As Reported by House Health, Retirement and Aging Committee 1
123rd General Assembly 4
Regular Session Am. Sub. S. B. No. 189 5
1999-2000 6
SENATORS SPADA-BLESSING-JOHNSON-MUMPER-DiDONATO-McLIN- 8
ARMBRUSTER-DRAKE-GARDNER-HAGAN-LATELL-LATTA-NEIN-OELSLAGER- 9
PRENTISS-SCHAFRATH-WATTS-WHITE-HORN-REPRESENTATIVES OLMAN- 10
VESPER-PATTON-OGG-DePIERO-BARNES-HOLLISTER-WILLAMOWSKI-SMITH- 12
J. BEATTY
_________________________________________________________________ 14
A B I L L
To amend sections 5505.12, 5505.15, 5505.16, 16
5505.17, 5505.171, 5505.176, 5505.18, and 5505.30 18
and to enact sections 5505.163 and 5505.29 of the
Revised Code to reduce the member contribution 19
rate under the State Highway Patrol Retirement 20
System (SHPRS), increase pensions and the
lump-sum death benefit provided by the system, 21
provide for refunds of purchased service credit 22
that does not increase a pension, allow a person
who retired prior to September 21, 1994, to 23
choose a joint and survivor annuity, and require 24
SHPRS to submit to the Ohio Retirement Study 25
Council and legislative committees the system's
annual actuarial valuation not later than the 26
first day of July following the year for which
the valuation was made. 27
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 29
Section 1. That sections 5505.12, 5505.15, 5505.16, 31
5505.17, 5505.171, 5505.176, 5505.18, and 5505.30 be amended and 33
sections 5505.163 and 5505.29 of the Revised Code be enacted to 34
read as follows:
Sec. 5505.12. (A) The state highway patrol retirement 51
2
board shall have prepared annually by or under the supervision of 52
an actuary an actuarial valuation of the pension assets, 53
liabilities, and funding requirements of the state highway patrol 54
retirement system as established pursuant to this chapter. The 55
actuary shall complete the valuation in accordance with actuarial 56
standards of practice promulgated by the actuarial standards
board of the American academy of actuaries and prepare a report 58
of the valuation. The report shall include all of the following:
(1) A summary of the benefit provisions evaluated; 60
(2) A summary of the census data and financial information 62
used in the valuation; 63
(3) A description of the actuarial assumptions, actuarial 65
cost method, and asset valuation method used in the valuation, 66
including a statement of the assumed rate of payroll growth and 67
assumed rate of growth or decline in the number of members 68
contributing to the retirement system;
(4) A summary of findings that includes a statement of the 70
actuarial accrued pension liabilities and unfunded actuarial 71
accrued pension liabilities; 72
(5) A schedule showing the effect of any changes in the 74
benefit provisions, actuarial assumptions, or cost methods since 75
the last annual actuarial valuation; 76
(6) A statement of whether contributions to the retirement 78
system are expected to be sufficient to satisfy the funding 79
objectives established by the board. 80
The board shall submit the report to the Ohio retirement 83
study commission COUNCIL and the standing committees of the house 84
of representatives and the senate with primary responsibility for 85
retirement legislation not later than the first day of November 86
JULY following the year for which the valuation was made. 87
(B) At such times as the state highway patrol retirement 90
board determines, and at least once in each five-year period 91
after January 1, 1966, the board shall have prepared by or under 92
the supervision of an actuary an actuarial investigation of the 93
3
mortality, service, and other experience of the members, 94
retirants, and beneficiaries to update the actuarial assumptions 95
used in the actuarial valuation required by division (A) of this 96
section. The actuary shall prepare a report of the actuarial 97
investigation. The report shall be prepared and any recommended 98
changes in actuarial assumptions shall be made in accordance with 100
the actuarial standards of practice promulgated by the actuarial 101
standards board of the American academy of actuaries. The report 102
shall include all of the following:
(1) A summary of relevant decrement and economic 104
assumption experience observed over the period of the 105
investigation;
(2) Recommended changes in actuarial assumptions to be 107
used in subsequent actuarial valuations required by division (A) 109
of this section;
(3) A measurement of the financial effect of the 111
recommended changes in actuarial assumptions. 112
The board shall submit the report to the Ohio retirement 115
study commission COUNCIL and the standing committees of the house 116
of representatives and the senate with primary responsibility for 117
retirement legislation not later than the first day of November 118
following the last fiscal year of the period the report covers. 119
(C) The board may at any time request the actuary to make 121
any studies or actuarial valuations to determine the adequacy of 123
the rates of contributions provided by section 5505.15 of the 124
Revised Code.
(D) The board shall have prepared by or under the 126
supervision of an actuary an actuarial analysis of any introduced 127
legislation expected to have a measurable financial impact on the 128
retirement system. The actuarial analysis shall be completed in 129
accordance with the actuarial standards of practice promulgated 130
by the actuarial standards board of the American academy of 131
actuaries. The actuary shall prepare a report of the actuarial 132
analysis, which shall include all of the following: 133
4
(1) A summary of the statutory changes that are being 135
evaluated;
(2) A description of or reference to the actuarial 137
assumptions and actuarial cost method used in the report; 138
(3) A description of the participant group or groups 140
included in the report; 141
(4) A statement of the financial impact of the 143
legislation, including the resulting increase, if any, in the 144
employer normal cost percentage; the increase, if any, in 145
actuarial accrued liabilities; and the per cent of payroll that 146
would be required to amortize the increase in actuarial accrued
liabilities as a level per cent of covered payroll for all active 147
members over a period not to exceed thirty years; 148
(5) A statement of whether the scheduled contributions to 150
the system after the proposed change is enacted are expected to 151
be sufficient to satisfy the funding objectives established by 152
the board.
Not later than sixty days from the date of introduction of 154
the legislation, the board shall submit a copy of the actuarial 155
analysis to the legislative budget office of the legislative 156
service commission, the standing committees of the house of 157
representatives and the senate with primary responsibility for 158
retirement legislation, and the Ohio retirement study commission 159
COUNCIL.
(E) The board shall have prepared annually a report giving 162
a full accounting of the revenues and costs relating to the 163
provision of benefits under section 5505.28 of the Revised Code. 165
The report shall be made as of December 31, 1997, and the 167
thirty-first day of December of each year thereafter. The report 168
shall include the following:
(1) A description of the statutory authority for the 170
benefits provided; 171
(2) A summary of the benefits; 173
(3) A summary of the eligibility requirements for the 175
5
benefits; 176
(4) A statement of the number of participants eligible for 178
the benefits; 179
(5) A description of the accounting, asset valuation, and 181
funding method used to provide the benefits; 182
(6) A statement of the net assets available for the 184
provision of the benefits as of the last day of the fiscal year; 186
(7) A statement of any changes in the net assets available 189
for the provision of benefits, including participant and employer 190
contributions, net investment income, administrative expenses, 191
and benefits provided to participants, as of the last day of the 192
fiscal year;
(8) For the last six consecutive fiscal years, a schedule 194
of the net assets available for the benefits, the annual cost of 196
benefits, administrative expenses incurred, and annual employer 197
contributions allocated for the provision of benefits; 198
(9) A description of any significant changes that affect 200
the comparability of the report required under this division; 202
(10) A statement of the amount paid under division (C) of 204
section 5505.28 of the Revised Code. 205
The board shall submit the report to the Ohio retirement 208
study commission COUNCIL and the standing committees of the house 209
of representatives and the senate with primary responsibility for 210
retirement legislation not later than the thirtieth day of June 212
following the year for which the report was made.
Sec. 5505.12. (A) The state highway patrol retirement 222
board shall have prepared annually by or under the supervision of 223
an actuary an actuarial valuation of the pension assets, 224
liabilities, and funding requirements of the state highway patrol 225
retirement system as established pursuant to this chapter. The 226
actuary shall complete the valuation in accordance with actuarial 227
standards of practice promulgated by the actuarial standards
board of the American academy of actuaries and prepare a report 229
of the valuation. The report shall include all of the following:
6
(1) A summary of the benefit provisions evaluated; 231
(2) A summary of the census data and financial information 233
used in the valuation; 234
(3) A description of the actuarial assumptions, actuarial 236
cost method, and asset valuation method used in the valuation, 237
including a statement of the assumed rate of payroll growth and 238
assumed rate of growth or decline in the number of members 239
contributing to the retirement system;
(4) A summary of findings that includes a statement of the 241
actuarial accrued pension liabilities and unfunded actuarial 242
accrued pension liabilities; 243
(5) A schedule showing the effect of any changes in the 245
benefit provisions, actuarial assumptions, or cost methods since 246
the last annual actuarial valuation; 247
(6) A statement of whether contributions to the retirement 249
system are expected to be sufficient to satisfy the funding 250
objectives established by the board. 251
The board shall submit the report to the Ohio retirement 254
study commission COUNCIL and the standing committees of the house 255
of representatives and the senate with primary responsibility for 256
retirement legislation not later than the first day of November 257
JULY following the year for which the valuation was made. 258
(B) At such times as the state highway patrol retirement 261
board determines, and at least once in each five-year period 262
after January 1, 1966, the board shall have prepared by or under 263
the supervision of an actuary an actuarial investigation of the 264
mortality, service, and other experience of the members, 265
retirants, and beneficiaries to update the actuarial assumptions 266
used in the actuarial valuation required by division (A) of this 267
section. The actuary shall prepare a report of the actuarial 268
investigation. The report shall be prepared and any recommended 269
changes in actuarial assumptions shall be made in accordance with 271
the actuarial standards of practice promulgated by the actuarial 272
standards board of the American academy of actuaries. The report 273
7
shall include all of the following:
(1) A summary of relevant decrement and economic 275
assumption experience observed over the period of the 276
investigation;
(2) Recommended changes in actuarial assumptions to be 278
used in subsequent actuarial valuations required by division (A) 280
of this section;
(3) A measurement of the financial effect of the 282
recommended changes in actuarial assumptions. 283
The board shall submit the report to the Ohio retirement 286
study commission COUNCIL and the standing committees of the house 287
of representatives and the senate with primary responsibility for 288
retirement legislation not later than the first day of November 289
following the last fiscal year of the period the report covers. 290
(C) The board may at any time request the actuary to make 292
any studies or actuarial valuations to determine the adequacy of 294
the rates of contributions provided by section 5505.15 of the 295
Revised Code.
(D) The board shall have prepared by or under the 297
supervision of an actuary an actuarial analysis of any introduced 298
legislation expected to have a measurable financial impact on the 299
retirement system. The actuarial analysis shall be completed in 300
accordance with the actuarial standards of practice promulgated 301
by the actuarial standards board of the American academy of 302
actuaries. The actuary shall prepare a report of the actuarial 303
analysis, which shall include all of the following: 304
(1) A summary of the statutory changes that are being 306
evaluated;
(2) A description of or reference to the actuarial 308
assumptions and actuarial cost method used in the report; 309
(3) A description of the participant group or groups 311
included in the report; 312
(4) A statement of the financial impact of the 314
legislation, including the resulting increase, if any, in the 315
8
employer normal cost percentage; the increase, if any, in 316
actuarial accrued liabilities; and the per cent of payroll that 317
would be required to amortize the increase in actuarial accrued
liabilities as a level per cent of covered payroll for all active 318
members over a period not to exceed thirty years; 319
(5) A statement of whether the scheduled contributions to 321
the system after the proposed change is enacted are expected to 322
be sufficient to satisfy the funding objectives established by 323
the board.
Not later than sixty days from the date of introduction of 325
the legislation, the board shall submit a copy of the actuarial 326
analysis to the legislative budget office of the legislative 327
service commission, the standing committees of the house of 328
representatives and the senate with primary responsibility for 329
retirement legislation, and the Ohio retirement study commission 330
COUNCIL.
(E) The board shall have prepared annually a report giving 333
a full accounting of the revenues and costs relating to the 334
provision of benefits under section 5505.28 of the Revised Code. 336
The report shall be made as of December 31, 1997, and the 338
thirty-first day of December of each year thereafter. The report 339
shall include the following:
(1) A description of the statutory authority for the 341
benefits provided; 342
(2) A summary of the benefits; 344
(3) A summary of the eligibility requirements for the 346
benefits; 347
(4) A statement of the number of participants eligible for 349
the benefits; 350
(5) A description of the accounting, asset valuation, and 352
funding method used to provide the benefits; 353
(6) A statement of the net assets available for the 355
provision of the benefits as of the last day of the fiscal year; 357
(7) A statement of any changes in the net assets available 360
9
for the provision of benefits, including participant and employer 361
contributions, net investment income, administrative expenses, 362
and benefits provided to participants, as of the last day of the 363
fiscal year;
(8) For the last six consecutive fiscal years, a schedule 365
of the net assets available for the benefits, the annual cost of 367
benefits, administrative expenses incurred, and annual employer 368
contributions allocated for the provision of benefits; 369
(9) A description of any significant changes that affect 371
the comparability of the report required under this division; 373
(10) A statement of the amount paid under division (C) of 375
section 5505.28 of the Revised Code. 376
The board shall submit the report to the Ohio retirement 379
study commission COUNCIL and the standing committees of the house 380
of representatives and the senate with primary responsibility for 381
retirement legislation not later than the thirtieth day of June 383
following the year for which the report was made.
Sec. 5505.15. (A)(1) A member of the state highway patrol 385
retirement system shall contribute ten NINE AND ONE-HALF per cent 387
of the member's annual salary to the state highway patrol 388
retirement fund. The amount shall be deducted by the employer 390
from the employee's salary for each payroll period. 391
(2) The total contributions arising from deductions made 393
prior to January 1, 1966, from the salaries of members in the 394
employ of the state highway patrol and standing to the credit of 395
their individual accounts in the retirement fund shall be 396
transferred and credited to their respective individual accounts 397
in the employees' savings fund. 398
(B) The state shall annually pay into the employer 400
accumulation fund, in monthly or less frequent installments as 401
the state highway patrol retirement board requires, an amount 402
that shall be a certain percentage of the total salaries paid 404
contributing members and shall be known as the "employer 405
contribution." If a member severs connection with the patrol or 407
10
is dismissed, the employer contribution shall remain in the
retirement system. 408
The rate percentage of the employer contribution shall be 410
certified by the board to the director of budget and management 411
and shall not be lower than nine per cent of the total salaries 412
paid contributing members and shall not exceed three times the 413
rate percentage being deducted from the annual salaries of 414
contributing members. The board shall prepare and submit to the 415
director, on or before the first day of November of each 416
even-numbered year, an estimate of the amounts necessary to pay 417
the state's obligations accruing during the biennium beginning 418
the first day of July of the following year. Such amounts shall 419
be included in the budget and allocated as certified by the 420
board. 421
Sec. 5505.16. (A) A member of the state highway patrol 431
retirement system who has been in the service of the state 432
highway patrol for a period of twenty-five years as an employee 433
according to the rules adopted by the state highway patrol 434
retirement board may make application for a pension which, if the 435
member is under age forty-eight, shall be deferred until the 436
member age forty-eight. 437
(B) A member of the retirement system who has been in the 439
service of the highway patrol for a period of twenty years as an 440
employee according to the rules adopted by the retirement board, 441
may make application for a pension that, if the member is under 442
age fifty-two, shall be deferred until the member age fifty-two, 443
except that any such member who has attained twenty years of 444
service may, on or after the member attaining age forty-eight but 446
before the member attaining age fifty-two, elect to receive a 448
reduced pension of the greater of eight NINE hundred fifty 450
dollars or an amount computed as follows: 451
Attained Age Reduced Pension 453
48 75% of normal service pension 454
49 80% of normal service pension 455
11
50 86% of normal service pension 456
51 93% of normal service pension 457
In the case of a member who elects to receive a reduced 460
pension on or after the member attaining age forty-eight but 462
before the member attaining age forty-nine, the reduced pension 463
is payable from the later of the date the member the member 464
attains age forty-eight or the date the member becomes eligible 465
to receive the reduced pension. In the case of a member who 467
elects to receive a reduced pension on or after the member 468
attaining age forty-nine but before the member attaining age 470
fifty, the reduced pension is payable from the later of the date 471
the member the member attains age forty-nine or the date the 472
member becomes eligible to receive the reduced pension. In the 475
case of a member who elects to receive a reduced pension on or 476
after the member attaining age fifty but before the member 477
attaining age fifty-one, the reduced pension is payable from the 479
later of the date the member the member attains age fifty or the 481
date the member becomes eligible to receive the reduced pension. 482
In the case of a member who elects to receive a reduced pension 484
on or after the member attaining age fifty-one but before the 485
member attaining age fifty-two, the reduced pension is payable 486
from the later of the date the member OF the member attains age 488
fifty-one MEMBER'S MOST RECENT BIRTHDAY or the date the member 489
becomes eligible to receive the reduced pension. 490
A member who has elected to receive a reduced pension in 492
accordance with the schedule provided in this division and has 493
received a payment in connection therewith the member may not 495
change the election.
(C) Any member who attains the age of fifty-five years and 497
has been in the service of the patrol for a period of twenty 498
years as a uniformed patrol officer according to the rules 499
adopted by the board, shall file application for retirement with 500
the board, and if the member refuses or neglects to do so, the 501
board may deem the member's application to have been filed on the 502
12
member's fifty-fifth birthday. The member may, upon written 503
application approved by the superintendent of the state highway 504
patrol, be continued in service after attaining the age of 505
fifty-five years, but only until the member has accumulated 506
twenty years of service.
(D)(1) As used in this division: 508
(a) "Service in the uniformed services" means the 510
performance of duty on a voluntary or involuntary basis in a 511
uniformed service under competent authority and includes active 512
duty, active duty for training, initial active duty for training, 513
inactive duty training, full-time national guard duty, and a 514
period for which a person is absent from a position of employment 515
for the purpose of an examination to determine the fitness of the
person to perform any such duty. 516
(b) "Uniformed services" of the United States includes 518
both:
(i) Army, navy, air force, marine corps, coast guard, or 521
any reserve components of these services; auxiliary corps as
established by congress; army nurse corps; navy nurse corps; 523
service as red cross nurse with the army, navy, air force, or 524
hospital service of the United States, or serving full-time with 525
the American red cross in a combat zone; and such other service
as is designated by the congress as included therein; 527
(ii) Personnel of the Ohio national guard, the Ohio 529
military reserve, the Ohio naval militia, and the reserve 530
components of the armed forces enumerated in division (D)(1) of 532
this section who are called to active duty pursuant to an 533
executive order issued by the president of the United States or 534
an act of congress. 535
(2) A member's total service credit may include periods 537
not to exceed a total of seven years, while the member's 538
employment with the state highway patrol is or was interrupted 540
due to service the member in the uniformed services of the United 542
States. Such military service shall be credited to the member 543
13
towards total service as provided by this chapter and to the 544
extent approved by the board, provided that: 545
(a) The member is or was honorably discharged from service 547
in the uniformed services; 548
(b) The member is or was reemployed RE-EMPLOYED by the 550
state highway patrol within ninety days immediately following 552
termination of service in the uniformed services; 553
(c) The member, subject to board rules, pays into the 555
retirement system to the member's credit in the employees' 557
savings fund an amount equal to the total contributions the 558
member would have paid had state highway patrol employment not 559
been so interrupted. Such the member's payment may be made at 560
any time prior to receipt of a pension.
(3) the member If the member meets the requirements of 562
division (D)(2) of this section, on receipt of contributions from 564
the member, the state highway patrol shall be billed for the 565
employer contribution that would have been paid pursuant to 566
section 5505.15 of the Revised Code if the member had not 567
rendered service in the uniformed services, subject to board 568
rules. 569
(4) If under division (D)(2)(c) of this section a member 572
pays all or any portion of the contributions later than the
lesser of five years or a period that is three times the member's 573
period of service in the uniformed services beginning from the 574
later of the member's date of re-employment or the effective date 575
of this amendment OCTOBER 29, 1996, an amount equal to compound 577
interest at a rate established by the board from the later of the 578
member's date of re-employment or the effective date of this 579
amendment OCTOBER 29, 1996, to the date of payment shall be added 581
to the remaining amount to be paid by the member to purchase 582
service credit under this section.
(5) Credit purchased by a member under division (D)(2) of 584
this section shall be used to determine the member's eligibility 586
for retirement under this section and section 5505.17 of the 587
14
Revised Code.
Sec. 5505.163. (A) A RETIRANT WHO RETIRED PRIOR TO 590
SEPTEMBER 21, 1994, UNDER SECTION 5505.16 OF THE REVISED CODE MAY 591
ELECT TO RECEIVE THE ACTUARIAL EQUIVALENT OF THE RETIRANT'S 592
PENSION IN A LESSER AMOUNT PAYABLE FOR THE REMAINDER OF THE 593
RETIRANT'S LIFE AND CONTINUING AFTER DEATH TO THE RETIRANT'S 594
SURVIVING DESIGNATED BENEFICIARY UNDER ONE OF THE OPTIONAL PLANS 595
DESCRIBED IN DIVISION (A)(1), (2), OR (3) OF SECTION 5505.162 OF 596
THE REVISED CODE, PROVIDED THE ANNUAL AMOUNT PAYABLE TO THE 598
DESIGNATED BENEFICIARY SHALL NOT EXCEED THE ANNUAL AMOUNT PAYABLE 599
TO THE RETIRANT, THE AMOUNT IS CERTIFIED BY THE ACTUARY EMPLOYED 600
BY THE STATE HIGHWAY PATROL RETIREMENT SYSTEM TO BE THE ACTUARIAL 601
EQUIVALENT OF THE RETIRANT'S PENSION, AND THE STATE HIGHWAY 602
PATROL RETIREMENT BOARD APPROVES THE AMOUNT. 603
(B) A RETIRANT INTERESTED IN MAKING THE ELECTION 605
AUTHORIZED BY DIVISION (A) OF THIS SECTION SHALL FILE A NOTICE OF 606
INTEREST WITH THE BOARD NOT LATER THAN SIXTY DAYS AFTER THE 607
EFFECTIVE DATE OF THIS SECTION. THE BOARD SHALL ADVISE THE 609
RETIRANT WITH RESPECT TO THE CHOICES AVAILABLE UNDER THE OPTIONAL
PLANS AND HAVE A DETERMINATION MADE OF THE MONTHLY PENSION 611
PAYABLE UNDER THE OPTIONAL PLAN ELECTED BY THE MEMBER FOR 612
INCLUSION IN THE STATEMENT TO BE FILED UNDER DIVISION (C) OF THIS 613
SECTION.
(C) TO MAKE THE ELECTION AUTHORIZED BY DIVISION (A) OF 616
THIS SECTION, A RETIRANT SHALL FILE A STATEMENT, ON A FORM 617
PROVIDED BY THE BOARD, INDICATING THAT THE RETIRANT ELECTS TO 618
PARTICIPATE IN THE OPTIONAL PLAN SPECIFIED IN THE STATEMENT. THE 620
FORM MUST BE FILED WITH THE BOARD NOT LATER THAN ONE HUNDRED 621
TWENTY DAYS AFTER THE EFFECTIVE DATE OF THIS SECTION. 622
(D) A NOTICE OR STATEMENT MAILED TO THE BOARD SHALL BE 624
CONSIDERED TO HAVE BEEN FILED ON ITS POSTMARK DATE. 625
(E) ANY OPTION ELECTED AND PAYMENTS MADE UNDER THIS 627
SECTION SHALL BE IN ADDITION TO ANY PENSION PAYABLE TO THE 628
RETIRANT'S SURVIVING SPOUSE, CHILDREN, OR PARENTS UNDER SECTION 629
15
5505.17 OF THE REVISED CODE. 630
Sec. 5505.17. (A)(1) Upon retirement as provided in 639
section 5505.16 of the Revised Code, a member of the state 640
highway patrol retirement system shall receive a life pension, 641
without guaranty or refund, equal to THE GREATER OF ONE THOUSAND 642
FIFTY DOLLARS OR the sum of two and one-half per cent of the 644
member's final average salary multiplied by the first twenty 645
years of total service credit, plus two AND ONE-QUARTER per cent 646
of the member's final average salary multiplied by the number of 647
years, and fraction of a year, of total service credit in excess 649
of twenty years BUT NOT IN EXCESS OF TWENTY-FIVE YEARS, PLUS TWO 650
PER CENT OF THE MEMBER'S FINAL AVERAGE SALARY MULTIPLIED BY THE 651
NUMBER OF YEARS, AND FRACTION OF A YEAR, IN EXCESS OF TWENTY-FIVE 652
YEARS; provided that in no case shall the pension exceed the 653
lesser of seventy-eight SEVENTY-NINE AND ONE-QUARTER per cent of 654
the member's final average salary or the limit established by 656
section 415 of the "Internal Revenue Code of 1986," 100 Stat. 657
2085, 26 U.S.C.A. 415, as amended.
(2) A member with fifteen or more years of total service 659
credit, who voluntarily resigns or who is discharged from the 660
state highway patrol for any reason except retirement under this 662
chapter, death, dishonesty, cowardice, intemperate habits, or 663
conviction of a felony, shall receive a pension equal to one and 664
one-half per cent of the member's final average salary multiplied 665
by the number of years, and fraction of a year, of total service 666
credit, except that the pension shall not exceed the limit 667
established by section 415 of the "Internal Revenue Code of 668
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended. The pension 669
shall commence at the end of the calendar month in which the 670
application is filed with the retirement board on or after the 671
attainment of age fifty-five years by the applicant. A member 672
who withdraws any part or all of the accumulated contributions 674
from the employees' savings fund shall thereupon forfeit all 675
rights to a pension provided for in this division. 676
16
(3)(a) A surviving spouse of a deceased member shall 678
receive a monthly pension, determined as follows, during the 679
spouse's life: 680
(i) If at the time of death the member was not eligible to 683
be granted a pension payable under this section or to elect to 684
receive a reduced pension payable under section 5505.16 of the 685
Revised Code, eight NINE hundred fifty dollars;
(ii) If at the time of death the member was eligible to be 688
granted a pension payable under this section or to elect to
receive a reduced pension payable under section 5505.16 of the 689
Revised Code, the greater of eight NINE hundred fifty dollars or 691
fifty per cent of the computed monthly pension the member would 693
have received had the member been granted a pension under this 694
section or elected to receive a reduced pension under section 695
5505.16 of the Revised Code. 696
(b) The surviving spouse of a retirant shall receive a 698
monthly pension, determined as follows, during the spouse's life: 699
(i) If the retirant had applied for a pension payable 701
under section 5505.16 of the Revised Code, but at the time of 702
death had not attained the age of eligibility for the pension, 703
eight NINE hundred fifty dollars; 704
(ii) If the retirant had applied for a pension payable 706
under section 5505.16 of the Revised Code and had attained the 707
age of eligibility for the pension, but at the time of death had 709
not elected to begin receiving the pension, the greater of eight 710
NINE hundred fifty dollars or fifty per cent of the computed 711
monthly pension the retirant was eligible to receive under 713
section 5505.16 of the Revised Code; 714
(iii) If the retirant was receiving a pension under this 716
section or section 5505.16 or 5505.18 of the Revised Code, or, 717
regardless of whether or not the retirant had actually received 718
any payment, if the retirant was eligible to receive a pension 719
under this section or section 5505.16 or 5505.18 of the Revised 720
Code and had elected to begin receiving it, the greater of eight 721
17
NINE hundred fifty dollars or fifty per cent of the computed 723
monthly pension awarded the retirant. 724
(c) If a monthly pension to a surviving spouse was 726
terminated due to a remarriage, the surviving spouse is eligible 728
to receive a monthly pension under division (A)(3) of this 730
section effective the first day of the first month following June 731
5, 1996. The pension shall be computed under division (A)(3) of 734
this section as of June 5, 1996. The pension payable to a person 737
who is the surviving spouse of more than one state highway patrol 738
retirement system member or retirant shall be computed on the 739
basis of the service of the member or retirant to whom the 740
surviving spouse was most recently married.
(4) A pension of one hundred fifty dollars per month shall 742
be paid by the system to or for the benefit of each child of a 743
deceased member or retirant until the child attains the age of 744
eighteen years or marries, whichever event occurs first, or until 745
the child attains twenty-three years of age if the child is a 746
student in and attending an institution of learning or training 748
pursuant to a program designed to complete in each school year 749
the equivalent of at least two-thirds of the full-time curriculum 750
requirements of the institution, as determined by the retirement 751
board. If any surviving child, regardless of age at the time of 752
the member's or retirant's death, because of physical or mental 753
disability, was totally dependent upon the deceased member or 754
retirant for support at the time of death, a pension of one 755
hundred fifty dollars per month shall be paid by the system to or 756
for the benefit of the child during the child's natural life or 757
until the child recovers from the disability. 758
(5)(a) If a retirant died prior to June 6, 1988, and the 760
surviving spouse was not married to the retirant while the 762
retirant was in the active service of the patrol, the surviving
spouse shall receive a pension of the greater of four hundred 764
twenty-five dollars per month or fifty per cent of the computed 765
monthly pension the retirant was receiving. 766
18
(b) If the pension payable to a person receiving a pension 768
under division (A)(5)(a) of this section on November 2, 1989, THE 769
EFFECTIVE DATE OF THIS AMENDMENT is less than six NINE hundred 771
dollars per month, the pension shall be increased to six NINE 773
hundred dollars per month.
(c) If the pension payable to a person receiving a pension 776
under division (A)(5)(a) of this section on June 5, 1996, is less 779
than eight hundred fifty dollars per month, the pension shall be 780
increased to eight hundred fifty dollars per month. 781
(6)(a) If a surviving spouse, child, or children of a 783
deceased member or retirant has been granted benefits prior to 784
November 18, 1981, such benefits shall be adjusted to comply 785
thereafter with the benefit provision of this section, except 786
that the adjusted benefits under division (A)(3) of this section 787
shall not exceed four hundred twenty-five dollars per month. 788
(b) If the pension payable to the surviving spouse of a 790
deceased member or retirant under division (A)(3) of this section 791
is less than six hundred dollars per month, the pension shall be 792
increased to six hundred dollars per month. 793
(c) If the pension payable to the surviving spouse of a 796
deceased member or retirant under division (A)(3) of this section 797
on June 5, 1996, THE EFFECTIVE DATE OF THIS AMENDMENT is less 798
than eight NINE hundred fifty dollars per month, the pension 801
shall be increased to eight NINE hundred fifty dollars per month. 803
(d)(b) The pension payable to a child of a deceased member 806
or retirant who is receiving a pension under division (A)(4) of 807
this section on June 5, 1996, shall be increased to one hundred 808
fifty dollars per month. 809
(7) If a deceased member or retirant leaves no spouse or 811
surviving children, but leaves two parents depending solely upon 812
the deceased member or retirant for support, each parent shall be 814
paid a monthly pension of one hundred fifty-four dollars. If in 815
such case there is only one parent dependent solely upon the 816
deceased member or retirant for support, such parent shall be 818
19
paid a monthly pension of one hundred fifty-four dollars. Such 819
pension shall be paid during the life of the surviving parents, 820
or until dependency ceases, or until remarriage, whichever event 821
occurs first.
(8) Any amount remaining as accumulated contributions at 823
the time of death of a member or retirant who leaves no surviving 825
spouse or dependent children or parents shall be paid to the 826
estate of the member or retirant.
(9) The increases provided for by divisions (A)(5)(b) and 828
(c) and (A)(6)(b) and (c)(a) of this section shall be included in 830
the calculation of the additional benefit paid under section 832
5505.174 of the Revised Code. 833
(B) The board shall adopt, and may amend or rescind, the 835
necessary rules for the administration of this section and all 836
decisions of the board shall be final. Any payment of a pension 837
or benefit under this section is subject to the provisions of 838
section 5505.26 of the Revised Code. 839
(C) A member's total service credit may include periods 841
during which the member's employment with the state highway 842
patrol is interrupted by a leave of absence, when requested by 844
the governor, to accept employment with another agency of the 845
state, provided that: 846
(1) The member is reemployed by the state highway patrol 848
within thirty days following termination of such other 849
employment;
(2) The member pays into the retirement system, to the 851
credit of the employees' savings fund, an amount equal to the 852
total contributions the member would have paid had the state 853
highway patrol employment not been so interrupted. Such 855
repayment shall begin within ninety days after the member's 856
return to duty with the state highway patrol and be completed 857
within a period equal to that of the leave of absence. 858
(D) Service credits granted under division (C) of this 860
section shall not include any duplications of credits for which a 861
20
pension is payable by the public employees retirement system. 862
Sec. 5505.171. (A) All persons who retired and were 871
eligible to receive a pension that was payable prior to July 1, 872
1968, pursuant to division (A)(1) of section 5505.17 or division 873
(B)(1) of section 5505.18 of the Revised Code, shall receive an 874
additional monthly payment of two dollars for each year between 875
the member's effective date of retirement or disability and 876
December 31, 1971, or an additional fifty dollars, whichever is 877
less. 878
On or before the first day of August in 1981 and on or 880
before the first day of August in each year thereafter, the state 881
highway patrol retirement board shall certify to the treasurer of 882
state the amount required to be paid in the preceding fiscal year 883
under this division. Upon receipt of such certification, the 884
treasurer of state shall pay to the state highway patrol 885
retirement system the amount certified. 886
(B) All persons who retired and were eligible to receive a 888
pension that was payable prior to July 1, 1981, pursuant to 889
division (A)(1) of section 5505.17 or division (B)(1) of section 890
5505.18 of the Revised Code shall have that pension recalculated 891
by the board so that each such person receives a monthly pension 892
of not less than four hundred twenty-five dollars. 893
(C) Each person who retired and was eligible to receive a 895
pension that was payable prior to November 2, 1989, pursuant to 896
division (A)(1) of section 5505.17 or division (B)(1) of section 898
5505.18 of the Revised Code shall have the pension recalculated 899
by the board so that the person receives a monthly pension of not 900
less than six hundred dollars. Any pension increase resulting 901
from a recalculation made under this division shall be included 902
in the calculation of the additional benefit paid under section 903
5505.174 of the Revised Code.
(D) Each person who retired and was eligible to receive a 905
pension, other than a reduced pension, that was payable prior to 907
September 21, 1994, THE EFFECTIVE DATE OF THIS AMENDMENT pursuant 908
21
to division (A) or (B) of section 5505.16 or division (B) of 909
section 5505.18 of the Revised Code shall have the pension 910
recalculated by the board so that the person receives a monthly 911
pension of not less than one thousand FIFTY dollars. Any pension 912
increase resulting from a recalculation made under this division 913
shall be included in the calculation of the additional benefit 914
paid under section 5505.174 of the Revised Code. 915
(E)(C) The pension of each person who is receiving a 917
pension pursuant to division (B) of section 5505.16 of the 918
Revised Code on the effective date of this amendment of less than 921
eight NINE hundred fifty dollars per month shall be increased to 923
eight NINE hundred fifty dollars per month. Any increase under 924
this division shall be included in the calculation of the 926
additional benefit paid under section 5505.174 of the Revised 927
Code. 928
Sec. 5505.176. (A) The state highway patrol retirement 937
system shall increase the pension payable to each person 938
receiving a pension granted prior to the effective date of this 939
section SEPTEMBER 16, 1998, that was calculated under division 941
(A)(1) of section 5505.17 of the Revised Code on the basis of 942
total service credit of more than twenty-five years. The 944
increase shall be an amount determined by multiplying the pension
payable to the member on the effective date of this section 946
SEPTEMBER 16, 1998, by the product obtained by multiplying by 947
one-half of one per cent the member's years and fraction of a
year of service in excess of twenty-five years, except that the 949
increased pension shall not exceed the limit established by
section 415 of the "Internal Revenue Code of 1986," 100 Stat. 951
2085, 26 U.S.C.A. 415, as amended. The increased pension shall
be effective on the first day of the first month following the 952
effective date of this section OCTOBER 1, 1998, and shall be used 954
in determining the amount of the additional benefit paid under 955
section 5505.174 of the Revised Code. 956
(B) THE STATE HIGHWAY PATROL RETIREMENT SYSTEM SHALL 958
22
INCREASE THE PENSION PAYABLE TO EACH PERSON RECEIVING A PENSION 959
GRANTED PRIOR TO THE EFFECTIVE DATE OF THIS AMENDMENT THAT WAS 961
CALCULATED UNDER DIVISION (A)(1) OF SECTION 5505.17 OF THE 962
REVISED CODE ON THE BASIS OF TOTAL SERVICE CREDIT OF MORE THAN 964
TWENTY YEARS. THE INCREASE SHALL BE AN AMOUNT DETERMINED BY
MULTIPLYING THE PENSION PAYABLE TO THE MEMBER ON THE EFFECTIVE 966
DATE OF THIS AMENDMENT BY THE PRODUCT OBTAINED BY MULTIPLYING BY 967
ONE-QUARTER OF ONE PER CENT THE MEMBER'S YEARS AND FRACTION OF A 968
YEAR OF SERVICE IN EXCESS OF TWENTY YEARS BUT NOT IN EXCESS OF 969
TWENTY-FIVE YEARS, EXCEPT THAT THE INCREASED PENSION SHALL NOT 970
EXCEED THE LIMIT ESTABLISHED BY SECTION 415 OF THE "INTERNAL 971
REVENUE CODE OF 1986," 100 STAT. 2085, 26 U.S.C.A. 415, AS 974
AMENDED. THE INCREASED PENSION SHALL BE EFFECTIVE ON THE FIRST 975
DAY OF THE FIRST MONTH FOLLOWING THE EFFECTIVE DATE OF THIS
AMENDMENT AND SHALL BE USED IN DETERMINING THE AMOUNT OF THE 976
ADDITIONAL BENEFIT PAID UNDER SECTION 5505.174 OF THE REVISED 978
CODE.
Sec. 5505.18. As used in this section, "member" does not 988
include state highway patrol cadets attending training schools 989
pursuant to section 5503.05 of the Revised Code.
(A) Upon the application of a member of the state highway 991
patrol retirement system, a person acting on behalf of a member, 992
or the superintendent of the state highway patrol on behalf of a 994
member, a member who becomes totally and permanently 995
incapacitated for duty in the employ of the state highway patrol 996
may be retired by the board.
The medical examination of a member who has applied for 999
disability retirement shall be conducted by a competent physician 1,000
or physicians appointed by the board. The physician or 1,001
physicians shall file a written report with the board containing 1,002
the following information:
(1) Whether the member is totally incapacitated for duty 1,004
in the employ of the patrol; 1,005
(2) Whether the incapacity is expected to be permanent; 1,007
23
(3) The cause of the member's incapacity. 1,009
The board shall determine whether the member qualifies for 1,011
disability retirement and its decision shall be final. The board 1,012
shall consider the written medical report, opinions, statements, 1,013
and other competent evidence in making its determination. If the 1,014
incapacity is a result of heart disease or any cardiovascular 1,015
disease of a chronic nature, which disease or any evidence of 1,016
which was not revealed by the physical examination passed by the 1,017
member on entry into the patrol, the member is presumed to have 1,018
incurred the disease in the line of duty as a member of the 1,019
patrol, unless the contrary is shown by competent evidence. 1,020
(B)(1) A member whose retirement on account of disability 1,022
incurred in the line of duty shall receive the applicable pension 1,023
provided for in section 5505.17 of the Revised Code, except that 1,024
if the member has less than twenty-five years of contributing 1,025
service, the member's service credit shall be deemed to be 1,026
twenty-five years for the purpose of this provision. In no case 1,028
shall the member's disability pension be less than sixty 1,030
SIXTY-ONE AND ONE-QUARTER per cent or exceed the lesser of 1,032
seventy-eight SEVENTY-NINE AND ONE-QUARTER per cent of the 1,033
member's final average salary or the limit established by section 1,034
415 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 1,035
U.S.C.A. 415, as amended. 1,036
(2) A member whose retirement on account of disability 1,038
incurred not in the line of duty shall receive the applicable 1,039
pension provided for in section 5505.17 of the Revised Code, 1,040
except that if the member has less than twenty years of 1,041
contributing service, the member's service credit shall be deemed 1,043
to be twenty years for the purpose of this provision. In no case 1,044
shall the member's disability pension exceed the lesser of 1,045
seventy-eight SEVENTY-NINE AND ONE-QUARTER per cent of the 1,047
member's final average salary or the limit established by section 1,048
415 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 1,049
U.S.C.A. 415, as amended. 1,050
24
(C) The state highway patrol retirement board shall adopt 1,052
rules requiring a disability pension recipient, as a condition of 1,053
continuing to receive a disability pension, to agree in writing 1,054
to obtain any medical treatment recommended by the board's 1,055
physician and submit medical reports regarding the treatment. If 1,056
the board determines that a disability pension recipient is not 1,057
obtaining the medical treatment or the board does not receive a 1,058
required medical report, the disability pension shall be 1,060
suspended until the treatment is obtained, the report is received 1,062
by the board, or the board's physician certifies that the 1,063
treatment is no longer helpful or advisable. Should the 1,065
recipient's failure to obtain treatment or submit a medical
report continue for one year, the recipient's right to the 1,067
disability benefit shall be terminated as of the effective date 1,068
of the original suspension.
(D) A member placed on a disability pension who has not 1,070
attained the age of fifty-five years shall be subject to an 1,072
annual medical re-examination by physicians appointed by the
board, except that the board may waive the medical re-examination 1,074
if the board's physicians certify that the member's disability is 1,075
ongoing. If any member placed on a disability pension refuses to 1,076
submit to a medical re-examination, the member's disability 1,077
pension shall be suspended until the member withdraws the 1,079
refusal. If the refusal continues for one year, all the member's 1,080
rights under and to the disability pension shall be terminated as 1,081
of the effective date of the original suspension. 1,082
(E) Each recipient of a disability pension who has not 1,085
attained the age of fifty-five years shall file with the board an 1,086
annual statement of earnings, current medical information on the 1,087
recipient's condition, and any other information required in 1,088
rules adopted by the board. The board may waive the requirement 1,089
that a disability benefit recipient file an annual statement of 1,090
earnings or current medical information if the board's physician 1,091
certifies that the recipient's disability is ongoing. 1,092
25
The board shall annually examine the information submitted 1,095
by the recipient. If a recipient refuses to file the statement 1,096
or information, the disability pension shall be suspended until 1,097
the statement and information are filed. If the refusal 1,098
continues for one year, the right to the pension shall be 1,099
terminated as of the effective date of the original suspension.
(F)(1) Except as provided in division (F)(2) of this 1,101
section, a retirant who has been on disability pension, and who 1,103
has been physically examined and found no longer incapable of 1,104
performing the retirant's duties, shall be restored to the rank 1,107
the retirant held at the time the retirant was pensioned and all 1,108
previous rights shall be restored, including the retirant's civil 1,109
service status, and the disability pension shall terminate. Upon 1,111
return to employment in the patrol, the retirant shall again 1,112
become a contributing member of the retirement system, the total 1,115
service at the time of the retirant's retirement shall be 1,116
restored to the retirant's credit, and the retirant shall be 1,118
given service credit for the period the retirant was in receipt 1,120
of a disability pension. The provisions of division (F)(1) of 1,121
this section shall be retroactive to September 5, 1941. 1,122
(2) The state highway patrol is not required to take 1,125
action under division (F)(1) of this section if the retirant was 1,127
dismissed or resigned in lieu of dismissal for dishonesty, 1,128
misfeasance, malfeasance, or conviction of a felony. 1,129
(G) The board may adopt rules to carry out this section. 1,131
Sec. 5505.29. THE STATE HIGHWAY PATROL RETIREMENT BOARD 1,133
SHALL REFUND THE COST OF SERVICE CREDIT RESTORED UNDER SECTION 1,134
5505.20 OR PURCHASED UNDER DIVISION (D) OF SECTION 5505.16, 1,135
DIVISION (C) OF SECTION 5505.17, OR SECTION 5505.201, 5505.202, 1,137
OR 5505.25 OF THE REVISED CODE TO THE EXTENT THE CREDIT DOES NOT, 1,138
OR, IN THE CASE OF A PERSON WHO RETIRED OR DIED PRIOR TO THE 1,139
EFFECTIVE DATE OF THIS SECTION, DID NOT, INCREASE THE PENSION 1,140
PROVIDED TO THE RETIRANT OR SURVIVING SPOUSE UNDER SECTION 1,141
5505.16, 5505.162, 5505.17, OR 5505.18 OF THE REVISED CODE. THE 1,142
26
BOARD SHALL PROVIDE THE REFUND TO THE RETIRANT OR SURVIVING 1,144
SPOUSE. THE REFUND CANCELS AN EQUIVALENT AMOUNT OF SERVICE 1,145
CREDIT.
Sec. 5505.30. On the death of a person who at the time of 1,154
death is receiving a pension from the state highway patrol 1,156
retirement system under division (A)(1) or (2) of section 5505.17 1,157
or section 5505.18 of the Revised Code, a lump-sum payment of one 1,159
FIVE thousand dollars shall be paid to the retirant's surviving 1,160
spouse. If there is no surviving spouse, the payment shall be 1,161
made to the retirant's estate. 1,162
Application for the payment shall be made on a form 1,164
provided by the state highway patrol retirement board. 1,165
Section 2. That existing sections 5505.12, 5505.15, 1,167
5505.16, 5505.17, 5505.171, 5505.176, 5505.18, and 5505.30 of the 1,168
Revised Code are hereby repealed. 1,169
Section 3. Section 5505.16 of the Revised Code is 1,171
presented in this act as a composite of the section as amended by 1,172
both Am. Sub. H.B. 308 and Am. Sub. H.B. 450 of the 121st General 1,173
Assembly, with the new language of neither of the acts shown in 1,174
capital letters. This is in recognition of the principle stated 1,175
in division (B) of section 1.52 of the Revised Code that such
amendments are to be harmonized where not substantively 1,176
irreconcilable and constitutes a legislative finding that such is 1,177
the resulting version in effect prior to the effective date of 1,178
this act.