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To amend sections 3305.06, 3307.01, 3307.031, | 1 |
3307.04, 3307.044, 3307.061, 3307.14, 3307.142, | 2 |
3307.20, 3307.214, 3307.25, 3307.251, 3307.252, | 3 |
3307.26, 3307.28, 3307.33, 3307.35, 3307.351, | 4 |
3307.352, 3307.371, 3307.39, 3307.391, 3307.42, | 5 |
3307.46, 3307.47, 3307.50, 3307.501, 3307.51, | 6 |
3307.512, 3307.52, 3307.53, 3307.56, 3307.561, | 7 |
3307.562, 3307.563, 3307.57, 3307.58, 3307.59, | 8 |
3307.60, 3307.62, 3307.63, 3307.631, 3307.64, | 9 |
3307.66, 3307.661, 3307.67, 3307.671, 3307.694, | 10 |
3307.71, 3307.711, 3307.712, 3307.72, 3307.73, | 11 |
3307.74, 3307.75, 3307.751, 3307.752, 3307.76, | 12 |
3307.761, 3307.763, 3307.764, 3307.77, 3307.771, | 13 |
3307.78, 3307.79, 3307.80, 3307.81, 3307.811, | 14 |
3307.812, 3307.83, 3307.84, 3307.86, 3307.87, | 15 |
3307.89, 3307.98, and 3313.975; to amend, for the | 16 |
purpose of adopting new section numbers as | 17 |
indicated in parentheses, sections 3307.64 | 18 |
(3307.48) and 3307.70 (3307.701); to enact new | 19 |
section 3307.70 and section 3307.143; and to | 20 |
repeal sections 3307.54, 3307.61, 3307.741, | 21 |
3307.88, 3307.881, and 3307.882 of the Revised | 22 |
Code to revise the law governing the State | 23 |
Teachers Retirement System. | 24 |
Section 1. That sections 3305.06, 3307.01, 3307.031, 3307.04, | 25 |
3307.044, 3307.061, 3307.14, 3307.142, 3307.20, 3307.214, 3307.25, | 26 |
3307.251, 3307.252, 3307.26, 3307.28, 3307.33, 3307.35, 3307.351, | 27 |
3307.352, 3307.371, 3307.39, 3307.391, 3307.42, 3307.46, 3307.47, | 28 |
3307.50, 3307.501, 3307.51, 3307.512, 3307.52, 3307.53, 3307.56, | 29 |
3307.561, 3307.562, 3307.563, 3307.57, 3307.58, 3307.59, 3307.60, | 30 |
3307.62, 3307.63, 3307.631, 3307.64, 3307.66, 3307.661, 3307.67, | 31 |
3307.671, 3307.694, 3307.71, 3307.711, 3307.712, 3307.72, 3307.73, | 32 |
3307.74, 3307.75, 3307.751, 3307.752, 3307.76, 3307.761, 3307.763, | 33 |
3307.764, 3307.77, 3307.771, 3307.78, 3307.79, 3307.80, 3307.81, | 34 |
3307.811, 3307.812, 3307.83, 3307.84, 3307.86, 3307.87, 3307.89, | 35 |
3307.98, and 3313.975 be amended; sections 3307.64 (3307.48) and | 36 |
3307.70 (3307.701) be amended for the purpose of adopting new | 37 |
section numbers as indicated in parentheses; and new section | 38 |
3307.70 and section 3307.143 of the Revised Code be enacted to | 39 |
read as follows: | 40 |
Sec. 3305.06. (A) Each electing employee shall contribute an | 41 |
amount, which shall be a certain percentage of the employee's | 42 |
compensation, to the provider of the investment option the | 43 |
employee has selected. This percentage shall be the percentage the | 44 |
electing employee would have otherwise been required to contribute | 45 |
to the state retirement system that applies to the employee's | 46 |
position, except that the percentage shall not be less than three | 47 |
per cent. Employee contributions under this division may be | 48 |
treated as employer contributions in accordance with Internal | 49 |
Revenue Code 414(h). | 50 |
(B) Each public institution of higher education employing an | 51 |
electing employee shall contribute a percentage of the employee's | 52 |
compensation to the provider of the investment option the employee | 53 |
has selected. This percentage shall be equal to the percentage | 54 |
that the public institution of higher education would otherwise | 55 |
contribute on behalf of that employee to the state retirement | 56 |
system that would otherwise cover that employee's position, less | 57 |
the percentage contributed by the public institution of higher | 58 |
education under division (D) of this section. | 59 |
(C)(1) In no event shall the amount contributed by the | 60 |
electing employee pursuant to division (A) of this section and on | 61 |
the electing employee's behalf pursuant to division (B) of this | 62 |
section be less than the amount necessary to qualify the plan as a | 63 |
state retirement system pursuant to Internal Revenue Code | 64 |
3121(b)(7) and the regulations adopted thereunder. | 65 |
(2) The full amount of the electing employee's contribution | 66 |
under division (A) of this section and the full amount of the | 67 |
employer's contribution made on behalf of that employee under | 68 |
division (B) of this section shall be paid to the appropriate | 69 |
provider for application to the electing employee's investment | 70 |
option. | 71 |
(D) Each public institution of higher education employing an | 72 |
electing employee shall contribute on behalf of that employee to | 73 |
the state retirement system that otherwise applies to the electing | 74 |
employee's position a percentage of the electing employee's | 75 |
compensation to mitigate any negative financial impact of the | 76 |
alternative retirement program on the state retirement system. The | 77 |
percentage shall be six per cent, except that the percentage may | 78 |
be adjusted by the Ohio retirement study council to reflect the | 79 |
determinations made by actuarial studies conducted under section | 80 |
171.07 of the Revised Code. Any adjustment shall become effective | 81 |
on the first day of the second month following submission of the | 82 |
actuarial study to the Ohio board of regents under section 171.07 | 83 |
of the Revised Code. | 84 |
Contributions on behalf of an electing employee shall | 85 |
continue in accordance with this division until the occurrence of | 86 |
the following: | 87 |
(1) If the electing employee would be subject to Chapter 145. | 88 |
of the Revised Code had the employee not made an election pursuant | 89 |
to section 3305.05 or 3305.051 of the Revised Code, until the | 90 |
unfunded actuarial accrued liability for all benefits, except | 91 |
health care benefits provided under section 145.325 or 145.58 of | 92 |
the Revised Code and benefit increases provided after March 31, | 93 |
1997, is fully amortized, as determined by the annual actuarial | 94 |
valuation prepared under section 145.22 of the Revised Code; | 95 |
(2) If the electing employee would be subject to Chapter | 96 |
3307. of the Revised Code had the employee not made an election | 97 |
pursuant to section 3305.05 or 3305.051 of the Revised Code, until | 98 |
the unfunded actuarial accrued liability for all benefits, except | 99 |
health care benefits provided under section 3307.39 | 100 |
the Revised Code and benefit increases provided after March 31, | 101 |
1997, is fully amortized, as determined by the annual actuarial | 102 |
valuation prepared under section 3307.51 of the Revised Code; | 103 |
(3) If the electing employee would be subject to Chapter | 104 |
3309. of the Revised Code had the employee not made an election | 105 |
pursuant to section 3305.05 or 3305.051 of the Revised Code, until | 106 |
the unfunded actuarial accrued liability for all benefits, except | 107 |
health care benefits provided under section 3309.375 or 3309.69 of | 108 |
the Revised Code and benefit increases provided after March 31, | 109 |
1997, is fully amortized, as determined by the annual actuarial | 110 |
valuation prepared under section 3309.21 of the Revised Code. | 111 |
Sec. 3307.01. As used in this chapter: | 112 |
(A) "Employer" means the board of education, school district, | 113 |
governing authority of any community school established under | 114 |
Chapter 3314. of the Revised Code, a science, technology, | 115 |
engineering, and mathematics school established under Chapter | 116 |
3326. of the Revised Code, college, university, institution, or | 117 |
other agency within the state by which a teacher is employed and | 118 |
paid. | 119 |
(B) "Teacher" means all of the following: | 120 |
(1) Any person paid from public funds and employed in the | 121 |
public schools of the state under any type of contract described | 122 |
in section 3311.77 or 3319.08 of the Revised Code in a position | 123 |
for which the person is required to have a license issued pursuant | 124 |
to sections 3319.22 to 3319.31 of the Revised Code; | 125 |
(2) Any person employed as a teacher by a community school or | 126 |
a science, technology, engineering, and mathematics school | 127 |
pursuant to Chapter 3314. or 3326. of the Revised Code; | 128 |
(3) Any person having a license issued pursuant to sections | 129 |
3319.22 to 3319.31 of the Revised Code and employed in a public | 130 |
school in this state in an educational position, as determined by | 131 |
the state board of education, under programs provided for by | 132 |
federal acts or regulations and financed in whole or in part from | 133 |
federal funds, but for which no licensure requirements for the | 134 |
position can be made under the provisions of such federal acts or | 135 |
regulations; | 136 |
(4) Any person having a license issued pursuant to sections | 137 |
3319.22 to 3319.31 of the Revised Code and performing services | 138 |
that are funded under section 3317.06 of the Revised Code and | 139 |
provided to students attending nonpublic schools, without regard | 140 |
to whether the services are performed in a public school and | 141 |
whether the person is employed under a contract with a third | 142 |
party; | 143 |
(5) Any other teacher or faculty member employed in any | 144 |
school, college, university, institution, or other agency wholly | 145 |
controlled and managed, and supported in whole or in part, by the | 146 |
state or any political subdivision thereof, including Central | 147 |
state university, Cleveland state university, and the university | 148 |
of Toledo; | 149 |
| 150 |
education, as determined by the state superintendent of public | 151 |
instruction. | 152 |
In all cases of doubt, the state teachers retirement board | 153 |
shall determine whether any person is a teacher, and its decision | 154 |
shall be final. | 155 |
"Teacher" does not include any eligible employee of a public | 156 |
institution of higher education, as defined in section 3305.01 of | 157 |
the Revised Code, who elects to participate in an alternative | 158 |
retirement plan established under Chapter 3305. of the Revised | 159 |
Code. | 160 |
(C) "Member" means any person included in the membership of | 161 |
the state teachers retirement system, which shall consist of all | 162 |
teachers and contributors as defined in divisions (B) and (D) of | 163 |
this section and all disability benefit recipients, as defined in | 164 |
section 3307.50 of the Revised Code. However, for purposes of this | 165 |
chapter, the following persons shall not be considered members: | 166 |
(1) A student, intern, or resident who is not a member while | 167 |
employed part-time by a school, college, or university at which | 168 |
the student, intern, or resident is regularly attending classes; | 169 |
(2) A person denied membership pursuant to section 3307.24 of | 170 |
the Revised Code; | 171 |
(3) An other system retirant, as defined in section 3307.35 | 172 |
of the Revised Code, or a superannuate; | 173 |
(4) An individual employed in a program established pursuant | 174 |
to the "Job Training Partnership Act," 96 Stat. 1322 (1982), 29 | 175 |
U.S.C.A. 1501; | 176 |
(5) The surviving spouse of a member or retirant if the | 177 |
surviving spouse's only connection to the retirement system is an | 178 |
account in an STRS defined contribution plan. | 179 |
(D) "Contributor" means any person who has an account in the | 180 |
teachers' savings fund or defined contribution fund, except that | 181 |
"contributor" does not mean a member or retirant's surviving | 182 |
spouse with an account in an STRS defined contribution plan. | 183 |
(E) "Beneficiary" means any person eligible to receive, or in | 184 |
receipt of, a retirement allowance or other benefit provided by | 185 |
this chapter. | 186 |
(F) "Year" means the year beginning the first day of July and | 187 |
ending with the thirtieth day of June next following, except that | 188 |
for the purpose of determining final average salary under the plan | 189 |
described in sections 3307.50 to 3307.79 of the Revised Code, | 190 |
"year" may mean the contract year. | 191 |
(G) "Local district pension system" means any school teachers | 192 |
pension fund created in any school district of the state in | 193 |
accordance with the laws of the state prior to September 1, 1920. | 194 |
(H) "Employer contribution" means the amount paid by an | 195 |
employer, as determined by the employer rate, including the normal | 196 |
and deficiency rates, contributions, and funds wherever used in | 197 |
this chapter. | 198 |
(I) "Five years of service credit" means employment covered | 199 |
under this chapter and employment covered under a former | 200 |
retirement plan operated, recognized, or endorsed by a college, | 201 |
institute, university, or political subdivision of this state | 202 |
prior to coverage under this chapter. | 203 |
(J) "Actuary" means | 204 |
professional contracted with or employed by the state teachers | 205 |
retirement board, who shall be either of the following: | 206 |
(1) A member of the American academy of actuaries; | 207 |
(2) A firm, partnership, or corporation of which at least one | 208 |
person is a member of the American academy of actuaries. | 209 |
(K) "Fiduciary" means a person who does any of the following: | 210 |
(1) Exercises any discretionary authority or control with | 211 |
respect to the management of the system, or with respect to the | 212 |
management or disposition of its assets; | 213 |
(2) Renders investment advice for a fee, direct or indirect, | 214 |
with respect to money or property of the system; | 215 |
(3) Has any discretionary authority or responsibility in the | 216 |
administration of the system. | 217 |
(L)(1) Except as provided in this division, "compensation" | 218 |
means all salary, wages, and other earnings paid to a teacher by | 219 |
reason of the teacher's employment, including compensation paid | 220 |
pursuant to a supplemental contract. The salary, wages, and other | 221 |
earnings shall be determined prior to determination of the amount | 222 |
required to be contributed to the teachers' savings fund or | 223 |
defined contribution fund under section 3307.26 of the Revised | 224 |
Code and without regard to whether any of the salary, wages, or | 225 |
other earnings are treated as deferred income for federal income | 226 |
tax purposes. | 227 |
(2) Compensation does not include any of the following: | 228 |
(a) Payments for accrued but unused sick leave or personal | 229 |
leave, including payments made under a plan established pursuant | 230 |
to section 124.39 of the Revised Code or any other plan | 231 |
established by the employer; | 232 |
(b) Payments made for accrued but unused vacation leave, | 233 |
including payments made pursuant to section 124.13 of the Revised | 234 |
Code or a plan established by the employer; | 235 |
(c) Payments made for vacation pay covering concurrent | 236 |
periods for which other salary, compensation, or benefits under | 237 |
this chapter or Chapter 145. or 3309. of the Revised Code are | 238 |
paid; | 239 |
(d) Amounts paid by the employer to provide life insurance, | 240 |
sickness, accident, endowment, health, medical, hospital, dental, | 241 |
or surgical coverage, or other insurance for the teacher or the | 242 |
teacher's family, or amounts paid by the employer to the teacher | 243 |
in lieu of providing the insurance; | 244 |
(e) Incidental benefits, including lodging, food, laundry, | 245 |
parking, or services furnished by the employer, use of the | 246 |
employer's property or equipment, and reimbursement for | 247 |
job-related expenses authorized by the employer, including moving | 248 |
and travel expenses and expenses related to professional | 249 |
development; | 250 |
(f) Payments made by the employer in exchange for a member's | 251 |
waiver of a right to receive any payment, amount, or benefit | 252 |
described in division (L)(2) of this section; | 253 |
(g) Payments by the employer for services not actually | 254 |
rendered; | 255 |
(h) Any amount paid by the employer as a retroactive increase | 256 |
in salary, wages, or other earnings, unless the increase is one of | 257 |
the following: | 258 |
(i) A retroactive increase paid to a member employed by a | 259 |
school district board of education in a position that requires a | 260 |
license designated for teaching and not designated for being an | 261 |
administrator issued under section 3319.22 of the Revised Code | 262 |
that is paid in accordance with uniform criteria applicable to all | 263 |
members employed by the board in positions requiring the licenses; | 264 |
(ii) A retroactive increase paid to a member employed by a | 265 |
school district board of education in a position that requires a | 266 |
license designated for being an administrator issued under section | 267 |
3319.22 of the Revised Code that is paid in accordance with | 268 |
uniform criteria applicable to all members employed by the board | 269 |
in positions requiring the licenses; | 270 |
(iii) A retroactive increase paid to a member employed by a | 271 |
school district board of education as a superintendent that is | 272 |
also paid as described in division (L)(2)(h)(i) of this section; | 273 |
(iv) A retroactive increase paid to a member employed by an | 274 |
employer other than a school district board of education in | 275 |
accordance with uniform criteria applicable to all members | 276 |
employed by the employer. | 277 |
(i) Payments made to or on behalf of a teacher that are in | 278 |
excess of the annual compensation that may be taken into account | 279 |
by the retirement system under division (a)(17) of section 401 of | 280 |
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. | 281 |
401(a)(17), as amended. For a teacher who first establishes | 282 |
membership before July 1, 1996, the annual compensation that may | 283 |
be taken into account by the retirement system shall be determined | 284 |
under division (d)(3) of section 13212 of the "Omnibus Budget | 285 |
Reconciliation Act of 1993," Pub. L. No. 103-66, 107 Stat. 472. | 286 |
(j) Payments made under division (B), (C), or (E) of section | 287 |
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill | 288 |
No. 3 of the 119th general assembly, Section 3 of Amended | 289 |
Substitute Senate Bill No. 164 of the 124th general assembly, or | 290 |
Amended Substitute House Bill No. 405 of the 124th general | 291 |
assembly; | 292 |
(k) Anything of value received by the teacher that is based | 293 |
on or attributable to retirement or an agreement to retire; | 294 |
(l) Any amount paid by the employer as a retroactive payment | 295 |
of earnings, damages, or back pay pursuant to a court order, | 296 |
court-adopted settlement agreement, or other settlement agreement, | 297 |
unless the retirement system receives both of the following: | 298 |
(i) Teacher and employer contributions under sections 3307.26 | 299 |
and 3307.28 of the Revised Code, plus interest compounded annually | 300 |
at a rate determined by the board, for each year or portion of a | 301 |
year for which amounts are paid under the order or agreement; | 302 |
(ii) Teacher and employer contributions under sections | 303 |
3307.26 and 3307.28 of the Revised Code, plus interest compounded | 304 |
annually at a rate determined by the board, for each year or | 305 |
portion of a year not subject to division (L)(2)(l)(i) of this | 306 |
section for which the board determines the teacher was improperly | 307 |
paid, regardless of the teacher's ability to recover on such | 308 |
amounts improperly paid. | 309 |
(3) The retirement board shall determine | 310 |
following: | 311 |
(a) Whether particular forms of earnings are included in any | 312 |
of the categories enumerated in this division; | 313 |
(b) Whether any form of earnings not enumerated in this | 314 |
division is to be included in compensation. | 315 |
Decisions of the board made under this division shall be | 316 |
final. | 317 |
(M) "Superannuate" means both of the following: | 318 |
(1) A former teacher receiving from the system a retirement | 319 |
allowance under section 3307.58 or 3307.59 of the Revised Code; | 320 |
(2) A former teacher receiving a benefit from the system | 321 |
under a plan established under section 3307.81 of the Revised | 322 |
Code, except that "superannuate" does not include a former teacher | 323 |
who is receiving a benefit based on disability under a plan | 324 |
established under section 3307.81 of the Revised Code. | 325 |
For purposes of sections 3307.35 and 3307.353 of the Revised | 326 |
Code, "superannuate" also means a former teacher receiving from | 327 |
the system a combined service retirement benefit paid in | 328 |
accordance with section 3307.57 of the Revised Code, regardless of | 329 |
which retirement system is paying the benefit. | 330 |
(N) "STRS defined benefit plan" means the plan described in | 331 |
sections 3307.50 to 3307.79 of the Revised Code. | 332 |
(O) "STRS defined contribution plan" means the plans | 333 |
established under section 3307.81 of the Revised Code and includes | 334 |
the STRS combined plan under that section. | 335 |
Sec. 3307.031. The state teachers retirement system shall | 336 |
consist of the STRS defined benefit plan | 337 |
338 | |
339 | |
plan. | 340 |
Sec. 3307.04. The general administration and the management | 341 |
of the state teachers retirement system is hereby vested in the | 342 |
state teachers retirement board, which shall adopt rules necessary | 343 |
for the fulfillment of its duties and responsibilities under | 344 |
Chapter 3307. of the Revised Code. The board shall adopt policies | 345 |
for the operation of the system, and the investment of funds as | 346 |
provided by section 3307.15 of the Revised Code, and may authorize | 347 |
its administrative officers, or committees composed of board | 348 |
members, to act for the board in accord with such policies and | 349 |
subject to subsequent approval by the board. | 350 |
The board may take all appropriate action to avoid payment by | 351 |
the system or its members of federal or state income taxes on | 352 |
contributions to the system or amounts earned on such | 353 |
contributions and to comply with any plan qualification | 354 |
requirements, including those on distributions, established under | 355 |
Title 26 of the United States Code. | 356 |
The attorney general shall prescribe procedures for the | 357 |
adoption of rules authorized under this chapter, consistent with | 358 |
the provision of section 111.15 of the Revised Code under which | 359 |
all rules shall be filed in order to be effective. Such procedures | 360 |
shall establish methods by which notice of proposed rules is given | 361 |
to interested parties and rules adopted by the board published and | 362 |
otherwise made available. When it files a rule with the joint | 363 |
committee on agency rule review pursuant to section 111.15 of the | 364 |
Revised Code, the board shall submit to the Ohio retirement study | 365 |
council a copy of the full text of the rule, and if applicable, a | 366 |
copy of the rule summary and fiscal analysis required by division | 367 |
(B) of section 127.18 of the Revised Code. | 368 |
All rules adopted pursuant to this chapter, prior to August | 369 |
20, 1976, shall be published and made available to interested | 370 |
parties by January 1, 1977. | 371 |
Sec. 3307.044. The state teachers retirement board shall | 372 |
appoint a committee to oversee the selection of an internal | 373 |
auditor. The committee shall select one or more persons for | 374 |
employment as an internal auditor. The board shall employ the | 375 |
person or persons selected by the committee. | 376 |
The committee shall consist of the following board members: | 377 |
one retirant member, one contributing member, | 378 |
member, and any additional board members appointed to the | 379 |
committee by the board. The committee shall annually prepare and | 380 |
submit to the Ohio retirement study council a report of its | 381 |
actions during the preceding year. | 382 |
Sec. 3307.061. (A) The office of a | 383 |
384 | |
is convicted of or pleads guilty to a felony, a theft offense as | 385 |
defined in section 2913.01 of the Revised Code, or a violation of | 386 |
section 102.02, 102.03, 102.04, 2921.02, 2921.11, 2921.13, | 387 |
2921.31, 2921.41, 2921.42, 2921.43, or 2921.44 of the Revised Code | 388 |
shall be deemed vacant. A person who has pleaded guilty to or been | 389 |
convicted of an offense of that nature is ineligible for election | 390 |
or appointment to | 391 |
392 |
(B) A member of the state teachers retirement board who | 393 |
willfully and flagrantly exercises authority or power not | 394 |
authorized by law, refuses or willfully neglects to enforce the | 395 |
law or to perform any official duty imposed by law, or is guilty | 396 |
of gross neglect of duty, gross immorality, drunkenness, | 397 |
misfeasance, malfeasance, or nonfeasance is guilty of misconduct | 398 |
in office. On complaint and hearing in the manner provided for in | 399 |
this section, the board member shall have judgment of forfeiture | 400 |
of the office with all its emoluments entered against the board | 401 |
member, creating in the office a vacancy to be filled as provided | 402 |
by law. | 403 |
(C) Proceedings for removal of a board member on any of the | 404 |
grounds enumerated in division (B) of this section shall be | 405 |
commenced by filing with the court of common pleas of the county | 406 |
in which the board member resides a written complaint specifically | 407 |
setting forth the charge. The complaint shall be accepted if | 408 |
signed by the governor or signed as follows: | 409 |
(1) If the complaint is against a contributing member of the | 410 |
board, the complaint must be signed by a number of contributing | 411 |
members of the retirement system that equals at least the | 412 |
following and must include signatures of at least twenty | 413 |
contributing members residing in at least five different counties: | 414 |
(a) If the contributing member was most recently elected in | 415 |
accordance with division (A) of section 3307.06 of the Revised | 416 |
Code, ten per cent of the number of contributing members of the | 417 |
system who voted in that election; | 418 |
(b) If the contributing member was most recently elected | 419 |
under division (D) of section 3307.06 of the Revised Code or took | 420 |
office in accordance with section 3307.071 of the Revised Code, | 421 |
ten per cent of the number of contributing members of the system | 422 |
who voted in the most recent election held in accordance with | 423 |
division (A) of section 3307.06 of the Revised Code for that | 424 |
contributing member position on the board. | 425 |
(2) If the complaint is against a retired teacher member of | 426 |
the board, the complaint must be signed by a number of former | 427 |
members of the system who are superannuates, as defined in section | 428 |
3307.01 of the Revised Code, that equals at least the following | 429 |
and must include signatures of at least twenty retired teacher | 430 |
members residing in at least five different counties: | 431 |
(a) If the retired teacher member was most recently elected | 432 |
in accordance with division (C) of section 3307.06 of the Revised | 433 |
Code, ten per cent of the number of former members of the system | 434 |
who voted in that election; | 435 |
(b) If the retired teacher member was most recently elected | 436 |
under division (D) of section 3307.06 of the Revised Code or took | 437 |
office in accordance with section 3307.071 of the Revised Code, | 438 |
ten per cent of the number of former members of the system who | 439 |
voted in the most recent election held in accordance with division | 440 |
(B) of section 3307.06 of the Revised Code for that retired | 441 |
teacher member position on the board. | 442 |
(D) The clerk of the court of common pleas in which a | 443 |
complaint against a member of the state teachers retirement board | 444 |
is filed under division (C) of this section shall do both of the | 445 |
following with respect to the complaint: | 446 |
(1) Submit the signatures obtained pursuant to division (C) | 447 |
of this section to the board for purposes of verifying the | 448 |
validity of the signatures. The board shall verify the validity of | 449 |
the signatures and report its findings to the court. | 450 |
(2) Cause a copy of the complaint to be served on the board | 451 |
member at least ten days before the hearing on the complaint. The | 452 |
court shall hold a public hearing not later than thirty days after | 453 |
the filing of the complaint. The court may subpoena witnesses and | 454 |
compel their attendance in the same manner as in civil cases. | 455 |
Process shall be served by the sheriff of the county in which the | 456 |
witness resides. Witness fees and other fees in connection with | 457 |
the proceedings shall be the same as in civil cases. The court may | 458 |
suspend the board member pending the hearing. | 459 |
If the court finds that one or more of the charges in the | 460 |
complaint are true, it shall make a finding for removal of the | 461 |
board member. The court's finding shall include a full, detailed | 462 |
statement of the reasons for the removal. The finding shall be | 463 |
filed with the clerk of the court and be made a matter of public | 464 |
record. | 465 |
The board member has the right to appeal to the court of | 466 |
appeals. | 467 |
(E) No individual who has been removed from the board | 468 |
pursuant to this section shall be eligible to fill an elective or | 469 |
appointed position as a member of the board. | 470 |
Sec. 3307.14. The state teachers retirement board shall be | 471 |
the trustee of certain funds hereby created as follows: | 472 |
(A) The "teachers' savings fund" is the fund in which shall | 473 |
be accumulated the contributions deducted from the compensation of | 474 |
teachers participating in the STRS defined benefit plan | 475 |
476 | |
section 3307.26 of the Revised Code, together with the interest | 477 |
credited thereon. Such accumulated contributions refunded upon | 478 |
withdrawal, or payable to an estate or beneficiary as provided in | 479 |
this chapter, shall be paid from this fund. Any accumulated | 480 |
contributions forfeited by the failure of a contributor, an | 481 |
estate, or a beneficiary to claim the same shall be transferred | 482 |
from this fund to the guarantee fund. The accumulated | 483 |
contributions of a member or of a teacher who qualifies for a | 484 |
benefit under section 3307.35 of the Revised Code shall be | 485 |
transferred at the member's or teacher's retirement from the | 486 |
teachers' savings fund to the annuity and pension reserve fund. | 487 |
The accumulated contributions of a member who dies prior to | 488 |
superannuation retirement that are forfeited by the qualified | 489 |
beneficiary in exchange for monthly survivor benefits, as provided | 490 |
by section 3307.66 of the Revised Code, shall be transferred to | 491 |
the survivors' benefit fund. The accumulated contributions of a | 492 |
superannuate or other system retirant as defined in section | 493 |
3307.35 of the Revised Code shall be transferred to the survivors' | 494 |
benefit fund for payment of a lump-sum benefit to a beneficiary as | 495 |
provided in that section. As used in this division, "accumulated | 496 |
contributions" has the same meaning as in section 3307.50 of the | 497 |
Revised Code. | 498 |
(B) The "employers' trust fund" is the fund to which the | 499 |
employer contribution made on behalf of a teacher participating in | 500 |
the STRS defined benefit plan
| 501 |
502 | |
be accumulated the reserves held in trust for the payment of all | 503 |
pensions or other benefits provided by sections 3307.35, 3307.58, | 504 |
3307.59, 3307.60, 3307.63, 3307.631, 3307.66, 3307.6912, and | 505 |
3307.98 of the Revised Code, to teachers retiring or receiving | 506 |
disability benefits in the future or to their qualified | 507 |
beneficiaries, and from which the reserves for such pensions and | 508 |
other benefits shall be transferred to the annuity and pension | 509 |
reserve fund and to the survivors' benefit fund. The balances as | 510 |
of August 31, 1957, in the employers accumulation fund shall be | 511 |
transferred to this fund. As of September 1, 1957, an additional | 512 |
amount shall be transferred from the employers' trust fund to the | 513 |
annuity and pension reserve fund in the amount required to | 514 |
complete the funding of the prior service, as defined in section | 515 |
3307.50 of the Revised Code, and military service pensions then | 516 |
payable. | 517 |
(C) The "annuity and pension reserve fund" is the fund from | 518 |
which shall be paid all annuities, pensions, and disability | 519 |
benefits under the STRS defined benefit plan | 520 |
521 | |
the Revised Code for which reserves have been transferred from the | 522 |
teachers' savings fund and the employers' trust fund. | 523 |
(D) The "survivors' benefit fund" is the fund from which | 524 |
shall be paid the survivors' benefits provided by section 3307.66 | 525 |
of the Revised Code and the lump sum payment to beneficiaries as | 526 |
provided in section 3307.35 of the Revised Code, and to which | 527 |
shall be transferred from the employers' trust fund the amount | 528 |
required to fund all liabilities as of the end of each year. | 529 |
(E) The "guarantee fund" is the fund from which interest is | 530 |
transferred and credited on the amounts in the funds described in | 531 |
divisions (A), (B), (C), and (D) of this section, and is a | 532 |
contingent fund from which the special requirements of said funds | 533 |
may be paid by transfer from this fund. All income derived from | 534 |
the investment of funds by the state teachers retirement board as | 535 |
trustee under section 3307.15 of the Revised Code, together with | 536 |
all gifts and bequests, or the income therefrom, shall be paid | 537 |
into this fund. | 538 |
Any deficit occurring in any other fund that will not be | 539 |
covered by payments to that fund, as otherwise provided in this | 540 |
chapter, shall be paid by transfers of amounts from the guarantee | 541 |
fund to such fund or funds. Should the amount in the guarantee | 542 |
fund be insufficient at any time to meet the amounts payable | 543 |
therefrom, the amount of such deficiency, with regular interest, | 544 |
shall be paid by an additional employer rate of contribution as | 545 |
determined by the actuary and shall be approved by the board, and | 546 |
the amount of such additional employer contribution shall be | 547 |
credited to the guarantee fund. | 548 |
The board may accept gifts and bequests. Any funds that may | 549 |
come into the possession of the board in this manner or that may | 550 |
be transferred from the teachers' savings fund by reason of lack | 551 |
of a claimant, or any surplus in any fund created in divisions (A) | 552 |
to (F) of this section, or any other funds whose disposition is | 553 |
not otherwise provided for, shall be credited to the guarantee | 554 |
fund. | 555 |
(F) The expense fund is the fund from which shall be paid the | 556 |
expenses for the administration and management of the state | 557 |
teachers retirement system as provided by this chapter. | 558 |
(G) The "defined contribution fund" is the fund in which | 559 |
shall be accumulated the contributions deducted from the | 560 |
compensation of teachers participating in | 561 |
contribution plan | 562 |
563 | |
with any earnings and employer contributions credited thereon. | 564 |
(H) The "health care fund" is the fund in which shall be | 565 |
accumulated any amounts allocated by the board for health care | 566 |
coverage described in section 3307.39 of the Revised Code, | 567 |
together with any earnings credited thereon. The fund shall be | 568 |
established under 26 U.S.C. 401(h) as a separate account. It is | 569 |
the fund from which shall be paid health care coverage made | 570 |
available under section 3307.39 of the Revised Code, except that | 571 |
payments from the fund shall be limited as provided by 26 U.S.C. | 572 |
401(h). | 573 |
Sec. 3307.142. (A) Interest compounded annually shall be | 574 |
credited to the accounts of members participating in the STRS | 575 |
defined benefit plan | 576 |
577 | |
to (F) of section 3307.14 of the Revised Code, and shall be | 578 |
assumed in determining actuarial factors, at rates recommended by | 579 |
the actuary and approved by the state teachers retirement board, | 580 |
but not less than three and twenty-five hundredths per cent | 581 |
effective September 1, 1965, except as follows: | 582 |
(1) For the years stated the rates shall be as follows: | 583 |
Years | Rates | 584 | |||
9-1-1920/8-31-1955 | 4.00% | 585 | |||
9-1-1955/8-31-1963 | 3.00 | 586 | |||
9-1-1963/8-31-1965 | 2.25 | 587 |
(2) Subsequent to August 31, 1959, interest shall be credited | 588 |
to accounts only at retirement. | 589 |
(3) If the amount of the account at retirement is not a | 590 |
factor in determining the allowance, interest shall not be | 591 |
credited to such account after September 1, 1964. | 592 |
(4) The actuary shall estimate the amount of interest reserve | 593 |
required in the teachers savings fund for credit to accounts when | 594 |
interest is to be a factor in determining the allowance, and the | 595 |
balance of the interest reserve in such fund shall be transferred | 596 |
to the employers trust fund as of September 1, 1965. | 597 |
(B) Interest shall be credited to the accounts of members | 598 |
participating in | 599 |
600 | |
contribution fund in accordance with that plan. | 601 |
Sec. 3307.143. If the state teachers retirement board | 602 |
discontinues health care coverage authorized under section 3307.39 | 603 |
of the Revised Code, on satisfaction of all liabilities for health | 604 |
care coverage at the time of the discontinuance of coverage, the | 605 |
board shall transfer any surplus in the health care fund | 606 |
established under division (H) of section 3307.14 of the Revised | 607 |
Code in a fair and appropriate manner to the employers that have | 608 |
contributed to the fund. | 609 |
Sec. 3307.20. (A) As used in this section: | 610 |
(1) "Personal history record" means information maintained by | 611 |
the state teachers retirement board on an individual who is a | 612 |
member, former member, contributor, former contributor, retirant, | 613 |
or beneficiary that includes the address, electronic mail address, | 614 |
telephone number, social security number, record of contributions, | 615 |
correspondence with the state teachers retirement system, or other | 616 |
information the board determines to be confidential. | 617 |
(2) "Retirant" has the same meaning as in section 3307.50 of | 618 |
the Revised Code and includes any former member receiving a | 619 |
benefit under an STRS defined contribution plan. | 620 |
(B) The records of the board shall be open to public | 621 |
inspection, except for the following, which shall be excluded, | 622 |
except with the written authorization of the individual concerned: | 623 |
(1) The individual's personal records provided for in section | 624 |
3307.23 of the Revised Code; | 625 |
(2) The individual's personal history record; | 626 |
(3) Any information identifying, by name and address, the | 627 |
amount of a monthly allowance or benefit paid to the individual. | 628 |
(C)(1) All medical reports and recommendations received by | 629 |
the board from a member, member's physician, board-assigned | 630 |
physician, or other entity providing medical reports and | 631 |
recommendations to the board under sections 3307.48, 3307.62, | 632 |
633 | |
follows: | 634 |
| 635 |
made available by the board to the personal physician, attorney, | 636 |
or authorized agent of the individual concerned upon written | 637 |
release received from the individual or the individual's agent, | 638 |
or, when necessary for the proper administration of the fund, to | 639 |
the board assigned physician. | 640 |
| 641 |
Revised Code shall be provided to a court holding a hearing under | 642 |
that section. | 643 |
(2) No medical report or recommendation received by the board | 644 |
under section 3307.48, 3307.62, or 3307.66 of the Revised Code | 645 |
shall be released to the individual concerned or considered a | 646 |
medical record generated and maintained by a health care provider | 647 |
in the process of establishing a therapeutic relationship. | 648 |
(D) Any person who is a member or contributor of the system | 649 |
shall be furnished, on written request, with a statement of the | 650 |
amount to the credit of the person's account. The board need not | 651 |
answer more than one request of a person in any one year. | 652 |
(E) Notwithstanding the exceptions to public inspection in | 653 |
division (B) of this section, the board may furnish the following | 654 |
information: | 655 |
(1) If a member, former member, retirant, contributor, or | 656 |
former contributor is subject to an order issued under section | 657 |
2907.15 of the Revised Code or an order issued under division (A) | 658 |
or (B) of section 2929.192 of the Revised Code or is convicted of | 659 |
or pleads guilty to a violation of section 2921.41 of the Revised | 660 |
Code, on written request of a prosecutor as defined in section | 661 |
2935.01 of the Revised Code, the board shall furnish to the | 662 |
prosecutor the information requested from the individual's | 663 |
personal history record. | 664 |
(2) Pursuant to a court or administrative order issued under | 665 |
section 3119.80, 3119.81, 3121.02, 3121.03, or 3123.06 of the | 666 |
Revised Code, the board shall furnish to a court or child support | 667 |
enforcement agency the information required under that section. | 668 |
(3) At the written request of any person, the board shall | 669 |
provide to the person a complete list of the names and addresses | 670 |
of members, | 671 |
672 | |
and mailing the list shall be paid by such person. | 673 |
(4) Within fourteen days after receiving from the director of | 674 |
job and family services a list of the names and social security | 675 |
numbers of recipients of public assistance pursuant to section | 676 |
5101.181 of the Revised Code, the board shall inform the auditor | 677 |
of state of the name, current or most recent employer address, and | 678 |
social security number of each member whose name and social | 679 |
security number are the same as that of a person whose name or | 680 |
social security number was submitted by the director. The board | 681 |
and its employees shall, except for purposes of furnishing the | 682 |
auditor of state with information required by this section, | 683 |
preserve the confidentiality of recipients of public assistance in | 684 |
compliance with section 5101.181 of the Revised Code. | 685 |
(5) The system shall comply with orders issued under section | 686 |
3105.87 of the Revised Code. | 687 |
On the written request of an alternate payee, as defined in | 688 |
section 3105.80 of the Revised Code, the system shall furnish to | 689 |
the alternate payee information on the amount and status of any | 690 |
amounts payable to the alternate payee under an order issued under | 691 |
section 3105.171 or 3105.65 of the Revised Code. | 692 |
(6) At the request of any person, the board shall make | 693 |
available to the person copies of all documents, including | 694 |
resumes, in the board's possession regarding filling a vacancy of | 695 |
a contributing member or retired teacher member of the board. The | 696 |
person who made the request shall pay the cost of compiling, | 697 |
copying, and mailing the documents. The information described in | 698 |
this division is a public record. | 699 |
(7) The system shall provide the notice required by section | 700 |
3307.373 of the Revised Code to the prosecutor assigned to the | 701 |
case. | 702 |
(F) A statement that contains information obtained from the | 703 |
system's records that is signed by an officer of the retirement | 704 |
system and to which the system's official seal is affixed, or | 705 |
copies of the system's records to which the signature and seal are | 706 |
attached, shall be received as true copies of the system's records | 707 |
in any court or before any officer of this state. | 708 |
Sec. 3307.214. On receipt of notice under section 3307.212 | 709 |
of the Revised Code of the employment of a new teacher, the state | 710 |
teachers retirement system shall inform the teacher of the | 711 |
requirements of section 3307.25 of the Revised Code | 712 |
713 |
Sec. 3307.25. (A) An individual who becomes a member of the | 714 |
state teachers retirement system on or after the date on which the | 715 |
state teachers retirement board establishes
| 716 |
contribution plan | 717 |
make an election under this section. Not later than one hundred | 718 |
eighty days after the date on which employment begins, the | 719 |
individual shall elect to participate either in the STRS defined | 720 |
benefit plan | 721 |
722 | |
723 | |
evidencing an election under this section is not on file with the | 724 |
system at the end of the one-hundred-eighty-day period, the | 725 |
individual is deemed to have elected to participate in the STRS | 726 |
defined benefit plan | 727 |
728 |
(B) An election under this section shall be made in writing | 729 |
on a form provided by the system and filed with the system. | 730 |
(C) An election under this section shall take effect on the | 731 |
date employment began and, except as provided in division (E) of | 732 |
this section | 733 |
end of the election period described in division (A) of this | 734 |
section. | 735 |
(D) An individual is ineligible to make an election under | 736 |
this section if one of the following applies: | 737 |
(1) At the time employment begins, the individual is already | 738 |
a member or contributor participating in the STRS defined benefit | 739 |
plan | 740 |
a former member who has previously made an election under division | 741 |
(E) of this section or section 3307.251 of the Revised Code, a | 742 |
superannuate of the system, or an other system retirant, as | 743 |
defined in section 3307.35 of the Revised Code; | 744 |
(2) An election to participate in an alternative retirement | 745 |
plan under section 3305.05 or 3305.051 of the Revised Code is in | 746 |
effect for employment covered by the system. | 747 |
(E) A member who elected under division (A) of this section | 748 |
to participate in an STRS defined contribution plan may make an | 749 |
election to cease participation in the plan elected and | 750 |
participate in the STRS defined benefit plan or in another STRS | 751 |
defined contribution plan. The election must be made, on a form | 752 |
provided by the system, not later than the first day of June | 753 |
preceding the first day of July following the fourth anniversary | 754 |
of the commencement of the member's participation in the original | 755 |
plan. | 756 |
An election made under this division takes effect on the | 757 |
first day of July following the election. | 758 |
(F)(1) When a member elects under division (E) of this | 759 |
section to change from an STRS defined contribution plan to the | 760 |
STRS defined benefit plan the system shall do all of the | 761 |
following: | 762 |
(a) Transfer from the member's account in the defined | 763 |
contribution fund to an account in the teachers' savings fund the | 764 |
sum of the following: | 765 |
(i) An amount equal to the contributions made pursuant to | 766 |
section 3307.26 of the Revised Code; | 767 |
(ii) Any supplemental contributions made by the member; | 768 |
(iii) Any earnings from supplemental contributions. | 769 |
(b) Transfer from the defined contribution fund to the | 770 |
employers' trust fund the sum of the following: | 771 |
(i) An amount equal to the contributions made pursuant to | 772 |
section 3307.28 of the Revised Code; | 773 |
(ii) Any amount remaining in the member's account in the | 774 |
defined contribution fund after the transfers described in | 775 |
divisions (F)(1)(a) and (b)(i) of this section are made. | 776 |
(c) Grant service credit in accordance with rules adopted | 777 |
under section 3307.53 of the Revised Code. | 778 |
(2) If the amount in the member's account in the defined | 779 |
contribution fund is less than the amount the member would have | 780 |
had in an account in the teachers' savings fund had the member | 781 |
elected to participate in the STRS defined benefit plan, the | 782 |
system shall transfer from the guarantee fund established under | 783 |
section 3307.14 of the Revised Code to the teachers' savings fund | 784 |
the amount necessary to make the transfer required by division | 785 |
(F)(1)(a)(i) of this section. | 786 |
(3) Except for service credit granted under division | 787 |
(F)(1)(c) of this section, a member who begins participation in | 788 |
the STRS defined benefit plan pursuant to division (E) of this | 789 |
section shall have the same rights and privileges under the plan | 790 |
as a member who never had made an election to participate in an | 791 |
STRS defined contribution plan. | 792 |
Sec. 3307.251. As used in this section, "accumulated | 793 |
contributions" and "total service credit" have the same meanings | 794 |
as in section 3307.50 of the Revised Code. | 795 |
(A) A member of the state teachers retirement system who, as | 796 |
of the thirtieth day of June immediately preceding the date on | 797 |
which the system establishes | 798 |
799 | |
years of total service credit is eligible to make an election | 800 |
under this section. | 801 |
Not later than one hundred eighty days after the day the | 802 |
state teachers retirement board first establishes | 803 |
804 | |
contribution plan, an eligible member may elect to participate in | 805 |
such a plan | 806 |
made, a member to whom this section applies is deemed to have | 807 |
elected to continue participating in the STRS defined benefit plan | 808 |
809 |
(B) An election under this section shall be made in writing | 810 |
on a form provided by the system and filed with the system. | 811 |
(C) On receipt of an election under this section, the system | 812 |
shall do both of the following: | 813 |
(1) Credit to the account of the member in the defined | 814 |
contribution fund the accumulated contributions standing to the | 815 |
member's credit in the teachers' savings fund, plus interest at a | 816 |
rate determined by the board; | 817 |
(2) Cancel all service credit and eligibility for any | 818 |
payment, benefit, or right under the STRS defined benefit plan | 819 |
820 |
(D) An election under this section shall be irrevocable at | 821 |
the end of the election period described in division (A) of this | 822 |
section. | 823 |
Sec. 3307.252. A member of the state teachers retirement | 824 |
system who elects to participate in | 825 |
plan | 826 |
be ineligible for any benefit or payment under
| 827 |
828 | |
except as provided in section | 829 |
shall be forever barred from claiming or purchasing service credit | 830 |
with the system or any other Ohio state retirement system | 831 |
832 | |
covered by the election. | 833 |
Sec. 3307.26. (A) Each teacher shall contribute | 834 |
certain per cent of the teacher's earned compensation, except that | 835 |
836 | |
837 | |
838 | |
fourteen per cent of the teacher's compensation. The per cent | 839 |
shall be as follows: | 840 |
(1) For compensation earned not later than June 30, 2013, ten | 841 |
per cent; | 842 |
(2) For compensation earned on or after July 1, 2013, but not | 843 |
later than June 30, 2014, eleven per cent; | 844 |
(3) For compensation earned on or after July 1, 2014, but not | 845 |
later than June 30, 2015, twelve per cent; | 846 |
(4) For compensation earned on or after July 1, 2015, but not | 847 |
later than June 30, 2016, thirteen per cent; | 848 |
(5) For compensation earned on or after July 1, 2016, | 849 |
fourteen per cent; | 850 |
(6) For compensation earned on or after July 1, 2017, the | 851 |
state teachers retirement board may reduce the rate to less than | 852 |
fourteen per cent if the board's actuary determines in its annual | 853 |
actuarial valuation required by section 3307.51 of the Revised | 854 |
Code or in other evaluations conducted under that section that a | 855 |
reduction in the rate does not materially impair the fiscal | 856 |
integrity of the retirement system. | 857 |
(B) For teachers participating in the STRS defined benefit | 858 |
plan | 859 |
contributions shall be deposited in the teachers' savings fund. | 860 |
For teachers participating in | 861 |
862 | |
contributions shall be deposited in the defined contribution fund. | 863 |
Contributions made pursuant to this section shall not exceed the | 864 |
limits established by section 415 of the "Internal Revenue Code of | 865 |
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended. | 866 |
(C) The contribution for all teachers shall be deducted by | 867 |
the employer on each payroll in an amount equal to the applicable | 868 |
per cent of the teachers' paid compensation for such payroll | 869 |
period or other period as the board may approve. All contributions | 870 |
on paid compensation for teachers participating in | 871 |
872 | |
defined contribution plan shall be remitted at intervals required | 873 |
by the state teachers retirement system under section 3307.86 of | 874 |
the Revised Code. All contributions on earned compensation for | 875 |
teachers participating in the STRS defined benefit plan | 876 |
877 | |
remitted to the state teachers retirement system by the thirtieth | 878 |
day of June of each year. Each school district shall encumber | 879 |
sufficient moneys by the thirtieth day of June of each year to | 880 |
account for the difference, if any, that may exist between | 881 |
contributions that would be withheld based upon compensation | 882 |
earned by a teacher during the year ending the thirtieth day of | 883 |
June and the contributions withheld based upon compensation paid | 884 |
to the teacher for the year. Deductions from payroll for | 885 |
contributions under this section, on an annual basis, shall not | 886 |
exceed eight per cent or other percentage established by the board | 887 |
authorized by this section. | 888 |
(D) At retirement under the STRS defined benefit plan | 889 |
890 | |
upon a member's death prior to retirement under that plan, if | 891 |
contributions have been made after September 1, 1959, in excess of | 892 |
the contributions normally required to provide the retirement or | 893 |
survivor benefit, the excess contributions may be refunded to the | 894 |
member, to the member's beneficiary, or to the member's estate in | 895 |
a lump sum, or may be used to provide additional income. | 896 |
(E) The board may determine with regard to any member | 897 |
participating in the STRS defined benefit plan | 898 |
899 | |
established by division
| 900 |
Code have resulted in exclusion from use in the calculation of | 901 |
benefits under section 3307.58, 3307.59, or 3307.60 of the Revised | 902 |
Code of any compensation on which contributions have been made | 903 |
under this section. The board may adopt rules in accordance with | 904 |
section 111.15 of the Revised Code providing for the disposition | 905 |
of contributions attributable to such compensation and may dispose | 906 |
of the contributions in accordance with those rules. Any | 907 |
disposition of contributions made by the board in accordance with | 908 |
the rules shall be final. | 909 |
(F) The deductions under this section shall be made even | 910 |
though the minimum compensation provided by law for any teacher | 911 |
shall be reduced thereby. Every teacher shall be deemed to consent | 912 |
to the deductions made. Payment less the deductions shall be a | 913 |
complete discharge and acquittance of all claims and demands for | 914 |
the services rendered by the person during the period covered by | 915 |
the payment. | 916 |
(G) Additional deposits may be made to a member's account in | 917 |
the teachers' savings fund or defined contribution fund, subject | 918 |
to rules of the board. At retirement, the amount deposited with | 919 |
interest may be used to provide additional annuity income. The | 920 |
additional deposits may be refunded to the member before | 921 |
retirement, and shall be refunded if the member withdraws the | 922 |
member's refundable account. The deposits may be refunded to the | 923 |
beneficiary or estate if the member dies before retirement. | 924 |
Sec. 3307.28. Each employer shall pay annually to the state | 925 |
teachers retirement system an amount certified by the secretary | 926 |
which shall be a certain per cent of the earnable compensation of | 927 |
all members, and which shall be known as the "employer | 928 |
contribution." For members participating in the STRS defined | 929 |
benefit plan | 930 |
931 | |
the employers' trust fund. For members participating in | 932 |
defined contribution plan | 933 |
934 | |
the defined contribution fund in accordance with the plan selected | 935 |
by the member, less the amount transferred under section 3307.84 | 936 |
of the Revised Code. | 937 |
The rate per cent of the contribution shall be fixed by the | 938 |
actuary on the basis of the actuary's evaluation of the | 939 |
liabilities of the system, not to exceed fourteen per cent, and | 940 |
shall be approved by the state teachers retirement board. The | 941 |
board may raise the rate per cent of the contribution to fourteen | 942 |
per cent of the earnable compensation of all members. In making | 943 |
such evaluation, the actuary shall use, as the actuarial | 944 |
assumptions, such interest rates and mortality and other tables as | 945 |
are adopted by the board. The actuary shall compute the percentage | 946 |
of such earnable compensation, to be known as the "employer rate," | 947 |
required annually to fund the liability for all benefits under | 948 |
949 | |
benefit plan, after deducting therefrom the benefits provided by | 950 |
the member's accumulated contributions, as defined in section | 951 |
3307.50 of the Revised Code, deposits, and other appropriations, | 952 |
and to fund any deficiencies in the funds described in divisions | 953 |
(A) to (F) of section 3307.14 of the Revised Code. | 954 |
Sec. 3307.33. Membership in the state teachers retirement | 955 |
system shall cease on occurrence of any of the following: receipt | 956 |
of payment pursuant to section 3307.56 of the Revised Code or | 957 |
under | 958 |
959 | |
sections 3307.58 and 3307.59 of the Revised Code or under | 960 |
STRS defined contribution plan
| 961 |
962 | |
section 3307.24 of the Revised Code. | 963 |
Sec. 3307.35. (A) As used in this section and section | 964 |
3307.352 of the Revised Code, "other system retirant" means | 965 |
of the following: | 966 |
(1) A member or former member of the public employees | 967 |
retirement system, Ohio police and fire pension fund, school | 968 |
employees retirement system, state highway patrol retirement | 969 |
system, or Cincinnati retirement system who is receiving from a | 970 |
system of which the retirant is a member or former member age and | 971 |
service or commuted age and service retirement, a benefit, | 972 |
allowance, or distribution under a plan established under section | 973 |
145.81 or 3309.81 of the Revised Code, or a disability benefit | 974 |
975 |
(2) A person who is participating or has participated in an | 976 |
alternative retirement plan established under Chapter 3305. of the | 977 |
Revised Code and is receiving a benefit, allowance, or | 978 |
distribution under the plan. | 979 |
(B) Subject to this section and section 3307.353 of the | 980 |
Revised Code, a superannuate or other system retirant may be | 981 |
employed as a teacher. | 982 |
(C) A superannuate or other system retirant employed in | 983 |
accordance with this section shall contribute to the state | 984 |
teachers retirement system in accordance with section 3307.26 of | 985 |
the Revised Code and the employer shall contribute in accordance | 986 |
with sections 3307.28 and 3307.31 of the Revised Code. Such | 987 |
contributions shall be received as specified in section 3307.14 of | 988 |
the Revised Code. A superannuate or other system retirant employed | 989 |
as a teacher is not a member of the state teachers retirement | 990 |
system, does not have any of the rights, privileges, or | 991 |
obligations of membership, except as provided in this section, and | 992 |
is not eligible to receive health, medical, hospital, or surgical | 993 |
benefits under section 3307.39 of the Revised Code for employment | 994 |
subject to this section. | 995 |
(D) The employer that employs a superannuate or other system | 996 |
retirant shall notify the state teachers retirement board of the | 997 |
employment not later than the end of the month in which the | 998 |
employment commences. Any overpayment of benefits to a | 999 |
superannuate by the retirement system resulting from an employer's | 1000 |
failure to give timely notice may be charged to the employer and | 1001 |
may be certified and deducted as provided in section 3307.31 of | 1002 |
the Revised Code. | 1003 |
(E) On receipt of notice from an employer that a person who | 1004 |
is an other system retirant has been employed, the state teachers | 1005 |
retirement system shall notify the state retirement system of | 1006 |
which the other system retirant was a member of such employment. | 1007 |
(F) A superannuate or other system retirant who has received | 1008 |
an allowance or benefit for less than two months when employment | 1009 |
subject to this section or section 3305.05 of the Revised Code | 1010 |
commences shall forfeit the allowance or benefit for any month the | 1011 |
superannuate or retirant is employed prior to the expiration of | 1012 |
such period. The allowance or benefit forfeited each month shall | 1013 |
be equal to the monthly amount the superannuate or other system | 1014 |
retirant is eligible to receive under a single lifetime benefit | 1015 |
plan of payment described in section 3307.60 of the Revised Code. | 1016 |
Contributions shall be made to the retirement system from the | 1017 |
first day of such employment, but service and contributions for | 1018 |
that period shall not be used in the calculation of any benefit | 1019 |
payable to the superannuate or other system retirant, and those | 1020 |
contributions shall be refunded on the superannuate's or | 1021 |
retirant's death or termination of the employment. Contributions | 1022 |
made on compensation earned after the expiration of such period | 1023 |
shall be used in calculation of the benefit or payment due under | 1024 |
section 3307.352 of the Revised Code. | 1025 |
(G) On receipt of notice from the Ohio police and fire | 1026 |
pension fund, public employees retirement system, or school | 1027 |
employees retirement system of the re-employment of a | 1028 |
superannuate, the state teachers retirement system shall not pay, | 1029 |
or if paid shall recover, the amount to be forfeited by the | 1030 |
superannuate in accordance with section 145.38, 742.26, or | 1031 |
3309.341 of the Revised Code. | 1032 |
(H) If the disability benefit of an other system retirant | 1033 |
employed under this section is terminated, the retirant shall | 1034 |
become a member of the state teachers retirement system, effective | 1035 |
on the first day of the month next following the termination, with | 1036 |
all the rights, privileges, and obligations of membership. If
| 1037 |
1038 | |
disability benefit, earns two years of service credit under this | 1039 |
retirement system or under the public employees retirement system, | 1040 |
Ohio police and fire pension fund, school employees retirement | 1041 |
system, or state highway patrol retirement system, the retirant's | 1042 |
prior contributions as an other system retirant under this section | 1043 |
shall be included in the retirant's total service credit, as | 1044 |
defined in section 3307.50 of the Revised Code, as a state | 1045 |
teachers retirement system member, and the retirant shall forfeit | 1046 |
all rights and benefits of this section. Not more than one year of | 1047 |
credit may be given for any period of twelve months. | 1048 |
(I) This section does not affect the receipt of benefits by | 1049 |
or eligibility for benefits of any person who on August 20, 1976, | 1050 |
was receiving a disability benefit or service retirement pension | 1051 |
or allowance from a state or municipal retirement system in Ohio | 1052 |
and was a member of any other state or municipal retirement system | 1053 |
of this state. | 1054 |
(J) The state teachers retirement board may make the | 1055 |
necessary rules to carry into effect this section and to prevent | 1056 |
the abuse of the rights and privileges thereunder. | 1057 |
Sec. 3307.351. (A) As used in this section: | 1058 |
(1) In addition to the meaning in section 3307.01 of the | 1059 |
Revised Code, when appropriate "compensation" has the same meaning | 1060 |
as in section 3309.01 of the Revised Code. | 1061 |
(2) "Earnable salary" has the same meaning as in section | 1062 |
145.01 of the Revised Code. | 1063 |
(3) "STRS position" means a position for which a member of | 1064 |
the state teachers retirement system is making contributions to | 1065 |
the system. | 1066 |
(4) "Other state retirement system" means the public | 1067 |
employees retirement system or the school employees retirement | 1068 |
system. | 1069 |
(5) "State retirement system" means the public employees | 1070 |
retirement system, state teachers retirement system, or the school | 1071 |
employees retirement system. | 1072 |
(B)(1) | 1073 |
the state teachers retirement system who holds two or more STRS | 1074 |
positions may retire under section 3307.57, 3307.58, or 3307.60 of | 1075 |
the Revised Code or under an STRS defined contribution plan from | 1076 |
the position for which the annual compensation at the time of | 1077 |
retirement is highest and continue to contribute to the retirement | 1078 |
system for the other STRS position or positions. | 1079 |
(2) | 1080 |
the state teachers retirement system who also holds one or more | 1081 |
other positions covered by the other state retirement systems may | 1082 |
retire under section 3307.57, 3307.58, or 3307.60 of the Revised | 1083 |
Code or under an STRS defined contribution plan from the STRS | 1084 |
position and continue contributing to the other state retirement | 1085 |
systems if the annual compensation for the STRS position at the | 1086 |
time of retirement is greater than annual compensation or earnable | 1087 |
salary for the position, or any of the positions, covered by the | 1088 |
other state retirement systems. | 1089 |
(3) | 1090 |
the state teachers retirement system who holds two or more STRS | 1091 |
positions and at least one other position covered by one of the | 1092 |
other state retirement systems may retire under section 3307.57, | 1093 |
3307.58, or 3307.60 of the Revised Code or under an STRS defined | 1094 |
contribution plan from one of the STRS positions and continue | 1095 |
contributing to the state teachers retirement system and the other | 1096 |
state retirement system if the annual compensation for the STRS | 1097 |
position from which the member is retiring is, at the time of | 1098 |
retirement, greater than the annual compensation or earnable | 1099 |
salary for any of the positions for which the member is continuing | 1100 |
to make contributions. | 1101 |
(4) Subject to division (E) of this section, a member of the | 1102 |
state teachers retirement system who also holds one or more other | 1103 |
positions covered by the other state retirement systems may retire | 1104 |
under section 3307.57, 3307.58, or 3307.60 of the Revised Code or | 1105 |
under an STRS defined contribution plan from one of the other | 1106 |
state retirement system positions and continue contributing to the | 1107 |
state teachers retirement system if the annual compensation for | 1108 |
the other state retirement system position from which the member | 1109 |
is retiring is, at the time of retirement, greater than the annual | 1110 |
compensation for any of the positions for which the member is | 1111 |
continuing to make contributions. | 1112 |
(5) A member of the state teachers retirement system who has | 1113 |
retired as provided in division (B)(2) or (3) of section 145.383 | 1114 |
or division (B)(2) or (3) of section 3309.343 of the Revised Code | 1115 |
may continue to contribute to the state teachers retirement system | 1116 |
for an STRS position if the member held the position at the time | 1117 |
of retirement from the other state retirement system. | 1118 |
| 1119 |
retirement system in accordance with division (B)(1), (3), | 1120 |
or (5) of this section shall contribute in accordance with section | 1121 |
3307.26 of the Revised Code. The member's employer shall | 1122 |
contribute as provided in section 3307.28 of the Revised Code. | 1123 |
Neither the member nor the member's survivors are eligible for any | 1124 |
benefits based on those contributions other than those provided | 1125 |
under section 145.384, 3307.352, or 3309.344 of the Revised Code. | 1126 |
(C)(1) In determining retirement eligibility and the annual | 1127 |
retirement allowance of a member who retires as provided in | 1128 |
division (B)(1), (2), | 1129 |
following shall be used to the date of retirement: | 1130 |
(a) The member's earnable salary and compensation for all | 1131 |
positions covered by a state retirement system; | 1132 |
(b) Total service credit in any state retirement system, | 1133 |
except that the credit shall not exceed one year of credit for any | 1134 |
period of twelve months; | 1135 |
(c) The member's accumulated contributions. | 1136 |
(2) A member who retires as provided in division (B)(1), (2), | 1137 |
1138 | |
this chapter, except that the member is not subject to section | 1139 |
3307.35 of the Revised Code for a position or positions for which | 1140 |
contributions continue under those divisions or division (B) | 1141 |
of this section. | 1142 |
(D) A retired member receiving a benefit under section | 1143 |
3307.352 of the Revised Code based on employment subject to this | 1144 |
section is not a member of the state teachers retirement system | 1145 |
and does not have any rights, privileges, or obligations of | 1146 |
membership. The retired member is a superannuate for purposes of | 1147 |
section 3307.35 of the Revised Code. | 1148 |
(E) Effective July 1, 2014, a member may continue to | 1149 |
contribute to the retirement system for another STRS position or | 1150 |
other state retirement system position under division (B)(1), (2), | 1151 |
(3), or (4) of this section only for those positions the member | 1152 |
continuously held for at least twelve consecutive months | 1153 |
immediately prior to retirement under section 3307.57, 3307.58, or | 1154 |
3307.60 of the Revised Code or an STRS defined contribution plan. | 1155 |
(F) The state teachers retirement board may adopt rules to | 1156 |
carry out this section. | 1157 |
Sec. 3307.352. For purposes of this section, "superannuate" | 1158 |
includes a member who retired under section 3307.351 of the | 1159 |
Revised Code. | 1160 |
(A) Except as provided in division (B)(3) of this section, a | 1161 |
superannuate or other system retirant who has made contributions | 1162 |
under section 3307.35 or 3307.351 of the Revised Code may file an | 1163 |
application with the state teachers retirement system for a | 1164 |
benefit consisting of a single life annuity. The annuity shall | 1165 |
have a reserve equal to the amount of the superannuate's or | 1166 |
retirant's accumulated contributions, as defined in section | 1167 |
3307.50 of the Revised Code, for the period of employment, other | 1168 |
than the contributions excluded pursuant to division (F) of | 1169 |
section 3307.35 of the Revised Code, and an amount determined by | 1170 |
the state teachers retirement board from the employers' trust | 1171 |
created by section 3307.14 of the Revised Code, plus interest | 1172 |
credited to the date of retirement at a rate of interest | 1173 |
determined by the board. The superannuate or other system retirant | 1174 |
shall elect either to receive the benefit as a monthly annuity for | 1175 |
life or a lump sum payment discounted to the present value using a | 1176 |
rate of interest determined by the board, except that if the | 1177 |
monthly annuity would be less than twenty-five dollars per month | 1178 |
the superannuate or retirant shall receive a lump sum payment. | 1179 |
A benefit payable under this division shall commence on the | 1180 |
first day of the month immediately following the latest of the | 1181 |
following: | 1182 |
(1) The last day for which compensation for | 1183 |
1184 |
(2) Attainment by the superannuate or other system retirant | 1185 |
of age sixty-five; | 1186 |
(3) If the superannuate or other system retirant was | 1187 |
previously employed under section 3307.35 or 3307.351 of the | 1188 |
Revised Code and previously received or is receiving a benefit | 1189 |
under this division, completion of a period of twelve months since | 1190 |
the effective date of the last benefit under this division. | 1191 |
(B)(1) A superannuate or other system retirant under age | 1192 |
sixty-five who has made contributions under section 3307.35 or | 1193 |
3307.351 of the Revised Code may file an application with the | 1194 |
state teachers retirement system for a return of those | 1195 |
contributions if both of the following conditions are met: | 1196 |
(a) The superannuate or retirant has terminated, for any | 1197 |
reason other than death, the employment for which the | 1198 |
contributions were made. | 1199 |
(b) If the superannuate or retirant received a return of | 1200 |
contributions under this division for a previous period of | 1201 |
employment under section 3307.35 or 3307.351 of the Revised Code, | 1202 |
twelve months have passed since the date the retirement system | 1203 |
returned the contributions. | 1204 |
(2) A return of contributions under this division shall | 1205 |
consist of the sum of the following: | 1206 |
(a) The contributions the superannuate or other system | 1207 |
retirant made under section 3307.35 or 3307.351 of the Revised | 1208 |
Code other than the contributions excluded under division (F) of | 1209 |
section 3307.35 of the Revised Code; | 1210 |
(b) Interest at a rate determined by the state teachers | 1211 |
retirement board credited | 1212 |
month the superannuate or retirant terminated the employment for | 1213 |
which the contributions are made or the date required by division | 1214 |
(B)(1)(b) of this section. | 1215 |
(3) Payment of a return of contributions under this division | 1216 |
shall be made on a date determined by the state teachers | 1217 |
retirement board but shall be not earlier than the later of the | 1218 |
first day of the first month following termination of employment | 1219 |
or the date required by division (B)(1)(b) of this section. The | 1220 |
payment cancels the superannuate or retirant's right to a benefit | 1221 |
under division (A) of this section for the service for which the | 1222 |
contributions were made. | 1223 |
(C)(1) If a superannuate or other system retirant who made | 1224 |
contributions under section 3307.35 or 3307.351 of the Revised | 1225 |
Code dies before receiving a benefit under division (A) of this | 1226 |
section or a return of contributions under division (B) of this | 1227 |
section, a lump sum payment shall be paid to the beneficiary | 1228 |
designated under division (D)(1) of section 3307.562 of the | 1229 |
Revised Code. The lump sum shall be calculated in accordance with | 1230 |
division (A) of this section, except that the interest shall be | 1231 |
credited as follows: | 1232 |
(a) If the superannuate or retirant was under age sixty-five | 1233 |
at the time of death, the interest shall be credited through the | 1234 |
month of death. | 1235 |
(b) If the superannuate or retirant was age sixty-five or | 1236 |
older at the time of death, the interest shall be credited through | 1237 |
the later of the month in which the superannuate or retirant | 1238 |
terminated the employment for which the contributions are made or | 1239 |
the month the superannuate or retirant attained age sixty-five. | 1240 |
(2) If at the time of death a superannuate or other system | 1241 |
retirant receiving a monthly annuity under division (A) of this | 1242 |
section has received less than the superannuate or retirant would | 1243 |
have received as a lump sum payment, the difference between the | 1244 |
amount received and the amount that would have been received as a | 1245 |
lump sum payment shall be paid to the superannuate's or retirant's | 1246 |
beneficiary designated under division (D)(1) of section 3307.562 | 1247 |
of the Revised Code. | 1248 |
(D) No amount received under this section shall be included | 1249 |
in determining an additional benefit under section 3307.67 of the | 1250 |
Revised Code or any other post-retirement benefit increase. | 1251 |
Sec. 3307.371. (A) As used in this section, "alternate | 1252 |
payee," "benefit," "lump sum payment," "participant," and "public | 1253 |
retirement program" have the same meanings as in section 3105.80 | 1254 |
of the Revised Code. | 1255 |
(B) On receipt of an order issued under section 3105.171 or | 1256 |
3105.65 of the Revised Code, the state teachers retirement system | 1257 |
shall determine whether the order meets the requirements of | 1258 |
sections 3105.80 to 3105.90 of the Revised Code. The system shall | 1259 |
retain in the participant's record an order the board determines | 1260 |
meets the requirements. Not later than sixty days after receipt, | 1261 |
the system shall return to the court that issued the order any | 1262 |
order the system determines does not meet the requirements. | 1263 |
(C) The system shall comply with an order retained under | 1264 |
division (B) of this section at the following times as | 1265 |
appropriate: | 1266 |
(1) If the participant has applied for or is receiving a | 1267 |
benefit or has applied for but not yet received a lump sum | 1268 |
payment, as soon as practicable; | 1269 |
(2) If the participant has not applied for a benefit or lump | 1270 |
sum payment, on application by the participant for a benefit or | 1271 |
lump sum payment. | 1272 |
(D) If the system transfers a participant's service credit or | 1273 |
contributions made by or on behalf of a participant to a public | 1274 |
retirement program that is not named in the order, the system | 1275 |
shall do both of the following: | 1276 |
(1) Notify the court that issued the order by sending to the | 1277 |
court a copy of the order and the name and address of the public | 1278 |
retirement program to which the transfer was made. | 1279 |
(2) Send a copy of the order to the public retirement program | 1280 |
to which the transfer was made. | 1281 |
(E) If it receives a participant's service credit or | 1282 |
contributions and a copy of an order as provided in division (D) | 1283 |
of this section, the system shall administer the order as if it | 1284 |
were the public retirement program named in the order. | 1285 |
(F) If a participant's benefit or lump sum payment is or will | 1286 |
be subject to more than one order described in section 3105.81 of | 1287 |
the Revised Code or to an order described in that section
| 1288 |
1289 | |
1290 | |
3123., or 3125. of the Revised Code, the system shall, after | 1291 |
determining that the amounts that are or will be withheld will | 1292 |
cause the benefit or lump sum payment to fall below the limits | 1293 |
described in section 3105.85 of the Revised Code, do all of the | 1294 |
following: | 1295 |
(1) Establish, in accordance with division (G) of this | 1296 |
section and subject to the limits described in section 3105.85 of | 1297 |
the Revised Code, the priority in which the orders are or will be | 1298 |
paid by the system in accordance with division (G) of this | 1299 |
section; | 1300 |
(2) Reduce the amount paid to an alternate payee based on the | 1301 |
priority established under division (F)(1) of this section; | 1302 |
(3) Notify, by regular mail, a participant and alternate | 1303 |
payee of any action taken under this division. | 1304 |
(G) A withholding or deduction notice issued | 1305 |
1306 | |
or 3125. of the Revised Code or an order described in section | 1307 |
3115.32 of the Revised Code has priority over all other orders and | 1308 |
shall be complied with in accordance with child support | 1309 |
enforcement laws. All other orders are entitled to priority in | 1310 |
order of earliest retention by the system. The system is not to | 1311 |
retain an order that provides for the division of property unless | 1312 |
the order is filed in a court with jurisdiction in this state. | 1313 |
(H) The system is not liable in civil damages for loss | 1314 |
resulting from any action or failure to act in compliance with | 1315 |
this section. | 1316 |
Sec. 3307.39. (A) The state teachers retirement board may | 1317 |
enter into an agreement with insurance companies, health insuring | 1318 |
corporations, or government agencies authorized to do business in | 1319 |
the state for issuance of a policy or contract of health, medical, | 1320 |
hospital, or surgical benefits, or any combination thereof, for | 1321 |
those individuals receiving, under the STRS defined benefit plan | 1322 |
1323 | |
service retirement or a disability or survivor benefit who | 1324 |
subscribe to the plan. Notwithstanding any other provision of this | 1325 |
chapter, the policy or contract may also include coverage for any | 1326 |
eligible individual's spouse and dependent children and for any of | 1327 |
the individual's sponsored dependents as the board considers | 1328 |
appropriate. If all or any portion of the policy or contract | 1329 |
premium is to be paid by any individual receiving service | 1330 |
retirement or a disability or survivor benefit, the individual | 1331 |
shall, by written authorization, instruct the board to deduct the | 1332 |
premium agreed to be paid by the individual to the companies, | 1333 |
corporations, or agencies. | 1334 |
The board may contract for coverage on the basis of part or | 1335 |
all of the cost of the coverage to be paid from appropriate funds | 1336 |
of the state teachers retirement system. The cost paid from the | 1337 |
funds of the system shall be included in the employer's | 1338 |
contribution rate provided by section 3307.28 of the Revised Code. | 1339 |
The board may enter into an agreement under this division for | 1340 |
coverage of recipients of benefits under | 1341 |
contribution plan | 1342 |
1343 | |
surgical benefits, or any combination thereof. The board may | 1344 |
contract for coverage on the basis that the cost of the coverage | 1345 |
will be paid by the recipient or by the plan to which the | 1346 |
recipient contributed under this chapter. The board may offer to | 1347 |
recipients plans that provide for different levels of coverage or | 1348 |
for prepayment of the cost of coverage. | 1349 |
The board may provide for self-insurance of risk or level of | 1350 |
risk as set forth in the contract with the companies, | 1351 |
corporations, or agencies, and may provide through the | 1352 |
self-insurance method specific benefits as authorized by the rules | 1353 |
of the board. | 1354 |
(B) The board | 1355 |
recipient of service retirement, or a disability or survivor | 1356 |
benefit under the STRS defined benefit plan | 1357 |
1358 | |
1359 | |
program established under Title XVIII of "The Social Security | 1360 |
Amendments of 1965," 79 Stat. 301 (1965), 42 U.S.C.A. 1395j, as | 1361 |
amended, and may make a monthly payment to a recipient of benefits | 1362 |
under | 1363 |
1364 | |
insurance coverage if the monthly payments are funded through the | 1365 |
plan selected by the recipient. The payment shall be the greater | 1366 |
of the following: | 1367 |
(1) Twenty-nine dollars and ninety cents; | 1368 |
(2) An amount determined by | 1369 |
shall not exceed ninety per cent of the basic premium for the | 1370 |
coverage | 1371 |
1372 | |
1373 | |
1374 | |
1375 | |
1376 | |
the amount shall not exceed the amount paid by the recipient. | 1377 |
At the request of the board, the recipient shall certify the | 1378 |
amount paid by the recipient for coverage described in this | 1379 |
division. | 1380 |
The board shall make all payments under this division | 1381 |
beginning the month following receipt of satisfactory evidence of | 1382 |
the payment for the coverage. | 1383 |
(C) The board shall establish by rule requirements for the | 1384 |
coordination of any coverage, payment, or benefit provided under | 1385 |
this section | 1386 |
similar coverage, payment, or benefit made available to the same | 1387 |
individual by the public employees retirement system, Ohio police | 1388 |
and fire pension fund, school employees retirement system, or | 1389 |
state highway patrol retirement system. | 1390 |
(D) The board shall make all other necessary rules pursuant | 1391 |
to the purpose and intent of this section. | 1392 |
Sec. 3307.391. The state teachers retirement board | 1393 |
establish a program under which members of the state teachers | 1394 |
retirement system, employers on behalf of members, and persons | 1395 |
receiving benefits under this chapter are permitted to participate | 1396 |
in contracts for long-term health care insurance. Participation | 1397 |
may include dependents and family members. If a participant in a | 1398 |
contract for long-term care insurance leaves employment, the | 1399 |
participant and the participant's dependents and family members | 1400 |
may, at their election, continue to participate in a program | 1401 |
established under this section in the same manner as if the | 1402 |
participant had not left employment, except that no part of the | 1403 |
cost of the insurance shall be paid by the participant's former | 1404 |
employer. | 1405 |
Such program may be established independently or jointly with | 1406 |
one or more of the other retirement systems. For purposes of this | 1407 |
section, "retirement systems" has the same meaning as in division | 1408 |
(A) of section 145.581 of the Revised Code. | 1409 |
The board may enter into an agreement with insurance | 1410 |
companies, health insuring corporations, or government agencies | 1411 |
authorized to do business in the state for issuance of a long-term | 1412 |
care insurance policy or contract. However, prior to entering into | 1413 |
such an agreement with an insurance company or health insuring | 1414 |
corporation, the board shall request the superintendent of | 1415 |
insurance to certify the financial condition of the company or | 1416 |
corporation. The board shall not enter into the agreement if, | 1417 |
according to that certification, the company or corporation is | 1418 |
insolvent, is determined by the superintendent to be potentially | 1419 |
unable to fulfill its contractual obligations, or is placed under | 1420 |
an order of rehabilitation or conservation by a court of competent | 1421 |
jurisdiction or under an order of supervision by the | 1422 |
superintendent. | 1423 |
The board | 1424 |
111.15 of the Revised Code governing the program. | 1425 |
adopted by the board shall establish methods of payment for | 1426 |
participation under this section, which may include establishment | 1427 |
of a payroll deduction plan under section | 1428 |
Revised Code, deduction of the full premium charged from a | 1429 |
person's benefit, or any other method of payment considered | 1430 |
appropriate by the board. If the program is established jointly | 1431 |
with one or more of the other retirement systems, the rules also | 1432 |
shall establish the terms and conditions of such joint | 1433 |
participation. | 1434 |
Sec. 3307.42. (A) Except as provided in section 3307.373 of | 1435 |
the Revised Code, the granting to any person of an allowance, | 1436 |
annuity, pension, or other benefit under the STRS defined benefit | 1437 |
plan | 1438 |
or the granting of a benefit under | 1439 |
plan | 1440 |
pursuant to an action of the state teachers' retirement board | 1441 |
vests a right in such person, so long as the person remains the | 1442 |
beneficiary of any of the funds established by section 3307.14 of | 1443 |
the Revised Code, to receive the allowance, annuity, pension, or | 1444 |
benefit at the rate fixed at the time of granting the allowance, | 1445 |
annuity, pension, or benefit. Such right shall also be vested with | 1446 |
equal effect in the beneficiary of a grant heretofore made from | 1447 |
any of the funds named in section 3307.14 of the Revised Code. | 1448 |
(B)(1) The state teachers retirement system may suspend the | 1449 |
benefit of a person receiving a benefit under section 3307.58 or | 1450 |
3307.59 of the Revised Code, a disability benefit under section | 1451 |
3307.63 or 3307.631 of the Revised Code, a survivor benefit under | 1452 |
section 3307.66 of the Revised Code, any payment under section | 1453 |
3307.352 of the Revised Code, a benefit under section 3307.60 of | 1454 |
the Revised Code as a beneficiary, or a benefit under an STRS | 1455 |
defined contribution plan under either of the following | 1456 |
circumstances: | 1457 |
(a) The retirement system has good cause to believe that the | 1458 |
person receiving benefits is incapacitated and no other person has | 1459 |
authority to act or receive benefits on the person's behalf. | 1460 |
(b) The retirement system learns that the person receiving | 1461 |
benefits is missing, and no person provides evidence satisfactory | 1462 |
to the system that the person is alive and is entitled to receive | 1463 |
benefits. | 1464 |
(2) Benefits shall resume on presentation of evidence | 1465 |
satisfactory to the board that the person is no longer | 1466 |
incapacitated or is alive and entitled to receive benefits. Any | 1467 |
missed payments shall be paid in a single lump sum payment. | 1468 |
(3) A benefit suspended under division (B)(1)(b) of this | 1469 |
section shall be terminated on presentation to the board of a | 1470 |
decree of presumed death. Notwithstanding section 2121.04 of the | 1471 |
Revised Code, the termination shall be retroactive to the date the | 1472 |
benefit was suspended. | 1473 |
Sec. 3307.46. Whenever the limits established by section 415 | 1474 |
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 | 1475 |
U.S.C.A. 415, as amended, are raised, the state teachers | 1476 |
retirement board may increase the amount of the pension, benefit, | 1477 |
or allowance of any person whose pension, benefit, or allowance | 1478 |
payable under section 3307.58, 3307.59, 3307.63, 3307.631, or | 1479 |
3307.67 of the Revised Code or | 1480 |
1481 | |
by the application of section 415. The amount of the increased | 1482 |
pension, benefit, or allowance shall not exceed the lesser of the | 1483 |
amount the person would have received if the limits established by | 1484 |
section 415 had not been applied or the amount the person is | 1485 |
eligible to receive subject to the new limits established by | 1486 |
section 415. | 1487 |
Sec. 3307.47. (A) If a person is paid any benefit or payment | 1488 |
by the state teachers retirement system under the plans described | 1489 |
in section 3307.031 of the Revised Code or under section 3307.371 | 1490 |
of the Revised Code to which the person is not entitled, the | 1491 |
benefit shall be repaid to the system by the person. If the person | 1492 |
fails to make the repayment, the system shall withhold the amount | 1493 |
due from any benefit due the person or the person's beneficiary | 1494 |
under this chapter | 1495 |
1496 |
(B) If an alternate payee under section 3307.371 of the | 1497 |
Revised Code fails to make a repayment required by division (A) of | 1498 |
this section, the system may withhold the amount due from any | 1499 |
benefit due the retirant who was subject to the order under which | 1500 |
the alternate payee was paid or due a survivor or beneficiary of | 1501 |
the retirant. | 1502 |
(C) If a survivor or beneficiary of a retirant fails to make | 1503 |
a repayment required by division (A) of this section, the system | 1504 |
may withhold the amount due from any benefit or payment due any | 1505 |
other survivor or beneficiary of the retirant receiving benefits | 1506 |
or payments under this chapter. | 1507 |
(D) If a child support enforcement agency fails to repay an | 1508 |
overpayment of child support, the system may withhold the amount | 1509 |
due from any benefit due a survivor or beneficiary of the retirant | 1510 |
who was subject to the child support order. | 1511 |
(E) If a person receives any payment pursuant to section | 1512 |
3307.39 of the Revised Code to which the person is not entitled, | 1513 |
including any payment to a third party on the person's behalf, the | 1514 |
payment to which the person is not entitled shall be repaid to the | 1515 |
retirement system. If the person or third party fails to make the | 1516 |
repayment, the retirement system shall withhold the amount due, or | 1517 |
portion of the amount due, from any payment or benefit due the | 1518 |
person or person's beneficiary under this chapter. | 1519 |
(F) The retirement system may collect amounts due under this | 1520 |
chapter in any other manner the system considers appropriate, as | 1521 |
provided by law. | 1522 |
| 1523 |
"disability benefit recipient" means a recipient of a disability | 1524 |
benefit under any of the following: | 1525 |
(1) Section 3307.63 of the Revised Code; | 1526 |
(2) Section 3307.631 of the Revised Code; | 1527 |
(3) The STRS combined plan. | 1528 |
(B) A disability benefit recipient, notwithstanding section | 1529 |
3319.13 of the Revised Code, shall retain membership in the state | 1530 |
teachers retirement system and shall be considered on leave of | 1531 |
absence during the first five years following the effective date | 1532 |
of a disability benefit. | 1533 |
The state teachers retirement board shall require any | 1534 |
disability benefit recipient to submit to an annual medical | 1535 |
examination by a physician selected by the board, except that the | 1536 |
board may | 1537 |
physician
| 1538 |
ongoing or may require additional examinations if the board's | 1539 |
physician determines that additional information should be | 1540 |
obtained. If a disability benefit recipient refuses to submit to a | 1541 |
medical examination, the recipient's disability benefit shall be | 1542 |
suspended until the recipient withdraws the refusal. If the | 1543 |
refusal continues for one year, all the recipient's rights under | 1544 |
and to the disability benefit shall be terminated as of the | 1545 |
effective date of the original suspension. | 1546 |
After the examination, the examiner shall report and certify | 1547 |
to the board whether the disability benefit recipient is no longer | 1548 |
physically and mentally incapable of resuming the service from | 1549 |
which the recipient was found disabled. If the board concurs in a | 1550 |
report by the examining physician that the disability benefit | 1551 |
recipient is no longer incapable, the board shall order | 1552 |
termination of payment of a disability benefit | 1553 |
not later than the following thirty-first day of August or upon | 1554 |
employment as a teacher prior thereto. The board shall provide | 1555 |
notice to the recipient of the board's order. At the request of | 1556 |
the recipient, a hearing on the order shall be conducted in | 1557 |
accordance with procedures established by the board. If the leave | 1558 |
of absence has not expired, the board shall so certify to the | 1559 |
disability benefit recipient's last employer before being found | 1560 |
disabled that the recipient is no longer physically and mentally | 1561 |
incapable of resuming service that is the same or similar to that | 1562 |
from which the recipient was found disabled. If the recipient was | 1563 |
under contract at the time the recipient was found disabled, the | 1564 |
employer by the first day of the next succeeding year shall | 1565 |
restore the recipient to the recipient's previous position and | 1566 |
salary or to a position and salary similar thereto, unless the | 1567 |
recipient was dismissed or resigned in lieu of dismissal for | 1568 |
dishonesty, misfeasance, malfeasance, or conviction of a felony. | 1569 |
| 1570 |
1571 | |
1572 | |
individual receiving a disability benefit from the system shall be | 1573 |
ineligible | 1574 |
1575 | |
teaching service, as defined by the board. A disability benefit | 1576 |
shall immediately terminate if the disability benefit recipient | 1577 |
performs any teaching service in this state or elsewhere. The | 1578 |
board shall notify the recipient that the benefit is terminated. | 1579 |
The recipient may submit, not later than thirty days after the | 1580 |
date the notice is sent, to the board information specifying that | 1581 |
the disability recipient did not perform teaching services while | 1582 |
receiving disability benefits along with any supporting evidence | 1583 |
available to the recipient. The board shall review the information | 1584 |
and any accompanying evidence to determine whether the individual | 1585 |
performed teaching services. The board may designate an individual | 1586 |
to review the information and submit a recommendation to the | 1587 |
board. The board shall determine whether the benefit was correctly | 1588 |
terminated. If not, the benefit shall be reinstated and any missed | 1589 |
payments paid to the recipient. The board's decision is final.
| 1590 |
If any employer should employ or reemploy | 1591 |
disability benefit recipient prior to the termination of a | 1592 |
disability benefit, the employer shall file notice of employment | 1593 |
with the board designating the date of the employment. If the | 1594 |
1595 | |
received a disability benefit and | 1596 |
teaching | 1597 |
the | 1598 |
1599 | |
annuity and pension reserve fund the amount of the disability | 1600 |
benefit received by the | 1601 |
1602 | |
1603 | |
1604 | |
from the beginning of employment. | 1605 |
Each disability benefit recipient shall file with the board | 1606 |
an annual statement of earnings, current medical information on | 1607 |
the recipient's condition, and any other information required in | 1608 |
rules adopted by the board. The board may waive the requirement | 1609 |
that a disability benefit recipient file an annual statement of | 1610 |
earnings or current medical information if the board's physician | 1611 |
certifies that the recipient's disability is ongoing. | 1612 |
The board shall annually examine the information submitted by | 1613 |
the recipient. If a disability benefit recipient refuses to file | 1614 |
the statement or information, the disability benefit shall be | 1615 |
suspended until the statement and information are filed. If the | 1616 |
refusal continues for one year, the recipient's right to the | 1617 |
disability benefit shall be terminated as of the effective date of | 1618 |
the original suspension. | 1619 |
A disability benefit also may be terminated by the board at | 1620 |
the request of the disability benefit recipient. | 1621 |
If disability retirement under section 3307.63 of the Revised | 1622 |
Code is terminated for any reason, the annuity and pension | 1623 |
reserves at that time in the annuity and pension reserve fund | 1624 |
shall be transferred to the teachers' savings fund and the | 1625 |
employers' trust fund, respectively. If the total disability | 1626 |
benefit paid was less than the amount of the accumulated | 1627 |
contributions of the member transferred to the annuity and pension | 1628 |
reserve fund at the time of the member's disability retirement, | 1629 |
then the difference shall be transferred from the annuity and | 1630 |
pension reserve fund to another fund as required. In determining | 1631 |
the amount of a member's account following the termination of | 1632 |
disability retirement for any reason, the total amount paid shall | 1633 |
be charged against the member's refundable account. | 1634 |
If a disability allowance paid under section 3307.631 of the | 1635 |
Revised Code is terminated for any reason, the reserve on the | 1636 |
allowance at that time in the annuity and pension reserve fund | 1637 |
shall be transferred from that fund to the employers' trust fund. | 1638 |
If a former disability benefit recipient again becomes a | 1639 |
contributor, other than as an other system retirant under section | 1640 |
3307.35 of the Revised Code, to this retirement system, the school | 1641 |
employees retirement system, or the public employees retirement | 1642 |
system, and completes at least two additional years of service | 1643 |
credit, the former disability benefit recipient shall receive | 1644 |
credit for the period as a disability benefit recipient. Credit | 1645 |
may be received for more than one period of leave as a disability | 1646 |
benefit recipient, except that for credit received on or after | 1647 |
July 1, 2013, the total number of years received shall not exceed | 1648 |
the lesser of the years of contributing service following the | 1649 |
termination of disability benefits or five years of total service | 1650 |
credit. | 1651 |
Sec. 3307.50. As used in sections 3307.50 to 3307.79 of the | 1652 |
Revised Code: | 1653 |
(A) "Prior service" means all service as a teacher before | 1654 |
September 1, 1920, military service credit, all service prior to | 1655 |
September 1, 1920, as an employee of any employer who comes within | 1656 |
the public employees retirement system, the school employees | 1657 |
retirement system, or any other state retirement system | 1658 |
established under the laws of Ohio, and similar service in another | 1659 |
state, credit for which was procured by a member under former | 1660 |
section 3307.33 of the Revised Code, prior to June 25, 1945. Prior | 1661 |
service credit shall not be granted to any member for service for | 1662 |
which credit or benefits have been received in any other state | 1663 |
retirement system in Ohio or for credit that was forfeited by | 1664 |
withdrawal of contributions, unless the credit has been restored. | 1665 |
If the teacher served as an employee in any two or all of the | 1666 |
capacities, "prior service" means the total combined service in | 1667 |
the capacities prior to September 1, 1920. | 1668 |
If a teacher who has been granted prior service credit for | 1669 |
service rendered prior to September 1, 1920, as an employee of an | 1670 |
employer who comes within the public employees retirement system | 1671 |
or the school employees retirement system, establishes, subsequent | 1672 |
to September 16, 1957, and before retirement, three years of | 1673 |
contributing service in the public employees retirement system, or | 1674 |
one year in the school employees retirement system, the prior | 1675 |
service credit granted shall become, at retirement, the liability | 1676 |
of the other system if the prior service or employment was in a | 1677 |
capacity covered by that system. | 1678 |
(B) "Total service," "total service credit," except as | 1679 |
provided in section 3307.57 of the Revised Code, or "Ohio service | 1680 |
credit" means all service of a member of the state teachers | 1681 |
retirement system since last becoming a member and, in addition | 1682 |
thereto, restored service credit under section 3307.71 of the | 1683 |
Revised Code, all prior service credit, all military service | 1684 |
credit computed as provided in this chapter, and all other service | 1685 |
credit established under sections 3307.26, 3307.53, | 1686 |
3307.72, 3307.73, 3307.74, 3307.76, 3307.761, 3307.763, 3307.77, | 1687 |
3307.771, and 3307.78 and former sections 3307.513, 3307.514, and | 1688 |
3307.52 of the Revised Code, and Section 3 of Amended Substitute | 1689 |
Senate Bill No. 530 of the 114th general assembly. | 1690 |
1691 | |
1692 | |
1693 |
(C)(1) "Service retirement" means retirement as provided in | 1694 |
section 3307.58 or 3307.59 of the Revised Code. | 1695 |
(2) "Disability retirement" means retirement as provided in | 1696 |
section 3307.63 of the Revised Code. | 1697 |
(D) "Accumulated contributions" means the sum of all amounts | 1698 |
credited to a contributor's individual account in the teachers' | 1699 |
savings fund, together with interest credited thereon at the rates | 1700 |
approved by the state teachers retirement board prior to | 1701 |
retirement. | 1702 |
(E) "Annuity" means payments for life derived from | 1703 |
contributions made by a contributor and paid from the annuity and | 1704 |
pension reserve fund. All annuities shall be paid in twelve equal | 1705 |
monthly installments. | 1706 |
(F) "Pensions" means annual payments for life derived from | 1707 |
appropriations made by an employer and paid from the annuity and | 1708 |
pension reserve fund. All pensions shall be paid in twelve equal | 1709 |
monthly installments. | 1710 |
(G)(1) "Allowance" means the pension plus the annuity, or any | 1711 |
other payment under | 1712 |
1713 | |
allowance or disability benefit. | 1714 |
(2) "Disability allowance" means an allowance paid on account | 1715 |
of disability under section 3307.631 of the Revised Code. | 1716 |
(3) "Disability benefit" means a benefit paid as disability | 1717 |
retirement under section 3307.63 of the Revised Code, as a | 1718 |
disability allowance under section 3307.631 of the Revised Code, | 1719 |
or as a disability benefit under section 3307.57 of the Revised | 1720 |
Code. | 1721 |
(H) "Annuity reserve" means the present value, computed upon | 1722 |
the basis of mortality tables adopted by the state teachers | 1723 |
retirement board with interest, of all payments to be made on | 1724 |
account of any annuity, or benefit in lieu of any annuity, granted | 1725 |
to a member. | 1726 |
(I) "Pension reserve" means the present value, computed upon | 1727 |
the basis of mortality tables adopted by the state teachers | 1728 |
retirement board with interest, of all payments to be made on | 1729 |
account of any pension, or benefit in lieu of any pension, granted | 1730 |
to a member or to a beneficiary. | 1731 |
(J) "Retirant" means any former member who is granted age and | 1732 |
service retirement as provided in sections 3307.57, 3307.58, | 1733 |
3307.59, and 3307.60 of the Revised Code. | 1734 |
(K) "Disability benefit recipient" means a member who is | 1735 |
receiving a disability benefit. | 1736 |
Sec. 3307.501. (A) As used in this section, "percentage | 1737 |
increase" means the percentage that an increase in compensation is | 1738 |
of the compensation paid prior to the increase. | 1739 |
(B) Notwithstanding division (L) of section 3307.01 of the | 1740 |
Revised Code, for the purpose of determining final average salary | 1741 |
under this section, "compensation" has the same meaning as in that | 1742 |
division, except that it does not include any amount resulting | 1743 |
from a percentage increase paid to a member during the member's | 1744 |
two highest years of compensation that exceeds the greater of the | 1745 |
following: | 1746 |
(1) The highest percentage increase in compensation paid to | 1747 |
the member during any of the three years immediately preceding the | 1748 |
earlier of the member's two highest years of compensation and any | 1749 |
subsequent partial year of compensation used in calculating the | 1750 |
member's final average salary; | 1751 |
(2) A percentage increase paid to the member as part of an | 1752 |
increase generally applicable to members employed by the employer. | 1753 |
An increase shall be considered generally applicable if it is paid | 1754 |
to members employed by a school district board of education in | 1755 |
positions requiring a license issued under section 3319.22 of the | 1756 |
Revised Code in accordance with uniform criteria applicable to all | 1757 |
such members or if paid to members employed by an employer other | 1758 |
than a school district board of education in accordance with | 1759 |
uniform criteria applicable to all such members. | 1760 |
(C) The state teachers retirement board shall determine the | 1761 |
final average salary of a member as follows: | 1762 |
(1) For benefits beginning before August 1, 2015, by dividing | 1763 |
the sum of the member's annual compensation for the three highest | 1764 |
years of compensation for which the member made contributions plus | 1765 |
any amount determined under division (E) of this section by three, | 1766 |
except that if the member has a partial year of contributing | 1767 |
service in the year the member's employment terminates and the | 1768 |
compensation for the partial year is at a rate higher than the | 1769 |
rate of compensation for any one of the member's highest three | 1770 |
years of compensation, the board shall substitute the compensation | 1771 |
for the partial year for the compensation for the same portion of | 1772 |
the lowest of the member's three highest years of compensation; | 1773 |
(2) For benefits beginning on or after August 1, 2015, by | 1774 |
dividing the sum of the member's annual compensation for the five | 1775 |
highest years of compensation for which the member made | 1776 |
contributions plus any amount determined under division (E) of | 1777 |
this section by five, except that if the member has a partial year | 1778 |
of contributing service in the year the member's employment | 1779 |
terminates and the compensation for the partial year is at a rate | 1780 |
higher than the rate of compensation for any one of the member's | 1781 |
highest five years of compensation, the board shall substitute the | 1782 |
compensation for the partial year for the compensation for the | 1783 |
same portion of the lowest of the member's five highest years of | 1784 |
compensation. | 1785 |
If a member has less than | 1786 |
contributing membership, the member's final average salary shall | 1787 |
be the member's total compensation for the period of contributing | 1788 |
membership plus any amount determined under division (E) of this | 1789 |
section divided by the total years, including any portion of a | 1790 |
year, of contributing service. | 1791 |
For the purpose of calculating benefits payable to a member | 1792 |
qualifying for service credit under division (I) of section | 1793 |
3307.01 of the Revised Code, the board shall calculate the | 1794 |
member's final average salary by dividing the member's total | 1795 |
compensation as a teacher covered under this chapter plus any | 1796 |
amount determined under division (E) of this section by the total | 1797 |
number of years, including any portion of a year, of contributing | 1798 |
membership during that period. If contributions were made for less | 1799 |
than twelve months, the member's final average salary is the total | 1800 |
amount of compensation paid to the member during all periods of | 1801 |
contributions under this chapter. | 1802 |
(D) Contributions made by a member and an employer on amounts | 1803 |
that, pursuant to division (B) of this section, are not | 1804 |
compensation or are not included, pursuant to division (E) of this | 1805 |
section, for the purpose of determining final average salary shall | 1806 |
be treated as additional deposits to the member's account under | 1807 |
section 3307.26 of the Revised Code and used to provide additional | 1808 |
annuity income. | 1809 |
(E) The state teachers retirement board shall adopt rules | 1810 |
establishing criteria and procedures for administering this | 1811 |
division. | 1812 |
The board shall notify each applicant for retirement of any | 1813 |
amount excluded from the applicant's compensation in accordance | 1814 |
with division (B) of this section and of the procedures | 1815 |
established by the board for requesting a hearing on this | 1816 |
exclusion. | 1817 |
Any applicant for retirement who has had any amount excluded | 1818 |
from the applicant's compensation in accordance with division (B) | 1819 |
of this section may request a hearing on this exclusion. Upon | 1820 |
receiving such a request, the board shall determine in accordance | 1821 |
with its criteria and procedures whether, for good cause as | 1822 |
determined by the board, all or any portion of any amount excluded | 1823 |
from the applicant's compensation in accordance with division (B) | 1824 |
of this section, up to a maximum of seventy-five hundred dollars, | 1825 |
is to be included in the determination of final average salary | 1826 |
under division (C) of this section. Any determination of the board | 1827 |
under this division shall be final. | 1828 |
Sec. 3307.51. (A) The state teachers retirement board shall | 1829 |
have prepared annually by or under the supervision of an actuary | 1830 |
an actuarial valuation of the pension assets, liabilities, and | 1831 |
funding requirements of the STRS defined benefit plan | 1832 |
1833 | |
complete the valuation in accordance with actuarial standards of | 1834 |
practice promulgated by the actuarial standards board of the | 1835 |
American academy of actuaries and prepare a report of the | 1836 |
valuation. The report shall include all of the following: | 1837 |
(1) A summary of the benefit provisions evaluated; | 1838 |
(2) A summary of the census data and financial information | 1839 |
used in the valuation; | 1840 |
(3) A description of the actuarial assumptions, actuarial | 1841 |
cost method, and asset valuation method used in the valuation, | 1842 |
including a statement of the assumed rate of payroll growth and | 1843 |
assumed rate of growth or decline in the number of members | 1844 |
contributing to the retirement system; | 1845 |
(4) A summary of findings that includes a statement of the | 1846 |
actuarial accrued pension liabilities and unfunded actuarial | 1847 |
accrued pension liabilities; | 1848 |
(5) A schedule showing the effect of any changes in the | 1849 |
benefit provisions, actuarial assumptions, or cost methods since | 1850 |
the last annual actuarial valuation; | 1851 |
(6) A statement of whether contributions to the retirement | 1852 |
system are expected to be sufficient to satisfy the funding | 1853 |
objectives established by the board. | 1854 |
The board shall submit the report to the Ohio retirement | 1855 |
study council and the standing committees of the house of | 1856 |
representatives and the senate with primary responsibility for | 1857 |
retirement legislation not later than the first day of January | 1858 |
following the year for which the valuation was made. | 1859 |
(B) At such times as the state teachers retirement board | 1860 |
determines, and at least once in each quinquennial period, the | 1861 |
board shall have prepared by or under the supervision of an | 1862 |
actuary an actuarial investigation of the mortality, service, and | 1863 |
other experience of the members, retirants, and beneficiaries of | 1864 |
the system, and other system retirants as defined in section | 1865 |
3307.35 of the Revised Code to update the actuarial assumptions | 1866 |
used in the actuarial valuation required by division (A) of this | 1867 |
section. The actuary shall prepare a report of the actuarial | 1868 |
investigation. The report shall be prepared and any recommended | 1869 |
changes in actuarial assumptions shall be made in accordance with | 1870 |
the actuarial standards of practice promulgated by the actuarial | 1871 |
standards board of the American academy of actuaries. The report | 1872 |
shall include all of the following: | 1873 |
(1) A summary of relevant decrement and economic assumption | 1874 |
experience observed over the period of the investigation; | 1875 |
(2) Recommended changes in actuarial assumptions to be used | 1876 |
in subsequent actuarial valuations required by division (A) of | 1877 |
this section; | 1878 |
(3) A measurement of the financial effect of the recommended | 1879 |
changes in actuarial assumptions. | 1880 |
The board shall submit the report to the Ohio retirement | 1881 |
study council and the standing committees of the house of | 1882 |
representatives and the senate with primary responsibility for | 1883 |
retirement legislation not later than the first day of May | 1884 |
following the last fiscal year of the period the report covers. | 1885 |
(C) The board may at any time request the actuary to make any | 1886 |
other studies or actuarial valuations to determine the adequacy of | 1887 |
the normal and deficiency rates of contribution provided by | 1888 |
section 3307.28 of the Revised Code, and those rates may be | 1889 |
adjusted by the board, as recommended by the actuary, effective as | 1890 |
of the first of any year thereafter. | 1891 |
(D) The board shall have prepared by or under the supervision | 1892 |
of an actuary an actuarial analysis of any introduced legislation | 1893 |
expected to have a measurable financial impact on the retirement | 1894 |
system. The actuarial analysis shall be completed in accordance | 1895 |
with the actuarial standards of practice promulgated by the | 1896 |
actuarial standards board of the American academy of actuaries. | 1897 |
The actuary shall prepare a report of the actuarial analysis, | 1898 |
which shall include all of the following: | 1899 |
(1) A summary of the statutory changes that are being | 1900 |
evaluated; | 1901 |
(2) A description of or reference to the actuarial | 1902 |
assumptions and actuarial cost method used in the report; | 1903 |
(3) A description of the participant group or groups included | 1904 |
in the report; | 1905 |
(4) A statement of the financial impact of the legislation, | 1906 |
including the resulting increase, if any, in the employer normal | 1907 |
cost percentage; the increase, if any, in actuarial accrued | 1908 |
liabilities; and the per cent of payroll that would be required to | 1909 |
amortize the increase in actuarial accrued liabilities as a level | 1910 |
per cent of covered payroll for all active members over a period | 1911 |
not to exceed thirty years; | 1912 |
(5) A statement of whether the scheduled contributions to the | 1913 |
system after the proposed change is enacted are expected to be | 1914 |
sufficient to satisfy the funding objectives established by the | 1915 |
board. | 1916 |
Not later than sixty days from the date of introduction of | 1917 |
the legislation, the board shall submit a copy of the actuarial | 1918 |
analysis to the legislative service commission, the standing | 1919 |
committees of the house of representatives and the senate with | 1920 |
primary responsibility for retirement legislation, and the Ohio | 1921 |
retirement study council. | 1922 |
(E) The board shall have prepared annually a report giving a | 1923 |
full accounting of the revenues and costs relating to the | 1924 |
provision of benefits under
| 1925 |
of the Revised Code. The report shall be made as of June 30, 1997, | 1926 |
and the thirtieth day of June of each year thereafter. The report | 1927 |
shall include the following: | 1928 |
(1) A description of the statutory authority for the benefits | 1929 |
provided; | 1930 |
(2) A summary of the benefits; | 1931 |
(3) A summary of the eligibility requirements for the | 1932 |
benefits; | 1933 |
(4) A statement of the number of participants eligible for | 1934 |
the benefits; | 1935 |
(5) A description of the accounting, asset valuation, and | 1936 |
funding method used to provide the benefits; | 1937 |
(6) A statement of the net assets available for the | 1938 |
provisions of benefits as of the last day of the fiscal year; | 1939 |
(7) A statement of any changes in the net assets available | 1940 |
for the provision of benefits, including participant and employer | 1941 |
contributions, net investment income, administrative expenses, and | 1942 |
benefits provided to participants, as of the last day of the | 1943 |
fiscal year; | 1944 |
(8) For the last six consecutive fiscal years, a schedule of | 1945 |
the net assets available for the benefits, the annual cost of | 1946 |
benefits, administrative expenses incurred, and annual employer | 1947 |
contributions allocated for the provision of benefits; | 1948 |
(9) A description of any significant changes that affect the | 1949 |
comparability of the report required under this division; | 1950 |
(10) A statement of the amount paid under division (B) of | 1951 |
section 3307.39 of the Revised Code. | 1952 |
The board shall submit the report to the Ohio retirement | 1953 |
study council and the standing committees of the house of | 1954 |
representatives and the senate with primary responsibility for | 1955 |
retirement legislation not later than the thirty-first day of | 1956 |
December following the year for which the report was made. | 1957 |
Sec. 3307.512. The state teachers retirement board shall | 1958 |
establish a period of not more than thirty years to amortize the | 1959 |
state teachers retirement system's unfunded actuarial accrued | 1960 |
pension liabilities for benefits paid under | 1961 |
1962 | |
any year the period necessary to amortize the unfunded actuarial | 1963 |
accrued pension liability exceeds thirty years, as determined by | 1964 |
the annual actuarial valuation required by section 3307.51 of the | 1965 |
Revised Code, the board, not later than ninety days after receipt | 1966 |
of the valuation, shall prepare and submit to the Ohio retirement | 1967 |
study council and the standing committees of the house of | 1968 |
representatives and the senate with primary responsibility for | 1969 |
retirement legislation a report that includes the following | 1970 |
information: | 1971 |
(A) The number of years needed to amortize the unfunded | 1972 |
actuarial accrued pension liability as determined by the annual | 1973 |
actuarial valuation; | 1974 |
(B) A plan approved by the board that indicates how the board | 1975 |
will reduce the amortization period of unfunded actuarial accrued | 1976 |
pension liability to not more than thirty years. | 1977 |
Sec. 3307.52. At the time of retirement under the STRS | 1978 |
defined benefit plan | 1979 |
1980 | |
consist of all the teacher's service as a teacher since the | 1981 |
teacher last became a member and, if the teacher has a prior | 1982 |
service certificate which is in full force and effect, all service | 1983 |
certified on such prior service certificate | 1984 |
1985 | |
1986 |
Sec. 3307.53. The state teachers retirement board shall | 1987 |
credit a year of service to any teacher participating in the STRS | 1988 |
defined benefit plan | 1989 |
1990 | |
district for the number of months the regular day schools of such | 1991 |
district are in session in said district within any year. The | 1992 |
board shall adopt appropriate rules and regulations for the | 1993 |
determination of credit for less than a complete year of service, | 1994 |
and shall be the final authority in determining the number of | 1995 |
years of service credit. The board shall credit not more than one | 1996 |
year for all service rendered in any year. | 1997 |
If concurrent contributions are made to two or more | 1998 |
retirement systems, except in the case of retirement as provided | 1999 |
in section 3307.351 of the Revised Code, service credit shall be | 2000 |
on the basis of the ratio that contributions to this system bear | 2001 |
to the total contributions in all such systems. | 2002 |
The board shall adopt rules for the purpose of determining | 2003 |
the number of years or partial years of service credit to be | 2004 |
granted to a member under section | 2005 |
Code. The amount of service credit shall be based on the member's | 2006 |
length of participation in and contribution to | 2007 |
contribution plan | 2008 |
2009 | |
amount of service credit. | 2010 |
Sec. 3307.56. (A)(1) Subject to sections 3307.37 and | 2011 |
3307.561 of the Revised Code and except as provided in division | 2012 |
(B)(2) of this section, a member participating in the STRS defined | 2013 |
benefit plan
| 2014 |
2015 | |
death, retirement, receipt of a disability benefit, or current | 2016 |
employment in a position in which the member has elected to | 2017 |
participate in an alternative retirement plan under section | 2018 |
3305.05 or 3305.051 of the Revised Code, upon application, shall | 2019 |
be paid the accumulated contributions standing to the credit of | 2020 |
the member's individual account in the teachers' savings fund plus | 2021 |
an amount calculated in accordance with section 3307.563 of the | 2022 |
Revised Code. If the member or the member's legal representative | 2023 |
cannot be found within ten years after the member ceased making | 2024 |
contributions pursuant to section 3307.26 of the Revised Code, the | 2025 |
accumulated contributions may be transferred to the guarantee fund | 2026 |
and thereafter paid to the member, to the member's beneficiaries, | 2027 |
or to the member's estate, upon proper application. | 2028 |
(2) A member described in division (A)(1) of this section who | 2029 |
is married at the time of application for payment and is eligible | 2030 |
for age and service retirement under section 3307.58 or 3307.59 of | 2031 |
the Revised Code or would be eligible for age and service | 2032 |
retirement under either of those sections but for a forfeiture | 2033 |
ordered under division (A) or (B) of section 2929.192 of the | 2034 |
Revised Code shall submit with the application a written statement | 2035 |
by the member's spouse attesting that the spouse consents to the | 2036 |
payment of the member's accumulated contributions. Consent shall | 2037 |
be valid only if it is signed and witnessed by a notary public. If | 2038 |
the statement is not submitted under this division, the | 2039 |
application shall be considered an application for service | 2040 |
retirement and shall be subject to division (G)(1) of section | 2041 |
3307.60 of the Revised Code. | 2042 |
The state teachers retirement board may waive the requirement | 2043 |
of consent if the spouse is incapacitated or cannot be located, or | 2044 |
for any other reason specified by the board. Consent or waiver is | 2045 |
effective only with regard to the spouse who is the subject of the | 2046 |
consent or waiver. | 2047 |
(B) This division applies to any member who is employed in a | 2048 |
position in which the member has elected under section 3305.05 or | 2049 |
3305.051 of the Revised Code to participate in an alternative | 2050 |
retirement plan and due to the election ceases to be a teacher for | 2051 |
the purposes of that position. | 2052 |
Subject to sections 3307.37 and 3307.561 of the Revised Code, | 2053 |
the state teachers retirement system shall do the following: | 2054 |
(1) On receipt of a certified copy of an election under | 2055 |
section 3305.05 or 3305.051 of the Revised Code, pay, in | 2056 |
accordance with section 3305.052 of the Revised Code, the amount | 2057 |
described in that section to the appropriate provider; | 2058 |
(2) If a member has accumulated contributions, in addition to | 2059 |
those subject to division (B)(1) of this section, standing to the | 2060 |
credit of a member's individual account and is not otherwise in a | 2061 |
position in which the member is considered a teacher for the | 2062 |
purposes of that position, pay, to the provider the member | 2063 |
selected pursuant to section 3305.05 or 3305.051 of the Revised | 2064 |
Code, the accumulated contributions standing to the credit of the | 2065 |
member's individual account in the teachers' saving fund plus an | 2066 |
amount calculated in accordance with section | 2067 |
the Revised Code. The payment shall be made on the member's | 2068 |
application. | 2069 |
(C) Payment of a member's accumulated contributions under | 2070 |
division (B) of this section cancels the member's total service | 2071 |
credit in the state teachers retirement system. A member whose | 2072 |
accumulated contributions are paid to a provider pursuant to | 2073 |
division (B) of this section is forever barred from claiming or | 2074 |
purchasing service credit under the state teachers retirement | 2075 |
system for the period of employment attributable to those | 2076 |
contributions. | 2077 |
Sec. 3307.561. (A) Except as provided in division (B) of | 2078 |
this section, a member of the state teachers retirement system | 2079 |
participating in the STRS defined benefit plan | 2080 |
2081 | |
be a teacher, and who is also a member of either the public | 2082 |
employees retirement system or school employees retirement system, | 2083 |
or both, may not withdraw the member's accumulated contributions. | 2084 |
(B) On application, the state teachers retirement board shall | 2085 |
pay a member described in division (A) of this section the | 2086 |
member's accumulated contributions if either of the following | 2087 |
applies: | 2088 |
(1) The member also withdraws the member's contributions from | 2089 |
the other systems. | 2090 |
(2) The member is a participant in a PERS defined | 2091 |
contribution plan or a plan established under section | 2092 |
3309.81 of the Revised Code and has withdrawn the member's | 2093 |
contributions under | 2094 |
plan described in sections
| 2095 |
3309.70 of the Revised Code. | 2096 |
Sec. 3307.562. (A) As used in this section and section | 2097 |
3307.66 of the Revised Code: | 2098 |
(1) "Child" means a biological or legally adopted child of a | 2099 |
deceased member. If a court hearing for an interlocutory decree | 2100 |
for adoption was held prior to the member's death, "child" | 2101 |
includes the child who was the subject of the hearing if a final | 2102 |
decree of adoption adjudging the member's spouse as the adoptive | 2103 |
parent is made subsequent to the member's death. | 2104 |
(2) "Parent" is a parent or legally adoptive parent of a | 2105 |
deceased member. | 2106 |
(3) "Dependent" means a beneficiary who receives one-half of | 2107 |
the beneficiary's support from a member during the twelve months | 2108 |
prior to the member's death. | 2109 |
(4) "Surviving spouse" means an individual who establishes a | 2110 |
valid marriage to a member at the time of the member's death by | 2111 |
marriage certificate or pursuant to division (E) of this section. | 2112 |
(5) "Survivor" means a spouse, child, or dependent parent. | 2113 |
(B) Except as provided in division (B) of section 3307.563 or | 2114 |
division (G)(1) of section 3307.66 of the Revised Code, should a | 2115 |
member who is participating in the STRS defined benefit plan | 2116 |
2117 | |
before service retirement, the member's accumulated contributions, | 2118 |
plus an amount calculated in accordance with section 3307.563 of | 2119 |
the Revised Code, and any amounts owed and unpaid to a disability | 2120 |
benefit recipient shall be paid to such beneficiaries as the | 2121 |
member has nominated by written designation signed by the member | 2122 |
and | 2123 |
prior to death. A member may designate two or more persons as | 2124 |
beneficiaries to be paid the amount determined under this | 2125 |
division. On and after July 1, 2013, and subject to rules adopted | 2126 |
by the board, a member who designates two or more persons as | 2127 |
beneficiaries shall specify the percentage of the amount that each | 2128 |
beneficiary is to be paid. If the member has not specified the | 2129 |
percentages, the amount shall be divided equally among the | 2130 |
beneficiaries. If a designated beneficiary is deceased, the amount | 2131 |
allocated to the deceased beneficiary shall be allocated to the | 2132 |
remaining beneficiaries based on each remaining beneficiary's | 2133 |
initial percentage. The nomination of beneficiary shall be on a | 2134 |
form provided by the retirement board. The last nomination of any | 2135 |
beneficiary revokes all previous nominations. The member's | 2136 |
marriage, divorce, marriage dissolution, legal separation, or | 2137 |
withdrawal of account, or the birth of the member's child, or the | 2138 |
member's adoption of a child, shall constitute an automatic | 2139 |
revocation of the member's previous designation. If a deceased | 2140 |
member was also a member of the public employees retirement system | 2141 |
or the school employees retirement system, the beneficiary last | 2142 |
established among the systems shall be the sole beneficiary in all | 2143 |
the systems. | 2144 |
Any beneficiary ineligible for monthly survivor benefits as | 2145 |
provided by section 3307.66 of the Revised Code may waive in | 2146 |
writing all claim to any benefits and such waiver shall thereby | 2147 |
put in effect the succession of beneficiaries under division (C) | 2148 |
of this section, provided the beneficiary thereunder is | 2149 |
immediately eligible and agrees in writing to accept survivor | 2150 |
benefits as provided by section 3307.66 of the Revised Code. If | 2151 |
the accumulated contributions of a deceased member are not claimed | 2152 |
by a beneficiary, or by the estate of the deceased member, within | 2153 |
ten years, they shall be transferred to the guarantee fund and | 2154 |
thereafter paid to such beneficiary or to the member's estate upon | 2155 |
application to the board. The board shall formulate and adopt | 2156 |
rules governing all designations of beneficiaries. | 2157 |
(C) Except as provided in division (G)(1) of section 3307.66 | 2158 |
of the Revised Code, if a member dies before service retirement | 2159 |
and is not survived by a designated beneficiary, any beneficiaries | 2160 |
shall qualify, in the following order of precedence, with all | 2161 |
attendant rights and privileges: | 2162 |
(1) Surviving spouse; | 2163 |
(2) Children, share and share alike; | 2164 |
(3) A dependent parent, if that parent elects to take | 2165 |
survivor benefits under division (C)(2) of section 3307.66 of the | 2166 |
Revised Code; | 2167 |
(4) Parents, share and share alike; | 2168 |
(5) Estate. | 2169 |
If any survivor dies before payment is made under this | 2170 |
section or is not located prior to the ninety-first day after the | 2171 |
board receives notification of the member's death, the survivor | 2172 |
next in order of precedence shall qualify as a beneficiary, | 2173 |
provided that benefits under division (C)(2) of section 3307.66 of | 2174 |
the Revised Code are elected. In the event that the beneficiary | 2175 |
originally determined is subsequently located, the beneficiary may | 2176 |
qualify for benefits under division (C)(2) of section 3307.66 of | 2177 |
the Revised Code upon meeting the conditions of eligibility set | 2178 |
forth in division (B) of that section, but in no case earlier than | 2179 |
the first day of the month following application by such | 2180 |
beneficiary. Any payment made to a beneficiary as determined by | 2181 |
the board shall be a full discharge and release to the board from | 2182 |
any future claims. | 2183 |
(D)(1) Any amount due any person, as an annuitant, receiving | 2184 |
a monthly benefit, and unpaid to the annuitant at death, shall be | 2185 |
paid to the beneficiary named by written designation signed by the | 2186 |
annuitant and | 2187 |
board prior to death. If no such designation has been filed, or if | 2188 |
the beneficiary designated is deceased or is not located prior to | 2189 |
the ninety-first day after the board receives notification of the | 2190 |
annuitant's death, such amount shall be paid, in the following | 2191 |
order of precedence to the annuitant's: | 2192 |
| 2193 |
| 2194 |
| 2195 |
| 2196 |
(2) If there is no beneficiary under division (D)(1) of this | 2197 |
section, an amount not exceeding the cost of the annuitant's | 2198 |
burial expenses may be paid to the person responsible for the | 2199 |
burial expenses. | 2200 |
For purposes of this division an "annuitant" is the last | 2201 |
person who received a monthly benefit pursuant to the plan of | 2202 |
payment selected by the former member. Such payment shall be a | 2203 |
full discharge and release to the board from any future claim for | 2204 |
such payment. | 2205 |
(E) If the validity of marriage cannot be established to the | 2206 |
satisfaction of the board for the purpose of disbursing any amount | 2207 |
due under this section or section 3307.66 of the Revised Code, the | 2208 |
board may accept a decision rendered by a court having | 2209 |
jurisdiction in the state in which the member was domiciled at the | 2210 |
time of death that the relationship constituted a valid marriage | 2211 |
at the time of death, or the "spouse" would have the same status | 2212 |
as a widow or widower for purposes of sharing the distribution of | 2213 |
the member's intestate personal property. | 2214 |
(F) As used in this division, "recipient" means an individual | 2215 |
who is receiving or may be eligible to receive an allowance or | 2216 |
benefit under this chapter based on the individual's service to an | 2217 |
employer. | 2218 |
If the death of a member, a recipient, or any individual who | 2219 |
would be eligible to receive an allowance or benefit under this | 2220 |
chapter by virtue of the death of a member or recipient is caused | 2221 |
by one of the following beneficiaries, no amount due under this | 2222 |
chapter to the beneficiary shall be paid to the beneficiary in the | 2223 |
absence of a court order to the contrary filed with the board: | 2224 |
(1) A beneficiary who is convicted of, pleads guilty to, or | 2225 |
is found not guilty by reason of insanity of a violation of or | 2226 |
complicity in the violation of either of the following: | 2227 |
(a) Section 2903.01, 2903.02, or 2903.03 of the Revised Code; | 2228 |
(b) An existing or former law of any other state, the United | 2229 |
States, or a foreign nation that is substantially equivalent to | 2230 |
section 2903.01, 2903.02, or 2903.03 of the Revised Code; | 2231 |
(2) A beneficiary who is indicted for a violation of or | 2232 |
complicity in the violation of the sections or laws described in | 2233 |
division (F)(1)(a) or (b) of this section and is adjudicated | 2234 |
incompetent to stand trial; | 2235 |
(3) A beneficiary who is a juvenile found to be a delinquent | 2236 |
child by reason of committing an act that, if committed by an | 2237 |
adult, would be a violation of or complicity in the violation of | 2238 |
the sections or laws described in division (F)(1)(a) or (b) of | 2239 |
this section. | 2240 |
Sec. 3307.563. For the purposes of this section, "service | 2241 |
credit" includes only service credit obtained pursuant to sections | 2242 |
3307.53, 3307.71, 3307.712, 3307.72, and 3307.77 of the Revised | 2243 |
Code. | 2244 |
(A) The state teachers retirement system shall add to a | 2245 |
member's accumulated contributions to be paid under section | 2246 |
3307.56 or 3307.562 of the Revised Code an amount paid from the | 2247 |
employers' trust fund equal to one of the following: | 2248 |
(1) If the member has less than three full years of service | 2249 |
credit, an amount equal to interest on the member's accumulated | 2250 |
contributions, compounded annually, at a rate not greater than | 2251 |
four per cent established by the board; | 2252 |
(2) If the member has three or more full years of service | 2253 |
credit, but less than five full years, an amount equal to interest | 2254 |
on the member's accumulated contributions, compounded annually, at | 2255 |
a rate not greater than six per cent established by the board; | 2256 |
(3) If the member has five or more full years of service | 2257 |
credit, the sum of the following amounts: | 2258 |
(a) An amount equal to interest on the member's accumulated | 2259 |
contributions, compounded annually, at a rate not greater than six | 2260 |
per cent established by the board; | 2261 |
(b) An amount equal to fifty per cent of the sum of the | 2262 |
member's contributions under section 3307.26, any contributions | 2263 |
restored under section 3307.71 of the Revised Code to the extent | 2264 |
that the amount paid to restore the credit included amounts | 2265 |
received by the member under division (A)(3)(b) of this section, | 2266 |
and contributions deducted under division (C) of section 3307.77 | 2267 |
of the Revised Code plus interest on that amount at a rate not | 2268 |
greater than six per cent established by the board. | 2269 |
Interest for each year included in the calculation under this | 2270 |
section shall be calculated from the first day of the following | 2271 |
year to the last day of the month preceding payment under section | 2272 |
3307.56 or 3307.562 of the Revised Code. | 2273 |
(B) Notwithstanding sections 3307.56 and 3307.562 of the | 2274 |
Revised Code, neither a member who returned to contributing | 2275 |
service after receiving disability benefits nor the beneficiaries, | 2276 |
survivors, | 2277 |
disability benefits prior to death is eligible for the payment of | 2278 |
any amount calculated under this section. | 2279 |
Sec. 3307.57. To coordinate and integrate membership in the | 2280 |
state retirement systems, the following provisions apply: | 2281 |
(A) As used in this section: | 2282 |
(1) "Retirement systems" means the public employees | 2283 |
retirement system, state teachers retirement system, and school | 2284 |
employees retirement system. | 2285 |
(2) In addition to the meaning given in section 3307.50 of | 2286 |
the Revised Code, "disability benefit" means "disability benefit" | 2287 |
as defined in sections 145.01 and 3309.01 of the Revised Code; | 2288 |
(3) "Actuarial assumption rate" means the investment rate of | 2289 |
return assumed for projecting assets in the STRS defined benefit | 2290 |
plan. | 2291 |
(B) At the option of a member participating in the STRS | 2292 |
defined benefit plan
| 2293 |
2294 | |
retirement systems, including amounts paid to restore service | 2295 |
credit under sections 145.311, 3307.711, and 3309.261 of the | 2296 |
Revised Code, shall be used in determining the eligibility for | 2297 |
benefits. If total contributions and service credit are combined, | 2298 |
the following provisions apply: | 2299 |
(1) Service retirement or a disability benefit is effective | 2300 |
on the first day of the month next following the later of: | 2301 |
(a) The last day for which compensation was paid; | 2302 |
(b) The attainment of minimum age or service credit for | 2303 |
benefits provided under this section. | 2304 |
(2) "Total service credit" includes the total credit in all | 2305 |
retirement systems except that such credit shall not exceed one | 2306 |
year for any period of twelve months. | 2307 |
(3) | 2308 |
benefit | 2309 |
the board of | 2310 |
calculate and pay the | 2311 |
2312 | |
(B)(4) of this section. The state retirement system calculating | 2313 |
and paying the disability benefit shall certify the determination | 2314 |
to the board of each other state retirement system in which the | 2315 |
member has service credit and shall be accepted by that board as | 2316 |
sufficient for granting a disability benefit. | 2317 |
(4) The board of the state retirement system in which the | 2318 |
member had the greatest service credit, without adjustment, shall | 2319 |
2320 | |
credit is equal in two or more retirement systems, the system | 2321 |
having the member's largest total contributions shall | 2322 |
calculate and pay the total benefit. | 2323 |
(5) In determining the total credit to be used in calculating | 2324 |
a benefit, credit shall not be reduced below that certified by the | 2325 |
system or systems transferring credit, except that such total | 2326 |
combined service credit shall not exceed one year of credit for | 2327 |
any one "year" as defined in the statute governing the system | 2328 |
making the calculation. | 2329 |
(6)(a) The retirement system | 2330 |
paying the benefit shall receive from the other system or systems | 2331 |
2332 | |
2333 | |
2334 | |
2335 | |
2336 | |
2337 | |
2338 | |
2339 | |
2340 | |
2341 | |
2342 | |
2343 | |
service: | 2344 |
(i) The amount contributed by the member, or, in the case of | 2345 |
service credit purchased by the member, paid by the member, that | 2346 |
is attributable to the year of service; | 2347 |
(ii) An amount equal to the lesser of the employer's | 2348 |
contributions made on behalf of the member to the retirement | 2349 |
system for that year of service or the amount that would have been | 2350 |
contributed by the employer for the service had the member been a | 2351 |
member of the state teachers retirement system at the time the | 2352 |
credit was earned; | 2353 |
(iii) If applicable, an amount equal to the amount paid on | 2354 |
behalf of the member by an employer under section 145.483 of the | 2355 |
Revised Code; | 2356 |
(iv) Interest compounded annually on the amounts specified in | 2357 |
divisions (B)(6)(a)(i), (ii), and (iii) of this section at the | 2358 |
lesser of the actuarial assumption rate for that year of the state | 2359 |
teachers retirement system or the other retirement system or | 2360 |
systems transferring amounts under this section. | 2361 |
| 2362 |
retirement system making the calculation and paying the benefit | 2363 |
shall be applicable. | 2364 |
| 2365 |
with guaranteed interest, upon the member's request, shall be | 2366 |
transferred to the retirement system paying the regular benefit. | 2367 |
The return upon such deposits shall be that offered by the | 2368 |
retirement system making the calculation and paying the regular | 2369 |
benefit. | 2370 |
(C) A person receiving a benefit under this section, who | 2371 |
accepts employment amenable to coverage in any retirement system | 2372 |
that participated in the person's combined benefit, shall be | 2373 |
subject to the applicable provisions of law governing such | 2374 |
re-employment. | 2375 |
If a retirant should be paid any amount to which the retirant | 2376 |
is not entitled under the applicable provisions of law governing | 2377 |
such re-employment, such amount shall be recouped by the | 2378 |
retirement system paying such benefit by utilizing any recovery | 2379 |
procedure available under the law of the retirement system | 2380 |
covering such re-employment. | 2381 |
Sec. 3307.58. | 2382 |
service credit" means credit earned under section 3307.53 or for | 2383 |
which contributions were made under section 145.47 or 3309.47 of | 2384 |
the Revised Code, credit restored under section 145.31, 3307.71, | 2385 |
or 3309.26 of the Revised Code, and credit obtained under section | 2386 |
3307.761, 3307.763, or 3307.765 of the Revised Code. | 2387 |
(B) Any member participating in the STRS defined benefit plan | 2388 |
2389 | |
has | 2390 |
combination of age
| 2391 |
service credit | 2392 |
2393 | |
filing with the state teachers retirement board a completed | 2394 |
application on a form approved by the board. | 2395 |
| 2396 |
a member is eligible to retire under this division if either of | 2397 |
the following is the case: | 2398 |
(a) The member has five or more years of qualifying service | 2399 |
credit and has attained age sixty-five; | 2400 |
(b) The member meets one of the following requirements: | 2401 |
(i) Before August 1, 2015, has thirty or more years of | 2402 |
service credit at any age; | 2403 |
(ii) On or after August 1, 2015, but before August 1, 2017, | 2404 |
has thirty-one or more years of service credit at any age; | 2405 |
(iii) On or after August 1, 2017, but before August 1, 2019, | 2406 |
has thirty-two or more years of service credit at any age; | 2407 |
(iv) On or after August 1, 2019, but before August 1, 2021, | 2408 |
has thirty-three or more years of service credit at any age; | 2409 |
(v) On or after August 1, 2021, but before August 1, 2023, | 2410 |
has thirty-four or more years of service credit at any age; | 2411 |
(vi) On or after August 1, 2023, but before August 1, 2026, | 2412 |
has thirty-five or more years of service credit at any age; | 2413 |
(vii) On or after August 1, 2026, has thirty-five or more | 2414 |
years of service credit and has attained age sixty. | 2415 |
(2) Except as provided in division (B)(3) of this section, a | 2416 |
member is eligible to retire under this division if either of the | 2417 |
following is the case: | 2418 |
(a) The member has five or more years of qualifying service | 2419 |
credit and has attained age sixty; | 2420 |
(b) The member meets one of the following requirements: | 2421 |
(i) Before August 1, 2015, has twenty-five or more years of | 2422 |
service credit and has attained age fifty-five; | 2423 |
(ii) On or after August 1, 2015, but before August 1, 2017, | 2424 |
has twenty-six or more years of service credit and has attained | 2425 |
age fifty-five or has thirty or more years of service credit at | 2426 |
any age; | 2427 |
(iii) On or after August 1, 2017, but before August 1, 2019, | 2428 |
has twenty-seven or more years of service credit and has attained | 2429 |
age fifty-five or has thirty or more years of service credit at | 2430 |
any age; | 2431 |
(iv) On or after after August 1, 2019, but before August 1, | 2432 |
2021, has twenty-eight or more years of service credit and has | 2433 |
attained age fifty-five or has thirty or more years of service | 2434 |
credit at any age; | 2435 |
(v) On or after August 1, 2021, but before August 1, 2023, | 2436 |
has twenty-nine or more years of service credit and has attained | 2437 |
age fifty-five or has thirty or more years of service credit at | 2438 |
any age; | 2439 |
(vi) On or after August 1, 2023, has thirty or more years of | 2440 |
service credit at any age. | 2441 |
(3) The board may adjust the retirement eligibility | 2442 |
requirements of this section if the board's actuary, in its annual | 2443 |
actuarial valuation required by section 3307.51 of the Revised | 2444 |
Code or in other evaluations conducted under that section, | 2445 |
determines that an adjustment does not materially impair the | 2446 |
fiscal integrity of the retirement system or is necessary to | 2447 |
preserve the fiscal integrity of the system. | 2448 |
(C) Service retirement shall be effective on the first day of | 2449 |
the month next following the later of: | 2450 |
(1) The last day for which compensation was paid; or | 2451 |
(2) The attainment of minimum age or service credit | 2452 |
eligibility for benefits provided under this section. | 2453 |
| 2454 |
2455 | |
2456 |
| 2457 |
provided in division
| 2458 |
lifetime benefit of a member whose retirement effective date is | 2459 |
before August 1, 2013, shall be the greater of the amounts | 2460 |
determined by the member's Ohio service credit multiplied by one | 2461 |
of the following: | 2462 |
| 2463 |
| 2464 |
(i) For each of the first thirty years of Ohio service | 2465 |
credit, two and two-tenths per cent of the member's final average | 2466 |
salary or, subject to the limitation described in division | 2467 |
2468 | |
of the member's final average salary if the member has thirty-five | 2469 |
or more years of service credit under section 3307.48, 3307.53, | 2470 |
3307.57, 3307.75, 3307.751, 3307.752, 3307.761, 3307.763, | 2471 |
3307.765, 3307.77, or 3307.771 of the Revised Code, division | 2472 |
(A)(2) or (B) of former section 3307.513 of the Revised Code, | 2473 |
former section 3307.514 of the Revised Code, section 3307.72 of | 2474 |
the Revised Code earned after July 1, 1978, or any combination of | 2475 |
service credit under those sections; | 2476 |
(ii) For each year or fraction of a year of Ohio service | 2477 |
credit in excess of thirty years, two and two-tenths per cent of | 2478 |
the member's final average salary or, subject to the limitation | 2479 |
described in division | 2480 |
member has more than thirty years service credit under section | 2481 |
3307.48, 3307.53, 3307.57, 3307.75, 3307.751, 3307.752, 3307.761, | 2482 |
3307.763, 3307.765, 3307.77, or 3307.771 of the Revised Code, | 2483 |
division (A)(2) or (B) of former section 3307.513 of the Revised | 2484 |
Code, former section 3307.514 of the Revised Code, section 3307.72 | 2485 |
of the Revised Code earned after July 1, 1978, or any combination | 2486 |
of service credit under those sections, the per cent of final | 2487 |
average salary shown in the following schedule for each | 2488 |
corresponding year or fraction of a year of service credit under | 2489 |
those sections that is in excess of thirty years: | 2490 |
Year | Per | Year | Per | 2491 | |
of | Cent | of | Cent | 2492 | |
Service | for that | Service | for that | 2493 | |
Credit | Year | Credit | Year | 2494 | |
30.01 - 31.00 | 2.5% | 35.01 - 36.00 | 3.0% | 2495 | |
31.01 - 32.00 | 2.6 | 36.01 - 37.00 | 3.1 | 2496 | |
32.01 - 33.00 | 2.7 | 37.01 - 38.00 | 3.2 | 2497 | |
33.01 - 34.00 | 2.8 | 38.01 - 39.00 | 3.3 | 2498 | |
34.01 - 35.00 | 2.9 | 2499 |
For purposes of this schedule, years of service credit shall be | 2500 |
rounded to the nearest one-hundredth of a year. | 2501 |
| 2502 |
section, a percentage of final average salary in excess of two and | 2503 |
two-tenths per cent shall be applied to service credit under | 2504 |
section 3307.57 of the Revised Code only if the service credit was | 2505 |
established under section 145.30, 145.301, 145.302, 145.47, | 2506 |
145.483, 3309.02, 3309.021, 3309.022, or 3309.47 of the Revised | 2507 |
Code or restored under section 145.31 or 3309.26 of the Revised | 2508 |
Code. | 2509 |
| 2510 |
the annual single lifetime benefit of a member whose retirement | 2511 |
effective date is on or after August 1, 2013, but before August 1, | 2512 |
2015, shall be the amount determined by the member's Ohio service | 2513 |
credit multiplied by the sum of the following amounts: | 2514 |
(i) For each of the first thirty years of Ohio service | 2515 |
credit, two and two-tenths per cent of the member's final average | 2516 |
salary or, subject to the limitation described in division | 2517 |
(D)(2)(b) of this section, two and five-tenths per cent of the | 2518 |
member's final average salary if the member has thirty-five or | 2519 |
more years of service credit under section 3307.53, 3307.57, | 2520 |
3307.75, 3307.751, 3307.752, 3307.761, 3307.763, 3307.77, or | 2521 |
3307.771 of the Revised Code, division (A)(2) or (B) of former | 2522 |
section 3307.513 of the Revised Code, former section 3307.514 of | 2523 |
the Revised Code, section 3307.72 of the Revised Code earned after | 2524 |
July 1, 1978, or any combination of service credit under those | 2525 |
sections; | 2526 |
(ii) For each year or fraction of a year of Ohio service | 2527 |
credit in excess of thirty years, two and two-tenths per cent of | 2528 |
the member's final average salary or, subject to the limitation | 2529 |
described in division (D)(2)(b) of this section, if the member has | 2530 |
more than thirty years service credit under section 3307.53, | 2531 |
3307.57, 3307.75, 3307.751, 3307.752, 3307.761, 3307.763, 3307.77, | 2532 |
or 3307.771 of the Revised Code, division (A)(2) or (B) of former | 2533 |
section 3307.513 of the Revised Code, former section 3307.514 of | 2534 |
the Revised Code, section 3307.72 of the Revised Code earned after | 2535 |
July 1, 1978, or any combination of service credit under those | 2536 |
sections, the per cent of final average salary shown in the | 2537 |
following schedule for each corresponding year or fraction of a | 2538 |
year of service credit under those sections that is in excess of | 2539 |
thirty years: | 2540 |
Year | Per | Year | Per | 2541 | |
of | Cent | of | Cent | 2542 | |
Service | for that | Service | for that | 2543 | |
Credit | Year | Credit | Year | 2544 | |
30.01 - 31.00 | 2.5% | 35.01 - 36.00 | 3.0% | 2545 | |
31.01 - 32.00 | 2.6 | 36.01 - 37.00 | 3.1 | 2546 | |
32.01 - 33.00 | 2.7 | 37.01 - 38.00 | 3.2 | 2547 | |
33.01 - 34.00 | 2.8 | 38.01 - 39.00 | 3.3 | 2548 | |
34.01 - 35.00 | 2.9 | 2549 |
For purposes of this schedule, years of service credit shall be | 2550 |
rounded to the nearest one-hundredth of a year. | 2551 |
(b) For purposes of division (D)(2)(a)(ii) of this section, a | 2552 |
percentage of final average salary in excess of two and two-tenths | 2553 |
per cent shall be applied to service credit under section 3307.57 | 2554 |
of the Revised Code only if the service credit was established | 2555 |
under section 145.30, 145.301, 145.302, 145.47, 145.483, 3309.02, | 2556 |
3309.021, 3309.022, or 3309.47 of the Revised Code or restored | 2557 |
under section 145.31 or 3309.26 of the Revised Code. | 2558 |
(3) Except as provided in division (E) of this section, the | 2559 |
annual single lifetime benefit of a member whose retirement | 2560 |
effective date is on or after August 1, 2015, shall be the amount | 2561 |
determined by the member's service credit multiplied by two and | 2562 |
two-tenths of the member's final average salary. | 2563 |
(E)(1) The annual single lifetime benefit of a member | 2564 |
2565 | |
whose service retirement is effective before August 1, 2015, shall | 2566 |
be adjusted by the greater per cent shown in the following | 2567 |
schedule opposite the member's attained age or Ohio service | 2568 |
credit. | 2569 |
Years of | Per Cent | 2570 | |||
Attained | or | Ohio Service | of Base | 2571 | |
Age | Credit | Amount | 2572 | ||
58 | 25 | 75% | 2573 | ||
59 | 26 | 80 | 2574 | ||
60 | 27 | 85 | 2575 | ||
61 | 88 | 2576 | |||
28 | 90 | 2577 | |||
62 | 91 | 2578 | |||
63 | 94 | 2579 | |||
29 | 95 | 2580 | |||
64 | 97 | 2581 | |||
65 | 30 or more | 100 | 2582 |
| 2583 |
2584 | |
2585 |
2586 | |||||
2587 | |||||
2588 | |||||
2589 | |||||
2590 | |||||
2591 | |||||
2592 | |||||
2593 |
| 2594 |
described in division (B)(2) of this section whose service | 2595 |
retirement is effective on or after August 1, 2015, shall be | 2596 |
reduced by a percentage determined by the board's actuary for each | 2597 |
year the member retires before attaining the applicable age and | 2598 |
service credit specified in division (B)(1) of this section. The | 2599 |
board's actuary may use an actuarially based average percentage | 2600 |
reduction for this purpose. | 2601 |
(F) Notwithstanding any other provision of this section, on | 2602 |
application, a member who, as of July 1, 2015, has five or more | 2603 |
years of Ohio service credit and has attained age sixty, has | 2604 |
twenty-five or more years of Ohio service credit and has attained | 2605 |
age fifty-five, or has thirty or more years of Ohio service credit | 2606 |
shall be granted service retirement according to former section | 2607 |
3307.58 of the Revised Code as in effect immediately prior to the | 2608 |
effective date of this amendment. The member's benefit shall be | 2609 |
the greater of the amount the member would have been eligible for | 2610 |
had the member retired effective July 1, 2015, or the amount | 2611 |
determined under division (D)(3) of this section. | 2612 |
(G) The annual single lifetime benefit determined under | 2613 |
division | 2614 |
of one hundred per cent of the final average salary or the limit | 2615 |
established by section 415 of the "Internal Revenue Code of 1986," | 2616 |
100 Stat. 2085, 26 U.S.C.A. 415, as amended. | 2617 |
| 2618 |
retirement effective date is before August 1, 2013, shall be the | 2619 |
greater of the amounts determined under division (D)(1) or (E)(1) | 2620 |
of this section as appropriate or under this division. The benefit | 2621 |
shall not exceed the lesser of the sum of the following amounts or | 2622 |
the limit established by section 415 of the "Internal Revenue Code | 2623 |
of 1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended: | 2624 |
(1) An annuity with a reserve equal to the member's | 2625 |
accumulated contributions; | 2626 |
(2) A pension equal to the amount in division | 2627 |
this section; | 2628 |
(3) An additional pension of forty dollars annually | 2629 |
multiplied by the number of years of prior and military service | 2630 |
credit, except years of credit purchased under section 3307.751 or | 2631 |
3307.752 of the Revised Code | 2632 |
| 2633 |
2634 | |
2635 | |
2636 | |
2637 |
| 2638 |
section 3307.48 of the Revised Code and the member's retirement | 2639 |
under this section is effective on the first day of the month | 2640 |
following the last day for which the disability benefit was paid, | 2641 |
the member's annual single lifetime benefit determined under | 2642 |
division (D) or (E) of this section shall be increased by a | 2643 |
percentage equal to the total of any percentage increases the | 2644 |
member received under section 3307.67 of the Revised Code, plus | 2645 |
any additional amount the member received under this chapter while | 2646 |
receiving the disability benefit. The increase shall be based on | 2647 |
the plan of payment selected by the member under section 3307.60 | 2648 |
of the Revised Code. However, the benefit used to calculate any | 2649 |
future increases under section 3307.67 of the Revised Code shall | 2650 |
be based on the plan of payment selected by the member, plus any | 2651 |
additional amount added to the benefit determined under this | 2652 |
division that established a new base benefit to the member. | 2653 |
(J) Benefits determined under this section shall be paid as | 2654 |
provided in section 3307.60 of the Revised Code. | 2655 |
Sec. 3307.59. (A) A recipient of a disability allowance | 2656 |
under section 3307.631 of the Revised Code | 2657 |
2658 | |
section may make application for service retirement under this | 2659 |
section. | 2660 |
day of the first month following the last day for which the | 2661 |
disability allowance is paid. | 2662 |
(B) The annual allowance payable under this section shall | 2663 |
consist of the sum of the amounts determined under divisions | 2664 |
(B)(1) and (2) of this section: | 2665 |
(1) The greater of the following: | 2666 |
(a) An allowance calculated as provided in section 3307.58 of | 2667 |
the Revised Code, excluding any period during which the applicant | 2668 |
received a disability benefit under section 3307.631 of the | 2669 |
Revised Code; | 2670 |
(b) An allowance calculated by multiplying the applicant's | 2671 |
total service credit, including service credit for the last | 2672 |
continuous period during which the applicant received a disability | 2673 |
benefit under section 3307.631 of the Revised Code, by two and | 2674 |
two-tenths per cent of the applicant's final average salary, | 2675 |
except that the allowance shall be determined without application | 2676 |
of division (B) of section 3307.501 of the Revised Code and shall | 2677 |
not exceed forty-five per cent of the applicant's final average | 2678 |
salary. | 2679 |
(2) | 2680 |
of this section adjusted for the plan of payment selected by the | 2681 |
member under section 3307.60 of the Revised Code, an amount equal | 2682 |
to the additional allowance the recipient would receive under | 2683 |
section 3307.67 of the Revised Code, plus any other additional | 2684 |
amount the recipient would receive under this chapter, | 2685 |
2686 | |
2687 | |
continuous period of receipt of a disability benefit under section | 2688 |
3307.631 of the Revised Code. | 2689 |
(C) The allowance calculated under division (B) of this | 2690 |
section adjusted for the plan of payment selected by the member | 2691 |
under section 3307.60 of the Revised Code, exclusive of any amount | 2692 |
added under division (B)(2) of this section based on section | 2693 |
3307.67 of the Revised Code, shall be the base for all future | 2694 |
additional allowances under section 3307.67 of the Revised Code. | 2695 |
The anniversary date for future additional allowances under | 2696 |
section 3307.67 of the Revised Code shall be the effective date of | 2697 |
the recipient's most recent continuous period of receipt of a | 2698 |
disability benefit under section 3307.631 of the Revised Code. | 2699 |
(D) The retirement allowance determined under this section | 2700 |
shall be paid as provided in section 3307.58 of the Revised Code. | 2701 |
Sec. 3307.60. (A) Upon application for retirement as | 2702 |
provided in section 3307.58 or 3307.59 of the Revised Code, the | 2703 |
retirant may elect a plan of payment under this division or, on | 2704 |
and after the date specified in division (B) of this section, a | 2705 |
plan of payment under that division. Under this division, the | 2706 |
retirant may elect to receive a single lifetime benefit, or may | 2707 |
elect to receive the actuarial equivalent of the retirant's | 2708 |
benefit in a lesser amount, payable for life, and continuing after | 2709 |
death to a beneficiary under one of the following optional plans: | 2710 |
(1) Option 1. The retirant's lesser benefit shall be paid for | 2711 |
life to the sole beneficiary named at retirement. | 2712 |
(2) Option 2. Some other portion of the retirant's benefit | 2713 |
shall be paid for life to the sole beneficiary named at | 2714 |
retirement. The beneficiary's monthly amount shall not exceed the | 2715 |
monthly amount payable to the retirant during the retirant's | 2716 |
lifetime. | 2717 |
(3) Option 3. The retirant's lesser benefit established as | 2718 |
provided under option 1 or option 2 shall be paid for life to the | 2719 |
sole beneficiary named at retirement, except that in the event of | 2720 |
the death of the sole beneficiary or termination of a marital | 2721 |
relationship between the retirant and the sole beneficiary the | 2722 |
retirant may elect to return to a single lifetime benefit | 2723 |
equivalent as determined by the state teachers retirement board, | 2724 |
if, in the case of termination of a marital relationship, the | 2725 |
election is made with the written consent of the beneficiary or | 2726 |
pursuant to an order of the court with jurisdiction over | 2727 |
termination of the marital relationship. | 2728 |
(4) Option 4. The retirant's lesser benefit or a portion of | 2729 |
the retirant's lesser benefit shall be paid for life to two, | 2730 |
three, or four surviving beneficiaries named at retirement. The | 2731 |
portion of the allowance that continues after the member's death | 2732 |
shall be allocated among the beneficiaries at the time of the | 2733 |
member's retirement. If the retirant elects this plan as required | 2734 |
by a court order issued under section 3105.171 or 3105.65 of the | 2735 |
Revised Code or the laws of another state regarding the division | 2736 |
of marital property and compliance with the court order requires | 2737 |
the allocation of a portion less than ten per cent to any person, | 2738 |
the retirant shall allocate a portion less than ten per cent to | 2739 |
that beneficiary in accordance with that order. In all other | 2740 |
circumstances, no portion allocated under this plan of payment | 2741 |
shall be less than ten per cent. The total of the portions | 2742 |
allocated shall not exceed one hundred per cent of the retirant's | 2743 |
lesser allowance. In the event of the death of a beneficiary or | 2744 |
termination of a marital relationship between the retirant and a | 2745 |
beneficiary, the retirant may elect to cancel the portion of the | 2746 |
plan of payment providing continuing lifetime benefits to that | 2747 |
beneficiary except that, in the case of termination of a marital | 2748 |
relationship, the election may be made only with the written | 2749 |
consent of the beneficiary or pursuant to an order of the court | 2750 |
with jurisdiction over termination of the marital relationship. | 2751 |
The retirant shall receive the actuarial equivalent of the | 2752 |
remainder of the retirant's single lifetime benefit based on the | 2753 |
number of remaining beneficiaries, with no change in the amount | 2754 |
payable to any remaining beneficiary. | 2755 |
(5) Option 5. Upon the retirant's death before the expiration | 2756 |
of a certain period from the retirement date and elected by the | 2757 |
retirant, and approved by the board, the retirant's benefit shall | 2758 |
be continued for the remainder of such period to the beneficiary. | 2759 |
Monthly benefits shall not be paid to joint beneficiaries, but | 2760 |
they may receive the present value of any remaining payments in a | 2761 |
lump sum settlement. If all beneficiaries die before the | 2762 |
expiration of the certain period, the present value of all | 2763 |
payments yet remaining in such period shall be paid to the estate | 2764 |
of the beneficiary last receiving. | 2765 |
(6) Option 6. A plan of payment established by the state | 2766 |
teachers retirement board combining any of the features of options | 2767 |
1, 2, and 5. | 2768 |
(B) Beginning on a date selected by the state teachers | 2769 |
retirement board, which shall be not later than July 1, 2004, a | 2770 |
retirant may elect, in lieu of a plan of payment under division | 2771 |
(A) of this section, a plan consisting of both of the following: | 2772 |
(1) A lump sum in an amount the member designates that | 2773 |
constitutes a portion of the member's single lifetime benefit; | 2774 |
(2) Either of the following: | 2775 |
(a) The remainder of the retirant's single lifetime benefit; | 2776 |
(b) The actuarial equivalent of the remainder of the | 2777 |
retirant's benefit in a lesser amount, payable for life, and | 2778 |
continuing after death to a beneficiary under one of the options | 2779 |
described in divisions (A)(1) to (6) of this section. | 2780 |
| 2781 |
2782 | |
2783 | |
2784 | |
2785 | |
2786 | |
2787 | |
2788 | |
2789 | |
2790 | |
2791 |
The amount designated by the member under division (B)(1) of | 2792 |
this section shall be not less than six times and not more than | 2793 |
thirty-six times the monthly amount that would be payable to the | 2794 |
member as a single lifetime benefit and shall not result in a | 2795 |
monthly allowance that is less than fifty per cent of that amount. | 2796 |
(C) Until the first payment is made to a former member under | 2797 |
section 3307.58 or 3307.59 of the Revised Code, the former member | 2798 |
may change the selection of a plan of payment. | 2799 |
(D)(1) If a deceased member was eligible for but had not yet | 2800 |
been awarded a service retirement benefit under section 3307.58 or | 2801 |
3307.59 of the Revised Code at the time of death, option 1 as | 2802 |
provided for in division (A)(1) of this section shall be paid to | 2803 |
the spouse or other sole dependent beneficiary. | 2804 |
(2) Beginning on a date selected by the board, which shall be | 2805 |
not later than July 1, 2004, the spouse or sole beneficiary may | 2806 |
elect, in lieu of option 1, a plan of payment consisting of both | 2807 |
of the following: | 2808 |
(a) A lump sum in an amount the spouse or other sole | 2809 |
dependent beneficiary designates that constitutes a portion of the | 2810 |
retirant's single life annuity; | 2811 |
(b) The actuarial equivalent of the remainder of the | 2812 |
retirant's single life annuity paid | 2813 |
benefit under option 1 for life to the spouse or other sole | 2814 |
dependent beneficiary. | 2815 |
The amount designated by the spouse or other sole dependent | 2816 |
beneficiary under division (D)(2)(a) of this section shall be not | 2817 |
less than six times and not more than thirty-six times the monthly | 2818 |
amount that would be payable as the retirant's single life annuity | 2819 |
and shall not result in a monthly allowance that is less than | 2820 |
fifty per cent of that monthly amount. | 2821 |
(E) If the total benefit paid under this section is less than | 2822 |
the balance in the teachers' savings fund, the difference shall be | 2823 |
paid to the beneficiary provided under division (D)(1) of section | 2824 |
3307.562 of the Revised Code. | 2825 |
(F) In the case of a retirant who elected an optional plan | 2826 |
prior to September 15, 1989: | 2827 |
(1) The death of the spouse or other designated beneficiary | 2828 |
following retirement shall, at the election of the retirant, | 2829 |
cancel any optional plan selected at retirement to provide | 2830 |
continuing lifetime benefits to the spouse or other beneficiary | 2831 |
and return the retirant to a single lifetime benefit equivalent as | 2832 |
determined by the board. | 2833 |
(2) A divorce, annulment, or marriage dissolution shall, at | 2834 |
the election of the retirant, cancel any optional plan selected at | 2835 |
retirement to provide continuing lifetime benefits to the spouse | 2836 |
as designated beneficiary and return the retirant to a single | 2837 |
lifetime benefit equivalent as determined by the board if the | 2838 |
election is made with the written consent of the beneficiary or | 2839 |
pursuant to an order of a court of common pleas or the court of | 2840 |
another state with jurisdiction over the termination of the | 2841 |
marriage. | 2842 |
(G)(1) Following marriage or remarriage, both of the | 2843 |
following apply: | 2844 |
(a) A retirant who elected to receive a single lifetime | 2845 |
benefit or an optional plan of payment under division (A)(3) or | 2846 |
(4) of this section may elect a new optional plan of payment based | 2847 |
on the actuarial equivalent of the retirant's single lifetime | 2848 |
benefit, as determined by the board | 2849 |
plan must be a plan described in division (A)(1), (2), (3), (4), | 2850 |
or (6) of this section under which only the retirant's new spouse | 2851 |
is added as a beneficiary and the application for the new plan | 2852 |
must be received by the board prior to the retirant's death. A | 2853 |
spouse may not be added if there are four beneficiaries under | 2854 |
division (A)(4) of this section that must be retained pursuant to | 2855 |
a court order described under division (H)(1)(b) of this section | 2856 |
or if the amount payable to any beneficiary pursuant to such court | 2857 |
order would be reduced. A retirant who is receiving a retirement | 2858 |
allowance under an optional plan that provides for continuation of | 2859 |
benefits after death to a former spouse | 2860 |
new optional plan of payment only with the written consent of the | 2861 |
former spouse or pursuant to an order of the court with | 2862 |
jurisdiction over the termination of the marriage, except that | 2863 |
consent of the former spouse is not required if the new optional | 2864 |
plan of payment will not affect payments to the former spouse. | 2865 |
(b) A retirant who is receiving a benefit pursuant to a plan | 2866 |
of payment providing for payment to a former spouse pursuant to a | 2867 |
court order described in division (H)(1)(b) of this section may | 2868 |
elect a new plan of payment under "option 4" with the retirant's | 2869 |
spouse as a beneficiary based on the actuarial equivalent of the | 2870 |
retirant's single lifetime retirement allowance as determined by | 2871 |
the board if the new plan of payment elected does not reduce the | 2872 |
payment to the former spouse. | 2873 |
(2) If the marriage or remarriage occurs on or after | 2874 |
2875 | |
be made not later than one year after the date of the marriage or | 2876 |
remarriage. | 2877 |
| 2878 |
(2) of this | 2879 |
receipt by the board of an application on a form approved by the | 2880 |
board | 2881 |
received by the board prior to the retirant's death. Any change in | 2882 |
the amount of the benefit shall commence on the first day of the | 2883 |
month following the effective date of the plan. | 2884 |
(H)(1) Except as otherwise provided in this division and | 2885 |
division (H)(2) of this section, an application for service | 2886 |
retirement made pursuant to section 3307.58 or 3307.59 of the | 2887 |
Revised Code by a married person shall be considered an election | 2888 |
of a benefit under option | 2889 |
(A) | 2890 |
benefit payable during the life of the retirant will be paid after | 2891 |
death to the retirant's spouse for life as sole beneficiary. The | 2892 |
exceptions are as follows: | 2893 |
(a) The retirant selects an optional plan under division (A) | 2894 |
of this section providing for payment after death to the | 2895 |
retirant's spouse for life as sole beneficiary of more than | 2896 |
one-half of the lesser benefit payable during the life of the | 2897 |
retirant. | 2898 |
(b) A plan of payment providing for payment in a specified | 2899 |
amount continuing after the retirant's death to a former spouse is | 2900 |
required by a court order issued prior to the effective date of | 2901 |
retirement under section 3105.171 or 3105.65 of the Revised Code | 2902 |
or the laws of another state regarding division of marital | 2903 |
property. | 2904 |
(c) The retirant submits to the retirement board a written | 2905 |
statement signed by the spouse attesting that the spouse consents | 2906 |
to the retirant's election to receive a single lifetime annuity or | 2907 |
a payment under an optional benefit plan under which after the | 2908 |
death of the retirant the surviving spouse will receive less than | 2909 |
one-half of the lesser benefit payable during the life of the | 2910 |
retirant. | 2911 |
(d) Any other reason specified by the board. | 2912 |
(2) If a retirant is subject to division (H)(1)(b) of this | 2913 |
section and the board has received a copy of the order described | 2914 |
in that division, the board shall accept the retirant's election | 2915 |
of a plan of payment under this section only if the retirant | 2916 |
complies with both of the following: | 2917 |
| 2918 |
accordance with the order described in division (H)(1)(b) of this | 2919 |
section. | 2920 |
| 2921 |
"option 4" and designates the retirant's current spouse as a | 2922 |
beneficiary under that plan unless that spouse consents in writing | 2923 |
to not being designated a beneficiary under any plan of payment or | 2924 |
the board waives the requirement that the current spouse consent. | 2925 |
(3) An application for retirement shall include an | 2926 |
explanation of all of the following: | 2927 |
(a) That, if the member is married, unless the spouse | 2928 |
consents to another plan of payment or there is a court order | 2929 |
dividing marital property issued under section 3105.171 or 3105.65 | 2930 |
of the Revised Code or the laws of another state regarding the | 2931 |
division of marital property that provides for payment in a | 2932 |
specified amount, the member's retirement allowance will be paid | 2933 |
under "option | 2934 |
section and consist of the actuarial equivalent of the member's | 2935 |
retirement allowance in a lesser amount payable for life and | 2936 |
one-half of the lesser allowance continuing after death to the | 2937 |
surviving spouse for the life of the spouse; | 2938 |
(b) A description of the alternative plans of payment | 2939 |
available with the consent of the spouse; | 2940 |
(c) That the spouse may consent to another plan of payment | 2941 |
and the procedure for giving consent; | 2942 |
(d) That consent is irrevocable once notice of consent is | 2943 |
filed with the board. | 2944 |
Consent shall be valid only if it is signed, in writing, and | 2945 |
witnessed by a notary public. | 2946 |
(4) If the retirant does not select an optional plan of | 2947 |
payment as described in division (H)(1)(a) of this section, no | 2948 |
court has ordered a plan of payment described in division | 2949 |
(H)(1)(b) of this section, and the board does not receive the | 2950 |
written statement provided for in division (H)(1)(c) of this | 2951 |
section, the board shall determine and pay the retirement | 2952 |
allowance in accordance with this division, except that the board | 2953 |
may provide by rule for waiver by the board of the statement and | 2954 |
payment of the benefits other than in accordance with this | 2955 |
division or payment under section 3307.56 of the Revised Code if | 2956 |
the retirant is unable to obtain the statement due to absence or | 2957 |
incapacity of the spouse or other cause specified by the board. | 2958 |
(I) For the purpose of determining actuarial equivalence | 2959 |
under this section, on the advice of an actuary employed by the | 2960 |
board, the board shall adopt mortality tables that may take into | 2961 |
consideration the membership experience of the state teachers | 2962 |
retirement system and may also include the membership experience | 2963 |
of the public employees retirement system and the school employees | 2964 |
retirement system. | 2965 |
Sec. 3307.62. | 2966 |
service credit" has the same meaning as in section 3307.58 of the | 2967 |
Revised Code. | 2968 |
(A) The state teachers retirement system shall provide | 2969 |
disability coverage to each member participating in the STRS | 2970 |
defined benefit plan
| 2971 |
2972 |
(1) If the member earned service credit before July 1, 2013, | 2973 |
has at least five years of | 2974 |
(2) If the member did not earn any service credit before July | 2975 |
1, 2013, has at least ten years of qualifying service credit. | 2976 |
Not later than October 16, 1992, the state teachers | 2977 |
retirement board shall give each person who is a member on July | 2978 |
29, 1992, the opportunity to elect disability coverage either | 2979 |
under former section 3307.43 of the Revised Code or under former | 2980 |
section 3307.431 of the Revised Code. The board shall mail notice | 2981 |
of the election, accompanied by an explanation of the coverage | 2982 |
under each of the Revised Code sections and a form on which the | 2983 |
election is to be made, to each member at the member's last known | 2984 |
address. The board shall also provide the explanation and form to | 2985 |
any member on the member's request. | 2986 |
Regardless of whether the member actually receives notice of | 2987 |
the right to make an election, a member who fails to file a valid | 2988 |
election under this section shall be considered to have elected | 2989 |
disability coverage under section 3307.63 of the Revised Code. To | 2990 |
be valid, an election must be made on the form provided by the | 2991 |
board, signed by the member, and filed with the board not later | 2992 |
than one hundred eighty days after the date the notice was mailed, | 2993 |
or, in the case of a form provided at the request of a member, a | 2994 |
date specified by rule of the board. Once made, an election is | 2995 |
irrevocable, but if the member ceases to be a member of the | 2996 |
system, the election is void. If a person who makes an election | 2997 |
under this section also makes an election under section 145.35 or | 2998 |
3309.39 of the Revised Code, the election made for the system that | 2999 |
pays a disability benefit to that person shall govern the benefit. | 3000 |
Disability coverage shall be provided under section 3307.631 | 3001 |
of the Revised Code for persons who become members after July 29, | 3002 |
1992, and for members who elect under this division to be covered | 3003 |
under section 3307.631 of the Revised Code. | 3004 |
The board may adopt rules governing elections made under this | 3005 |
division. | 3006 |
(B) Application for a disability benefit may be made by a | 3007 |
member, by a person acting in the member's behalf, or by the | 3008 |
member's employer | 3009 |
3010 | |
3011 | |
coverage under | 3012 |
division (A) of this section.
| 3013 |
The application for a disability benefit shall be made on a | 3014 |
form approved by the board. The benefit payable to any member | 3015 |
whose application is approved shall become effective on the first | 3016 |
day of the month next following the later of the following: | 3017 |
(1) The last day for which compensation was paid; | 3018 |
(2) The attainment of eligibility for a disability benefit. | 3019 |
(C) Medical examination of the member shall be conducted by a | 3020 |
competent, disinterested physician or physicians selected by the | 3021 |
board to determine whether the member is mentally or physically | 3022 |
incapacitated for the performance of duty by a disabling | 3023 |
condition, either permanent or presumed to be permanent for twelve | 3024 |
continuous months following the filing of an application. The | 3025 |
disability must have occurred since last becoming a member, or it | 3026 |
must have increased since last becoming a member to such an extent | 3027 |
as to make the disability permanent or presumably permanent for | 3028 |
twelve continuous months following the filing of an application. | 3029 |
(D) Application for a disability benefit must be made within | 3030 |
3031 | |
contributing service terminated, unless the board determines that | 3032 |
the member's medical records demonstrate conclusively that at the | 3033 |
time the | 3034 |
mentally incapacitated | 3035 |
application, except that if the member did not earn any service | 3036 |
credit before July 1, 2013, application must be made within a | 3037 |
one-year period from the date contributing service terminated. | 3038 |
Application may not be made by any person receiving service | 3039 |
retirement benefits under section 3307.58 or 3307.59 of the | 3040 |
Revised Code or any person whose accumulated contributions | 3041 |
standing to the credit of the person's individual account in the | 3042 |
teachers' savings fund have been paid under section 3307.56 of the | 3043 |
Revised Code. | 3044 |
(E) If the physician or physicians determine that the member | 3045 |
qualifies for a disability benefit, the board concurs with the | 3046 |
determination, and the member agrees to medical treatment as | 3047 |
specified in division (G) of this section, the member shall | 3048 |
receive a disability benefit under section 3307.63 or 3307.631 of | 3049 |
the Revised Code. If such physician or physicians determine that | 3050 |
the member does not qualify for a disability benefit, the report | 3051 |
of the examiner or examiners shall be evaluated by a board of | 3052 |
medical review composed of at least three physicians appointed by | 3053 |
the retirement board. | 3054 |
(F) The state teachers retirement board shall render an order | 3055 |
determining whether or not the applicant shall be granted a | 3056 |
disability benefit. Notification to the applicant shall be issued, | 3057 |
and upon the request of an applicant who is denied a disability | 3058 |
benefit, a hearing or appeal relative to such order shall be | 3059 |
conducted in accordance with procedures established by the | 3060 |
retirement board. | 3061 |
(G) The state teachers retirement board shall adopt rules | 3062 |
requiring each disability benefit recipient, as a condition of | 3063 |
continuing to receive a disability benefit, to agree in writing to | 3064 |
obtain any medical treatment recommended by the board's physician | 3065 |
and submit medical reports regarding the treatment. If the board | 3066 |
determines that a disability benefit recipient is not obtaining | 3067 |
the medical treatment or the board does not receive a required | 3068 |
medical report, the disability benefit shall be suspended until | 3069 |
the treatment is obtained, the report is received by the board, or | 3070 |
the board's physician certifies that the treatment is no longer | 3071 |
helpful or advisable. Should the recipient's failure to obtain | 3072 |
treatment or submit a medical report continue for one year, the | 3073 |
recipient's right to the disability benefit shall be terminated as | 3074 |
of the effective date of the original suspension. | 3075 |
(H) If an employer files an application for a disability | 3076 |
benefit as a result of a member having been separated from service | 3077 |
because the member is considered to be incapacitated for the | 3078 |
performance of duty, and the board denies the disability benefit, | 3079 |
the board shall so certify to the employer and the employer shall | 3080 |
restore the member to the member's previous position and salary or | 3081 |
to a similar position and salary. | 3082 |
(I) The recipient of a disability allowance under section | 3083 |
3307.631 of the Revised Code whose allowance terminates under | 3084 |
division (C)(3) of that section due to age is not eligible to do | 3085 |
either of the following: | 3086 |
(1) Retire on disability under section 3307.63 of the Revised | 3087 |
Code; | 3088 |
(2) Receive a disability allowance under section 3307.631 of | 3089 |
the Revised Code. | 3090 |
Sec. 3307.63. A member participating in the STRS defined | 3091 |
benefit plan
| 3092 |
3093 | |
section, has not attained age sixty, and is determined by the | 3094 |
state teachers retirement board under section 3307.62 of the | 3095 |
Revised Code to qualify for a disability benefit shall be retired | 3096 |
on disability under this section. | 3097 |
Upon disability retirement, a member shall receive an annual | 3098 |
amount that shall consist of: | 3099 |
(A) An annuity having a reserve equal to the amount of the | 3100 |
member's accumulated contributions at that time; | 3101 |
(B) A pension that shall be the difference between the | 3102 |
annuity and an annual amount determined by multiplying the number | 3103 |
of years of Ohio service credit of such member, and in addition | 3104 |
the number of years and fraction of a year between the effective | 3105 |
date of the member's disability retirement and the date the member | 3106 |
attained age sixty, assuming continuous service, by eighty-six | 3107 |
dollars, or by two per cent of the member's final average salary, | 3108 |
whichever is greater. Such disability retirement shall not be less | 3109 |
than thirty per cent nor more than seventy-five per cent of the | 3110 |
member's final average salary, except that it shall not exceed any | 3111 |
limit to which the retirement system is subject under section 415 | 3112 |
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 | 3113 |
U.S.C.A. 415, as amended. | 3114 |
If the member is not receiving a disability benefit under | 3115 |
section 3307.57 of the Revised Code, but is receiving a disability | 3116 |
benefit from either the public employees retirement system or the | 3117 |
school employees retirement system, then such member shall not be | 3118 |
eligible for service credit based upon the number of years and | 3119 |
fractions thereof between the date of disability and the date the | 3120 |
member attained age sixty as otherwise provided in this section. | 3121 |
A disability retirant under this section whose disability | 3122 |
retirement has been terminated, when eligible, may apply for | 3123 |
service retirement provided by section 3307.58 of the Revised | 3124 |
Code. | 3125 |
Sec. 3307.631. (A) A member participating in the STRS | 3126 |
defined benefit plan
| 3127 |
3128 | |
and is determined by the state teachers retirement board under | 3129 |
section 3307.62 of the Revised Code to qualify for a disability | 3130 |
benefit shall receive a disability allowance under this section. | 3131 |
The allowance shall be an annual amount equal to the greater of | 3132 |
the following: | 3133 |
(1) Forty-five per cent of the member's final average salary; | 3134 |
(2) The member's total service credit multiplied by two and | 3135 |
two-tenths per cent of the member's final average salary, not | 3136 |
exceeding sixty per cent of the member's final average salary. | 3137 |
(B) Sufficient reserves for payment of the disability | 3138 |
allowance shall be transferred to the annuity and pension reserve | 3139 |
fund from the employers' trust fund. The accumulated contributions | 3140 |
of the member shall remain in the teachers' savings fund. No part | 3141 |
of the allowance paid under this section shall be charged against | 3142 |
the member's accumulated contributions. | 3143 |
(C) A disability allowance paid under this section shall | 3144 |
terminate at the earliest of the following: | 3145 |
(1) The effective date of service retirement under section | 3146 |
3307.57 or 3307.58 of the Revised Code; | 3147 |
(2) The date the allowance is terminated under section | 3148 |
3149 |
(3) The later of the last day of the month in which the | 3150 |
recipient attains age sixty-five, or the last day of the month in | 3151 |
which the benefit period ends as follows: | 3152 |
Attained Age at Effective Date | 3153 | |||
of Disability Allowance | Benefit Period | 3154 | ||
60 or 61 | 60 months | 3155 | ||
62 or 63 | 48 months | 3156 | ||
64 or 65 | 36 months | 3157 | ||
66, 67, or 68 | 24 months | 3158 | ||
69 or older | 12 months | 3159 |
Sec. 3307.66. (A) As used in this section | 3160 |
(1) "Physically or mentally incompetent" means incapable of | 3161 |
earning a living because of a physically or mentally disabling | 3162 |
condition. Physical or mental incompetency may be determined by a | 3163 |
court or by a doctor of medicine or osteopathic medicine appointed | 3164 |
by the state teachers retirement board. | 3165 |
(2) "Qualifying service credit" has the same meaning as in | 3166 |
section 3307.58 of the Revised Code. | 3167 |
(B) For the purposes of this section: | 3168 |
(1) A qualified spouse is the surviving spouse of a deceased | 3169 |
member of the state teachers retirement system participating in | 3170 |
the STRS defined benefit plan | 3171 |
3172 |
(a) | 3173 |
if the deceased member had ten or more years of Ohio service | 3174 |
credit; | 3175 |
(b) Caring for a qualified child; | 3176 |
(c) Adjudged physically or mentally incompetent at the time | 3177 |
of the member's death and has remained continuously incompetent; | 3178 |
(d) Any age if the deceased member was eligible for a service | 3179 |
retirement allowance as provided in section 3307.58 of the Revised | 3180 |
Code and the surviving spouse elects to receive a benefit under | 3181 |
division (C)(1) of this section. | 3182 |
(2) A qualified child is a person who is the child of a | 3183 |
deceased member participating in the STRS defined benefit plan | 3184 |
3185 | |
3186 |
(a) | 3187 |
(b) | 3188 |
requirements: | 3189 |
(i) Is under age eighteen | 3190 |
(ii) Is under age twenty-two if attending an institution of | 3191 |
learning or training pursuant to a program designed to complete in | 3192 |
each school year the equivalent of at least two-thirds of the | 3193 |
full-time curriculum requirements of such institution and as | 3194 |
further determined by board policy | 3195 |
(iii) Is any age if adjudged physically or mentally | 3196 |
incompetent, if the person became incompetent prior to attainment | 3197 |
of age eighteen or prior to age twenty-two if attending an | 3198 |
institution of learning or training described in division | 3199 |
(B)(2)(b)(ii) of this section, and has remained continuously | 3200 |
incompetent. | 3201 |
(3) A qualified parent is a dependent parent of a deceased | 3202 |
member participating in the STRS defined benefit plan | 3203 |
3204 | |
sixty-five or older. | 3205 |
(4) A person is a "qualified survivor" if the person | 3206 |
qualifies as a surviving spouse, child, or dependent parent. | 3207 |
(C) Except as provided in division (G)(1) of this section, in | 3208 |
lieu of accepting the payment of the accumulated account of a | 3209 |
member participating in the STRS defined benefit plan | 3210 |
3211 | |
service retirement, a beneficiary, as determined in section | 3212 |
3307.562 of the Revised Code, may elect to forfeit the accumulated | 3213 |
account and to substitute benefits under this division. | 3214 |
(1) If a deceased member was eligible for a service | 3215 |
retirement allowance as provided in section 3307.58 or 3307.59 of | 3216 |
the Revised Code, a surviving spouse or an individual designated | 3217 |
as the member's sole beneficiary pursuant to division (B) of | 3218 |
section 3307.562 of the Revised Code who was a qualified child or | 3219 |
dependent parent of the member or received one-half or more of | 3220 |
support from the member during the twelve-month period preceding | 3221 |
the member's death may elect to receive a monthly benefit computed | 3222 |
as the joint-survivor allowance designated as option 1 in section | 3223 |
3307.60 of the Revised Code, which the member would have received | 3224 |
had the member retired on the last day of the month of death and | 3225 |
had the member at that time selected such joint-survivor plan. | 3226 |
3227 | |
3228 |
(2) | 3229 |
may elect to receive monthly benefits under division (C)(2) of | 3230 |
this section if any of the following apply: | 3231 |
(i) The deceased member earned service credit before July 1, | 3232 |
2013, and had completed at least one and one-half years of | 3233 |
3234 | |
of | 3235 |
one-half years prior to the date of death, or, if the member had | 3236 |
not earned service credit before July 1, 2013, had completed at | 3237 |
least five years of qualifying service credit and died not later | 3238 |
than one year after the date contributing service terminated. | 3239 |
(ii) The member was receiving at the time of death a | 3240 |
disability benefit as provided in section 3307.63 or 3307.631 of | 3241 |
the Revised Code | 3242 |
3243 | |
3244 |
(iii) The member was receiving, within twelve months prior to | 3245 |
the date of death, a disability benefit as provided in section | 3246 |
3307.63 or 3307.631 of the Revised Code and was contributing under | 3247 |
this chapter or Chapter 145. or 3309. of the Revised Code at the | 3248 |
time of death. | 3249 |
(b) The surviving spouse or other qualified survivor shall | 3250 |
elect one of the following methods of calculating benefits elected | 3251 |
under division (C)(2) of this section, which shall, except as | 3252 |
provided in division (G)(1) of this section, remain in effect | 3253 |
without regard to any change in the number of qualified survivors: | 3254 |
Or | 3255 | |||||
|
Annual benefit as a | Monthly benefit | 3256 | |||
of qualified | per cent of member's | shall not be | 3257 | |||
survivors | final average salary | less than | 3258 |
1 | 25% | $ 96 | 3259 | ||||
2 | 40 | 186 | 3260 | ||||
3 | 50 | 236 | 3261 | ||||
4 | 55 | 236 | 3262 | ||||
5 or more | 60 | 236 | 3263 |
Annual benefit as a | 3264 | ||||
per cent of member's | 3265 | ||||
final average salary | 3266 |
20 | 29% | 3267 | |||
21 | 33 | 3268 | |||
22 | 37 | 3269 | |||
23 | 41 | 3270 | |||
24 | 45 | 3271 | |||
25 | 48 | 3272 | |||
26 | 51 | 3273 | |||
27 | 54 | 3274 | |||
28 | 57 | 3275 | |||
29 or more | 60 | 3276 |
(3)(a) If at the time of death the deceased member was | 3277 |
receiving a disability benefit under section 3307.63 or 3307.631 | 3278 |
of the Revised Code, the benefit elected under division (C)(1) or | 3279 |
(2) of this section shall be increased by a percentage equal to | 3280 |
the total of any percentage increases the member received under | 3281 |
section 3307.67 of the Revised Code, plus any additional amount | 3282 |
the member received under this chapter while receiving the | 3283 |
disability benefit. The increase shall be based on the benefit | 3284 |
determined under division (C)(1) or (2) of this section. However, | 3285 |
the benefit used to calculate any future increases under section | 3286 |
3307.67 of the Revised Code shall be the benefit determined under | 3287 |
division (C)(1) or (2) of this section. | 3288 |
(b) If eligibility for a benefit under division (C)(1) or (2) | 3289 |
of this section is not established until more than one year after | 3290 |
the member's death, the annual benefit shall be increased by a | 3291 |
percentage equal to the total of the percentage increases that | 3292 |
would have been made under section 3307.67 of the Revised Code, | 3293 |
plus any additional amount that would have been paid under this | 3294 |
chapter had the benefit begun in the year in which the member | 3295 |
died. However, the benefit used to calculate any future increases | 3296 |
under section 3307.67 of the Revised Code shall be the benefit | 3297 |
determined under division (C)(1) or (2) of this section, plus any | 3298 |
additional amounts added to the benefit determined under this | 3299 |
division that established a new base benefit to the deceased | 3300 |
member. | 3301 |
(D) If a benefit is calculated pursuant to division | 3302 |
(C)(2) | 3303 |
shall be paid in the amount determined for the first qualifying | 3304 |
survivor in division (C)(2) | 3305 |
not be less than one hundred six dollars per month if the deceased | 3306 |
member had ten or more years of | 3307 |
All other qualifying survivors shall share equally in the benefit | 3308 |
or remaining portion thereof. | 3309 |
If a benefit is calculated pursuant to division (C)(2)(b)(ii) | 3310 |
of this section and is payable to more than one qualified | 3311 |
survivor, the benefit shall be apportioned equally among the | 3312 |
qualified survivors, except that if there is a surviving spouse, | 3313 |
the portion of the benefit allocated to the surviving spouse shall | 3314 |
be as follows: | 3315 |
Number of | 3316 | ||||
survivors | Spouse's share of total benefit | 3317 | |||
2 | 62.5% | 3318 | |||
3 | 50.0% | 3319 | |||
4 | 45.45% | 3320 | |||
5 or more | 41.67% | 3321 |
(E) | 3322 |
an application for benefits payable under | 3323 |
section. Payments shall begin | 3324 |
3325 | |
3326 | |
3327 | |
3328 |
(1) If application is received not later than one year after | 3329 |
the date of the member's death, benefits shall begin on the first | 3330 |
day of the month following the date of death. | 3331 |
(2) If application is received later than one year from the | 3332 |
date of death, benefits shall begin on the first day of the month | 3333 |
immediately following receipt of application by the board. | 3334 |
Benefits to a qualified survivor shall terminate upon a first | 3335 |
marriage, abandonment, or adoption | 3336 |
3337 | |
of the month following the day the person ceases to be a qualified | 3338 |
survivor. Benefits to a deceased member's surviving spouse that | 3339 |
were terminated under a former version of this section that | 3340 |
required termination due to remarriage and were not resumed prior | 3341 |
to the effective date of this amendment shall resume on the first | 3342 |
day of the month immediately following receipt by the board of an | 3343 |
application on a form provided by the board. | 3344 |
Upon the death of any subsequent spouse who was a member of | 3345 |
the public employees retirement system, state teachers retirement | 3346 |
system, or school employees retirement system, the surviving | 3347 |
spouse of such member may elect to continue receiving benefits | 3348 |
under this division, or to receive survivor's benefits, based upon | 3349 |
the subsequent spouse's membership in one or more of the systems, | 3350 |
for which such surviving spouse is eligible under this section or | 3351 |
section 145.45 or 3309.45 of the Revised Code. If the surviving | 3352 |
spouse elects to continue receiving benefits under this division, | 3353 |
such election shall not preclude the payment of benefits under | 3354 |
this division to any other qualified survivor. | 3355 |
(F) The beneficiary of a member who is also a member of the | 3356 |
public employees retirement system, or the school employees | 3357 |
retirement system, must forfeit the member's accumulated | 3358 |
contributions in those systems, if the beneficiary elects to | 3359 |
receive a benefit under division (C) of this section. Such benefit | 3360 |
shall be exclusively governed by section 3307.57 of the Revised | 3361 |
Code. | 3362 |
(G)(1) Regardless of whether the member is survived by a | 3363 |
spouse or designated beneficiary, if the state teachers retirement | 3364 |
system receives notice that a deceased member described in | 3365 |
division (C)(1) or (2) of this section has one or more qualified | 3366 |
children, all persons who are qualified survivors under division | 3367 |
(C)(2) of this section shall receive monthly benefits as provided | 3368 |
in division (C)(2) of this section. | 3369 |
If, after determining the monthly benefits to be paid under | 3370 |
division (C)(2) of this section, the system receives notice that | 3371 |
there is a qualified survivor who was not considered when the | 3372 |
determination was made, the system shall, notwithstanding section | 3373 |
3307.42 of the Revised Code, recalculate the monthly benefits with | 3374 |
that qualified survivor included, even if the benefits to | 3375 |
qualified survivors already receiving benefits are reduced as a | 3376 |
result. The benefits shall be calculated as if the qualified | 3377 |
survivor who is the subject of the notice became eligible on the | 3378 |
date the notice was received and shall be paid to qualified | 3379 |
survivors effective on the first day of the first month following | 3380 |
the system's receipt of the notice. | 3381 |
If the system did not receive notice that a deceased member | 3382 |
has one or more qualified children prior to making payment under | 3383 |
section 3307.562 of the Revised Code to a beneficiary as | 3384 |
determined by the system, the payment is a full discharge and | 3385 |
release of the system from any future claims under this section or | 3386 |
section 3307.562 of the Revised Code. | 3387 |
(2) If benefits under division (C)(2) of this section to all | 3388 |
persons, or to all persons other than a surviving spouse or sole | 3389 |
beneficiary, terminate, there are no children under the age of | 3390 |
twenty-two years, and the surviving spouse or beneficiary | 3391 |
qualifies for benefits under division (C)(1) of this section, the | 3392 |
surviving spouse or beneficiary may elect to receive benefits | 3393 |
under division (C)(1) of this section. The benefit shall be | 3394 |
calculated based on the age of the spouse or beneficiary at the | 3395 |
time of the member's death and is effective on the first day of | 3396 |
the month following receipt by the board of an application for | 3397 |
benefits under division (C)(1) of this section. | 3398 |
(H) If the benefits due and paid under division (C) of this | 3399 |
section are in a total amount less than the member's accumulated | 3400 |
account that was transferred from the teachers' savings fund, | 3401 |
school employees retirement fund, and public employees retirement | 3402 |
fund, to the survivors' benefit fund, then the difference between | 3403 |
the total amount of the benefits paid shall be paid to the | 3404 |
beneficiary under section 3307.562 of the Revised Code. | 3405 |
Sec. 3307.661. On the death of a retirant or disability | 3406 |
benefit recipient who at the time of death is receiving, under the | 3407 |
STRS defined benefit plan
| 3408 |
3409 | |
benefit, the state teachers retirement system shall make a | 3410 |
lump-sum payment of one thousand dollars to any designated or | 3411 |
qualified beneficiary under division (D)(1) of section 3307.562 of | 3412 |
the Revised Code. If there is no beneficiary, the state teachers | 3413 |
retirement board may approve payment to either the person | 3414 |
responsible for the burial expenses or to the decedent's estate | 3415 |
following the completion of an application on a form approved by | 3416 |
the board. | 3417 |
A benefit paid under this section shall be treated as life | 3418 |
insurance for purposes of this chapter and shall be funded solely | 3419 |
from contributions made under section 3307.28 of the Revised Code | 3420 |
on behalf of members participating in the STRS defined benefit | 3421 |
plan
| 3422 |
and any earnings attributable to those contributions. | 3423 |
Sec. 3307.67. (A) | 3424 |
and (E) of this section, the state teachers retirement board shall | 3425 |
annually increase each allowance or benefit payable under | 3426 |
3427 | |
3428 | |
increase shall be three per cent. On and after August 1, 2013, the | 3429 |
increase shall be two per cent. No allowance or benefit shall | 3430 |
exceed the limit
| 3431 |
to section 415 of the "Internal Revenue Code of 1986," 100 Stat. | 3432 |
2085, 26 U.S.C.A. 415, as amended, and regulations adopted | 3433 |
pursuant thereto but before August 1, 2013. The limit may be | 3434 |
adjusted in accordance with rules adopted by the board. | 3435 |
(B) The first increase is payable to all persons becoming | 3436 |
eligible for an allowance or benefit after June 30, 1971, upon | 3437 |
such persons receiving an allowance or benefit for twelve months. | 3438 |
3439 | |
2013, except for an allowance or benefit that was immediately | 3440 |
preceded by a disability benefit granted prior to that date that | 3441 |
has been terminated, the first increase is payable upon such | 3442 |
persons receiving an allowance or benefit for sixty months. | 3443 |
The increased amount is payable for the ensuing twelve-month | 3444 |
period or until the next increase is granted under this section, | 3445 |
whichever is later. Subsequent increases shall be determined from | 3446 |
the date of the first increase paid to the former member in the | 3447 |
case of an allowance being paid a beneficiary under an option, or | 3448 |
from the date of the first increase to the survivor first | 3449 |
receiving an allowance or benefit in the case of an allowance or | 3450 |
benefit being paid to the subsequent survivors of the former | 3451 |
member. | 3452 |
The date of the first increase under this section becomes the | 3453 |
anniversary date for any future increases. | 3454 |
The allowance or benefit used in the first calculation of an | 3455 |
increase under this section shall remain as the base for all | 3456 |
future increases, unless a new base is established. | 3457 |
| 3458 |
alternate payee under section 3307.371 of the Revised Code, | 3459 |
increases under this section granted while the order is in effect | 3460 |
shall be apportioned between the alternate payee and the benefit | 3461 |
recipient in the same proportion that the amount being paid to the | 3462 |
alternate payee bears to the amount paid to the benefit recipient. | 3463 |
If payment of a portion of a benefit is made to one or more | 3464 |
beneficiaries under "option 4" under division (A)(4) of section | 3465 |
3307.60 of the Revised Code, each increase under this section | 3466 |
granted while the plan of payment is in effect shall be divided | 3467 |
among the designated beneficiaries in accordance with the portion | 3468 |
each beneficiary has been allocated. | 3469 |
The apportioned increases under this section shall begin with | 3470 |
increases granted on or after October 27, 2006. | 3471 |
| 3472 |
otherwise make during the period July 1, 2013, through June 30, | 3473 |
2014, to persons granted an allowance or benefit prior to July 1, | 3474 |
2013. The board shall not increase any allowance or benefit | 3475 |
granted on July 1, 2013, until July 1, 2015. | 3476 |
(E) The board may adjust the increase payable under this | 3477 |
section if the board's actuary, in its annual actuarial valuation | 3478 |
required by section 3307.51 of the Revised Code or in other | 3479 |
evaluations conducted under that section, determines that an | 3480 |
adjustment does not materially impair the fiscal integrity of the | 3481 |
retirement system or is necessary to preserve the fiscal integrity | 3482 |
of the system. | 3483 |
(F) The board shall make all rules necessary to carry out | 3484 |
this section. | 3485 |
Sec. 3307.671. In December 1980, and in December of each | 3486 |
year thereafter, the state teachers retirement board may allocate | 3487 |
an amount from the guarantee fund created in division (E) of | 3488 |
section 3307.14 of the Revised Code to establish a temporary | 3489 |
supplemental benefit fund for the purpose of making a lump sum | 3490 |
benefit payment to all persons receiving an allowance, pension, or | 3491 |
benefit under | 3492 |
STRS defined benefit plan for each of the twelve months preceding | 3493 |
the first day of the following January. | 3494 |
On or after July 1, 1980, and on or after the first day of | 3495 |
July of each year thereafter, the board may determine the amount | 3496 |
to be placed in a temporary supplemental benefit fund. Such | 3497 |
amount, if placed, shall be not more than twenty-five per cent of | 3498 |
the income from investments for the twelve months preceding the | 3499 |
first day of July not otherwise required to be credited to the | 3500 |
several funds set forth in section 3307.14 of the Revised Code. | 3501 |
The board shall adopt rules to administer this supplemental | 3502 |
benefit. The rules shall recognize the effective date of the | 3503 |
allowance, pension, or benefit and the years of Ohio service | 3504 |
credit for each recipient as an equitable basis for allocating the | 3505 |
amount payable to each recipient. | 3506 |
If the board determines that a supplemental benefit shall be | 3507 |
paid under this section, it shall pay such amount within sixty | 3508 |
calendar days following its allocation to the supplemental benefit | 3509 |
fund. | 3510 |
Amounts paid pursuant to this section shall not be included | 3511 |
in the base for increasing an allowance, pension, or benefit | 3512 |
provided in section 3307.67 of the Revised Code and shall not | 3513 |
incur any obligation or liability for future payments under this | 3514 |
section. | 3515 |
Sec. 3307.694. On and after July 1, 1968, all allowances, | 3516 |
pensions, or other benefits which were payable before July 1, | 3517 |
1968, pursuant to the provisions of former sections 3307.26, | 3518 |
3307.38, 3307.41, 3307.43, 3307.49, and 3307.50 of the Revised | 3519 |
Code, shall be increased by the percentages determined by the | 3520 |
effective date of the allowance, pension, or benefit, as follows: | 3521 |
Effective Date of Benefit | 3522 | ||||
Calendar Year | Percentage of Increase | 3523 |
1920 through 1955 | 24.3 | 3524 | |||
1956 | 22.5 | 3525 | |||
1957 | 18.4 | 3526 | |||
1958 | 15.2 | 3527 | |||
1959 | 14.3 | 3528 | |||
1960 | 12.5 | 3529 | |||
1961 | 11.3 | 3530 | |||
1962 | 10.1 | 3531 | |||
1963 | 8.7 | 3532 | |||
1964 | 7.3 | 3533 | |||
1965 | 5.6 | 3534 | |||
1966 | 2.6 | 3535 | |||
1967 | 2.0 | 3536 | |||
January 1, 1968, through June 30, 1968 | 2.0 | 3537 |
All increases determined by applying the percentages in the | 3538 |
preceding table shall be reduced by the dollar amount of the | 3539 |
increases granted in 1965 pursuant to divisions (D), (E), and (F) | 3540 |
of former section 3307.401 of the Revised Code, except that no | 3541 |
allowance, pension, or benefit shall be reduced below the amount | 3542 |
due on June 30, 1968, and no allowance granted under this section | 3543 |
shall be less than a total annual sum of thirty-six dollars. | 3544 |
The allowances increased by this section shall exclude any | 3545 |
monthly amount payable by reason of any voluntary deposits made | 3546 |
under the provisions of | 3547 |
the Revised Code, except for prior service purchased before June | 3548 |
25, 1945. | 3549 |
The increases provided by this section shall be granted | 3550 |
notwithstanding the final average salary limitation in former | 3551 |
sections 3307.38 and 3307.43 of the Revised Code. | 3552 |
The cost of the increases provided by this section shall be | 3553 |
included in the employer's contribution rate provided by sections | 3554 |
3307.28, 3307.30, and 3307.31 of the Revised Code. Such employer's | 3555 |
contribution rate shall not be increased until July 1, 1969, or | 3556 |
later to reflect the increased costs created by this section. | 3557 |
Sec. 3307.70. (A) A member of the state teachers retirement | 3558 |
system who elects to purchase service credit described in section | 3559 |
3307.73, 3307.74, 3307.751, 3307.76, 3307.771, or 3307.78 of the | 3560 |
Revised Code shall do both of the following: | 3561 |
(1) Submit an application to the state teachers retirement | 3562 |
board in a manner or form approved by the board; | 3563 |
(2)(a) If the purchase will be completed not later than | 3564 |
December 31, 2013, for each year, or portion of a year, of credit | 3565 |
purchased, pay to the employees' savings fund the amount specified | 3566 |
by former section 3307.73, 3307.74, 3307.751, 3307.76, 3307.771, | 3567 |
or 3307.78 of the Revised Code as the appropriate section existed | 3568 |
immediately before the effective date of this section. | 3569 |
(b) If the purchase will not be completed until on or after | 3570 |
January 1, 2014, for each year, or portion of a year, of credit | 3571 |
purchased, pay to the employees' savings fund an amount specified | 3572 |
by the board that is equal to one hundred per cent of the | 3573 |
actuarial liability resulting from the purchase of that year or | 3574 |
portion of a year of credit as determined by an actuary employed | 3575 |
by the board. | 3576 |
(c) If, on the effective date of this amendment, the purchase | 3577 |
is being made through a payroll deduction plan under section | 3578 |
3307.701 of the Revised Code and at least one deduction has been | 3579 |
made, pay to the employees' savings fund the amount specified by | 3580 |
former section 3307.73, 3307.74, 3307.751, 3307.76, 3307.771, or | 3581 |
3307.78 of the Revised Code as the appropriate section existed | 3582 |
immediately before the effective date of this section. | 3583 |
(B)(1) A purchase shall be considered completed for purposes | 3584 |
of division (A)(2)(a) of this section only if the member's | 3585 |
application is received by the retirement system as completed not | 3586 |
later than December 31, 2013, and all payments are received by the | 3587 |
retirement system not later than June 30, 2014. | 3588 |
(2) A member purchasing credit through a payroll deduction | 3589 |
plan under division (A)(1)(c) of this section may pay in a single | 3590 |
payment the balance of the cost of the credit. | 3591 |
(C) Subject to board rules, a member may choose to purchase | 3592 |
only part of any eligible service credit in any one payment. | 3593 |
(D) The board shall adopt rules establishing criteria for | 3594 |
determining eligibility for purchases of service credit and | 3595 |
procedures for purchases of credit under this section. | 3596 |
Any determination of the board under this section shall be | 3597 |
final. | 3598 |
(E) Service credit purchased under this section shall be | 3599 |
included in the member's total service credit. | 3600 |
If a member dies or withdraws from service, any payment made | 3601 |
by the member under this section shall be considered as | 3602 |
accumulated contributions of the member. | 3603 |
| 3604 |
board may establish by rule payroll deduction plans for payment of | 3605 |
the following: | 3606 |
(1) The cost of restoring service credit under section | 3607 |
3307.71 or 3307.711 of the Revised Code or purchasing any service | 3608 |
credit members of the state teachers retirement system are | 3609 |
eligible to purchase under this chapter; | 3610 |
(2) Charges for participation in programs established under | 3611 |
section 3307.391 of the Revised Code; | 3612 |
(3) Deposits under section 3307.393 of the Revised Code and | 3613 |
any charges for participating in the program established under | 3614 |
that section. | 3615 |
(B) In addition to any other matter considered relevant by | 3616 |
the board, the rules adopted under this section shall specify all | 3617 |
of the following: | 3618 |
(1) The types of service credit that may be paid for through | 3619 |
payroll deduction, including the section of the Revised Code that | 3620 |
authorizes the purchase of each type of service credit for which | 3621 |
payment may be made by payroll deduction; | 3622 |
(2) The procedure for informing the member's employer and the | 3623 |
system that the member wishes to use payroll deduction to purchase | 3624 |
service credit or pay for participation in programs established | 3625 |
under section 3307.391 of the Revised Code; | 3626 |
(3) The procedure to be followed by the system and employers | 3627 |
to determine for each request the amount to be deducted, the | 3628 |
number of deductions to be made, and the interval at which | 3629 |
deductions will be made. The rules may provide for a minimum | 3630 |
amount for each deduction. They may also provide for a maximum | 3631 |
number of deductions for the purchase of any type of service | 3632 |
credit. | 3633 |
(4) The procedure to be followed by employers in transmitting | 3634 |
amounts deducted from the compensation of their employees to the | 3635 |
system; | 3636 |
(5) The procedure to be followed by the system in crediting | 3637 |
service credit to members who choose to purchase it through | 3638 |
payroll deduction; | 3639 |
(6) The time period within which employers are required to | 3640 |
transmit amounts deducted from payrolls to the system; | 3641 |
(7) Procedures to be followed by the system and the member's | 3642 |
employer for the member to pay in a single payment the balance of | 3643 |
the cost of the credit when a member separates from service from | 3644 |
the employer administering the member's payroll deduction plan. | 3645 |
(C)(1) If the board establishes a payroll deduction plan | 3646 |
under this section, it shall certify to the member's employer, for | 3647 |
each member for whom deductions are to be made, the amount of each | 3648 |
deduction and the payrolls from which deductions are to be made. | 3649 |
The employer shall make the deductions as certified and transmit | 3650 |
the amounts deducted in accordance with the rules established by | 3651 |
the board under this section. | 3652 |
(2) If an employer does not transmit amounts deducted from | 3653 |
the compensation of an employee to the system within the time | 3654 |
period specified in rules adopted under division (B)(6) of this | 3655 |
section, the employer shall pay interest on the deducted amount | 3656 |
compounded annually at a rate to be determined by the board from | 3657 |
the date the amount is deducted to the date it is transmitted to | 3658 |
the system. | 3659 |
(D) Rules adopted under this section shall not affect any | 3660 |
right to purchase service credit conferred by any other section of | 3661 |
the Revised Code, including the right of a member under any such | 3662 |
section to purchase only part of the service credit the member is | 3663 |
eligible to purchase. | 3664 |
(E) No payroll deduction made pursuant to this section may | 3665 |
exceed the amount of a member's net compensation after all other | 3666 |
deductions and withholdings required by law. | 3667 |
(F) No payments made to the system under this section shall | 3668 |
affect any contribution required by section 3307.26 or 3307.28 of | 3669 |
the Revised Code. | 3670 |
Sec. 3307.71. Except as provided in this section, section | 3671 |
3305.05, or section 3305.051 of the Revised Code, a member or | 3672 |
former member of the state teachers retirement system | 3673 |
participating in the STRS defined benefit plan
| 3674 |
3675 | |
one and one-half years of contributing service credit in this | 3676 |
system, the public employees retirement system, the school | 3677 |
employees retirement system, the Ohio police and fire pension | 3678 |
fund, or the state highway patrol retirement system after the | 3679 |
withdrawal and cancellation of service credit in this system may | 3680 |
restore all or part of such service credit by repayment of the | 3681 |
amount withdrawn. To this amount shall be added interest at a rate | 3682 |
per annum, compounded annually, to be determined by the state | 3683 |
teachers retirement board. Interest shall be payable from the | 3684 |
first of the month of withdrawal through the month of repayment. A | 3685 |
member may choose to purchase only part of such credit in any one | 3686 |
payment. The cost for restoring partial service shall be | 3687 |
calculated as the proportion that it bears to the total cost at | 3688 |
the time of purchase and is subject to the rules established by | 3689 |
the board. If a former member is eligible to buy the service | 3690 |
credit as a member of the Ohio police and fire pension fund, the | 3691 |
state highway patrol retirement system, or the city of Cincinnati | 3692 |
Retirement System, the former member is ineligible to restore that | 3693 |
service credit under this section. | 3694 |
The total payment to restore canceled service credit shall be | 3695 |
credited as follows: | 3696 |
(A) The amount that equals contributions made pursuant to | 3697 |
section 3307.26 of the Revised Code, plus any interest on the | 3698 |
contributions paid by the member pursuant to this section, to the | 3699 |
member's account in the teachers' savings fund; | 3700 |
(B) The amount that equals the amount paid under section | 3701 |
3307.563 of the Revised Code, to the employers trust fund; | 3702 |
(C) The remainder of the payment to restore canceled service | 3703 |
credit, to the guarantee fund. | 3704 |
Sec. 3307.711. (A) A member of the state teachers retirement | 3705 |
system who has at least eighteen months of contributing service | 3706 |
credit in the system, the police and firemen's disability and | 3707 |
pension fund, public employees retirement system, school employees | 3708 |
retirement system, or state highway patrol retirement system, and | 3709 |
is a former member of or no longer contributing to the public | 3710 |
employees retirement system or school employees retirement system | 3711 |
may restore service credit under section 145.31 or 3309.26 of the | 3712 |
Revised Code by making payments pursuant to this section through a | 3713 |
payroll deduction plan established under section
| 3714 |
of the Revised Code. A member seeking to restore this service | 3715 |
credit shall notify the state teachers retirement system on a form | 3716 |
approved by the state teachers retirement board. After receiving | 3717 |
the notice, the state teachers retirement system shall request | 3718 |
that the former retirement system calculate under section 145.312 | 3719 |
or 3309.262 of the Revised Code the cost to the member to restore | 3720 |
service credit for each year or portion of a year of service for | 3721 |
which the member seeks to restore the service credit. The amount | 3722 |
the former retirement system certifies as the cost of restoring | 3723 |
the service credit, plus interest described in division (B) of | 3724 |
this section, is the cost to the member of restoring the service | 3725 |
credit. On receiving the certification from the former retirement | 3726 |
system, the state teachers retirement system shall notify the | 3727 |
member of the cost. | 3728 |
(B) For each year or portion of a year of service credit | 3729 |
restored under section 145.31 or 3309.26 of the Revised Code, a | 3730 |
member shall pay to the state teachers retirement system the | 3731 |
amount certified by the former retirement system plus interest at | 3732 |
a rate specified by the former retirement system under section | 3733 |
145.312 or 3309.262 of the Revised Code for the period during | 3734 |
which deductions are made under section | 3735 |
Revised Code. | 3736 |
(C) The state teachers retirement board shall annually notify | 3737 |
the former retirement system that a payment to restore service | 3738 |
credit under section 145.31 or 3309.26 of the Revised Code has | 3739 |
been made. At the time the payment is transferred under division | 3740 |
(D) of this section, the former retirement system shall restore | 3741 |
the service credit for the year or portion of a year for which the | 3742 |
payment was made. | 3743 |
(D) On application for a payment of accumulated contributions | 3744 |
or an age and service retirement, disability, or survivor benefit | 3745 |
under Chapter 145., 3307., or 3309. of the Revised Code by a | 3746 |
member who made payments under this section to restore service | 3747 |
credit in a former retirement system, the state teachers | 3748 |
retirement system shall pay to the former retirement system an | 3749 |
amount equal to the total amount paid by the member under this | 3750 |
section. | 3751 |
(E) The board shall adopt rules to implement this section. | 3752 |
Sec. 3307.712. After receiving a request from the public | 3753 |
employees retirement system under division (A) of section 145.311 | 3754 |
or the school employees retirement system under division (A) of | 3755 |
section 3309.261 of the Revised Code, the state teachers | 3756 |
retirement system shall do both of the following: | 3757 |
(A) Calculate and certify to the requesting retirement system | 3758 |
the cost to a former member to restore service credit under | 3759 |
section 3307.71 of the Revised Code for each year or portion of a | 3760 |
year for which the former member seeks to restore service credit | 3761 |
under that section. | 3762 |
(B) Inform the requesting retirement system of the rate of | 3763 |
interest charged to a member under a payroll deduction plan | 3764 |
authorized under section | 3765 |
Sec. 3307.72. The state teachers retirement board shall | 3766 |
credit years of service to a member participating in the STRS | 3767 |
defined benefit plan | 3768 |
3769 | |
employer who failed to make retirement contributions to the state | 3770 |
teachers retirement system during any year or years beginning on | 3771 |
or after September 1, 1920, if the member deposits in the | 3772 |
teachers' savings fund a per cent of the member's annual | 3773 |
compensation for such service, at the rate of contribution then in | 3774 |
effect, plus interest compounded annually at a rate established by | 3775 |
the board. The member may choose to purchase only part of such | 3776 |
credit in any one payment, subject to board rules. | 3777 |
The employer shall, upon the request of such member, certify | 3778 |
the amount of compensation by years of employment to the secretary | 3779 |
of the board. For teaching service on or after July 1, 1978, the | 3780 |
employer shall pay an amount equal to the employer contributions | 3781 |
due at the time the service occurred, plus compound interest at a | 3782 |
rate determined by the board from the date the service began to | 3783 |
the date of payment. | 3784 |
Sec. 3307.73. (A)(1) Except as provided in division (A)(2) | 3785 |
of this section, a member of the state teachers retirement system | 3786 |
participating in the STRS defined benefit plan | 3787 |
3788 | |
eighteen months of contributing service in the system, the public | 3789 |
employees retirement system, or school employees retirement system | 3790 |
who chose to be exempted from membership in one or more of the | 3791 |
systems pursuant to section 145.03, or 3309.23 of the Revised | 3792 |
Code, or former section 3307.25 or 3309.25 of the Revised Code, or | 3793 |
was exempt under section 3307.24 of the Revised Code, may purchase | 3794 |
credit under section 3307.70 of the Revised Code for each year or | 3795 |
portion of a year of service for which the member was exempted. | 3796 |
(2) A member may not purchase credit | 3797 |
service that was exempted from contribution under section 3307.24 | 3798 |
of the Revised Code and subject to the tax on wages imposed by the | 3799 |
"Federal Insurance Contributions Act," 68A Stat. 415 (1954), 26 | 3800 |
U.S.C.A. 3101, as amended. | 3801 |
(B) | 3802 |
3803 | |
3804 | |
3805 | |
3806 | |
3807 | |
3808 | |
3809 |
| 3810 |
3811 | |
3812 | |
3813 | |
3814 | |
3815 |
| 3816 |
not exceed one year of service for any twelve-month period. If the | 3817 |
period of service for which credit is purchasable | 3818 |
3819 | |
to calculate a retirement benefit from this system, the public | 3820 |
employees retirement system, or school employees retirement | 3821 |
system, the amount of the credit shall be adjusted in accordance | 3822 |
with rules adopted by the board. | 3823 |
(C) A member who is also a member of the public employees | 3824 |
retirement system or school employees retirement system shall | 3825 |
purchase credit for any service for which the member exempted the | 3826 |
member's self under section 145.03 or 3309.23 of the Revised Code, | 3827 |
or former section 3307.25 or 3309.25 of the Revised Code, or was | 3828 |
exempt under section 3307.24 of the Revised Code, from the | 3829 |
retirement system in which the member has the greatest number of | 3830 |
years of service credit. If the member receives benefits under | 3831 |
section 3307.57 of the Revised Code, the state retirement system | 3832 |
that determines and pays the retirement benefit shall receive from | 3833 |
the other system or systems the amounts paid by the member for | 3834 |
purchase of credit for exempt service plus interest at the | 3835 |
actuarial assumption rate of the system paying that amount. The | 3836 |
interest shall be for the period beginning on the date of the | 3837 |
member's last payment for purchase of the credit and ending on the | 3838 |
date of the member's retirement. | 3839 |
| 3840 |
3841 | |
3842 |
| 3843 |
3844 |
Sec. 3307.74. (A) Service credit | 3845 |
3846 | |
3847 | |
by a member participating in the STRS defined benefit plan | 3848 |
3849 | |
the following: | 3850 |
(1) Teaching service in a public or private school, college, | 3851 |
or university of this or another state, and for teaching service | 3852 |
in any school or entity operated | 3853 |
States
| 3854 |
3855 | |
or universities chartered or accredited by the appropriate | 3856 |
governmental agency. | 3857 |
(2) Public service with another state or the United States | 3858 |
government, provided that such credit shall be limited to service | 3859 |
that would have been covered by the state teachers retirement | 3860 |
system, school employees retirement system, Ohio police and fire | 3861 |
pension fund, state highway patrol retirement system, or public | 3862 |
employees retirement system if served in a comparable public | 3863 |
position in this state. | 3864 |
(3) Service for which contributions were made by the member | 3865 |
or on the member's behalf to a municipal retirement system in this | 3866 |
state, except that if the conditions specified in section 3307.762 | 3867 |
of the Revised Code are met, service credit for this service may | 3868 |
be purchased only in accordance with section 3307.763 of the | 3869 |
Revised Code. | 3870 |
The number of years of service | 3871 |
service described in this section shall not exceed the lesser of | 3872 |
five years or the member's total accumulated number of years of | 3873 |
Ohio service. | 3874 |
(B) | 3875 |
3876 | |
3877 | |
3878 | |
3879 | |
3880 | |
3881 | |
3882 | |
3883 | |
3884 | |
3885 |
| 3886 |
3887 | |
3888 | |
3889 | |
3890 | |
3891 | |
3892 | |
3893 | |
3894 | |
3895 | |
3896 |
| 3897 |
3898 | |
3899 | |
this section in accordance with section 3307.70 of the Revised | 3900 |
Code. | 3901 |
(C) | 3902 |
ineligible to purchase | 3903 |
section | 3904 |
benefit that has been paid, is currently being paid, or is payable | 3905 |
in the future to such member under any other retirement program, | 3906 |
3907 | |
contributions were made to a defined contribution plan if the | 3908 |
member has been paid all contributions standing to the member's | 3909 |
credit or is not entitled to be paid any such contributions. At | 3910 |
the time the credit is purchased, the member shall certify on a | 3911 |
form furnished by the board that the member does and will conform | 3912 |
to this requirement. | 3913 |
(D) Credit | 3914 |
section may be combined pursuant to section 3307.57 of the Revised | 3915 |
Code with credit purchased under sections 145.293 and 3309.31 of | 3916 |
the Revised Code, except that not more than a total of five years' | 3917 |
3918 | |
section and sections 145.293 and 3309.31 of the Revised Code shall | 3919 |
be used in determining retirement eligibility or calculating | 3920 |
benefits under section 3307.57 of the Revised Code. | 3921 |
| 3922 |
3923 | |
3924 |
Sec. 3307.75. (A) As used in this section, "armed forces" of | 3925 |
the United States includes both: | 3926 |
(1) Army, navy, air force, marine corps, coast guard, | 3927 |
auxiliary corps as established by congress, army nurse corps, navy | 3928 |
nurse corps, red cross nurse serving with the army, navy, air | 3929 |
force, or hospital service of the United States, full-time service | 3930 |
with the American red cross in a combat zone, and such other | 3931 |
service as is designated by the congress as included therein; | 3932 |
(2) Personnel of the Ohio national guard, the Ohio military | 3933 |
reserve, the Ohio naval militia, and the reserve components of the | 3934 |
armed forces enumerated in division (A)(1) of this section who are | 3935 |
called to active duty pursuant to an executive order issued by the | 3936 |
president of the United States or an act of congress. | 3937 |
(B) Upon presentation of an honorable discharge or | 3938 |
certificate of service, and subject to rules adopted by the state | 3939 |
teachers retirement board, any member of the state teachers | 3940 |
retirement system participating in the STRS defined benefit plan | 3941 |
3942 | |
was or is out of active service as a teacher by reason of having | 3943 |
become a member of the armed forces of the United States on active | 3944 |
duty or service shall be considered as on indefinite leave of | 3945 |
absence and shall have such service not in excess of ten years | 3946 |
considered as the equivalent of prior service, provided the member | 3947 |
returns to service as a teacher within two years after the | 3948 |
effective date of discharge and establishes one year of service | 3949 |
credit, or becomes a member of either the public employees | 3950 |
retirement system or the school employees retirement system within | 3951 |
such two-year period and establishes at least one year of service | 3952 |
credit. The retirement board shall extend such two-year period an | 3953 |
additional year if failure to return is due to continuous | 3954 |
professional training as determined by said board. If such member, | 3955 |
otherwise qualified for such credit, canceled membership by the | 3956 |
withdrawal of the member's accumulated account, such military | 3957 |
service credit shall be granted following the restoration of the | 3958 |
member's canceled service credit as provided by section 3307.71 of | 3959 |
the Revised Code. Any member of the state teachers retirement | 3960 |
system or anyone who becomes a new entrant who is assigned or | 3961 |
called to take charge of special training for essential national | 3962 |
defense work or veterans' training courses in any of the public | 3963 |
schools or universities of the state may make regular | 3964 |
contributions to the state teachers retirement system even though | 3965 |
the member's or new entrant's salary is paid from federal funds, | 3966 |
provided the member's or new entrant's salary is disbursed by an | 3967 |
employer. | 3968 |
(C) A member of the state teachers retirement system is | 3969 |
ineligible to receive service credit under this section for any | 3970 |
year of military service credit used in the calculation of any | 3971 |
retirement benefit currently being paid to the member or payable | 3972 |
in the future under any other retirement program, except social | 3973 |
security, or used to obtain service credit pursuant to section | 3974 |
3307.751 or 3307.752 of the Revised Code. At the time such credit | 3975 |
is requested, the member shall certify on a form supplied by the | 3976 |
board that the member does and will conform to this requirement. | 3977 |
This division does not cancel any military service credit earned | 3978 |
prior to March 15, 1979. | 3979 |
Sec. 3307.751. (A)(1) A member participating in the STRS | 3980 |
defined benefit plan | 3981 |
3982 | |
3983 | |
of the Revised Code for each year or portion of a year of service | 3984 |
incurred by reason of having been on active duty as a member of | 3985 |
the armed forces of the United States, as defined in section | 3986 |
3307.75 of the Revised Code. | 3987 |
(2) As used in division (A)(2) of this section, "reserves" | 3988 |
means a reserve component of any of the armed forces of the United | 3989 |
States enumerated in division (A)(1) of section 3307.75 of the | 3990 |
Revised Code. | 3991 |
On presentation of documentation of the service and subject | 3992 |
to state teachers retirement board rules, a member participating | 3993 |
in the STRS defined benefit plan | 3994 |
3995 | |
3996 | |
3307.70 of the Revised Code for each year or portion of a year of | 3997 |
service incurred by reason of having been on active duty as a | 3998 |
member of the Ohio national guard or reserves for which the member | 3999 |
is not eligible to purchase credit under division (A)(1) of this | 4000 |
section. For purposes of division (A)(2) of this section, active | 4001 |
duty in the reserves or the Ohio national guard includes assembly | 4002 |
for drill and instruction; training at encampments, maneuvers, | 4003 |
outdoor target practice, or other exercises; and any training or | 4004 |
duty in this state ordered by the governor. | 4005 |
(3) Credit shall not be granted for any period of duty during | 4006 |
which the member was contributing to the retirement system. | 4007 |
The credit may be purchased at any time prior to the | 4008 |
effective date of a benefit. The number of years purchased under | 4009 |
this division shall not exceed five. | 4010 |
(B) For the purposes of this division, "prisoner of war" | 4011 |
means any regularly appointed, enrolled, enlisted, or inducted | 4012 |
member of the armed forces of the United States who was captured, | 4013 |
separated, and incarcerated by an enemy of the United States. | 4014 |
A member participating in the STRS defined benefit plan | 4015 |
4016 | |
purchase service credit | 4017 |
4018 | |
year of service such member was a prisoner of war. The number of | 4019 |
years purchased | 4020 |
credit may be purchased | 4021 |
service used to purchase service credit | 4022 |
division (A) of this section. | 4023 |
(C) The total number of years described in this section that | 4024 |
may be purchased | 4025 |
total accumulated number of years of Ohio service. | 4026 |
(D) | 4027 |
4028 | |
4029 | |
4030 | |
4031 | |
4032 | |
4033 | |
4034 | |
4035 | |
4036 | |
4037 | |
4038 | |
4039 | |
4040 | |
4041 | |
4042 |
| 4043 |
4044 | |
4045 | |
4046 | |
4047 | |
4048 | |
4049 | |
4050 | |
4051 | |
4052 | |
4053 | |
4054 |
| 4055 |
4056 | |
4057 | |
4058 | |
4059 | |
4060 | |
4061 | |
number of years or portions of a year of credit the member is | 4062 |
eligible to purchase under division (A)(2) of this section by | 4063 |
dividing the number of days actually served by three hundred | 4064 |
sixty-five. | 4065 |
| 4066 |
4067 | |
4068 |
| 4069 |
ineligible to purchase service credit | 4070 |
section for any year of military service that was: | 4071 |
(1) Used in the calculation of any retirement benefit | 4072 |
currently being paid to such member or payable in the future under | 4073 |
any other retirement program, except for retired pay for | 4074 |
non-regular service under Chapter 1223 of Section 1662 of Title | 4075 |
XVI of the "National Defense Authorization Act for Fiscal Year | 4076 |
1995," 108 Stat. 2998 (1994), 10 U.S.C.A. 12731 to 12739, or | 4077 |
social security; | 4078 |
(2) Used to obtain service credit pursuant to section 3307.75 | 4079 |
or 3307.752 of the Revised Code. | 4080 |
At the time the credit is purchased, the member shall certify | 4081 |
on a form furnished by the board that the member does and will | 4082 |
conform to this requirement. | 4083 |
| 4084 |
be combined pursuant to section 3307.57 of the Revised Code with | 4085 |
credit for military service purchased under sections 145.301 | 4086 |
742.52, 3309.021, and 5505.25 of the Revised Code or military | 4087 |
service credit purchased in the Cincinnati retirement system, | 4088 |
except that not more than a total of five years of credit | 4089 |
4090 | |
division (B) of section 145.301, | 4091 |
742.52, division (A) of section 3309.021, and division (A) of | 4092 |
section 5505.25 of the Revised Code and not more than a total of | 4093 |
five years of credit
| 4094 |
this section, division (C) of section 145.301,
| 4095 |
section 742.52, division (B) of section 3309.021 and division (B) | 4096 |
of section 5505.25 of the Revised Code or military service credit | 4097 |
purchased in the Cincinnati retirement system shall be used in | 4098 |
determining retirement eligibility or calculating benefits under | 4099 |
section 3307.57 of the Revised Code. | 4100 |
Sec. 3307.752. (A) As used in this section: | 4101 |
(1) "Service in the uniformed services" means the performance | 4102 |
of duty on a voluntary or involuntary basis in a uniformed service | 4103 |
under competent authority and includes active duty, active duty | 4104 |
for training, initial active duty for training, inactive duty | 4105 |
training, full-time national guard duty, and a period for which a | 4106 |
person is absent from a position of employment for the purpose of | 4107 |
an examination to determine the fitness of the person to perform | 4108 |
any such duty. | 4109 |
(2) "Uniformed services" means the army, navy, air force, | 4110 |
marine corps, coast guard, or any reserve components of such | 4111 |
services; national guard; the commissioned corps of the United | 4112 |
States public health service; service as a red cross nurse with | 4113 |
the army, navy, air force, or hospital service of the United | 4114 |
States, army nurse corps, navy nurse corps, or serving full-time | 4115 |
with the American red cross in a combat zone; and any other | 4116 |
category of persons designated by the president in time of war or | 4117 |
emergency. | 4118 |
(B) On the re-employment of a member participating in the | 4119 |
STRS defined benefit plan | 4120 |
4121 | |
employed the member prior to the member's service in the uniformed | 4122 |
services, the member may apply to the state teachers retirement | 4123 |
system on a form provided by the system to purchase service credit | 4124 |
for service in the uniformed services that shall be considered the | 4125 |
equivalent of Ohio service credit. On receipt of the application, | 4126 |
the system shall request from the employer that employed the | 4127 |
member as a teacher prior to the military service a certification | 4128 |
that the member was employed by the employer prior to, and | 4129 |
returned to employment with the employer within three months of | 4130 |
honorable discharge or release from, service in the uniformed | 4131 |
services. If the employer can so certify, it shall do so and shall | 4132 |
pay to the system the employer's contribution required by this | 4133 |
section. The service credit shall be granted the member if all of | 4134 |
the following requirements are met: | 4135 |
(1) The member was a member of and maintained membership in | 4136 |
the state teachers retirement system throughout service in the | 4137 |
uniformed services; | 4138 |
(2) The member was out of active service as a teacher by | 4139 |
reason of service in the uniformed services; | 4140 |
(3) The member was honorably discharged or released from | 4141 |
service in the uniformed services; | 4142 |
(4) The member pays contributions to the system in accordance | 4143 |
with this section. | 4144 |
(C) Credit may be purchased pursuant to this section at any | 4145 |
time prior to receipt of a benefit. The member may choose to | 4146 |
purchase only part of the credit in any one payment, subject to | 4147 |
board rules. The system shall grant service credit under this | 4148 |
section, not to exceed five years, for | 4149 |
the uniformed services for which contributions have been received. | 4150 |
(D) For service purchased under this section, the member and | 4151 |
the member's employer, subject to board rules, shall pay to the | 4152 |
system for credit to the member's accumulated account an amount | 4153 |
equal to the contributions that would have been paid pursuant to | 4154 |
sections 3307.26 and 3307.28 of the Revised Code if the member had | 4155 |
not been out of active service as a teacher by reason of service | 4156 |
in the uniformed services. | 4157 |
If a member pays all or any portion of the contributions | 4158 |
required by section 3307.26 of the Revised Code later than the | 4159 |
lesser of five years or a period that is three times the member's | 4160 |
period of service in the uniformed services beginning from the | 4161 |
later of the member's date of re-employment as a teacher or | 4162 |
October 29, 1996, an amount equal to compound interest at a rate | 4163 |
established by the board from the later of the member's date of | 4164 |
re-employment as a teacher or October 29, 1996, to the date of | 4165 |
payment shall be added to the remaining amount to be paid by the | 4166 |
member to purchase service credit under this section. | 4167 |
(E) This section does not cancel any military service credit | 4168 |
or service in the uniformed services earned or granted under this | 4169 |
chapter prior to October 29, 1996. | 4170 |
(F) If a member purchased service credit under section | 4171 |
3307.751 of the Revised Code prior to October 29, 1996, is not | 4172 |
receiving a benefit, and would have been eligible to obtain | 4173 |
service credit pursuant to this section had it been in effect at | 4174 |
the time of purchase, the system shall refund the amounts paid by | 4175 |
the member for the purchase if both of the following requirements | 4176 |
are met: | 4177 |
(1) The member makes a written request for a refund on a form | 4178 |
provided by the system; | 4179 |
(2) The member pays to the system the contributions required | 4180 |
by this section. | 4181 |
(G) If the member meets the requirements of division (F) of | 4182 |
this section, the employer shall pay to the system the employer's | 4183 |
contributions required by this section. | 4184 |
Sec. 3307.76. | 4185 |
system participating in the STRS defined benefit plan | 4186 |
4187 | |
computing years of total service, be given full credit for time | 4188 |
served in the public employees retirement system under Chapter | 4189 |
145. of the Revised Code or in the school employees retirement | 4190 |
system under Chapter 3309. of the Revised Code | 4191 |
4192 | |
4193 |
| 4194 |
4195 | |
4196 | |
4197 | |
4198 | |
4199 |
| 4200 |
4201 | |
4202 | |
in accordance with section 3307.70 of the Revised Code. | 4203 |
A member is ineligible to purchase credit | 4204 |
this section if credit for the service may be obtained from the | 4205 |
public employees retirement system or school employees retirement | 4206 |
system or if the credit is for service that is used in the | 4207 |
calculation of any retirement benefit that has been paid, is | 4208 |
currently being paid, or is payable in the future to the member. | 4209 |
Sec. 3307.761. (A) As used in this section and section | 4210 |
3307.765 of the Revised Code: | 4211 |
(1) "Uniform retirement system" or "uniform system" means the | 4212 |
Ohio police and fire pension fund or state highway patrol | 4213 |
retirement system. | 4214 |
(2) "Military service credit" means credit purchased or | 4215 |
obtained under this chapter or Chapter 742. or 5505. of the | 4216 |
Revised Code for service in the armed forces of the United States. | 4217 |
(B) A member of the state teachers retirement system | 4218 |
participating in the STRS defined benefit plan
| 4219 |
4220 | |
contributions on deposit with a uniform retirement system shall, | 4221 |
in computing years of total service, be given full credit for | 4222 |
service credit earned under Chapter 742. or 5505. of the Revised | 4223 |
Code or for military service credit if a transfer to the state | 4224 |
teachers retirement system is made under this division. At the | 4225 |
request of the member, the uniform system shall transfer to the | 4226 |
state teachers retirement system, for each year of service, the | 4227 |
sum of the following: | 4228 |
(1) An amount equal to the member's accumulated contributions | 4229 |
to the uniform system and any payments by the member for military | 4230 |
service credit; | 4231 |
(2) An amount equal to the lesser of the employer's | 4232 |
contributions to the uniform system or the amount that would have | 4233 |
been contributed by the employer for the service had the member | 4234 |
been a member of the state teachers retirement system at the time | 4235 |
the credit was earned; | 4236 |
(3) Interest, determined as provided in division (F) of this | 4237 |
section, on the amounts specified in divisions (B)(1) and (2) of | 4238 |
this section from the last day of the year for which the service | 4239 |
credit in the uniform system was earned or in which payment was | 4240 |
made for military service credit was purchased or obtained to the | 4241 |
date the transfer is made. | 4242 |
(C) A member participating in the STRS defined benefit plan | 4243 |
4244 | |
has at least one and one-half years of contributing service with | 4245 |
the state teachers retirement system, is a former member of a | 4246 |
uniform retirement system, and has received a refund of | 4247 |
contributions to that uniform system shall, in computing years of | 4248 |
total service, be given full credit for service credit earned | 4249 |
under Chapter 742. or 5505. of the Revised Code or for military | 4250 |
service credit if, for each year of service, the state teachers | 4251 |
retirement system receives the sum of the following: | 4252 |
(1) An amount, which shall be paid by the member, equal to | 4253 |
the amount refunded by the uniform system to the member for that | 4254 |
year for accumulated contributions and payments for military | 4255 |
service credit, with interest at a rate established by the state | 4256 |
teachers retirement board on that amount from the date of the | 4257 |
refund to the date of the payment; | 4258 |
(2) Interest, which shall be transferred by the uniform | 4259 |
system, on the amount refunded to the member that is attributable | 4260 |
to the year of service from the last day of the year for which the | 4261 |
service credit was earned or in which payment was made for | 4262 |
military service credit to the date the refund was made; | 4263 |
(3) An amount, which shall be transferred by the uniform | 4264 |
system, equal to the lesser of the employer's contributions to the | 4265 |
uniform system or the amount that would have been contributed by | 4266 |
the employer for the service had the member been a member of the | 4267 |
state teachers retirement system at the time the credit was | 4268 |
earned, with interest on that amount from the last day of the year | 4269 |
for which the service credit was earned or in which payment was | 4270 |
made for military service to the date of the transfer. | 4271 |
On receipt of payment from the member, the state teachers | 4272 |
retirement system shall notify the uniform system, which, on | 4273 |
receipt of the notice, shall make the transfer required by this | 4274 |
division. Interest shall be determined as provided in division (F) | 4275 |
of this section. | 4276 |
A member may choose to purchase only part of the credit the | 4277 |
member is eligible to purchase under this division in any one | 4278 |
payment, subject to rules of the state teachers retirement board. | 4279 |
(D) A member is ineligible to obtain credit under this | 4280 |
section for service that is used in the calculation of any | 4281 |
retirement benefit currently being paid or payable in the future | 4282 |
under any other retirement program or for service credit that may | 4283 |
be transferred under section 3307.765 of the Revised Code. | 4284 |
(E) If a member of the state teachers retirement system who | 4285 |
is not a current contributor elects to obtain credit under section | 4286 |
742.21 or 5505.40 of the Revised Code for service for which the | 4287 |
member contributed to the system or purchased for military service | 4288 |
credit, the system shall transfer to the uniform retirement | 4289 |
system, as applicable, the amount specified in division (D) of | 4290 |
section 742.21 or division (B)(2) of section 5505.40 of the | 4291 |
Revised Code. | 4292 |
(F) Interest charged under this section shall be calculated | 4293 |
separately for each year of service credit. Unless otherwise | 4294 |
specified in this section it shall be calculated at the lesser of | 4295 |
the actuarial assumption rate for that year of the state teachers | 4296 |
retirement system or of the uniform retirement system in which the | 4297 |
credit was earned. The interest shall be compounded annually. | 4298 |
(G) The state teachers retirement board shall credit to a | 4299 |
member's account in the teachers' savings fund the amounts | 4300 |
described in divisions (B)(1) and (C)(1) of this section, except | 4301 |
that the interest paid by the member under division (C)(1) of this | 4302 |
section shall be credited to the employers' trust fund. The board | 4303 |
shall credit to the employers' trust fund the amounts described in | 4304 |
divisions (B)(2) and (3) and (C)(2) and (3) of this section. | 4305 |
(H) At the request of the state teachers retirement system, | 4306 |
the Ohio police and fire pension fund or state highway patrol | 4307 |
retirement system shall certify to the state teachers retirement | 4308 |
system a copy of the records of the service and contributions of a | 4309 |
state teachers retirement system member who seeks service credit | 4310 |
under this section. | 4311 |
Sec. 3307.763. (A) If the conditions described in division | 4312 |
(B) of section 3307.762 of the Revised Code are met, a member of | 4313 |
the state teachers retirement system who is not receiving a | 4314 |
pension or benefit from the state teachers retirement system is | 4315 |
eligible to obtain credit for service as a member of the | 4316 |
Cincinnati retirement system under this section. | 4317 |
(B) A member of the state teachers retirement system | 4318 |
participating in the STRS defined benefit plan | 4319 |
4320 | |
contributions on deposit with, but is no longer contributing to, | 4321 |
the Cincinnati retirement system shall, in computing years of | 4322 |
service credit, be given credit for service credit earned under | 4323 |
the Cincinnati retirement system or purchased or obtained as | 4324 |
military service credit if, for each year of service, the | 4325 |
Cincinnati retirement system transfers to the state teachers | 4326 |
retirement system the sum of the following: | 4327 |
(1) The amount contributed by the member, or, in the case of | 4328 |
military service credit, paid by the member, that is attributable | 4329 |
to the year of service; | 4330 |
(2) An amount equal to the lesser of the employer's | 4331 |
contributions to the Cincinnati retirement system or the amount | 4332 |
that would have been contributed by the employer for the service | 4333 |
had the member been a member of the state teachers retirement | 4334 |
system at the time the credit was earned; | 4335 |
(3) Interest on the amounts specified in divisions (B)(1) and | 4336 |
(2) of this section from the last day of the year for which | 4337 |
service credit was earned or in which payment was made for | 4338 |
military service credit to the date the transfer is made. | 4339 |
(C) A member of the state teachers retirement system with at | 4340 |
least one and one-half years of contributing service credit with | 4341 |
the state teachers retirement system who has received a refund of | 4342 |
the member's contributions to the Cincinnati retirement system | 4343 |
shall, in computing years of service, be given credit for service | 4344 |
credit earned under the Cincinnati retirement system or purchased | 4345 |
or obtained as military service credit if, for each year of | 4346 |
service, the state teachers retirement system receives the sum of | 4347 |
the following: | 4348 |
(1) An amount, paid by the member, equal to the sum of the | 4349 |
following: | 4350 |
(a) The amount refunded by the Cincinnati retirement system | 4351 |
to the member for that year for contributions and payments for | 4352 |
military service credit, with interest at a rate established by | 4353 |
the state teachers retirement board on that amount from the date | 4354 |
of the refund to the date of payment; | 4355 |
(b) The amount of interest, if any, the member received when | 4356 |
the refund was made that is attributable to the year of service. | 4357 |
(2) An amount, transferred by the Cincinnati retirement | 4358 |
system to the state teachers retirement system, equal to the sum | 4359 |
of the following: | 4360 |
(a) Interest on the amount refunded to the member that is | 4361 |
attributable to the year of service from the last day of the year | 4362 |
for which the service credit was earned or in which payment was | 4363 |
made for military service credit to the date the refund was made; | 4364 |
(b) An amount equal to the lesser of the employer's | 4365 |
contributions to the Cincinnati retirement system or the amount | 4366 |
that would have been contributed by the employer for the service | 4367 |
had the member been a member of the state teachers retirement | 4368 |
system at the time the credit was earned, with interest on that | 4369 |
amount from the last day of the year for which the service credit | 4370 |
was earned to the date of the transfer. | 4371 |
(D) The amount transferred under division (C)(2)(a) of this | 4372 |
section shall not include any amount of interest the Cincinnati | 4373 |
retirement system paid to the person when it made the refund. | 4374 |
(E) On receipt of payment from the member under division | 4375 |
(C)(1) of this section, the state teachers retirement system shall | 4376 |
notify the Cincinnati retirement system. On receipt of the notice, | 4377 |
the Cincinnati retirement system shall transfer the amount | 4378 |
described in division (C)(2) of this section. | 4379 |
(F) Interest charged under this section shall be calculated | 4380 |
separately for each year of service credit. Unless otherwise | 4381 |
specified in this section, it shall be calculated at the lesser of | 4382 |
the actuarial assumption rate for that year of the state teachers | 4383 |
retirement system or the Cincinnati retirement system. The | 4384 |
interest shall be compounded annually. | 4385 |
(G) At the request of the state teachers retirement system, | 4386 |
the Cincinnati retirement system shall certify to the state | 4387 |
teachers retirement system a copy of the records of the service | 4388 |
and contributions of a state teachers retirement system member who | 4389 |
seeks service credit under this section. | 4390 |
(H) A member may choose to purchase only part of the credit | 4391 |
the member is eligible to purchase under division (C) of this | 4392 |
section in any one payment, subject to rules of the state teachers | 4393 |
retirement board. | 4394 |
(I) A member is ineligible to obtain credit under this | 4395 |
section for service that is used in the calculation of any | 4396 |
retirement benefit currently being paid or payable in the future. | 4397 |
(J) The state teachers retirement board shall credit to the | 4398 |
member's account in the teachers' savings fund the amounts | 4399 |
described in divisions (B)(1) and (C)(1)(a) of this section, | 4400 |
except that interest paid by the member under division (C)(1)(a) | 4401 |
of this section shall be credited to the employers' trust fund. | 4402 |
The board shall credit to the employers' trust fund the amounts | 4403 |
described in divisions (B)(2), (B)(3), (C)(1)(b), and (C)(2) of | 4404 |
this section. | 4405 |
Sec. 3307.764. (A) If the conditions described in division | 4406 |
(B) of section 3307.762 of the Revised Code are met and a person | 4407 |
who is a member or former member of the state teachers retirement | 4408 |
system through participation in the STRS defined benefit plan | 4409 |
4410 | |
is not a current contributor and who is not receiving a pension or | 4411 |
benefit from the state teachers retirement system elects to | 4412 |
receive credit under the Cincinnati retirement system for service | 4413 |
for which the person contributed to the state teachers retirement | 4414 |
system or purchased or obtained as military service credit, the | 4415 |
state teachers retirement system shall transfer the amounts | 4416 |
specified in division (B) or (C) of this section to the Cincinnati | 4417 |
retirement system. | 4418 |
(B) If the person has contributions on deposit with the state | 4419 |
teachers retirement system, the retirement system shall, for each | 4420 |
year of service credit, transfer to the Cincinnati retirement | 4421 |
system the sum of the following: | 4422 |
(1) An amount equal to the person's contributions to the | 4423 |
state teachers retirement system and payments made by the member | 4424 |
for military service credit; | 4425 |
(2) An amount equal to the lesser of the employer's | 4426 |
contributions to the state teachers retirement system or the | 4427 |
amount that would have been contributed by the employer for the | 4428 |
service had the person been a member of the Cincinnati retirement | 4429 |
system at the time the credit was earned; | 4430 |
(3) Interest on the amounts specified in divisions (B)(1) and | 4431 |
(2) of this section for the period from the last day of the year | 4432 |
for which the service credit was earned or in which payment was | 4433 |
made for military service credit to the date the transfer was | 4434 |
made. | 4435 |
(C)(1) If the person has received a refund of accumulated | 4436 |
contributions to the state teachers retirement system, the state | 4437 |
teachers retirement system shall, for each year of service credit, | 4438 |
transfer to the Cincinnati retirement system the sum of the | 4439 |
following: | 4440 |
(a) Interest on the amount refunded to the former member that | 4441 |
is attributable to the year of service from the last day of the | 4442 |
year for which the service credit was earned or in which payment | 4443 |
was made for military service credit to the date the refund was | 4444 |
made; | 4445 |
(b) An amount equal to the lesser of the employer's | 4446 |
contributions to the state teachers retirement system or the | 4447 |
amount that would have been contributed by the employer for the | 4448 |
service had the person been a member of the Cincinnati retirement | 4449 |
system at the time the credit was earned, with interest on that | 4450 |
amount from the last day of the year for which the service credit | 4451 |
was earned to the date of the transfer. | 4452 |
(2) The amount transferred under division (C)(1) of this | 4453 |
section shall not include any amount added to the member's | 4454 |
accumulated contributions under section 3307.563 of the Revised | 4455 |
Code and paid under section 3307.56 or 3307.562 of the Revised | 4456 |
Code. | 4457 |
(3) On receipt of notice from the Cincinnati retirement | 4458 |
system that the Cincinnati retirement system has received payment | 4459 |
from a person described in division (C)(1) of this section, the | 4460 |
state teachers retirement system shall transfer the amount | 4461 |
described in that division. | 4462 |
(D) Interest charged under this section shall be calculated | 4463 |
separately for each year of service credit. Unless otherwise | 4464 |
specified in this section, it shall be calculated at the lesser of | 4465 |
the actuarial assumption rate for that year of the state teachers | 4466 |
retirement system or the Cincinnati retirement system. The | 4467 |
interest shall be compounded annually. | 4468 |
(E) The transfer of any amount under this section cancels an | 4469 |
equivalent amount of service credit. | 4470 |
(F) At the request of the Cincinnati retirement system, the | 4471 |
state teachers retirement system shall certify to the Cincinnati | 4472 |
retirement system a copy of the records of the service and | 4473 |
contributions of a member or former member of the state teachers | 4474 |
retirement system who elects to receive service credit under the | 4475 |
Cincinnati retirement system. | 4476 |
Sec. 3307.77. (A) As used in this section, "employer" means | 4477 |
the employer employing a member of the state teachers retirement | 4478 |
system at the time the member commences an absence, or is granted | 4479 |
a leave described in this section. | 4480 |
(B) Any member of the state teachers retirement system | 4481 |
participating in the STRS defined benefit plan | 4482 |
4483 | |
combined plan who is, or has been, prevented from making | 4484 |
contributions under section 3307.26 of the Revised Code because of | 4485 |
an absence due to the member's own illness or injury, or who is, | 4486 |
or has been, granted a leave for educational, professional, or | 4487 |
other purposes pursuant to section 3319.13, 3319.131, or 3345.28 | 4488 |
of the Revised Code or for any other reason approved by the state | 4489 |
teachers retirement board, may purchase service credit, not to | 4490 |
exceed two years for each such period of absence or leave, either | 4491 |
by having deductions made in accordance with division (C) of this | 4492 |
section or by making the payment required by division (D) | 4493 |
of this section. | 4494 |
(C) If the absence or leave begins and ends in the same year, | 4495 |
the member may purchase credit for the absence or leave by having | 4496 |
the employer deduct and transmit to the system from payrolls in | 4497 |
that year employee contributions on the amount certified by the | 4498 |
employer as the compensation the member would have received had | 4499 |
the member remained employed in the position held when the absence | 4500 |
or leave commenced. The deductions may be made even though the | 4501 |
minimum compensation provided by law for the member is reduced | 4502 |
thereby, unless the amount to be deducted exceeds the compensation | 4503 |
to be paid the member from the time deductions begin until the end | 4504 |
of the year, in which case credit may not be purchased under this | 4505 |
division. The employer shall pay the system the employer | 4506 |
contributions on the compensation amount certified under this | 4507 |
division. Employee and employer contributions shall be made at the | 4508 |
rates in effect at the time the absence or leave occurred. If the | 4509 |
employee or employer rates in effect change during the absence or | 4510 |
leave, the contributions for each month of the absence or leave | 4511 |
shall be made at the rate in effect for that month. | 4512 |
(D) | 4513 |
4514 | |
4515 | |
4516 | |
4517 | |
4518 | |
4519 | |
4520 | |
4521 | |
4522 | |
4523 | |
4524 | |
4525 | |
4526 | |
4527 |
| 4528 |
4529 | |
not begin and end in the same year or the member does not purchase | 4530 |
the credit under division (C) of this section, a member may | 4531 |
purchase credit for the absence or leave by paying the employer, | 4532 |
and the employer transmitting to the system, the sum of the | 4533 |
following for each year of credit purchased: | 4534 |
(1) An amount determined by multiplying the employee rate of | 4535 |
contribution in effect at the time the absence or leave commenced | 4536 |
by the member's annual compensation for the member's last full | 4537 |
year of service prior to the commencement of the absence or leave, | 4538 |
or, if the member has not had a full year of service, the | 4539 |
compensation the member would have received for the year the | 4540 |
absence or leave commenced had the member continued in service for | 4541 |
a full year; | 4542 |
(2) Interest compounded annually, at a rate determined by the | 4543 |
board, on the amount determined under division | 4544 |
section | 4545 |
the last day of the year in which the absence or leave terminated | 4546 |
4547 |
(3) Interest compounded annually, at a rate determined by the | 4548 |
board, on an amount equal to the employer's contribution required | 4549 |
by this division | 4550 |
following the last day of the year in which the absence or leave | 4551 |
terminated | 4552 |
The employer shall pay to the system for each year of credit | 4553 |
purchased under this division an amount determined by multiplying | 4554 |
the employer contribution rate in effect at the time the absence | 4555 |
or leave commenced by the member's annual compensation for the | 4556 |
member's last full year of service prior to the commencement of | 4557 |
the absence or leave, or, if the member has not had a full year of | 4558 |
service, the compensation the member would have received for the | 4559 |
year the absence or leave commenced had the member continued in | 4560 |
service for a full year. | 4561 |
| 4562 |
division (D) | 4563 |
part of the credit for which the member is eligible in any one | 4564 |
payment | 4565 |
4566 | |
4567 |
| 4568 |
implement this section. | 4569 |
Sec. 3307.771. As used in this section, "regular employment" | 4570 |
means a consistent pattern of employment for twelve or more | 4571 |
consecutive weeks by the same employer during the year. | 4572 |
A member of the state teachers retirement system | 4573 |
participating in the STRS defined benefit plan
| 4574 |
4575 | |
1, 1982, was granted a leave of absence for pregnancy or resigned | 4576 |
due to pregnancy or adoption of a child may purchase service | 4577 |
credit under section 3307.70 of the Revised Code for a period for | 4578 |
which the member did not make contributions under section 3307.26 | 4579 |
of the Revised Code. | 4580 |
4581 | |
period from the day the leave commenced or the effective date of | 4582 |
resignation to the date of the member's return to regular | 4583 |
employment as a contributor to the retirement system. A member may | 4584 |
purchase credit for more than one period of absence due to | 4585 |
pregnancy or adoption, but the total service credit and credit | 4586 |
purchased under | 4587 |
section 3307.514 of the Revised Code shall not exceed two years. | 4588 |
The member shall submit evidence satisfactory to the retirement | 4589 |
board documenting that the leave or resignation was due to | 4590 |
pregnancy or adoption of a child. | 4591 |
| 4592 |
4593 | |
4594 | |
4595 | |
4596 | |
4597 | |
4598 | |
4599 | |
4600 | |
4601 |
| 4602 |
4603 | |
service credit for an absence or leave | 4604 |
section may not purchase credit for that absence or leave under | 4605 |
section 3307.77 of the Revised Code. A member who has purchased | 4606 |
service credit for an absence or leave under former section | 4607 |
3307.513 or 3307.514 or section 3307.77 of the Revised Code may | 4608 |
not purchase credit | 4609 |
period of absence or leave. | 4610 |
| 4611 |
4612 |
Sec. 3307.78. (A) As used in this section, "school board | 4613 |
member" means a member of a city, local, exempted village, or | 4614 |
joint vocational school district board of education and "governing | 4615 |
board member" means a member of an educational service center | 4616 |
governing board. | 4617 |
(B) A member of the state teachers retirement system | 4618 |
participating in the STRS defined benefit plan | 4619 |
4620 | |
the following may purchase credit under section 3307.70 of the | 4621 |
Revised Code for service as a school board or governing board | 4622 |
member, other than service subject to the tax on wages imposed by | 4623 |
the "Federal Insurance Contributions Act," 68A Stat. 415 (1954), | 4624 |
26 U.S.C.A. 3101, as amended, if the member is eligible to retire | 4625 |
under this chapter or will become eligible to retire as a result | 4626 |
of purchasing the credit: | 4627 |
(1) Agrees to retire within ninety days after receiving | 4628 |
notice of the additional liability under division (C) of this | 4629 |
section; | 4630 |
(2) Provides evidence satisfactory to the state teachers | 4631 |
retirement board of service as a school board or governing board | 4632 |
member during the years for which the member wishes to purchase | 4633 |
credit. | 4634 |
Credit may be purchased for service as a school board or | 4635 |
governing board member between September 1, 1920, and the first | 4636 |
day of January of the year in which the credit is purchased. A | 4637 |
member is eligible to purchase one-quarter of a year's credit for | 4638 |
each year of service as a school board or governing board member. | 4639 |
| 4640 |
4641 | |
4642 |
(C) On receipt of a request from a member eligible to | 4643 |
purchase credit | 4644 |
obtain from its actuary certification of the additional liability | 4645 |
to the system for each quarter year of credit the member is | 4646 |
eligible to purchase and shall notify the member of such | 4647 |
additional liability. Within ninety days after receiving notice of | 4648 |
the additional liability, the member may purchase in quarter-year | 4649 |
increments any portion of the credit the member is eligible to | 4650 |
purchase. | 4651 |
4652 | |
4653 | |
full at the time of purchase. | 4654 |
(D) | 4655 |
4656 | |
4657 | |
4658 | |
4659 | |
4660 |
| 4661 |
purchasing credit | 4662 |
shall withdraw the credit and refund the amount paid by the | 4663 |
member. | 4664 |
Sec. 3307.79. (A) A member whose death occurred prior to | 4665 |
July 1, 1973, who at the time of death had more than thirty-four | 4666 |
but less than thirty-five years of service credit shall be | 4667 |
presumed to have completed thirty-five years of such credit. Any | 4668 |
member whose death occurred on or after July 1, 1973, but prior to | 4669 |
August 20, 1976, and who at the time of death had more than | 4670 |
thirty-one but less than thirty-two years of service credit shall | 4671 |
be presumed to have completed thirty-two years of such credit. Any | 4672 |
member participating in the STRS defined benefit plan | 4673 |
4674 | |
on or after August 20, 1976, but prior to July 1, 2015, and who at | 4675 |
the time of death has more than twenty-nine but less than thirty | 4676 |
years of service credit shall be presumed to have completed thirty | 4677 |
years of such credit. | 4678 |
(B) On the death of a member who is participating in the STRS | 4679 |
defined benefit plan
| 4680 |
4681 | |
or dependents of the deceased member shall have the right to | 4682 |
4683 | |
died, would have been eligible to | 4684 |
sections | 4685 |
4686 | |
of the Revised Code upon the same terms and conditions which the | 4687 |
deceased member could have
| 4688 |
had the deceased member not died. Any service credit | 4689 |
obtained under this section shall be applied under the provisions | 4690 |
of this chapter in the same manner as it would have been applied | 4691 |
had it been | 4692 |
deceased member's lifetime. | 4693 |
Sec. 3307.80. The state teachers retirement board shall | 4694 |
adopt rules to implement | 4695 |
plan established under section 3307.81 of the Revised Code. | 4696 |
Sec. 3307.81. The state teachers retirement board shall | 4697 |
establish one or more defined contribution plans consisting of | 4698 |
benefit options that provide for an individual account for each | 4699 |
participating member and under which benefits are based solely on | 4700 |
the amounts that have accumulated in the account. The plans may | 4701 |
include options under which a member participating in a plan may | 4702 |
receive definitely determinable benefits. | 4703 |
| 4704 |
section shall meet the requirements of sections 3307.81 to 3307.89 | 4705 |
of the Revised Code. It may include life insurance, annuities, | 4706 |
variable annuities, regulated investment trusts, pooled investment | 4707 |
funds, or other forms of investment. | 4708 |
The board may administer the plans, enter into contracts with | 4709 |
other entities to administer the plans, or both. The board may | 4710 |
contract with another entity to administer the plans if the entity | 4711 |
agrees to meet all requirements of this chapter applicable to the | 4712 |
plans. | 4713 |
Sec. 3307.811. | 4714 |
4715 | |
the requirements necessary to qualify as a retirement system | 4716 |
maintained by a state or local government entity under division | 4717 |
(b)(7)(F) of section 3121 of the "Internal Revenue Code of 1986," | 4718 |
100 Stat. 2085, 26 U.S.C.A. 3121(b)(7)(F), as amended. Each | 4719 |
participant in a plan shall qualify as a member of that system. | 4720 |
Sec. 3307.812. In establishing | 4721 |
contribution plan | 4722 |
state teachers retirement board may do all things necessary to | 4723 |
avoid the system being required to pay federal or state income | 4724 |
taxes on contributions to the plan or amounts earned under the | 4725 |
plan and, to the extent permitted under federal or state law, to | 4726 |
allow members participating in the plan to make tax deferred | 4727 |
contributions for periods of interrupted or prior service. | 4728 |
Sec. 3307.83. The right of each member participating in | 4729 |
STRS defined contribution plan
| 4730 |
4731 | |
benefit, to health care insurance coverage, or to a withdrawal of | 4732 |
contributions shall be governed by the plan selected by the member | 4733 |
under section 3307.25 or 3307.251 of the Revised Code. | 4734 |
Sec. 3307.84. For each member participating in | 4735 |
defined contribution plan
| 4736 |
4737 | |
transfer to the employers' trust fund a portion of the employer | 4738 |
contribution required under section 3307.28 of the Revised Code | 4739 |
4740 | |
make a transfer under this section, the portion transferred shall | 4741 |
not exceed the percentage of compensation of members described in | 4742 |
this section for whom the contributions are being made that is | 4743 |
determined by the board's actuary to be necessary to mitigate any | 4744 |
negative financial impact on the state teachers retirement system | 4745 |
of the participation of members in
| 4746 |
plan | 4747 |
remainder shall be credited as provided in section 3307.28 of the | 4748 |
Revised Code. | 4749 |
The state teachers retirement board | 4750 |
4751 | |
to determine whether | 4752 |
this section | 4753 |
the level of the negative financial impact resulting from | 4754 |
participation of members in | 4755 |
4756 | |
shall increase or decrease the percentage transferred, if any, | 4757 |
under this section to reflect the amount needed to mitigate the | 4758 |
negative financial impact, if any, on the system based on the | 4759 |
actuarial study. An increase or decrease in the percentage | 4760 |
transferred shall take effect on | 4761 |
4762 | |
4763 |
| 4764 |
shall make the transfer | 4765 |
unfunded actuarial accrued liability for all benefits, except | 4766 |
health care benefits provided under section 3307.39 | 4767 |
the Revised Code and benefit increases provided to members and | 4768 |
former members participating in the STRS defined benefit plan | 4769 |
4770 | |
July 13, 2000, is fully amortized, as determined by the annual | 4771 |
actuarial valuation prepared under section 3307.51 of the Revised | 4772 |
Code. | 4773 |
Sec. 3307.86. The state teachers retirement system may | 4774 |
require members participating in | 4775 |
plan | 4776 |
their employers to furnish the contributions and information | 4777 |
required under this chapter at more frequent intervals than those | 4778 |
required for members participating in the STRS defined benefit | 4779 |
plan | 4780 |
The system has no duty to accept contributions by or on behalf of | 4781 |
a member if a contribution or information is not furnished at such | 4782 |
intervals. | 4783 |
Sec. 3307.87. (A)(1) If a member participating in | 4784 |
defined contribution plan
| 4785 |
4786 | |
commence, benefits shall be paid in accordance with division | 4787 |
(A)(2) of this section, unless the spouse has consented under | 4788 |
division (C) of this section to a different form of payment or the | 4789 |
spouse's consent is waived under that division. | 4790 |
(2) The benefits described in division (A)(1) of this section | 4791 |
shall be paid in the form of an annuity, which shall consist of | 4792 |
the actuarial equivalent of the member's benefits, in an amount | 4793 |
that is payable for the life of the member and one-half of the | 4794 |
amount continuing after the member's death to the spouse for the | 4795 |
life of the spouse. | 4796 |
(B) If a member participating in | 4797 |
contribution plan | 4798 |
4799 | |
that are payable to the member shall be paid to the member's | 4800 |
spouse, unless the spouse has consented under division (C) of this | 4801 |
section to the designation of a different beneficiary or the | 4802 |
spouse's consent is waived under that division. | 4803 |
(C) Consent is valid only if it is evidenced by a signed | 4804 |
statement that is witnessed by a notary public. Each plan may | 4805 |
waive the requirement of consent if the spouse is incapacitated or | 4806 |
cannot be located or for any other reason specified by the plan or | 4807 |
in rules adopted by the state teachers retirement board. A plan | 4808 |
shall waive the requirement of consent if a plan of payment that | 4809 |
provides for payment in a specified amount continuing after the | 4810 |
member's death to a former spouse is required by a court order | 4811 |
issued prior to the effective date of the member's retirement | 4812 |
under section 3105.171 or 3105.65 of the Revised Code or laws of | 4813 |
another state regarding division of marital property. | 4814 |
Consent or waiver is effective only with regard to the spouse | 4815 |
who is the subject of the consent or waiver. | 4816 |
Sec. 3307.89. The state teachers retirement board may offer | 4817 |
to members participating in the STRS defined benefit plan | 4818 |
4819 | |
opportunity to also participate in one or more of the benefit | 4820 |
options available under | 4821 |
4822 | |
contributions to an option shall be credited to an individual | 4823 |
account established for the member in the defined contribution | 4824 |
fund. | 4825 |
Sec. 3307.98. The increasing contribution determined as | 4826 |
provided in sections 3307.96 and 3307.97 of the Revised Code by | 4827 |
the actuary shall be paid by the employer. In the event of merger, | 4828 |
the moneys and securities to the credit of the local district | 4829 |
pension system, not exceeding an aggregate amount equal to the | 4830 |
present value of the payments to be made on account of all | 4831 |
pensions to the pensioners on the rolls of the local district | 4832 |
pension system, shall be transferred to the employers' | 4833 |
accumulation fund and the pensions then payable by the local | 4834 |
district pension system shall thereafter be paid from the | 4835 |
employers' accumulation fund until the reserves on these pensions | 4836 |
with the other pensions payable from the employers' accumulation | 4837 |
fund have been accumulated and shall be transferred to the annuity | 4838 |
and pension reserve fund, from which fund they shall thereafter be | 4839 |
payable. The pensions of the active members of the local district | 4840 |
pension system and of the new entrants shall thereafter be payable | 4841 |
as are the pensions of other members of the state teachers | 4842 |
retirement system. The amount of the excess of the moneys and | 4843 |
securities of the local district pension system over and above the | 4844 |
present value of the payments to be made on account of all | 4845 |
pensions to the pensioners | 4846 |
pension system shall be transferred to the teachers' savings fund | 4847 |
and shall be credited pro rata to the active teachers of such | 4848 |
local district pension system on the basis of the amounts of their | 4849 |
previous contributions to the local district pension system. In | 4850 |
case such method of distribution is not found practicable by the | 4851 |
state teachers retirement board, the board may use such other | 4852 |
method of apportionment as seems fair and equitable to such board. | 4853 |
The amount so credited in any case shall be considered as a part | 4854 |
of the teacher's accumulated contributions, as defined in section | 4855 |
3307.50 of the Revised Code, for all purposes except in the case | 4856 |
of retirement under the STRS defined benefit plan | 4857 |
4858 | |
be considered as an amount in excess of the teacher's accumulated | 4859 |
contributions and shall be used in purchasing from the annuity and | 4860 |
pension reserve fund an annuity, in addition to any other annuity | 4861 |
or pension benefit otherwise provided by this chapter. | 4862 |
After the moneys and securities of any local district pension | 4863 |
system have been transferred to the employers' accumulation fund | 4864 |
or to the teachers' savings fund, such local district pension | 4865 |
system shall cease to exist. | 4866 |
Sec. 3313.975. As used in this section and in sections | 4867 |
3313.976 to 3313.979 of the Revised Code, "the pilot project | 4868 |
school district" or "the district" means any school district | 4869 |
included in the pilot project scholarship program pursuant to this | 4870 |
section. | 4871 |
(A) The superintendent of public instruction shall establish | 4872 |
a pilot project scholarship program and shall include in such | 4873 |
program any school districts that are or have ever been under | 4874 |
federal court order requiring supervision and operational | 4875 |
management of the district by the state superintendent. The | 4876 |
program shall provide for a number of students residing in any | 4877 |
such district to receive scholarships to attend alternative | 4878 |
schools, and for an equal number of students to receive tutorial | 4879 |
assistance grants while attending public school in any such | 4880 |
district. | 4881 |
(B) The state superintendent shall establish an application | 4882 |
process and deadline for accepting applications from students | 4883 |
residing in the district to participate in the scholarship | 4884 |
program. In the initial year of the program students may only use | 4885 |
a scholarship to attend school in grades kindergarten through | 4886 |
third. | 4887 |
The state superintendent shall award as many scholarships and | 4888 |
tutorial assistance grants as can be funded given the amount | 4889 |
appropriated for the program. In no case, however, shall more than | 4890 |
fifty per cent of all scholarships awarded be used by students who | 4891 |
were enrolled in a nonpublic school during the school year of | 4892 |
application for a scholarship. | 4893 |
(C)(1) The pilot project program shall continue in effect | 4894 |
each year that the general assembly has appropriated sufficient | 4895 |
money to fund scholarships and tutorial assistance grants. In each | 4896 |
year the program continues, new students may receive scholarships | 4897 |
in grades kindergarten to twelve. A student who has received a | 4898 |
scholarship may continue to receive one until the student has | 4899 |
completed grade twelve. | 4900 |
(2) If the general assembly discontinues the scholarship | 4901 |
program, all students who are attending an alternative school | 4902 |
under the pilot project shall be entitled to continued admittance | 4903 |
to that specific school through all grades that are provided in | 4904 |
such school, under the same conditions as when they were | 4905 |
participating in the pilot project. The state superintendent shall | 4906 |
continue to make scholarship payments in accordance with division | 4907 |
(A) or (B) of section 3313.979 of the Revised Code for students | 4908 |
who remain enrolled in an alternative school under this provision | 4909 |
in any year that funds have been appropriated for this purpose. | 4910 |
If funds are not appropriated, the tuition charged to the | 4911 |
parents of a student who remains enrolled in an alternative school | 4912 |
under this provision shall not be increased beyond the amount | 4913 |
equal to the amount of the scholarship plus any additional amount | 4914 |
charged that student's parent in the most recent year of | 4915 |
attendance as a participant in the pilot project, except that | 4916 |
tuition for all the students enrolled in such school may be | 4917 |
increased by the same percentage. | 4918 |
(D) Notwithstanding sections 124.39 | 4919 |
the Revised Code, if the pilot project school district experiences | 4920 |
a decrease in enrollment due to participation in a state-sponsored | 4921 |
scholarship program pursuant to sections 3313.974 to 3313.979 of | 4922 |
the Revised Code, the district board of education may enter into | 4923 |
an agreement with any teacher it employs to provide to that | 4924 |
teacher severance pay or early retirement incentives, or both, if | 4925 |
the teacher agrees to terminate the employment contract with the | 4926 |
district board, provided any collective bargaining agreement in | 4927 |
force pursuant to Chapter 4117. of the Revised Code does not | 4928 |
prohibit such an agreement for termination of a teacher's | 4929 |
employment contract. | 4930 |
Section 2. That existing sections 3305.06, 3307.01, 3307.031, | 4931 |
3307.04, 3307.044, 3307.061, 3307.14, 3307.142, 3307.20, 3307.214, | 4932 |
3307.25, 3307.251, 3307.252, 3307.26, 3307.28, 3307.33, 3307.35, | 4933 |
3307.351, 3307.352, 3307.371, 3307.39, 3307.391, 3307.42, 3307.46, | 4934 |
3307.47, 3307.50, 3307.501, 3307.51, 3307.512, 3307.52, 3307.53, | 4935 |
3307.56, 3307.561, 3307.562, 3307.563, 3307.57, 3307.58, 3307.59, | 4936 |
3307.60, 3307.62, 3307.63, 3307.631, 3307.64, 3307.66, 3307.661, | 4937 |
3307.67, 3307.671, 3307.694, 3307.71, 3307.711, 3307.712, 3307.72, | 4938 |
3307.73, 3307.74, 3307.75, 3307.751, 3307.752, 3307.76, 3307.761, | 4939 |
3307.763, 3307.764, 3307.77, 3307.771, 3307.78, 3307.79, 3307.80, | 4940 |
3307.81, 3307.811, 3307.812, 3307.83, 3307.84, 3307.86, 3307.87, | 4941 |
3307.89, 3307.98, and 3313.975 and sections 3307.54, 3307.61, | 4942 |
3307.741, 3307.88, 3307.881, and 3307.882 of the Revised Code are | 4943 |
hereby repealed. | 4944 |
Section 3. Sections 1, 2, and 6 of this act, except for the | 4945 |
amendments to division (A)(6) of section 3307.26, division (B)(3) | 4946 |
of section 3307.58, and division (E) of section 3307.67 of the | 4947 |
Revised Code, and the repeal of section 3307.54 of the Revised | 4948 |
Code, take effect January 7, 2013. | 4949 |
Section 4. The amendments by this act to division (A)(6) of | 4950 |
section 3307.26, division (B)(3) of section 3307.58, and division | 4951 |
(E) of section 3307.67 of the Revised Code take effect one hundred | 4952 |
eighty days after the effective date of this act. | 4953 |
Section 5. The repeal by this act of section 3307.54 of the | 4954 |
Revised Code takes effect July 31, 2014. | 4955 |
Section 6. (A) The Ohio Retirement Study Council shall study | 4956 |
and make recommendations on the State Teachers Retirement Board's | 4957 |
authority to do the following: | 4958 |
(1) For compensation earned on or after July 1, 2017, reduce | 4959 |
the employee contribution rate to less than fourteen per cent in | 4960 |
accordance with division (A)(6) of section 3307.26 of the Revised | 4961 |
Code; | 4962 |
(2) Adjust eligibility requirements for retirement in | 4963 |
accordance with division (B)(3) of section 3307.58 of the Revised | 4964 |
Code; | 4965 |
(3) Adjust the cost-of-living adjustment in accordance with | 4966 |
division (E) of section 3307.67 of the Revised Code. | 4967 |
(B) Not later than ninety days after the effective date of | 4968 |
this section, the Council shall prepare and submit to the | 4969 |
President of the Senate and the Speaker of the House of | 4970 |
Representatives a report of its findings and recommendations. | 4971 |
Section 7. The General Assembly makes the following | 4972 |
statement of findings and intent: | 4973 |
The General Assembly finds the following: | 4974 |
Current funding for the STRS defined benefit plan in the | 4975 |
State Teachers Retirement System is inadequate to pay benefits | 4976 |
over the long term and, if no changes are made to the plan, the | 4977 |
retirement system will eventually be unable to pay benefits. The | 4978 |
General Assembly bases this finding on the following: | 4979 |
Section 3307.512 of the Revised Code requires the State | 4980 |
Teachers Retirement Board to establish a period of not more than | 4981 |
thirty years to amortize its unfunded pension liabilities for | 4982 |
benefits paid under the STRS defined benefit plan. | 4983 |
A five-year actuarial experience study conducted in 2008 | 4984 |
showed an amortization period of 41.2 years as of June 30, 2008, | 4985 |
exceeding the thirty-year amortization period. This increase in | 4986 |
the amortization period was caused by a variety of economic and | 4987 |
demographic factors, including an increase in the life expectancy | 4988 |
of retirement system members and prior increases in the retirement | 4989 |
benefit formula. | 4990 |
Due to the historic decline in the global investment markets | 4991 |
and accompanying recession that followed, the amortization period | 4992 |
for the retirement system's unfunded pension liabilities under the | 4993 |
STRS defined benefit plan became infinite. | 4994 |
There is a legitimate and important state interest in | 4995 |
maintaining the solvency of the STRS defined benefit plan, | 4996 |
maintaining public confidence in the plan, and ensuring that | 4997 |
funding is available to pay the monthly pensions of future | 4998 |
retirees under the plan. | 4999 |
The General Assembly finds that certain changes to the STRS | 5000 |
defined benefit plan, including changes to member contribution | 5001 |
rates, retirement eligibility, benefit formulas, the number of | 5002 |
years used to calculate final average salary, and future | 5003 |
cost-of-living adjustments, are reasonable and necessary to | 5004 |
further these legitimate and important state interests. The | 5005 |
General Assembly bases this finding on all of the following: | 5006 |
In March 2009, the State Teachers Retirement Board began a | 5007 |
long-term contingency planning process. As part of that process, | 5008 |
the Board conducted an asset allocation study showing that the | 5009 |
retirement system could not eliminate the shortfall in funding | 5010 |
through increased returns on investments. | 5011 |
In May 2009, the Ohio Retirement Study Council directed each | 5012 |
public retirement system, including the State Teachers Retirement | 5013 |
System, to prepare, for presentation to the Council in September | 5014 |
2009, board-approved plans for achieving or maintaining the | 5015 |
30-year funding period. | 5016 |
In preparing the September 2009 plan, the State Teachers | 5017 |
Retirement Board and its actuary evaluated potential changes to | 5018 |
numerous plan components designed to improve the long-term | 5019 |
solvency of the STRS defined benefit plan. | 5020 |
The September 2009 plan adopted by the State Teachers | 5021 |
Retirement Board included proposed changes to member contribution | 5022 |
rates, eligibility for retirement, the benefit formula for future | 5023 |
retirees, the number of years used to calculate final average | 5024 |
salary, and cost-of-living adjustments for current and future | 5025 |
retirees. | 5026 |
Over time, the State Teachers Retirement Board modified its | 5027 |
long-term pension reform plan. With each modification, the plan | 5028 |
adopted by the Board included proposed changes to member | 5029 |
contribution rates, retirement eligibility, benefit formulas for | 5030 |
future retirees, the number of years used to calculate final | 5031 |
average salary, and cost-of-living adjustments for both current | 5032 |
and future retirees. | 5033 |
In April 2012, the State Teachers Retirement Board | 5034 |
unanimously approved a new long-term pension reform plan following | 5035 |
the results of a three-year actuarial experience study. That study | 5036 |
resulted in changes to certain actuarial assumptions, including | 5037 |
lowering the expected long-term rate of return on investment | 5038 |
assets. | 5039 |
The April 2012 plan, like prior pension reform plans adopted | 5040 |
by the State Teachers Retirement Board, includes proposed changes | 5041 |
to member contribution rates, retirement eligibility, benefit | 5042 |
formulas for future retirees, the number of years used to | 5043 |
calculate final average salary, and cost-of-living adjustments for | 5044 |
current and future retirees. | 5045 |
The General Assembly finds that the changes proposed by the | 5046 |
State Teachers Retirement Board in its April 2012 plan are | 5047 |
reasonable and necessary to maintain the solvency of the STRS | 5048 |
defined benefit plan, maintain public confidence in the plan, and | 5049 |
help ensure that funds will be available to pay the monthly | 5050 |
pensions of current and future retirees. | 5051 |
In amending section 3307.67 of the Revised Code, it is the | 5052 |
intent of the General Assembly to do all of the following: | 5053 |
To recognize that no member has a legitimate expectation of | 5054 |
any particular future cost-of-living adjustment, or payment of | 5055 |
future cost-of-living adjustments at any particular time, under | 5056 |
Ohio law; | 5057 |
To declare that the modifications to future cost-of-living | 5058 |
adjustments under section 3307.67 of the Revised Code are | 5059 |
reasonable; | 5060 |
To recognize that the funding crisis exacerbated by the | 5061 |
historic decline in the global investment markets and accompanying | 5062 |
recession was unforeseen; | 5063 |
To recognize that cost-of-living adjustments under the STRS | 5064 |
defined benefit plan were never intended to undermine the solvency | 5065 |
of the STRS defined benefit plan, or to put at risk the monthly | 5066 |
pensions of current and future retirees under the plan; | 5067 |
To declare that the modifications to future cost-of-living | 5068 |
adjustments under the STRS defined benefit plan under section | 5069 |
3307.67 of the Revised Code, strike a reasonable balance between | 5070 |
current and future retirees; | 5071 |
To declare that the modifications to future cost-of-living | 5072 |
adjustments under section 3307.67 of the Revised Code are | 5073 |
necessary; | 5074 |
To recognize that the retirement system cannot eliminate its | 5075 |
funding crisis through increased returns on investments; | 5076 |
To declare that modifying future cost-of-living adjustments | 5077 |
is the most effective means for restoring the long-term solvency | 5078 |
of the STRS defined benefit plan; | 5079 |
To declare that modifications to future cost-of-living | 5080 |
adjustments under section 3307.67 of the Revised Code are | 5081 |
necessary to improve the long-term solvency and actuarial | 5082 |
soundness of the STRS defined benefit plan. | 5083 |