early
age because they lose the mental or physical capacity required to maintain the safety,
security, discipline, and custody of inmates at state correctional facilities
of patients at
the Minnesota Security Hospital, or
of patients in the Minnesota sex offender program
1.13 of patients in the Minnesota extended treatment options program
Sec. 2. Minnesota Statutes 2008, section 352.91, subdivision 1, is amended to read:
Subdivision 1. Qualifying jobs.
"Covered correctional service" means service
performed by a state employee, as defined in section
, who is
employed at a state
correctional facility, the Minnesota Security Hospital, or the Minnesota sex offender
(1) a corrections officer 1;
(2) a corrections officer 2;
(3) a corrections officer 3;
(4) a corrections officer supervisor;
1.23 (5) (4)
a corrections lieutenant;
a corrections captain;
a security counselor;
a security counselor lead;
2.1 (9) (8)
a corrections canine officer
2.2(9) group supervisor; or
2.3(10) group supervisor assistant.
Sec. 3. Minnesota Statutes 2008, section 352.91, subdivision 3h, is amended to read:
Subd. 3h. Employment occupation name changes.
(a) If the occupational title of a
state employee covered by the Minnesota correctional employees retirement plan changes
from the applicable title listed in subdivision 1,
2, 2a, 3c, 3d, 3e, 3f, or 3g,
coverage by the correctional state employees retirement plan continues until the July 1
next following the title change if the commissioner of finance certifies to the executive
director of the Minnesota State Retirement System and to the executive director of the
Legislative Commission on Pensions and Retirement that the duties, requirements, and
responsibilities of the new occupational title are substantially identical to the duties,
requirements, and responsibilities of the prior occupational title.
(b) If the commissioner of finance does not certify a new occupational title under
paragraph (a), eligibility for future correctional state employees retirement coverage
terminates as of the start of the first payroll period next following the effective date of the
occupational title change.
(c) For consideration by the Legislative Commission on Pensions and Retirement
during the legislative session next following an occupational title change involving a state
employee in covered correctional service, the commissioner of finance shall submit the
applicable draft proposed legislation reflecting the occupational title change covered
by this section.
Sec. 4. REPEALER.
2.24Minnesota Statutes 2008, section 352.91, subdivisions 2, 2a, 3c, 3d, 3e, 3f, 3g, 3i,
2.254a, 4b, and 5, are repealed.
Sec. 5. EFFECTIVE DATE.
2.27Sections 1 to 4 are effective July 1, 2009, but do not apply to persons holding
2.28eligible positions prior to the effective date.
2.30CORRECTIONAL EMPLOYEES RETIREMENT PLAN II
Section 1. Minnesota Statutes 2008, section 352.72, subdivision 1, is amended to read:
Subdivision 1. Entitlement to annuity.
(a) Except as provided in paragraph (b),
person who has been an employee covered by a retirement system listed in paragraph
is entitled when qualified to an annuity from each fund if total allowable service in all
funds or in any two of these funds totals three or more years.
(b) If the combination of retirement plans includes the correctional state employees
3.4retirement plan of the Minnesota State Retirement System, no retirement annuity is
3.5payable from the correctional state employees retirement plan unless the person has credit
3.6for at least ten years of covered correctional service under section 352.91, although any
3.7covered correctional service may be used to establish eligibility for an annuity from
3.8another retirement plan and a service credit transfer under section 352.93, subdivision
3.94a, may be elected.
This section applies to the Minnesota State Retirement System, the Public
Employees Retirement Association including the Public Employees Retirement
Association police and fire fund, the Teachers Retirement Association, the State Patrol
Retirement Association, or any other public employee retirement system in the state with
a similar provision, except as noted in paragraph
This section does not apply to
funds providing benefits for police
officers or firefighters under chapter 423A, 423B, or 424A
No portion of the allowable service upon which the retirement annuity from
one fund is based shall be again used in the computation for benefits from another fund.
No refund may have been taken from any one of these funds since service entitling the
employee to coverage under the system or the employee's membership in any of the
associations last terminated. The annuity from each fund must be determined by the
appropriate provisions of the law except that the requirement that a person must have at
least three years allowable service in the respective system or association does not apply
for the purposes of this section if the combined service in two or more of these funds
equals three or more years.
Sec. 2. Minnesota Statutes 2008, section 352.93, subdivision 1, is amended to read:
Subdivision 1. Basis of annuity; when to apply.
After separation from state
service, an employee covered under section
who has reached age 55 years and
has credit for at least
years of covered correctional service
or a combination
3.30 of covered correctional service and general employees state retirement plan service
entitled upon application to a retirement annuity under this section, based only on covered
correctional employees' service. Application may be made no earlier than 60 days before
the date the employee is eligible to retire by reason of both age and service requirements.
Sec. 3. Minnesota Statutes 2008, section 352.93, subdivision 2a, is amended to read:
Subd. 2a. Early retirement.
Any covered correctional employee who becomes at
least 50 years old and who has at least
allowable covered correctional
service is entitled upon application to a reduced retirement annuity equal to the annuity
calculated under subdivision 2, reduced by two-tenths of one percent for each month that
the correctional employee is under age 55 at the time of retirement.
Sec. 4. Minnesota Statutes 2008, section 352.93, subdivision 4, is amended to read:
Subd. 4. Employee with regular and correctional service.
A former employee
who has both regular and correctional service shall, if the employee has at least ten years
4.9of covered correctional service and is otherwise
qualified, receive an annuity based on
both periods of service under applicable sections of law but no period of service shall be
used more than once in calculating the annuity.
Sec. 5. Minnesota Statutes 2008, section 352.93, is amended by adding a subdivision
4.14 Subd. 4a. Service credit transfer and partial refund in certain instances. An
4.15employee covered under section 352.91 who has reached the age of 55 years and who has
4.16credit for less than ten years of covered correctional service may, upon written application,
4.17have that covered correctional service credited as allowable service credit in the general
4.18state employees retirement plan and used to calculate a retirement annuity under sections
4.19352.115 and 352.116, and receive, 30 days following retirement, a refund of that portion
4.20of employee contributions during covered correctional service under section 352.92,
4.21subdivision 1, that exceeds the employee contributions required under the general state
4.22employees retirement plan under section 352.04, subdivision 2, for the same period, plus
4.23annual compound interest on the partial refund amount from the date of each contribution
4.24until the date of refund payment at the rate of six percent.
Sec. 6. Minnesota Statutes 2008, section 356.30, subdivision 1, is amended to read:
Subdivision 1. Eligibility; computation of annuity.
(a) Notwithstanding any
provisions of the laws governing the retirement plans enumerated in subdivision 3, a
person who has met the qualifications of paragraph (b) may elect to receive a retirement
annuity from each enumerated retirement plan, other than the correctional state employees
4.30retirement plan of the Minnesota State Retirement System,
in which the person has at least
one-half year of allowable service, based on the allowable service in each plan, subject to
the provisions of paragraph (c).
(b) A person may receive, upon retirement, a retirement annuity from each
enumerated retirement plan, other than the correctional state employees retirement plan of
5.1the Minnesota State Retirement System,
in which the person has at least one-half year of
allowable service, and augmentation of a deferred annuity calculated at the appropriate
rate under the laws governing each public pension plan or fund named in subdivision 3,
based on the date of the person's initial entry into public employment from the date the
person terminated all public service if:
(1) the person has allowable service totaling an amount that allows the person to
receive an annuity in any two or more of the enumerated plans; and
(2) the person has not begun to receive an annuity from any enumerated plan or the
person has made application for benefits from each applicable plan and the effective
dates of the retirement annuity with each plan under which the person chooses to receive
an annuity are within a one-year period.
(c) The retirement annuity from each plan must be based upon the allowable service,
accrual rates, and average salary in the applicable plan except as further specified or
modified in the following clauses:
(1) the laws governing annuities must be the law in effect on the date of termination
from the last period of public service under a covered retirement plan with which the
person earned a minimum of one-half year of allowable service credit during that
(2) the "average salary" on which the annuity from each covered plan in which
the employee has credit in a formula plan must be based on the employee's highest five
successive years of covered salary during the entire service in covered plans;
(3) the accrual rates to be used by each plan must be those percentages prescribed by
each plan's formula as continued for the respective years of allowable service from one
plan to the next, recognizing all previous allowable service with the other covered plans;
(4) the allowable service in all the plans must be combined in determining eligibility
for and the application of each plan's provisions in respect to reduction in the annuity
amount for retirement prior to normal retirement age;
(5) the annuity amount payable for any allowable service under a nonformula plan
of a covered plan must not be affected, but such service and covered salary must be used
in the above calculation
5.31(6) for a person who was a member of the correctional state employees retirement
5.32plan, the person must have at least ten years of covered correctional service under section
5.33352.91 in order to receive a retirement annuity from that plan, but may apply for a service
5.34credit transfer and partial refund under section 352.93, subdivision 4a.
(d) This section does not apply to any person whose final termination from the last
public service under a covered plan was before May 1, 1975.
(e) For the purpose of computing annuities under this section, the accrual rates
used by any covered plan, except the public employees police and fire plan, the judges
retirement fund, and the State Patrol retirement plan, must not exceed the percent specified
356.315, subdivision 4
, per year of service for any year of service or fraction
thereof. The formula percentage used by the judges retirement fund must not exceed the
percentage rate specified in section
356.315, subdivision 8
, per year of service for any
year of service or fraction thereof. The accrual rate used by the public employees police
and fire plan and the State Patrol retirement plan must not exceed the percentage rate
specified in section
356.315, subdivision 6
, per year of service for any year of service or
fraction thereof. The accrual rate or rates used by the legislators retirement plan must not
exceed 2.5 percent, but this limit does not apply to the adjustment provided under section
6.123A.02, subdivision 1
, paragraph (c).
(f) Any period of time for which a person has credit in more than one of the covered
plans must be used only once for the purpose of determining total allowable service.
(g) If the period of duplicated service credit is more than one-half year, or the person
has credit for more than one-half year, with each of the plans, each plan must apply its
formula to a prorated service credit for the period of duplicated service based on a fraction
of the salary on which deductions were paid to that fund for the period divided by the total
salary on which deductions were paid to all plans for the period.
(h) If the period of duplicated service credit is less than one-half year, or when
added to other service credit with that plan is less than one-half year, the service credit
must be ignored and a refund of contributions made to the person in accord with that
plan's refund provisions.
Sec. 7. EFFECTIVE DATE.
6.25Sections 1 to 6 are effective July 1, 2009, but do not apply to persons holding
6.26eligible positions prior to the effective date.
Adjust the spreadsheet to reflect the cost savings
Renumber the sections in sequence and correct the internal references
Amend the title accordingly