As Passed by the Senate 1
122nd General Assembly 4
Regular Session Am. Sub. H. B. No. 673 5
1997-1998 6
REPRESENTATIVES PADGETT-WESTON-COUGHLIN-LOGAN-FORD-OPFER- 8
REID-CAREY-TERWILLEGER-PERZ-VESPER-OGG-BRITTON-GARCIA- 9
METELSKY-THOMAS-MOTTLEY-MAIER-BRADING-BEATTY-PATTON-OLMAN- 10
GRENDELL-BOGGS-COLONNA-VERICH-JOHNSON-WOMER BENJAMIN- 11
MILLER-WACHTMANN-HARRIS-MYERS-WILLAMOWSKI-METZGER-PRENTISS- 12
ROBERTS-LUCAS-SCHULER-O'BRIEN-BOYD-MOTTL-DAMSCHRODER- 13
MALLORY-BRADY-STAPLETON-CALLENDER-WINKLER-EVANS-JONES- 14
SULZER-SALERNO-WILSON-SUTTON-SENATORS BLESSING-GAETH- 15
HERINGTON-KEARNS-DiDONATO-CARNES-GARDNER-LATTA-WATTS- 16
MUMPER-HORN-OELSLAGER-SCHAFRATH-FURNEY-DRAKE-NEIN 17
_________________________________________________________________ 19
A B I L L
To amend sections 145.291, 145.30, 3305.05, 3305.06, 21
3307.01, 3307.35, 3309.36, 3309.38, 3309.50, and 22
3309.69, to enact sections 3305.051 and 3307.515, 23
and to repeal section 3309.37 of the Revised Code 24
to increase the School Employees Retirement 25
System (SERS) service retirement benefit for 26
retirants with more than 30 years' service 28
credit, to increase the SERS death benefit to
$1,000, to increase the SERS reimbursement for 29
insurance coverage under Medicare Part B, to make 31
changes with regard to military service credit 32
granted by the Public Employees Retirement 33
System, to make changes to the law governing 35
alternative retirement programs for employees of
public institutions of higher education, to 38
change the date by which the Ohio Retirement 39
Study Council is required to have completed and 40
submitted an actuarial study of the alternative 41
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retirement program for employees of public 43
institutions of higher education, to permit a 44
member of the Public Employees Retirement System 45
who resigned due to pregnancy to purchase up to 46
one year of service credit, to permit a member of 47
the State Teachers Retirement System who was 48
granted a leave of absence for pregnancy or
resigned due to pregnancy to purchase up to two 49
years of service credit, and to declare an
emergency. 50
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 52
Section 1. That sections 145.291, 145.30, 3305.05, 54
3305.06, 3307.01, 3307.35, 3309.36, 3309.38, 3309.50, and 3309.69 56
be amended and sections 3305.051 and 3307.515 of the Revised Code
be enacted to read as follows: 57
Sec. 145.291. Any member, OF THE PUBLIC EMPLOYEES 67
RETIREMENT SYSTEM who subsequent to January 1, 1935, and the date 68
membership was established was off the payroll for not more than
one year EITHER on a leave of absence approved by the then 70
appointing authority OR BECAUSE THE MEMBER RESIGNED DUE TO 71
PREGNANCY, shall have the right to make such payment, at the 72
contribution rate in effect at the time of payment, with interest 73
on such amount compounded annually at a rate to be determined by 74
the RETIREMENT board as he THE MEMBER would have made if he THE 77
MEMBER had continued on the payroll at the earnable salary he THE 78
MEMBER was receiving at the time his public service was 80
interrupted, provided that subsequent to such leave of absence he 82
THE MEMBER returned to regular contributing status in this THE 84
RETIREMENT system for at least twelve calendar months. The IN 86
THE CASE OF RESIGNATION, THE MEMBER MUST SUBMIT EVIDENCE
SATISFACTORY TO THE RETIREMENT BOARD DOCUMENTING THAT THE 87
RESIGNATION WAS DUE TO PREGNANCY.
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THE member may choose to purchase only part of such THE 90
credit in any one payment, subject to board rules. The payment 91
shall entitle the member to receive service credit for the leave 92
OR PERIOD of absence, EXCEPT THAT SERVICE CREDIT PURCHASED UNDER 93
THIS SECTION SHALL NOT EXCEED ONE YEAR. The payment, together 94
with any regular interest, shall, in the event of death or 96
withdrawal from service of the member prior to retirement, be 97
considered as accumulated contributions of the member. 98
Sec. 145.30. (A) As used in this section and section 107
145.301 of the Revised Code: 108
(1) "Armed forces" of the United States includes the 110
following:
(a) Army, navy, air force, marine corps, coast guard, 112
auxiliary corps as established by congress, red cross nurse 113
serving with the army, navy, air force, or hospital service of 114
the United States, army nurse corps, navy nurse corps, full-time 115
service with the American red cross in a combat zone, and such 116
other service as may be designated by congress as included
therein;
(b) Personnel of the Ohio national guard and the reserve 118
components of any of the armed forces enumerated in division 119
(A)(1) of this section who are called to active duty pursuant to 120
an executive order issued by the president of the United States 121
or an act of congress;
(c) Persons on whom United States merchant marine veteran 123
status has been conferred for service aboard oceangoing merchant 124
ships in service to the United States during World War II. 125
(2) "State retirement system" means any of the following: 127
the police and firemen's disability and pension fund, public 128
employees retirement system, school employees retirement system, 129
state highway patrol retirement system, or the state teachers 130
retirement system.
(B) Upon reemployment in the public service and completion 132
of one year of service credit as covered by a state retirement 133
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system or the Cincinnati retirement system, within two years 134
after service in the uniformed services ARMED FORCES that is 136
terminated in a manner other than as described in section 4304 of
Title 38 of the United States Code, "Uniformed Services 137
Employment and Reemployment Rights Act of 1994," 108 Stat. 3149, 138
38 U.S.C.A. 4304, and presentation of documentation of the 139
service and subject to rules adopted by the retirement board, any 140
member of the public employees retirement system who was a member 141
with not less than one year of payroll deductions before entering
active duty with the armed forces and maintained membership in 142
the public employees retirement system as provided by section 143
145.41 of the Revised Code, and who was or is out of active 144
service as a public employee by reason of having become a member 145
of the armed forces of the United States on active duty or 146
service shall have such military service, not in excess of ten
years, considered as the equivalent of prior service. Uniformed 148
service SERVICE IN THE ARMED FORCES as established by 150
documentation of the service, not in excess of ten years, shall
also be considered prior service for a person who was a public 151
employee and who has acquired service credit for five years prior 152
to, and within the one year preceding, the date of entering on 153
active duty in the armed forces of the United States if such 154
person was reemployed in the public service within one year after 155
service in the uniformed services ARMED FORCES that is terminated 156
in a manner other than as described in section 4304 of Title 38 157
of the United States Code, "Uniformed Services Employment and 158
Reemployment Rights Act of 1994," 108 Stat. 3149, 38 U.S.C.A. 159
4304, AND ESTABLISHED TOTAL SERVICE CREDIT AS DEFINED IN SECTION 160
145.01 OF THE REVISED CODE of twenty years exclusive of credit
for SERVICE IN THE uniformed service SERVICES, AS DEFINED IN 162
SECTION 145.302 OF THE REVISED CODE. This division shall not 163
serve to cancel any military service credit earned or granted 164
prior to November 1, 1965.
(C) A member of the public employees retirement system is 166
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ineligible to receive service credit under this section for any 167
year of military service credit used in the calculation of any 168
retirement benefit currently being paid to the member or payable 169
in the future under any other retirement program, except social 170
security, or used to obtain service credit pursuant to section
145.301 or 145.302 of the Revised Code. At the time such credit 171
is requested, the member shall certify on a form supplied by the 172
retirement board that the member does and will conform to this 173
requirement. This division does not cancel any military service 174
credit earned prior to March 15, 1979.
Sec. 3305.05. (A) A person whose employment as an 183
academic or administrative employee of a public institution of 184
higher education commences after the initial date on which the 185
board of trustees of the public institution establishes the 186
alternative retirement program may, not later than ninety days 187
after the starting date of employment, make an election to
participate in an alternative retirement plan available at the 188
public institution. If no election to an alternative retirement 189
plan is in effect at the end of ninety days after the person's 190
starting date of employment, the person shall be deemed to have 192
elected participation in the state retirement system that applies 193
to the person's employment. Except as provided under division
(F) of this section, an election that is made under this division 194
or division (B) of this section and that is in effect at the end 195
of ninety days after the person's starting date of employment, 196
shall be irrevocable while the electing employee remains 198
continuously employed. A person who makes an election to
participate in an alternative retirement plan shall be forever 199
barred from claiming or purchasing service credit under any state 200
retirement system for the period of that person's employment that 202
the election is in effect. If a person ceases to be continuously 204
employed and subsequently is employed by a public institution of
higher education in a position for which an alternative 205
retirement plan is available under this chapter, the person may 206
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make another election under this division. Each public 207
institution of higher education employing a person eligible to 208
make an election under this division shall notify, within ten 209
days of the person's employment, that THE state retirement system 210
that applies to that person's employment in the manner specified 212
by that state retirement system, which notice shall include the 214
new employee's name and address.
This division does not apply to any person who has made an 216
election under this division or division (B) of this section 217
unless the person has ceased to be continuously employed. 218
(B)(1) Not later than one hundred twenty days after the 220
date on which the board of trustees of a public institution of 222
higher education establishes the initial alternative retirement 223
program for that public institution, each ELIGIBLE academic or 225
administrative employee of the public institution with less than 226
five years of total service credit in the state retirement system 227
in which the person is a member on that initial establishment 229
date may make an election to participate in an alternative
retirement plan available at the public institution. If a person 230
to whom this division applies fails to make an election, the 231
person shall be deemed to have elected continued participation in 232
the state retirement system in which the person is a member. 233
(2)(a) IF A PUBLIC INSTITUTION'S ALTERNATIVE RETIREMENT 235
PROGRAM IS ESTABLISHED ON OR AFTER THE EFFECTIVE DATE OF THIS 236
AMENDMENT BUT NOT LATER THAN TWELVE MONTHS AFTER THE DEPARTMENT 237
OF INSURANCE MAKES A DESIGNATION UNDER SECTION 3305.03 OF THE 238
REVISED CODE, A MEMBER OF THE PUBLIC EMPLOYEES RETIREMENT SYSTEM 239
OR SCHOOL EMPLOYEES RETIREMENT SYSTEM WHO IS AN ACADEMIC OR 240
ADMINISTRATIVE EMPLOYEE OF THE PUBLIC INSTITUTION IS ELIGIBLE TO
ELECT TO PARTICIPATE IF THE MEMBER HAS LESS THAN FIVE YEARS OF 241
SERVICE CREDIT IN THE RETIREMENT SYSTEM ON THE LAST DAY OF THE 242
MONTH IN WHICH THE DESIGNATION IS MADE. IF A PUBLIC 243
INSTITUTION'S ALTERNATIVE RETIREMENT PROGRAM IS ESTABLISHED MORE 244
THAN TWELVE MONTHS AFTER THE DEPARTMENT OF INSURANCE MAKES THE 245
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DESIGNATION, A MEMBER OF THE PUBLIC EMPLOYEES RETIREMENT SYSTEM 246
OR SCHOOL EMPLOYEES RETIREMENT SYSTEM WHO IS AN ACADEMIC OR 247
ADMINISTRATIVE EMPLOYEE OF THE PUBLIC INSTITUTION IS ELIGIBLE TO 248
ELECT TO PARTICIPATE IF THE MEMBER HAS LESS THAN FIVE YEARS OF 249
SERVICE CREDIT IN THE RETIREMENT SYSTEM ON THE FIRST DAY THE 250
MONTH IN WHICH THE PROGRAM IS ESTABLISHED.
(b) A MEMBER OF THE STATE TEACHERS RETIREMENT SYSTEM WHO 252
IS AN ACADEMIC OR ADMINISTRATIVE EMPLOYEE OF A PUBLIC INSTITUTION 253
THAT ESTABLISHES AN ALTERNATIVE RETIREMENT PROGRAM IS ELIGIBLE TO 254
PARTICIPATE IN THE PROGRAM IF THE MEMBER HAS LESS THAN FIVE YEARS 255
OF SERVICE CREDIT IN THE RETIREMENT SYSTEM ON THE THIRTIETH DAY 256
OF JUNE IMMEDIATELY PRECEDING THE DATE THE PROGRAM IS 257
ESTABLISHED.
(C) Each academic or administrative employee shall make 259
any AN election under division (A) or (B) of this section in 260
writing and submit the election to the designated officer of the 261
employee's employing public institution of higher education. The 262
officer shall file a certified copy of the election within ten 263
days with the state retirement system to which, apart from this 265
election, the employee's employment would be subject. 266
(D)(1) Each election made under division (A) of this 268
section shall be effective on the electing employee's starting 269
date of employment. 270
(2) Each IN THE CASE OF A MEMBER OF THE PUBLIC EMPLOYEES 272
RETIREMENT SYSTEM OR SCHOOL EMPLOYEES RETIREMENT SYSTEM, AN 273
election made under division (B) of this section shall be 275
effective on the first day of the month next following the date
on which the electing employee submits the election under 276
division (C) of this section DATE DESCRIBED IN DIVISION (B)(2)(a) 277
OF THIS SECTION. IN THE CASE OF A MEMBER OF THE STATE TEACHERS 279
RETIREMENT SYSTEM, AN ELECTION SHALL BE EFFECTIVE ON THE DATE 280
DESCRIBED IN DIVISION (B)(2)(b) OF THIS SECTION. 281
(E) Any election made under division (A) or (B) of this 284
section shall only apply to the electing employee's employment in
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positions for which an alternative retirement program is 285
available pursuant to this chapter. Employment of the electing 286
employee in any other position shall be subject to the applicable 287
state retirement system.
(F) The board of trustees of a public institution of 289
higher education shall permit an electing employee to change the 290
alternative retirement plan in which the electing employee 291
participates if the plan ceases, pursuant to division (C) of 293
section 3305.03 of the Revised Code, to be a designated plan. 295
Sec. 3305.051. THE STATE RETIREMENT SYSTEM THAT COVERS THE 297
POSITION HELD BY AN EMPLOYEE OF A PUBLIC INSTITUTION OF HIGHER 298
EDUCATION WHO MAKES AN ELECTION UNDER DIVISION (A) OF SECTION 299
3305.05 OF THE REVISED CODE TO PARTICIPATE IN THE PUBLIC 300
INSTITUTION'S ALTERNATIVE RETIREMENT PROGRAM SHALL RETURN TO THE
PUBLIC INSTITUTION ANY EMPLOYEE AND EMPLOYER CONTRIBUTIONS MADE 301
TO THE RETIREMENT SYSTEM FOR THE NINETY-DAY PERIOD DESCRIBED IN 302
THAT DIVISION LESS THE AMOUNT DUE THE RETIREMENT SYSTEM PURSUANT 303
TO DIVISION (E) OF SECTION 3305.06 OF THE REVISED CODE FOR THAT 304
PERIOD.
THE STATE RETIREMENT SYSTEM THAT COVERS THE POSITION HELD 306
BY AN EMPLOYEE OF A PUBLIC INSTITUTION OF HIGHER EDUCATION WHO 307
MAKES AN ELECTION UNDER DIVISION (B) OF SECTION 3305.05 OF THE 308
REVISED CODE TO PARTICIPATE IN THE PUBLIC INSTITUTION'S 309
ALTERNATIVE RETIREMENT PROGRAM SHALL RETURN TO THE PUBLIC
INSTITUTION ANY EMPLOYEE AND EMPLOYER CONTRIBUTIONS MADE TO THE 310
RETIREMENT SYSTEM FOR ANY PERIOD COMMENCING AFTER THE APPLICABLE 311
DATE DESCRIBED IN DIVISION (B)(2)(a) OR (b) OF SECTION 3305.05 OF 313
THE REVISED CODE LESS THE AMOUNT DUE THE RETIREMENT SYSTEM
PURSUANT TO DIVISION (E) OF SECTION 3305.06 OF THE REVISED CODE 314
FOR THAT PERIOD.
Sec. 3305.06. (A) Each electing employee shall contribute 323
an amount, which shall be a certain percentage of the employee's 324
compensation, to the alternative retirement plan in which the 325
employee participates. This percentage shall be the percentage 326
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the electing employee would have otherwise been required to 327
contribute to the state retirement system that applies to the
employee's position, except that the percentage shall not be less 328
than three per cent. Employee contributions under this division 329
may be treated as employer contributions in accordance with 330
Internal Revenue Code 414 (h). 331
(B) Each public institution of higher education employing 333
an electing employee shall contribute an amount, which shall be a 334
certain percentage of the employee's compensation, to the 335
alternative retirement plan the employee has elected. This 336
percentage shall be determined by the board of trustees of the 337
public institution.
(C)(1) In no event shall the amount contributed by the 340
electing employee pursuant to division (A) of this section and on 341
the electing employee's behalf pursuant to division (B) of this
section be less than the amount necessary to qualify the plan as 342
a state retirement system pursuant to Internal Revenue Code 343
3121(B)(7) and the regulations adopted thereunder. 344
(2) The full amount of the electing employee's 346
contribution under division (A) of this section and the full 347
amount of the employer's contribution made on behalf of that 348
employee under division (B) of this section shall be paid to the 349
entity providing the employee's alternative retirement plan for 350
application to that plan in accordance with any contract the 351
electing employee has entered into for purposes of that plan. In
no event shall any benefits be paid under that plan prior to the 352
time an electing employee ceases to be continuously employed. 353
(D) An electing employee may make voluntary deposits to 355
the employee's alternative retirement plan in addition to the 356
employee contribution required under division (A) of this 358
section.
(E) Each public institution of higher education employing 360
an electing employee shall contribute on behalf of that employee 361
to the state retirement system that otherwise applies to the 362
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electing employee's position an amount equal to six per cent of 363
the electing employee's compensation to mitigate any negative 364
financial impact of the alternative retirement program on the 366
state retirement system; provided that on the first day of July
following the first year after the effective date of this section 367
DEPARTMENT OF INSURANCE DESIGNATES AN ALTERNATIVE RETIREMENT PLAN 368
UNDER SECTION 3305.03 OF THE REVISED CODE and every third year 369
thereafter, the Ohio retirement study commission COUNCIL shall 370
cause an independent actuarial study to be completed and 371
submitted to the Ohio board of regents. The study shall 372
determine any adjustments in contributions necessary to reflect 373
any change in the level of the negative financial impact
resulting from the establishment of the alternative retirement 374
program. The amount contributed to the state retirement system 376
pursuant to this division shall be increased or decreased to 377
reflect the amount needed to mitigate the negative financial
impact, if any, on the system, as determined by each actuarial 378
study. Any increase or decrease in contributions shall become 380
effective on the first day of July in the year in which the 381
actuarial study is completed. Contributions on behalf of an
electing employee shall continue in accordance with this division 382
until the occurrence of the following: 383
(1) If the electing employee would be subject to Chapter 385
145. of the Revised Code had the employee not made an election 386
pursuant to section 3305.05 of the Revised Code, until the 388
unfunded actuarial accrued liability for all benefits, except 390
health care benefits provided under section 145.325 or 145.58 of 391
the Revised Code, is fully amortized, as determined by the annual 392
actuarial valuation prepared under section 145.22 of the Revised 393
Code;
(2) If the electing employee would be subject to Chapter 395
3307. of the Revised Code had the employee not made an election 396
pursuant to section 3305.05 of the Revised Code, until the 397
unfunded actuarial accrued liability for all benefits, except 398
11
health care benefits provided under section 3307.405 or 3307.74 399
of the Revised Code, is fully amortized, as determined by the 400
annual actuarial valuation prepared under section 3307.20 of the 401
Revised Code;
(3) If the electing employee would be subject to Chapter 403
3309. of the Revised Code had the employee not made an election 404
pursuant to section 3305.05 of the Revised Code, until the 405
unfunded actuarial accrued liability for all benefits, except 406
health care benefits provided under section 3309.375 or 3309.69 407
of the Revised Code, is fully amortized, as determined by the 408
annual actuarial valuation prepared under section 3309.21 of the 409
Revised Code.
Sec. 3307.01. As used in this chapter: 418
(A) "Employer" means the board of education, school 420
district, governing authority of any community school established 421
under Chapter 3314. of the Revised Code, college, university, 422
institution, or other agency within the state by which a teacher 424
is employed and paid.
(B) "Teacher" means any person paid from public funds and 426
employed in the public schools of the state under any type of 427
contract described in section 3319.08 of the Revised Code in a 428
position for which the person is required to have a license 430
issued pursuant to sections 3319.22 to 3319.31 of the Revised 431
Code; any person employed as a teacher by a community school 432
pursuant to Chapter 3314. of the Revised Code; and any other 434
teacher or faculty member employed in any school, college, 435
university, institution, or other agency wholly controlled and 436
managed, and supported in whole or in part, by the state or any 437
political subdivision thereof, including Central state 438
university, Cleveland state university, the university of Toledo, 439
and the medical college of Ohio at Toledo. The educational 440
employees of the department of education, as determined by the 441
state superintendent of public instruction, shall be considered 442
teachers for the purpose of membership in this system. In all 443
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cases of doubt, the state teachers retirement board shall 444
determine whether any person is a teacher, and its decision shall 445
be final.
"Teacher" does not include any academic or administrative 447
employee of a public institution of higher education, as defined 448
in section 3305.01 of the Revised Code, who participates in an 449
alternative retirement plan established under Chapter 3305. of 450
the Revised Code.
(C) "Prior service" means all service as a teacher before 452
September 1, 1920, military service credit, all service prior to 453
September 1, 1920, as an employee of any employer who comes 454
within the public employees retirement system, the school 455
employees retirement system, or any other state retirement system 456
established under the laws of Ohio, and similar service in 457
another state, credit for which was procured by a member under 458
section 3307.33 of the Revised Code, prior to June 25, 1945. 459
Prior service credit shall not be granted to any member for 460
service for which credit or benefits have been received in any 461
other state retirement system in Ohio or for credit that was 462
forfeited by withdrawal of contributions, unless the credit has 463
been restored. If the teacher served as an employee in any two 464
or all of the capacities, "prior service" means the total 465
combined service in the capacities prior to September 1, 1920. 466
If a teacher who has been granted prior service credit for 468
service rendered prior to September 1, 1920, as an employee of an 469
employer who comes within the public employees retirement system 470
or the school employees retirement system, establishes, 471
subsequent to September 16, 1957, and before retirement, three 472
years of contributing service in the public employees retirement 473
system, or one year in the school employees retirement system, 474
the prior service credit granted shall become, at retirement, the 476
liability of the other system if the prior service or employment 478
was in a capacity covered by that system.
(D) "Total service," "total service credit," except as 480
13
provided in section 3307.41 of the Revised Code, or "Ohio service 481
credit" means all service of a member of the state teachers 482
retirement system since last becoming a member and, in addition 483
thereto, restored service credit under section 3307.28 of the 484
Revised Code, all prior service credit, all military service 486
credit computed as provided in this chapter, and all other 487
service credit established under sections 3307.22, 3307.31, 488
3307.311, 3307.32, 3307.35, 3307.411, 3307.412, 3307.51, 490
3307.512, 3307.513, 3307.514, 3307.515, and 3307.73 and former 492
section 3307.52 of the Revised Code, and Section 3 of Amended 493
Substitute Senate Bill No. 530 of the 114th general assembly. 494
All service credit purchased under section 3307.33 of the Revised 495
Code shall be used exclusively for the purpose of qualifying for 496
service retirement. 497
(E) "Member" means any person included in the membership 499
of the state teachers retirement system, which shall consist of 500
all teachers and contributors as defined in divisions (B) and (F) 501
of this section and all disability benefit recipients. However, 502
for purposes of this chapter, the following persons shall not be 503
considered members: 504
(1) A student, intern, or resident who is not a member 506
while employed part-time by a school, college, or university at 508
which the student, intern, or resident is regularly attending 509
classes;
(2) A person denied membership pursuant to section 3307.27 511
of the Revised Code; 512
(3) A superannuate or other system retirant as defined in 514
section 3307.381 of the Revised Code; 515
(4) An individual employed in a program established 517
pursuant to the "Job Training Partnership Act," 96 Stat. 1322 518
(1982), 29 U.S.C.A. 1501. 519
(F) "Contributor" means any person who has an account in 521
the teachers' savings fund. 522
(G) "Beneficiary" means any person eligible to receive, or 524
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in receipt of, a retirement allowance or other benefit provided 525
by this chapter. 526
(H)(1) "Service retirement" means retirement as provided 528
in section 3307.38 or 3307.39 of the Revised Code. 529
(2) "Disability retirement" means retirement as provided 531
in section 3307.43 of the Revised Code. 532
(I) "Accumulated contributions" means the sum of all 534
amounts credited to a contributor's individual account in the 535
teachers' savings fund, together with interest credited thereon 536
at the rates approved by the state teachers retirement board 537
prior to retirement. 538
(J) "Annuity" means payments for life derived from 540
contributions made by a contributor and paid from the annuity and 541
pension reserve fund. All annuities shall be paid in twelve 542
equal monthly installments. 543
(K) "Pensions" means annual payments for life derived from 545
appropriations made by an employer and paid from the annuity and 546
pension reserve fund. All pensions shall be paid in twelve equal 547
monthly installments. 548
(L)(1) "Allowance" or "benefit" means the pension plus the 550
annuity, or any other payment under this chapter, and includes a 551
disability allowance or disability benefit. 552
(2) "Disability allowance" means an allowance paid on 554
account of disability under section 3307.431 of the Revised Code. 555
(3) "Disability benefit" means a benefit paid as 557
disability retirement under section 3307.43 of the Revised Code, 558
as a disability allowance under section 3307.431 of the Revised 559
Code, or as a disability benefit under section 3307.41 of the 560
Revised Code. 561
(M) "Annuity reserve" means the present value, computed 563
upon the basis of mortality tables adopted by the state teachers 564
retirement board with interest, of all payments to be made on 565
account of any annuity, or benefit in lieu of any annuity, 566
granted to a member. 567
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(N) "Pension reserve" means the present value, computed 569
upon the basis of mortality tables adopted by the state teachers 570
retirement board with interest, of all payments to be made on 571
account of any pension, or benefit in lieu of any pension, 572
granted to a member or to a beneficiary. 573
(O) "Year" means the year beginning the first day of July 575
and ending with the thirtieth day of June next following, except 576
that for the purpose of determining final average salary, "year" 577
may mean the contract year. 578
(P) "Local district pension system" means any school 580
teachers pension fund created in any school district of the state 581
in accordance with the laws of the state prior to September 1, 582
1920. 583
(Q) "Employer contribution" means the amount paid by an 585
employer, as determined by the employer rate, including the 586
normal and deficiency rates, contributions, and funds wherever 587
used in this chapter. 588
(R) "Five years of service credit," for the exclusive 590
purpose of satisfying the service credit requirements and 591
determining eligibility for benefits under section 3307.38 of the 592
Revised Code, means employment covered under this chapter and 593
employment covered under a former retirement plan operated, 594
recognized, or endorsed by a college, institute, university, or 595
political subdivision of this state prior to coverage under this 596
chapter. 597
(S) "Actuary" means the actuarial consultant to the state 599
teachers retirement board, who shall be either of the following: 600
(1) A member of the American academy of actuaries; 602
(2) A firm, partnership, or corporation of which at least 604
one person is a member of the American academy of actuaries. 605
(T) "Fiduciary" means a person who does any of the 607
following: 608
(1) Exercises any discretionary authority or control with 610
respect to the management of the system, or with respect to the 611
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management or disposition of its assets; 612
(2) Renders investment advice for a fee, direct or 614
indirect, with respect to money or property of the system; 615
(3) Has any discretionary authority or responsibility in 617
the administration of the system. 618
(U)(1) Except as otherwise provided in this division, 620
"compensation" means all salary, wages, and other earnings paid 621
to a teacher by reason of the teacher's employment, including 622
compensation paid pursuant to a supplemental contract. The 623
salary, wages, and other earnings shall be determined prior to 624
determination of the amount required to be contributed to the 625
teachers' savings fund under section 3307.51 of the Revised Code 626
and without regard to whether any of the salary, wages, or other 627
earnings are treated as deferred income for federal income tax 628
purposes.
(2) Compensation does not include any of the following: 630
(a) Payments for accrued but unused sick leave or personal 632
leave, including payments made under a plan established pursuant 633
to section 124.39 of the Revised Code or any other plan 634
established by the employer; 635
(b) Payments made for accrued but unused vacation leave, 637
including payments made pursuant to section 124.13 of the Revised 638
Code or a plan established by the employer; 639
(c) Payments made for vacation pay covering concurrent 641
periods for which other salary, compensation, or benefits under 642
this chapter are paid; 643
(d) Amounts paid by the employer to provide life 645
insurance, sickness, accident, endowment, health, medical, 646
hospital, dental, or surgical coverage, or other insurance for 647
the teacher or the teacher's family, or amounts paid by the 648
employer to the teacher in lieu of providing the insurance; 649
(e) Incidental benefits, including lodging, food, laundry, 651
parking, or services furnished by the employer, use of the 652
employer's property or equipment, and reimbursement for 653
17
job-related expenses authorized by the employer, including moving 654
and travel expenses and expenses related to professional 655
development; 656
(f) Payments made by the employer in exchange for a 658
member's waiver of a right to receive any payment, amount, or 659
benefit described in division (U)(2) of this section; 660
(g) Payments by the employer for services not actually 662
rendered; 663
(h) Any amount paid by the employer as a retroactive 665
increase in salary, wages, or other earnings, unless the increase 666
is one of the following: 667
(i) A retroactive increase paid to a member employed by a 669
school district board of education in a position that requires a 670
license designated for teaching and not designated for being an 671
administrator issued under section 3319.22 of the Revised Code 672
that is paid in accordance with uniform criteria applicable to 673
all members employed by the board in positions requiring the 674
licenses; 675
(ii) A retroactive increase paid to a member employed by a 677
school district board of education in a position that requires a 678
license designated for being an administrator issued under 679
section 3319.22 of the Revised Code that is paid in accordance 680
with uniform criteria applicable to all members employed by the 681
board in positions requiring the licenses; 682
(iii) A retroactive increase paid to a member employed by 684
a school district board of education as a superintendent that is 685
also paid as described in division (U)(2)(h)(i) of this section; 686
(iv) A retroactive increase paid to a member employed by 688
an employer other than a school district board of education in 689
accordance with uniform criteria applicable to all members 690
employed by the employer. 691
(i) Payments made to or on behalf of a teacher that are in 693
excess of the annual compensation that may be taken into account 694
by the retirement system under division (a)(17) of section 401 of 695
18
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 696
401(a)(17), as amended. For a teacher who first establishes 697
membership before July 1, 1996, the annual compensation that may 698
be taken into account by the retirement system shall be 699
determined under division (d)(3) of section 13212 of the "Omnibus 700
Budget Reconciliation Act of 1993," Pub. L. No. 103-66, 107 Stat. 702
472.
(j) Payments made under division (B) or (D) of section 704
5923.05 of the Revised Code or Section 4 of Substitute Senate 706
Bill No. 3 of the 119th general assembly; 707
(k) Anything of value received by the teacher that is 709
based on or attributable to retirement or an agreement to retire. 710
(3) The retirement board shall determine by rule both of 712
the following: 713
(a) Whether particular forms of earnings are included in 715
any of the categories enumerated in this division; 716
(b) Whether any form of earnings not enumerated in this 718
division is to be included in compensation. 719
Decisions of the board made under this division shall be 721
final. 722
(V) "Retirant" means any former member who is granted age 724
and service retirement as provided in sections 3307.38, 3307.39, 725
3307.41, and 3307.50 of the Revised Code. 726
(W) "Disability benefit recipient" means a member who is 728
receiving a disability benefit. 729
Sec. 3307.35. An employer may establish a retirement 738
incentive plan for its employees who are members of the state 739
teachers retirement system. The plan shall provide for purchase 740
by the employer of service credit for eligible employees who 741
choose to participate in the plan and for payment by the employer 742
of the entire cost of such service credit. A plan established 743
under this section shall remain in effect until terminated by the 744
employer, except that, once established, the plan must remain in 745
effect for at least one year. 746
19
An employee who is a member of the state teachers 748
retirement system shall be eligible to participate in a 749
retirement incentive plan if the employee has attained age fifty 751
and the employee agrees to retire and retires under section 752
3307.38 of the Revised Code effective within ninety days after 753
receiving notice from the state teachers retirement system that 754
service credit has been purchased for the member under this 755
section.
Participation in the plan shall be available to all 757
eligible employees except that the employer may limit the number 758
of persons for whom it purchases credit in any calendar year to a 759
specified percentage of its employees who are members of the 760
state teachers retirement system on the first day of January of 761
that year. The percentage shall not be less than five per cent 762
of such employees. If participation is limited, employees with a 763
greater length of service with the employer have the right to 764
elect to have credit purchased before employees with a lesser 765
length of service with the employer. 766
The amount of service credit purchased for any participant 768
shall be uniformly determined but shall not exceed the lesser of 769
the following: 770
(A) Five years of service credit; 772
(B) An amount of service credit equal to one-fifth of the 774
total service credited to the participant under sections 3307.02, 775
3307.021, 3307.022, 3307.22, 3307.28, 3307.31, 3307.311, 3307.32, 777
3307.41, 3307.411, 3307.412, 3307.512, 3307.513, 3307.514,
3307.515, 3307.52, and 3307.73 of the Revised Code. 779
For each year of service credit purchased under this 781
section, the employer shall pay an amount specified by the state 782
teachers retirement board equal to the additional liability 783
resulting from the purchase of that year of service credit as 784
determined by an actuary employed by the board. Payments shall 785
be made in accordance with rules adopted by the board, and the 786
board shall notify each member when the member is credited with 788
20
service purchased under this section. 789
No payment made to the state teachers retirement system 791
under this section shall affect any payment required by section 792
3307.53 of the Revised Code. 793
Sec. 3307.515. AS USED IN THIS SECTION, "REGULAR 795
EMPLOYMENT" MEANS A CONSISTENT PATTERN OF EMPLOYMENT FOR TWELVE 796
OR MORE CONSECUTIVE WEEKS BY THE SAME EMPLOYER DURING THE YEAR. 797
A MEMBER OF THE STATE TEACHERS RETIREMENT SYSTEM WHO PRIOR 799
TO JULY 1, 1982, WAS GRANTED A LEAVE OF ABSENCE FOR PREGNANCY OR 800
RESIGNED DUE TO PREGNANCY MAY PURCHASE SERVICE CREDIT FOR A 801
PERIOD FOR WHICH SHE DID NOT MAKE CONTRIBUTIONS UNDER SECTION 802
3307.51 OF THE REVISED CODE. SERVICE CREDIT PURCHASED UNDER THIS 803
SECTION SHALL NOT EXCEED THE LESSER OF TWO YEARS OR THE PERIOD 804
FROM THE DAY THE LEAVE COMMENCED OR THE EFFECTIVE DATE OF
RESIGNATION TO THE DATE OF THE MEMBER'S RETURN TO REGULAR 805
EMPLOYMENT AS A CONTRIBUTOR TO THE RETIREMENT SYSTEM. A MEMBER 806
MAY PURCHASE CREDIT FOR MORE THAN ONE PERIOD OF ABSENCE DUE TO 807
PREGNANCY, BUT THE TOTAL SERVICE CREDIT PURCHASED UNDER THIS
SECTION, SECTION 3307.513, AND SECTION 3307.514 OF THE REVISED 808
CODE SHALL NOT EXCEED TWO YEARS. THE MEMBER SHALL SUBMIT 809
EVIDENCE SATISFACTORY TO THE RETIREMENT BOARD DOCUMENTING THAT 810
THE LEAVE OR RESIGNATION WAS DUE TO PREGNANCY.
FOR EACH YEAR OF SERVICE CREDIT PURCHASED UNDER THIS 812
SECTION, THE MEMBER SHALL PAY TO THE SYSTEM FOR CREDIT TO HER 813
ACCUMULATED ACCOUNT AN AMOUNT DETERMINED BY MULTIPLYING THE 814
EMPLOYEE RATE OF CONTRIBUTION IN EFFECT AT THE TIME THE LEAVE OR 815
ABSENCE COMMENCED BY HER ANNUAL COMPENSATION FOR FULL-TIME
EMPLOYMENT DURING THE FIRST YEAR OF SERVICE IN OHIO FOLLOWING 816
TERMINATION OF THE ABSENCE OR LEAVE AND ADDING TO THAT AMOUNT 817
INTEREST COMPOUNDED ANNUALLY, AT A RATE ESTABLISHED BY THE BOARD, 818
FROM THE DATE THE ABSENCE OR LEAVE TERMINATED TO THE DATE OF 819
PAYMENT.
A MEMBER MAY PURCHASE ALL OR PART OF THE CREDIT FOR WHICH 821
SHE IS ELIGIBLE IN ONE OR MORE PAYMENTS. A MEMBER WHO PURCHASES 822
21
SERVICE CREDIT FOR AN ABSENCE OR LEAVE UNDER THIS SECTION MAY NOT 823
PURCHASE CREDIT FOR THAT ABSENCE OR LEAVE UNDER SECTION 3307.512 824
OF THE REVISED CODE. A MEMBER WHO HAS PURCHASED SERVICE CREDIT
FOR AN ABSENCE OR LEAVE UNDER SECTION 3307.512, 3307.513, OR 825
3307.514 OF THE REVISED CODE MAY NOT PURCHASE CREDIT UNDER THIS 826
SECTION FOR THE SAME PERIOD OF ABSENCE OR LEAVE.
THE STATE TEACHERS RETIREMENT BOARD MAY ADOPT RULES TO 828
IMPLEMENT THIS SECTION. 829
Sec. 3309.36. (A) A member retiring on service retirement 838
shall be granted a retirement allowance consisting of the lesser 839
of the sum of the following amounts or the limit established by 840
section 415 of the "Internal Revenue Code of 1986," 100 Stat. 841
2085, 26 U.S.C.A. 415, as amended: 842
(A)(1) An annuity having a reserve equal to the amount of 844
the employee's accumulated contributions at that time; 845
(B)(2) A pension of equivalent amount; 847
(C)(3) An additional pension of forty dollars multiplied 849
by the number of years of such prior service credit; 850
(D)(4) For members who have ten or more years of service 852
credit accumulated prior to October 1, 1956, a basic annual 853
pension equal to one hundred eighty dollars, except that such 854
basic annual pension shall not exceed the sum of the total annual 855
benefits provided by divisions (A)(1), (B)(2), and (C)(3) of this 857
section.
(E)(B)(1) When a member retires on service retirement and 859
his, THE MEMBER'S allowance when computed as an annual single 862
lifetime allowance as provided in divisions (A)(1), (B)(2), 864
(C)(3), and (D)(4) of this section and section 3309.38 of the 865
Revised Code, based upon attained age sixty-five or thirty years 866
of total service credit, is SHALL BE NOT less than the greater of 868
the amounts determined by multiplying his THE MEMBER'S total 869
service credit by eighty-six THE FOLLOWING: 870
(a) EIGHTY-SIX dollars, or by two; 872
(b) TWO and one-tenth per cent of his THE MEMBER'S final 875
22
average salary, then the allowance shall be increased to such 877
greater amount. If such member's attained age is other than 878
sixty-five, or his total service credit is other than thirty 880
years, then he shall receive an adjusted FOR EACH OF THE FIRST 881
THIRTY YEARS OF SERVICE CREDIT OR FRACTION THEREOF PLUS TWO AND
ONE-HALF PER CENT OF THE MEMBER'S FINAL AVERAGE SALARY FOR EACH 882
SUBSEQUENT YEAR OF SERVICE CREDIT OR FRACTION THEREOF. 883
(2) THE annual single lifetime allowance which DETERMINED 887
UNDER DIVISION (B)(1) OF THIS SECTION shall be ADJUSTED BY the 888
higher percentage of a base amount determined by GREATER 890
PERCENTAGE SHOWN IN the following schedule OPPOSITE THE MEMBER'S 891
ATTAINED AGE OR YEARS OF OHIO SERVICE CREDIT: 892
896
Years of Per Cent 897
901
Attained Ohio Service of
or
904
Age Credit Base Amount
907
58 25 75%
910
59 26 80
913
60 27 85
916
61 88
919
28 90
922
62 91
925
63 94
23
928
29 95
931
64 97
934
65 30 or more 100.
Members shall vest the right to a benefit in accordance with the 937
following schedule, based on the member's attained age by 938
September 1, 1976: 939
940
Per Cent
941
Attained of
942
Age Base Amount
943
66 102
944
67 104
945
68 106
946
69 108
947
70 or more 110.
(2)(3) The annual single lifetime allowance which a 949
retirant shall receive under this division shall not exceed the 950
lesser of ninety per cent of his THE MEMBER'S final average 951
salary or the limit established by section 415 of the "Internal 953
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415, as 954
amended.
(F)(C) Retirement allowances determined under this section 956
shall be paid as provided in section 3309.46 of the Revised Code. 957
Sec. 3309.38. (A) A member retiring on commuted service 966
24
retirement on or after September 30, 1963, shall be granted a 967
retirement allowance consisting of: 968
(A)(1) An annuity having a reserve equal to the amount of 970
the employee's accumulated contributions at the time; 971
(B)(2) A pension of equivalent amount; 973
(C)(3) An additional pension, if such employee has prior 975
service credit, the reserve for which, based upon regular 976
interest and the service tables approved by the board, shall be 977
the present worth of the reserve required for the payment of the 978
prior service pension provided by section 3309.36 of the Revised 979
Code, after either age sixty or thirty-two years of service 980
credit, whichever can be first attained. The annual prior 981
service pension shall be determined by the amount of such 982
commuted reserve divided by the service annuity rate for the 983
attained annuity age of retirement;. 984
(D)(4) For members who have ten or more years of service 986
credit accumulated prior to October 1, 1956, a basic annual 987
pension equal to one hundred eighty dollars, which shall be 988
commuted in the same manner as provided for the prior service 989
pension in division (C)(A)(3) of this section, provided such 990
commuted basic annual pension shall not exceed the sum of the 992
total annual benefits provided by divisions (A)(1), (B)(2), and 993
(C)(3) of this section. 994
(E)(B) When a member retires on commuted service 996
retirement, his THE MEMBER'S annual single lifetime allowance 997
including the allowances provided in divisions (A)(1), (B)(2), 999
(C)(3), and (D)(4) of this section shall not be less than the 1,001
allowances provided under the provisions of division (E)(B) of 1,002
section 3309.36 of the Revised Code and shall not exceed the 1,004
limit established by division (E)(2)(B)(3) of that section. 1,006
(F)(C) Retirement allowances determined under this section 1,008
shall be paid as provided in section 3309.46 of the Revised Code. 1,009
Sec. 3309.50. Upon the death of a retirant or disability 1,018
benefit recipient, who at the time of death is receiving a 1,019
25
service retirement allowance or disability benefit from the 1,020
school employees retirement system, a lump-sum payment of five 1,021
hundred ONE THOUSAND dollars shall be paid to any designated or 1,022
qualified beneficiary under division (D) of section 3309.44 of 1,023
the Revised Code, or, if none NO SUCH DESIGNATION HAS BEEN FILED 1,024
OR IF THE DESIGNATED BENEFICIARY IS DECEASED OR IS NOT LOCATED 1,025
WITHIN NINETY DAYS, the school employees retirement board may 1,026
approve payment to either the person responsible for the burial 1,027
expenses or to the decedent's estate following the completion of 1,028
an application on a form approved by the board.
Sec. 3309.69. (A) As used in this section, "ineligible 1,037
individual" means all of the following: 1,038
(1) A former member receiving benefits pursuant to section 1,040
3309.34, 3309.35, 3309.36, 3309.38, or 3309.381 of the Revised 1,041
Code for whom eligibility is established more than five years 1,042
after June 13, 1981, and who, at the time of establishing 1,043
eligibility, has accrued less than ten years of service credit, 1,044
exclusive of credit obtained after January 29, 1981, pursuant to 1,045
sections 3309.021, 3309.301, 3309.31, and 3309.33 of the Revised 1,046
Code; 1,047
(2) The spouse of the former member; 1,049
(3) The beneficiary of the former member receiving 1,051
benefits pursuant to section 3309.46 of the Revised Code. 1,052
(B) The school employees retirement board may enter into 1,054
an agreement with insurance companies, health insuring 1,056
corporations, or government agencies authorized to do business in 1,058
the state for issuance of a policy or contract of health, 1,059
medical, hospital, or surgical benefits, or any combination 1,060
thereof, for those individuals receiving service retirement or a 1,061
disability or survivor benefit subscribing to the plan and their 1,063
eligible dependents.
If all or any portion of the policy or contract premium is 1,065
to be paid by any individual receiving service retirement or a 1,067
disability or survivor benefit, the person shall, by written 1,068
26
authorization, instruct the board to deduct the premiums agreed 1,069
to be paid by the individual to the companies, corporations, or 1,071
agencies.
The board may contract for coverage on the basis of part or 1,074
all of the cost of the coverage to be paid from appropriate funds 1,075
of the school employees retirement system. The cost paid from 1,076
the funds of the system shall be included in the employer's 1,078
contribution rate provided by sections 3309.49 and 3309.491 of 1,079
the Revised Code. The board shall not pay or reimburse the cost 1,080
for health care under this section or section 3309.375 of the 1,081
Revised Code for any ineligible individual. 1,082
The board may provide for self-insurance of risk or level 1,084
of risk as set forth in the contract with the companies, 1,085
corporations, or agencies, and may provide through the 1,086
self-insurance method specific benefits as authorized by the 1,087
rules of the board. 1,088
(C) If the board provides health, medical, hospital, or 1,090
surgical benefits through any means other than a health insuring 1,092
corporation, it shall offer to each individual eligible for the 1,095
benefits the alternative of receiving benefits through enrollment 1,097
in a health insuring corporation, if all of the following apply: 1,099
(1) The health insuring corporation provides health care 1,102
services in the geographical area in which the individual lives; 1,104
(2) The eligible individual was receiving health care 1,106
benefits through a health maintenance organization or a health 1,107
insuring corporation before retirement; 1,109
(3) The rate and coverage provided by the health insuring 1,112
corporation to eligible individuals is comparable to that 1,114
currently provided by the board under division (B) of this 1,115
section. If the rate or coverage provided by the health insuring 1,116
corporation is not comparable to that currently provided by the 1,118
board under division (B) of this section, the board may deduct 1,119
the additional cost from the eligible individual's monthly 1,120
benefit.
27
The health insuring corporation shall accept as an enrollee 1,124
any eligible individual who requests enrollment.
The board shall permit each eligible individual to change 1,126
from one plan to another at least once a year at a time 1,127
determined by the board. 1,128
(D) The board shall, beginning the month following receipt 1,130
of satisfactory evidence of the payment for coverage, make a 1,131
monthly payment to each recipient of service retirement, or a 1,132
disability or survivor benefit under the school employees 1,133
retirement system who is eligible for insurance coverage under 1,134
part B of "The Social Security Amendments of 1965," 79 Stat. 301, 1,135
42 U.S.C.A. 1395j, as amended, except that the board shall make 1,136
no such payment to any ineligible individual. The EFFECTIVE ON 1,137
THE FIRST DAY OF THE MONTH AFTER THE EFFECTIVE DATE OF THIS 1,138
AMENDMENT, THE amount of the payment shall be the lesser of an 1,140
amount equal to the basic premium for such coverage, or an amount 1,141
equal to the basic premium in effect on January 1, 1988 1992. 1,142
(E) The board shall establish by rule requirements for the 1,144
coordination of any coverage, payment, or benefit provided under 1,146
this section or section 3309.375 of the Revised Code with any 1,148
similar coverage, payment, or benefit made available to the same 1,149
individual by the public employees retirement system, police and 1,150
firemen's disability and pension fund, state teachers retirement 1,151
system, or state highway patrol retirement system. 1,152
(F) The board shall make all other necessary rules 1,154
pursuant to the purpose and intent of this section. 1,155
Section 2. That existing sections 145.291, 145.30, 1,157
3305.05, 3305.06, 3307.01, 3307.35, 3309.36, 3309.38, 3309.50, 1,159
and 3309.69 and section 3309.37 of the Revised Code are hereby 1,160
repealed.
Section 3. The School Employees Retirement System shall 1,162
make a one-time payment to each person who is a current recipient 1,163
of service retirement or a disability or survivor benefit from 1,164
the System and was eligible to receive a monthly payment pursuant 1,165
28
to division (D) of section 3309.69 of the Revised Code for 1,166
insurance coverage under Part B of "The Social Security
Amendments of 1965," 79 Stat. 301, 42 U.S.C.A. 1935j, as amended, 1,167
at any time during the period commencing January 1, 1992, and 1,168
ending on the effective date of this section. The amount of the 1,169
payment to each recipient shall be equal to the sum of the 1,170
differences between:
(A) Each monthly payment the recipient was eligible to 1,172
receive under division (D) of section 3309.69 of the Revised Code 1,173
during the period commencing January 1, 1992, and ending on the 1,174
effective date of this section; and
(B) The amount of the monthly payment that is authorized 1,176
by division (D) of section 3309.69 of the Revised Code as enacted 1,177
by this act.
Section 4. Not later than sixty days after the effective 1,179
date of this act, the School Employees Retirement Board shall 1,180
recalculate each allowance calculated under section 3309.36 or 1,181
3309.38 of the Revised Code that is based on more than thirty 1,182
years of service credit and is effective on or after July 1, 1,183
1998, but before the effective date of this act.
If the recalculated allowance is greater than the 1,185
recipient's allowance prior to the recalculation, the Board shall 1,186
do both of the following:
(A) Begin payment of the recalculated allowance on the 1,188
first day of the month immediately following the date the 1,189
recalculation is made;
(B) Make one additional payment to the recipient equal to 1,191
the difference between the amount of allowance the recipient 1,192
received between July 1, 1998, and the date of the payment 1,193
described in division (A) of this section and the increased 1,194
allowance the recipient would have received had the act gone into
effect on July 1, 1998. 1,195
Section 5. This act is hereby declared to be an emergency 1,197
measure necessary for the immediate preservation of the public 1,198
29
peace, health, and safety. The reason for such necessity is that 1,199
the act establishes dates for determining who is eligible to 1,200
participate in the alternative retirement programs for academic 1,201
and administrative employees of public institutions of higher
education and, without such dates, the programs cannot be 1,202
implemented. Therefore, this act shall go into immediate effect. 1,203