As Introduced

129th General Assembly Regular Session 2011-2012

S. B. No. 343

Senators Niehaus, Kearney 

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A BILL

To amend sections 101.92, 101.93, 145.01, 145.04,

1

145.041, 145.05, 145.057, 145.06, 145.09, 145.19,

2

145.191, 145.192, 145.193, 145.20, 145.201,

3

145.22, 145.23, 145.27, 145.28, 145.29, 145.291,

4

145.293, 145.294, 145.295, 145.297, 145.298,

5

145.299, 145.2911, 145.2912, 145.2913, 145.2914,

6

145.30, 145.301, 145.32, 145.323, 145.33, 145.331,

7

145.35, 145.36, 145.361, 145.362, 145.37, 145.38,

8

145.383, 145.384, 145.39, 145.40, 145.401, 145.41,

9

145.43, 145.45, 145.452, 145.46, 145.461, 145.462,

10

145.47, 145.473, 145.48, 145.483, 145.49, 145.51,

11

145.54, 145.56, 145.561, 145.563, 145.58, 145.62,

12

145.63, 145.64, 145.813, 145.814, 145.82, 145.83,

13

145.87, 145.92, 145.95, 145.97, 742.63, 2329.66,

14

2921.13, 3105.80, 3305.06, 3305.57, 3309.312,

15

3309.35, and 3375.411; to amend, for the purpose

16

of adopting new section numbers as indicated in

17

parentheses, sections 145.29 (145.292) and 145.325

18

(145.584); to enact new sections 145.29 and

19

145.332 and sections 145.016, 145.017, 145.036,

20

145.037, 145.038, 145.101, 145.194, 145.195,

21

145.2915, 145.2916, 145.363, 145.431, 145.574,

22

2901.431, and 2929.194; and to repeal sections

23

145.02, 145.292, 145.321, 145.322, 145.324,

24

145.326, 145.327, 145.328, 145.329, 145.3210,

25

145.3211, 145.3212, 145.3213, 145.332, 145.34,

26

145.42, and 145.44 of the Revised Code to revise

27

the law governing the Public Employees Retirement

28

System.

29

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1.  That sections 101.92, 101.93, 145.01, 145.04,	30
145.041, 145.05, 145.057, 145.06, 145.09, 145.19, 145.191,	31
145.192, 145.193, 145.20, 145.201, 145.22, 145.23, 145.27, 145.28,	32
145.29, 145.291, 145.293, 145.294, 145.295, 145.297, 145.298,	33
145.299, 145.2911, 145.2912, 145.2913, 145.2914, 145.30, 145.301,	34
145.32, 145.323, 145.33, 145.331, 145.35, 145.36, 145.361,	35
145.362, 145.37, 145.38, 145.383, 145.384, 145.39, 145.40,	36
145.401, 145.41, 145.43, 145.45, 145.452, 145.46, 145.461,	37
145.462, 145.47, 145.473, 145.48, 145.483, 145.49, 145.51, 145.54,	38
145.56, 145.561, 145.563, 145.58, 145.62, 145.63, 145.64, 145.813,	39
145.814, 145.82, 145.83, 145.87, 145.92, 145.95, 145.97, 742.63,	40
2329.66, 2921.13, 3105.80, 3305.06, 3307.57, 3309.312, 3309.35,	41
and 3375.411 be amended; sections 145.29 (145.292) and 145.325	42
(145.584) be amended for the purpose of adopting new section	43
numbers as indicated in parentheses; and new sections 145.29 and	44
145.332 and sections 145.016, 145.017, 145.036, 145.037, 145.038,	45
145.101, 145.194, 145.195, 145.2915, 145.2916, 145.363, 145.431,	46
145.574, 2901.431, and 2929.194 be enacted to read as follows:	47

Sec. 101.92.  (A) Each retirement system lobbyist and each	48
employer shall file with the joint legislative ethics committee,	49
within ten days following the engagement of a retirement system	50
lobbyist, an initial registration statement showing all of the	51
following:	52

(1) The name, business address, and occupation of the	53
retirement system lobbyist;	54

(2) The name and business address of the employer or of the	55
real party in interest on whose behalf the retirement system	56
lobbyist is acting, if it is different from the employer. For the	57
purposes of division (A) of this section, where a trade	58
association or other charitable or fraternal organization that is	59
exempt from federal income taxation under subsection 501(c) of the	60
federal Internal Revenue Code is the employer, the statement need	61
not list the names and addresses of every member of the	62
association or organization, so long as the association or	63
organization itself is listed.	64

(3) A brief description of the retirement system decision to	65
which the engagement relates;	66

(4) The name of the retirement system or systems to which the	67
engagement relates.	68

(B) In addition to the initial registration statement	69
required by division (A) of this section, each retirement system	70
lobbyist and employer shall file with the joint committee, not	71
later than the last day of January, May, and September of each	72
year, an updated registration statement that confirms the	73
continuing existence of each engagement described in an initial	74
registration statement and that lists the specific retirement	75
system decisions that the lobbyist sought to influence under the	76
engagement during the period covered by the updated statement, and	77
with it any statement of expenditures required to be filed by	78
section 101.93 of the Revised Code and any details of financial	79
transactions required to be filed by section 101.94 of the Revised	80
Code.	81

(C) If a retirement system lobbyist is engaged by more than	82
one employer, the lobbyist shall file a separate initial and	83
updated registration statement for each engagement. If an employer	84
engages more than one retirement system lobbyist, the employer	85
need file only one updated registration statement under division	86
(B) of this section, which shall contain the information required	87
by division (B) of this section regarding all of the retirement	88
system lobbyists engaged by the employer.	89

(D)(1) A change in any information required by division	90
(A)(1), (2), or (B) of this section shall be reflected in the next	91
updated registration statement filed under division (B) of this	92
section.	93

(2) Within thirty days following the termination of an	94
engagement, the retirement system lobbyist who was employed under	95
the engagement shall send written notification of the termination	96
to the joint committee.	97

(E) A registration fee of twenty-five dollars shall be	98
charged for filing an initial registration statement. All money	99
collected from registration fees under this division and late	100
filing fees under division (G) of this section shall be deposited	101
into the state treasury to the credit of the joint legislative	102
ethics committee fund created under section 101.34 of the Revised	103
Code.	104

(F) Upon registration pursuant to this section, a retirement	105
system lobbyist shall be issued a card by the joint committee	106
showing that the lobbyist is registered. The registration card and	107
the retirement system lobbyist's registration shall be valid from	108
the date of their issuance until the thirty-first day of January	109
of the year following the year in which the initial registration	110
was filed.	111

(G) The executive director of the joint committee shall be	112
responsible for reviewing each registration statement filed with	113
the joint committee under this section and for determining whether	114
the statement contains all of the required information. If the	115
joint committee determines that the registration statement does	116
not contain all of the required information or that a retirement	117
system lobbyist or employer has failed to file a registration	118
statement, the joint committee shall send written notification by	119
certified mail to the person who filed the registration statement	120
regarding the deficiency in the statement or to the person who	121
failed to file the registration statement regarding the failure.	122
Any person so notified by the joint committee shall, not later	123
than fifteen days after receiving the notice, file a registration	124
statement or an amended registration statement that contains all	125
of the required information. If any person who receives a notice	126
under this division fails to file a registration statement or such	127
an amended registration statement within this fifteen-day period,	128
the joint committee shall assess a late filing fee equal to twelve	129
dollars and fifty cents per day, up to a maximum fee of one	130
hundred dollars, upon that person. The joint committee may waive	131
the late filing fee for good cause shown.	132

(H) On or before the fifteenth day of March of each year, the	133
joint committee shall, in the manner and form that it determines,	134
publish a report containing statistical information on the	135
registration statements filed with it under this section during	136
the preceding year.	137

(I) If an employer who engages a retirement system lobbyist	138
is the recipient of a contract, grant, lease, or other financial	139
arrangement pursuant to which funds of the state or of a	140
retirement system are distributed or allocated, the executive	141
agency or any aggrieved partyretirement system may consider the	142
failure of the employer or the retirement system lobbyist to	143
comply with this section as a breach of a material condition of	144
the contract, grant, lease, or other financial arrangement.	145

(J) Retirement system officials may require certification	146
from any person seeking the award of a contract, grant, lease, or	147
financial arrangement that the person and the person's employer	148
are in compliance with this section.	149

Sec. 101.93.  (A) Each retirement system lobbyist and each	150
employer shall file with the joint legislative ethics committee,	151
with the updated registration statement required by division (B)	152
of section 121.62101.92 of the Revised Code, a statement of	153
expenditures as specified in divisions (B) and (C) of this	154
section. A retirement system lobbyist shall file a separate	155
statement of expenditures under this section for each employer	156
that engages the retirement system lobbyist.	157

(B)(1) In addition to the information required by divisions	158
(B)(2) and (3) of this section, a statement filed by a retirement	159
system lobbyist shall show the total amount of expenditures made	160
during the reporting period covered by the statement by the	161
retirement system lobbyist.	162

(2) If, during a reporting period covered by a statement, an	163
employer or any retirement system lobbyist the employer engaged	164
made, either separately or in combination with each other,	165
expenditures to, at the request of, for the benefit of, or on	166
behalf of a member of a board of a state retirement system, a	167
state retirement system investment official, or an employee of a	168
state retirement system whose position involves substantial and	169
material exercise of discretion in the investment of retirement	170
system funds the employer or retirement system lobbyist also shall	171
state the name of the member, official, or employee to whom, at	172
whose request, for whose benefit, or on whose behalf the	173
expenditures were made, the total amount of the expenditures made,	174
a brief description of the expenditures made, the approximate date	175
the expenditures were made, the retirement system decision, if	176
any, sought to be influenced, and the identity of the client on	177
whose behalf the expenditure was made.	178

As used in division (B)(2) of this section, "expenditures"	179
does not include expenditures made by a retirement system lobbyist	180
as payment for meals and other food and beverages.	181

(3) If, during a reporting period covered by a statement, a	182
retirement system lobbyist made expenditures as payment for meals	183
and other food and beverages, that, when added to the amount of	184
previous payments made for meals and other food and beverages by	185
that retirement system lobbyist during that same calendar year,	186
exceeded a total of fifty dollars to, at the request of, for the	187
benefit of, or on behalf of a member of a board of a state	188
retirement system, a state retirement system investment official,	189
or an employee of a state retirement system whose position	190
involves substantial and material exercise of discretion in the	191
investment of retirement system funds, the retirement system	192
lobbyist shall also state regarding those expenditures the name of	193
the member, official, or employee to whom, at whose request, for	194
whose benefit, or on whose behalf the expenditures were made, the	195
total amount of the expenditures made, a brief description of the	196
expenditures made, the approximate date the expenditures were	197
made, the retirement system decision, if any, sought to be	198
influenced, and the identity of the client on whose behalf the	199
expenditure was made.	200

(C) In addition to the information required by divisions	201
(B)(2) and (3) of this section, a statement filed by an employer	202
shall show the total amount of expenditures made by the employer	203
filing the statement during the period covered by the statement.	204
As used in this section, "expenditures" does not include the	205
expenses of maintaining office facilities, or the compensation	206
paid to retirement system lobbyists engaged to influence	207
retirement system decisions or conduct retirement system lobbying	208
activity.	209

No employer shall be required to show any expenditure on a	210
statement filed under this division if the expenditure is reported	211
on a statement filed under division (B)(1), (2), or (3) of this	212
section by a retirement system lobbyist engaged by the employer.	213

(D) Any statement required to be filed under this section	214
shall be filed at the times specified in section 121.62101.92 of	215
the Revised Code. Each statement shall cover expenditures made	216
during the four-calendar-month period that ended on the last day	217
of the month immediately preceding the month in which the	218
statement is required to be filed.	219

(E) If it is impractical or impossible for a retirement	220
system lobbyist or employer to determine exact dollar amounts or	221
values of expenditures, reporting of good faith estimates, based	222
on reasonable accounting procedures, constitutes compliance with	223
this division.	224

(F) Retirement system lobbyists and employers shall retain	225
receipts or maintain records for all expenditures that are	226
required to be reported pursuant to this section. These receipts	227
or records shall be maintained for a period ending on the	228
thirty-first day of December of the second calendar year after the	229
year in which the expenditure was made.	230

(G)(1) At least ten days before the date on which the	231
statement is filed, each employer or retirement system lobbyist	232
who is required to file an expenditure statement under division	233
(B)(2) or (3) of this section shall deliver a copy of the	234
statement, or the portion showing the expenditure, to the member,	235
official, or employee who is listed in the statement as having	236
received the expenditure or on whose behalf it was made.	237

(2) If, during a reporting period covered by an expenditure	238
statement filed under division (B)(2) of this section, an employer	239
or any retirement system lobbyist the employer engaged made,	240
either separately or in combination with each other, either	241
directly or indirectly, expenditures for food and beverages	242
purchased for consumption on the premises in which the food and	243
beverages were sold to, at the request of, for the benefit orof,	244
or on behalf of any of the members, officials, or employees	245
described in division (B)(2) of this section, the employer or	246
retirement system lobbyist shall deliver to the member, official,	247
or employee a statement that contains all of the nondisputed	248
information prescribed in division (B)(2) of this section with	249
respect to the expenditures described in division (G)(2) of this	250
section. The statement of expenditures made under division (G)(2)	251
of this section shall be delivered to the member, official, or	252
employee to whom, at whose request, for whose benefit, or on whose	253
behalf those expenditures were made on the same day in which a	254
copy of the expenditure statement or of a portion showing the	255
expenditure is delivered to the member, official, or employee	256
under division (G)(1) of this section. An employer is not required	257
to show any expenditure on a statement delivered under division	258
(G)(2) of this section if the expenditure is shown on a statement	259
delivered under division (G)(2) of this section by a retirement	260
system lobbyist engaged by the employer.	261

Sec. 145.01.  As used in this chapter:

262

(A) "Public employee" means:

263

(1) Any person holding an office, not elective, under the	264
state or any county, township, municipal corporation, park	265
district, conservancy district, sanitary district, health	266
district, metropolitan housing authority, state retirement board,	267
Ohio historical society, public library, county law library, union	268
cemetery, joint hospital, institutional commissary, state	269
university, or board, bureau, commission, council, committee,	270
authority, or administrative body as the same are, or have been,	271
created by action of the general assembly or by the legislative	272
authority of any of the units of local government named in	273
division (A)(1) of this section, or employed and paid in whole or	274
in part by the state or any of the authorities named in division	275
(A)(1) of this section in any capacity not covered by section	276
742.01, 3307.01, 3309.01, or 5505.01 of the Revised Code.	277

(2) A person who is a member of the public employees	278
retirement system and who continues to perform the same or similar	279
duties under the direction of a contractor who has contracted to	280
take over what before the date of the contract was a publicly	281
operated function. The governmental unit with which the contract	282
has been made shall be deemed the employer for the purposes of	283
administering this chapter.	284

(3) Any person who is an employee of a public employer,	285
notwithstanding that the person's compensation for that employment	286
is derived from funds of a person or entity other than the	287
employer. Credit for such service shall be included as total	288
service credit, provided that the employee makes the payments	289
required by this chapter, and the employer makes the payments	290
required by sections 145.48 and 145.51 of the Revised Code.	291

(4) A person who elects in accordance with section 145.015 of	292
the Revised Code to remain a contributing member of the public	293
employees retirement system.	294

In all cases of doubt, the public employees retirement board	295
shall determine under section 145.036, 145.037, or 145.038 of the	296
Revised Code whether any person is a public employee, and its	297
decision is final.	298

(B) "Member" means any public employee, other than a public	299
employee excluded or exempted from membership in the retirement	300
system by section 145.03, 145.031, 145.032, 145.033, 145.034,	301
145.035, or 145.38 of the Revised Code. "Member" includes a PERS	302
retirant who becomes a member under division (C)(D) of section	303
145.38 of the Revised Code. "Member" also includes a disability	304
benefit recipient.	305

(C) "Head of the department" means the elective or appointive	306
head of the several executive, judicial, and administrative	307
departments, institutions, boards, and commissions of the state	308
and local government as the same are created and defined by the	309
laws of this state or, in case of a charter government, by that	310
charter.	311

(D) "Employer" or "public employer" means the state or any	312
county, township, municipal corporation, park district,	313
conservancy district, sanitary district, health district,	314
metropolitan housing authority, state retirement board, Ohio	315
historical society, public library, county law library, union	316
cemetery, joint hospital, institutional commissary, state medical	317
university, state university, or board, bureau, commission,	318
council, committee, authority, or administrative body as the same	319
are, or have been, created by action of the general assembly or by	320
the legislative authority of any of the units of local government	321
named in this division not covered by section 742.01, 3307.01,	322
3309.01, or 5505.01 of the Revised Code. In addition, "employer"	323
means the employer of any public employee.	324

(E) "Prior service" means all service as a public employee	325
rendered before January 1, 1935, and all service as an employee of	326
any employer who comes within the state teachers retirement system	327
or of the school employees retirement system or of any other	328
retirement system established under the laws of this state	329
rendered prior to January 1, 1935, provided that if the employee	330
claiming the service was employed in any capacity covered by that	331
other system after that other system was established, credit for	332
the service may be allowed by the public employees retirement	333
system only when the employee has made payment, to be computed on	334
the salary earned from the date of appointment to the date	335
membership was established in the public employees retirement	336
system, at the rate in effect at the time of payment, and the	337
employer has made payment of the corresponding full liability as	338
provided by section 145.44 of the Revised Code. "Prior military	339
service" also means all service credited for active duty with the	340
armed forces of the United States as provided in section 145.30 of	341
the Revised Code.	342

If an employee who has been granted prior service credit by	343
the public employees retirement system for service rendered prior	344
to January 1, 1935, as an employee of a board of education	345
establishes, before retirement, one year or more of contributing	346
service in the state teachers retirement system or school	347
employees retirement system, then the prior service ceases to be	348
the liability of this system.	349

If the board determines that a position of any member in any	350
calendar year prior to January 1, 1935, was a part-time position,	351
the board shall determine what fractional part of a year's credit	352
shall be allowed by the following formula:	353

(1) When the member has been either elected or appointed to	354
an office the term of which was two or more years and for which an	355
annual salary is established, the fractional part of the year's	356
credit shall be computed as follows:	357

First, when the member's annual salary is one thousand	358
dollars or less, the service credit for each such calendar year	359
shall be forty per cent of a year.	360

Second, for each full one hundred dollars of annual salary	361
above one thousand dollars, the member's service credit for each	362
such calendar year shall be increased by two and one-half per	363
cent.	364

(2) When the member is paid on a per diem basis, the service	365
credit for any single year of the service shall be determined by	366
using the number of days of service for which the compensation was	367
received in any such year as a numerator and using two hundred	368
fifty days as a denominator.	369

(3) When the member is paid on an hourly basis, the service	370
credit for any single year of the service shall be determined by	371
using the number of hours of service for which the compensation	372
was received in any such year as a numerator and using two	373
thousand hours as a denominator.	374

(F) "Contributor" means any person who has an account in the	375
employees' savings fund created by section 145.23 of the Revised	376
Code. When used in the sections listed in division (B) of section	377
145.82 of the Revised Code, "contributor" includes any person	378
participating in a PERS defined contribution plan.	379

(G) "Beneficiary" or "beneficiaries" means the estate or a	380
person or persons who, as the result of the death of a member,	381
contributor, or retirant, qualify for or are receiving some right	382
or benefit under this chapter.	383

(H)(1) "Total service credit," except as provided in section	384
145.37 of the Revised Code, means all service credited to a member	385
of the retirement system since last becoming a member, including	386
restored service credit as provided by section 145.31 of the	387
Revised Code; credit purchased under sections 145.293 and 145.299	388
of the Revised Code; all the member's prior service credit; all	389
the member's military service credit computed as provided in this	390
chapter; all service credit established pursuant to section	391
145.297 of the Revised Code; and any other service credited under	392
this chapter. In addition, "total service credit" includes any	393
period, not in excess of three years, during which a member was	394
out of service and receiving benefits under Chapters 4121. and	395
4123. of the Revised Code. For the exclusive purpose of satisfying	396
the service credit requirement and of determining eligibility for	397
benefits under sections 145.32, 145.33, 145.331, 145.332, 145.35,	398
145.36, and 145.361 of the Revised Code, "five or more years of	399
total service credit" means sixty or more calendar months of	400
contributing service in this system.	401

(2) "One and one-half years of contributing service credit,"	402
as used in division (B) of section 145.45 of the Revised Code,	403
also means eighteen or more calendar months of employment by a	404
municipal corporation that formerly operated its own retirement	405
plan for its employees or a part of its employees, provided that	406
all employees of that municipal retirement plan who have eighteen	407
or more months of such employment, upon establishing membership in	408
the public employees retirement system, shall make a payment of	409
the contributions they would have paid had they been members of	410
this system for the eighteen months of employment preceding the	411
date membership was established. When that payment has been made	412
by all such employee members, a corresponding payment shall be	413
paid into the employers' accumulation fund by that municipal	414
corporation as the employer of the employees.	415

(3) Where a member also is a member of the state teachers	416
retirement system or the school employees retirement system, or	417
both, except in cases of retirement on a combined basis pursuant	418
to section 145.37 of the Revised Code or as provided in section	419
145.383 of the Revised Code, service credit for any period shall	420
be credited on the basis of the ratio that contributions to the	421
public employees retirement system bear to total contributions in	422
all state retirement systems.	423

(4) Not more than one year of credit may be given for any	424
period of twelve months.	425

(5) "Ohio service credit" means credit for service that was	426
rendered to the state or any of its political subdivisions or any	427
employer.	428

(I) "Regular interest" means interest at any rates for the	429
respective funds and accounts as the public employees retirement	430
board may determine from time to time.	431

(J) "Accumulated contributions" means the sum of all amounts	432
credited to a contributor's individual account in the employees'	433
savings fund together with any interest credited to the	434
contributor's account under section 145.471 or 145.472 of the	435
Revised Code.	436

(K)(1) "Final average salary" means the quotient obtained by	437
dividing by threethe appropriate number specified in section	438
145.017 of the Revised Code the sumgreater of the threethe	439
following:	440

(1) The sum of a member's earnable salaries for the	441
appropriate number of full calendar years of contributing service	442
in which the member's earnable salary was highest, except that if	443
the member has a partial year of contributing service in the year	444
the member's employment terminates and the member's earnable	445
salary for the partial year is higher than for any comparable	446
period in the three years, the member's earnable salary for the	447
partial year shall be substituted for the member's earnable salary	448
for the comparable period during the three years in which the	449
member's earnable salary was lowest;	450

(2) The sum of a member's earnable salaries for the	451
appropriate number of months that were the member's last months of	452
service, up to and including the last month.	453

(2) If a member has less than threethe specified number of	454
years of contributing service, the member's final average salary	455
shall be the member's total earnable salary divided by the total	456
number of years, including any fraction of a year, of the member's	457
contributing servicefor the period of twelve consecutive months	458
in which the member's earnable salary was highest. If	459
contributions were made for less than twelve months, "final	460
average salary" means the member's total earnable salary.	461

(3) For the purpose of calculating benefits payable to a	462
member qualifying for service credit under division (Z)(Y) of this	463
section, "final average salary" means the total earnable salary on	464
which contributions were made divided by the total number of years	465
during which contributions were made, including any fraction of a	466
year. If contributions were made for less than twelve months,	467
"final average salary" means the member's total earnable salary.	468

(L) "Annuity" means payments for life derived from	469
contributions made by a contributor and paid from the annuity and	470
pension reserve fund as provided in this chapter. All annuities	471
shall be paid in twelve equal monthly installments.	472

(M) "Annuity reserve" means the present value, computed upon	473
the basis of the mortality and other tables adopted by the board,	474
of all payments to be made on account of any annuity, or benefit	475
in lieu of any annuity, granted to a retirant as provided in this	476
chapter.	477

(N)(1) "Disability retirement" means retirement as provided	478
in section 145.36 of the Revised Code.	479

(2) "Disability allowance" means an allowance paid on account	480
of disability under section 145.361 of the Revised Code.	481

(3) "Disability benefit" means a benefit paid as disability	482
retirement under section 145.36 of the Revised Code, as a	483
disability allowance under section 145.361 of the Revised Code, or	484
as a disability benefit under section 145.37 of the Revised Code.	485

(4) "Disability benefit recipient" means a member who is	486
receiving a disability benefit.	487

(O) "Age and service retirement" means retirement as provided	488
in sections 145.32, 145.33, 145.331, 145.34,145.332, 145.37, and	489
145.46 and former section 145.34 of the Revised Code.	490

(P) "Pensions" means annual payments for life derived from	491
contributions made by the employer that at the time of retirement	492
are credited into the annuity and pension reserve fund from the	493
employers' accumulation fund and paid from the annuity and pension	494
reserve fund as provided in this chapter. All pensions shall be	495
paid in twelve equal monthly installments.	496

(Q) "Retirement allowance" means the pension plus that	497
portion of the benefit derived from contributions made by the	498
member.	499

(R)(1) Except as otherwise provided in division (R) of this	500
section, "earnable salary" means all salary, wages, and other	501
earnings paid to a contributor by reason of employment in a	502
position covered by the retirement system. The salary, wages, and	503
other earnings shall be determined prior to determination of the	504
amount required to be contributed to the employees' savings fund	505
under section 145.47 of the Revised Code and without regard to	506
whether any of the salary, wages, or other earnings are treated as	507
deferred income for federal income tax purposes. "Earnable salary"	508
includes the following:	509

(a) Payments made by the employer in lieu of salary, wages,	510
or other earnings for sick leave, personal leave, or vacation used	511
by the contributor;	512

(b) Payments made by the employer for the conversion of sick	513
leave, personal leave, and vacation leave accrued, but not used if	514
the payment is made during the year in which the leave is accrued,	515
except that payments made pursuant to section 124.383 or 124.386	516
of the Revised Code are not earnable salary;	517

(c) Allowances paid by the employer for full maintenance,	518
consisting of housing, laundry, and meals, as certified to the	519
retirement board by the employer or the head of the department	520
that employs the contributor;	521

(d) Fees and commissions paid under section 507.09 of the	522
Revised Code;	523

(e) Payments that are made under a disability leave program	524
sponsored by the employer and for which the employer is required	525
by section 145.296 of the Revised Code to make periodic employer	526
and employee contributions;	527

(f) Amounts included pursuant to divisionsdivision (K)(3)	528
and former division (Y) of this section and section 145.2916 of	529
the Revised Code.	530

(2) "Earnable salary" does not include any of the following:

531

(a) Fees and commissions, other than those paid under section	532
507.09 of the Revised Code, paid as sole compensation for personal	533
services and fees and commissions for special services over and	534
above services for which the contributor receives a salary;	535

(b) Amounts paid by the employer to provide life insurance,	536
sickness, accident, endowment, health, medical, hospital, dental,	537
or surgical coverage, or other insurance for the contributor or	538
the contributor's family, or amounts paid by the employer to the	539
contributor in lieu of providing the insurance;	540

(c) Incidental benefits, including lodging, food, laundry,	541
parking, or services furnished by the employer, or use of the	542
employer's property or equipment, or amounts paid by the employer	543
to the contributor in lieu of providing the incidental benefits;	544

(d) Reimbursement for job-related expenses authorized by the	545
employer, including moving and travel expenses and expenses	546
related to professional development;	547

(e) Payments for accrued but unused sick leave, personal	548
leave, or vacation that are made at any time other than in the	549
year in which the sick leave, personal leave, or vacation was	550
accrued;	551

(f) Payments made to or on behalf of a contributor that are	552
in excess of the annual compensation that may be taken into	553
account by the retirement system under division (a)(17) of section	554
401 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	555
U.S.C.A. 401(a)(17), as amended;	556

(g) Payments made under division (B), (C), or (E) of section	557
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill	558
No. 3 of the 119th general assembly, Section 3 of Amended	559
Substitute Senate Bill No. 164 of the 124th general assembly, or	560
Amended Substitute House Bill No. 405 of the 124th general	561
assembly;	562

(h) Anything of value received by the contributor that is	563
based on or attributable to retirement or an agreement to retire,	564
except that payments made on or before January 1, 1989, that are	565
based on or attributable to an agreement to retire shall be	566
included in earnable salary if both of the following apply:	567

(i) The payments are made in accordance with contract	568
provisions that were in effect prior to January 1, 1986;	569

(ii) The employer pays the retirement system an amount	570
specified by the retirement board equal to the additional	571
liability resulting from the payments.	572

(i) The portion of any amount included in section 145.2916 of	573
the Revised Code that represents employer contributions.	574

(3) The retirement board shall determine by rule whether any	575
compensation not enumerated in division (R) of this section is	576
earnable salary, and its decision shall be final.	577

(S) "Pension reserve" means the present value, computed upon	578
the basis of the mortality and other tables adopted by the board,	579
of all payments to be made on account of any retirement allowance	580
or benefit in lieu of any retirement allowance, granted to a	581
member or beneficiary under this chapter.	582

(T)(1) "Contributing service" means allboth of the	583
following:	584

(1) All service credited to a member of the system since	585
January 1, 1935, for which contributions are made as required by	586
sections 145.47, 145.48, and 145.483 of the Revised Code. In any	587
year subsequent to 1934, credit for any service shall be allowed	588
by the following formula:	589

(a) For each month for which the member's earnable salary is	590
two hundred fifty dollars or more, allow one month's credit.	591

(b) For each month for which the member's earnable salary is	592
less than two hundred fifty dollars, allow a fraction of a month's	593
credit. The numerator of this fraction shall be the earnable	594
salary during the month, and the denominator shall be two hundred	595
fifty dollars, except that if the member's annual earnable salary	596
is less than six hundred dollars, the member's credit shall not be	597
reduced below twenty per cent of a year for a calendar year of	598
employment during which the member worked each month. Division	599
(T)(1)(b) of this section shall not reduce any credit earned	600
before January 1, 1985.	601

(2) Notwithstanding division (T)(1) of this section, an	602
elected official who prior to January 1, 1980, was granted a full	603
year of credit for each year of service as an elected official	604
shall be considered to have earned a full year of credit for each	605
year of service regardless of whether the service was full-time or	606
part-time. The public employees retirement board has no authority	607
to reduce the creditin accordance with section 145.016 of the	608
Revised Code;	609

(2) Service credit received by election of the member under	610
section 145.814 of the Revised Code.	611

(U) "State retirement board" means the public employees	612
retirement board, the school employees retirement board, or the	613
state teachers retirement board.	614

(V) "Retirant" means any former member who retires and is	615
receiving a monthly allowance as provided in sections 145.32,	616
145.33, 145.331, 145.34,145.332, and 145.46 and former section	617
145.34 of the Revised Code.	618

(W) "Employer contribution" means the amount paid by an	619
employer as determined under section 145.48 of the Revised Code.	620

(X) "Public service terminates" means the last day for which	621
a public employee is compensated for services performed for an	622
employer or the date of the employee's death, whichever occurs	623
first.	624

(Y) When a member has been elected or appointed to an office,	625
the term of which is two or more years, for which an annual salary	626
is established, and in the event that the salary of the office is	627
increased and the member is denied the additional salary by reason	628
of any constitutional provision prohibiting an increase in salary	629
during a term of office, the member may elect to have the amount	630
of the member's contributions calculated upon the basis of the	631
increased salary for the office. At the member's request, the	632
board shall compute the total additional amount the member would	633
have contributed, or the amount by which each of the member's	634
contributions would have increased, had the member received the	635
increased salary for the office the member holds. If the member	636
elects to have the amount by which the member's contribution would	637
have increased withheld from the member's salary, the member shall	638
notify the employer, and the employer shall make the withholding	639
and transmit it to the retirement system. A member who has not	640
elected to have that amount withheld may elect at any time to make	641
a payment to the retirement system equal to the additional amount	642
the member's contribution would have increased, plus interest on	643
that contribution, compounded annually at a rate established by	644
the board and computed from the date on which the last	645
contribution would have been withheld from the member's salary to	646
the date of payment. A member may make a payment for part of the	647
period for which the increased contribution was not withheld, in	648
which case the interest shall be computed from the date the last	649
contribution would have been withheld for the period for which the	650
payment is made. Upon the payment of the increased contributions	651
as provided in this division, the increased annual salary as	652
provided by law for the office for the period for which the member	653
paid increased contributions thereon shall be used in determining	654
the member's earnable salary for the purpose of computing the	655
member's final average salary.	656

(Z) "Five years of service credit," for the exclusive purpose	657
of satisfying the service credit requirements and of determining	658
eligibility for benefits under section 145.33 or 145.332 of the	659
Revised Code, means employment covered under this chapter or under	660
a former retirement plan operated, recognized, or endorsed by the	661
employer prior to coverage under this chapter or under a	662
combination of the coverage.	663

(AA)(Z) "Deputy sheriff" means any person who is commissioned	664
and employed as a full-time peace officer by the sheriff of any	665
county, and has been so employed since on or before December 31,	666
1965; any person who is or has been commissioned and employed as a	667
peace officer by the sheriff of any county since January 1, 1966,	668
and who has received a certificate attesting to the person's	669
satisfactory completion of the peace officer training school as	670
required by section 109.77 of the Revised Code; or any person	671
deputized by the sheriff of any county and employed pursuant to	672
section 2301.12 of the Revised Code as a criminal bailiff or court	673
constable who has received a certificate attesting to the person's	674
satisfactory completion of the peace officer training school as	675
required by section 109.77 of the Revised Code.	676

(BB)(AA) "Township constable or police officer in a township	677
police department or district" means any person who is	678
commissioned and employed as a full-time peace officer pursuant to	679
Chapter 505. or 509. of the Revised Code, who has received a	680
certificate attesting to the person's satisfactory completion of	681
the peace officer training school as required by section 109.77 of	682
the Revised Code.	683

(CC)(BB) "Drug agent" means any person who is either of the	684
following:	685

(1) Employed full time as a narcotics agent by a county	686
narcotics agency created pursuant to section 307.15 of the Revised	687
Code and has received a certificate attesting to the satisfactory	688
completion of the peace officer training school as required by	689
section 109.77 of the Revised Code;	690

(2) Employed full time as an undercover drug agent as defined	691
in section 109.79 of the Revised Code and is in compliance with	692
section 109.77 of the Revised Code.	693

(DD)(CC) "Department of public safety enforcement agent"	694
means a full-time employee of the department of public safety who	695
is designated under section 5502.14 of the Revised Code as an	696
enforcement agent and who is in compliance with section 109.77 of	697
the Revised Code.	698

(EE)(DD) "Natural resources law enforcement staff officer"	699
means a full-time employee of the department of natural resources	700
who is designated a natural resources law enforcement staff	701
officer under section 1501.013 of the Revised Code and is in	702
compliance with section 109.77 of the Revised Code.	703

(FF)(EE) "Park officer" means a full-time employee of the	704
department of natural resources who is designated a park officer	705
under section 1541.10 of the Revised Code and is in compliance	706
with section 109.77 of the Revised Code.	707

(GG)(FF) "Forest officer" means a full-time employee of the	708
department of natural resources who is designated a forest officer	709
under section 1503.29 of the Revised Code and is in compliance	710
with section 109.77 of the Revised Code.	711

(HH)(GG) "Preserve officer" means a full-time employee of the	712
department of natural resources who is designated a preserve	713
officer under section 1517.10 of the Revised Code and is in	714
compliance with section 109.77 of the Revised Code.	715

(II)(HH) "Wildlife officer" means a full-time employee of the	716
department of natural resources who is designated a wildlife	717
officer under section 1531.13 of the Revised Code and is in	718
compliance with section 109.77 of the Revised Code.	719

(JJ)(II) "State watercraft officer" means a full-time	720
employee of the department of natural resources who is designated	721
a state watercraft officer under section 1547.521 of the Revised	722
Code and is in compliance with section 109.77 of the Revised Code.	723

(KK)(JJ) "Park district police officer" means a full-time	724
employee of a park district who is designated pursuant to section	725
511.232 or 1545.13 of the Revised Code and is in compliance with	726
section 109.77 of the Revised Code.	727

(LL)(KK) "Conservancy district officer" means a full-time	728
employee of a conservancy district who is designated pursuant to	729
section 6101.75 of the Revised Code and is in compliance with	730
section 109.77 of the Revised Code.	731

(MM)(LL) "Municipal police officer" means a member of the	732
organized police department of a municipal corporation who is	733
employed full time, is in compliance with section 109.77 of the	734
Revised Code, and is not a member of the Ohio police and fire	735
pension fund.	736

(NN)(MM) "Veterans' home police officer" means any person who	737
is employed at a veterans' home as a police officer pursuant to	738
section 5907.02 of the Revised Code and is in compliance with	739
section 109.77 of the Revised Code.	740

(OO)(NN) "Special police officer for a mental health	741
institution" means any person who is designated as such pursuant	742
to section 5119.14 of the Revised Code and is in compliance with	743
section 109.77 of the Revised Code.	744

(PP)(OO) "Special police officer for an institution for the	745
mentally retarded and developmentally disabled" means any person	746
who is designated as such pursuant to section 5123.13 of the	747
Revised Code and is in compliance with section 109.77 of the	748
Revised Code.	749

(QQ)(PP) "State university law enforcement officer" means any	750
person who is employed full time as a state university law	751
enforcement officer pursuant to section 3345.04 of the Revised	752
Code and who is in compliance with section 109.77 of the Revised	753
Code.	754

(RR)(QQ) "House sergeant at arms" means any person appointed	755
by the speaker of the house of representatives under division	756
(B)(1) of section 101.311 of the Revised Code who has arrest	757
authority under division (E)(1) of that section.	758

(SS)(RR) "Assistant house sergeant at arms" means any person	759
appointed by the house sergeant at arms under division (C)(1) of	760
section 101.311 of the Revised Code.	761

(TT)(SS) "Regional transit authority police officer" means a	762
person who is employed full time as a regional transit authority	763
police officer under division (Y) of section 306.35 of the Revised	764
Code and is in compliance with section 109.77 of the Revised Code.	765

(UU)(TT) "State highway patrol police officer" means a	766
special police officer employed full time and designated by the	767
superintendent of the state highway patrol pursuant to section	768
5503.09 of the Revised Code or a person serving full time as a	769
special police officer pursuant to that section on a permanent	770
basis on October 21, 1997, who is in compliance with section	771
109.77 of the Revised Code.	772

(VV)(UU) "Municipal public safety director" means a person	773
who serves full time as the public safety director of a municipal	774
corporation with the duty of directing the activities of the	775
municipal corporation's police department and fire department.	776

(WW)(VV) Notwithstanding section 2901.01 of the Revised Code,	777
"PERS law enforcement officer" means a sheriff or any of the	778
following whose primary duties are to preserve the peace, protect	779
life and property, and enforce the laws of this state: a deputy	780
sheriff, township constable or police officer in a township police	781
department or district, drug agent, department of public safety	782
enforcement agent, natural resources law enforcement staff	783
officer, park officer, forest officer, preserve officer, wildlife	784
officer, state watercraft officer, park district police officer,	785
conservancy district officer, veterans' home police officer,	786
special police officer for a mental health institution, special	787
police officer for an institution for the mentally retarded and	788
developmentally disabled, state university law enforcement	789
officer, municipal police officer, house sergeant at arms,	790
assistant house sergeant at arms, regional transit authority	791
police officer, or state highway patrol police officer. PERS law	792
enforcement officer also includes a person serving as a municipal	793
public safety director at any time during the period from	794
September 29, 2005, to March 24, 2009, if the duties of that	795
service were to preserve the peace, protect life and property, and	796
enforce the laws of this state.	797

(XX)(WW) "Hamilton county municipal court bailiff" means a	798
person appointed by the clerk of courts of the Hamilton county	799
municipal court under division (A)(3) of section 1901.32 of the	800
Revised Code who is employed full time as a bailiff or deputy	801
bailiff, who has received a certificate attesting to the person's	802
satisfactory completion of the peace officer basic training	803
described in division (D)(1) of section 109.77 of the Revised	804
Code.	805

(YY)(XX) "PERS public safety officer" means a Hamilton county	806
municipal court bailiff, or any of the following whose primary	807
duties are other than to preserve the peace, protect life and	808
property, and enforce the laws of this state: a deputy sheriff,	809
township constable or police officer in a township police	810
department or district, drug agent, department of public safety	811
enforcement agent, natural resources law enforcement staff	812
officer, park officer, forest officer, preserve officer, wildlife	813
officer, state watercraft officer, park district police officer,	814
conservancy district officer, veterans' home police officer,	815
special police officer for a mental health institution, special	816
police officer for an institution for the mentally retarded and	817
developmentally disabled, state university law enforcement	818
officer, municipal police officer, house sergeant at arms,	819
assistant house sergeant at arms, regional transit authority	820
police officer, or state highway patrol police officer. "PERS	821
public safety officer" also includes a person serving as a	822
municipal public safety director at any time during the period	823
from September 29, 2005, to March 24, 2009, if the duties of that	824
service were other than to preserve the peace, protect life and	825
property, and enforce the laws of this state.	826

(ZZ)(YY) "Fiduciary" means a person who does any of the	827
following:	828

(1) Exercises any discretionary authority or control with	829
respect to the management of the system or with respect to the	830
management or disposition of its assets;	831

(2) Renders investment advice for a fee, direct or indirect,	832
with respect to money or property of the system;	833

(3) Has any discretionary authority or responsibility in the	834
administration of the system.	835

(AAA)(ZZ) "Actuary" means an individual who satisfies all of	836
the following requirements:	837

(1) Is a member of the American academy of actuaries;

838

(2) Is an associate or fellow of the society of actuaries;

839

(3) Has a minimum of five years' experience in providing	840
actuarial services to public retirement plans.	841

(BBB)(AAA) "PERS defined benefit plan" means the plan	842
described in sections 145.201 to 145.79 of the Revised Code.	843

(CCC)(BBB) "PERS defined contribution plans" means the plan	844
or plans established under section 145.81 of the Revised Code.	845

Sec. 145.016. Contributing service shall be allowed in	846
accordance with the following:	847

(A) For service before the first day of the first full	848
calendar year beginning on or after the effective date of this	849
section, credit for any contributing service shall be allowed as	850
follows:	851

(1) For each month for which the member's earnable salary is	852
two hundred fifty dollars or more, allow one month's credit;	853

(2) For each month for which the member's earnable salary is	854
less than two hundred fifty dollars, allow a fraction of a month's	855
credit with a numerator of the earnable salary during the month	856
and a denominator of two hundred fifty dollars, except that if the	857
member's annual earnable salary is less than six hundred dollars,	858
the member's credit shall not be reduced below twenty per cent of	859
a year for a calendar year of employment during which the member	860
worked each month.	861

Division (A)(2) of this section shall not reduce any credit	862
earned before January 1, 1985.	863

(B) For service on or after the first day of the first full	864
calendar year that begins on or after the effective date of this	865
section but not after the thirty-first day of December of that	866
year, credit for any contributing service shall be allowed as	867
follows:	868

(1) For each month for which the member's earnable salary is	869
seven hundred fifty dollars or more, allow one month's credit;	870

(2) For each month for which the member's earnable salary is	871
less than seven hundred and fifty dollars, allow a fraction of a	872
month's credit with a numerator of the earnable salary for the	873
month and a denominator of seven hundred and fifty dollars.	874

This division shall not reduce any credit earned before the	875
first day of the first full calendar year that begins on or after	876
the effective date of this section.	877

(C) For service on or after the first day of the second full	878
calendar year that begins on or after the effective date of this	879
section but not after the thirty-first day of December of that	880
year, credit for any contributing service shall be allowed as	881
follows:	882

(1) For each month for which the member's earnable salary is	883
eight hundred seventy-five dollars or more, allow one month's	884
credit;	885

(2) For each month for which the member's earnable salary is	886
less than eight hundred seventy-five dollars, allow a fraction of	887
a month's credit with a numerator of the earnable salary for the	888
month and a denominator of eight hundred seventy-five dollars.	889

This division shall not reduce any credit earned before the	890
first day of the second full calendar year beginning after the	891
effective date of this section.	892

(D) For service on or after the first day of the third full	893
calendar year that begins on or after the effective date of this	894
section, credit for any contributing service shall be allowed in	895
accordance with the following:	896

(1) For each month for which the member's earnable salary	897
equals or exceeds the amount specified in division (D)(1)(a) or	898
(b) of this section, as appropriate, allow one month's credit:	899

(a) For the third full calendar year beginning after the	900
effective date of this section, one thousand dollars;	901

(b) For each calendar year thereafter, the sum of the prior	902
year's amount plus the amount determined by multiplying the prior	903
year's amount by the average wage index as described in 20 C.F.R.	904
404.272, as amended, rounded up to the next dollar for the most	905
recent year for which information is available on June 30 of the	906
year immediately preceding the year for which the sum is being	907
calculated.	908

(2) For each month that the member's earnable salary is less	909
than the appropriate amount specified in division (D)(1) of this	910
section, allow a fraction of a month's credit with a numerator of	911
the earnable salary during the month and a denominator of the	912
amount specified in division (D)(1)(a) or (b) of this section, as	913
appropriate.	914

Division (D) of this section shall not reduce any credit	915
earned before the first day of the third full calendar year	916
beginning after the effective date of this section.	917

(E) Notwithstanding any other provision of this section, an	918
elected official who prior to January 1, 1980, was granted a full	919
year of credit for each year of service as an elected official	920
shall be considered to have earned a full year of credit for each	921
year of service regardless of whether the service was full-time or	922
part-time. The public employees retirement board has no authority	923
to reduce the credit.	924

Sec. 145.017. (A) For a member eligible for a retirement	925
allowance under division (A) or (B) of section 145.32 of the	926
Revised Code or division (A), (B), or (D)(1), (3), or (4) of	927
section 145.332 of the Revised Code, the number of years used in	928
the calculation of final average salary shall be three and the sum	929
of the earnable salary for those years shall be divided by three.	930

(B) For a member eligible for a retirement allowance under	931
division (C) of section 145.32 of the Revised Code or division (C)	932
or (D)(2) or (5) of section 145.332 of the Revised Code, the	933
number of years used in the calculation of final average salary	934
shall be five and the sum of the earnable salary for those years	935
shall be divided by five.	936

(C)(1) For a member described in division (A) or (B) of	937
section 145.32 or division (A), (B), or (D)(1), (3), or (4) of	938
section 145.332 of the Revised Code who is eligible for a	939
retirement allowance under section 145.331 of the Revised Code or	940
a benefit under section 145.36 or 145.361 of the Revised Code, the	941
number of years used in the calculation of final average salary	942
shall be three and the sum of the earnable salary for those years	943
shall be divided by three.	944

(2) For a member described in division (C) of section 145.32	945
or division (C) or (D)(2) or (5) of section 145.332 of the Revised	946
Code who is eligible for a retirement allowance under section	947
145.331 of the Revised Code or a benefit under section 145.36 or	948
145.361 of the Revised Code, the number of years used in the	949
calculation of final average salary shall be five and the sum of	950
the earnable salary for those years shall be divided by five.	951

(D) For a benefit under section 145.45 of the Revised Code:

952

(1) The number of years used in the calculation of the	953
deceased member's final average salary shall be three and the sum	954
of the earnable salary for those years shall be divided by three	955
if the member is described in division (A) or (B) of section	956
145.32 of the Revised Code or division (A), (B), or (D)(1), (3),	957
or (4) of section 145.332 of the Revised Code.	958

(2) The number of years used in the calculation of the	959
deceased member's final average salary shall be five and the sum	960
of the earnable salary for those years shall be divided by five if	961
the member is described in division (C) of section 145.32 of the	962
Revised Code or division (C) or (D)(2) or (5) of section 145.332	963
of the Revised Code.	964

Sec. 145.036. On or before the last day of January of each	965
year, each public employer shall transmit to the public employees	966
retirement system a list of all individuals providing personal	967
services who at any time during the preceding calendar year	968
received compensation from the employer for which no contributions	969
were deducted under section 145.47 of the Revised Code because the	970
employer classified the individual as an independent contractor or	971
another classification other than public employee or any other	972
reason. The list shall contain the name of the individual and any	973
other information required by the system.	974

If there is doubt at the time the list is compiled or at any	975
other time regarding whether an individual providing personal	976
services to a public employer is a public employee, the employer	977
shall make a written request to the public employees retirement	978
board for a determination of whether the individual is a public	979
employee for the purposes of this chapter. On receipt of the	980
request, the board shall determine whether the individual is a	981
public employee with regard to the services in question. If the	982
board determines that the individual is not a public employee, for	983
the purposes of this chapter the individual shall be considered an	984
independent contractor with regard to the services in question.	985
The board's determination is final.	986

The board shall notify the individual and the employer of its	987
determination. The determination shall apply to services performed	988
before, on, or after the effective date of this section for the	989
same employer in the same capacity.	990

Sec. 145.037. (A) As used in this section and section 145.038	991
of the Revised Code, "business entity" means a corporation,	992
association, firm, limited liability company, partnership, sole	993
proprietorship, or other entity engaged in business.	994

(B)(1) Except as provided in division (B)(2) of this section,	995
an individual who provided personal services to a public employer	996
on or before the effective date of this section but was not	997
classified as a public employee may request from the public	998
employees retirement board a determination of whether the	999
individual should have been classified as a public employee for	1000
purposes of this chapter. The request shall be made on a form	1001
provided by the board.	1002

(2) Division (B)(1) of this section does not apply to an	1003
individual employed by a business entity under contract with a	1004
public employer to provide personal services to the employer.	1005

(C) Not later than thirty days after the effective date of	1006
this section, the board shall notify each employer of the right of	1007
an individual described in division (B)(1) of this section to seek	1008
the determination described in that division. The notice shall be	1009
accompanied by copies of the form described in division (B)(1) of	1010
this section.	1011

Not later than sixty days after the effective date of this	1012
section, the employer shall send to each individual described in	1013
division (B)(1) of this section a copy of the form provided by the	1014
retirement system and written notice of the right to seek a	1015
determination of whether the individual should have been	1016
classified as a public employee. The notice shall be sent to the	1017
individual's last known address on record with the employer.	1018

On receipt of a properly completed form, the board shall	1019
determine whether the individual should have been classified as a	1020
public employee. If the board determines that the individual is	1021
not a public employee with regard to the services in question, for	1022
the purposes of this chapter the individual shall be considered an	1023
independent contractor with regard to the services in question.	1024
The board's determination is final.	1025

The board shall notify the individual and the employer of its	1026
determination. The determination shall apply to services performed	1027
before, on, or after the effective date of this section for the	1028
same employer in the same capacity.	1029

(D) Regardless of whether an individual actually receives	1030
notice under this section, the request for a determination must be	1031
made not later than one year after the effective date of this	1032
section unless the individual can demonstrate to the board's	1033
satisfaction through medical records that at the time the one-year	1034
period ended the individual was physically or mentally	1035
incapacitated and unable to request a determination.	1036

Sec. 145.038. (A) A public employer who on or after the	1037
effective date of this section begins to receive personal services	1038
from an individual it classifies as an independent contractor or	1039
another classification other than public employee shall inform the	1040
individual of the classification and that no contributions will be	1041
made to the public employees retirement system. Not later than	1042
thirty days after the services begin, the employer shall require	1043
the individual to acknowledge, in writing on a form provided by	1044
the system, that the individual has been informed that the	1045
employer does not consider the individual a public employee and no	1046
contributions will be made to the public employees retirement	1047
system. The employer shall retain the acknowledgement and	1048
immediately transmit a copy of it to the system.	1049

(B)(1) Regardless of whether the individual has made an	1050
acknowledgement under division (A) of this section and, except as	1051
provided in division (B)(2) of this section, an individual may	1052
request that the public employees retirement board determine	1053
whether the individual is a public employee for purposes of this	1054
chapter.	1055

(2) Division (B)(1) of this section does not apply to an	1056
individual employed by a business entity under contract with a	1057
public employer to provide personal services to the employer.	1058

(C) A request for a determination must be made not later than	1059
five years after the individual begins to provide personal	1060
services to the employer, unless one of the following is the case:	1061

(1) The individual demonstrates to the board's satisfaction	1062
through medical records that at the time the five-year period	1063
ended the individual was physically or mentally incapacitated and	1064
unable to request a determination;	1065

(2) The employer has not obtained or has failed to retain the	1066
acknowledgement required by division (A) of this section.	1067

(D) On receipt of a request under division (B)(1) of this	1068
section, the board shall determine whether the individual is a	1069
public employee for the purposes of this chapter. If the board	1070
determines that the individual is not a public employee, for the	1071
purposes of this chapter the individual shall be considered an	1072
independent contractor with regard to the services in question.	1073
The board's determination is final.	1074

The board shall notify the individual and the employer of its	1075
determination. The determination shall apply to services performed	1076
before, on, or after the effective date of this section for the	1077
same employer in the same capacity.	1078

(E) The board may adopt rules under section 145.09 of the	1079
Revised Code to implement this section and sections 145.036 and	1080
145.037 of the Revised Code.	1081

Sec. 145.04. (A) The general administration and management	1082
of the public employees retirement system and the making effective	1083
of Chapter 145. of the Revised Code, are hereby vested in a board	1084
to be known as the "public employees retirement board," which	1085
shall consist of the following members:	1086

(A)(1) One member, known as the treasurer of state's	1087
investment designee, who shall be appointed by the treasurer of	1088
state for a term of four years and have the following	1089
qualifications:	1090

(1)(a) The member is a resident of this state.

1091

(2)(b) Within the three years immediately preceding the	1092
appointment, the member has not been employed by the public	1093
employees retirement system, police and fire pension fund, state	1094
teachers retirement system, school employees retirement system, or	1095
state highway patrol retirement system or by any person,	1096
partnership, or corporation that has provided to one of those	1097
retirement systems services of a financial or investment nature,	1098
including management, analysis, supervision, or investment of	1099
assets.	1100

(3)(c) The member has direct experience in the management,	1101
analysis, supervision, or investment of assets.	1102

(4)(d) The member is not currently employed by the state or a	1103
political subdivision of the state.	1104

(B)(2) The director of administrative services;

1105

(C)(3) Five members, known as employee members, one of whom	1106
shall be a state employee member of the system, who shall be	1107
elected by ballot by the state employee members of the system from	1108
among their number; another of whom shall be a county employee	1109
member of the system, who shall be elected by ballot by the county	1110
employee members of the system from among their number; another of	1111
whom shall be a municipal employee member of the system, who shall	1112
be elected by ballot by the municipal employee members of the	1113
system from among their number; another of whom shall be a	1114
university or college employee member of the system, who shall be	1115
elected by ballot by the university and college employee members	1116
of the system from among their number; and another of whom shall	1117
be a park district, conservancy district, sanitary district,	1118
health district, public library, metropolitan housing authority,	1119
union cemetery, joint hospital, township, or institutional	1120
commissary employee member of the system, who shall be elected by	1121
ballot by the park district, conservancy district, sanitary	1122
district, health district, metropolitan housing authority, public	1123
library, union cemetery, joint hospital, township, and	1124
institutional commissary employee members of the system from among	1125
their number, in a manner to be approved by the board. Members of	1126
the system who are receiving a disability benefit under this	1127
chapter are ineligible for membership on the board as employee	1128
members.	1129

(D)(4) Two members, known as the retirant members, who shall	1130
be former members of the public employees retirement system who	1131
reside in this state and receive age and service retirement, a	1132
disability benefit, or benefits paid under a PERS defined	1133
contribution plan. The retirant members shall be elected by ballot	1134
by former members of the system who are receiving age and service	1135
retirement, a disability benefit, or benefits paid under a PERS	1136
defined contribution plan;	1137

(E)(1)(5)(a) Two members, known as the investment expert	1138
members, who shall be appointed for four-year terms and each of	1139
whom shall have the following qualifications:	1140

(a)(i) The member is a resident of this state.

1141

(b)(ii) Within the three years immediately preceding the	1142
appointment, the member has not been employed by the public	1143
employees retirement system, police and fire pension fund, state	1144
teachers retirement system, school employees retirement system, or	1145
state highway patrol retirement system or by any person,	1146
partnership, or corporation that has provided to one of those	1147
retirement systems services of a financial or investment nature,	1148
including the management, analysis, supervision, or investment of	1149
assets.	1150

(c)(iii) The member has direct experience in the management,	1151
analysis, supervision, or investment of assets.	1152

(2)(b) One investment expert member shall be appointed by the	1153
governor, and one investment expert member shall be jointly	1154
appointed by the speaker of the house of representatives and the	1155
president of the senate. Any investment expert	1156

(B) Any member appointed to fill a vacancy occurring prior to	1157
the expiration of the term for which the member's predecessor was	1158
appointedunder this section shall hold office until the later of	1159
the end of suchthe term. Thefor which the member shall continue	1160
in office subsequent to the expiration date of the member's term	1161
untilis appointed or the date the member's successor takes	1162
office, or until a period of sixty days has elapsed, whichever	1163
occurs first.	1164

Sec. 145.041. Each newly elected member of the public	1165
employees retirement board and each individual appointed to fill a	1166
vacancy on the board, shall, not later than ninety days after	1167
commencing service as a board member, complete the orientation	1168
program component of the retirement board member education program	1169
established under section 171.50 of the Revised Code.	1170

Each member of the board who has served a year or longer as a	1171
board member shall, not less than twice each year, attend one or	1172
more programs that are part of the continuing education component	1173
of the retirement board member education program established under	1174
section 171.50 of the Revised Code.	1175

Sec. 145.05.  (A) The terms of office of employee members of	1176
the public employees retirement board shall be for four years each	1177
beginning on the first day of January following election. The	1178
election of the county employee member of the board and the	1179
employee member of the board representing public library, health	1180
district, park district, conservancy district, sanitary district,	1181
township, metropolitan housing authority, union cemetery, joint	1182
hospital, and institutional commissary employees shall be held on	1183
the first Monday in October, 1945, and on the first Monday in	1184
October in each fourth year thereafter. The election of the state	1185
employee member of the board and the municipal employee member of	1186
the board shall be held on the first Monday in October, 1946, and	1187
on the first Monday in October in each fourth year thereafter. The	1188
election of the initial university-college employee member of the	1189
board shall be held on the first Monday in October, 1978, and	1190
elections for subsequent university-college employee members of	1191
the board shall be held on the first Monday in October in each	1192
fourth year thereafter.	1193

(B) The term of office of the retirant members of the public	1194
employees retirement board shall be for four years beginning on	1195
the first day of January following the election. The election of	1196
the initial retirant member for that position on the board shall	1197
be held on the first Monday in October, 1978, and subsequent	1198
elections for this retirant position shall be held on the first	1199
Monday in October in each fourth year thereafter. The initial	1200
election for the second retirant member position shall be held at	1201
the first election that occurs later than ninety days after the	1202
effective date of this amendmentSeptember 15, 2004. Subsequent	1203
elections for this retirant position shall be held each fourth	1204
year thereafter.	1205

(C) All elections for employee members of the public	1206
employees retirement board shall be held under the direction of	1207
the board in accordance with rules adopted under section 145.058	1208
of the Revised Code. Any member of the public employees retirement	1209
system, except a member who is receiving a disability benefit	1210
under this chapter, is eligible for election as an employee member	1211
of the board to represent the employee group that includes the	1212
member, provided that the member has been nominated by a petition	1213
that is signed by at least five hundred members of the employee	1214
group to be represented, including not less than twenty such	1215
signers from each of at least ten counties of the state, and	1216
certified in accordance with rules adopted under section 145.058	1217
of the Revised Code. The name of any member so nominated shall be	1218
placed upon the ballot by the board as a regular candidate. Names	1219
of other eligible candidates may, at any election, be substituted	1220
for the regular candidates by writing such names upon the ballots.	1221
The candidate who receives the highest number of votes for a	1222
particular employee member position on the board shall be elected	1223
to that office on certification of the election results in	1224
accordance with rules adopted under section 145.058 of the Revised	1225
Code.	1226

(D) All elections for the retirant members of the public	1227
employees retirement board shall be held under the direction of	1228
the board in accordance with rules adopted under section 145.058	1229
of the Revised Code. Any former member of the public employees	1230
retirement system who is described in division (D)(A)(4) of	1231
section 145.04 of the Revised Code is eligible for election as a	1232
retirant member of the board to represent recipients of age and	1233
service retirement, a disability benefit, or benefits paid under a	1234
PERS defined contribution plan, provided that such person has been	1235
nominated by a petition that is signed by any combination of at	1236
least two hundred fifty eligible, former members of the system and	1237
certified in accordance with rules adopted under section 145.058	1238
of the Revised Code. To be eligible to sign the petition, a former	1239
member of the system must be a recipient of age and service	1240
retirement, a disability benefit, or benefits paid under a PERS	1241
defined contribution plan. The petition shall contain the	1242
signatures of at least ten such recipients from each of at least	1243
five counties wherein recipients of benefits from the system	1244
reside.	1245

The name of any person nominated in this manner shall be	1246
placed upon the ballot by the board as a regular candidate. Names	1247
of other eligible candidates may, at any election for a retirant	1248
member of the board, be substituted for the regular candidates by	1249
writing the names of such persons upon the ballot. The candidate	1250
who receives the highest number of votes for any term as a	1251
retirant member of the board shall be elected to office on	1252
certification of the election results in accordance with rules	1253
adopted under section 145.058 of the Revised Code.	1254

Sec. 145.057.  (A) The office of an employee member or	1255
retiranta member of the public employees retirement board who is	1256
convicted of or pleads guilty to a felony, a theft offense as	1257
defined in section 2913.01 of the Revised Code, or a violation of	1258
section 102.02, 102.03, 102.04, 2921.02, 2921.11, 2921.13,	1259
2921.31, 2921.41, 2921.42, 2921.43, or 2921.44 of the Revised Code	1260
shall be deemed vacant. A person who has pleaded guilty to or been	1261
convicted of an offense of that nature is ineligible for election	1262
or appointment to the office of employee member or retirant member	1263
of the public employees retirement board.	1264

(B) A member of the public employees retirement board who	1265
willfully and flagrantly exercises authority or power not	1266
authorized by law, refuses or willfully neglects to enforce the	1267
law or to perform any official duty imposed by law, or is guilty	1268
of gross neglect of duty, gross immorality, drunkenness,	1269
misfeasance, malfeasance, or nonfeasance is guilty of misconduct	1270
in office. On complaint and hearing in the manner provided for in	1271
this section, the board member shall have judgment of forfeiture	1272
of the office with all its emoluments entered against the board	1273
member, creating in the office a vacancy to be filled as provided	1274
by law.	1275

(C) Proceedings for removal of a board member on any of the	1276
grounds enumerated in division (B) of this section shall be	1277
commenced by filing with the court of common pleas of the county	1278
in which the board member resides a written complaint specifically	1279
setting forth the charge. The complaint shall be accepted if	1280
signed by the governor or signed as follows:	1281

(1) If the complaint is against an employee member of the	1282
board, the complaint must be signed by a number of members of the	1283
employee group represented by the member that equals at least the	1284
following and must include signatures of at least twenty employee	1285
members residing in at least five different counties:	1286

(a) If the employee member was most recently elected in	1287
accordance with section 145.05 of the Revised Code, ten per cent	1288
of the number of members of the employee group represented by the	1289
employee member who voted in that election;	1290

(b) If the employee member was most recently elected under	1291
section 145.06 of the Revised Code or took office in accordance	1292
with section 145.051 of the Revised Code, ten per cent of the	1293
number of members of the employee group represented by the	1294
employee member who voted in the most recent election held in	1295
accordance with section 145.05 of the Revised Code for that	1296
employee member position on the board.	1297

(2) If the complaint is against a retirant member of the	1298
board, the complaint must be signed by a number of former members	1299
of the system authorized to vote for a retirant member in an	1300
election under section 145.05 of the Revised Code that equals at	1301
least the following and must include signatures of at least twenty	1302
former members residing in at least five different counties:	1303

(a) If the retirant member was most recently elected in	1304
accordance with section 145.05 of the Revised Code, ten per cent	1305
of the number of former members of the system who voted in that	1306
election;	1307

(b) If the retirant member was most recently elected under	1308
section 145.06 of the Revised Code or took office in accordance	1309
with section 145.051 of the Revised Code, ten per cent of the	1310
number of former members of the system who voted in the most	1311
recent election held in accordance with section 145.05 of the	1312
Revised Code for that retirant member position on the board.	1313

(D) The clerk of the court of common pleas in which a	1314
complaint against a member of the board is filed under division	1315
(C) of this section shall do both of the following with respect to	1316
the complaint:	1317

(1) Submit the signatures obtained pursuant to division (C)	1318
of this section to the board for purposes of verifying the	1319
validity of the signatures. The board shall verify the validity of	1320
the signatures and report its findings to the court.	1321

(2) Cause a copy of the complaint to be served on the board	1322
member at least ten days before the hearing on the complaint. The	1323
court shall hold a public hearing not later than thirty days after	1324
the filing of the complaint. The court may subpoena witnesses and	1325
compel their attendance in the same manner as in civil cases.	1326
Process shall be served by the sheriff of the county in which the	1327
witness resides. Witness fees and other fees in connection with	1328
the proceedings shall be the same as in civil cases. The court may	1329
suspend the board member pending the hearing.	1330

If the court finds that one or more of the charges in the	1331
complaint are true, it shall make a finding for removal of the	1332
board member. The court's finding shall include a full, detailed	1333
statement of the reasons for the removal. The finding shall be	1334
filed with the clerk of the court and be made a matter of public	1335
record.	1336

The board member has the right to appeal to the court of	1337
appeals.	1338

(E) No individual who has been removed from the board	1339
pursuant to this section shall be eligible to fill an elective or	1340
appointed position as a member of the board.	1341

Sec. 145.06.  (A) Except as provided in division (D) of this	1342
section, if a vacancy occurs in the term of any employee member of	1343
the public employees retirement board, the remaining members of	1344
the board shall elect a successor employee member from the	1345
employee group lacking representation because of the vacancy. On	1346
certification of the election results in accordance with rules	1347
adopted under section 145.058 of the Revised Code, the successor	1348
employee member shall hold office until the first day of the new	1349
term that follows the next board election that occurs not less	1350
than ninety days after the successor employee member's election.	1351

Any employee member of the board who fails to attend the	1352
meetings of the board for three months or longer, without valid	1353
excuse, shall be considered as having resigned, and the board	1354
shall declare the employee member's office vacated as of the date	1355
of the adoption of a proper resolution.	1356

If as a result of changed circumstances an employee member of	1357
the board is no longer employed in the employee group that	1358
corresponds with the employee group that elected the member, the	1359
employee member's office shall be considered vacant, and a	1360
successor employee member shall be chosen in the manner specified	1361
in this division.	1362

(B) Except as provided in division (D) of this section, if a	1363
vacancy occurs during the term of office of a retirant member of	1364
the board, the remaining members of the board shall elect a	1365
successor retirant member who shall be a former member of the	1366
public employees retirement system who is eligible for election	1367
under section 145.04 of the Revised Code as a retirant member of	1368
the board. On certification of the election results in accordance	1369
with rules adopted under section 145.058 of the Revised Code, the	1370
successor retirant member shall hold office until the first day of	1371
the new term that follows the next board election that occurs not	1372
less than ninety days after the successor retirant member's	1373
election.	1374

If a retirant member of the board fails to attend the	1375
meetings of the board for three months or longer, without valid	1376
excuse, the retirant member shall be considered as having	1377
resigned, and the board shall declare the member's office vacated	1378
as of the date of the adoption of a proper resolution.	1379

If as a result of changed circumstances a retirant member	1380
would no longer qualify for membership on the board as the	1381
retirant member, the retirant member's office shall be considered	1382
vacant, and a successor retirant member shall be chosen in the	1383
manner specified in this division.	1384

(C) Elections under this section to fill a vacancy on the	1385
board shall be conducted in accordance with rules adopted under	1386
section 145.058 of the Revised Code.	1387

(D) A successor member need not be elected under division (A)	1388
or (B) of this section for a vacancy that occurs on or after the	1389
first day of October of the year in which the vacated term ends.	1390

Sec. 145.09.  The public employees retirement board shall	1391
elect from its membership a chairperson, and shall appoint an	1392
executive director who shall serve as secretary to the board, an	1393
actuary, and other employees as necessary for the transaction of	1394
the business of the public employees retirement system. The	1395
compensation of all persons so appointed shall be fixed by the	1396
board.	1397

If the board provides health care coverage to employees of	1398
the retirement system, it may permit employees of the Ohio public	1399
employees deferred compensation board to participate.	1400

Effective ninety days after the effective date of this	1401
amendmentSeptember 15, 2004, the board may not employ a state	1402
retirement system investment officer, as defined in section	1403
1707.01 of the Revised Code, who does not hold a valid state	1404
retirement system investment officer license issued by the	1405
division of securities in the department of commerce.	1406

Every expense voucher of an employee, officer, or board	1407
member of the public employees retirement system shall itemize all	1408
purchases and expenditures.	1409

The board shall perform other functions as required for the	1410
proper execution of this chapter, and may adopt rules in	1411
accordance with section 111.15 of the Revised Code for the proper	1412
administration and management of this chapter.	1413

The board may take all appropriate action to avoid payment by	1414
the system or its members of federal or state income taxes on	1415
contributions to the system or amounts earned on such	1416
contributions.	1417

Notice of proposed rules shall be given to interested parties	1418
and rules adopted by the board shall be published and otherwise	1419
made available. When it files a rule with the joint committee on	1420
agency rule review pursuant to section 111.15 of the Revised Code,	1421
the board shall submit to the Ohio retirement study council a copy	1422
of the full text of the rule, and if applicable, a copy of the	1423
rule summary and fiscal analysis required by division (B) of	1424
section 127.18 of the Revised Code.	1425

The board may sue and be sued, plead and be impleaded,	1426
contract and be contracted with. All of its business shall be	1427
transacted, all of its funds invested, all warrants for money	1428
drawn and payments made, and all of its cash and securities and	1429
other property shall be held in the name of the board, or in the	1430
name of its nominee, provided that nominees are authorized by	1431
retirement board resolution for the purpose of facilitating the	1432
ownership and transfer of investments.	1433

If the Ohio retirement study council establishes a uniform	1434
format for any report the board is required to submit to the	1435
council, the board shall submit the report in that format.	1436

Sec. 145.101.  Any action brought against the public	1437
employees retirement system or the public employees retirement	1438
board or its officers, employees, or board members in their	1439
official capacities shall be brought in the Franklin County court	1440
of common pleas.	1441

Sec. 145.19.  (A) Except as provided in division (D) of this	1442
section, an individual who becomes employed in a position subject	1443
to this chapter on or after the date on which the public employees	1444
retirement board first establishes a PERS defined contribution	1445
planJanuary 1, 2003, shall make an election under this section.	1446
Not later than one hundred eighty days after the date on which	1447
employment begins, the individual shall elect to participate	1448
either in the PERS defined benefit plan or a PERS defined	1449
contribution plan. IfUnless a form evidencing an election under	1450
this section is not received by the public employees retirement	1451
system not later thanon or before the last day of the	1452
one-hundred-eighty-day period, the individual is deemed to have	1453
elected to participate in the PERS defined benefit plan.	1454

(B) An election under this section shall be made in writing	1455
on a form provided by the system and filed with the system.	1456

(C) An election under this section shall take effect on the	1457
date employment began and, except as provided in section 145.814	1458
of the Revised Code or rules governing the PERS defined benefit	1459
plan, is irrevocable on receipt by the system.	1460

(D) An individual is ineligible to make an election under	1461
this section if one of the following applies:	1462

(1) At the time employment begins, theThe individual is a	1463
PERS retirant or other system retirant, as those terms are defined	1464
in section 145.38 of the Revised Code, or is retired under section	1465
145.383 of the Revised Code.	1466

(2) The individual is participating or has elected to	1467
participate in an alternative retirement plan under section	1468
3305.05 or 3305.051 of the Revised Code and the employment is in a	1469
position that is subject to division (C)(4) of section 3305.05 or	1470
division (F) of section 3305.051 of the Revised Code.	1471

(3) The individual is a contributor who, as of the last day	1472
of the month prior to the date employment begins, has five or more	1473
years of total service credithas contributions standing to the	1474
individual's credit in the employees' savings fund or defined	1475
contribution fund established under section 145.23 of the Revised	1476
Code.	1477

(4) The individual is employed in a position covered under	1478
this chapter to which section 145.193 of the Revised Code applies.	1479

(5) The individual is a PERS law enforcement officer or PERS	1480
public safety officer.	1481

Sec. 145.191.  (A) Except as provided in division (E)(F) of	1482
this section, a public employees retirement system member or	1483
contributor who, as of the last day of the month immediately	1484
preceding the date on which the public employees retirement board	1485
first establishes a PERS defined contribution planDecember 31,	1486
2002, has less than five years of total service credit is eligible	1487
to make an election under this section. A member or contributor	1488
who is employed in more than one position subject to this chapter	1489
is eligible to make only one election. The election applies to all	1490
positions subject to this chapter.	1491

Not later than one hundred eighty days after the day the	1492
board first establishes a PERS defined contribution planJune 30,	1493
2003, an eligible member or contributor may elect to participate	1494
in a PERS defined contribution plan. IfUnless a form evidencing	1495
an election is not received by the system not later than the last	1496
day of the one-hundred-eighty-day periodon or before that date, a	1497
member or contributor to whom this section applies is deemed to	1498
have elected to continue participating in the PERS defined benefit	1499
plan.	1500

(B) An election under this section shall be made in writing	1501
on a form provided by the system and filed with the system.	1502

(C) On receipt ofthe request of a member or contributor who	1503
made an election under this section, the system shall do both of	1504
the following:	1505

(1) Creditcredit to the plan elected both of the following:

1506

(a) Any employer contributions attributable to the member for	1507
the period beginning on the day the board first established a PERS	1508
defined contribution plan;	1509

(b) Allthe accumulated contributions attributablestanding	1510
to the credit of the member or contributor.	1511

(2) Cancelin the employees' savings fund and cancel all	1512
service credit and eligibility for any payment, benefit, or right	1513
under the PERS defined benefit plan.	1514

(D) For each member or contributor who elected under this	1515
section to participate in a PERS defined contribution plan and	1516
made a request under division (C) of this section, any additional	1517
deposits that were made by the member or contributor prior to	1518
April 6, 2007, under the version of division (C) of section 145.23	1519
of the Revised Code as it existed immediately prior to that date	1520
shall be credited to the defined contribution plan.	1521

(E) An election under this section is effective as of the	1522
date the board first established a PERS defined contribution plan	1523
January 1, 2003, and, except as provided in section 145.814 of the	1524
Revised Code or rules governing the PERS defined benefit plan, is	1525
irrevocable on receipt by the system.	1526

(E)(F) An election may not be made under this section by a	1527
member or contributor who is either of the following:	1528

(1) A PERS retirant who is a member under division (C)(D) of	1529
section 145.38 of the Revised Code;	1530

(2) A PERS law enforcement officer or a PERS public safety	1531
officer.	1532

Sec. 145.192.  Except as provided in section 145.195, 145.814	1533
and, or in division (C) of section 145.82 of the Revised Code, a	1534
member of the public employees retirement system who elects to	1535
participate in a PERS defined contribution plan shall be	1536
ineligible for any benefit or payment under the PERS defined	1537
benefit plan and shall be forever barred from claiming or	1538
purchasing service credit with the system or any other Ohio state	1539
retirement system, as defined in section 145.30 of the Revised	1540
Code, for service covered by the election.	1541

Sec. 145.193. Except as provided in section 145.194 or	1542
division (C)(4) of section 3305.05 and division (F) of section	1543
3305.051 of the Revised Code, an election made or deemed to have	1544
been made under section 145.19 or 145.191 of the Revised Code	1545
applies to all positions subject to this chapter for which the	1546
member is contributing under section 145.47 or 145.85 of the	1547
Revised Code. A	1548

A member who terminates employment in all positions subject	1549
to this chapter, receives a refund of the member's contributions	1550
made under section 145.47 or 145.85 of the Revised Code, and later	1551
becomes employed in a position subject to this chapter may make an	1552
election under section 145.19 of the Revised Code as provided by	1553
that section.	1554

Sec. 145.194. (A) A member participating in a PERS defined	1555
contribution plan at the time of commencing employment as a PERS	1556
law enforcement officer or PERS public safety officer shall cease	1557
making contributions to that plan. During employment as a PERS law	1558
enforcement officer or a PERS public safety officer and any	1559
concurrent employment in a position subject to this chapter, the	1560
member shall contribute only to the PERS defined benefit plan.	1561

(B) A member described in division (A) of this section with	1562
contributions standing to the member's credit in a PERS defined	1563
contribution plan may elect to have those contributions deposited	1564
and credited in the PERS defined benefit plan in accordance with	1565
section 145.814 of the Revised Code and rules governing the PERS	1566
defined benefit plan.	1567

Sec. 145.195. The public employees retirement system may, in	1568
accordance with rules it adopts under this section, permit a	1569
member who participated in both the PERS defined benefit plan and	1570
one or more PERS defined contribution plans to combine years of	1571
service as a member and contributions made under sections 145.47	1572
and 145.85 of the Revised Code for the purpose of determining	1573
eligibility for a benefit under section 145.32, 145.331, or	1574
145.332 of the Revised Code, or a benefit under a PERS defined	1575
contribution plan.	1576

Sec. 145.20. (A) Any elective official of the state of Ohio	1577
or of any political subdivision thereof having employees in the	1578
public employees retirement system shall be considered as an	1579
employee of the state or such political subdivision, and may	1580
become a member of the system upon application to the public	1581
employees retirement board, with all the rights, privileges, and	1582
obligations of membership. An elective official who becomes a	1583
member of the system on or after the date the public employees	1584
retirement board first establishes a PERS defined contribution	1585
planJanuary 1, 2003, shall make an election pursuant to section	1586
145.19 of the Revised Code not later than one hundred eighty days	1587
after applying for membership in the system. The election is	1588
effective as of the date the official applies for membership and	1589
is irrevocable on receipt by the system. If a form evidencing an	1590
election is not received by the system not later than the last day	1591
of the one-hundred-eighty-day period, the official is deemed to	1592
have elected to participate in the PERS defined benefit plan.	1593

(B) Service as any such elective official by any member of	1594
the system rendered prior to January 1, 1935, shall be included as	1595
prior service, provided the member does both of the following:	1596

(1) Completes three years of contributing service, or the	1597
equivalent thereof, in the public employees retirement system	1598
subsequent to the date that membership is established;	1599

(2) Participates in the PERS defined benefit plan or a PERS	1600
defined contribution plan with definitely determinable benefits.	1601

(C) Credit for service between January 1, 1935, and the date	1602
that membership is established, except service as an elective	1603
official that was subject to the tax on wages imposed by the	1604
"Federal Insurance Contributions Act," 68A Stat. 415 (1954), 26	1605
U.S.C.A. 3101, as amended, may be secured by the elective official	1606
provided the elective official does all of the following:	1607

(1) Pays into the employees' savings fund an amount	1608
determined by applying the member contribution rate in effect at	1609
the time of payment to the earnable salary of the member during	1610
all periods of service after January 1, 1935, covered by this	1611
chapter, for which contributions have not been paid, plus interest	1612
on such amount compounded annually at a rate to be determined	1613
specified by the board that is equal to one hundred per cent of	1614
the additional liability resulting from the purchase of that year	1615
or portion of a year of credit as determined by an actuary	1616
employed by the board;	1617

(2) Completes one and one-half years of contributing	1618
membership in the public employees retirement system subsequent to	1619
the date membership was established;	1620

(3) Participates in the PERS defined benefit plan or a PERS	1621
defined contribution plan with definitely determinable benefits.	1622

A member may choose to purchase in any one payment only part	1623
of the credit the member is eligible to purchase, subject to board	1624
rules. The public employees retirement board shall determine the	1625
amount and manner of payment. In the event of death or withdrawal	1626
from service, the payment into the employees' savings fund for	1627
such service credit shall be considered as accumulated	1628
contributions of the member.	1629

Sec. 145.201.  (A) Subject to the limit described in division	1630
(C) of this section, any member who is or has been an elected	1631
official of the state or any political subdivision thereof or has	1632
been appointed by the governor with the advice and consent of the	1633
senate to serve full-time as a member of a board, commission, or	1634
other public body may at any time prior to retirement purchase	1635
additional service credit in an amount not to exceed thirty-five	1636
per cent of the service credit allowed the member for the period	1637
of service as an elected or appointed official subsequent to	1638
January 1, 1935, other than credit for military service, part-time	1639
service, and service subject to the tax on wages imposed by the	1640
"Federal Insurance Contributions Act," 68A Stat. 415 (1954), 26	1641
U.S.C.A. 3101, as amended.	1642

TheFor each year of additional service credit may be	1643
purchased by payingunder this section, the member shall pay into	1644
the employees' savings fund an amount computed by multiplying by	1645
the employee contribution rate in effect at the time of purchase	1646
the member's earnable salary for the period of service upon which	1647
the purchased credit is based, by the number of years or portions	1648
thereof of additional service credit to be purchased, and by	1649
paying into the employers' accumulation fund an amount equal to	1650
the full amount paid into the employees' savings fund. If a member	1651
purchases less than the full amount of the additional service	1652
credit to which the member is entitled, the period of service upon	1653
which the purchase is computed shall be the member's earliest	1654
period of such servicespecified by the public employees	1655
retirement board that is equal to one hundred per cent of the	1656
additional liability resulting from the purchase of that year or	1657
portion of a year of credit as determined by an actuary employed	1658
by the board. The member shall receive full credit for such	1659
additional elective service in computing an allowance or benefit	1660
under section 145.20, 145.33, 145.331, 145.34,145.332, 145.36,	1661
145.361, or 145.46 of the Revised Code, notwithstanding any other	1662
provision of this chapter. The payment to the employees' savings	1663
fund, and payments made to the employers' accumulation fund prior	1664
to the effective date of this amendment, for such additional	1665
elective service credit shall, in the event of death or withdrawal	1666
from service, be considered as accumulated contributions of the	1667
member.	1668

A member of a board, commission, or other public body shall	1669
be considered to be serving full-time if full-time service is	1670
required by law or if the director of administrative services	1671
determines that the duties of the position require full-time	1672
service.	1673

(B) Notwithstanding division (A) of this section, a member	1674
who purchased service credit under this section prior to January	1675
1, 1980, on the basis of part-time service shall be permitted to	1676
retain the credit and shall be given full credit for it in	1677
computing an allowance or benefit under section 145.20, 145.33,	1678
145.331, 145.34,145.332, 145.36, 145.361, or 145.46 of the	1679
Revised Code. The public employees retirement board has no	1680
authority to cancel or rescind such credit.	1681

(C) A purchase made under this section shall not exceed the	1682
limits established by division (n) of section 415 of the "Internal	1683
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415(n), as	1684
amended.	1685

(D) Subject to rules adopted by the public employees	1686
retirement board, a member who has purchased service credit under	1687
this section is entitled to be refunded all or a portion of the	1688
actual amount the member paid for the service credit if, in	1689
computing an age and service retirement allowance under division	1690
(A)(5) of section 145.33 or section 145.332 of Revised Code, the	1691
allowance exceeds thea limit established by division (A)(6) of	1692
that sectioneither of those sections.	1693

A refund under this division cancels the equivalent amount of	1694
service credit.	1695

Sec. 145.22.  (A) The public employees retirement board shall	1696
have prepared annually by or under the supervision of an actuary	1697
an actuarial valuation of the pension assets, liabilities, and	1698
funding requirements of the public employees retirement system as	1699
established pursuant to this chapter. The actuary shall complete	1700
the valuation in accordance with actuarial standards of practice	1701
promulgated by the actuarial standards board of the American	1702
academy of actuaries and prepare a report of the valuation. The	1703
report shall include all of the following:	1704

(1) A summary of the benefit provisions evaluated;

1705

(2) A summary of the census data and financial information	1706
used in the valuation;	1707

(3) A description of the actuarial assumptions, actuarial	1708
cost method, and asset valuation method used in the valuation,	1709
including a statement of the assumed rate of payroll growth and	1710
assumed rate of growth or decline in the number of members	1711
contributing to the retirement system;	1712

(4) A summary of findings that includes a statement of the	1713
actuarial accrued pension liabilities and unfunded actuarial	1714
accrued pension liabilities;	1715

(5) A schedule showing the effect of any changes in the	1716
benefit provisions, actuarial assumptions, or cost methods since	1717
the last annual actuarial valuation;	1718

(6) A statement of whether contributions to the retirement	1719
system are expected to be sufficient to satisfy the funding	1720
objectives established by the board.	1721

The board shall submit the report to the Ohio retirement	1722
study council and the standing committees of the house of	1723
representatives and the senate with primary responsibility for	1724
retirement legislation not later than the first day of September	1725
following the year for which the valuation was made.	1726

(B) At such time as the public employees retirement board	1727
determines, and at least once in each five-year period, the board	1728
shall have prepared by or under the supervision of an actuary an	1729
actuarial investigation of the mortality, service, and other	1730
experience of the members, retirants, contributors, and	1731
beneficiaries of the system to update the actuarial assumptions	1732
used in the actuarial valuation required by division (A) of this	1733
section. The actuary shall prepare a report of the actuarial	1734
investigation. The report shall be prepared and any recommended	1735
changes in actuarial assumptions shall be made in accordance with	1736
the actuarial standards of practice promulgated by the actuarial	1737
standards board of the American academy of actuaries. The report	1738
shall include all of the following:	1739

(1) A summary of relevant decrement and economic assumption	1740
experience observed over the period of the investigation;	1741

(2) Recommended changes in actuarial assumptions to be used	1742
in subsequent actuarial valuations required by division (A) of	1743
this section;	1744

(3) A measurement of the financial effect of the recommended	1745
changes in actuarial assumptions.	1746

The board shall submit the report to the Ohio retirement	1747
study council and the standing committees of the house of	1748
representatives and the senate with primary responsibility for	1749
retirement legislation not later than the first day of November	1750
following the last fiscal year of the period the report covers.	1751

(C) The board may at any time request the actuary to make any	1752
studies or actuarial valuations to determine the adequacy of the	1753
contribution rate determined under section 145.48 of the Revised	1754
Code, and those rates may be adjusted by the board, as recommended	1755
by the actuary, effective as of the first of any year thereafter.	1756

(D) The board shall have prepared by or under the supervision	1757
of an actuary an actuarial analysis of any introduced legislation	1758
expected to have a measurable financial impact on the retirement	1759
system. The actuarial analysis shall be completed in accordance	1760
with the actuarial standards of practice promulgated by the	1761
actuarial standards board of the American academy of actuaries.	1762
The actuary shall prepare a report of the actuarial analysis,	1763
which shall include all of the following:	1764

(1) A summary of the statutory changes that are being	1765
evaluated;	1766

(2) A description of or reference to the actuarial	1767
assumptions and actuarial cost method used in the report;	1768

(3) A description of the participant group or groups included	1769
in the report;	1770

(4) A statement of the financial impact of the legislation,	1771
including the resulting increase, if any, in the employer normal	1772
cost percentage; the increase, if any, in actuarial accrued	1773
liabilities; and the per cent of payroll that would be required to	1774
amortize the increase in actuarial accrued liabilities as a level	1775
per cent of covered payroll for all active members over a period	1776
not to exceed thirty years;	1777

(5) A statement of whether the scheduled contributions to the	1778
system after the proposed change is enacted are expected to be	1779
sufficient to satisfy the funding objectives established by the	1780
board.	1781

Not later than sixty days from the date of introduction of	1782
the legislation, the board shall submit a copy of the actuarial	1783
analysis to the legislative service commission, the standing	1784
committees of the house of representatives and the senate with	1785
primary responsibility for retirement legislation, and the Ohio	1786
retirement study council.	1787

(E) The board shall have prepared annually a report giving a	1788
full accounting of the revenues and costs relating to the	1789
provision of benefits under sections 145.325 and 145.58 and	1790
145.584 of the Revised Code. The report shall be made as of	1791
December 31, 1997, and the thirty-first day of December of each	1792
year thereafter. The report shall include the following:	1793

(1) A description of the statutory authority for the benefits	1794
provided;	1795

(2) A summary of the benefits;

1796

(3) A summary of the eligibility requirements for the	1797
benefits;	1798

(4) A statement of the number of participants eligible for	1799
the benefits;	1800

(5) A description of the accounting, asset valuation, and	1801
funding method used to provide the benefits;	1802

(6) A statement of the net assets available for the provision	1803
of the benefits as of the last day of the fiscal year;	1804

(7) A statement of any changes in the net assets available	1805
for the provision of benefits, including participant and employer	1806
contributions, net investment income, administrative expenses, and	1807
benefits provided to participants, as of the last day of the	1808
fiscal year;	1809

(8) For the last six consecutive fiscal years, a schedule of	1810
the net assets available for the benefits, the annual cost of	1811
benefits, administrative expenses incurred, and annual employer	1812
contributions allocated for the provision of benefits;	1813

(9) A description of any significant changes that affect the	1814
comparability of the report required under this division;	1815

(10) A statement of the amount paid under division (C) of	1816
section 145.58 of the Revised Code.	1817

The board shall submit the report to the Ohio retirement	1818
study council and the standing committees of the house of	1819
representatives and the senate with primary responsibility for	1820
retirement legislation not later than the thirtieth day of June	1821
following the year for which the report was made.	1822

Sec. 145.23.  The funds hereby created are the employees'	1823
savings fund, the employers' accumulation fund, the annuity and	1824
pension reserve fund, the income fund, the survivors' benefit	1825
fund, the defined contribution fund, and the expense fund.	1826

(A) The employees' savings fund is the fund in which shall be	1827
accumulated contributions from the earnable salaries of	1828
contributors for the purchase of annuities or retirement	1829
allowances.	1830

The accumulated contributions of a contributor returned to	1831
the contributor upon withdrawal, or paid to the contributor's	1832
estate or designated beneficiary in the event of death, shall be	1833
paid from the employees' savings fund. Any accumulated	1834
contributions forfeited by failure of a member, or a member's	1835
estate, to claim the same, shall be transferred fromremain in the	1836
employees' savings fund or may be transferred to the income fund.	1837
The accumulated contributions of a contributor shall be	1838
transferred from the employees' savings fund to the annuity and	1839
pension reserve fund in the event of the contributor's retirement.	1840

(B) The employers' accumulation fund is the fund in which	1841
shall be accumulated the reserves for the payment of all pensions	1842
and disability benefits payable as provided in this chapter. The	1843
amounts paid by any employer under section 145.48 of the Revised	1844
Code shall be credited to the employers' accumulation fund.	1845
Amounts paid by an employer under section 145.483 of the Revised	1846
Code shall be credited to the employers' accumulation fund, except	1847
that if the amounts paid by the employer are for members	1848
participating in a PERS defined contribution plan those amounts	1849
may be credited to the defined contribution fund.	1850

Amounts paid by an employer under section 145.86 of the	1851
Revised Code may be credited to the employers' accumulation fund.	1852

Any payments made into the employers' accumulation fund by a	1853
member as provided in section 145.31 of the Revised Code shall be	1854
refunded to such member under the conditions specified in section	1855
145.40 of the Revised Code.	1856

Upon the retirement of a contributor, the full amount of the	1857
contributor's pension reserve shall be transferred from the	1858
employers' accumulation fund to the annuity and pension reserve	1859
fund.	1860

(C) The annuity and pension reserve fund is the fund from	1861
which shall be paid all pensions, disability benefits, annuities,	1862
and benefits in lieu thereof, because of which reserves have been	1863
transferred from the employees' savings fund and the employers'	1864
accumulation fund. The annuity and pension reserve fund is also	1865
the fund from which shall be paid all pensions, disability	1866
benefits, annuities, and benefits in lieu thereof under a PERS	1867
defined contribution plan, if reserves have been transferred to	1868
the fund for that purpose.	1869

(D) The income fund is the fund from which interest is	1870
transferred and credited on the amounts in the funds described in	1871
divisions (B), (C), and (F) of this section, and is a contingent	1872
fund from which the special requirements of the funds may be paid	1873
by transfer from this fund. All income derived from the investment	1874
of the funds of the system, together with all gifts and bequests,	1875
or the income therefrom, shall be paid into this fund.	1876

Any deficit occurring in any other fund that will not be	1877
covered by payments to that fund, as otherwise provided in Chapter	1878
145. of the Revised Code, shall be paid by transfers of amounts	1879
from the income fund to such fund or funds. If the amount in the	1880
income fund is insufficient at any time to meet the amounts	1881
payable to the funds described in divisions (C) and (F) of this	1882
section, the amount of the deficiency shall be transferred from	1883
the employers' accumulation fund.	1884

The system may accept gifts and bequests. Any gifts or	1885
bequests, any funds which may be transferred from the employees'	1886
savings fund by reason of lack of a claimant, any surplus in any	1887
fund created by this section, or any other funds whose disposition	1888
is not otherwise provided for, shall be credited to the income	1889
fund.	1890

(E) TheExcept as provided in division (G) of this section,	1891
the expense fund is the fund from which shall be paid the expenses	1892
of the administration of this chapter, exclusive of amounts	1893
payable as retirement allowances and as other benefits.	1894

(F) The survivors' benefit fund is the fund from which shall	1895
be paid dependent survivor benefits provided by section 145.45 of	1896
the Revised Code.	1897

(G) The defined contribution fund is the fund in which shall	1898
be accumulated the contributions deducted from the earnable salary	1899
of members participating in a PERS defined contribution plan, as	1900
provided in section 145.85 of the Revised Code, together with any	1901
earnings and employer contributions, as provided in section 145.86	1902
of the Revised Code, credited thereon. The defined contribution	1903
fund is the fund in which may be accumulated the contributions	1904
under section 145.86 of the Revised Code, together with any	1905
earnings credited thereon. Except as provided in division (C) of	1906
this section, the defined contribution fund is the fund from which	1907
shall be paid all benefits provided under a PERS defined	1908
contribution plan.	1909

Sec. 145.27.  (A)(1) As used in this division, "personal	1910
history record" means information maintained by the public	1911
employees retirement board on an individual who is a member,	1912
former member, contributor, former contributor, retirant, or	1913
beneficiary that includes the address, telephone number, social	1914
security number, record of contributions, correspondence with the	1915
public employees retirement system, or other information the board	1916
determines to be confidential.	1917

(2) The records of the board shall be open to public	1918
inspection and may be made available in printed or electronic	1919
format, except that the following shall be excluded, except with	1920
the written authorization of the individual concerned:	1921

(a) The individual's statement of previous service and other	1922
information as provided for in section 145.16 of the Revised Code;	1923

(b) The amount of a monthly allowance or benefit paid to the	1924
individual;	1925

(c) The individual's personal history record.

1926

(B) All medical reports and recommendations required by this	1927
chapter are privileged, except as follows:	1928

(1) Copies of medical reports or recommendations shall be	1929
made available to the personal physician, attorney, or authorized	1930
agent of the individual concerned upon written release from the	1931
individual or the individual's agent, or when necessary for the	1932
proper administration of the fund, to the board assigned	1933
physician.	1934

(2) Documentation required by section 2929.193 of the Revised	1935
Code shall be provided to a court holding a hearing under that	1936
section.	1937

(C) Any person who is a member or contributor of the system	1938
shall be furnished with a statement of the amount to the credit of	1939
the individual's account upon written request. The board is not	1940
required to answer more than one such request of a person in any	1941
one year. The board may issue annual statements of accounts to	1942
members and contributors.	1943

(D) Notwithstanding the exceptions to public inspection in	1944
division (A)(2) of this section, the board may furnish the	1945
following information:	1946

(1) If a member, former member, contributor, former	1947
contributor, or retirant is subject to an order issued under	1948
section 2907.15 of the Revised Code or an order issued under	1949
division (A) or (B) of section 2929.192 of the Revised Code or is	1950
convicted of or pleads guilty to a violation of section 2921.41 of	1951
the Revised Code, on written request of a prosecutor as defined in	1952
section 2935.01 of the Revised Code, the board shall furnish to	1953
the prosecutor the information requested from the individual's	1954
personal history record.	1955

(2) Pursuant to a court or administrative order issued	1956
pursuant to Chapter 3119., 3121., 3123., or 3125. of the Revised	1957
Code, the board shall furnish to a court or child support	1958
enforcement agency the information required under that section.	1959

(3) At the written request of any person, the board shall	1960
provide to the person a list of the names and addresses of	1961
members, former members, contributors, former contributors,	1962
retirants, or beneficiaries. The costs of compiling, copying, and	1963
mailing the list shall be paid by such person.	1964

(4) Within fourteen days after receiving from the director of	1965
job and family services a list of the names and social security	1966
numbers of recipients of public assistance pursuant to section	1967
5101.181 of the Revised Code, the board shall inform the auditor	1968
of state of the name, current or most recent employer address, and	1969
social security number of each member whose name and social	1970
security number are the same as that of a person whose name or	1971
social security number was submitted by the director. The board	1972
and its employees shall, except for purposes of furnishing the	1973
auditor of state with information required by this section,	1974
preserve the confidentiality of recipients of public assistance in	1975
compliance with section 5101.181 of the Revised Code.	1976

(5) The system shall comply with orders issued under section	1977
3105.87 of the Revised Code.	1978

On the written request of an alternate payee, as defined in	1979
section 3105.80 of the Revised Code, the system shall furnish to	1980
the alternate payee information on the amount and status of any	1981
amounts payable to the alternate payee under an order issued under	1982
section 3105.171 or 3105.65 of the Revised Code.	1983

(6) At the request of any person, the board shall make	1984
available to the person copies of all documents, including	1985
resumes, in the board's possession regarding filling a vacancy of	1986
an employee member or retirant member of the board. The person who	1987
made the request shall pay the cost of compiling, copying, and	1988
mailing the documents. The information described in division	1989
(D)(6) of this section is a public record.	1990

(7) The system shall provide the notice required by section	1991
145.573 of the Revised Code to the prosecutor assigned to the	1992
case.	1993

(8) The system may provide information requested by the	1994
United States social security administration, United States	1995
centers for medicare and medicaid, Ohio public employees deferred	1996
compensation program, Ohio police and fire pension fund, school	1997
employees retirement system, state teachers retirement system, or	1998
state highway patrol retirement system.	1999

(E) A statement that contains information obtained from the	2000
system's records that is signed by the executive director or an	2001
officer of the system and to which the system's official seal is	2002
affixed, or copies of the system's records to which the signature	2003
and seal are attached, shall be received as true copies of the	2004
system's records in any court or before any officer of this state.	2005

(F) For purposes of this section, the board may maintain	2006
records in printed or electronic format.	2007

Sec. 145.28.  (A)(1) Except as provided in division (A)(2) of	2008
this section, a member of the public employees retirement system	2009
with at least eighteen months of contributing service in the	2010
system, the state teachers retirement system, or the school	2011
employees retirement system who exempted self from membership in	2012
one or more of the systems pursuant to section 145.03 or 3309.23	2013
of the Revised Code, or former section 3307.25 or 3309.25 of the	2014
Revised Code, or was exempt under section 3307.24 of the Revised	2015
Code, may purchase credit for each year or portion of a year of	2016
service for which the member was exempted.	2017

(2) A member may not purchase credit under this section for	2018
exempted service if the service was exempted from contribution	2019
under section 145.03 of the Revised Code and subject to the tax on	2020
wages imposed by the "Federal Insurance Contributions Act," 68A	2021
Stat. 415 (1954), 26 U.S.C.A. 3101, as amended.	2022

(B) For each year or portion of a year of credit purchased	2023
under this section, a member shall pay to the retirement system an	2024
amount determined by multiplying the member's earnable salary for	2025
the twelve months of contributing service preceding the month in	2026
which the member applies to purchase the credit by a percentage	2027
rate established by rule of the public employees retirement board	2028
adopted under division (F) of this section.	2029

(C) Subject to board rules, a member may purchase all or part	2030
of the credit the member is eligible to purchase under this	2031
section in one or more payments. If the member purchases the	2032
credit in more than one payment, compound interest at a rate	2033
specified by rule of the board shall be charged on the balance	2034
remaining after the first payment is made.	2035

(D)Credit shall be purchased under this section in	2036
accordance with section 145.29 of the Revised Code.	2037

(C) Credit purchasable under this section shall not exceed	2038
one year of service for any twelve-month period. If the period of	2039
service for which credit is purchasable under this section is	2040
concurrent with a period of service that will be used to calculate	2041
a retirement benefit from this system, the state teachers	2042
retirement system, or school employees retirement system, the	2043
amount of the credit shall be adjusted in accordance with rules	2044
adopted by the public employees retirement board.	2045

A member who is also a member of the state teachers	2046
retirement system or the school employees retirement system shall	2047
purchase credit for any service for which the member exempted self	2048
under section 145.03 or 3309.23 of the Revised Code, or former	2049
section 3307.25 or 3309.25 of the Revised Code, or was exempt	2050
under section 3307.24 of the Revised Code, from the retirement	2051
system in which the member has the greatest number of years of	2052
service credit. If the member receives benefits under section	2053
145.37 of the Revised Code, the retirement system that determines	2054
and pays the benefit shall receive from the other system or	2055
systems the amounts paid by the member for purchase of credit for	2056
exempt service plus interest at the actuarial assumption rate of	2057
the system paying that amount. The interest shall be for the	2058
period beginning on the date of the member's last payment for	2059
purchase of the credit and ending on the date of the member's	2060
retirement.	2061

(E) If a member dies or withdraws from service, any payment	2062
made by the member under this section shall be considered as	2063
accumulated contributions of the member.	2064

(F)(D) The retirement board shall adopt rules to implement	2065
this section.	2066

Sec. 145.29.  (A) A member of the public employees retirement	2067
system who elects to purchase or otherwise obtain service credit	2068
under section 145.28, 145.291, 145.292, 145.293, or 145.299 or	2069
division (G) of section 145.47 of the Revised Code shall do both	2070
of the following:	2071

(1) Submit a request to the public employees retirement board	2072
in a manner or form approved by the board;	2073

(2) For each year, or portion of a year, of credit purchased	2074
or otherwise obtained, pay to the employees' savings fund an	2075
amount specified by the board that is equal to one hundred per	2076
cent of the additional liability resulting from purchasing or	2077
obtaining that year or portion of a year of credit as determined	2078
by an actuary employed by the board.	2079

(B) Subject to board rules, a member may choose to purchase	2080
or otherwise obtain in any one payment only part of any service	2081
credit listed in division (A) of this section.	2082

Sec. 145.291.  Any member of the public employees retirement	2083
system who subsequent to January 1, 1935, and the date membership	2084
was established was off the payroll either on a leave of absence	2085
approved by the then appointing authority or because the member	2086
resigned due to pregnancy or adoption of a child, shall have the	2087
right to make such payment, at the contribution rate in effect at	2088
the time of payment, with interest on such amount compounded	2089
annually at a rate to be determined by the retirement board as the	2090
member would have made if the member had continued on the payroll	2091
at the earnable salary the member was receiving at the time public	2092
service was interruptedmay purchase service credit for the period	2093
of absence or resignation, provided that subsequent to such leave	2094
of absence or resignation the member returned to regular	2095
contributing status in the retirement system for at least twelve	2096
calendar months. In the case of resignation, the member must	2097
submit evidence satisfactory to the retirement board documenting	2098
that the resignation was due to pregnancy or adoption of a child.	2099

The member may choose to purchase only part of the credit in	2100
any one payment, subject to board rules. The payment shall entitle	2101
the member to receive service credit for the leave or period of	2102
absence,Credit shall be purchased under this section in	2103
accordance with section 145.29 of the Revised Code, except that	2104
service credit purchased under this section shall not exceed one	2105
year. The payment, together with any regular interest, shall, in	2106
the event of death or withdrawal from service of the member prior	2107
to retirement, be considered as accumulated contributions of the	2108
member.	2109

Sec. 145.29.        Sec. 145.292. Three years of contributing membership	2110
in the public employees retirement system subsequent to the date	2111
that membership is established entitles a member to receive prior	2112
service credit for services prior to January 1, 1935, in any	2113
capacity which comes under this chapter, provided that such member	2114
has not lost membership at any time by the withdrawal of the	2115
member's accumulated contributions. Members who have withdrawn an	2116
exemption shall receive the prior service credit provided for	2117
under the conditions of this section, only in the event such	2118
member has made the payments required by section 145.28 of the	2119
Revised Code. If the public employees retirement board determines	2120
that a position of any employee member in any one calendar year	2121
prior to January 1, 1935, was a part-time position, the board may	2122
determine what fractional part of a year's credit shall be given.	2123
In determining what credit shall be allowed to regular, full-time	2124
employees who are paid on an hourly or per diem basis, the board	2125
shall allow a full day's credit to any employee toward retirement	2126
who is called to work and works any portion of a day. Credit for	2127
service between January 1, 1935, and the date of becoming a member	2128
of the public employees retirement system except a part-time	2129
employee who claimed exemption under the provisions of section	2130
145.03 of the Revised Code, may be securedpurchased by any public	2131
employee for service rendered an employer provided such public	2132
employee pays into the employees' savings fund an amount equal to	2133
the amount the member would have paid if deductions had been taken	2134
on the member's earnable salary at the member contribution rate in	2135
effect at the time of such payment for service after January 1,	2136
1935, or since the member's date of employment, plus interest on	2137
such amount compounded annually at a rate to be determined by the	2138
board. The member may choose to purchase only part of such credit	2139
in any one payment, subject to board rules. Such payment shall be	2140
refunded in the event of the death or withdrawal from service of	2141
the member prior to retirement under the same conditions and in	2142
the same manner as refunds are made under sections 145.40 and	2143
145.43 of the Revised Code, from the employees' savings fund.	2144
Credit shall be purchased under this section in accordance with	2145
section 145.29 of the Revised Code.	2146

Sec. 145.293.  (A) Service credit may be purchased under this	2147
section shall be included in the member's total service credit.	2148
Credit may be purchased for the following:	2149

(1) Service rendered in another state, and service in any	2150
entity operated by the United States government, that, if served	2151
in a comparable position in Ohio, would be covered by the public	2152
employees retirement system, Ohio police and fire pension fund,	2153
state teachers retirement system, school employees retirement	2154
system, or state highway patrol retirement system;	2155

(2) Service for which contributions were made by the member	2156
or on the member's behalf to a municipal retirement system in this	2157
state, except that if the conditions specified in section 145.2910	2158
of the Revised Code are met, service credit for this service may	2159
be purchased only in accordance with section 145.2911 of the	2160
Revised Code.	2161

The number of years purchased under this section shall not	2162
exceed the lesser of five years or the member's total accumulated	2163
number of years of Ohio service.	2164

(B) For each year of service purchased, a member shall pay to	2165
the public employees retirement system for credit to the member's	2166
accumulated account an amount equal to the member's retirement	2167
contribution for full-time employment for the first year of Ohio	2168
service following termination of the service to be purchased. To	2169
this amount shall be added an amount equal to compound interest at	2170
a rate established by the public employees retirement board from	2171
the date of membership in the public employees retirement system	2172
to date of payment. The member may choose to purchase only part of	2173
such credit in any one payment, subject to board rulesCredit	2174
shall be purchased under this section in accordance with section	2175
145.29 of the Revised Code.	2176

(C) A member is ineligible to purchase under this section	2177
credit for service for which the member has obtained credit under	2178
former section 145.44 of the Revised Code or service that is used	2179
in the calculation of any retirement benefit currently being paid	2180
or payable in the future to the member under any other retirement	2181
program except social security. At the time the credit is	2182
purchased the member shall certify on a form furnished by the	2183
retirement board that the member does and will conform to this	2184
requirement.	2185

(D) Credit purchased under this section may be combined	2186
pursuant to section 145.37 with credit purchased under sections	2187
3307.74 and 3309.31 of the Revised Code, except that not more than	2188
an aggregate total of five years' service credit purchased under	2189
this section and sections 3307.74 and 3309.31 of the Revised Code	2190
shall be used in determining retirement eligibility or calculating	2191
benefits under section 145.37 of the Revised Code.	2192

Sec. 145.294.  (A)(1) The public employees retirement board	2193
may establish by rule a payroll deduction plan for payment of the	2194
cost of restoring service credit under section 145.31 or 145.311	2195
of the Revised Code or purchasing any service credit members of	2196
the public employees retirement system are eligible to purchase	2197
under this chapter, or for making additional deposits under	2198
section 145.583 or 145.62 of the Revised Code. In addition to any	2199
other matter considered relevant by the board, the rules shall	2200
specify all of the following:	2201

(1)(a) The types of service credit that may be paid for	2202
through payroll deduction, including the section of the Revised	2203
Code that authorizes the purchase of each type of service credit	2204
for which payment may be made by payroll deduction;	2205

(2)(b) The procedure for informing the member's employer and	2206
the system that the member wishes to purchase service credit under	2207
this chapter or make additional deposits under section 145.583 or	2208
145.62 of the Revised Code through payroll deduction;	2209

(3)(c) The procedure to be followed by the system and	2210
employers to determine for each request the amount to be deducted,	2211
the number of deductions to be made, and the interval at which	2212
deductions will be made. The rules may provide for a minimum	2213
amount for each deduction or a maximum number of deductions for	2214
the purchase of any type of credit.	2215

(4)(d) The procedure to be followed by employers in	2216
transmitting amounts deducted from the salaries of their employees	2217
to the system;	2218

(5)(e) The procedure to be followed by the system in	2219
crediting service credit to members who choose to purchase it	2220
through payroll deduction.	2221

(B)(2) If the board establishes a payroll deduction plan	2222
under this sectiondivision, it shall certify to the member's	2223
employer for each member for whom deductions are to be made, the	2224
amount of each deduction and the payrolls from which deductions	2225
are to be made. The employer shall make the deductions as	2226
certified and transmit the amounts deducted in accordance with the	2227
rules established by the board under this section.	2228

(C)(3) Rules adopted under this sectiondivision shall not	2229
affect any right to purchase service credit conferred by any other	2230
section of the Revised Code, including the right of a member under	2231
any such section to purchase only part of the service credit the	2232
member is eligible to purchase.	2233

(D)(4) No payroll deduction made pursuant to this section	2234
division may exceed the amount of a member's net compensation	2235
after all other deductions and withholdings required by law.	2236

(B) The public employees retirement board may establish by	2237
rule a payment plan for the cost of restoring service credit under	2238
section 145.31 or 145.311 of the Revised Code or purchasing any	2239
service credit members of the public employees retirement system	2240
may purchase under this chapter. The plan may provide for partial	2241
payments and for payments by payroll deduction under division (A)	2242
of this section.	2243

On receipt of a request from a member eligible to restore or	2244
purchase service credit, the system shall determine and give	2245
notice to the member of the total cost of the credit and the time	2246
period in which the payments must be made for the credit to be	2247
available at that cost. The system may specify the amount and	2248
frequency of payments for credit not purchased in a single	2249
payment.	2250

Sec. 145.295.  (A) As used in this section and section	2251
145.2913 of the Revised Code:	2252

(1) "Uniform retirement system" or "uniform system" means the	2253
Ohio police and fire pension fund or state highway patrol	2254
retirement system.	2255

(2) "Military service credit" means credit purchased or	2256
obtained under this chapter or Chapter 742. or 5505. of the	2257
Revised Code for service in the armed forces of the United States.	2258

(B) A member of the public employees retirement system who	2259
has contributions on deposit with, but is no longer contributing	2260
to, a uniform retirement system shall, in computing years of	2261
service, be given full credit for service credit earned under	2262
Chapter 742. or 5505. of the Revised Code or for military service	2263
credit if a transfer to the public employees retirement system is	2264
made under this division. At the request of the member,a transfer	2265
shall be made if all of the following conditions are met:	2266

(1) The member is eligible, or with the credit will be	2267
eligible, for a retirement or disability benefit.	2268

(2) The member agrees to retire or accept a disability	2269
benefit not later than ninety days after receiving notice from the	2270
public employees retirement system that the credit has been	2271
obtained;	2272

(3) For each year of service the uniform system shall	2273
transfertransfers to the public employees retirement system, for	2274
each year of service, the sum of the following:	2275

(1)(a) An amount equal to the member's accumulated	2276
contributions to the uniform system making the transfer and any	2277
payments by the member for military service credit;	2278

(2)(b) An amount equal to the lesser of the employer's	2279
contributions to the uniform system or the amount that would have	2280
been contributed by the employer for the service had the member	2281
been employed by the member's current employer as a member of the	2282
public employees retirement system at the time the credit was	2283
earned;	2284

(3)(c) Interest, determined as provided in division (H) of	2285
this section, on the amounts specified in divisions (B)(1)(3)(a)	2286
and (2)(b) of this section for the period from the last day of the	2287
year for which the service credit in the uniform system was earned	2288
or in which the military service credit was purchased or obtained	2289
to the date the transfer is made.	2290

(C) A member of the public employees retirement system who	2291
has at least eighteen months of contributing service credit with	2292
the public employees retirement system, who is a former member of	2293
a uniform retirement system, and who has received a refund of the	2294
member's accumulated contributions to that uniform system shall,	2295
in computing years of service, be given fullmay obtain credit for	2296
service credit earned under Chapter 742. or 5505. of the Revised	2297
Code or for military service credit if, forall of the following	2298
conditions are met:	2299

(1) The member is eligible, or with the credit will be	2300
eligible, for a retirement or disability benefit.	2301

(2) The member agrees to retire or accept a disability	2302
benefit not later than ninety days after receiving notice from the	2303
public employees retirement system that the credit has been	2304
obtained.	2305

(3) For each year of service, the public employees retirement	2306
system receives the sum of the following:	2307

(1)(a) An amount, which shall be paid by the member, equal to	2308
the amount refunded by the uniform system to the member for that	2309
year for accumulated contributions and payments for military	2310
service credit, with interest at a rate established by the public	2311
employees retirement board on that amount from the date of the	2312
refund to the date of the payment;	2313

(2)(b) Interest, which shall be transferred by the uniform	2314
system, on the amount refunded to the member that is attributable	2315
to the year of service from the last day of the year for which the	2316
service credit was earned or in which payment was made for	2317
military service credit to the date the refund was made;	2318

(3)(c) An amount, which shall be transferred by the uniform	2319
system, equal to the lesser of the employer's contributions to the	2320
uniform system or the amount that would have been contributed by	2321
the employer for the service had the member been employed by the	2322
member's current employer as a member of the public employees	2323
retirement system at the time the credit was earned, with interest	2324
on that amount from the last day of the year for which the service	2325
credit was earned or in which payment was made for military	2326
service credit to the date of the transfer.	2327

On receipt of payment from the member, the public employees	2328
retirement system shall notify the uniform system, which, on	2329
receipt of the notice, shall make the transfer required by this	2330
division. Interest shall be determined as provided in division (H)	2331
of this section.	2332

(D) A member of the public employees retirement system who	2333
purchased credit under former division (A)(1) of this section, as	2334
it existed before August 25, 1995, for service as a member of a	2335
uniform retirement system may elect to have the amount the member	2336
paid for this service credit refunded to the member under this	2337
division if the member agrees to repurchase this service credit	2338
pursuant to division (C) of this section.	2339

(E) Service credit purchased or otherwise obtained under this	2340
section shall be considered the equivalent of Ohio service credit.	2341

The public employees retirement system shall withdraw the	2342
credit and refund all amounts paid or transferred under this	2343
section if either of the following occurs:	2344

(1) The member fails to retire or accept a disability benefit	2345
not later than ninety days after receiving notice from the public	2346
employees retirement system that credit has been obtained.	2347

(2) The member's application for a disability benefit is	2348
denied.	2349

A member may choose to purchase only part of the credit the	2350
member is eligible to purchase under division (C) of this section	2351
in any one payment, subject to rules of the public employees	2352
retirement board. A member is ineligible to purchase or otherwise	2353
obtain credit under this section for service to be used in	2354
calculation of any retirement benefit currently being paid or	2355
payable to the member in the future under any other retirement	2356
program or for service credit that may be transferred under	2357
section 145.2913 of the Revised Code.	2358

(F) If a member of the public employees retirement system who	2359
is not a current contributor elects to receive credit under	2360
section 742.21 or 5505.40 of the Revised Code for service for	2361
which the member contributed to the system or made payment for	2362
military service credit, the system shall transfer to the Ohio	2363
police and fire pension fund or the state highway patrol	2364
retirement system, as applicable, the amount specified in division	2365
(D) of section 742.21 or division (B)(2) of section 5505.40 of the	2366
Revised Code.	2367

(G) A member of the public employees retirement system who	2368
earned service credit in the public employees retirement system	2369
for full-time service as a township or municipal police officer	2370
and received service credit in the Ohio police and fire pension	2371
fund under section 742.511 or 742.512 of the Revised Code for such	2372
service may elect to have the credit restored as public employees	2373
retirement system service credit by paying the public employees	2374
retirement system an amount equal to the accumulated contributions	2375
paid by the member to the Ohio police and fire pension fund under	2376
section 742.511 or 742.512 of the Revised Code. When such an	2377
election is made, the Ohio police and fire pension fund shall	2378
transfer to the public employees retirement system the amount	2379
previously transferred under section 742.511 or 742.512 of the	2380
Revised Code from the public employees retirement system to the	2381
Ohio police and fire pension fund.	2382

(H) Interest charged under this section shall be calculated	2383
separately for each year of service credit. Unless otherwise	2384
specified in this section, it shall be calculated at the lesser of	2385
the actuarial assumption rate for that year of the public	2386
employees retirement system or of the uniform retirement system in	2387
which the credit was earned. The interest shall be compounded	2388
annually.	2389

(I) At the request of the public employees retirement system,	2390
the uniform retirement system shall certify to the public	2391
employees retirement system a copy of the records of the service	2392
and contributions of a public employees retirement system member	2393
who seeks service credit under this section.	2394

Sec. 145.297.  (A) As used in this section, "employing unit"	2395
means:	2396

(1) A municipal corporation, agency of a municipal	2397
corporation designated by the legislative authority, park	2398
district, conservancy district, sanitary district, health	2399
district, township, department of a township designated by the	2400
board of township trustees, metropolitan housing authority, public	2401
library, county law library, union cemetery, joint hospital, or	2402
other political subdivision or unit of local government.	2403

(2) With respect to state employees, any entity of the state	2404
including any department, agency, institution of higher education,	2405
board, bureau, commission, council, office, or administrative body	2406
or any part of such entity that is designated by the entity as an	2407
employing unit.	2408

(3)(a) With respect to employees of a board of alcohol, drug	2409
addiction, and mental health services, that board.	2410

(b) With respect to employees of a county board of	2411
developmental disabilities, that board.	2412

(c) With respect to other county employees, the county or any	2413
county agency designated by the board of county commissioners.	2414

(4) In the case of an employee whose employing unit is in	2415
question, the employing unit is the unit through whose payroll the	2416
employee is paid.	2417

(B) An employing unit may establish a retirement incentive	2418
plan for its eligible employees. In the case of a county or county	2419
agency, decisions on whether to establish a retirement incentive	2420
plan for any employees other than employees of a board of alcohol,	2421
drug addiction, and mental health services or county board of	2422
developmental disabilities and on the terms of the plan shall be	2423
made by the board of county commissioners. In the case of a	2424
municipal corporation or an agency of a municipal corporation,	2425
decisions on whether to establish a retirement incentive plan and	2426
on the terms of the plan shall be made by the legislative	2427
authority.	2428

All terms of a retirement incentive plan shall be in writing.

2429

A retirement incentive plan shall provide for purchase by the	2430
employing unit of service credit for eligible employees who elect	2431
to participate in the plan and for payment by the employing unit	2432
of the entire cost of the service credit purchased.	2433

Every retirement incentive plan shall remain in effect for at	2434
least one year. The employing unit shall give employees at least	2435
thirty days' notice before terminating the plan.	2436

Every retirement incentive plan shall include provisions for	2437
the timely and impartial resolution of grievances and disputes	2438
arising under the plan.	2439

No employing unit shall have more than one retirement	2440
incentive plan in effect at any time.	2441

(C) Any classified or unclassified employee of the employing	2442
unit who is a member of the public employees retirement system	2443
shall be eligible to participate in the retirement incentive plan	2444
established by the employee's employing unit if the employee meets	2445
the following criteria:	2446

(1) The employee is not any of the following:

2447

(a) An elected official;

2448

(b) A member of a board or commission;

2449

(c) A person elected to serve a term of fixed length;

2450

(d) A person appointed to serve a term of fixed length, other	2451
than a person appointed and employed by the person's employing	2452
unit.	2453

(2) The employee is or will be eligible to retire under	2454
section 145.32145.33, 145.34,145.332, or 145.37, or division (A)	2455
of section 145.33 of the Revised Code on or before the date of	2456
termination of the retirement incentive plan. Service credit to be	2457
purchased for the employee under the retirement incentive plan	2458
shall be included in making such determination.	2459

(3) The employee agrees to retire under section 145.32	2460
145.33, 145.34,145.332, or 145.37, or division (A) of section	2461
145.33 of the Revised Code within ninety days after receiving	2462
notice from the public employees retirement system that service	2463
credit has been purchased for the employee under this section.	2464

Participation in the plan shall be available to all eligible	2465
employees except that the employing unit may limit the number of	2466
participants in the plan to a specified percentage of its	2467
employees who are members of the public employees retirement	2468
system on the date the plan goes into effect. The percentage shall	2469
not be less than five per cent of such employees. If participation	2470
is limited, employees with more total service credit have the	2471
right to elect to participate before employees with less total	2472
service credit. In the case of employees with the same total	2473
service credit, employees with a greater length of service with	2474
the employing unit have the right to elect to participate before	2475
employees with less service with the employing unit. Employees	2476
with less than eighteen months of service with the employing unit	2477
have the right to elect to participate only after all other	2478
eligible employees have been given the opportunity to elect to	2479
participate. For the purpose of determining which employees may	2480
participate in a plan, total service credit includes service	2481
credit purchased by the employee under this chapter after the date	2482
on which the plan is established.	2483

A retirement incentive plan that limits participation may	2484
provide that an employee who does not notify the employing unit of	2485
the employee's decision to participate in the plan within a	2486
specified period of time will lose priority to participate in the	2487
plan ahead of other employees with less seniority. The time given	2488
to an employee to elect to participate ahead of other employees	2489
shall not be less than thirty days after the employee receives	2490
written notice that the employee may participate in the plan.	2491

(D) A retirement incentive plan shall provide for purchase of	2492
the same amount of service credit for each participating employee,	2493
except that the employer may not purchase more service credit for	2494
any employee than the lesser of the following:	2495

(1) Five years of service credit;

2496

(2) An amount of service credit equal to one-fifth of the	2497
total service credited to the participant under this chapter,	2498
exclusive of service credit purchased under this section.	2499

For each year of service credit purchased under this section,	2500
the employing unit shall pay an amount equal to the additional	2501
liability resulting from the purchase of that year of service	2502
credit, as determined by an actuary employed by the public	2503
employees retirement board.	2504

(E) Upon the election by an eligible employee to participate	2505
in the retirement incentive plan, the employee and the employing	2506
unit shall agree upon a date for payment or contracting for	2507
payment in installments to the public employees retirement system	2508
of the cost of the service credit to be purchased. The employing	2509
unit shall submit to the public employees retirement system a	2510
written request for a determination of the cost of the service	2511
credit, and within forty-five days after receiving the request,	2512
the board shall give the employing unit written notice of the	2513
cost.	2514

The employing unit shall pay or contract to pay in	2515
installments the cost of the service credit to be purchased to the	2516
public employees retirement system on the date agreed to by the	2517
employee and the employing unit. The payment shall be made in	2518
accordance with rules adopted by the public employees retirement	2519
board. The rules may provide for payment in installments and for	2520
crediting the purchased credit to the employee's account upon the	2521
employer's contracting to pay the cost in installments. The board	2522
shall notify the member when the member is credited with service	2523
purchased under this section. If the employee does not retire	2524
within ninety days after receiving notice that the employee has	2525
been credited with the purchased service credit, the system shall	2526
refund to the employing unit the amount paid for the service	2527
credit.	2528

No payment made to the public employees retirement system	2529
under this section shall affect any payment required by section	2530
145.48 of the Revised Code.	2531

(F) For the purpose of determining whether the cost of a	2532
retirement incentive plan established by a county or county agency	2533
under this section is an allowable cost for the purpose of federal	2534
funding for any year, the cost shall be considered abnormal or	2535
mass severance pay only if fifteen per cent or more of the county	2536
or county agency's employees participate in the plan in that year.	2537

Nothing in this division shall relieve a county or county	2538
agency from seeking federal approval for any early retirement	2539
incentive plan that uses federal dollars in accordance with	2540
federal law.	2541

Sec. 145.298.  (A) As used in this section:

2542

(1) "State employing unit" means an employing unit described	2543
in division (A)(2) of section 145.297 of the Revised Code, except	2544
that it does not mean an employing unit with fifty or fewer	2545
employees.	2546

(2) "State institution" means a state correctional facility,	2547
a state institution for the mentally ill, or a state institution	2548
for the care, treatment, and training of the mentally retarded.	2549

(B)(1) Prior to the effective date of this amendmentJuly 17,	2550
2009, in the event of a proposal to close a state institution or	2551
lay off, within a six-month period, a number of persons employed	2552
at an institution that equals or exceeds the lesser of fifty or	2553
ten per cent of the persons employed at the institution, the	2554
employing unit responsible for the institution's operation shall	2555
establish a retirement incentive plan for persons employed at the	2556
institution.	2557

(2) On and after the effective date of this amendmentJuly	2558
17, 2009, in the event of a proposal to close a state institution	2559
or lay off, within a six-month period, a number of persons	2560
employed at an institution that equals or exceeds the lesser of	2561
three hundred fifty or forty per cent of the persons employed at	2562
the institution, the employing unit responsible for the	2563
institution's operation shall establish a retirement incentive	2564
plan for persons employed at the institution.	2565

(C)(1) Prior to the effective date of this amendmentJuly 17,	2566
2009, in the event of a proposal, other than the proposals	2567
described in division (B) of this section, to lay off, within a	2568
six-month period, a number of employees of a state employing unit	2569
that equals or exceeds the lesser of fifty or ten per cent of the	2570
employing unit's employees, the employing unit shall establish a	2571
retirement incentive plan for employees of the employing unit.	2572

(2) On and after the effective date of this amendmentJuly	2573
17, 2009, in the event of a proposal, other than the proposals	2574
described in division (B) of this section, to lay off, within a	2575
six-month period, a number of employees of a state employing unit	2576
that equals or exceeds the lesser of three hundred fifty or forty	2577
per cent of the employing unit's employees, the employing unit	2578
shall establish a retirement incentive plan for employees of the	2579
employing unit.	2580

(D)(1) A retirement incentive plan established under this	2581
section shall be consistent with the requirements of section	2582
145.297 of the Revised Code, except as provided in division (D)(2)	2583
of this section and except that the plan shall go into effect at	2584
the time the layoffs or proposed closings are announced and shall	2585
remain in effect until the date of the layoffs or closings.	2586

(2) A retirement incentive plan established under this	2587
section due to the proposed closing of a state institution by the	2588
department of mental health prior to July 1, 1997, shall be	2589
consistent with the requirements of section 145.297 of the Revised	2590
Code, except as follows:	2591

(a) The employing unit shall purchase at least three years of	2592
service credit for each participating employee, except that it	2593
shall not purchase more service credit than the amount allowed by	2594
division (D) of section 145.297 of the Revised Code;	2595

(b) The plan shall go into effect at the time the proposed	2596
closing is announced and shall remain in effect at least until the	2597
date of the closing.	2598

(3) If the employing unit already has a retirement incentive	2599
plan in effect, the plan shall remain in effect at least until the	2600
date of the layoffs or closings. The employing unit may revise the	2601
existing plan to provide greater benefits, but if it revises the	2602
plan, it shall give written notice of the changes to all employees	2603
who have elected to participate in the original plan, and it shall	2604
provide the greater benefits to all employees who participate in	2605
the plan, whether their elections to participate were made before	2606
or after the date of the revision.	2607

Sec. 145.299.  (A) As used in this section, "school board	2608
member" means a member of a city, local, exempted village, or	2609
joint vocational school district board of education and "governing	2610
board member" means a member of an educational service center	2611
governing board.	2612

(B) A member of the public employees retirement system may	2613
purchase credit for service as a school board member if all of the	2614
following conditions are met:	2615

(1) The member is eligible to retire under this chapter or	2616
will become eligible to retire as a result of purchasing the	2617
credit.	2618

(2) The member agrees to retire within ninety days after	2619
receiving notice of the additional liability under division (C) of	2620
this section 145.29 of the Revised Code.	2621

(3) The retirement system receives certification of the	2622
member's service and compensation as a school board or governing	2623
board member from the board of education or governing board of the	2624
district or educational service center in which the member served	2625
or, if that district or educational service center no longer	2626
exists, the board or governing board that controls the territory,	2627
or the largest part of the territory, of the district or	2628
educational service center in which the member served.	2629

(C) Credit shall be purchased under this section in	2630
accordance with section 145.29 of the Revised Code, except that	2631
payment for the credit or portion of credit shall be paid in full	2632
at the time of purchase.	2633

(D) The retirement system shall calculate the amount of	2634
credit the member is eligible to purchase by dividing the	2635
compensation received pursuant to section 3313.12 of the Revised	2636
Code for each month served as a school board or governing board	2637
member by the amount of compensation that, for the same month, the	2638
retirement system considered equivalent to full-time service.	2639

(E) Credit may be purchased for service as a school board or	2640
governing board member, other than service subject to the tax on	2641
wages imposed by the "Federal Insurance Contributions Act," 68A	2642
Stat. 415 (1954), 26 U.S.C.A. 3101, as amended, between January 1,	2643
1935, and the first day of January of the year in which the credit	2644
is purchased. A member may purchase not more than one-twelfth of a	2645
year's credit for each month of service as a school board or	2646
governing board member.	2647

(C) On receipt of a request from a member eligible to	2648
purchase credit under this section, the system shall obtain from	2649
its actuary certification of the additional liability to the	2650
system for each month of credit the member is eligible to	2651
purchase, and shall notify the member of such additional	2652
liability. The member may purchase in one-month increments any	2653
portion of the credit the member is eligible to purchase. For each	2654
month of credit purchased, the member shall pay to the system an	2655
amount equal to the additional liability resulting from the	2656
purchase. Payment shall be made in full at the time of purchase.	2657

(D)(F) The public employees retirement board shall adopt	2658
rules in accordance with section 111.15 of the Revised Code	2659
concerning the purchase of credit under this section. In addition	2660
to any other matters considered relevant by the retirement board,	2661
the rules shall specify the procedure to be followed by a member	2662
to inform the system of the member's desire to purchase credit for	2663
service as a school board or governing board member.	2664

(E)(G) If the member does not retire within ninety days after	2665
purchasing credit under this section, the system shall withdraw	2666
the credit and refund the amount paid by the member.	2667

Sec. 145.2911.  (A) If the conditions described in division	2668
(B) of section 145.2910 of the Revised Code are met, a member of	2669
the public employees retirement system who is not receiving a	2670
pension or benefit from the public employees retirement system is	2671
eligible to obtain credit for service as a member of the	2672
Cincinnati retirement system under this section.	2673

(B) A member of the public employees retirement system who	2674
has contributions on deposit with, but is no longer contributing	2675
to, the Cincinnati retirement system shall, in computing years of	2676
service credit, be given credit for service credit earned under	2677
the Cincinnati retirement system or purchased or obtained as	2678
military service credit if, forall of the following conditions	2679
are met:	2680

(1) The member is eligible, or with the credit will be	2681
eligible, for a retirement or disability benefit.	2682

(2) The member agrees to retire or accept a disability	2683
benefit not later than ninety days after receiving notice from the	2684
public employees retirement system that the credit has been	2685
obtained.	2686

(3) For each year of service, the Cincinnati retirement	2687
system transfers to the public employees retirement system the sum	2688
of the following:	2689

(1)(a) The amount contributed by the member, or, in the case	2690
of military service credit, paid by the member, that is	2691
attributable to the year of service;	2692

(2)(b) An amount equal to the lesser of the employer's	2693
contributions to the Cincinnati retirement system or the amount	2694
that would have been contributed by the employer for the service	2695
had the member been employed by the member's current employer as a	2696
member of the public employees retirement system at the time the	2697
credit was earned;	2698

(3)(c) Interest on the amounts specified in divisions	2699
(B)(1)(3)(a) and (2)(b) of this section from the last day of the	2700
year for which the service credit was earned or in which payment	2701
was made for military service credit to the date the transfer is	2702
made.	2703

(C) A member of the public employees retirement system with	2704
at least eighteen months of contributing service credit with the	2705
public employees retirement system who has received a refund of	2706
the member's contributions to the Cincinnati retirement system	2707
shall, in computing years of service, be givenmay obtain credit	2708
for service credit earned under the Cincinnati retirement system	2709
or purchased or obtained as military service credit if, forall of	2710
the following conditions are met:	2711

(1) The member is eligible, or with the credit will be	2712
eligible, for a retirement or disability benefit.	2713

(2) The member agrees to retire or accept a disability	2714
benefit not later than ninety days after receiving notice from the	2715
public employees retirement system that the credit has been	2716
obtained.	2717

(3) For each year of service, the public employees retirement	2718
system receives the sum of the following:	2719

(1)(a) An amount, paid by the member, equal to the sum of the	2720
following:	2721

(a)(i) The amount refunded by the Cincinnati retirement	2722
system to the member for that year for contributions and payments	2723
for military service, with interest at a rate established by the	2724
public employees retirement board on that amount from the date of	2725
the refund to the date of payment;	2726

(b)(ii) The amount of interest, if any, the member received	2727
when the refund was made that is attributable to the year of	2728
service.	2729

(2)(b) An amount, transferred by the Cincinnati retirement	2730
system to the public employees retirement system, equal to the sum	2731
of the following:	2732

(a)(i) Interest on the amount refunded to the member that is	2733
attributable to the year of service from the last day of the year	2734
for which the service credit was earned or in which payment was	2735
made for military service credit to the date the refund was made;	2736

(b)(ii) An amount equal to the lesser of the employer's	2737
contributions to the Cincinnati retirement system or the amount	2738
that would have been contributed by the employer for the service	2739
had the member been employed by the member's current employer as a	2740
member of the public employees retirement system at the time the	2741
credit was earned, with interest on that amount from the last day	2742
of the year for which the service credit was earned to the date of	2743
the transfer.	2744

(D) The amount transferred under division (C)(2)(a)(3)(b)(i)	2745
of this section shall not include any amount of interest the	2746
Cincinnati retirement system paid to the person when it made the	2747
refund.	2748

(E) On receipt of payment from the member under division	2749
(C)(1)(3)(a) of this section, the public employees retirement	2750
system shall notify the Cincinnati retirement system. On receipt	2751
of the notice, the Cincinnati retirement system shall transfer the	2752
amount described in division (C)(2)(3)(b) of this section.	2753

(F) Interest charged under this section shall be calculated	2754
separately for each year of service credit. Unless otherwise	2755
specified in this section, it shall be calculated at the lesser of	2756
the actuarial assumption rate for that year of the public	2757
employees retirement system or the Cincinnati retirement system.	2758
The interest shall be compounded annually.	2759

(G) At the request of the public employees retirement system,	2760
the Cincinnati retirement system shall certify to the public	2761
employees retirement system a copy of the records of the service	2762
and contributions of a member of the public employees retirement	2763
system who seeks service credit under this section.	2764

(H) Service credit purchased or otherwise obtained under this	2765
section shall be considered the equivalent of Ohio service credit.	2766

The public employees retirement system shall withdraw the	2767
credit and refund all amounts paid or transferred under this	2768
section if either of the following occurs:	2769

(1) The member fails to retire or accept a disability benefit	2770
not later than ninety days after receiving notice from the public	2771
employees retirement system that credit has been obtained under	2772
this section.	2773

(2) The member's application for a disability benefit is	2774
denied.	2775

(I) A member may choose to purchase only part of the credit	2776
the member is eligible to purchase under division (C) of this	2777
section in any one payment, subject to rules of the public	2778
employees retirement board.	2779

(J) A member is ineligible to purchase or otherwise obtain	2780
credit under this section for the service to be used in	2781
calculation of any retiremementretirement benefit currently being	2782
paid or payable to the member in the future.	2783

Sec. 145.2912.  (A) If the conditions described in division	2784
(B) of section 145.2910 of the Revised Code are met and a person	2785
who is a member or former member of the public employees	2786
retirement system but not a current contributor and who is not	2787
receiving a pension or benefit from the public employees	2788
retirement system elects to receive credit under the Cincinnati	2789
retirement system for service for which the person contributed to	2790
the public employees retirement system or purchased or obtained as	2791
military service credit, the public employees retirement system	2792
shall transfer the amounts specified in divisions (B)(A)(3)(a) and	2793
(C)(b) of this section to the Cincinnati retirement system. A	2794
person may obtain credit if all of the following conditions are	2795
met:	2796

(1) The member is eligible, or with the credit will be	2797
eligible, for a retirement or disability benefit.	2798

(2) The member agrees to retire or accept a disability	2799
benefit not later than ninety days after receiving notice from the	2800
public employees retirement system that the credit has been	2801
obtained.	2802

(B)(3)(a) If the person has contributions on deposit with the	2803
public employees retirement system, the public employees	2804
retirement system shall, for each year of service credit, transfer	2805
transfers to the Cincinnati retirement system the sum of the	2806
following:	2807

(1)(i) An amount equal to the person's contributions to the	2808
public employees retirement system and payments made by the member	2809
for military service credit;	2810

(2)(ii) An amount equal to the lesser of the employer's	2811
contributions to the public employees retirement system or the	2812
amount that would have been contributed by the employer for the	2813
service had the person been a member of the Cincinnati retirement	2814
system at the time the credit was earned;	2815

(3)(iii) Interest on the amounts specified in divisions	2816
(B)(1)(A)(3)(a)(i) and (2)(ii) of this section for the period	2817
from the last day of the year for which the service credit was	2818
earned or in which payment was made for military service credit to	2819
the date the transfer was made.	2820

(C)(1)(b) If the person has received a refund of accumulated	2821
contributions to the public employees retirement system, the	2822
public employees retirement system shall, for each year of service	2823
credit, transfertransfers to the Cincinnati retirement system the	2824
sum of the following:	2825

(a)(i) Interest on the amount refunded to the former member	2826
that is attributable to the year of service from the last day of	2827
the year for which the service credit was earned or in which	2828
payment was made for military service credit to the date the	2829
refund was made;	2830

(b)(ii) An amount equal to the lesser of the employer's	2831
contributions to the public employees retirement system or the	2832
amount that would have been contributed by the employer for the	2833
service had the person been a member of the Cincinnati retirement	2834
system at the time the credit was earned, with interest on that	2835
amount from the last day of the year for which the service credit	2836
was earned to the date of the transfer.	2837

(2)(B) The amount transferred under division (C)(1)(A)(3)(b)	2838
of this section shall not include any amount of the employer's	2839
contributions or interest on employee contributions the person	2840
received under section 145.40 of the Revised Code.	2841

(3)(C) On receipt of notice from the Cincinnati retirement	2842
system that the Cincinnati retirement system has received payment	2843
from a person described in division (C)(1)(A)(3)(b) of this	2844
section, the public employees retirement system shall transfer the	2845
amount described in that division.	2846

(D) Interest charged under this section shall be calculated	2847
separately for each year of service credit. Unless otherwise	2848
specified in this section, it shall be calculated at the lesser of	2849
the actuarial assumption rate for that year of the public	2850
employees retirement system or the Cincinnati retirement system.	2851
The interest shall be compounded annually.	2852

(E) The transfer of any amount under this section cancels an	2853
equivalent amount of service credit.	2854

(F) At the request of the Cincinnati retirement system, the	2855
public employees retirement system shall certify to the Cincinnati	2856
retirement system a copy of the records of the service and	2857
contributions of a member or former member of the public employees	2858
retirement system who elects to receive service credit under the	2859
Cincinnati retirement system.	2860

Sec. 145.2913. (A) As used in this section, "transferred	2861
service credit" means service credit purchased or obtained under	2862
section 742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of	2863
the Revised Code prior to the date a member commenced the	2864
employment covered by the public employees retirement system for	2865
which the member is currently contributing to the system.	2866

(B) A member of the public employees retirement system who	2867
has contributions on deposit with, but is no longer contributing	2868
to, a uniform retirement system shall, in computing years of	2869
service, be given full credit for transferred service credit if a	2870
transfer to the public employees retirement system is made under	2871
this sectiondivision. At the request of a member a transfer shall	2872
be made if all of the following conditions are met:	2873

(1) The member is eligible, or with the credit will be	2874
eligible, for a retirement or disability benefit.	2875

(2) The member agrees to retire or accept a disability	2876
benefit not later than ninety days after receiving notice from the	2877
public employees retirement system that the credit has been	2878
obtained.	2879

(3) For each year of service, the uniform system shall	2880
transfertransfers to the public employees retirement system the	2881
sum of the following:	2882

(1)(a) An amount equal to the amounts transferred to the	2883
uniform system under section 742.21, 742.214, 742.375, 5505.201,	2884
5505.40, or 5505.41 of the Revised Code;	2885

(2)(b) Interest, determined as provided in division (E) of	2886
this section, on the amount specified in division (B)(1)(3)(a) of	2887
this section for the period from the last day of the year in which	2888
the transfer under section 742.21, 742.214, 742.375, 5505.201,	2889
5505.40, or 5505.41 of the Revised Code was made to the date a	2890
transfer is made under this section.	2891

(C) A member of the public employees retirement system with	2892
at least eighteen months of contributing service credit with the	2893
public employees retirement system who has received a refund of	2894
contributions to a uniform retirement system shall, in computing	2895
years of service, be given full credit for transferred service	2896
credit if, forall of the following conditions are met:	2897

(1) The member is eligible, or with the credit will be	2898
eligible, for a retirement or disability benefit.	2899

(2) The member agrees to retire or accept a disability	2900
benefit not later than ninety days after receiving notice from the	2901
public employees retirement system that the credit has been	2902
obtained.	2903

(3) For each year of service, the public employees retirement	2904
system receives the sum of the following:	2905

(1)(a) An amount, which shall be paid by the member, equal to	2906
the amount refunded by the uniform system to the member for that	2907
year for transferred service credit, with interest on that amount	2908
from the date of the refund to the date a payment is made under	2909
this section;	2910

(2)(b) Interest, which shall be transferred by the uniform	2911
system, on the amount refunded to the member for the period from	2912
the last day of the year in which the transfer under section	2913
742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of the	2914
Revised Code was made to the date the refund was made;	2915

(3)(c) If the uniform system retained any portion of the	2916
amount transferred under section 742.21, 742.214, 742.375,	2917
5505.201, 5505.40, or 5505.41 of the Revised Code, an amount,	2918
which shall be transferred by the uniform system, equal to the	2919
amount retained, with interest on that amount for the period from	2920
the last day of the year in which the transfer under section	2921
742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of the	2922
Revised Code was made to the date a transfer is made under this	2923
section.	2924

On receipt of payment from the member, the public employees	2925
retirement system shall notify the uniform system, which, on	2926
receipt of the notice, shall make the transfer required by this	2927
division. Interest shall be determined as provided in division (E)	2928
of this section.	2929

(D) Service credit purchased or obtained under this section	2930
shall be considered the equivalent of Ohio service credit. A	2931
member may choose to purchase only part of the credit the member	2932
is eligible to purchase under division (C) of this section in any	2933
one payment, subject to rules adopted by the public employees	2934
retirement board. A member is ineligible to purchase or obtain	2935
service credit under this section for service to be used in the	2936
calculation of any retirement benefit currently being paid or	2937
payable to the member in the future under any other retirement	2938
program or for service credit that may be purchased or obtained	2939
under section 145.295 of the Revised Code.	2940

(E) Interest charged under this section shall be calculated	2941
separately for each year of service credit at the lesser of the	2942
actuarial assumption rate for that year of the public employees	2943
retirement system or of the uniform retirement system to which the	2944
credit was transferred under section 742.21, 742.214, 742.375,	2945
5505.201, 5505.40, or 5505.41 of the Revised Code. The interest	2946
shall be compounded annually.	2947

(F) Any amounts transferred or paid under divisions (B) and	2948
(C) of this section that are attributable to contributions made by	2949
the member or to amounts paid to purchase service credit shall be	2950
credited to the employees' savings fund created under section	2951
145.23 of the Revised Code. Any remaining amounts shall be	2952
credited to one or more of the funds created under that section as	2953
determined by the board.	2954

(G) At the request of the public employees retirement system,	2955
the uniform retirement system shall certify to the public	2956
employees retirement system a copy of the records of the service	2957
and contributions of a public employees retirement system member	2958
who seeks service credit under this section. The uniform	2959
retirement system shall specify the portions of the amounts	2960
transferred that are attributable to employee contributions,	2961
employer contributions, and interest.	2962

(H) If a member of the public employees retirement system who	2963
is not a current contributor elects to receive service credit	2964
under section 742.214 or 5505.41 of the Revised Code for	2965
transferred service credit, as defined in those sections, the	2966
system shall transfer to the uniform retirement system, as	2967
applicable, the amount specified in division (B) or (C) of section	2968
742.214 or division (B) or (C) of section 5505.41 of the Revised	2969
Code.	2970

(I) The public employees retirement system shall withdraw the	2971
credit and refund all amounts paid or transferred under this	2972
section if either of the following occurs:	2973

(1) The member fails to retire or accept a disability benefit	2974
not later than ninety days after receiving notice from the public	2975
employees retirement system that credit has been obtained under	2976
this section.	2977

(2) The member's application for a disability benefit is	2978
denied.	2979

(J) The board may adopt rules to implement this section.

2980

Sec. 145.2914. (A) The public employees retirement board may	2981
adopt rules in accordance with section 145.09 of the Revised Code	2982
to establish a program under which service credit earned under	2983
division (A) or (B)(2)(b) of section 145.33 of the Revised Code or	2984
division (A)(2), (B)(2), or (C)(2) of section 145.332 of the	2985
Revised Code is treated as service credit earned under division	2986
(B)(2)(a)(A)(1), (B)(1), or (C)(1) of that section 145.332 of the	2987
Revised Code if the member makeselects to do one of the	2988
following:	2989

(1) Have the amount of service credit earned under section	2990
145.33 of the Revised Code or division (A)(2), (B)(2), or (C)(2)	2991
of section 145.332 of the Revised Code reduced so there is no	2992
additional liability to the public employees retirement system;	2993

(2) Make payment to the public employees retirement system in	2994
accordance with the rules. The number of years of service credit	2995
earned under section 145.33 of the Revised Code or division	2996
(A)(2), (B)(2), or (C)(2) of section 145.332 of the Revised Code	2997
that may be treated as service credit earned under division	2998
(A)(1), (B)(1), or (C)(1) of section 145.332 of the Revised Code	2999
shall not exceed five.	3000

(B) If the board adopts rules under division (A) of this	3001
section, all of the following apply to payments made under	3002
division (A)(2) of this section:	3003

(1) For each year or portion of a year of service credit	3004
earned under division (A) or (B)(2)(b) of section 145.33 of the	3005
Revised Code or division (A)(2), (B)(2), or (C)(2) of section	3006
145.332 of the Revised Code that is to be treated as service	3007
credit earned under division (B)(2)(a)(A)(1), (B)(1), or (C)(1) of	3008
that section 145.332 of the Revised Code, the member shall pay to	3009
the retirement system an amount specified by the retirement board	3010
that is not less than one hundred per cent of the additional	3011
liability resulting from the purchase of that year, or portion of	3012
a year, of service.	3013

(2) The number of years of service credit earned under	3014
division (A) or (B)(2)(b) of section 145.33 of the Revised Code	3015
that may be treated as service credit earned under division	3016
(B)(2)(a) of that section shall not exceed five.	3017

(3) Any amounts paid under this section shall be credited to	3018
the employees' savings fund.	3019

(4)(3) The amounts paid by the member under this section are	3020
subject to the limits established by division (n) of section 415	3021
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.	3022
415(n), as amended.	3023

(C) A member may make paymentsthe election authorized by	3024
this section if the member is eligible to retire under this	3025
chapter or will become eligible to retire as a result of the	3026
paymentelection. The member shall agree to retire not later than	3027
ninety days after making the election under division (A)(1) of	3028
this section or receiving notice of the additional liability	3029
specified under division (B)(1) of this section. PaymentIf the	3030
member makes the election under division (A)(2) of this section,	3031
payment shall be made in full for any credit earned under division	3032
(A) or (B)(2)(b) of section 145.33 of the Revised Code or division	3033
(A)(2), (B)(2), or (C)(2) of section 145.332 of the Revised Code	3034
that is to be treated as service credit earned under division	3035
(B)(2)(a)(A)(1), (B)(1), or (C)(1) of that section 145.332 of the	3036
Revised Code, but the member may choose to make payment for only	3037
part of the credit for which the member is eligible.	3038

(D) If the member does not retire not later than ninety days	3039
after making the election under division (A)(1) of this section or	3040
the payment authorized byunder division (A)(2) of this section,	3041
the system shall refund theany payment and shall not treat the	3042
credit for which payment was made as service credit earned under	3043
division (B)(2)(a)(A)(1), (B)(1), or (C)(1) of section 145.33	3044
145.332 of the Revised Code.	3045

(E) The board's rules may deal with any other matter	3046
necessary to implement this section.	3047

Sec. 145.2915. (A) As used in this section, "workers'	3048
compensation" means benefits paid under Chapter 4121. or 4123. of	3049
the Revised Code.	3050

(B) A member of the public employees retirement system may	3051
purchase service credit under this section for any period during	3052
which the member was out of service and receiving workers'	3053
compensation.	3054

(C) For credit purchased under this section:

3055

(1) If the member is employed by one public employer, for	3056
each year of credit, the1member shall pay to the system for credit	3057
to the employees' savings fund an amount equal to the employee	3058
contribution required under section 145.47 of the Revised Code	3059
that would have been paid had the member not been out of service	3060
based on the salary of the member before the member was out of	3061
service. To this amount shall be added an amount equal to compound	3062
interest at a rate established by the public employees retirement	3063
board from the first date the member was out of service to the	3064
final date of payment.	3065

(2) If the member is employed by more than one public	3066
employer, the member is eligible to purchase credit under this	3067
section and make payments under division (C)(1)(b) of this section	3068
only for the position for which the member received workers'	3069
compensation. For each year of credit, the member shall pay to the	3070
system for credit to the employees' savings fund an amount equal	3071
to the employee contribution required under section 145.47 of the	3072
Revised Code that would have been paid had the member not been out	3073
of service based on the salary of the member earned for the	3074
position for which the member received workers' compensation	3075
before the member was out of service. To this amount shall be	3076
added an amount equal to compound interest at a rate established	3077
by the public employees retirement board from the first date the	3078
member was out of service to the final date of payment.	3079

(D) The member may choose to purchase only part of such	3080
credit in any one payment, subject to board rules.	3081

(E) If a member makes a payment under division (C) of this	3082
section, the employer to which workers' compensation benefits are	3083
attributed shall pay to the system for credit to the employers'	3084
accumulation fund an amount equal to the employer contribution	3085
required under section 145.48 of the Revised Code corresponding to	3086
that payment that would have been paid had the member not been out	3087
of service based on the salary of the member before the member was	3088
out of service.	3089

Compound interest at a rate established by the board from the	3090
later of the member's date of re-employment or the effective date	3091
of this section to the date of payment shall be added to this	3092
amount if the employer pays all or any portion of the amount later	3093
than the earlier of five years or a period that is three times the	3094
period during which the member was out of service and receiving	3095
workers' compensation beginning from the later of the member's	3096
date of re-employment or the effective date of this section.	3097

(F) The number of years purchased under this section shall	3098
not exceed three.	3099

Sec. 145.2916. (A) When a member has been elected or	3100
appointed to an office, the term of which is two or more years,	3101
for which an annual salary is established, and in the event that	3102
the salary of the office is increased and the member is denied the	3103
additional salary by reason of any constitutional provision	3104
prohibiting an increase in salary during a term of office, the	3105
member may elect to have the amount of the member's and employer's	3106
contributions calculated upon the basis of the increased salary	3107
for the office.	3108

At the member's request and on notification to the public	3109
employees retirement system, the public employees retirement board	3110
shall compute the total additional amount the member and employer	3111
would have contributed, or the amount by which each of the	3112
member's and employer's contributions would have increased, had	3113
the member received the increased salary for the office the member	3114
holds. If the member elects to have the combined amount by which	3115
the member's and employer's contribution would have increased	3116
withheld from the member's salary, the member shall notify the	3117
employer, and the employer shall make the withholding commensurate	3118
with the period of denied salary and transmit it to the retirement	3119
system. The payment of the amount by which the employer's	3120
contribution would have increased shall be credited to the	3121
employers' accumulation fund.	3122

If the payment of the increased contributions is made in	3123
accordance with this section, the increased annual salary as	3124
provided by law for the office for the period for which the member	3125
paid increased contributions thereon shall be used in determining	3126
the member's earnable salary for the purpose of computing the	3127
member's final average salary.	3128

(B) If a member dies or withdraws from service, the payment	3129
under division (A) of this section shall be considered as	3130
accumulated contributions of the member.	3131

Sec. 145.30.  (A) As used in this section and section 145.301	3132
of the Revised Code:	3133

(1) "Armed forces" of the United States includes the	3134
following:	3135

(a) Army, navy, air force, marine corps, coast guard,	3136
auxiliary corps as established by congress, red cross nurse	3137
serving with the army, navy, air force, or hospital service of the	3138
United States, army nurse corps, navy nurse corps, full-time	3139
service with the American red cross in a combat zone, and such	3140
other service as may be designated by congress as included	3141
therein;	3142

(b) Personnel of the Ohio national guard and the reserve	3143
components of any of the armed forces enumerated in division	3144
(A)(1) of this section who are called to active duty pursuant to	3145
an executive order issued by the president of the United States or	3146
an act of congress;	3147

(c) Persons on whom United States merchant marine veteran	3148
status has been conferred for service aboard oceangoing merchant	3149
ships in service to the United States during World War II.	3150

(2) "State retirement system" means any of the following: the	3151
Ohio police and fire pension fund, public employees retirement	3152
system, school employees retirement system, state highway patrol	3153
retirement system, or the state teachers retirement system.	3154

(B) Upon reemployment in the public service and completion of	3155
one year of service credit as covered by a state retirement system	3156
or the Cincinnati retirement system, within two years after	3157
service in the armed forces that is terminated in a manner other	3158
than as described in section 4304 of Title 38 of the United States	3159
Code, "Uniformed Services Employment and Reemployment Rights Act	3160
of 1994," 108 Stat. 3149, 38 U.S.C.A. 4304, and presentation of	3161
documentation of the service and subject to rules adopted by the	3162
retirement board, any member of the public employees retirement	3163
system who was a member with not less than one year of payroll	3164
deductions before entering active duty with the armed forces and	3165
maintained membership in the public employees retirement system as	3166
provided by section 145.41 of the Revised Code, and who was or is	3167
out of active service as a public employee by reason of having	3168
become a member of the armed forces of the United States on active	3169
duty or service shall have such service, not in excess of ten	3170
years, consideredincluded as the equivalent of prior military	3171
service. Service in the armed forces as established by	3172
documentation of the service, not in excess of ten years, shall	3173
also be consideredincluded as prior military service for a	3174
person who was a public employee and who has acquired service	3175
credit for five years prior to, and within the one year preceding,	3176
the date of entering on active duty in the armed forces of the	3177
United States if such person was reemployed in the public service	3178
within one year after service in the armed forces that is	3179
terminated in a manner other than as described in section 4304 of	3180
Title 38 of the United States Code, "Uniformed Services Employment	3181
and Reemployment Rights Act of 1994," 108 Stat. 3149, 38 U.S.C.A.	3182
4304, and established total service credit as defined in section	3183
145.01 of the Revised Code of twenty years exclusive of credit for	3184
service in the uniformed services, as defined in section 145.302	3185
of the Revised Code. This division shall not serve to cancel any	3186
military service credit earned or granted prior to November 1,	3187
1965.	3188

(C) A member of the public employees retirement system is	3189
ineligible to receive service credit under this section for any	3190
year of military service credit used in the calculation of any	3191
retirement benefit currently being paid to the member or payable	3192
in the future under any other retirement program, except social	3193
security, or used to obtain service credit pursuant to section	3194
145.301 or 145.302 of the Revised Code. At the time such credit is	3195
requested, the member shall certify on a form supplied by the	3196
retirement board that the member does and will conform to this	3197
requirement. This division does not cancel any military service	3198
credit earned prior to March 15, 1979.	3199

Sec. 145.301.  (A) As used in this section:

3200

(1) "Prisoner of war" means any regularly appointed,	3201
enrolled, enlisted, or inducted member of the armed forces of the	3202
United States, reserves, or Ohio national guard who was captured,	3203
separated, and incarcerated by an enemy of the United States.	3204

(2) "Reserves" means personnel of the reserve components of	3205
any of the armed forces of the United States enumerated in	3206
division (A)(1)(a) of section 145.30 of the Revised Code.	3207

(B)(1) A member may purchase service credit that shall be	3208
considered as the equivalent of Ohio service for each year or	3209
portion of a year of service incurred by reason of having been on	3210
active duty as a member of the armed forces of the United States,	3211
as defined in section 145.30 of the Revised Code.	3212

(2) On presentation of documentation of the service and	3213
subject to public employees retirement board rules, a member may	3214
purchase service credit for each year or portion of a year of	3215
service incurred by reason of having been on active duty as a	3216
member of the reserves or the Ohio national guard for which the	3217
member is not eligible to purchase credit under division (B)(1) of	3218
this section. Any credit purchased under this section shall be	3219
considered as the equivalent of Ohio service credit. For purposes	3220
of division (B)(2) of this section, active duty in the reserves or	3221
the Ohio national guard includes assembly for drill and	3222
instruction; training at encampments, maneuvers, outdoor target	3223
practice, or other exercises; and any training or duty in this	3224
state ordered by the governor.	3225

(3) Credit shall not be granted for any period of duty during	3226
which the member was contributing to the retirement system.	3227

The credit may be purchased at any time prior to receipt of a	3228
retirement allowance. The number of years purchased shall not	3229
exceed five. The member may choose to purchase only part of such	3230
credit in any one payment, subject to public employees retirement	3231
board rules.	3232

(C) A member may purchase service credit that shall be	3233
considered as the equivalent of Ohio service for each year of	3234
service such member was a prisoner of war. The number of years	3235
purchased under this division shall not exceed five. Service	3236
credit may be purchased under this division for the same years of	3237
service used to purchase service credit under division (B) of this	3238
section. The member may choose to purchase only part of such	3239
credit in any one payment, subject to board rules.	3240

(D) The total number of years purchased under this section	3241
shall not exceed the member's total accumulated number of years of	3242
Ohio service.	3243

(E)(1) For each year or portion of a year of service	3244
purchased under division (B)(1) or (C) of this section, the member	3245
shall pay to the public employees retirement system for credit to	3246
the member's accumulated account an amount specified by the	3247
retirement board that shall be not less than fifty per cent of the	3248
additional liability resulting from the purchase of that year or	3249
portion of a year of service as determined by an actuary employed	3250
by the board.	3251

(2) For each year or portion of a year of service credit	3252
purchased under division (B)(2) of this section, the member shall	3253
pay to the public employees retirement system for credit to the	3254
member's accumulated account an amount equal to one hundred per	3255
cent of the additional liability resulting from the purchase of	3256
that year or portion of a year of service as determined by an	3257
actuary employed by the board.	3258

The retirement system shall calculate the number of years or	3259
portion of a year of credit the member is eligible to purchase	3260
under division (B)(2) of this section by dividing the number of	3261
days actually served by three hundred sixty-five.	3262

(F) A member is ineligible to purchase service credit under	3263
this section for any year of military service that was:	3264

(1) Used in the calculation of any retirement benefit	3265
currently being paid to the member or payable in the future under	3266
any other retirement program, except social security, or for	3267
retired pay for nonregular service under Chapter 1223 of Section	3268
1662 of Title XVI of the "National Defense Authorization Act for	3269
Fiscal Year 1995," 108 Stat. 2998 (1994), 10 U.S.C.A. 12731 to	3270
12739;	3271

(2) Usedused to obtain service credit pursuant to section	3272
145.30 or 145.302 of the Revised Code.	3273

At the time the credit is purchased, the member shall certify	3274
on a form furnished by the retirement board that the member does	3275
and will conform to this requirement.	3276

(G) A member who, on March 17, 2000, is purchasing service	3277
credit under this section by making installment payments to the	3278
system or by a payroll deduction plan authorized under section	3279
145.294 of the Revised Code may elect, on a form provided by the	3280
board, to have a portion of the cost of the service credit	3281
recalculated under division (E) of this section as amended by	3282
House Bill 186 of the 123rd general assembly. The recalculation	3283
shall apply only to the amount still owed by the member as of the	3284
date the election is filed with the board.	3285

For each member who makes an election, the board shall do all	3286
of the following:	3287

(1) Determine the amount of the total cost of the service	3288
credit still owed by the member as of the date the election is	3289
filed with the board and the number of years or portion of a year	3290
of service credit attributable to that amount;	3291

(2) Recalculate under division (E) of this section the cost	3292
of the service credit described in division (G)(1) of this	3293
section;	3294

(3) Notify the member of the recalculated amount.

3295

If the recalculated amount is less than the amount still owed	3296
by the member as of the date the election is filed, the	3297
recalculated amount shall be the amount owed by the member.	3298

(H) Credit purchased under this section may be combined	3299
pursuant to section 145.37 with credit for military service	3300
purchased under sections 3307.751 and 3309.021, except that not	3301
more than an aggregate total of five years of credit purchased	3302
under division (B) of this section, division (A) of section	3303
3307.751, and division (A) of section 3309.021, and not more than	3304
an aggregate total of five years of credit purchased under	3305
division (C) of this section, division (B) of section 3307.751,	3306
and division (B) of section 3309.021 shall be used in determining	3307
retirement eligibility or calculating benefits under section	3308
145.37 of the Revised Code.	3309

Sec. 145.32. Eligibility of members of the public employees	3310
retirement system, other than those subject to section 145.332 of	3311
the Revised Code, for age and service retirement shall be	3312
determined under this section.	3313

(A) A member, who has passed his sixtieth birthday and hasis	3314
eligible for age and service retirement under this division if,	3315
not later than five years after the effective date of this	3316
amendment, the member meets one of the following requirements:	3317

(1) Has five or more years of total service credit, or has	3318
and has attained age sixty;	3319

(2) Has twenty-five or more years of total service credit and	3320
has attained his fifty-fifth birthday, or hasage fifty-five;	3321

(3) Has thirty or more years of total Ohio service credit,	3322
regardless ofat any age, may file.	3323

(B)(1) A member is eligible for age and service retirement	3324
under this division if, not later than ten years after the	3325
effective date of this amendment, the member meets one of the	3326
following requirements:	3327

(a) Has five or more years of total service credit and has	3328
attained age sixty;	3329

(b) Has twenty-five or more years of total service credit and	3330
has attained age fifty-five;	3331

(c) Has thirty-one or more years of total service credit and	3332
has attained age fifty-two;	3333

(d) Has thirty-two or more years of total Ohio service credit	3334
at any age.	3335

(2) A member who on the effective date of this amendment has	3336
twenty or more years of total service credit is eligible for age	3337
and service retirement under this division on meeting one of the	3338
requirements of division (B)(1) of this section, regardless of	3339
when the member meets the requirement unless, between the	3340
effective date of this section and the date the member meets the	3341
requirement, the member receives a refund of accumulated	3342
contributions under section 145.40 of the Revised Code.	3343

(C) A member who is not eligible for age and service	3344
retirement under division (A) or (B) of this section, or who	3345
became a member on or after the effective date of this amendment,	3346
is eligible for age and service retirement under this division if	3347
the member meets one of the following requirements:	3348

(a) Has five years or more of total service credit and has	3349
attained age sixty-two;	3350

(b) Has twenty-five years or more of total service credit and	3351
has attained age fifty-seven;	3352

(c) Has thirty-two years or more of total service credit and	3353
has attained age fifty-five.	3354

(D) Service credit purchased or obtained under this chapter	3355
shall be used in determining whether a member has the number of	3356
years of total service credit required under division (A) or (B)	3357
of this section only if both of the following apply:	3358

(1) The purchase or obtainment is completed not later than	3359
ten years after the effective date of this amendment;	3360

(2) The member was a member on the effective date of this	3361
amendment or obtains credit under section 145.483 of the Revised	3362
Code that would have made the member a member on that date.	3363

(E) A member seeking to retire shall file with the public	3364
employees retirement board an application for retirement.	3365

Service. Service retirement shall be effective on the first	3366
day of the month immediately following the later of:	3367

(A)(1) The last day for which compensation was paid;

3368

(B)(2) The attainment of minimum age or service credit	3369
eligibility provided under this section;	3370

(3) Ninety days prior to receipt by the board of the member's	3371
completed application for retirement.	3372

An employer may, except as otherwise provided in the "Age	3373
Discrimination in Employment Act of 1967," as amended, 81 Stat.	3374
602, 29 U.S.C. 621 to 634, as of the thirtieth day of June of any	3375
year, terminate the employment of any member who has attained the	3376
age of seventy years. A member may at the time of his retirement	3377
by written designation duly executed and filed with the public	3378
employees retirement board designate a beneficiary to receive any	3379
installment which may remain unpaid at the time of his death.	3380
Except as provided in section 145.46 of the Revised Code, after	3381
the date of his retirement such nomination shall not be changed if	3382
the member elects to receive histhe member's retirement allowance	3383
computed as provided in section 145.46 of the Revised Code as	3384
"plan A," or "plan C," or "plan D."	3385

Sec. 145.323.  (A) TheExcept as otherwise provided in this	3386
section, the public employees retirement board shall annually	3387
increase each allowance, pension, or benefit payable under this	3388
chapter by three per cent, except that no allowance, pension, or	3389
benefit shall exceed the limit established by section 415 of the	3390
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	3391
as amended.	3392

Until the last day of December of the fifth full calendar	3393
year after the effective date of this amendment, the increase	3394
shall be three per cent. For each succeeding calendar year, the	3395
increase shall be as follows:	3396

(1) Three per cent for each of the following, except that no	3397
allowance, pension, or benefit shall exceed the limit established	3398
by section 415 of the "Internal Revenue Code of 1986," 100 Stat.	3399
2085, 26 U.S.C. 415, as amended:	3400

(a) Each allowance, pension, or benefit granted not later	3401
than the effective date of this amendment;	3402

(b) Each disability benefit granted after the effective date	3403
of this amendment to a member described in division (A) or (B) of	3404
section 145.32 or division (A), (B), or (D)(1), (3), or (4) of	3405
section 145.332 of the Revised Code;	3406

(c) Each survivor benefit granted after the effective date of	3407
this amendment under section 145.45 of the Revised Code to a	3408
survivor of a member described in division (A) or (B) of section	3409
145.32 or division (A), (B), or (D)(1), (3), or (4) of section	3410
145.332 of the Revised Code.	3411

(2) For each allowance, pension, or benefit other than those	3412
described in division (A)(1) of this section, the percentage	3413
increase in the consumer price index, not exceeding three per	3414
cent, as determined by the United States bureau of labor	3415
statistics (U.S. city average for urban wage earners and clerical	3416
workers: "all items 1982-84=100") for the twelve-month period	3417
ending on the thirtieth day of June of the immediately preceding	3418
calendar year. If the consumer price index for that period did not	3419
increase, no increase shall be made under division (A)(2) of this	3420
section.	3421

No allowance, pension, or benefit shall exceed the limit	3422
established by section 415 of the "Internal Revenue Code of 1986,"	3423
100 Stat. 2085, 26 U.S.C. 415, as amended.	3424

The first increase is payable to all persons becoming	3425
eligible after June 30, 1971, upon such persons receiving an	3426
allowance for twelve months. The increased amount is payable for	3427
the ensuing twelve-month period or until the next increase is	3428
granted under this section, whichever is later. Subsequent	3429
increases shall be determined from the date of the first increase	3430
paid to the former member in the case of an allowance being paid a	3431
beneficiary under an option, or from the date of the first	3432
increase to the survivor first receiving an allowance or benefit	3433
in the case of an allowance or benefit being paid to the	3434
subsequent survivors of the former member.	3435

The date of the first increase under this section becomes the	3436
anniversary date for any future increases.	3437

The allowance or benefit used in the first calculation of an	3438
increase under this section shall remain as the base for all	3439
future increases, unless a new base is established.	3440

(B) If payment of a portion of a benefit is made to an	3441
alternate payee under section 145.571 of the Revised Code,	3442
increases under this section granted while the order is in effect	3443
shall be apportioned between the alternate payee and the benefit	3444
recipient in the same proportion that the amount being paid to the	3445
alternate payee bears to the amount paid to the benefit recipient.	3446

If payment of a portion of a benefit is made to one or more	3447
beneficiaries under "plan FC" under division (B)(3)(e) of section	3448
145.46 of the Revised Code, each increase under this section	3449
granted while the plan of payment is in effect shall be divided	3450
among the designated beneficiaries in accordance with the portion	3451
each beneficiary has been allocated.	3452

(C) The board shall make all rules necessary to carry out	3453
this section.	3454

Sec. 145.33.  (A)(1) Except as provided in division (B) or	3455
(C) of this section, a member with at least five years of total	3456
service credit who has attained age sixty, or who has thirty years	3457
of total Ohio service credit, may apply for age and service	3458
retirement, which shall consist of:	3459

(1) An annuity having a reserve equal to the amount of the	3460
member's accumulated contributions at that time;	3461

(2) A pension equal to the annuity provided by division	3462
(A)(1) of this section;	3463

(3) An additional pension, if the member can qualify for	3464
prior service, equal to forty dollars multiplied by the number of	3465
years, and fraction thereof, of such prior and military service	3466
credit;	3467

(4) A basic annual pension equal to one hundred eighty	3468
dollars if the member has ten or more years of total service	3469
credit as of October 1, 1956, except that the basic annual pension	3470
shall not exceed the sum of the annual benefits provided by	3471
divisions (A)(1), (2), and (3) of this section.	3472

(5) When145.332 of the Revised Code, when a member retires	3473
on age and service retirement, the member's total annual single	3474
lifetime allowance, including the allowances provided in divisions	3475
(A)(1), (2), (3), and (4) of this section, shall be not less than	3476
a basean amount adjusted in accordance with division (A)(5)(B)(2)	3477
or (C) of this section and determined by multiplying the member's	3478
total service credit by the greater of the following:	3479

(a) Eighty-sixdollars;

3480

(b) TwoIf the member is eligible for age and service	3481
retirement under division (A) or (B) of section 145.32 of the	3482
Revised Code, two and two-tenths per cent of the member's final	3483
average salary for each of the first thirty years of service plus	3484
two and one-half per cent of the member's final average salary for	3485
each subsequent year of service.;	3486

The(b) If the member is eligible for age and service	3487
retirement under division (C) of section 145.32 of the Revised	3488
Code, two and two-tenths per cent of the member's final average	3489
salary for each of the first thirty-five years of service plus two	3490
and one-half per cent of the member's final average salary for	3491
each subsequent year of service.	3492

(2)(a) For a member eligible to retire under division (A) of	3493
section 145.32 of the Revised Code, the member's allowance under	3494
division (B)(1) of this section shall be adjusted by the factors	3495
of attained age or years of service to provide the greater amount	3496
as determined by the following schedule:	3497

		Years of		Percentage		3498
Attained	or	Total Service		of		3499
Birthday		Credit		Base Amount		3500

58		25		75		3501
59		26		80		3502
60		27		85		3503
61				88		3504
		28		90		3505
62				91		3506
63				94		3507
		29		95		3508
64				97		3509
65		30 or more		100		3510

Members shall vest(b) For a member eligible to retire under	3511
division (B) of section 145.32 of the Revised Code, the member's	3512
allowance under division (B)(1) of this section shall be reduced	3513
by a percentage determined by the board's actuary for each year	3514
the member retires before whichever of the following occurs first:	3515
attaining age sixty-five or earning thirty years of total service	3516
credit.	3517

(c) For a member eligible to retire under division (C) of	3518
section 145.32 of the Revised Code, the member's allowance under	3519
division (B)(1) of this section shall be reduced by a percentage	3520
determined by the board's actuary for each year the member retires	3521
before whichever of the following occurs first: attaining age	3522
sixty-seven, or attaining age fifty-five with thirty-two years of	3523
total service credit.	3524

(d) The actuary may use an actuarially based average	3525
percentage reduction for purposes of division (B)(2)(b) or (c) of	3526
this section.	3527

(3) For a member eligible to retire under division (A) or (B)	3528
of section 145.32 of the Revised Code, the right to a benefit	3529
shall vest in accordance with the following schedule, based on the	3530
member's attained age by September 1, 1976:	3531

			Percentage		3532
	Attained		of		3533
	Birthday		Base Amount		3534
	66		102		3535
	67		104		3536
	68		106		3537
	69		108		3538
	70 or more		110		3539

(6)(B) The total annual single lifetime allowance that a	3540
member shall receive under division (A)(5) of this section shall	3541
not exceed the lesser of onethe following:	3542

(1) One hundred per cent of the member's final average salary	3543
or the;	3544

(2) The limit established by section 415 of the "Internal	3545
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415, as	3546
amended.	3547

(B)(1) For the purposes of divisions (B) to (G) of this	3548
section, "total service credit as a PERS law enforcement officer"	3549
and "total service credit as a PERS public safety officer" include	3550
credit for military service to the extent permitted by division	3551
(E)(2) of this section and credit for service as a police officer	3552
or state highway patrol trooper to the extent permitted by	3553
divisions (E)(3) and (4) of this section.	3554

(2) A member who meets the conditions in division (B)(2)(a),	3555
(b), or (c) of this section may apply for an age and service	3556
retirement benefit under this division:	3557

(a) The member has attained age forty-eight and has at least	3558
twenty-five years of total service credit as a PERS law	3559
enforcement officer;	3560

(b) The member has attained age fifty-two, and has at least	3561
twenty-five years of total service credit as a PERS public safety	3562
officer or has service as a PERS public safety officer and service	3563
as a PERS law enforcement officer that when combined equal at	3564
least twenty-five years of total service credit;	3565

(c) The member has attained age sixty-two and has at least	3566
fifteen years of total service credit as either of the following:	3567

(i) A PERS law enforcement officer;

3568

(ii) A PERS public safety officer.

3569

(3) A benefit paid under division (B)(2) of this section	3570
shall consist of an annual single lifetime allowance equal to the	3571
sum of two and one-half per cent of the member's final average	3572
salary multiplied by the first twenty-five years of the member's	3573
total service plus two and one-tenth per cent of the member's	3574
final average salary multiplied by the number of years of the	3575
member's total service credit in excess of twenty-five years.	3576

(4) A member with at least fifteen years of total service	3577
credit as a PERS law enforcement officer or PERS public safety	3578
officer who voluntarily resigns or is discharged for any reason	3579
except death, dishonesty, cowardice, intemperate habits, or	3580
conviction of a felony may apply for an age and service retirement	3581
benefit, which shall consist of an annual single lifetime	3582
allowance equal to one and one-half per cent of the member's final	3583
average salary multiplied by the number of years of the member's	3584
total service credit. The allowance shall commence on the first	3585
day of the calendar month following the month in which the	3586
application is filed with the public employees retirement board on	3587
or after the attainment by the applicant of age fifty-two.	3588

(C)(1) A member with at least twenty-five years of total	3589
service credit who would be eligible to retire under division	3590
(B)(2)(b) of this section had the member attained age fifty-two	3591
and who voluntarily resigns or is discharged for any reason except	3592
death, dishonesty, cowardice, intemperate habits, or conviction of	3593
a felony, on or after the date of attaining forty-eight years of	3594
age, but before the date of attaining fifty-two years of age, may	3595
elect to receive a reduced benefit as determined by the following	3596
schedule:	3597

Attained Age

Reduced Benefit

3598

	48		75% of the benefit payable under		3599
			division (B)(3) of this section		3600
	49		80% of the benefit payable under		3601
			division (B)(3) of this section		3602
	50		86% of the benefit payable under		3603
			division (B)(3) of this section		3604
	51		93% of the benefit payable under		3605
			division (B)(3) of this section		3606

(2) If a member elects to receive a reduced benefit after	3607
attaining age forty-eight the reduced benefit is payable from the	3608
later of the date of the member's most recent birthday or the date	3609
the member becomes eligible to receive the reduced benefit.	3610

(3) Once a member elects to receive a reduced benefit	3611
determined by the schedule in division (C)(1) of this section and	3612
has received a payment, the member may not reelect to change that	3613
election.	3614

(4) If a member who has resigned or been discharged has left	3615
on deposit the member's accumulated contributions in the	3616
employees' savings fund and has not elected to receive a reduced	3617
benefit determined by the schedule in division (C)(1) of this	3618
section, upon attaining fifty-two years of age, the member shall	3619
be entitled to receive a benefit computed and paid under division	3620
(B)(3) of this section.	3621

(D) A benefit paid under division (B) or (C) of this section	3622
shall not exceed the lesser of ninety per cent of the member's	3623
final average salary or the limit established by section 415 of	3624
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.	3625
415, as amended.	3626

(E)(1) A member with service credit as a PERS law enforcement	3627
officer or a PERS public safety officer and other service credit	3628
under this chapter may elect one of the following:	3629

(a) To have all the member's service credit under this	3630
chapter, including credit for service as a PERS law enforcement	3631
officer or PERS public safety officer, used in calculating a	3632
retirement allowance under division (A) of this section if the	3633
member qualifies for an allowance under that division;	3634

(b) If the member qualifies for an allowance under division	3635
(B)(2)(a) of this section, to have the member's service credit as	3636
a PERS law enforcement officer used in calculating a benefit under	3637
that division and the member's credit for all service other than	3638
PERS law enforcement service used in calculating a benefit	3639
consisting of a single life annuity having a reserve equal to the	3640
amount of the member's accumulated contributions for all service	3641
other than PERS law enforcement service and an equal amount of	3642
employer contributions.	3643

(c) If the member qualifies for an allowance under division	3644
(B)(2)(b) or (c), (B)(4), or (C) of this section, to have the	3645
member's service credit as a PERS law enforcement officer or PERS	3646
public safety officer used in calculating a benefit under the	3647
appropriate division and the member's credit for all service other	3648
than PERS law enforcement service or service as a PERS public	3649
safety officer under this chapter used in calculating a benefit	3650
consisting of a single life annuity having a reserve equal to the	3651
amount of the member's accumulated contributions for all service	3652
other than PERS law enforcement service or PERS public safety	3653
officer service and an equal amount of the employer's	3654
contributions.	3655

(2) Notwithstanding sections 145.01 and 145.30 of the Revised	3656
Code, no more than four years of military service credit granted	3657
under section 145.30 of the Revised Code and five years of	3658
military service credit purchased under section 145.301 or 145.302	3659
of the Revised Code shall be used in calculating service as a PERS	3660
law enforcement officer or PERS public safety officer or the total	3661
service credit of that person.	3662

(3) Only credit for the member's service as a PERS law	3663
enforcement officer, PERS public safety officer, or service credit	3664
obtained as a police officer or state highway patrol trooper shall	3665
be used in computing the benefit of a member who qualifies for a	3666
benefit under division (B) or (C) of this section for the	3667
following:	3668

(a) Any person who originally is commissioned and employed as	3669
a deputy sheriff by the sheriff of any county, or who originally	3670
is elected sheriff, on or after January 1, 1975;	3671

(b) Any deputy sheriff who originally is employed as a	3672
criminal bailiff or court constable on or after April 16, 1993;	3673

(c) Any person who originally is appointed as a township	3674
constable or police officer in a township police department or	3675
district on or after January 1, 1981;	3676

(d) Any person who originally is employed as a county	3677
narcotics agent on or after September 26, 1984;	3678

(e) Any person who originally is employed as an undercover	3679
drug agent as defined in section 109.79 of the Revised Code,	3680
department of public safety enforcement agent who prior to June	3681
30, 1999, was a liquor control investigator, park officer, forest	3682
officer, wildlife officer, state watercraft officer, park district	3683
police officer, conservancy district officer, veterans' home	3684
police officer, special police officer for a mental health	3685
institution, special police officer for an institution for the	3686
mentally retarded and developmentally disabled, or municipal	3687
police officer on or after December 15, 1988;	3688

(f) Any person who originally is employed as a state	3689
university law enforcement officer on or after November 6, 1996;	3690

(g) Any person who is originally employed as a state	3691
university law enforcement officer by the university of Akron on	3692
or after September 16, 1998;	3693

(h) Any person who originally is employed as a preserve	3694
officer on or after March 18, 1999;	3695

(i) Any person who originally is employed as a natural	3696
resources law enforcement staff officer on or after March 18,	3697
1999;	3698

(j) Any person who is originally employed as a department of	3699
public safety enforcement agent on or after June 30, 1999;	3700

(k) Any person who is originally employed as a house sergeant	3701
at arms or assistant house sergeant at arms on or after September	3702
5, 2001;	3703

(l) Any person who is originally appointed as a regional	3704
transit authority police officer or state highway patrol police	3705
officer on or after February 1, 2002;	3706

(m) Any person who is originally employed as a municipal	3707
public safety director on or after September 29, 2005, but not	3708
later than the effective date of this amendment.	3709

(4) Only credit for a member's service as a PERS public	3710
safety officer or service credit obtained as a PERS law	3711
enforcement officer, police officer, or state highway patrol	3712
trooper shall be used in computing the benefit of a member who	3713
qualifies for a benefit under division (B)(2)(b) or (c)(ii) or (4)	3714
or division (C) of this section for any person who originally is	3715
employed as a Hamilton county municipal court bailiff on or after	3716
November 6, 1996.	3717

(F)(D) Retirement allowances determined under this section	3718
shall be paid as provided in section 145.46 of the Revised Code.	3719

(G) For the purposes of this section, service prior to June	3720
30, 1999, as a food stamp trafficking agent under former section	3721
5502.14 of the Revised Code shall be considered service as a law	3722
enforcement officer.	3723

Sec. 145.331.  (A) A recipient of a disability allowance	3724
under section 145.361 of the Revised Code who is subject to	3725
division (C)(3) of that section may make application for age and	3726
service retirement under this section. Retirement shall be	3727
effective on the first day of the first month following the last	3728
day for which the disability allowance is paid.	3729

(B) The annual allowance payable under this section shall	3730
consist of the sum of the amounts determined under divisions	3731
(B)(1) and (2) of this section:	3732

(1) The greater of the following:

3733

(a) An allowance calculated as provided in section 145.33 or	3734
145.34145.332 of the Revised Code, excluding any period during	3735
which the applicant received a disability benefit under section	3736
145.361 of the Revised Code;	3737

(b) An allowance calculated by multiplying the applicant's	3738
total service credit, including service credit for the last	3739
continuous period during which the applicant received a disability	3740
benefit under section 145.361 of the Revised Code, by two and	3741
two-tenths per cent of the applicant's final average salary,	3742
except that the allowance shall not exceed forty-five per cent of	3743
the applicant's final average salary.	3744

(2) An amount equal to the additional allowance the recipient	3745
would receive under section 145.323 of the Revised Code, plus any	3746
other additional amount the recipient would receive under this	3747
chapter, had the recipient retired under section 145.33 or 145.34	3748
145.332 of the Revised Code effective on the effective date of the	3749
recipient's most recent continuous period of receipt of a	3750
disability benefit under section 145.361 of the Revised Code.	3751

(C) The allowance calculated under division (B) of this	3752
section, exclusive of any amount added under division (B)(2) of	3753
this section based on section 145.323 of the Revised Code, shall	3754
be the base for all future additional allowances under section	3755
145.323 of the Revised Code.	3756

The anniversary date for future additional allowances under	3757
section 145.323 of the Revised Code shall be the effective date of	3758
the recipient's most recent continuous period of receipt of a	3759
disability benefit under section 145.361 of the Revised Code.	3760

(D) The retirement allowance determined under this section	3761
shall be paid as provided in section 145.46 of the Revised Code.	3762

Sec. 145.332.  Eligibility of members of the public employees	3763
retirement system, other than those subject to section 145.32 of	3764
the Revised Code, for age and service retirement shall be	3765
determined under this section.	3766

(A) A member of the public employees retirement system is	3767
eligible for age and service retirement under this division if,	3768
not later than five years after the effective date of this	3769
section, the member meets one of the following requirements:	3770

(1) Has attained age forty-eight and has at least twenty-five	3771
years of total service credit as a PERS law enforcement officer;	3772

(2) Has attained age fifty-two and has at least twenty-five	3773
years of total service credit as a PERS public safety officer or	3774
has service as a PERS public safety officer and service as a PERS	3775
law enforcement officer that when combined equal at least	3776
twenty-five years of total service credit;	3777

(3) Has attained age sixty-two and has at least fifteen years	3778
of total service credit as a PERS law enforcement officer or PERS	3779
public safety officer.	3780

(B) A member is eligible for age and service retirement under	3781
this division if, on the effective date of this section, the	3782
member has twenty years of total service credit or, not later than	3783
ten years after the effective date of this section, the member	3784
meets one of the following requirements:	3785

(1) Has attained age fifty and has at least twenty-five years	3786
of total service credit as a PERS law enforcement officer;	3787

(2) Has attained age fifty-four and has at least twenty-five	3788
years of total service credit as a PERS public safety officer or	3789
has service as a PERS public safety officer and service as a PERS	3790
law enforcement officer that when combined equal at least	3791
twenty-five years of total service credit;	3792

(3) Has attained age sixty-four and has at least fifteen	3793
years of total service credit as a PERS law enforcement officer or	3794
PERS public safety officer.	3795

(C) A member who is not eligible for age and service	3796
retirement under division (A) or (B) of this section is eligible	3797
under this division if the member meets one of the following	3798
requirements:	3799

(1) Has attained age fifty-two and has at least twenty-five	3800
years of total service credit as a PERS law enforcement officer;	3801

(2) Has attained age fifty-six and has at least twenty-five	3802
years of total service credit as a PERS public safety officer or	3803
has service as a PERS public safety officer and service as a PERS	3804
law enforcement officer that when combined equal at least	3805
twenty-five years of total service credit;	3806

(3) Has attained age sixty-four and has at least fifteen	3807
years of total service credit as a PERS law enforcement officer or	3808
PERS public safety officer.	3809

(D)(1) A member with at least twenty-five years of total	3810
service credit who would be eligible to retire under division	3811
(B)(1) of this section had the member attained age fifty and who	3812
voluntarily resigns or is discharged for any reason except death,	3813
dishonesty, cowardice, intemperate habits, or conviction of a	3814
felony, on or after attaining age forty-eight, but before	3815
attaining age fifty, may elect to receive a reduced benefit. The	3816
benefit shall be the actuarial equivalent of the allowance	3817
calculated under division (E) of this section adjusted for age.	3818

(2) A member with at least twenty-five years of total service	3819
credit who would be eligible to retire under division (C)(1) of	3820
this section had the member attained age fifty-two and who	3821
voluntarily resigns or is discharged for any reason except death,	3822
dishonesty, cowardice, intemperate habits, or conviction of a	3823
felony, on or after attaining age forty-eight, but before	3824
attaining age fifty-two, may elect to receive a reduced benefit.	3825
The benefit shall be the actuarial equivalent of the allowance	3826
calculated under division (E) of this section adjusted for age.	3827

(3) A member with at least twenty-five years of total service	3828
credit who would be eligible to retire under division (A)(2) of	3829
this section had the member attained age fifty-two and who	3830
voluntarily resigns or is discharged for any reason except death,	3831
dishonesty, cowardice, intemperate habits, or conviction of a	3832
felony, on or after attaining age forty-eight, but before	3833
attaining age fifty-two, may elect to receive a reduced benefit.	3834

(a) If eligibility to make the election under division (D)(3)	3835
of this section occurs not later than five years after the	3836
effective date of this section, the benefit shall be calculated in	3837
accordance with the following schedule:	3838

	Attained Age		Reduced Benefit		3839
	48		75% of the benefit payable under division (E) of this section		3840
	49		80% of the benefit payable under division (E) of this section		3841
	50		86% of the benefit payable under division (E) of this section		3842
	51		93% of the benefit payable under division (E) of this section		3843

(b) If eligibility to make the election occurs after the date	3844
determined under division (D)(3)(a) of this section, the benefit	3845
shall be the actuarial equivalent of the allowance calculated	3846
under division (E) of this section adjusted for age.	3847

(4) A member with at least twenty-five years of total service	3848
credit who would be eligible to retire under division (B)(2) of	3849
this section had the member attained age fifty-four and who	3850
voluntarily resigns or is discharged for any reason except death,	3851
dishonesty, cowardice, intemperate habits, or conviction of a	3852
felony, on or after attaining age forty-eight, but before	3853
attaining age fifty-four, may elect to receive a reduced benefit.	3854
The benefit shall be the actuarial equivalent of the allowance	3855
calculated under division (E) of this section adjusted for age.	3856

(5) A member with at least twenty-five years of total service	3857
credit who would be eligible to retire under division (C)(2) of	3858
this section had the member attained age fifty-six and who	3859
voluntarily resigns or is discharged for any reason except death,	3860
dishonesty, cowardice, intemperate habits, or conviction of a	3861
felony, on or after attaining age fifty-two, but before attaining	3862
age fifty-six, may elect to receive a reduced benefit. The benefit	3863
shall be the actuarial equivalent of the allowance calculated	3864
under division (E) of this section adjusted for age.	3865

(6) If a member elects to receive a reduced benefit under	3866
division (D)(1), (2), (3), (4), or (5) of this section, the	3867
reduced benefit shall be based on the member's age on the member's	3868
most recent birthday. Once a member elects to receive a reduced	3869
benefit and has received a payment, the member may not change that	3870
election.	3871

(E) A benefit paid under division (A), (B), or (C) of this	3872
section shall consist of an annual single lifetime allowance equal	3873
to the sum of two and one-half per cent of the member's final	3874
average salary multiplied by the first twenty-five years of the	3875
member's total service credit plus two and one-tenth per cent of	3876
the member's final average salary multiplied by the number of	3877
years of the member's total service credit in excess of	3878
twenty-five years.	3879

(F) A member with at least fifteen years of total service	3880
credit as a PERS law enforcement officer or PERS public safety	3881
officer who voluntarily resigns or is discharged for any reason	3882
except death, dishonesty, cowardice, intemperate habits, or	3883
conviction of a felony may apply for an age and service retirement	3884
benefit, which shall consist of an annual single lifetime	3885
allowance equal to one and one-half per cent of the member's final	3886
average salary multiplied by the number of years of the member's	3887
total service credit.	3888

(1) If the member will attain age fifty-two not later than	3889
ten years after the effective date of this section, the retirement	3890
allowance shall commence on the first day of the calendar month	3891
following the month in which application is filed with the board	3892
on or after the member's attainment of age fifty-two.	3893

(2) If the member will not attain age fifty-two on or before	3894
the date determined under division (F)(1) of this section, the	3895
retirement allowance shall commence on the first day of the	3896
calendar month following the month in which application is filed	3897
with the board on or after the member's attainment of age	3898
fifty-six.	3899

(G) A benefit paid under this section shall not exceed the	3900
lesser of ninety per cent of the member's final average salary or	3901
the limit established by section 415 of the "Internal Revenue Code	3902
of 1986," 100 Stat. 2085, 26 U.S.C. 415, as amended.	3903

(H) A member with service credit as a PERS law enforcement	3904
officer or PERS public safety officer and other service credit	3905
under this chapter may elect one of the following:	3906

(1) To have all the member's service credit under this	3907
chapter, including credit for service as a PERS law enforcement	3908
officer or PERS public safety officer, used in calculating a	3909
retirement allowance under section 145.33 of the Revised Code if	3910
the member qualifies for an allowance under that section;	3911

(2) If the member qualifies for an allowance under division	3912
(A)(1), (B)(1), (C)(1), or (D)(1) or (2) of this section, to	3913
receive all of the following:	3914

(a) A benefit under division (A)(1), (B)(1), (C)(1), or	3915
(D)(1) or (2) of this section for the member's service credit as a	3916
PERS law enforcement officer;	3917

(b) A single life annuity having a reserve equal to the	3918
amount of the member's accumulated contributions for all service	3919
other than PERS law enforcement service;	3920

(c) A pension equal to the annuity provided under division	3921
(H)(2)(b) of this section, excluding amounts of the member's	3922
accumulated contributions deposited under former division (Y) of	3923
section 145.01 or former sections 145.02, 145.29, 145.292, and	3924
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	3925
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	3926
Revised Code for the purchase of service credit.	3927

(3) If the member qualifies for an allowance under division	3928
(A)(2), (B)(2), (C)(2), or (D)(3), (4), or (5) of this section, to	3929
receive all of the following:	3930

(a) A benefit under division (A)(2), (B)(2), (C)(2), or	3931
(D)(3), (4), or (5) of this section for the member's service	3932
credit as a PERS law enforcement officer or PERS public safety	3933
officer;	3934

(b) A single life annuity having a reserve equal to the	3935
amount of the member's accumulated contributions for all service	3936
other than PERS law enforcement service or PERS public safety	3937
officer service;	3938

(c) A pension equal to the annuity provided under division	3939
(H)(3)(b) of this section, excluding amounts of the member's	3940
accumulated contributions deposited under former division (Y) of	3941
section 145.01 or former sections 145.02, 145.29, 145.292, and	3942
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	3943
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	3944
Revised Code for the purchase of service credit.	3945

(I) For the purposes of this section, "total service credit"	3946
includes credit for military service to the extent permitted by	3947
division (J) of this section and credit for service as a police	3948
officer or state highway patrol trooper to the extent permitted by	3949
division (K) of this section.	3950

(J) Notwithstanding sections 145.01 and 145.30 of the Revised	3951
Code, not more than four years of military service credit granted	3952
or purchased under section 145.30 of the Revised Code and five	3953
years of military service credit purchased under section 145.301	3954
or 145.302 of the Revised Code shall be used in calculating	3955
service as a PERS law enforcement officer or PERS public safety	3956
officer or the total service credit of that person.	3957

(K)(1) Only credit for the member's service as a PERS law	3958
enforcement officer, PERS public safety officer, or service credit	3959
obtained as a police officer or state highway patrol trooper shall	3960
be used in computing the benefit of a member who qualifies for a	3961
benefit under this section for the following:	3962

(a) Any person who originally is commissioned and employed as	3963
a deputy sheriff by the sheriff of any county, or who originally	3964
is elected sheriff, on or after January 1, 1975;	3965

(b) Any deputy sheriff who originally is employed as a	3966
criminal bailiff or court constable on or after April 16, 1993;	3967

(c) Any person who originally is appointed as a township	3968
constable or police officer in a township police department or	3969
district on or after January 1, 1981;	3970

(d) Any person who originally is employed as a county	3971
narcotics agent on or after September 26, 1984;	3972

(e) Any person who originally is employed as an undercover	3973
drug agent as defined in section 109.79 of the Revised Code,	3974
department of public safety enforcement agent who prior to June	3975
30, 1999, was a liquor control investigator, park officer, forest	3976
officer, wildlife officer, state watercraft officer, park district	3977
police officer, conservancy district officer, veterans' home	3978
police officer, special police officer for a mental health	3979
institution, special police officer for an institution for the	3980
developmentally disabled, or municipal police officer on or after	3981
December 15, 1988;	3982

(f) Any person who originally is employed as a state	3983
university law enforcement officer on or after November 6, 1996;	3984

(g) Any person who is originally employed as a state	3985
university law enforcement officer by the university of Akron on	3986
or after September 16, 1998;	3987

(h) Any person who originally is employed as a preserve	3988
officer on or after March 18, 1999;	3989

(i) Any person who originally is employed as a natural	3990
resources law enforcement staff officer on or after March 18,	3991
1999;	3992

(j) Any person who is originally employed as a department of	3993
public safety enforcement agent on or after June 30, 1999;	3994

(k) Any person who is originally employed as a house sergeant	3995
at arms or assistant house sergeant at arms on or after September	3996
5, 2001;	3997

(l) Any person who is originally appointed as a regional	3998
transit authority police officer or state highway patrol police	3999
officer on or after February 1, 2002;	4000

(m) Any person who is originally employed as a municipal	4001
public safety director on or after September 29, 2005, but not	4002
later than March 24, 2009.	4003

(2) Only credit for a member's service as a PERS public	4004
safety officer or service credit obtained as a PERS law	4005
enforcement officer, police officer, or state highway patrol	4006
trooper shall be used in computing the benefit of a member who	4007
qualifies for a benefit under division (B)(1)(b) or (c), (B)(2),	4008
(C)(1)(b) or (c), or (C)(2) of this section for any person who	4009
originally is employed as a Hamilton county municipal court	4010
bailiff on or after November 6, 1996.	4011

(L) For purposes of this section, service prior to June 30,	4012
1999, as a food stamp trafficking agent under former section	4013
5502.14 of the Revised Code shall be considered service as a law	4014
enforcement officer.	4015

(M) Retirement allowances determined under this section shall	4016
be paid as provided in section 145.46 of the Revised Code.	4017

(N) A member seeking to retire under this section shall file	4018
an application with the public employees retirement board.	4019

Service retirement shall be effective as provided in division	4020
(E) of section 145.32 of the Revised Code.	4021

Sec. 145.35.  (A) As used in this section, "on-duty illness	4022
or injury" means an illness or injury that occurred during or	4023
resulted from performance of duties under the direct supervision	4024
of a member's appointing authoritypublic employer.	4025

(B) The public employees retirement system shall provide	4026
disability coverage to each member who has at least five years of	4027
total service credit and disability coverage for on-duty illness	4028
or injury to each member who is a PERS law enforcement officer or	4029
PERS public safety officer, regardless of length of service.	4030

The coverage shall extend only to illness or injury that	4031
occurs before the member's contributing service terminates or, in	4032
the case of illness or injury that results from contributing	4033
service, becomes evident not later than two years after the date	4034
the contributing service ends. The coverage shall not extend to	4035
disability resulting from elective cosmetic surgery other than	4036
reconstructive surgery.	4037

Not later than October 16, 1992, the public employees	4038
retirement board shall give each person who is a member on July	4039
29, 1992, the opportunity to elect disability coverage either	4040
under section 145.36 of the Revised Code or under section 145.361	4041
of the Revised Code. The board shall mail notice of the election,	4042
accompanied by an explanation of the coverage under each of the	4043
Revised Code sections and a form on which the election is to be	4044
made, to each member at the member's last known address. The board	4045
shall also provide the explanation and form to any member on	4046
request.	4047

Regardless of whether the member actually receives notice of	4048
the right to make an election, a member who fails to file a valid	4049
election under this section shall be considered to have elected	4050
disability coverage under section 145.36 of the Revised Code. To	4051
be valid, an election must be made on the form provided by the	4052
retirement board, signed by the member, and filed with the board	4053
not later than one hundred eighty days after the date the notice	4054
was mailed, or, in the case of a form provided at the request of a	4055
member, a date specified by rule of the retirement board. Once	4056
made, an election is irrevocable, but if the member ceases to be a	4057
member of the retirement system, the election is void. If a person	4058
who makes an election under this section also makes an election	4059
under section 3307.62 or 3309.39 of the Revised Code, the election	4060
made for the system that pays a disability benefit to that person	4061
shall govern the benefit.	4062

Disability coverage shall be provided under section 145.361	4063
of the Revised Code for persons who become members after July 29,	4064
1992, and for members who elect under this division to be covered	4065
under section 145.361 of the Revised Code.	4066

The retirement board may adopt rules governing elections made	4067
under this division.	4068

(C) Application for a disability benefit may be made by a	4069
member, by a person acting in the member's behalf, or by the	4070
member's employer, provided the member has disability coverage	4071
under section 145.36 or 145.361 of the Revised Code and is not	4072
receiving a disability benefit under any other Ohio state or	4073
municipal retirement program. Application must be made within two	4074
years from the date the member's contributing service under the	4075
PERS defined benefit plan terminated or the date the member ceased	4076
to make contributions to the PERS defined benefit plan under	4077
section 145.814 of the Revised Code, unless the retirement board	4078
determines that the member's medical records demonstrate	4079
conclusively that at the time the two-year period expired, the	4080
member was physically or mentally incapacitated for duty and	4081
unable to make an application. Application may not be made by or	4082
for any person receiving age and service retirement benefits under	4083
section 145.33, 145.331, 145.34,145.332, or 145.37 or former	4084
section 145.34 of the Revised Code or any person who, pursuant to	4085
section 145.40 of the Revised Code, has been paid the accumulated	4086
contributions standing to the credit of the person's individual	4087
account in the employees' savings fund. The application shall be	4088
made on a form provided by the retirement board.	4089

(D) The benefit payable to any member who is approved for a	4090
disability benefit shall become effective on the first day of the	4091
month immediately following the later of the following:	4092

(1) The last day for which compensation was paid;

4093

(2) The attainment of eligibility for a disability benefit.

4094

(E) Medical examination of a member who has applied for a	4095
disability benefit shall be conducted by a competent disinterested	4096
physician or physicians selected by the board to determine whether	4097
the member is mentally or physically incapacitated for the	4098
performance of duty by a disabling condition either permanent or	4099
presumed to be permanent. The disability must have occurred since	4100
last becoming a member or have increased since last becoming a	4101
member to such extent as to make the disability permanent or	4102
presumed to be permanent. A disability is presumed to be permanent	4103
if it is expected to last for a continuous period of not less than	4104
twelve months following the filing of the application.	4105

The standard used to determine whether a member is	4106
incapacitated for duty is that the member is mentally or	4107
physically incapable of performing the duties of the position the	4108
member held at the time the disabling condition began or of a	4109
position with similar duties.	4110

If the physician or physicians determine that the member	4111
qualifies for a disability benefit, the board concurs with the	4112
determination, and the member agrees to medical treatment as	4113
specified in division (F) of this section, the member shall	4114
receive a disability benefit under section 145.36 or 145.361 of	4115
the Revised Code. The action of the board shall be final.	4116

(F) The public employees retirement board shall adopt rules	4117
requiring a disability benefit recipient, as a condition of	4118
continuing to receive a disability benefit, to agree in writing to	4119
obtain any medical treatment recommended by the board's physician	4120
and submit medical reports regarding the treatment. If the board	4121
determines that a disability benefit recipient is not obtaining	4122
the medical treatment or the board does not receive a required	4123
medical report, the disability benefit shall be suspended until	4124
the treatment is obtained, the report is received by the board, or	4125
the board's physician certifies that the treatment is no longer	4126
helpful or advisable. Should the recipient's failure to obtain	4127
treatment or submit a medical report continue for one year, the	4128
recipient's right to the disability benefit shall be terminated as	4129
of the effective date of the original suspension.	4130

The board shall require the recipient of a disability benefit	4131
who is described in section 145.363 of the Revised Code to comply	4132
with that section.	4133

(G) A disability benefit that has been granted a member but	4134
has not commenced shall not be paid if the member continues in or	4135
returns to employment with the same employer in the same position	4136
or in a position with duties similar to those of the position the	4137
member held at the time the benefit was granted.	4138

(H) In the event an employer files an application for a	4139
disability benefit as a result of a member having been separated	4140
from service because the member is considered to be mentally or	4141
physically incapacitated for the performance of the member's	4142
present duty, and the physician or physicians selected by the	4143
board reports to the board that the member is physically and	4144
mentally capable of performing service similar to that from which	4145
the member was separated and the board concurs in the report, the	4146
board shall so certify to the employer and the employer shall	4147
restore the member to the member's previous position and salary or	4148
to a similar position and salary.	4149

Sec. 145.36.  A member who has elected disability coverage	4150
under this section, has not attained the applicable age sixty, and	4151
is determined by the public employees retirement board under	4152
section 145.35 of the Revised Code to qualify for a disability	4153
benefit shall be retired on disability under this section.	4154

The applicable age is sixty if the member is described in	4155
division (A) or (B) of section 145.32 or division (A), (B), or	4156
(D)(1), (3), or (4) of section 145.332 of the Revised Code. It is	4157
sixty-two if the member is described in division (C) of section	4158
145.32 or division (D)(2) or (5) of section 145.332 of the Revised	4159
Code.	4160

Upon disability retirement, a member shall receive an annual	4161
amount that shall consist of:	4162

(A) An annuity having a reserve equal to the amount of the	4163
retirant's accumulated contributions;	4164

(B) A pension that shall be the difference between the	4165
member's annuity and an annual amount determined by multiplying	4166
the total service credit of the retirant, and in addition thereto	4167
the projected number of years and fractions thereof between the	4168
effective date of the member's disability retirement and attained	4169
attainment of the applicable age sixty, assuming continuous	4170
service, by eighty-six dollars or two and two-tenths per cent of	4171
the member's final average salary, whichever is greater.	4172

Where the recipient is not receiving a disability benefit	4173
under section 145.37 of the Revised Code and is receiving a	4174
disability benefit from either the state teachers retirement	4175
system or the school employees retirement system, the recipient	4176
shall not be eligible for service credit based upon the number of	4177
years and fractions thereof between the date of disability and	4178
attained age sixty as provided for in this division.	4179

In no case shall disability retirement be less than thirty	4180
per cent or more than seventy-five per cent of the member's final	4181
average salary, except that it shall not exceed any limit to which	4182
the retirement system is subject under section 415 of the	4183
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	4184
as amended.	4185

A year of service for the purpose of disability retirement is	4186
a complete year of full-time employment, or the equivalent	4187
thereof. The public employees retirement board is the final	4188
authority in determining the eligibility of a member for	4189
disability retirement.	4190

Sec. 145.361.  (A) A member with disability coverage under	4191
this section who is determined by the public employees retirement	4192
board under section 145.35 of the Revised Code to qualify for a	4193
disability benefit shall receive a disability allowance under this	4194
section. The allowance shall be an annual amount equal to the	4195
greater of the following:	4196

(1) Forty-five per cent of the member's final average salary;

4197

(2) The member's total service credit multiplied by two and	4198
two-tenths per cent of the member's final average salary, not	4199
exceeding sixty per cent of the member's final average salary.	4200

(B) Sufficient reserves for payment of the disability	4201
allowance shall be transferred to the annuity and pension reserve	4202
fund from the employers' contribution fund. The accumulated	4203
contributions of the member shall remain in the employees' savings	4204
fund. No part of the allowance paid under this section shall be	4205
charged against the member's accumulated contributions.	4206

(C) A disability allowance paid under this section shall	4207
terminate at the earliest of the following:	4208

(1) The effective date of age and service retirement under	4209
sections 145.32 and, 145.33, and 145.332, or section 145.34 or	4210
145.37 or former section 145.34 of the Revised Code;	4211

(2) The date the allowance is terminated under section	4212
145.362 of the Revised Code;	4213

(3) The later of the last day of the month in which the	4214
recipient attains age sixty-five, or the last day of the month in	4215
which the benefit period ends as follows:	4216

	Attained Age at					4217
	Effective Date of					4218
	Disability Allowance		Benefit Period			4219
	60 or 61		60 months			4220
	62 or 63		48 months			4221
	64 or 65		36 months			4222
	66, 67, or 68		24 months			4223
	69 or older		12 months			4224

Sec. 145.362.  A disability benefit recipient whose	4225
application for a disability benefit was received by the public	4226
employees retirement system before the effective date of this	4227
amendment shall, regardless of when the disability occurred,	4228
retain membership status and shall be considered on leave of	4229
absence from employment during the first five years following the	4230
effective date of a disability benefit, notwithstanding any	4231
contrary provisions in this chapter.	4232

A disability benefit recipient whose application for a	4233
disability benefit is received by the system on or after the	4234
effective date of this amendment shall, regardless of when the	4235
disability occurred, retain membership status and shall be	4236
considered on leave of absence from employment during the first	4237
three years following the effective date of a disability benefit,	4238
except that, if the member is receiving rehabilitative services	4239
acceptable to a physician or physicians selected by the board, the	4240
board may permit the recipient to retain membership status and be	4241
considered on leave of absence from employment for up to five	4242
years following the effective date of a disability benefit.	4243

The public employees retirement board shall require any	4244
disability benefit recipient to undergo an annual medical	4245
examination, except that the board may waive the medical	4246
examination if the board's physician or physicians certify that	4247
the recipient's disability is ongoing. If any disability benefit	4248
recipient refuses to submit to a medical examination, the	4249
recipient's disability benefit shall be suspended until withdrawal	4250
of the refusal. Should the refusal continue for one year, all the	4251
recipient's rights in and to the disability benefit shall be	4252
terminated as of the effective date of the original suspension.	4253

On completion of the examination by an examining physician or	4254
physicians selected by the board, the physician or physicians	4255
shall report and certify to the board whether the disability	4256
benefit recipient meets the applicable standard for termination of	4257
a disability benefit. If the recipient's application for a	4258
disability benefit was received by the system before the effective	4259
date of this amendment, regardless of when the disability	4260
occurred, or, if after that date, the recipient has been receiving	4261
the benefit for less than three years or is receiving	4262
rehabilitative services acceptable to the physician or physicians	4263
and considered on leave of absence, the standard for termination	4264
is that the recipient is no longer physically and mentally	4265
incapable of resuming the service from which the recipient was	4266
found disabled. If the recipient's application for a disability	4267
benefit is received by the system on or after the effective date	4268
of this amendment, regardless of when the disability occurred, the	4269
recipient has been receiving the benefit for three years or	4270
longer, and the recipient is not receiving rehabilitative services	4271
acceptable to the physician or physicians, the standard for	4272
termination is that the recipient is not physically or mentally	4273
incapable of performing the duties of any position that meets all	4274
of the following criteria:	4275

(A) Replaces not less than seventy-five per cent of the	4276
member's final average salary, adjusted each year by the actual	4277
average increase in the consumer price index prepared by the	4278
United States bureau of labor statistics (U.S. city average for	4279
urban wage earners and clerical workers: "all items	4280
1982-1984=100");	4281

(B) Is reasonably to be found in the member's regional job	4282
market;	4283

(C) Is one that the member is qualified for by experience or	4284
education.	4285

If the board concurs in the report that the disability	4286
benefit recipient is no longer incapablemeets the applicable	4287
standard for termination of a disability benefit, the payment of	4288
the disability benefit shall be terminated not later than three	4289
months after the date of the board's concurrence or upon	4290
employment as a public employee. If the leave of absence has not	4291
expired, the retirement board shall certify to the disability	4292
benefit recipient's last employer before being found disabled that	4293
the recipient is no longer physically and mentally incapable of	4294
resuming service that is the same or similar to that from which	4295
the recipient was found disabled. The employer shall restore the	4296
recipient to the recipient's previous position and salary or to a	4297
position and salary similar thereto, unless the recipient was	4298
dismissed or resigned in lieu of dismissal for dishonesty,	4299
misfeasance, malfeasance, or conviction of a felony.	4300

Each disability benefit recipient shall file with the board	4301
an annual statement of earnings, current medical information on	4302
the recipient's condition, and any other information required in	4303
rules adopted by the board. The board may waive the requirement	4304
that a disability benefit recipient file an annual statement of	4305
earnings or current medical information if the board's physician	4306
certifies that the recipient's disability is ongoing.	4307

The board shall annually examine the information submitted by	4308
the recipient. If a disability benefit recipient refuses to file	4309
the statement or information, the disability benefit shall be	4310
suspended until the statement and information are filed. If the	4311
refusal continues for one year, the recipient's right to the	4312
disability benefit shall be terminated as of the effective date of	4313
the original suspension.	4314

If a disability benefit recipient is restored to service by,	4315
or elected to an elective office with, an employer covered by this	4316
chapter, the recipient's disability benefit shall cease.	4317

The board may terminate a disability benefit at the request	4318
of the recipient.	4319

If disability retirement under section 145.36 of the Revised	4320
Code is terminated for any reason, the annuity and pension	4321
reserves at that time in the annuity and pension reserve fund	4322
shall be transferred to the employees' savings fund and the	4323
employers' accumulation fund, respectively. If the total	4324
disability benefit paid is less than the amount of the accumulated	4325
contributions of the member transferred to the annuity and pension	4326
reserve fund at the time of the member's disability retirement,	4327
the difference shall be transferred from the annuity and pension	4328
reserve fund to another fund as may be required. In determining	4329
the amount of a member's account following the termination of	4330
disability retirement for any reason, the total amount paid shall	4331
be charged against the member's refundable account.	4332

If a disability allowance paid under section 145.361 of the	4333
Revised Code is terminated for any reason, the reserve on the	4334
allowance at that time in the annuity and pension reserve fund	4335
shall be transferred from that fund to the employers' accumulation	4336
fund.	4337

If a former disability benefit recipient again becomes a	4338
contributor, other than as an other system retirant under section	4339
145.38 of the Revised Code, to this system, the state teachers	4340
retirement system, or the school employees retirement system, and	4341
completes an additional two years of service credit, the former	4342
disability benefit recipient shall be entitled to full service	4343
credit, not exceeding five years' service credit, for the period	4344
as a disability benefit recipient.	4345

If any employer employs any member who is receiving a	4346
disability benefit, the employer shall file notice of employment	4347
with the retirement board, designating the date of employment. In	4348
case the notice is not filed, the total amount of the benefit paid	4349
during the period of employment prior to notice shall be charged	4350
to and paid by the employer.	4351

Sec. 145.363. (A) A recipient of a disability benefit granted	4352
under this chapter whose application for such benefit is received	4353
by the public employees retirement system on or after the	4354
effective date of this section shall, regardless of when the	4355
disability occurred, apply for social security disability	4356
insurance benefit payments under 42 U.S.C. 423 if the recipient	4357
meets the requirements of divisions (a)(1)(A),(B), and (C) of that	4358
section. The application for a social security disability	4359
insurance benefit shall be made not later than ninety days after	4360
the recipient is granted a disability benefit under this chapter	4361
unless the public employees retirement board determines from the	4362
member's medical records that the member is physically or mentally	4363
unable to make the application. The recipient shall file a copy of	4364
the completed application with the public employees retirement	4365
system and the system shall accept the copy as evidence of the	4366
member's application. If a recipient fails without just cause to	4367
apply for social security disability insurance benefit payments or	4368
to file a copy of the application with the system, the disability	4369
benefit under this chapter shall be suspended until application is	4370
made and a copy of the application filed with the system.	4371

(B) Regardless of whether the recipient's disability is	4372
ongoing, a recipient of a disability benefit under this chapter	4373
who also receives social security disability insurance benefit	4374
payments shall file an annual statement of earnings under section	4375
145.362 of the Revised Code and include a copy of the social	4376
security disability insurance benefit annual reward letter that	4377
specifies the amount of the social security disability insurance	4378
program benefit.	4379

(C) Except as provided in division (D) of this section, if	4380
any year the total of a disability benefit recipient's benefit	4381
under this chapter and social security disability insurance	4382
benefit payments exceeds the recipient's adjusted final average	4383
salary, the annual benefit under this chapter shall be reduced so	4384
that the annual total equals the recipient's adjusted final	4385
average salary.	4386

The recipient's adjusted final average salary shall be	4387
determined by annually increasing the recipient's final average	4388
salary by the percentage increase in the consumer price index, not	4389
exceeding three per cent, as determined by the United States	4390
bureau of labor statistics (U.S. city average for urban wage	4391
earners and clerical workers: "all items 1982-84=100") for the	4392
twelve-month period ending on the thirtieth day of June of the	4393
immediately preceding calendar year. If the consumer price index	4394
for that period did not increase, no increase shall be made to the	4395
recipient's adjusted final average salary for that period. No	4396
adjustment to a benefit shall exceed the limit established by	4397
section 415 of the "Internal Revenue Code of 1986," 100 Stat.	4398
2085, 26 U.S.C. 415, as amended.	4399

If a disability benefit recipient receives retroactive	4400
payments of social security disability insurance benefits, the	4401
system may reduce future disability benefit payments under this	4402
chapter to recoup any overpayments.	4403

(D) The reductions required by division (C) of this section	4404
do not apply to a recipient of a disability benefit under this	4405
chapter who has not less than five years of service credit for	4406
periods during which the recipient had earnings from other	4407
employment that was subject to the tax imposed by the "Federal	4408
Insurance Contributions Act," 26 U.S.C. 3101.	4409

Sec. 145.37.  (A) As used in this section:

4410

(1) "State retirement system" means the public employees	4411
retirement system, school employees retirement system, or state	4412
teachers retirement system.	4413

(2) "Total service credit" means all service credit earned in	4414
the state retirement systems, except credit for service subject to	4415
section 145.38 of the Revised Code. Total service credit shall not	4416
exceed one year of credit for any twelve-month period.	4417

(3) In addition to the meaning given in division (N) of	4418
section 145.01 of the Revised Code, "disability benefit" means	4419
"disability benefit" as defined in sections 3307.01 and 3309.01 of	4420
the Revised Code.	4421

(B) To coordinate and integrate membership in the state	4422
retirement systems, the following provisions apply:	4423

(1) AtSubject to division (B)(2) of this section, at the	4424
optionelection of a member, total contributions and service	4425
credit in all state retirement systems, including amounts paid to	4426
restore service credit under sections 145.311, 3307.711, and	4427
3309.261 of the Revised Code, shall be used in determining the	4428
eligibility and total retirement or disability benefit payable.	4429
When total contributions and service credit are so combined, the	4430
following provisions apply:	4431

(a) Age and service retirement or disability benefits are	4432
shall be effective on the first day of the month immediately	4433
following the later of:	4434

(i) The last day for which compensation was paid;

4435

(ii) The attainment of minimum age or service credit	4436
eligibility for benefits provided under this section;	4437

(iii) Ninety days prior to receipt by the board of the	4438
member's completed application for retirement.	4439

(b) In determining eligibilityDisability benefits shall be	4440
effective on the first day of the month immediately following the	4441
later of the following:	4442

(i) The last day for which compensation was paid;

4443

(ii) The attainment of eligibility for a disability benefit.

4444

(c) Eligibility for a disability benefit, the medical	4445
examiner's report toshall be determined by the retirement board	4446
of anythe state retirement system, showing that will calculate	4447
and pay the member's disability incapacitates the member for the	4448
performance of duty, maybenefit, as provided in division	4449
(B)(1)(d) of this section. The state retirement system calculating	4450
and paying the disability benefit shall certify the determination	4451
to the board of each other state retirement system in which the	4452
member has service credit and shall be accepted by the state	4453
retirement boardsthat board as sufficient for granting a	4454
disability benefit.	4455

(c)(d) The board of the state retirement system in which the	4456
member had the greatest service credit, without adjustment, shall	4457
determinecalculate and pay the total retirement or disability	4458
benefit. Where the member's credit is equal in two or more state	4459
retirement systems, the system having the largest total	4460
contributions of the member shall determinecalculate and pay the	4461
total benefit.	4462

(d)(e) In determining the total credit to be used in	4463
calculating a retirement or disability benefit, credit shall not	4464
be reduced below that certified by the system or systems	4465
transferring credit, except that such total combined service	4466
credit shall not exceed one year of credit for any one "year" as	4467
defined in the law of the system making the calculation.	4468

(e)(f) The state retirement system determiningcalculating	4469
and paying a retirement or disability benefit shall receive from	4470
the other system or systems the member's refundable account at	4471
retirement or the effective date of a disability benefit plus an	4472
amount from the employers' accumulation fund equal to the member's	4473
refundable account less interest credited under section 145.471,	4474
145.472, or 3307.563 of the Revised Codeall of the following for	4475
each year of service:	4476

(i) The amount contributed by the member, or, in the case of	4477
service credit purchased by the member, paid by the member, that	4478
is attributable to the year of service;	4479

(ii) An amount equal to the lesser of the employer's	4480
contributions made on behalf of the member to the retirement	4481
system for that year of service or the amount that would have been	4482
contributed by the employer for the service had the member been a	4483
member of the public employees retirement system at the time the	4484
credit was earned;	4485

(iii) Interest on the amounts specified in divisions	4486
(B)(1)(f)(i) and (ii) of this section at the actuarial assumption	4487
rate of the retirement system determining and paying the benefit.	4488
If	4489

If applicable, the public employees retirement system shall	4490
pay to the retirement system determiningcalculating and paying	4491
the benefit a portion of the amount paid on behalf of the member	4492
by an employer under section 145.483 of the Revised Code. The	4493
portion shall be paid from the employers' accumulation fund and	4494
shall equal the product obtained by multiplying by two the amount	4495
the member would have contributed during the period the employer	4496
failed to deduct contributions, as described in section 145.483 of	4497
the Revised Code.	4498

(i)(g) The annuity rates and mortality tables of the state	4499
retirement system making the calculation and paying the benefit	4500
shall be exclusively applicable.	4501

(ii)(h) Deposits made for the purpose of an additional	4502
annuity, and including guaranteed interesttogether with earnings	4503
as provided in section 145.62 of the Revised Code, upon the	4504
request of the member, shall be transferred to the state	4505
retirement system paying the benefit. The return upon such	4506
deposits shall be that offered by the state retirement system	4507
making the calculation and paying the benefit.	4508

(2) A former member receiving a retirement or disability	4509
benefit under this section, who accepts employment amenable to	4510
coverage in any state retirement system that participated in the	4511
former member's combined benefit, shall be subject to the	4512
applicable provisions of law governing such re-employment. If a	4513
former member should be paid any amount in a retirement benefit,	4514
to which the former member is not entitled under the applicable	4515
provisions of law governing such re-employment, such amount shall	4516
be recovered by the state retirement system paying such benefit by	4517
utilizing any recovery procedure available under the code	4518
provisions of the state retirement system covering such	4519
re-employment.	4520

(C) A PERS retirant or other system retirant, as defined in	4521
section 145.38 of the Revised Code, is not eligible to receive any	4522
benefit under this section for service subject to section 145.38	4523
of the Revised Code.	4524

Sec. 145.38.  (A) As used in this section and sections	4525
145.381 and 145.384 of the Revised Code:	4526

(1) "PERS retirant" means a former member of the public	4527
employees retirement system who is receiving one of the following:	4528

(a) Age and service retirement benefits under section 145.32,	4529
145.33, 145.331, 145.34,145.332, or 145.46 or former section	4530
145.34 of the Revised Code;	4531

(b) Age and service retirement benefits paid by the public	4532
employees retirement system under section 145.37 of the Revised	4533
Code;	4534

(c) Any benefit paid under a PERS defined contribution plan.

4535

(2) "Other system retirant" means both of the following:

4536

(a) A member or former member of the Ohio police and fire	4537
pension fund, state teachers retirement system, school employees	4538
retirement system, state highway patrol retirement system, or	4539
Cincinnati retirement system who is receiving age and service or	4540
commuted age and service retirement benefits or a disability	4541
benefit from a system of which the person is a member or former	4542
member;	4543

(b) A member or former member of the public employees	4544
retirement system who is receiving age and service retirement	4545
benefits or a disability benefit under section 145.37 of the	4546
Revised Code paid by the school employees retirement system or the	4547
state teachers retirement system.	4548

(B)(1) Subject to this section and section 145.381 of the	4549
Revised Code, a PERS retirant or other system retirant may be	4550
employed by a public employer. If so employed, the PERS retirant	4551
or other system retirant shall contribute to the public employees	4552
retirement system in accordance with section 145.47 of the Revised	4553
Code, and the employer shall make contributions in accordance with	4554
section 145.48 of the Revised Code.	4555

(2) A public employer that employs a PERS retirant or other	4556
system retirant, or enters into a contract for services as an	4557
independent contractor with a PERS retirant, shall notify the	4558
retirement board of the employment or contract not later than the	4559
end of the month in which the employment or contract commences.	4560
Any overpayment of benefits to a PERS retirant by the retirement	4561
system resulting from delay or failure of the employer to give the	4562
notice shall be repaid to the retirement system by the employer.	4563

(3) On receipt of notice from a public employer that a person	4564
who is an other system retirant has been employed, the retirement	4565
system shall notify the retirement system of which the other	4566
system retirant was a member of such employment.	4567

(4)(a) A PERS retirant who has received a retirement	4568
allowance for less than two months when employment subject to this	4569
section commences shall forfeit the retirement allowance for any	4570
month the PERS retirant is employed prior to the expiration of the	4571
two-month period. Service and contributions for that period shall	4572
not be included in calculation of any benefits payable to the PERS	4573
retirant, and those contributions shall be refunded on the	4574
retirant's death or termination of the employment.	4575

(b) An other system retirant who has received a retirement	4576
allowance or disability benefit for less than two months when	4577
employment subject to this section commences shall forfeit the	4578
retirement allowance or disability benefit for any month the other	4579
system retirant is employed prior to the expiration of the	4580
two-month period. Service and contributions for that period shall	4581
not be included in the calculation of any benefits payable to the	4582
other system retirant, and those contributions shall be refunded	4583
on the retirant's death or termination of the employment.	4584

(c) Contributions made on compensation earned after the	4585
expiration of the two-month period shall be used in the	4586
calculation of the benefit or payment due under section 145.384 of	4587
the Revised Code.	4588

(5) On receipt of notice from the Ohio police and fire	4589
pension fund, school employees retirement system, or state	4590
teachers retirement system of the re-employment of a PERS	4591
retirant, the public employees retirement system shall not pay, or	4592
if paid, shall recover, the amount to be forfeited by the PERS	4593
retirant in accordance with section 742.26, 3307.35, or 3309.341	4594
of the Revised Code.	4595

(6) A PERS retirant who enters into a contract to provide	4596
services as an independent contractor to the employer by which the	4597
retirant was employed at the time of retirement or, less than two	4598
months after the retirement allowance commences, begins providing	4599
services as an independent contractor pursuant to a contract with	4600
another public employer, shall forfeit the pension portion of the	4601
retirement benefit for the period beginning the first day of the	4602
month following the month in which the services begin and ending	4603
on the first day of the month following the month in which the	4604
services end. The annuity portion of the retirement allowance	4605
shall be suspended on the day services under the contract begin	4606
and shall accumulate to the credit of the retirant to be paid in a	4607
single payment after services provided under the contract	4608
terminate. A PERS retirant subject to division (B)(6) of this	4609
section shall not contribute to the retirement system and shall	4610
not become a member of the system.	4611

(7) As used in this division, "employment" includes service	4612
for which a PERS retirant or other system retirant, the retirant's	4613
employer, or both, have waived any earnable salary for the	4614
service.	4615

(C)(1) Except as provided in division (C)(3) of this section,	4616
this division applies to both of the following:	4617

(a) A PERS retirant who, prior to September 14, 2000, was	4618
subject to division (C)(1)(b) of this section as that division	4619
existed immediately prior to September 14, 2000, and has not	4620
elected pursuant to Am. Sub. S.B. 144 of the 123rd general	4621
assembly to cease to be subject to that division;	4622

(b) A PERS retirant to whom both of the following apply:

4623

(i) The retirant held elective office in this state, or in	4624
any municipal corporation, county, or other political subdivision	4625
of this state at the time of retirement under this chapter.	4626

(ii) The retirant was elected or appointed to the same office	4627
for the remainder of the term or the term immediately following	4628
the term during which the retirement occurred.	4629

(2) A PERS retirant who is subject to this division is a	4630
member of the public employees retirement system with all the	4631
rights, privileges, and obligations of membership, except that the	4632
membership does not include survivor benefits provided pursuant to	4633
section 145.45 of the Revised Code or, beginning on the ninetieth	4634
day after September 14, 2000, any amount calculated under section	4635
145.401 of the Revised Code. The pension portion of the PERS	4636
retirant's retirement allowance shall be forfeited until the first	4637
day of the first month following termination of the employment.	4638
The annuity portion of the retirement allowance shall accumulate	4639
to the credit of the PERS retirant to be paid in a single payment	4640
after termination of the employment. The retirement allowance	4641
shall resume on the first day of the first month following	4642
termination of the employment. On termination of the employment,	4643
the PERS retirant shall elect to receive either a refund of the	4644
retirant's contributions to the retirement system during the	4645
period of employment subject to this section or a supplemental	4646
retirement allowance based on the retirant's contributions and	4647
service credit for that period of employment.	4648

(3) This division does not apply to any of the following:

4649

(a) A PERS retirant elected to office who, at the time of the	4650
election for the retirant's current term, was not retired but, not	4651
less than ninety days prior to the primary election for the term	4652
or the date on which a primary for the term would have been held,	4653
filed a written declaration of intent to retire before the end of	4654
the term with the director of the board of elections of the county	4655
in which petitions for nomination or election to the office are	4656
filed;	4657

(b) A PERS retirant elected to office who, at the time of the	4658
election for the retirant's current term, was a retirant and had	4659
been retired for not less than ninety days;	4660

(c) A PERS retirant appointed to office who, at the time of	4661
appointment to the retirant's current term, notified the person or	4662
entity making the appointment that the retirant was already	4663
retired or intended to retire before the end of the term.	4664

(D)(1) Except as provided in division (C) of this section, a	4665
PERS retirant or other system retirant subject to this section is	4666
not a member of the public employees retirement system, and,	4667
except as specified in this section does not have any of the	4668
rights, privileges, or obligations of membership. Except as	4669
specified in division (D)(2) of this section, the retirant is not	4670
eligible to receive health, medical, hospital, or surgical	4671
benefits under section 145.58 of the Revised Code for employment	4672
subject to this section.	4673

(2) A PERS retirant subject to this section shall receive	4674
primary health, medical, hospital, or surgical insurance coverage	4675
from the retirant's employer, if the employer provides coverage to	4676
other employees performing comparable work. Neither the employer	4677
nor the PERS retirant may waive the employer's coverage, except	4678
that the PERS retirant may waive the employer's coverage if the	4679
retirant has coverage comparable to that provided by the employer	4680
from a source other than the employer or the public employees	4681
retirement system. If a claim is made, the employer's coverage	4682
shall be the primary coverage and shall pay first. The benefits	4683
provided under section 145.58 of the Revised Code shall pay only	4684
those medical expenses not paid through the employer's coverage or	4685
coverage the PERS retirant receives through a source other than	4686
the retirement system.	4687

(E) If the disability benefit of an other system retirant	4688
employed under this section is terminated, the retirant shall	4689
become a member of the public employees retirement system,	4690
effective on the first day of the month next following the	4691
termination with all the rights, privileges, and obligations of	4692
membership. If such person, after the termination of the	4693
disability benefit, earns two years of service credit under this	4694
system or under the Ohio police and fire pension fund, state	4695
teachers retirement system, school employees retirement system, or	4696
state highway patrol retirement system, the person's prior	4697
contributions as an other system retirant under this section shall	4698
be included in the person's total service credit as a public	4699
employees retirement system member, and the person shall forfeit	4700
all rights and benefits of this section. Not more than one year of	4701
credit may be given for any period of twelve months.	4702

(F) This section does not affect the receipt of benefits by	4703
or eligibility for benefits of any person who on August 20, 1976,	4704
was receiving a disability benefit or service retirement pension	4705
or allowance from a state or municipal retirement system in Ohio	4706
and was a member of any other state or municipal retirement system	4707
of this state.	4708

(G) The public employees retirement board may adopt rules to	4709
carry out this section.	4710

Sec. 145.383.  (A) As used in this section:

4711

(1) "Compensation" has the same meaning as in section 3307.01	4712
or 3309.01 of the Revised Code, as appropriate.	4713

(2) "PERS position" means a position for which a member of	4714
the public employees retirement system is making contributions to	4715
the system.	4716

(3) "Other state retirement system" means the state teachers	4717
retirement system or the school employees retirement system.	4718

(4) "State retirement system" means the public employees	4719
retirement system, state teachers retirement system, or the school	4720
employees retirement system.	4721

(B)(1) A member of the public employees retirement system who	4722
holds two or more PERS positions may retire under section 145.32,	4723
145.33, 145.331, 145.34,145.332, 145.37, or 145.46 of the Revised	4724
Code from the position for which the annual earnable salary at the	4725
time of retirement is highest and continue to contribute to the	4726
retirement system for the other PERS position or positions.	4727

(2) A member of the public employees retirement system who	4728
also holds one or more other positions covered by the other state	4729
retirement systems may retire under section 145.32, 145.33,	4730
145.331, 145.34,145.332, 145.37, or 145.46 of the Revised Code	4731
from the PERS position and continue contributing to the other	4732
state retirement systems if the annual earnable salary for the	4733
PERS position at the time of retirement is greater than annual	4734
compensation for the position, or any of the positions, covered by	4735
the other state retirement systems.	4736

(3) A member of the public employees retirement system who	4737
holds two or more PERS positions and at least one other position	4738
covered by one of the other state retirement systems may retire	4739
under section 145.32, 145.33, 145.331, 145.34,145.332, 145.37, or	4740
145.46 of the Revised Code from one of the PERS positions and	4741
continue contributing to the public employees retirement system	4742
and the other state retirement system if the annual earnable	4743
salary for the PERS position from which the member is retiring is,	4744
at the time of retirement, greater than the annual compensation or	4745
earnable salary for any of the positions for which the member is	4746
continuing to make contributions.	4747

(4) A member of the public employees retirement system who	4748
has retired as provided in division (B)(2) or (3) of section	4749
3307.351 or division (B)(2) or (3) of section 3309.343 of the	4750
Revised Code may continue to contribute to the public employees	4751
retirement system for a PERS position if the member held the	4752
position at the time of retirement from the other state retirement	4753
system.	4754

(5) A member who contributes to the public employees	4755
retirement system in accordance with division (B)(1), (3), or (4)	4756
of this section shall contribute in accordance with section 145.47	4757
of the Revised Code. The member's employer shall contribute as	4758
provided in section 145.48 of the Revised Code. Neither the member	4759
nor the member's survivors are eligible for any benefits based on	4760
those contributions other than those provided under section	4761
145.384, 3307.352, or 3309.344 of the Revised Code.	4762

(C)(1) In determining retirement eligibility and the annual	4763
retirement allowance of a member who retires as provided in	4764
division (B)(1), (2), or (3) of this section, the following shall	4765
be used to the date of retirement:	4766

(a) The member's earnable salary and compensation for all	4767
positions covered by a state retirement system;	4768

(b) Total service credit in any state retirement system,	4769
except that the credit shall not exceed one year of credit for any	4770
period of twelve months;	4771

(c) The member's accumulated contributions.

4772

(2) A member who retires as provided in division (B)(1), (2),	4773
or (3) of this section is a retirant for all purposes of this	4774
chapter, except that the member is not subject to section 145.38	4775
of the Revised Code for a position or positions for which	4776
contributions continue under those divisions or division (B)(4) of	4777
this section.	4778

(D) A retired member receiving a benefit under section	4779
145.384 of the Revised Code based on employment subject to this	4780
section is not a member of the public employees retirement system	4781
and does not have any rights, privileges, or obligations of	4782
membership. The retired member is a PERS retirant for purposes of	4783
section 145.38 of the Revised Code.	4784

(E) The public employees retirement board may adopt rules to	4785
carry out this section.	4786

Sec. 145.384. (A) As used in this section, "PERS retirant"	4787
means a PERS retirant who is not subject to division (C) of	4788
section 145.38 of the Revised Code. For purposes of this section,	4789
"PERS retirant" also includes both of the following:	4790

(1) A member who retired under section 145.383 of the Revised	4791
Code;	4792

(2) A retirant whose retirement allowance resumed under	4793
section 145.385 of the Revised Code.	4794

(B)(1) An other system retirant or PERS retirant who has made	4795
contributions under section 145.38 or 145.383 of the Revised Code	4796
or, in the case of a retirant described in division (A)(2) of this	4797
section, section 145.47 of the Revised Code may file an	4798
application with the public employees retirement system to receive	4799
either a benefit, as provided in division (B)(2) of this section,	4800
or payment of the retirant's contributions made under those	4801
sections, as provided in division (H) of this section.	4802

(2) A benefit under this section shall consist of an annuity	4803
having a reserve equal to the amount of the retirant's accumulated	4804
contributions for the period of employment, other than the	4805
contributions excluded pursuant to division (B)(4)(a) or (b) of	4806
section 145.38 of the Revised Code, and an amount of the	4807
employer's contributions determined by the board.	4808

(a) Unless, as described in division (I) of this section, the	4809
application is accompanied by a statement of the spouse's consent	4810
to another form of payment or the board waives the requirement of	4811
spousal consent, a PERS retirant or other system retirant who is	4812
married at the time of application for a benefit under this	4813
section shall receive a monthly annuity under which the actuarial	4814
equivalent of the retirant's single life annuity is paid in a	4815
lesser amount for life and one-half of the lesser amount continues	4816
after the retirant's death to the surviving spouse.	4817

(b) A PERS retirant or other system retirant who is not	4818
subject to division (B)(2)(a) of this section shall elect either	4819
to receive the benefit as a monthly annuity or a lump sum payment	4820
discounted to the present value using a rate of interest	4821
determined by the board. A retirant who elects to receive a	4822
monthly annuity shall select one of the following as the plan of	4823
payment:	4824

(i) The retirant's single life annuity;

4825

(ii) The actuarial equivalent of the retirant's single life	4826
annuity in an equal or lesser amount for life and continuing after	4827
death to a surviving beneficiary designated at the time the plan	4828
of payment is selected.	4829

If a retirant who is eligible to select a plan of payment	4830
under division (B)(2)(b) of this section fails to do so, the	4831
benefit shall be paid as a monthly annuity under the plan of	4832
payment specified in rules adopted by the public employees	4833
retirement board.	4834

(c) Notwithstanding divisions (B)(2)(a) and (b) of this	4835
section, if a monthly annuity would be less than twenty-five	4836
dollars per month, the retirant shall receive a lump sum payment.	4837

(C)(1) The death of a spouse or other designated beneficiary	4838
under a plan of payment described in division (B)(2) of this	4839
section cancels that plan of payment. The PERS retirant or other	4840
system retirant shall receive the equivalent of the retirant's	4841
single life annuity, as determined by the board, effective the	4842
first day of the month following receipt by the board of notice of	4843
the death.	4844

(2) On divorce, annulment, or marriage dissolution, a PERS	4845
retirant or other system retirant receiving a benefit described in	4846
division (B)(2) of this section under which the beneficiary is the	4847
spouse may, with the written consent of the spouse or pursuant to	4848
an order of the court with jurisdiction over the termination of	4849
the marriage, elect to cancel the plan and receive the equivalent	4850
of the retirant's single life annuity as determined by the board.	4851
The election shall be made on a form provided by the board and	4852
shall be effective the month following its receipt by the board.	4853

(D) Following a marriage or remarriage, a PERS retirant or	4854
other system retirant who is receiving a benefit described in	4855
division (B)(2)(b)(i) of this section may elect a new plan of	4856
payment under division (B)(2)(b) of this section based on the	4857
actuarial equivalent of the retirant's single life annuity as	4858
determined by the board.	4859

If the marriage or remarriage occurs on or after the	4860
effective date of this amendmentJune 6, 2005, the election must	4861
be made not later than one year after the date of the marriage or	4862
remarriage.	4863

The plan elected under this division shall be effective on	4864
the date of receipt by the board of an application on a form	4865
approved by the board, but any change in the amount of the benefit	4866
shall commence on the first day of the month following the	4867
effective date of the plan.	4868

(E) A benefit payable under division (B)(2) of this section	4869
shall commence on the latest of the following:	4870

(1) The last day for which compensation for all employment	4871
subject to section 145.38, 145.383, or 145.385 of the Revised Code	4872
was paid;	4873

(2) Attainment by the PERS retirant or other system retirant	4874
of age sixty-five;	4875

(3) If the PERS retirant or other system retirant was	4876
previously employed under section 145.38, 145.383, or 145.385 of	4877
the Revised Code and is receiving or previously received a benefit	4878
under this section, completion of a period of twelve months since	4879
the effective date of the last benefit under this section;	4880

(4) Ninety days prior to receipt by the board of the member's	4881
completed application for retirement;	4882

(5) A date specified by the retirant.

4883

(F)(1) If a PERS retirant or other system retirant dies while	4884
employed in employment subject to section 145.38, 145.383, or	4885
145.385 of the Revised Code, a lump sum payment calculated in	4886
accordance with division (B)(2) of this section shall be paid to	4887
the retirant's beneficiary under division (G) of this section.	4888

(2) If at the time of death a PERS retirant or other system	4889
retirant receiving a monthly annuity under division (B)(2)(b)(i)	4890
of this section has received less than the retirant would have	4891
received as a lump sum payment, the difference between the amount	4892
received and the amount that would have been received as a lump	4893
sum payment shall be paid to the retirant's beneficiary under	4894
division (G) of this section.	4895

(3) If a beneficiary receiving a monthly annuity under	4896
division (B)(2) of this section dies and, at the time of the	4897
beneficiary's death, the total of the amounts paid to the retirant	4898
and beneficiary are less than the amount the retirant would have	4899
received as a lump sum payment, the difference between the total	4900
of the amounts received by the retirant and beneficiary and the	4901
amount that the retirant would have received as a lump sum payment	4902
shall be paid to the beneficiary's estate.	4903

(G) A PERS retirant or other system retirant employed under	4904
section 145.38, 145.383, or 145.385 of the Revised Code may	4905
designate one or more persons as beneficiary to receive any	4906
benefits payable under division (B)(2)(b) of this section due to	4907
death. The designation shall be in writing duly executed on a form	4908
provided by the public employees retirement board, signed by the	4909
PERS retirant or other system retirant, and filed with the board	4910
prior to death. The last designation of a beneficiary revokes all	4911
previous designations. The PERS retirant's or other system	4912
retirant's marriage, divorce, marriage dissolution, legal	4913
separation, withdrawal of account, birth of a child, or adoption	4914
of a child revokes all previous designations. If there is no	4915
designated beneficiary, the beneficiary is the beneficiary	4916
determined under division (D) of section 145.43 of the Revised	4917
Code. If any benefit payable under this section due to the death	4918
of a PERS retirant or other system retirant is not claimed by a	4919
beneficiary within five years after the death, the amount payable	4920
shall be transferred to the income fund and thereafter paid to the	4921
beneficiary or the estate of the PERS retirant or other system	4922
retirant on application to the board.	4923

(H)(1) A PERS retirant or other system retirant who applies	4924
under division (B)(1) of this section for payment of the	4925
retirant's contributions and is unmarried or is married and,	4926
unless the board has waived the requirement of spousal consent,	4927
includes with the application a statement of the spouse's consent	4928
to the payment, shall be paid the contributions made under section	4929
145.38 or 145.383 of the Revised Code or, in the case of a	4930
retirant described in division (A)(2) of this section, section	4931
145.47 of the Revised Code, plus interest as provided in section	4932
145.471 of the Revised Code, if the following conditions are met:	4933

(a) The retirant has not attained sixty-five years of age and	4934
has terminated employment subject to section 145.38, 145.383, or	4935
145.385 of the Revised Code for any cause other than death or the	4936
receipt of a benefit under this section.	4937

(b) Three months have elapsed since the termination of the	4938
retirant's employment subject to section 145.38, 145.383, or	4939
145.385 of the Revised Code, other than employment exempted from	4940
contribution pursuant to section 145.03 of the Revised Code.	4941

(c) The retirant has not returned to public service, other	4942
than service exempted from contribution pursuant to section 145.03	4943
of the Revised Code, during the three-month period.	4944

(2) Payment of a retirant's contributions cancels the	4945
retirant's right to a benefit under division (B)(2) of this	4946
section.	4947

(I) A statement of a spouse's consent under division (B)(2)	4948
of this section to the form of a benefit or under division (H) of	4949
this section to a payment of contributions is valid only if signed	4950
by the spouse and witnessed by a notary public. The board may	4951
waive the requirement of spousal consent if the spouse is	4952
incapacitated or cannot be located, or for any other reason	4953
specified by the board. Consent or waiver is effective only with	4954
regard to the spouse who is the subject of the consent or waiver.	4955

(J) No amount received under this section shall be included	4956
in determining an additional benefit under section 145.323 of the	4957
Revised Code or any other post-retirement benefit increase.	4958

Sec. 145.39.  Whenever the limits established by section 415	4959
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	4960
U.S.C.A. 415, as amended, are raised, the public employees	4961
retirement board shall increase the amount of the pension,	4962
benefit, or allowance of any person whose pension, benefit, or	4963
allowance payable under section 145.323, 145.33, 145.331, 145.34,	4964
145.332, 145.36, or 145.361 or former section 145.34 of the	4965
Revised Code was limited by the application of section 415. The	4966
amount of the increased pension, benefit, or allowance shall not	4967
exceed the lesser of the amount the person would have received if	4968
the limits established by section 415 had not been applied or the	4969
amount the person is eligible to receive subject to the new limits	4970
established by section 415.	4971

Sec. 145.40.  (A)(1) Subject to the provisions of section	4972
145.57 of the Revised Code and except as provided in section	4973
145.402 of the Revised Code and division (B) of this section, if a	4974
member elects to become exempt from contribution to the public	4975
employees retirement system pursuant to section 145.03 of the	4976
Revised Code or ceases to be a public employee for any cause other	4977
than death, retirement, receipt of a disability benefit, or	4978
current employment in a position in which the member has elected	4979
to participate in an alternative retirement plan under section	4980
3305.05 or 3305.051 of the Revised Code, upon application the	4981
public employees retirement board shall pay the member the	4982
member's accumulated contributions, plus any applicable amount	4983
calculated under section 145.401 of the Revised Code, provided	4984
that both the following apply:	4985

(a) Three months have elapsed since the member's service	4986
subject to this chapter, other than service exempted from	4987
contribution pursuant to section 145.03 of the Revised Code, was	4988
terminated;	4989

(b) The member has not returned to service subject to this	4990
chapter, other than service exempted from contribution pursuant to	4991
section 145.03 of the Revised Code, during that three-month	4992
period.	4993

The payment of such accumulated contributions shall cancel	4994
the total service credit of such member in the public employees	4995
retirement system.	4996

(2) A member described in division (A)(1) of this section who	4997
is married at the time of application for payment and is eligible	4998
for age and service retirement under section 145.32, 145.33,	4999
145.331, or 145.34145.332 of the Revised Code or would be	5000
eligible for age and service retirement under any of those	5001
sections but for a forfeiture ordered under division (A) or (B) of	5002
section 2929.192 of the Revised Code shall submit with the	5003
application a written statement by the member's spouse attesting	5004
that the spouse consents to the payment of the member's	5005
accumulated contributions. Consent shall be valid only if it is	5006
signed and witnessed by a notary public.	5007

The board may waive the requirement of consent if the spouse	5008
is incapacitated or cannot be located, or for any other reason	5009
specified by the board. Consent or waiver is effective only with	5010
regard to the spouse who is the subject of the consent or waiver.	5011

(B) This division applies to any member who is employed in a	5012
position in which the member has made an election under section	5013
3305.05 or 3305.051 of the Revised Code and due to the election	5014
ceases to be a public employee for purposes of that position.	5015

Subject to section 145.57 of the Revised Code, the public	5016
employees retirement system shall do the following:	5017

(1) On receipt of a certified copy of a form evidencing an	5018
election under section 3305.05 or 3305.051 of the Revised Code,	5019
pay to the appropriate provider, in accordance with section	5020
3305.052 of the Revised Code, the amount described in section	5021
3305.052 of the Revised Code;	5022

(2) If a member has accumulated contributions, in addition to	5023
those subject to division (B)(1) of this section, standing to the	5024
credit of the member's individual account and is not otherwise	5025
employed in a position in which the member is considered a public	5026
employee for the purposes of that position, pay, to the provider	5027
the member selected pursuant to section 3305.05 or 3305.051 of the	5028
Revised Code, the member's accumulated contributions. The payment	5029
shall be made on the member's application.	5030

(C) Payment of a member's accumulated contributions under	5031
division (B) of this section cancels the member's total service	5032
credit in the public employees retirement system. A member whose	5033
accumulated contributions are paid to a provider pursuant to	5034
division (B) of this section is forever barred from claiming or	5035
purchasing service credit under the public employees retirement	5036
system for the period of employment attributable to those	5037
contributions.	5038

Sec. 145.401.  (A) As used in this section:

5039

(1) "Eligible contributions" means amounts contributed under	5040
section 145.47 of the Revised Code, amounts received from a member	5041
or transferred under section 145.20, 145.295, 145.302, or 145.44	5042
of the Revised Code, and any interest credited under section	5043
145.471 or 145.472 of the Revised Code. "Eligible contributions"	5044
does not include contributions that were used in the payment of a	5045
disability benefit or, as provided in rules adopted by the board,	5046
were refunded to a member because the system was not authorized to	5047
accept the contributions.	5048

(2) "Service, "service credit" means service credit earned	5049
for periods for which contributions were made under section 145.47	5050
of the Revised Code and, if applicable, periods for which service	5051
credit was purchased or transferredrestored under section 145.20,	5052
145.295, 145.302, or 145.44145.31 of the Revised Code.	5053

(B) If a member has, or at the time of death had, at least	5054
five years of service credit, the public employees retirement	5055
board shall include the amount specified in division (B)(1) or (2)	5056
of this sectionrules adopted by the board in the amount payable	5057
under section 145.40 of the Revised Code to the member, or under	5058
division (B) of section 145.43 of the Revised Code to a	5059
beneficiary or beneficiaries of the member, unless at the time of	5060
death the member was a disability benefit recipient. The amount	5061
specified in division (B)(1) or (2) of this sectionrules shall be	5062
paid from the employers' accumulation fund.	5063

(1) If the member has, or had at the time of death, at least	5064
five but less than ten years of service credit, the amount	5065
included shall be equal to thirty-three per cent of the member's	5066
eligible contributions.	5067

(2) If the member has, or had at the time of death, at least	5068
ten years of service credit, the amount included shall be equal to	5069
sixty-seven per cent of the member's eligible contributions(C)	5070
The public employees retirement board shall adopt rules under	5071
section 145.09 of the Revised Code specifying the additional	5072
amounts that may be provided a member under section 145.40 of the	5073
Revised Code or a beneficiary or beneficiaries under division (B)	5074
of section 145.43 of the Revised Code. The additional amounts may	5075
vary depending on the amount of service credit the member has	5076
accrued.	5077

Sec. 145.41.  Membership shall cease upon refund of	5078
accumulated contributions, death, or retirement except as provided	5079
in section 145.362 of the Revised Code. A member who separates	5080
from service for any reason other than death or retirement or who	5081
otherwise ceases to be a public employee for any reason other than	5082
death or retirement may leave the member's accumulated	5083
contributions on deposit with the public employees retirement	5084
board and, for the purposes of the public employees retirement	5085
system, be considered on a membership leave of absence. The	5086
member's membership rights shall continue until the member has	5087
withdrawn the member's accumulated contributions, retired on a	5088
retirement allowance as provided in section 145.33, 145.331, or	5089
145.34145.332 of the Revised Code, or died. The account of such a	5090
member shall remain in the employees' savings fund, except that	5091
the account of a member who has less than five calendar years of	5092
contributing service credit or is a member of the state teachers	5093
retirement system or the school employees retirement system may be	5094
transferred to the income fund if by the end of the fifth calendar	5095
year following the calendar year in which the last contribution	5096
was received the member has not died, claimed a refund of	5097
contributions, or requested the retirement board to continue the	5098
member's membership on a leave of absence basis. In case such a	5099
member later requests a refund, the member's account shall be	5100
restored to the employees' savings account and refunded therefrom.	5101
Members on such leaves of absence shall retain all rights,	5102
obligations, and privileges of membership in the public employees	5103
retirement system. A "contributor," as defined in division (F) of	5104
section 145.01 of the Revised Code, who formerly lost membership	5105
through termination of membership leave of absence and who has not	5106
withdrawn the contributor's account shall be reinstated as a	5107
member with all the rights, privileges, and obligations of	5108
membership in the system. In no case shall a member on leave of	5109
absence as provided in this section add to the member's total	5110
number of years of service credit by reason of such leave of	5111
absence, unless such member was receiving benefits from the state	5112
insurance fund and by reason of such benefits qualified for	5113
additional service credit as provided in division (H) of section	5114
145.01 of the Revised Code, or wasis eligible to and does make a	5115
payment as provided in section 145.291 of the Revised Code.	5116

Sec. 145.43.  (A) As used in this section and in section	5117
145.45 of the Revised Code:	5118

(1) "Child" means a biological or legally adopted child of a	5119
deceased member. If a court hearing for an interlocutory decree	5120
for adoption was held prior to the member's death, "child"	5121
includes the child who was the subject of the hearing	5122
notwithstanding the fact that the final decree of adoption,	5123
adjudging the surviving spouse as the adoptive parent, is made	5124
subsequent to the member's death.	5125

(2) "Parent" is a parent or legally adoptive parent of a	5126
deceased member.	5127

(3) "Dependent" means a beneficiary who receives one-half of	5128
the beneficiary's support from a member during the twelve months	5129
prior to the member's death.	5130

(4) "Surviving spouse" means an individual who establishes a	5131
valid marriage to a member at the time of the member's death by	5132
marriage certificate or pursuant to division (E) of this section.	5133

(5) "Survivor" means a surviving spouse, child, or parent.

5134

(6) "Accumulated contributions" has the meaning given in	5135
section 145.01 of the Revised Code, except that, notwithstanding	5136
that section, it does not include additional amounts deposited in	5137
the employees' savings fund pursuant to the version of division	5138
(C) of section 145.23 of the Revised Code as it existed	5139
immediately prior to the effective date of this amendmentApril 6,	5140
2007, or pursuant to section 145.62 of the Revised Code.	5141

(B) Except as provided in division (C)(1) of section 145.45	5142
of the Revised Code, should a member die before age and service	5143
retirement, the member's accumulated contributions and any	5144
applicable amount calculated under section 145.401 of the Revised	5145
Code, shall be paid to the person or persons the member has	5146
designated in writing duly executed on a form provided by the	5147
public employees retirement board, signed by the member, and filed	5148
with the board prior to the member's deathunder section 145.431	5149
of the Revised Code. A member may designate two or more persons as	5150
beneficiaries to be paid the accumulated account in a lump sum.	5151
Subject to rules adopted by the public employees retirement board,	5152
a member who designates two or more persons as beneficiaries under	5153
this division shall specify the percentage of the lump sum that	5154
each beneficiary is to be paid. If the member has not specified	5155
the percentages, the lump sum shall be divided equally among the	5156
beneficiaries.	5157

The last designation of any beneficiary revokes all previous	5158
designations. The member's marriage, divorce, marriage	5159
dissolution, legal separation, or withdrawal of account, or the	5160
birth of the member's child, or adoption of a child, shall	5161
constitute an automatic revocation of the member's previous	5162
designation. If a deceased member was also a member of the school	5163
employees retirement system or the state teachers retirement	5164
system, the beneficiary last established among the systems shall	5165
be the sole beneficiary in all the systems.	5166

If the accumulated contributions of a deceased member are not	5167
claimed by a beneficiary or by the estate of the deceased member	5168
within five years after the death, the contributions shall remain	5169
in the employees' savings fund or may be transferred to the income	5170
fund and thereafter shall be paid to the beneficiary or to the	5171
member's estate upon application to the board. The board shall	5172
formulate and adopt the necessary rules governing all designations	5173
of beneficiaries.	5174

(C) Except as provided in division (C)(1) of section 145.45	5175
of the Revised Code, if a member dies before age and service	5176
retirement and is not survived by a designated beneficiary, the	5177
following shall qualify, with all attendant rights and privileges,	5178
in the following order of precedence, the member's:	5179

(1) Surviving spouse;

5180

(2) Children, share and share alike;

5181

(3) A dependent parent, if that parent takes survivor	5182
benefits under division (B) of section 145.45 of the Revised Code;	5183

(4) Parents, share and share alike;

5184

(5) Estate.

5185

If the beneficiary is deceased or is not located within	5186
ninety days, the beneficiary ceases to qualify for any benefit and	5187
the beneficiary next in order of precedence shall qualify as a	5188
beneficiary.	5189

Any payment made to a beneficiary as determined by the board	5190
shall be a full discharge and release to the board from any future	5191
claims.	5192

(D) Any amount due a retirant or disability benefit recipient	5193
receiving a monthly benefit and unpaid to the retirant or	5194
recipient at death shall be paid to the beneficiary designated in	5195
writing on a form approved by the board, signed by the retirant or	5196
recipient and filed with the boardunder section 145.431 of the	5197
Revised Code. If no such designation has been filed, or if the	5198
designated beneficiary is not located within ninety days, any	5199
amounts payable under this chapter due to the death of the	5200
retirant or recipient shall be paid in the following order of	5201
precedence to the retirant's or recipient's:	5202

(1) Surviving spouse;

5203

(2) Children, share and share alike;

5204

(3) Parents, share and share alike;

5205

(4) Estate.

5206

The payment shall be a full discharge and release to the	5207
board from any future claim for the payment.	5208

Any amount due a beneficiary receiving a monthly benefit and	5209
unpaid to the beneficiary at the beneficiary's death shall be paid	5210
to the beneficiary's estate.	5211

(E) If the validity of marriage cannot be established to the	5212
satisfaction of the board for the purpose of disbursing any amount	5213
due under this section or section 145.45 of the Revised Code, the	5214
board may accept a decision rendered by a court having	5215
jurisdiction in the state in which the member was domiciled at the	5216
time of death that the relationship constituted a valid marriage	5217
at the time of death, or the "spouse" would have the same status	5218
as a widow or widower for purposes of sharing the distribution of	5219
the member's intestate personal property.	5220

(F) As used in this division, "recipient" means an individual	5221
who is receiving or may be eligible to receive an allowance or	5222
benefit under this chapter based on the individual's service to a	5223
public employer.	5224

If the death of a member, a recipient, or any individual who	5225
would be eligible to receive an allowance or benefit under this	5226
chapter by virtue of the death of a member or recipient is caused	5227
by one of the following beneficiaries, no amount due under this	5228
chapter to the beneficiary shall be paid to the beneficiary in the	5229
absence of a court order to the contrary filed with the board:	5230

(1) A beneficiary who is convicted of, pleads guilty to, or	5231
is found not guilty by reason of insanity of a violation of or	5232
complicity in the violation of either of the following:	5233

(a) Section 2903.01, 2903.02, or 2903.03 of the Revised Code;

5234

(b) An existing or former law of any other state, the United	5235
States, or a foreign nation that is substantially equivalent to	5236
section 2903.01, 2903.02, or 2903.03 of the Revised Code.	5237

(2) A beneficiary who is indicted for a violation of or	5238
complicity in the violation of the sections or laws described in	5239
division (F)(1)(a) or (b) of this section and is adjudicated	5240
incompetent to stand trial;	5241

(3) A beneficiary who is a juvenile found to be a delinquent	5242
child by reason of committing an act that, if committed by an	5243
adult, would be a violation of or complicity in the violation of	5244
the sections or laws described in division (F)(1)(a) or (b) of	5245
this section.	5246

Sec. 145.431. Designation of a beneficiary for the purposes	5247
of section 145.40 of the Revised Code or payment of benefits or	5248
return of contributions to the beneficiary of a member	5249
participating in a PERS defined contribution plan shall be made	5250
under this section. A beneficiary shall be designated in writing	5251
duly executed on a form provided by the public employees	5252
retirement board and signed by the member. A designation under	5253
this section is not valid unless received by the board prior to	5254
the member's death.	5255

A beneficiary designation made under this section applies to	5256
the PERS defined benefit plan or PERS defined contribution plan in	5257
which the member participated or, if the member participated in	5258
both the defined benefit plan and one or more defined contribution	5259
plans, to both the defined benefit plan and the defined	5260
contribution plans.	5261

The last designation of any beneficiary revokes all previous	5262
designations. The member's marriage, divorce, marriage	5263
dissolution, legal separation, or withdrawal of account, or the	5264
birth of the member's child, or adoption of a child, shall	5265
constitute an automatic revocation of the member's previous	5266
designation.	5267

Sec. 145.45.  Except as provided in division (C)(1) of this	5268
section, in lieu of accepting the payment of the accumulated	5269
account of a member who dies before service retirement, a	5270
beneficiary, as determined in this section or section 145.43 of	5271
the Revised Code, may elect to forfeit the accumulated	5272
contributions and to substitute certain other benefits under	5273
division (A) or (B) of this section.	5274

(A)(1) If a deceased member was eligible for a service	5275
retirement benefit as provided in section 145.33, 145.331, or	5276
145.34145.332 of the Revised Code, a surviving spouse or other	5277
sole dependent beneficiary may elect to receive a monthly benefit	5278
computed as the joint-survivor benefit designated as "plan DA"	5279
in section 145.46 of the Revised Code, which the member would have	5280
received had the member retired on the last day of the month of	5281
death and had the member at that time selected such joint-survivor	5282
plan. Payment shall begin with the month subsequent to the	5283
member's death, except that a surviving spouse who is less than	5284
sixty-five years old may defer receipt of such benefit. Upon	5285
receipt, the benefit shall be calculated based upon the spouse's	5286
age at the time of first payment, and shall accrue regular	5287
interest during the time of deferral.	5288

(2) Beginning on a date selected by the public employees	5289
retirement board, which shall be not later than July 1, 2004, a	5290
surviving spouse or other sole dependent beneficiary may elect, in	5291
lieu of a monthly payment under division (A)(1) of this section, a	5292
plan of payment consisting of both of the following:	5293

(a) A lump sum in an amount the surviving spouse or other	5294
sole dependent beneficiary designates that constitutes a portion	5295
of the allowance that would be payable under division (A)(1) of	5296
this section;	5297

(b) The remainder of that allowance in monthly payments.

5298

The total amount paid as a lump sum and a monthly benefit	5299
shall be the actuarial equivalent of the amount that would have	5300
been paid had the lump sum not been selected.	5301

The lump sum amount designated by the surviving spouse or	5302
other sole dependent beneficiary under division (A)(2)(a) of this	5303
section shall be not less than six times and not more than	5304
thirty-six times the monthly amount that would be payable to the	5305
surviving spouse or other sole dependent beneficiary under	5306
division (A)(1) of this section and shall not result in a monthly	5307
payment that is less than fifty per cent of that monthly amount.	5308

(B) If a deceased member had, except as provided in division	5309
(B)(7) of this section, at least one and one-half years of	5310
contributing service credit, with, except as provided in division	5311
(B)(7) of this section, at least one-quarter year of contributing	5312
service credit within the two and one-half years prior to the date	5313
of death, or was receiving at the time of death a disability	5314
benefit as provided in section 145.36, 145.361, or 145.37 of the	5315
Revised Code, qualified survivors who elect to receive monthly	5316
benefits shall receive the greater of the benefits provided in	5317
division (B)(1)(a) or (b) and (4) of this section as allocated in	5318
accordance with division (B)(5) of this section.	5319

	(1)(a) Number				Or		5320
	of Qualified				Monthly		5321
	survivors		Annual Benefit as a Per		Benefit		5322
	affecting		Cent of Decedent's Final		shall not be		5323
	the benefit		Average Salary		less than		5324
	1		25%		$250		5325
	2		40		400		5326
	3		50		500		5327
	4		55		500		5328
	5 or more		60		500		5329

	(b) Years of	Annual Benefit as a Per Cent		5330
	Service	of Member's Final Average		5331
		Salary		5332
	20	29%		5333
	21	33		5334
	22	37		5335
	23	41		5336
	24	45		5337
	25	48		5338
	26	51		5339
	27	54		5340
	28	57		5341
	29 or more	60		5342

(2) Benefits shall begin as qualified survivors meet	5343
eligibility requirements as follows:	5344

(a) A qualified spouse is the surviving spouse of the	5345
deceased member, who is age sixty-two, or regardless of age meets	5346
one of the following qualifications:	5347

(i) Except as provided in division (B)(7) of this section,	5348
the deceased member had ten or more years of Ohio service credit.	5349

(ii) The spouse is caring for a qualified child.

5350

(iii) The spouse is adjudged physically or mentally	5351
incompetent.	5352

A spouse of a member who died prior to August 27, 1970, whose	5353
eligibility was determined at the member's death, and who is	5354
physically or mentally incompetent on or after August 20, 1976,	5355
shall be paid the monthly benefit which that person would	5356
otherwise receive when qualified by age.	5357

(b) A qualified child is any child of the deceased member who	5358
has never been married and to whom one of the following applies:	5359

(i) Is under age eighteen, or under age twenty-two if the	5360
child is attending an institution of learning or training pursuant	5361
to a program designed to complete in each school year the	5362
equivalent of at least two-thirds of the full-time curriculum	5363
requirements of such institution and as further determined by	5364
board policy;	5365

(ii) Regardless of age, is adjudged physically or mentally	5366
incompetent at the time of the member's death.	5367

(c) A qualified parent is a dependent parent aged sixty-five	5368
or older or regardless of age if physically or mentally	5369
incompetent, a dependent parent whose eligibility was determined	5370
by the member's death prior to August 20, 1976, and who is	5371
physically or mentally incompetent on or after August 20, 1976,	5372
shall be paid the monthly benefit for which that person would	5373
otherwise qualify.	5374

(3) "Physically or mentally incompetent" as used in this	5375
section may be determined by a court of jurisdiction, or by a	5376
physician appointed by the retirement board. Incapability of	5377
making a living because of a physically or mentally disabling	5378
condition shall meet the qualifications of this division.	5379

(4) Benefits to a qualified survivor shall terminate upon	5380
ceasing to meet eligibility requirements as provided in this	5381
division, a first marriage, abandonment, adoption, or during	5382
active military service. Benefits to a deceased member's surviving	5383
spouse that were terminated under a former version of this section	5384
that required termination due to remarriage and were not resumed	5385
prior to September 16, 1998, shall resume on the first day of the	5386
month immediately following receipt by the board of an application	5387
on a form provided by the board.	5388

Upon the death of any subsequent spouse who was a member of	5389
the public employees retirement system, state teachers retirement	5390
system, or school employees retirement system, the surviving	5391
spouse of such member may elect to continue receiving benefits	5392
under this division, or to receive survivor's benefits, based upon	5393
the subsequent spouse's membership in one or more of the systems,	5394
for which such surviving spouse is eligible under this section or	5395
section 3307.66 or 3309.45 of the Revised Code. If the surviving	5396
spouse elects to continue receiving benefits under this division,	5397
such election shall not preclude the payment of benefits under	5398
this division to any other qualified survivor.	5399

Benefits shall begin or resume on the first day of the month	5400
following the attainment of eligibility and shall terminate on the	5401
first day of the month following loss of eligibility.	5402

(5)(a) If a benefit is payable under division (B)(1)(a) of	5403
this section, benefits to a qualified spouse shall be paid in the	5404
amount determined for the first qualifying survivor in division	5405
(B)(1)(a) of this section. All other qualifying survivors shall	5406
share equally in the benefit or remaining portion thereof.	5407

(b) All qualifying survivors shall share equally in a benefit	5408
payable under division (B)(1)(b) of this section, except that if	5409
there is a surviving spouse, the surviving spouse shall receive	5410
not less than the amount determined for the first qualifying	5411
survivor in division (B)(1)(a) of this section.	5412

(6) The beneficiary of a member who is also a member of the	5413
state teachers retirement system or of the school employees	5414
retirement system, must forfeit the member's accumulated	5415
contributions in those systems and in the public employees	5416
retirement system, if the beneficiary takes a survivor benefit.	5417
Such benefit shall be exclusively governed by section 145.37 of	5418
the Revised Code.	5419

(7) The following restrictions do not apply if the deceased	5420
member was contributing toward benefits under division (B) or (C)	5421
of section 145.33145.332 of the Revised Code at the time of	5422
death:	5423

(a) That the deceased member have had at least one and	5424
one-half years of contributing service credit, with at least	5425
one-quarter year of contributing service within the two and	5426
one-half years prior to the date of death;	5427

(b) If the deceased member was killed in the line of duty,	5428
that the deceased member have had ten or more years of Ohio	5429
service credit as described in division (B)(2)(a)(i) of this	5430
section.	5431

For the purposes of division (B)(7)(b) of this section,	5432
"killed in the line of duty," means either that death occurred in	5433
the line of duty or that death occurred as a result of injury	5434
sustained in the line of duty.	5435

(C)(1) Regardless of whether the member is survived by a	5436
spouse or designated beneficiary, if the public employees	5437
retirement system receives notice that a deceased member described	5438
in division (A) or (B) of this section has one or more qualified	5439
children, all persons who are qualified survivors under division	5440
(B) of this section shall receive monthly benefits as provided in	5441
division (B) of this section.	5442

If, after determining the monthly benefits to be paid under	5443
division (B) of this section, the system receives notice that	5444
there is a qualified survivor who was not considered when the	5445
determination was made, the system shall, notwithstanding section	5446
145.561 of the Revised Code, recalculate the monthly benefits with	5447
that qualified survivor included, even if the benefits to	5448
qualified survivors already receiving benefits are reduced as a	5449
result. The benefits shall be calculated as if the qualified	5450
survivor who is the subject of the notice became eligible on the	5451
date the notice was received and shall be paid to qualified	5452
survivors effective on the first day of the first month following	5453
the system's receipt of the notice.	5454

If the retirement system did not receive notice that a	5455
deceased member has one or more qualified children prior to making	5456
payment under section 145.43 of the Revised Code to a beneficiary	5457
as determined by the retirement system, the payment is a full	5458
discharge and release of the system from any future claims under	5459
this section or section 145.43 of the Revised Code.	5460

(2) If benefits under division (C)(1) of this section to all	5461
persons, or to all persons other than a surviving spouse or other	5462
sole beneficiary, terminate, there are no children under the age	5463
of twenty-two years, and the surviving spouse or beneficiary	5464
qualifies for benefits under division (A) of this section, the	5465
surviving spouse or beneficiary may elect to receive benefits	5466
under division (A) of this section. The benefits shall be	5467
effective on the first day of the month immediately following the	5468
termination.	5469

(D) The final average salary used in the calculation of a	5470
benefit payable pursuant to division (A) or (B) of this section to	5471
a survivor or beneficiary of a disability benefit recipient shall	5472
be adjusted for each year between the disability benefit's	5473
effective date and the recipient's date of death by the lesser of	5474
three per cent or the actual average percentage increase in the	5475
consumer price index prepared by the United States bureau of labor	5476
statistics (U.S. city average for urban wage earners and clerical	5477
workers: "all items 1982-84=100").	5478

(E) If the survivor benefits due and paid under this section	5479
are in a total amount less than the member's accumulated account	5480
that was transferred from the public employees' savings fund to	5481
the survivors' benefit fund, then the difference between the total	5482
amount of the benefits paid shall be paid to the beneficiary under	5483
section 145.43 of the Revised Code.	5484

Sec. 145.452. Upon the death of a member prior to receipt of	5485
service retirement, the surviving spouse or dependents of the	5486
deceased member shall have the right to purchase any service	5487
credit the member, had the member not died, would have been	5488
eligible to purchase under this chapter upon the same terms and	5489
conditions that the deceased member could have purchased such	5490
service credit had the member not diedThe surviving spouse of a	5491
member who dies on or after the effective date of this amendment	5492
may continue any service credit purchase the member initiated	5493
before death. A purchase shall be considered to have been	5494
initiated before the member's death if the member made one or more	5495
payments for the purchase before death. Any	5496

Any service credit purchased under this section shall be	5497
applied under the provisions of this chapter in the same manner as	5498
it would have been applied had it been purchased by the deceased	5499
member during the deceased member's lifetime.	5500

Sec. 145.46.  (A) A retirement allowance calculated under	5501
section 145.33, 145.331, or 145.34145.332 of the Revised Code	5502
shall be paid as provided in this section. If the member is	5503
eligible to elect a plan of payment under this section, the	5504
election shall be made on a form provided by the public employees	5505
retirement board. A plan of payment elected under this section	5506
shall be effective only if approved by the board, which shall	5507
approve it only if it is certified by an actuary engaged by the	5508
board to be the actuarial equivalent of the retirement allowance	5509
calculated under section 145.33, 145.331, or 145.34 of the Revised	5510
Code.	5511

(B)(1)(a) Except as provided in divisions (B)(1)(b) and (c)	5512
of this section, a member who retires under section 145.32,	5513
145.331, or 145.34 of the Revised Code shall receive a retirement	5514
allowance under "plan A," which shall consist of the actuarial	5515
equivalent of the member's retirement allowance determined under	5516
section 145.33, 145.331, or 145.34 of the Revised Code in a lesser	5517
amount payable for life and one-half of such allowance continuing	5518
after death to the member's surviving spouse for the life of the	5519
spouse.	5520

(b) A member may receive a retirement allowance under a plan	5521
of payment other than "plan A" if either of the following is the	5522
case:	5523

(i) The member is not married or either the member's spouse	5524
consents in writing to the member's election of a plan of payment	5525
other than "plan A" or the board waives the requirement that the	5526
spouse consent;	5527

(ii) A plan of payment providing for payment in a specified	5528
portion of the allowance continuing after the member's death to a	5529
former spouse is required by a court order issued under section	5530
3105.171 or 3105.65 of the Revised Code or the laws of another	5531
state regarding division of marital property prior to the	5532
effective date of the member's retirement.	5533

(c) If a member is subject to division (B)(1)(b)(ii) of this	5534
section and the board has received a copy of the order described	5535
in that division,Unless the member is required by division (C) of	5536
this section to select a specified plan of payment, a member may	5537
elect a plan of payment as provided in division (B)(1), (2), or	5538
(3) of this section. An election shall be made at the time the	5539
member makes application for retirement and on a form provided by	5540
the public employees retirement board. A plan of payment elected	5541
under this section shall be effective only if approved by the	5542
board, which shall approve it only if it is certified by an	5543
actuary engaged by the board to be the actuarial equivalent of the	5544
retirement allowance calculated under section 145.33, 145.331, or	5545
145.332 of the Revised Code.	5546

(B) The following plans of payment shall be offered by the	5547
public employees retirement system:	5548

(1) "Plan A," an allowance that consists of the actuarial	5549
equivalent of the member's retirement allowance determined under	5550
section 145.33, 145.331, or 145.332 of the Revised Code in a	5551
lesser amount payable for life and one-half or some other portion	5552
of the allowance continuing after death to the member's designated	5553
beneficiary for the beneficiary's life. The beneficiary shall be	5554
nominated by written designation filed with the retirement board.	5555
The amount payable to the beneficiary shall not exceed the amount	5556
payable to the member.	5557

(2) "Plan B," the member's retirement allowance determined	5558
under section 145.33, 145.331, or 145.332 of the Revised Code;	5559

(3) "Plan C," an allowance that consists of the actuarial	5560
equivalent of the member's retirement allowance determined under	5561
section 145.33, 145.331, or 145.332 of the Revised Code in a	5562
lesser amount payable to the retirant for life and some portion of	5563
the lesser amount continuing after death to two, three, or four	5564
surviving beneficiaries designated at the time of the member's	5565
retirement. Unless required under division (C) of this section, no	5566
portion allocated under this plan of payment shall be less than	5567
ten per cent. The total of the portions allocated shall not exceed	5568
one hundred per cent of the member's lesser allowance.	5569

(C) A member shall select a plan of payment as follows:

5570

(1) Subject to division (C)(2) of this section, if the member	5571
is married at the time of retirement, the member shall select	5572
"plan A" and receive a plan of payment that consists of the	5573
actuarial equivalent of the member's retirement allowance	5574
determined under section 145.33, 145.331, or 145.332 of the	5575
Revised Code in a lesser amount payable for life and one-half of	5576
such allowance continuing after death to the member's surviving	5577
spouse for the life of the spouse. A married member is not	5578
required to select this plan of payment if the member's spouse	5579
consents in writing to the member's election of a plan of payment	5580
other than described in this division or the board waives the	5581
requirement that the spouse consent;	5582

(2) If prior to the effective date of the member's	5583
retirement, the public employees retirement board receives a copy	5584
of a court order issued under section 3105.171 or 3105.65 of the	5585
Revised Code or the laws of another state regarding division of	5586
marital property the board shall accept the member's election of a	5587
plan of payment under this section only if the member complies	5588
with both of the following:	5589

(i)(a) The member elects a plan of payment that is in	5590
accordance with the order described in division (B)(1)(b)(ii) of	5591
this section.	5592

(ii)(b) If the member is married, the member elects "plan F"	5593
"plan C" and designates the member's current spouse as a	5594
beneficiary under that plan unless that spouse consents in writing	5595
to not being designated a beneficiary under any plan of payment or	5596
the board waives the requirement that the current spouse consent.	5597

(2)(D) An application for retirement shall include an	5598
explanation of all of the following:	5599

(a)(1) That, if the member is married, unless the spouse	5600
consents to another plan of payment or there is a court order	5601
dividing marital property issued under section 3105.171 or 3105.65	5602
of the Revised Code or the laws of another state regarding the	5603
division of marital property that provides for payment in a	5604
specified amount, the member's retirement allowance will be paid	5605
under "plan A," which consistsand consist of the actuarial	5606
equivalent of the member's retirement allowance in a lesser amount	5607
payable for life and one-half of the allowance continuing after	5608
death to the surviving spouse for the life of the spouse;	5609

(b) A description of the alternative plans of payment,	5610
including all plans described in divisionsdivision (B)(2) and (3)	5611
of this section, available with the consent of the spouse;	5612

(c) That the spouse may consent to another plan of payment	5613
and the procedure for giving consent;	5614

(d) That consent is irrevocable once notice of consent is	5615
filed with the board.	5616

Consent shall be valid only if it is signed, in writing, and	5617
witnessed by a notary public. The board may waive the requirement	5618
of consent if the spouse is incapacitated or cannot be located or	5619
for any other reason specified by the board. Consent or waiver is	5620
effective only with regard to the spouse who is the subject of the	5621
consent or waiver.	5622

(3) A member eligible to elect to receive the member's	5623
retirement allowance under a plan of payment other than "plan A"	5624
shall receive the member's retirement allowance under the plan	5625
described in division (B)(4) of this section or one of the	5626
following plans:	5627

(a) "Plan B," which shall consist of an allowance determined	5628
under section 145.33, 145.331, or 145.34 of the Revised Code;	5629

(b) "Plan C," which shall consist of the actuarial equivalent	5630
of the member's retirement allowance determined under section	5631
145.33, 145.331, or 145.34 of the Revised Code in a lesser amount	5632
payable for life and one-half or some other portion of the	5633
allowance continuing after death to the member's sole surviving	5634
beneficiary designated at the time of the member's retirement,	5635
provided that the amount payable to the beneficiary does not	5636
exceed the amount payable to the member;	5637

(c) "Plan D," which shall consist of the actuarial equivalent	5638
of the member's retirement allowance determined under section	5639
145.33, 145.331, or 145.34 of the Revised Code in a lesser amount	5640
payable for life and continuing after death to a surviving	5641
beneficiary designated at the time of the member's retirement;	5642

(d) "Plan E," which shall consist of the actuarial equivalent	5643
of the member's retirement allowance determined under section	5644
145.33, 145.331, or 145.34 of the Revised Code in a lesser amount	5645
payable for a certain period from the member's retirement date as	5646
elected by the member and approved by the retirement board, and on	5647
the member's death before the expiration of that certain period	5648
the member's lesser retirement allowance payable for the remainder	5649
of that period to the member's surviving designated beneficiary	5650
nominated by written designation filed with the retirement board.	5651

Should the nominated beneficiary designated in writing die	5652
prior to the expiration of the guarantee period, then for the	5653
purpose of completing payment for the remainder of the guarantee	5654
period, the present value of such payments shall be paid to the	5655
estate of the beneficiary last receiving.	5656

(e) "Plan F," which shall consist of the actuarial equivalent	5657
of the member's retirement allowance determined under section	5658
145.33, 145.331, or 145.34 of the Revised Code in a lesser amount	5659
payable to the retirant for life and some portion of the lesser	5660
amount continuing after death to two, three, or four surviving	5661
beneficiaries designated at the time of the member's retirement.	5662
The portion of the lesser allowance that continues after the	5663
member's death shall be allocated among the beneficiaries at the	5664
time of the member's retirement. If the member elects this plan as	5665
required by a court order issued under section 3105.171 or 3105.65	5666
of the Revised Code or the laws of another state regarding the	5667
division of marital property and compliance with the court order	5668
requires the allocation of a portion less than ten per cent to any	5669
beneficiary, the member shall allocate a portion less than ten per	5670
cent to that beneficiary in accordance with that order. In all	5671
other circumstances, no portion allocated under this plan of	5672
payment shall be less than ten per cent. The total of the portions	5673
allocated shall not exceed one hundred per cent of the member's	5674
lesser allowance.	5675

(4)(a)(E)(1) Beginning on a date selected by the retirement	5676
board, which shall be not later than July 1, 2004, a member may	5677
elect to receive a retirement allowance under a plan of payment	5678
consisting of both a lump sum in an amount the member designates	5679
that constitutes a portion of the member's retirement allowance	5680
under a plan described in division (B) of this section and the	5681
remainder as a monthly allowance under that plan.	5682

The total amount paid as a lump sum and a monthly benefit	5683
shall be the actuarial equivalent of the amount that would have	5684
been paid had the lump sum not been selected.	5685

(b)(2) The lump sum designated by a member shall be not less	5686
than six times and not more than thirty-six times the monthly	5687
amount that would be payable to the member under the plan of	5688
payment elected under division (B)(4)(a) of this section had the	5689
lump sum not been elected and shall not result in a monthly	5690
allowance that is less than fifty per cent of that monthly amount.	5691

(5) An election under division (B)(3) or (4) of this section	5692
shall be made at the time the member makes application for	5693
retirement.	5694

(6) A member eligible to elect to receive the member's	5695
retirement allowance under a plan of payment other than "plan A"	5696
because the member is unmarried who fails to make an election on	5697
retirement shall receive the member's retirement allowance under	5698
"plan B."	5699

(C)(F) If the retirement allowances, as a single life annuity	5700
or payment plan as provided in this section, due and paid are in a	5701
total amount less than (1) the accumulated contributions, and (2)	5702
other deposits made by the member as provided by this chapter,	5703
standing to the credit of the member at the time of retirement,	5704
then the difference between the total amount of the allowances	5705
paid and the accumulated contributions and other deposits shall be	5706
paid to the beneficiary provided under division (D) of section	5707
145.43 of the Revised Code.	5708

(D)(G)(1) The death of a spouse or any designated beneficiary	5709
following retirement shall cancel the portion of the plan of	5710
payment providing continuing lifetime benefits to the deceased	5711
spouse or deceased designated beneficiary. The retirant shall	5712
receive the actuarial equivalent of the retirant's single lifetime	5713
benefit, as determined by the board, based on the number of	5714
remaining beneficiaries, with no change in the amount payable to	5715
any remaining beneficiary. The change shall be effective the month	5716
following receipt by the board of notice of the death.	5717

(2) On divorce, annulment, or marriage dissolution, a	5718
retirant receiving a retirement allowance under a plan that	5719
provides for continuation of all or part of the allowance after	5720
death for the lifetime of the retirant's surviving spouse may,	5721
with the written consent of the spouse or pursuant to an order of	5722
the court with jurisdiction over the termination of the marriage,	5723
elect to cancel the portion of the plan providing continuing	5724
lifetime benefits to that spouse. The retirant shall receive the	5725
actuarial equivalent of the retirant's single lifetime benefit as	5726
determined by the retirement board based on the number of	5727
remaining beneficiaries, with no change in amount payable to any	5728
remaining beneficiary. The election shall be made on a form	5729
provided by the board and shall be effective the month following	5730
its receipt by the board.	5731

(E)(H)(1) Following a marriage or remarriage, both of the	5732
following apply:	5733

(a) A retirant who is receiving the retirant's retirement	5734
allowance under "plan B" may elect a new plan of payment under	5735
division (B)(1), (3)(b), or (3)(c) of this section based on the	5736
actuarial equivalent of the retirant's single lifetime benefit as	5737
determined by the board.	5738

(b) A retirant who is receiving a retirement allowance	5739
pursuant to a plan of payment providing for payment to a former	5740
spouse pursuant to a court order described in division	5741
(B)(1)(b)(ii)(C)(2) of this section may elect a new plan of	5742
payment under "plan F""plan C" based on the actuarial equivalent	5743
of the retirant's single lifetime retirement allowance as	5744
determined by the board if the new plan of payment elected does	5745
not reduce the payment to the former spouse.	5746

(2) If the marriage or remarriage occurs on or after the	5747
effective date of this amendmentJune 6, 2005, the election must	5748
be made not later than one year after the date of the marriage or	5749
remarriage.	5750

The plan elected under this division shall become effective	5751
on the date of receipt by the board of an application on a form	5752
approved by the board, but any change in the amount of the	5753
retirement allowance shall commence on the first day of the month	5754
following the effective date of the plan.	5755

(F)(I) Any person who, prior to July 24, 1990, selected an	5756
optional plan of payment at retirement that provided for a return	5757
to the single life benefit after the designated beneficiary's	5758
death shall have the retirant's benefit adjusted to the optional	5759
plan equivalent without such provision.	5760

(G)(J) A retirant's receipt of the first month's retirement	5761
allowance constitutes the retirant's final acceptance of the plan	5762
of payment and may be changed only as provided in this chapter.	5763

Sec. 145.461.  As used in this section, "benefit" means any	5764
allowance, pension, or other benefit to which an individual is	5765
entitled and that hethe individual receives under section 145.32,	5766
145.33, 145.34, 145.36, 145.37, 145.45, or 145.46 or former	5767
section 145.34 of the Revised Code.	5768

Effective July 1, 1981:

5769

(A) The annual amount of each benefit for which eligibility	5770
was established prior to January 1, 1977 shall, after the	5771
adjustment required by section 145.323 of the Revised Code, be	5772
increased by six per cent or six hundred dollars, whichever is	5773
less.	5774

(B) The annual amount of each benefit for which eligibility	5775
was established on or after January 1, 1977 but prior to January	5776
1, 1980 shall, after the adjustment required by section 145.323 of	5777
the Revised Code, be increased by four per cent or four hundred	5778
dollars, whichever is less.	5779

Sec. 145.462.  As used in this section, "benefit" means any	5780
allowance, pension, or other benefit to which an individual is	5781
entitled and that hethe individual receives pursuant to section	5782
145.32, 145.33, 145.34145.332, 145.36, 145.37, 145.45, or 145.46	5783
or former section 145.34 of the Revised Code.	5784

The annual amount of each benefit which was payable prior to	5785
February 1, 1984, shall, after the adjustment required by section	5786
145.323 of the Revised Code, be increased by five per cent.	5787

Sec. 145.47.  (A) Each public employee who is a contributor	5788
to the public employees retirement system shall contribute eight	5789
per cent of the contributor's earnable salary to the employees'	5790
savings fund, except that the public employees retirement board	5791
may raise the contribution rate to a rate not greater than ten per	5792
cent of the employee's earnable salary.	5793

(B) The head of each state department, institution, board,	5794
and commission, and the fiscal officer of each local authority	5795
subject to this chapter, shall deduct from the earnable salary of	5796
each contributor on every payroll of such contributor for each	5797
payroll period subsequent to the date of coverage, an amount equal	5798
to the applicable per cent of the contributor's earnable salary.	5799
The head of each state department and the fiscal officer of each	5800
local authority subject to this chapter shall transmit promptly to	5801
the system a report of contributions at such intervals and in such	5802
form as the system shall require, showing thereon all deductions	5803
for the system made from the earnable salary of each contributor	5804
employed, together with warrants, checks, or electronic payments	5805
covering the total of such deductions. A penalty shall be added	5806
when such report, together with warrants, checks, or electronic	5807
payments to cover the total amount due from the earnable salary of	5808
all amenable employees of such employer, is filed thirty or more	5809
days after the last day of such reporting period. The system,	5810
after making a record of all receipts under this division, shall	5811
deposit the receipts with the treasurer of state for use as	5812
provided by this chapter.	5813

(C) Unless the board adopts a rule under division (D) of this	5814
section, the penalty described in division (B) of this section for	5815
failing to timely transmit a report, pay the total amount due, or	5816
both is as follows:	5817

(1) At least one but not more than ten days past due, an	5818
amount equal to one per cent of the total amount due;	5819

(2) At least eleven but not more than thirty days past due,	5820
an amount equal to two and one-half per cent of the total amount	5821
due;	5822

(3) Thirty-one or more days past due, an amount equal to five	5823
per cent of the total amount due.	5824

The penalty described in this division shall be added to and	5825
collected on the next succeeding regular employer billing.	5826
Interest at a rate set by the retirement board shall be charged on	5827
the amount of the penalty in case such penalty is not paid within	5828
thirty days after it is added to the regular employer billing.	5829

(D) The board may adopt rules to establish penalties in	5830
amounts that do not exceed the amounts specified in divisions	5831
(C)(1) to (3) of this section.	5832

(E) In addition to the periodical reports of deduction	5833
required by this section, the fiscal officer of each local	5834
authority subject to this chapter shall submit to the system at	5835
least once each year a complete listing of all noncontributing	5836
appointive employees. Where an employer fails to transmit	5837
contributions to the system, the system may make a determination	5838
of the employees' liability for contributions and certify to the	5839
employer the amounts due for collection in the same manner as	5840
payments due the employers' accumulation fund. Any amounts so	5841
collected shall be held in trust pending receipt of a report of	5842
contributions for such public employees for the period involved as	5843
provided by law and, thereafter, the amount in trust shall be	5844
transferred to the employees' savings fund to the credit of the	5845
employees. Any amount remaining after the transfer to the	5846
employees' savings fund shall be transferred to the employers'	5847
accumulation fund as a credit of such employer.	5848

(F) The fiscal officer of each local authority subject to	5849
this chapter shall require each new contributor to submit to the	5850
system a detailed report of all the contributor's previous service	5851
as a public employee along with such other facts as the board	5852
requires for the proper operation of the system.	5853

(G) Any member who, because of the member's own illness,	5854
injury, or other reason which may be approved by the member's	5855
employer is prevented from making the member's contribution to the	5856
system for any payroll period, may pay such deductions as a back	5857
paymentpurchase service credit for the period of absence within	5858
one year. Credit shall be purchased under this division in	5859
accordance with section 145.29 of the Revised Code.	5860

Sec. 145.473.  (A) Except as provided in division (C) of this	5861
section, theThe rate of interest credited to individual accounts	5862
of contributors under sections 145.471 and 145.472 of the Revised	5863
Code shall be as follows:	5864

(1) Four per cent per annum, compounded annually, to and	5865
including December 31, 1955;	5866

(2) Three per cent per annum, compounded annually, from	5867
January 1, 1956, to and including December 31, 1963;	5868

(3) Three and one-quarter per cent per annum, compounded	5869
annually, from January 1, 1964, to and including December 31,	5870
1969;	5871

(4) Four per cent per annum, compounded annually, from	5872
January 1, 1970, to and including the day before December 13,	5873
2000;	5874

(5) An amount determined by the public employees retirement	5875
board that is not greater than six per cent per annum, compounded	5876
annually, on and after December 13, 2000.	5877

(B) Except as provided in division (C) of this section, for	5878
For the purpose of determining the reserve value of a	5879
contributor's annuity, the rate of interest shall be as follows:	5880

(1) Four per cent per annum, compounded annually, for	5881
contributors retiring before October 1, 1956;	5882

(2) Three per cent per annum, compounded annually, for	5883
contributors retiring on or after October 1, 1956, but before	5884
January 1, 1964;	5885

(3) Three and one-quarter per cent per annum, compounded	5886
annually, for contributors retiring on or after January 1, 1964,	5887
but before January 1, 1970;	5888

(4) Four per cent per annum, compounded annually, for	5889
contributors retiring on or after January 1, 1970, but before	5890
December 13, 2000;	5891

(5) An amount determined by the board based on the	5892
recommendation of the board's actuary, compounded annually, for	5893
contributors retiring on or after December 13, 2000.	5894

(C) For a PERS retirant who is not subject to division (C) of	5895
section 145.38 of the Revised Code or an other system retirant, as	5896
those terms are defined in section 145.38 of the Revised Code, or	5897
a member of the public employees retirement system who retires in	5898
accordance with section 145.383 of the Revised Code, the rate of	5899
interest shall be the current actuarial assumption rate of	5900
interest, as determined by the board's actuary, for the purposes	5901
described in divisions (A) and (B) of this section.	5902

Sec. 145.48.  (A) Each employer shall pay to the public	5903
employees retirement system an amount that shall be a certain per	5904
cent of the earnable salary of all contributors to be known as the	5905
"employer contribution," except that the public employees	5906
retirement board may raise the employer contribution to a rate not	5907
to exceed fourteen per cent of the earnable salaries of all	5908
contributors.	5909

(B)(1) On the basis of regular interest and of such mortality	5910
and other tables as are adopted by the public employees retirement	5911
board, the actuary for the board shall determine the liabilities	5912
and employer rates of contribution as follows:	5913

(a) The percentage of earnable salary that, when added to the	5914
per cent of earnable salary contributed by each member, will cover	5915
the costs of benefits to be paid to members for each year of	5916
service rendered;	5917

(b) The percentage of earnable salary that, if paid over a	5918
period of future years, will discharge fully the system's unfunded	5919
actuarial accrued pension liability;	5920

(c) The percentage of earnable salary designated by the board	5921
to pay benefits authorized under section 145.58 of the Revised	5922
Code.	5923

(2) If recognized assets exceed the liabilities for service	5924
previously rendered, on approval of the board, a percentage of	5925
earnable salary may be deducted from the employer rates of	5926
contribution that, if deducted annually over a period of future	5927
years, will eliminate the excess.	5928

(C) Any publicly owned utility that became subject to this	5929
chapter subsequent to July 1, 1938, shall assume before January 1,	5930
1967, the obligation to pay those of its employees entitled to any	5931
prior service credit a pension for such service that is in an	5932
amount at least equal to the pension provided for other public	5933
employees under this chapter. No employers' contributions for	5934
prior service credit shall be required of such publicly owned	5935
utility. The public employees retirement system has no obligation	5936
to pay a prior service pension to any such employees of a publicly	5937
owned utility, nor is it obligated to grant any service credit for	5938
service with such utility prior to May 1, 1942, or prior to the	5939
date such utility became subject to this chapter, whichever is the	5940
later date.	5941

Sec. 145.483.  Upon a finding that an employer failed to	5942
deduct contributions pursuant to section 145.47 of the Revised	5943
Code during a period of employment for which such contributions	5944
were required, a statement of delinquent contributions shall be	5945
prepared showing the amount the contributor and employer would	5946
have contributed had regular payroll deductions been taken. Simple	5947
interest from the end of each calendar year at a rate set by the	5948
public employees retirement boardequal to the assumed actuarial	5949
rate of interest at the time the statement is prepared shall be	5950
included. If delinquent contribution statements are not paid not	5951
later than thirty days after the end of the month in which they	5952
become an obligation of the employer, any balance remaining shall	5953
be collected with penalties and interest pursuant to section	5954
145.51 of the Revised Code.	5955

Any amount paid under this section by an employer shall be	5956
credited in accordance with section 145.23 of the Revised Code.	5957

Sec. 145.49. (A) Notwithstanding section 145.47 of the	5958
Revised Code:	5959

(1) The public employees retirement system shall be	5960
authorized to calculate the employee contribution rates separately	5961
for those public employees contributing toward benefits as PERS	5962
public safety officers under section 145.33145.332 of the Revised	5963
Code.	5964

(2) Each public employee contributing toward benefits as PERS	5965
law enforcement officers under section 145.33145.332 of the	5966
Revised Code shall contribute to the employees' savings fund the	5967
rate determined under division (A)(1) of this section plus an	5968
additional percentage specified by the public employees retirement	5969
board, which shall initially be one per cent of the employee's	5970
earnable salary and shall not be increased to more than two per	5971
cent of the employee's earnable salary.	5972

(B) Notwithstanding section 145.48 of the Revised Code, the	5973
public employees retirement system shall be authorized to	5974
calculate the employer contribution rates separately for those	5975
public employees contributing toward benefits as PERS public	5976
safety officers under section 145.33145.332 of the Revised Code	5977
or as PERS law enforcement officers under that section, except	5978
that the employer contribution rate shall not exceed eighteen and	5979
one-tenth per cent of the earnable salaries of those employees.	5980

Sec. 145.51. (A) Each employer described in division (D) of	5981
section 145.01 of the Revised Code shall pay into the employers'	5982
accumulation fund, in monthly installments, an amount certified by	5983
the public employees retirement board, which equals the employer	5984
obligation as described in section 145.12 or 145.69 of the Revised	5985
Code. In addition, the board shall add to the employer billing	5986
next succeeding the amount, with interest, to be paid by the	5987
employer to provide the member with contributing service credit	5988
for the service prior to the date of initial contribution to the	5989
system for which the member has made additional payments, except	5990
payments made pursuant to former section 145.29 or sections 145.28	5991
and 145.29145.292 of the Revised Code.	5992

(B) Except as provided in section 145.52 of the Revised Code,	5993
all employer obligations described in division (A) of this section	5994
must be received by the public employees retirement system not	5995
later than the thirtieth day after the last day of the calendar	5996
month for which related member contributions are withheld.	5997

(C) Unless the board adopts a rule under division (F) of this	5998
section establishing a different interest rate or penalty,	5999
interest and penalties for failing to pay the employer obligation	6000
when due under division (B) of this section shall be as follows:	6001

(1) Interest, compounded annually and charged monthly, for	6002
each day after the due date that the employer obligation remains	6003
unpaid in an amount equal to six per cent per annum of the past	6004
due amount of the employer obligation and any penalties imposed	6005
under this section;	6006

(2) The penalty for failing to pay the employer obligation	6007
when due under division (B) is as follows:	6008

(a) At least eleven but not more than thirty days past due,	6009
an amount equal to one per cent of the past due obligation;	6010

(b) At least thirty-one but not more than sixty days past	6011
due, an additional amount equal to one and one-half per cent of	6012
the past due obligation;	6013

(c) Sixty-one or more days past due, an additional amount	6014
equal to two and one-half per cent of the past due obligation.	6015

(D) The aggregate of all payments by employers under this	6016
section shall be sufficient, when combined with the amount in the	6017
employers' accumulation fund, to provide amounts payable under	6018
this chapter out of the fund, and if not, the additional amount so	6019
required shall be collected by means of an increased rate per	6020
cent, which shall be certified to such employers by the board.	6021

(E) Upon certification by the board to the director of budget	6022
and management, or to the county auditor, of an amount due from an	6023
employer within any county who is subject to this chapter, by	6024
reason of such employer's delinquency in making payments into the	6025
employers' accumulation fund for past billings, such amount shall	6026
be withheld from such employer from any funds subject to the	6027
control of the director or the county auditor to such employer and	6028
shall be paid to the public employees retirement system.	6029

(F) The board may adopt rules to do any of the following:

6030

(1) Establish interest at a rate that does not exceed the	6031
annual rate described in division (C)(1) of this section;	6032

(2) Establish penalties in amounts that do not exceed the	6033
amounts described in division (C)(2) of this section;	6034

(3) Permit the board to lengthen the periods of time or enter	6035
into repayment agreements for employers to comply with divisions	6036
(B) and (C) of this section.	6037

Sec. 145.54.  The public employees retirement board shall	6038
estimate annually the amount required to defray the expenses of	6039
the administration of the public employees retirement system in	6040
the ensuing year. If in the judgment of the board, as evidenced by	6041
a resolution of that board in its minutes, the amount in the	6042
income fund exceeds the amount necessary to cover the ordinary	6043
requirements of that fund, the board may transfer to the expense	6044
fund such excess amount not exceeding the entire amount required	6045
to cover the expenses as estimated for the year. TheIf the amount	6046
in the expense fund, including any amount transferred from the	6047
income fund, is not sufficient to defray the expenses of	6048
administration of the system in the ensuing year, the board may	6049
then apportiontransfer any remaining amount required for the	6050
expense fund for the year then current among contributors. The	6051
amount so apportioned in any year shall not exceed three dollars	6052
per contributorto that fund from the employer's accumulation	6053
fund.	6054

Sec. 145.56.  The right of an individual to a pension, an	6055
annuity, or a retirement allowance itself, the right of an	6056
individual to any optional benefit, any other right accrued or	6057
accruing to any individual, under this chapter, or under any	6058
municipal retirement system established subject to this chapter	6059
under the laws of this state or any charter, the various funds	6060
created by this chapter, or under such municipal retirement	6061
system, and all moneys, investments, and income from moneys or	6062
investments are exempt from any state tax, except the tax imposed	6063
by section 5747.02 of the Revised Code, and are exempt from any	6064
county, municipal, or other local tax, except income taxes imposed	6065
pursuant to section 5748.02, 5748.08, or 5748.09 of the Revised	6066
Code, and, except as provided in sections 145.57, 145.572,	6067
145.573, 145.574, 3105.171, 3105.65, and 3115.32 and Chapters	6068
3119., 3121., 3123., and 3125. of the Revised Code, shall not be	6069
subject to execution, garnishment, attachment, the operation of	6070
bankruptcy or insolvency laws, or other process of law whatsoever,	6071
and shall be unassignable except as specifically provided in this	6072
chapter and sections 3105.171, 3105.65, and 3115.32 and Chapters	6073
3119., 3121., 3123., and 3125. of the Revised Code.	6074

Sec. 145.561. (A) Except as provided in division (B) of this	6075
section and section 145.363, 145.573, or 145.574 of the Revised	6076
Code, the granting of a retirement allowance, annuity, pension, or	6077
other benefit to any person pursuant to action of the public	6078
employees retirement board vests a right in such person, so long	6079
as the person remains the recipient of any benefit of the funds	6080
established by section 145.23 of the Revised Code, to receive such	6081
retirement allowance, annuity, pension, or other benefit at the	6082
rate fixed at the time of granting such retirement allowance,	6083
annuity, pension, or other benefit. Such right shall also be	6084
vested with equal effect in the recipient of a grant heretofore	6085
made from any of the funds named in section 145.23 of the Revised	6086
Code.	6087

(B) This section does not apply to an increase made under	6088
section 145.323 of the Revised Code on or after the effective date	6089
of this amendment.	6090

Sec. 145.563. If theNotwithstanding section 145.561 of the	6091
Revised Code:	6092

(A) The public employees retirement system may adjust an	6093
allowance or benefit payable under this chapter if an error	6094
occurred in calculation of the allowance or benefit;	6095

(B) If any person who is a member, former member,	6096
contributor, former contributor, retirant, beneficiary, or	6097
alternate payee, as defined in section 3105.80 of the Revised	6098
Code, is paid any benefit or payment by the public employees	6099
retirement system, including any payment made to a third party on	6100
the person's behalf, to which the person is not entitled, the	6101
benefit or payment shall be repaid to the retirement system by the	6102
person or third party. If the person or third party fails to make	6103
the repayment, the retirement system shall withhold the amount or	6104
a portion of the amount due from any benefit or payment due the	6105
person or the person's beneficiary under this chapter, or may	6106
collect the amount in any other manner provided by law.	6107

Sec. 145.574.  Notwithstanding any other provision of this	6108
chapter, any right of a member of the public employees retirement	6109
system to a disability benefit is subject to a forfeiture order	6110
issued under section 2929.194 of the Revised Code.	6111

If the retirement system receives notice under section	6112
2901.431 of the Revised Code that felony charges have been filed	6113
against a member, the retirement system shall not grant the member	6114
a disability benefit unless it determines that the member's	6115
disability was not caused by commission of the felony. If the	6116
member has disability coverage under this chapter or was granted a	6117
disability benefit after the date on which the felony was	6118
committed, the retirement system shall notify the prosecutor who	6119
sent the notice under section 2901.431 of the Revised Code that	6120
the member may be subject to an order of forfeiture under section	6121
2929.194 of the Revised Code.	6122

On receipt under section 2929.194 of the Revised Code of a	6123
journal entry showing an order of forfeiture of any right a member	6124
may have to a disability benefit, the retirement system shall	6125
comply with the order. If a disability benefit was granted prior	6126
to receipt of the order, the retirement system shall terminate the	6127
benefit. Any disability benefit paid to the member prior to its	6128
termination may be recovered in accordance with section 145.563 of	6129
the Revised Code.	6130

Neither this section nor section 2929.194 of the Revised Code	6131
precludes a member from withdrawing the member's accumulated	6132
contributions in accordance with section 145.40 of the Revised	6133
Code if the member is not subject to section 145.572 or 2929.193	6134
of the Revised Code.	6135

Sec. 145.58.  (A) As used in this section, "ineligible	6136
individual" means all of the following:	6137

(1) A former member receiving benefits pursuant to section	6138
145.32, 145.33, 145.331, 145.34, or 145.46 of the Revised Code for	6139
whom eligibility is established more than five years after June	6140
13, 1981, and who, at the time of establishing eligibility, has	6141
accrued less than ten years' service credit, exclusive of credit	6142
obtained pursuant to section 145.297 or 145.298 of the Revised	6143
Code, credit obtained after January 29, 1981, pursuant to section	6144
145.293 or 145.301 of the Revised Code, and credit obtained after	6145
May 4, 1992, pursuant to section 145.28 of the Revised Code;	6146

(2) The spouse of the former member;

6147

(3) The beneficiary of the former member receiving benefits	6148
pursuant to section 145.46 of the Revised CodeThe public	6149
employees retirement board shall adopt rules establishing	6150
eligibility for any coverage provided under this section. The	6151
rules shall base eligibility on years and types of service credit	6152
earned by members. Eligibility determinations shall be made in	6153
accordance with the rules, except that an individual who, as a	6154
result of making a false statement in an attempt to secure a	6155
benefit under this section, is convicted of violating section	6156
2921.13 of the Revised Code is ineligible for coverage.	6157

(B) The public employees retirement board may enter into	6158
agreements with insurance companies, health insuring corporations,	6159
or government agencies authorized to do business in the state for	6160
issuance of a policy or contract of health, medical, hospital, or	6161
surgical benefits, or any combination thereof, for thoseeligible	6162
individuals receiving age and service retirement or a disability	6163
or survivor benefit subscribing to the plan, or for PERS retirants	6164
employed under section 145.38 of the Revised Code, for coverage of	6165
benefits in accordance with division (D)(C)(2) of section 145.38	6166
of the Revised Code. Notwithstanding any other provision of this	6167
chapter, the policy or contract may also include coverage for any	6168
eligible individual's spouse and dependent children and for any of	6169
the eligible individual's sponsored dependents as the board	6170
determines appropriate. If all or any portion of the policy or	6171
contract premium is to be paid by any individual receiving age and	6172
service retirement or a disability or survivor benefit, the	6173
individual shall, by written authorization, instruct the board to	6174
deduct the premium agreed to be paid by the individual to the	6175
company, corporation, or agency.	6176

The board may contract for coverage on the basis of part or	6177
all of the cost of the coverage to be paid from appropriate funds	6178
of the public employees retirement system. The cost paid from the	6179
funds of the system shall be included in the employer's	6180
contribution rate provided by sections 145.48 and 145.51 of the	6181
Revised Code. The board may by rule provide coverage to ineligible	6182
individuals who are not eligible under the rules adopted under	6183
division (A) of this section if the coverage is provided at no	6184
cost to the retirement system. The board shall not pay or	6185
reimburse the cost for coverage under this section or section	6186
145.325145.584 of the Revised Code for any ineligiblesuch	6187
individual.	6188

The board may provide for self-insurance of risk or level of	6189
risk as set forth in the contract with the companies,	6190
corporations, or agencies, and may provide through the	6191
self-insurance method specific benefits as authorized by rules of	6192
the board.	6193

(C) The board shall, beginning the month following receipt of	6194
satisfactory evidence of the payment for coverage, pay monthly to	6195
each recipient of service retirement, or a disability or survivor	6196
benefit under the public employees retirement system who is	6197
eligible for medical insurance coverage under part B of the	6198
medicare program established under Title XVIII of "The Social	6199
Security Act Amendments of 1965," 79 Stat. 301 (1965), 42 U.S.C.A.	6200
1395j, as amended, an amount determined by the board for such	6201
coverage that is not less than ninety-six dollars and forty cents,	6202
except that the board shall make no such payment to any ineligible	6203
individual who is not eligible for coverage under the rules	6204
adopted under division (A) of this section or pay an amount that	6205
exceeds the amount paid by the recipient for the coverage.	6206

At the request of the board, the recipient shall certify to	6207
the retirement system the amount paid by the recipient for	6208
coverage described in this division.	6209

(D) The board shall establish by rule requirements for the	6210
coordination of any coverage, payment, or benefit provided under	6211
this section or section 145.325145.584 of the Revised Code with	6212
any similar coverage, payment, or benefit made available to the	6213
same individual by the Ohio police and fire pension fund, state	6214
teachers retirement system, school employees retirement system, or	6215
state highway patrol retirement system.	6216

(E) The board shall make all other necessary rules pursuant	6217
to the purpose and intent of this section.	6218

Sec. 145.325.        Sec. 145.584.  (A) Except as otherwise provided in	6219
division (B) of this section, the board of the public employees	6220
retirement system shall make available to each retirant or	6221
disability benefit recipient receiving a monthly allowance or	6222
benefit on or after January 1, 1968, who has attained the age of	6223
sixty-five years, and who is not eligible to receive hospital	6224
insurance benefits under the federal old age, survivors, and	6225
disability insurance program, hospital insurance coverage	6226
substantially equivalent to the federal hospital insurance	6227
benefits, Social Security Amendments of 1965, 79 Stat. 291, 42	6228
U.S.C.A. 1395c, as amended. This coverage shall also be made	6229
available to the spouse, widow, or widower of such retirant or	6230
disability benefit recipient provided such spouse, widow, or	6231
widower has attained age sixty-five and is not eligible to receive	6232
hospital insurance benefits under the federal old age, survivors,	6233
and disability insurance program. The widow or widower of a	6234
retirant or disability benefit recipient shall be eligible for	6235
such coverage only if he or she is the recipient of a monthly	6236
allowance or benefit from this system. One-half of the cost of the	6237
premium for the spouse shall be paid from the appropriate funds of	6238
the public employees retirement system and one-half by the	6239
recipient of the allowance or benefit.	6240

The cost of such coverage, paid from the funds of the system,	6241
shall be included in the employer's rate provided by section	6242
145.48 of the Revised Code. The retirement board is authorized to	6243
make all necessary rules pursuant to the purpose and intent of	6244
this section, and shall contract for such coverage as provided in	6245
section 145.58 of the Revised Code.	6246

(B) The board need not make the hospital insurance coverage	6247
described in division (A) of this section available to any person	6248
for whom it is prohibited by section 145.58 of the Revised Code	6249
from paying or reimbursing the premium cost of such insurance.	6250

Sec. 145.62.  Subject to rules adopted by the public	6251
employees retirement system under section 145.09 of the Revised	6252
Code, a contributor participating in the PERS defined benefit plan	6253
or contributing under section 145.38 or 145.383 of the Revised	6254
Code may deposit additional amounts in the employees' savings fund	6255
established under section 145.23 of the Revised Code. The	6256
additional deposits may be made either directly to the retirement	6257
system or by payroll deduction under section 145.294 of the	6258
Revised Code. The contributor shall receive in return either an	6259
annuity, as provided in section 145.64 of the Revised Code, having	6260
a reserve equal to the amount deposited or a refund under section	6261
145.63 of the Revised Code of the amount deposited, together with	6262
earnings on the amount deposited as the public employees	6263
retirement board determines appropriate. If the annuity under the	6264
plan of payment selected by the contributor under section 145.64	6265
of the Revised Code would be less than twenty-five dollars per	6266
month, the contributor shall receive the refund.	6267

Sec. 145.63. (A) Deposits under section 145.62 of the Revised	6268
Code, together with earnings, shall be refunded under whichever of	6269
the following circumstances applies:	6270

(1) On withdrawal of accumulated contributions as provided in	6271
sections 145.40 and 145.43 of the Revised Code or payment of a	6272
lump sum under section 145.384 of the Revised Code;	6273

(2) On the death of a contributor prior to retirement;

6274

(3) In the case of a contributor participating in the PERS	6275
defined benefit plan, on application of the contributor prior to	6276
attaining eligibility for age and service retirement;	6277

(4) In the case of a contributor under section 145.38 or	6278
145.383 of the Revised Code, on application of the contributor	6279
prior to attaining eligibility for a benefit under section 145.384	6280
of the Revised Code;	6281

(5) In the case of a contributor who has attained eligibility	6282
for an age and service retirement benefit or a benefit under	6283
section 145.384 of the Revised Code and is not married, on	6284
application;	6285

(6) In the case of a contributor who has attained eligibility	6286
for an age and service retirement benefit or a benefit under	6287
section 145.384 of the Revised Code and is married, on application	6288
if the application is accompanied by a statement of the spouse's	6289
consent to the refund or the public employees retirement board	6290
waives the requirement that the spouse consent;	6291

(7) In the case of a contributor who has attained eligibility	6292
for an age and service retirement benefit as a consequence of	6293
section 145.37 of the Revised Code and will receive a retirement	6294
or disability benefit from the state teachers retirement system or	6295
school employees retirement system but has not requested a	6296
transfer of funds to the other retirement system under division	6297
(B)(1)(g) of section 145.37 of the Revised Code, at the time the	6298
public employees retirement system pays to the other retirement	6299
system the amount required under division (B)(1)(e) of that	6300
section.	6301

(B) The consent of a spouse to a refund is valid only if it	6302
is in writing, signed, and witnessed by a notary public.	6303

The board may waive the requirement of consent if the spouse	6304
is incapacitated or cannot be located or for any other reason	6305
specified by the board. Consent or waiver is effective only with	6306
regard to the spouse who is the subject of the consent or waiver.	6307

Sec. 145.64.  (A) As used in this section:

6308

(1) "Plan A" means a plan of payment that is the same as,	6309
"plan A," as described in section 145.46 of the Revised Code.	6310

(2) "Plan B" means a plan of payment that is the same as	6311
"plan B," as described in section 145.46 of the Revised Code.	6312

(3) "Plan F" means a plan of payment that is the same asand	6313
"plan FC" have the same meanings as described in division (B) of	6314
section 145.46 of the Revised Code.	6315

(B) A contributor who has not received a refund of amounts	6316
deposited under section 145.62 or the version of division (C) of	6317
section 145.23 of the Revised Code as it existed immediately prior	6318
to the effective date of this sectionApril 6, 2007, may file an	6319
application with the public employees retirement system for a	6320
benefit under this section. TheExcept as provided in section	6321
145.62 of the Revised Code, the benefit shall consist of an	6322
annuity under a plan of paymentthat shall be paid as described in	6323
division (A)(B) of this section 145.46 of the Revised Code.	6324

The application must be filed prior to receipt of an age and	6325
service retirement benefit from the retirement system or, in the	6326
case of a contributor under section 145.38 or 145.383 of the	6327
Revised Code, a benefit under section 145.384 of the Revised Code.	6328
A contributor who fails to file an application for a benefit under	6329
this section prior to receipt of an age and service retirement	6330
benefit or a benefit under section 145.384 of the Revised Code	6331
shall be eligible only for a refund under section 145.63 of the	6332
Revised Code.	6333

(1) Except as provided in division (B)(2) of this section, a	6334
contributor who is married at the time of application for a	6335
benefit under this section shall receive the benefit as a monthly	6336
annuity under "plan A."	6337

(2) A contributor may receive a benefit under this section	6338
under a plan of payment other than "plan A" if one of the	6339
following is the case:	6340

(a) The contributor is unmarried;

6341

(b) The benefit application is accompanied by a statement of	6342
the spouse's consent to another plan of payment or the public	6343
employees retirement board waives the requirement that the spouse	6344
consent;	6345

(c) A plan of payment providing for payment in a specified	6346
portion of the benefit continuing after the member's death to a	6347
former spouse is required by a court order issued under section	6348
3105.171 or 3105.65 of the Revised Code or the laws of another	6349
state regarding division of marital property prior to the	6350
effective date of the contributor's benefit application.	6351

(3) If a member is subject to division (B)(2)(c) of this	6352
section and the board has received a copy of the order described	6353
in that division, the board shall accept the member's election of	6354
a plan of payment under this section only if the member complies	6355
with both of the following:	6356

(a) The member elects a plan of payment that is in accordance	6357
with the order described in division (B)(2)(c) of this section.	6358

(b) If the member is married, the member elects "plan FC"	6359
and designates the member's current spouse as a beneficiary under	6360
that plan unless that spouse consents in writing to not being	6361
designated a beneficiary or the board waives the requirement that	6362
the current spouse consent.	6363

(4) The contributor shall designate the beneficiary or	6364
beneficiaries under a plan of payment in writing at the time the	6365
plan is selected.	6366

(5) A plan of payment, other than "plan B," shall be	6367
effective only if it is certified by an actuary engaged by the	6368
board to be the actuarial equivalent of the contributor's "plan B"	6369
annuity and is approved by the board.	6370

(6) A contributor who is eligible to select a plan of payment	6371
under this section but fails to do so shall receive a monthly	6372
annuity under the plan of payment specified in rules adopted by	6373
the board.	6374

(C) An annuity shall be paid monthly and consist of an amount	6375
determined by the public employees retirement system or the	6376
actuarial equivalent of that amount paid under a plan of payment	6377
as described in this section.	6378

Payments shall begin on whichever of the following applies:

6379

(1) TheExcept as provided in this division, the later of the	6380
effective date of the contributor's age and service retirement	6381
allowance;or the first day of the month following the latest of:	6382

(a) The last day for which compensation was paid;

6383

(b) The attainment of the member's applicable minimum age or	6384
service credit eligibility as provided in section 145.32 of the	6385
Revised Code;	6386

(c) The first day of the month following receipt of an	6387
application for an age and service retirement benefit.	6388

(2) The later of the effective date of a benefit under	6389
section 145.384 of the Revised Code;or the first day of the month	6390
following the latest of:	6391

(a) The last day for which compensation for employment	6392
subject to section 145.38 or 145.383 of the Revised Code was paid;	6393

(b) Attainment by the contributor of age sixty-five;

6394

(c) If the contributor was previously employed as described	6395
in division (E)(3) of section 145.384 of the Revised Code,	6396
completion of a period of twelve months since the effective date	6397
of the last benefit under that section;	6398

(d) Receipt of an application for a benefit under section	6399
145.384 of the Revised Code.	6400

(3) The later of the effective date of disability retirement	6401
under section 145.36 of the Revised Code or the date on which a	6402
member receiving disability retirement under section 145.36 of the	6403
Revised Code would have been eligible for an age and service	6404
retirement allowance.	6405

(4) The first day of the month following the last day for	6406
which a disability allowance is paid under section 145.361 of the	6407
Revised Code.	6408

(D) The consent of a spouse to a plan of payment other than	6409
"plan A" is valid only if it is in writing, signed, and witnessed	6410
by a notary public. The board may waive the requirement of consent	6411
if the spouse is incapacitated or cannot be located or for any	6412
other reason specified by the board. Consent or waiver is	6413
effective only with regard to the spouse who is the subject of the	6414
consent or waiver.	6415

(E)(1) The death of a spouse or any designated beneficiary	6416
shall cancel the portion of an annuity providing continuing	6417
lifetime payments to the deceased spouse or deceased designated	6418
beneficiary. The contributor shall receive the actuarial	6419
equivalent of the contributor's remaining annuity, as determined	6420
by the board, based on the number of remaining beneficiaries, with	6421
no change in the amount payable to any remaining beneficiary. The	6422
If the retirement system receives notice of the death on or after	6423
the effective date of this amendment, the change shall be	6424
effective the month following receipt by the board of notice of	6425
the date of death.	6426

(2) On divorce, annulment, or marriage dissolution, a	6427
contributor receiving an annuity under a plan of payment that	6428
provides for continuation of all or part of the annuity after	6429
death for the lifetime of the contributor's surviving spouse may,	6430
with the written consent of the spouse or pursuant to an order of	6431
the court with jurisdiction over the termination of the marriage,	6432
elect to cancel the portion of the plan providing continuing	6433
lifetime payments to that spouse. The contributor shall receive	6434
the actuarial equivalent of the contributor's annuity as	6435
determined by the board based on the number of remaining	6436
beneficiaries, with no change in the amount payable to any	6437
remaining beneficiary. The election shall be made on a form	6438
provided by the board and shall be effective the month following	6439
its receipt by the board.	6440

(F)(1) Following a marriage or remarriage, both of the	6441
following apply:	6442

(a) A contributor who is receiving payments under "plan B"	6443
may elect a new plan of payment based on the actuarial equivalent	6444
of the contributor's "plan B" annuity as determined by the board.	6445

(b) A contributor receiving an annuity under this section	6446
pursuant to a plan of payment providing for payment to a former	6447
spouse pursuant to a court order as described in division	6448
(B)(2)(c) of this section may elect a new plan of payment under	6449
"plan FC" based on the actuarial equivalent of the contributor's	6450
benefit as determined by the board if the new plan of payment does	6451
not reduce the payment to the former spouse.	6452

(2) An election under division (F)(1) of this section must be	6453
made not later than one year after the date of the marriage or	6454
remarriage.	6455

The plan elected shall become effective on the date of	6456
receipt by the board of an application on a form approved by the	6457
board, but any change in the amount of the annuity payment shall	6458
commence on the first day of the month following the effective	6459
date of the plan.	6460

(G) If at the time of death a contributor receiving a monthly	6461
annuity under "plan B" has received less than the retirant's	6462
deposits under section 145.62 or the version of division (C) of	6463
section 145.23 of the Revised Code as it existed immediately prior	6464
to the effective date of this sectionApril 6, 2007, plus earnings	6465
on those deposits, the difference between the amount received and	6466
the amount of the contributor's deposits plus earnings shall be	6467
paid to the contributor's beneficiary under section 145.65 of the	6468
Revised Code. If any designated beneficiary receiving a monthly	6469
annuity under this section dies and at the time of the	6470
beneficiary's death the amounts paid to the contributor and the	6471
beneficiary are less than the amount of the contributor's deposits	6472
plus earnings on those deposits, the difference between the amount	6473
received by the contributor and the beneficiary and the amount of	6474
the contributor's deposits plus earnings shall be paid to the	6475
beneficiary's estate.	6476

(H) Receipt of the first month's annuity payment constitutes	6477
final acceptance of the plan of payment and may be changed only as	6478
provided in this section.	6479

Sec. 145.813.  Each PERS defined contribution plan shall	6480
require the public employees retirement board, or the entity	6481
administering the plan pursuant to a contract with the board, to	6482
cause an individual account to be maintained for each member	6483
participating in the plan. Amounts to be credited to an individual	6484
accountunder a PERS defined contribution plan may be deposited	6485
into any of the funds created under section 145.23 of the Revised	6486
Code or may be transferred to the entity administering the plan	6487
for deposit intothe purpose of making distributions from the	6488
member's individual account.	6489

Sec. 145.814. (A) As used in this section:

6490

(1) "Additional liability" means an amount that, when added	6491
to the amount on deposit, will provide the remaining portion of	6492
the pension reserve for the period of service that corresponds to	6493
the contributions made by or on behalf of a member.	6494

(2) "Amount on deposit" means the sum of a member's employee	6495
and employer contributions and, if applicable, any earnings or	6496
losses on those contributions.	6497

(3) "Eligible, "eligible member" means a member who was	6498
eligible to make an election under section 145.19 or 145.191 of	6499
the Revised Code, regardless of whether the member elected to	6500
participate in a PERS defined contribution plan.	6501

(B) If permitted to do so by the plan documents for a PERS	6502
defined contribution plan or rules governing the PERS defined	6503
benefit plan, an eligible member may elect, at intervals specified	6504
by the plan document or rules, to participate in a different	6505
defined contribution plan or in the PERS defined benefit plan. The	6506
election is subject to this section and rules adopted by the	6507
public employees retirement board under sections 145.09 and 145.80	6508
of the Revised Code. An election to participate in a different	6509
plan shall be made in writing on a form provided by the public	6510
employees retirement system and filed with the system. The	6511
election shall take effect on the first day of the month following	6512
the date the election is filed and, except as provided in the plan	6513
documents or rules governing the PERS defined benefit plan, is	6514
irrevocable on receipt by the system.	6515

(C)(1) Except as provided in division (C)(2)(D) of this	6516
section, an election to participate in a different plan shall	6517
apply only to employee and employer contributions made and, if	6518
applicable, service credit earned after the effective date of the	6519
election.	6520

(2)(D) An eligible member may elect to have the member's	6521
amount on deposit for the prior plan and, if applicable, service	6522
credit earned prior to the effective date of the election	6523
deposited and credited in accordance with the member's new plan if	6524
one of the following applies:	6525

(a) The member, by an election under this section, will cease	6526
participation in a PERS defined contribution plan that does not	6527
include definitely determinable benefits.	6528

(b) Thethe member, by anthe election under division (A) of	6529
this section, will begin participating in the PERS defined benefit	6530
plan or a PERS defined contribution plan with definitely	6531
determinable benefits. The amount on deposit is the amount the	6532
member would be entitled to receive as a refund from the prior	6533
plan if the member ceased to be a public employee.	6534

(3) If a member described in division (C)(2) of this section	6535
makes the election described in thatthis division and service	6536
credit is transferred, the board's actuary shall determine the	6537
additional liability to the system, if any. IfThe additional	6538
liability is the amount that, when added to the amount on deposit,	6539
will provide the remaining portion of the pension reserve for the	6540
period of the member's service as a public employee in the prior	6541
plan.	6542

If the actuary determines that there is an additional	6543
liability, the member shall elect one of the following:	6544

(a)(1) To receive the total amount of service credit that the	6545
member would have received had the member been participating in	6546
the new plan, pay to the system an amount equal to the additional	6547
liability;	6548

(b) Receive(2) To receive an amount of service credit in the	6549
new plan that corresponds to the amount on deposit for the prior	6550
plan.	6551

For each member who makes the election described in this	6552
division (C)(2) of this section, the system shall deposit and	6553
credit to the new plan the amount on deposit for the prior plan	6554
and, if applicable, the amount paid by the member. The board may	6555
specify in rules adopted under sections 145.09 and 145.80 of the	6556
Revised Code how service credit in the defined benefit plan may be	6557
converted to amounts on deposit in the defined contribution plan.	6558

Sec. 145.82.  (A) Except as provided in divisions (B) and (C)	6559
of this section, sections 145.201 to 145.70 of the Revised Code do	6560
not apply to a PERS defined contribution plan, except that a PERS	6561
defined contribution plan may incorporate provisions of those	6562
sections as specified in the plan document.	6563

(B) The following sections of Chapter 145. of the Revised	6564
Code apply to a PERS defined contribution plan: 145.195, 145.22,	6565
145.221, 145.23, 145.25, 145.26, 145.27, 145.296, 145.38, 145.382,	6566
145.383, 145.384, 145.391, 145.43, 145.431, 145.47, 145.48,	6567
145.483, 145.51, 145.52, 145.53, 145.54, 145.55, 145.56, 145.563,	6568
145.57, 145.571, 145.572, 145.573, 145.574, 145.69, and 145.70 of	6569
the Revised Code.	6570

(C) A PERS defined contribution plan that includes definitely	6571
determinable benefits may incorporate by reference all or part of	6572
sections 145.201 to 145.79 of the Revised Code to allow a member	6573
participating in the plan to purchase service credit or to be	6574
eligible for any of the following:	6575

(1) Retirement, disability, survivor, or death benefits;

6576

(2) Health or long-term care insurance or any other type of	6577
health care benefit;	6578

(3) Additional increases under section 145.323 of the Revised	6579
Code;	6580

(4) A refund of contributions made by or on behalf of a	6581
member.	6582

With respect to the benefits described in division (C)(1) of	6583
this section, the public employees retirement board may establish	6584
eligibility requirements and benefit formulas or amounts that	6585
differ from those of members participating in the PERS defined	6586
benefit plan. With respect to the purchase of service credit by a	6587
member participating in a PERS defined contribution plan, the	6588
board may reduce the cost of the service credit to reflect the	6589
different benefit formula established for the member.	6590

Sec. 145.83. A PERS defined contribution plan may include a	6591
program described in section 145.583 of the Revised Code under	6592
which a participating member participating in the plan is required	6593
to accumulate a portion of the amount contributed under section	6594
145.86 of the Revised Code for the purpose of providing funds to	6595
the member for the payment of health, medical, hospital, surgical,	6596
dental, or vision care expenses, including insurance premiums,	6597
deductible amounts, or copayments as described in that section.	6598
The program may be a voluntary employees' beneficiary association,	6599
as described in section 501(c)(9) of the "Internal Revenue Code of	6600
1986," 100 Stat. 2085, 26 U.S.C.A. 501(c)(9), as amended; a	6601
medical savings account; or a similar type of program under which	6602
an individual may accumulate funds for the purpose of paying such	6603
expenses. To implement the program, the public employees	6604
retirement board may enter into agreements with insurance	6605
companies or other entities authorized to conduct business in this	6606
state.	6607

If a PERS defined contribution plan includes a program	6608
described in this section, the public employees retirement board	6609
shall adopt rules to establish and administer the program. The	6610
rules shall specify the length of time during which the member	6611
will vest in amounts accumulated on the member's behalf and may	6612
provide for a minimum annual distribution from the accumulated	6613
amount after the member terminates employment in positions subject	6614
to this chapter.	6615

Sec. 145.87.  For each member participating in a PERS defined	6616
contribution plan, the public employees retirement system shall	6617
may transfer to the employers' accumulation fund a portion of the	6618
employer contribution required under section 145.48 of the Revised	6619
Code. TheIf the public employees retirement board elects to make	6620
a transfer under this section, the portion transferred shall equal	6621
not exceed the percentage of earnable salary of members for whom	6622
the contributions are being made that is determined by an actuary	6623
appointed by the public employees retirement board to be necessary	6624
to mitigate any negative financial impact on the system of	6625
members' participation in a plan.	6626

The board shall have prepared annuallymay have prepared, at	6627
intervals determined by the board, an actuarial study to determine	6628
whether the percentage transferreda transfer under this section	6629
should be changedis necessary to reflect a change in the level of	6630
negative financial impact resulting from members' participation in	6631
a plan. The percentage transferred, if any, shall be increased or	6632
decreased to reflect the amount needed to mitigate the negative	6633
financial impact, if any, on the system, as determined by the	6634
study. A change in the percentage transferred shall take effect on	6635
the first day of the year following the date the conclusions of	6636
the study are reported toa date determined by the board.	6637

TheIf a transfer under this section is made, the system	6638
shall make the transfer required under this section until the	6639
unfunded actuarial accrued liability for all benefits, except	6640
health care benefits provided under section 145.325 or 145.58 or	6641
145.584 of the Revised Code and benefit increases to members and	6642
former members participating in the PERS defined benefit plan	6643
granted after September 21, 2000, is fully amortized, as	6644
determined by the annual actuarial valuation prepared under	6645
section 145.22 of the Revised Code.	6646

Sec. 145.92.  If a member participating in a PERS defined	6647
contribution plan is married at the time benefits under the plan	6648
are to commence, unless the spouse consents to another plan of	6649
payment or the spouse's consent is waived, the member's retirement	6650
allowancebenefit under the plan shall be paid in a lesser amount	6651
payable for life and one-half of the allowancethat amount	6652
continuing after death to the surviving spouse for the life of the	6653
spouse.	6654

Consent is valid only if it is evidenced by a written	6655
document signed by the spouse and the signature is witnessed by a	6656
notary public. A plan may waive the requirement of consent if the	6657
spouse is incapacitated or cannot be located or for any other	6658
reason specified by the plan or in rules adopted by the public	6659
employees retirement board.	6660

A plan shall waive the requirement of consent if a plan of	6661
payment that provides for payment in a specified portion of the	6662
retirement allowance continuing after the member's death to a	6663
former spouse is required by a court order issued under section	6664
3105.171 or 3105.65 of the Revised Code or laws of another state	6665
regarding division of marital property prior to the effective date	6666
of the member's retirement. If a court order requires this plan of	6667
payment, the member shall be required to annuitize the member's	6668
accumulated amounts in accordance with the order. If the member is	6669
married, the plan of payment selected by the member also shall	6670
provide for payment to the member's current spouse, unless the	6671
current spouse consents in writing to not being designated a	6672
beneficiary under the plan of payment or the current spouse's	6673
consent is waived by reason other than the court order.	6674

Consent or waiver is effective only with regard to the spouse	6675
who is the subject of the consent or waiver.	6676

Sec. 145.95. (A) Subject to division (B) of this section and	6677
sections 145.38, 145.56, 145.57, 145.572, and 145.573, and 145.574	6678
of the Revised Code, the right of a member participating in a PERS	6679
defined contribution plan to any payment or benefit accruing from	6680
contributions made by or on behalf of the member under sections	6681
145.85 and 145.86 of the Revised Code shall vest in accordance	6682
with this section.	6683

A member's right to any payment or benefit that is based on	6684
the member's contributions is nonforfeitable.	6685

A member's right to any payment or benefit that is based on	6686
contributions by the member's employer is nonforfeitable as	6687
specified by the plan selected by the member.	6688

(B) This section does not apply to an increase made under	6689
section 145.323 of the Revised Code on or after the effective date	6690
of this amendment.	6691

Sec. 145.97.  Each PERS defined contribution plan shall	6692
permit a member participating in the plan to do all of the	6693
following:	6694

(A) Maintain on deposit with the public employees retirement	6695
system, or the entity administering the plan pursuant to a	6696
contract with the public employees retirement board, any amounts	6697
that have accumulated on behalf of the member;	6698

(B) If the member has withdrawn the amounts described in	6699
division (A) of this section, returns to employment covered under	6700
this chapter, and is participating in a plan that includes	6701
definitely determinable benefits, pay to the system the amounts	6702
withdrawn in accordance with rules adopted under section 145.31	6703
145.80 of the Revised Code;	6704

(C) Make additional deposits as permitted by the "Internal	6705
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended.	6706

Sec. 742.63.  The board of trustees of the Ohio police and	6707
fire pension fund shall adopt rules for the management of the Ohio	6708
public safety officers death benefit fund and for disbursements of	6709
benefits as set forth in this section.	6710

(A) As used in this section:

6711

(1) "Member" means all of the following:

6712

(a) A member of the Ohio police and fire pension fund,	6713
including a member of the fund who has elected to participate in	6714
the deferred retirement option plan established under section	6715
742.43 of the Revised Code or a member of or contributor to a	6716
police or firemen's relief and pension fund established under	6717
former Chapter 521. or 741. of the Revised Code;	6718

(b) A member of the state highway patrol retirement system,	6719
including a member who is participating in the deferred retirement	6720
option plan established under section 5505.50 of the Revised Code;	6721

(c) A member of the public employees retirement system who at	6722
the time of the member's death was one of the following:	6723

(i) A county sheriff or deputy sheriff;

6724

(ii) A full-time regular police officer in a municipal	6725
corporation or township;	6726

(iii) A full-time regular firefighter employed by the state,	6727
an instrumentality of the state, a municipal corporation, a	6728
township, a joint fire district, or another political subdivision;	6729

(iv) A full-time park district ranger or patrol trooper;

6730

(v) A full-time law enforcement officer of the department of	6731
natural resources;	6732

(vi) A full-time department of public safety enforcement	6733
agent;	6734

(vii) A full-time law enforcement officer of parks, waterway	6735
lands, or reservoir lands under the control of a municipal	6736
corporation;	6737

(viii) A full-time law enforcement officer of a conservancy	6738
district;	6739

(ix) A correction officer at an institution under the control	6740
of a county, a group of counties, a municipal corporation, or the	6741
department of rehabilitation and correction;	6742

(x) A state university law enforcement officer;

6743

(xi) An investigator, as defined in section 109.541 of the	6744
Revised Code, or an investigator commissioned as a special agent	6745
of the bureau of criminal identification and investigation.	6746

(xii) A drug agent, as defined in section 145.01 of the	6747
Revised Code.	6748

(d) A member of a retirement system operated by a municipal	6749
corporation who at the time of death was a full-time law	6750
enforcement officer of parks, waterway lands, or reservoir lands	6751
under the control of the municipal corporation.	6752

(2) Notwithstanding section 742.01 of the Revised Code, "fire	6753
or police department" includes a fire department of the state or	6754
an instrumentality of the state or of a municipal corporation,	6755
township, joint fire district, or other political subdivision, the	6756
state highway patrol, a county sheriff's office, the security	6757
force of an institution under the control of the department of	6758
rehabilitation and correction, the security force of a jail or	6759
workhouse under the control of a county, group of counties, or	6760
municipal corporation, the security force of a metropolitan,	6761
county, or township park district, the security force of lands	6762
under the control of the department of natural resources,	6763
department of public safety enforcement agents, the security force	6764
of parks, waterway lands, or reservoir lands under the control of	6765
a municipal corporation, the security force of a conservancy	6766
district, the police department of a township or municipal	6767
corporation, and the police force of a state university.	6768

(3) "Firefighter or police officer" includes a state highway	6769
patrol trooper, a county sheriff or deputy sheriff, a correction	6770
officer at an institution under the control of a county, a group	6771
of counties, a municipal corporation, or the department of	6772
rehabilitation and correction, a police officer employed by a	6773
township or municipal corporation, a firefighter employed by the	6774
state, an instrumentality of the state, a municipal corporation, a	6775
township, a joint fire district, or another political subdivision,	6776
a full-time park district ranger or patrol trooper, a full-time	6777
law enforcement officer of the department of natural resources, a	6778
full-time department of public safety enforcement agent, a	6779
full-time law enforcement officer of parks, waterway lands, or	6780
reservoir lands under the control of a municipal corporation, a	6781
full-time law enforcement officer of a conservancy district, and a	6782
state university law enforcement officer.	6783

(4) "Correction officer" includes, in addition to any	6784
correction officer, any correction corporal, sergeant, lieutenant,	6785
or captain, and the equivalents of all such persons.	6786

(5) "A park district ranger or patrol trooper" means a peace	6787
officer commissioned to make arrests, execute warrants, and	6788
preserve the peace upon lands under the control of a board of park	6789
commissioners of a metropolitan, county, or township park	6790
district.	6791

(6) "Metropolitan, county, or township park district" means a	6792
park district created under the authority of Chapter 511. or 1545.	6793
of the Revised Code.	6794

(7) "Conservancy district" means a conservancy district	6795
created under the authority of Chapter 6101. of the Revised Code.	6796

(8) "Law enforcement officer" means an officer commissioned	6797
to make arrests, execute warrants, and preserve the peace upon	6798
lands under the control of the governmental entity granting the	6799
commission.	6800

(9) "Department of natural resources law enforcement officer"	6801
includes a forest officer designated pursuant to section 1503.29	6802
of the Revised Code, a preserve officer designated pursuant to	6803
section 1517.10 of the Revised Code, a wildlife officer designated	6804
pursuant to section 1531.13 of the Revised Code, a park officer	6805
designated pursuant to section 1541.10 of the Revised Code, and a	6806
state watercraft officer designated pursuant to section 1547.521	6807
of the Revised Code.	6808

(10) "Retirement eligibility date" means the last day of the	6809
month in which a deceased member would have first become eligible,	6810
had the member lived, for the retirement pension provided under	6811
section 145.33, section 145.332, Chapter 521. or 741., division	6812
(C)(1) of section 742.37, or division (A)(1) of section 5505.17 of	6813
the Revised Code or provided by a retirement system operated by a	6814
municipal corporation.	6815

(11) "Death benefit amount" means an amount equal to the full	6816
monthly salary received by a deceased member prior to death, minus	6817
an amount equal to the benefit received under section 145.45,	6818
742.37, 742.3714, or 5505.17 of the Revised Code or the benefit	6819
received from a retirement system operated by a municipal	6820
corporation, plus any increases in salary that would have been	6821
granted the deceased member.	6822

(12) "Killed in the line of duty" means either of the	6823
following:	6824

(a) Death in the line of duty;

6825

(b) Death from injury sustained in the line of duty,	6826
including heart attack or other fatal injury or illness caused	6827
while in the line of duty.	6828

(B) A spouse of a deceased member shall receive a death	6829
benefit each month equal to the full death benefit amount,	6830
provided that the deceased member was a firefighter or police	6831
officer killed in the line of duty and there are no surviving	6832
children eligible for a benefit under this section. The spouse	6833
shall receive this benefit during the spouse's natural life until	6834
the deceased member's retirement eligibility date, on which date	6835
the benefit provided under this division shall terminate.	6836

(C)(1) If a member killed in the line of duty as a	6837
firefighter or police officer is survived only by a child or	6838
children, the child or children shall receive a benefit each month	6839
equal to the full death benefit amount. If there is more than one	6840
surviving child, the benefit shall be divided equally among these	6841
children.	6842

(2) If the death benefit paid under this division is divided	6843
among two or more surviving children and any of the children	6844
become ineligible to continue receiving a portion of the benefit	6845
as provided in division (H) of this section, the full death	6846
benefit amount shall be paid to the remaining eligible child or	6847
divided among the eligible children so that the benefit paid to	6848
the remaining eligible child or children equals the full death	6849
benefit amount.	6850

(3) Notwithstanding divisions (C)(1) and (2) of this section,	6851
all death benefits paid under this division shall terminate on the	6852
deceased member's retirement eligibility date.	6853

(D) If a member killed in the line of duty as a firefighter	6854
or police officer is survived by both a spouse and a child or	6855
children, the monthly benefit provided shall be as follows:	6856

(1)(a) If there is a surviving spouse and one surviving	6857
child, the spouse shall receive an amount each month equal to	6858
one-half of the full death benefit amount and the child shall	6859
receive an amount equal to one-half of the full death benefit	6860
amount.	6861

(b) If the surviving spouse dies or the child becomes	6862
ineligible as provided in division (H) of this section, the	6863
surviving spouse or child remaining eligible shall receive the	6864
full death benefit amount.	6865

(2)(a) If there is a surviving spouse and more than one	6866
child, the spouse shall receive an amount each month equal to	6867
one-third of the full death benefit amount and the children shall	6868
receive an amount, equally divided among them, equal to two-thirds	6869
of the full death benefit amount.	6870

(b) If a spouse and more than one child each are receiving a	6871
death benefit under division (D)(2)(a) of this section and the	6872
spouse dies, the children shall receive an amount each month,	6873
equally divided among them, equal to the full death benefit	6874
amount.	6875

(c) If a spouse and more than one child each are receiving a	6876
benefit under division (D)(2)(a) of this section and any of the	6877
children becomes ineligible to receive a benefit as provided in	6878
division (H) of this section, the spouse and remaining eligible	6879
child or children shall receive a death benefit as follows:	6880

(i) If there are two or more remaining eligible children, the	6881
spouse shall receive an amount each month equal to one-third of	6882
the full death benefit amount and the children shall receive an	6883
amount each month, equally divided among them, equal to two-thirds	6884
of the full death benefit amount;	6885

(ii) If there is one remaining eligible child, the spouse	6886
shall receive an amount each month equal to one-half of the full	6887
death benefit amount, and the child shall receive an amount each	6888
month equal to one-half of the full death benefit amount.	6889

(d) If a spouse and more than one child each are receiving a	6890
benefit under division (D)(2)(a) of this section and all of the	6891
children become ineligible to receive a benefit as provided in	6892
division (H) of this section, the spouse shall receive the full	6893
death benefit amount.	6894

(3) Notwithstanding divisions (D)(1) and (2) of this section,	6895
death benefits paid under this division to a surviving spouse	6896
shall terminate on the member's retirement eligibility date. Death	6897
benefits paid to a surviving child or children shall terminate on	6898
the deceased member's retirement eligibility date unless earlier	6899
terminated pursuant to division (H) of this section.	6900

(E) If a member, on or after January 1, 1980, is killed in	6901
the line of duty as a firefighter or police officer and is	6902
survived by only a parent or parents dependent upon the member for	6903
support, the parent or parents shall receive an amount each month	6904
equal to the full death benefit amount. If there is more than one	6905
surviving parent dependent upon the deceased member for support,	6906
the death benefit amount shall be divided equally among the	6907
surviving parents. On the death of one of the surviving parents,	6908
the full death benefit amount shall be paid to the other parent.	6909

(F)(1) The following shall receive a monthly death benefit	6910
under this division:	6911

(a) A surviving spouse whose benefits are terminated in	6912
accordance with division (B) or (D)(3) of this section on the	6913
deceased member's retirement eligibility date, or who would	6914
qualify for a benefit under division (B) or (D) of this section	6915
except that the deceased member reached the member's retirement	6916
eligibility date prior to the member's death;	6917

(b) A qualified surviving spouse of a deceased member of or	6918
contributor to a police or firemen's relief and pension fund	6919
established under former Chapter 521. or 741. of the Revised Code	6920
who was a firefighter or police officer killed in the line of	6921
duty.	6922

(2) The monthly death benefit shall be one-half of an amount	6923
equal to the monthly salary received by the deceased member prior	6924
to the member's death, plus any salary increases the deceased	6925
member would have received prior to the member's retirement	6926
eligibility date. The benefit shall terminate on the surviving	6927
spouse's death. A death benefit payable under this division shall	6928
be reduced by an amount equal to any allowance or benefit payable	6929
to the surviving spouse under section 742.3714 of the Revised	6930
Code.	6931

(3) A benefit granted to a surviving spouse under division	6932
(F)(1)(b) of this section shall commence on the first day of the	6933
month immediately following receipt by the board of a completed	6934
application on a form provided by the board and any evidence the	6935
board may require to establish that the deceased spouse was killed	6936
in the line of duty.	6937

(G)(1) If there is not a surviving spouse eligible to receive	6938
a death benefit under division (F) of this section or the	6939
surviving spouse receiving a death benefit under that division	6940
dies, a surviving child or children whose benefits under division	6941
(C) or (D) of this section are or have been terminated pursuant to	6942
division (C)(3) or (D)(3) of this section or who would qualify for	6943
a benefit under division (C) or (D) of this section except that	6944
the deceased member reached the member's retirement eligibility	6945
date prior to the member's death shall receive a monthly death	6946
benefit under this division. The monthly death benefit shall be	6947
one-half of an amount equal to the monthly salary received by the	6948
deceased member prior to the member's death, plus any salary	6949
increases the member would have received prior to the member's	6950
retirement eligibility date. If there is more than one surviving	6951
child, the benefit shall be divided equally among the surviving	6952
children.	6953

(2) If two or more surviving children each are receiving a	6954
benefit under this division and any of those children becomes	6955
ineligible to continue receiving a benefit as provided in division	6956
(H) of this section, the remaining eligible child or children	6957
shall receive an amount equal to one-half of the monthly salary	6958
received by the deceased member prior to death, plus any salary	6959
increases the deceased member would have received prior to the	6960
retirement eligibility date. If there is more than one remaining	6961
eligible child, the benefit shall be divided equally among the	6962
eligible children.	6963

(3) A death benefit, or portion of a death benefit, payable	6964
to a surviving child under this division shall be reduced by an	6965
amount equal to any allowance or benefit payable to that child	6966
under section 742.3714 of the Revised Code, but the reduction in	6967
that child's benefit shall not affect the amount payable to any	6968
other surviving child entitled to a portion of the death benefit.	6969

(H) A death benefit paid to a surviving child under division	6970
(C), (D), or (G) of this section shall terminate on the death of	6971
the child or, unless one of the following is the case, when the	6972
child reaches age eighteen:	6973

(1) The child, because of physical or mental disability, is	6974
unable to provide the child's own support, in which case the death	6975
benefit shall terminate when the disability is removed;	6976

(2) The child is unmarried, under age twenty-two, and a	6977
student in and attending an institution of learning or training	6978
pursuant to a program designed to complete in each school year the	6979
equivalent of at least two-thirds of the full-time curriculum	6980
requirements of the institution, as determined by the trustees of	6981
the fund.	6982

(I) Acceptance of any death benefit under this section does	6983
not prohibit a spouse or child from receiving other benefits	6984
provided under the Ohio police and fire pension fund, the state	6985
highway patrol retirement system, the public employees retirement	6986
system, or a retirement system operated by a municipal	6987
corporation.	6988

(J) No person shall receive a benefit under this section if	6989
any of the following occur:	6990

(1) The person fails to exercise the right to a monthly	6991
survivor benefit under division (A) or (B) of section 145.45,	6992
division (D), (E), or (F) of section 742.37, or division (A)(3),	6993
(4), or (7) of section 5505.17 of the Revised Code; to a monthly	6994
survivor benefit from a retirement system operated by a municipal	6995
corporation; or to a retirement allowance under section 742.3714	6996
of the Revised Code.	6997

(2) The member's accumulated contributions under this chapter	6998
or Chapter 145. or 5505. of the Revised Code are refunded unless	6999
the member had been a member of the public employees retirement	7000
system and had fewer than eighteen months of total service credit	7001
at the time of death.	7002

(3) In the case of a full-time park district ranger or patrol	7003
trooper, a full-time law enforcement officer of the department of	7004
natural resources, a full-time law enforcement officer of parks,	7005
waterway lands, or reservoir lands under the control of a	7006
municipal corporation, a full-time law enforcement officer of a	7007
conservancy district, a correction officer at an institution under	7008
the control of a county, group of counties, or municipal	7009
corporation, or a member of a retirement system operated by a	7010
municipal corporation who at the time of the member's death was a	7011
full-time law enforcement officer of parks, waterway lands, or	7012
reservoir lands under the control of the municipal corporation,	7013
the member died prior to April 9, 1981, in the case of a benefit	7014
under division (B), (C), or (D) of this section, or prior to	7015
January 1, 1980, in the case of a benefit under division (E) of	7016
this section.	7017

(4) In the case of a full-time department of public safety	7018
enforcement agent who prior to June 30, 1999, was a liquor control	7019
investigator of the department of public safety, the member died	7020
prior to December 23, 1986;	7021

(5) In the case of a full-time department of public safety	7022
enforcement agent other than an enforcement agent who, prior to	7023
June 30, 1999, was a liquor control investigator, the member died	7024
prior to June 30, 1999.	7025

(K) A surviving spouse whose benefit was terminated prior to	7026
June 30, 1999, due to remarriage shall receive a benefit under	7027
division (B), (D), or (F) of this section beginning on the first	7028
day of the month following receipt by the board of an application	7029
on a form provided by the board. The benefit amount shall be	7030
determined as of that date.	7031

(1) If the benefit will begin prior to the deceased member's	7032
retirement eligibility date, it shall be paid under division (B)	7033
or (D) of this section and shall terminate as provided in those	7034
divisions. A benefit paid to a surviving spouse under division (D)	7035
of this section shall be determined in accordance with that	7036
division, even if benefits paid to surviving children are reduced	7037
as a result.	7038

(2) If the benefit will begin on or after the deceased	7039
member's retirement eligibility date, it shall be paid under	7040
division (F) of this section and shall terminate as provided in	7041
that division. A benefit paid to a surviving spouse under division	7042
(F) of this section shall be determined in accordance with that	7043
division, even if benefits paid to surviving children are	7044
terminated as a result.	7045

Sec. 2329.66.  (A) Every person who is domiciled in this	7046
state may hold property exempt from execution, garnishment,	7047
attachment, or sale to satisfy a judgment or order, as follows:	7048

(1)(a) In the case of a judgment or order regarding money	7049
owed for health care services rendered or health care supplies	7050
provided to the person or a dependent of the person, one parcel or	7051
item of real or personal property that the person or a dependent	7052
of the person uses as a residence. Division (A)(1)(a) of this	7053
section does not preclude, affect, or invalidate the creation	7054
under this chapter of a judgment lien upon the exempted property	7055
but only delays the enforcement of the lien until the property is	7056
sold or otherwise transferred by the owner or in accordance with	7057
other applicable laws to a person or entity other than the	7058
surviving spouse or surviving minor children of the judgment	7059
debtor. Every person who is domiciled in this state may hold	7060
exempt from a judgment lien created pursuant to division (A)(1)(a)	7061
of this section the person's interest, not to exceed twenty	7062
thousand two hundred dollars, in the exempted property.	7063

(b) In the case of all other judgments and orders, the	7064
person's interest, not to exceed twenty thousand two hundred	7065
dollars, in one parcel or item of real or personal property that	7066
the person or a dependent of the person uses as a residence.	7067

(2) The person's interest, not to exceed three thousand two	7068
hundred twenty-five dollars, in one motor vehicle;	7069

(3) The person's interest, not to exceed four hundred	7070
dollars, in cash on hand, money due and payable, money to become	7071
due within ninety days, tax refunds, and money on deposit with a	7072
bank, savings and loan association, credit union, public utility,	7073
landlord, or other person, other than personal earnings.	7074

(4)(a) The person's interest, not to exceed five hundred	7075
twenty-five dollars in any particular item or ten thousand seven	7076
hundred seventy-five dollars in aggregate value, in household	7077
furnishings, household goods, wearing apparel, appliances, books,	7078
animals, crops, musical instruments, firearms, and hunting and	7079
fishing equipment that are held primarily for the personal,	7080
family, or household use of the person;	7081

(b) The person's aggregate interest in one or more items of	7082
jewelry, not to exceed one thousand three hundred fifty dollars,	7083
held primarily for the personal, family, or household use of the	7084
person or any of the person's dependents.	7085

(5) The person's interest, not to exceed an aggregate of two	7086
thousand twenty-five dollars, in all implements, professional	7087
books, or tools of the person's profession, trade, or business,	7088
including agriculture;	7089

(6)(a) The person's interest in a beneficiary fund set apart,	7090
appropriated, or paid by a benevolent association or society, as	7091
exempted by section 2329.63 of the Revised Code;	7092

(b) The person's interest in contracts of life or endowment	7093
insurance or annuities, as exempted by section 3911.10 of the	7094
Revised Code;	7095

(c) The person's interest in a policy of group insurance or	7096
the proceeds of a policy of group insurance, as exempted by	7097
section 3917.05 of the Revised Code;	7098

(d) The person's interest in money, benefits, charity,	7099
relief, or aid to be paid, provided, or rendered by a fraternal	7100
benefit society, as exempted by section 3921.18 of the Revised	7101
Code;	7102

(e) The person's interest in the portion of benefits under	7103
policies of sickness and accident insurance and in lump sum	7104
payments for dismemberment and other losses insured under those	7105
policies, as exempted by section 3923.19 of the Revised Code.	7106

(7) The person's professionally prescribed or medically	7107
necessary health aids;	7108

(8) The person's interest in a burial lot, including, but not	7109
limited to, exemptions under section 517.09 or 1721.07 of the	7110
Revised Code;	7111

(9) The person's interest in the following:

7112

(a) Moneys paid or payable for living maintenance or rights,	7113
as exempted by section 3304.19 of the Revised Code;	7114

(b) Workers' compensation, as exempted by section 4123.67 of	7115
the Revised Code;	7116

(c) Unemployment compensation benefits, as exempted by	7117
section 4141.32 of the Revised Code;	7118

(d) Cash assistance payments under the Ohio works first	7119
program, as exempted by section 5107.75 of the Revised Code;	7120

(e) Benefits and services under the prevention, retention,	7121
and contingency program, as exempted by section 5108.08 of the	7122
Revised Code;	7123

(f) Disability financial assistance payments, as exempted by	7124
section 5115.06 of the Revised Code;	7125

(g) Payments under section 24 or 32 of the "Internal Revenue	7126
Code of 1986," 100 Stat. 2085, 26 U.S.C. 1, as amended.	7127

(10)(a) Except in cases in which the person was convicted of	7128
or pleaded guilty to a violation of section 2921.41 of the Revised	7129
Code and in which an order for the withholding of restitution from	7130
payments was issued under division (C)(2)(b) of that section, in	7131
cases in which an order for withholding was issued under section	7132
2907.15 of the Revised Code, in cases in which an order for	7133
forfeiture was issued under division (A) or (B) of section	7134
2929.192 of the Revised Code, and in cases in which an order was	7135
issued under section 2929.193 or 2929.194 of the Revised Code, and	7136
only to the extent provided in the order, and except as provided	7137
in sections 3105.171, 3105.63, 3119.80, 3119.81, 3121.02, 3121.03,	7138
and 3123.06 of the Revised Code, the person's right to a pension,	7139
benefit, annuity, retirement allowance, or accumulated	7140
contributions, the person's right to a participant account in any	7141
deferred compensation program offered by the Ohio public employees	7142
deferred compensation board, a government unit, or a municipal	7143
corporation, or the person's other accrued or accruing rights, as	7144
exempted by section 145.56, 146.13, 148.09, 742.47, 3307.41,	7145
3309.66, or 5505.22 of the Revised Code, and the person's right to	7146
benefits from the Ohio public safety officers death benefit fund;	7147

(b) Except as provided in sections 3119.80, 3119.81, 3121.02,	7148
3121.03, and 3123.06 of the Revised Code, the person's right to	7149
receive a payment under any pension, annuity, or similar plan or	7150
contract, not including a payment from a stock bonus or	7151
profit-sharing plan or a payment included in division (A)(6)(b) or	7152
(10)(a) of this section, on account of illness, disability, death,	7153
age, or length of service, to the extent reasonably necessary for	7154
the support of the person and any of the person's dependents,	7155
except if all the following apply:	7156

(i) The plan or contract was established by or under the	7157
auspices of an insider that employed the person at the time the	7158
person's rights under the plan or contract arose.	7159

(ii) The payment is on account of age or length of service.

7160

(iii) The plan or contract is not qualified under the	7161
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C. 1, as	7162
amended.	7163

(c) Except for any portion of the assets that were deposited	7164
for the purpose of evading the payment of any debt and except as	7165
provided in sections 3119.80, 3119.81, 3121.02, 3121.03, and	7166
3123.06 of the Revised Code, the person's right in the assets held	7167
in, or to receive any payment under, any individual retirement	7168
account, individual retirement annuity, "Roth IRA," or education	7169
individual retirement account that provides benefits by reason of	7170
illness, disability, death, or age, to the extent that the assets,	7171
payments, or benefits described in division (A)(10)(c) of this	7172
section are attributable to any of the following:	7173

(i) Contributions of the person that were less than or equal	7174
to the applicable limits on deductible contributions to an	7175
individual retirement account or individual retirement annuity in	7176
the year that the contributions were made, whether or not the	7177
person was eligible to deduct the contributions on the person's	7178
federal tax return for the year in which the contributions were	7179
made;	7180

(ii) Contributions of the person that were less than or equal	7181
to the applicable limits on contributions to a Roth IRA or	7182
education individual retirement account in the year that the	7183
contributions were made;	7184

(iii) Contributions of the person that are within the	7185
applicable limits on rollover contributions under subsections 219,	7186
402(c), 403(a)(4), 403(b)(8), 408(b), 408(d)(3), 408A(c)(3)(B),	7187
408A(d)(3), and 530(d)(5) of the "Internal Revenue Code of 1986,"	7188
100 Stat. 2085, 26 U.S.C.A. 1, as amended.	7189

(d) Except for any portion of the assets that were deposited	7190
for the purpose of evading the payment of any debt and except as	7191
provided in sections 3119.80, 3119.81, 3121.02, 3121.03, and	7192
3123.06 of the Revised Code, the person's right in the assets held	7193
in, or to receive any payment under, any Keogh or "H.R. 10" plan	7194
that provides benefits by reason of illness, disability, death, or	7195
age, to the extent reasonably necessary for the support of the	7196
person and any of the person's dependents.	7197

(11) The person's right to receive spousal support, child	7198
support, an allowance, or other maintenance to the extent	7199
reasonably necessary for the support of the person and any of the	7200
person's dependents;	7201

(12) The person's right to receive, or moneys received during	7202
the preceding twelve calendar months from, any of the following:	7203

(a) An award of reparations under sections 2743.51 to 2743.72	7204
of the Revised Code, to the extent exempted by division (D) of	7205
section 2743.66 of the Revised Code;	7206

(b) A payment on account of the wrongful death of an	7207
individual of whom the person was a dependent on the date of the	7208
individual's death, to the extent reasonably necessary for the	7209
support of the person and any of the person's dependents;	7210

(c) Except in cases in which the person who receives the	7211
payment is an inmate, as defined in section 2969.21 of the Revised	7212
Code, and in which the payment resulted from a civil action or	7213
appeal against a government entity or employee, as defined in	7214
section 2969.21 of the Revised Code, a payment, not to exceed	7215
twenty thousand two hundred dollars, on account of personal bodily	7216
injury, not including pain and suffering or compensation for	7217
actual pecuniary loss, of the person or an individual for whom the	7218
person is a dependent;	7219

(d) A payment in compensation for loss of future earnings of	7220
the person or an individual of whom the person is or was a	7221
dependent, to the extent reasonably necessary for the support of	7222
the debtor and any of the debtor's dependents.	7223

(13) Except as provided in sections 3119.80, 3119.81,	7224
3121.02, 3121.03, and 3123.06 of the Revised Code, personal	7225
earnings of the person owed to the person for services in an	7226
amount equal to the greater of the following amounts:	7227

(a) If paid weekly, thirty times the current federal minimum	7228
hourly wage; if paid biweekly, sixty times the current federal	7229
minimum hourly wage; if paid semimonthly, sixty-five times the	7230
current federal minimum hourly wage; or if paid monthly, one	7231
hundred thirty times the current federal minimum hourly wage that	7232
is in effect at the time the earnings are payable, as prescribed	7233
by the "Fair Labor Standards Act of 1938," 52 Stat. 1060, 29	7234
U.S.C. 206(a)(1), as amended;	7235

(b) Seventy-five per cent of the disposable earnings owed to	7236
the person.	7237

(14) The person's right in specific partnership property, as	7238
exempted by division (B)(3) of section 1775.24 of the Revised Code	7239
or the person's rights in a partnership pursuant to section	7240
1776.50 of the Revised Code, except as otherwise set forth in	7241
section 1776.50 of the Revised Code;	7242

(15) A seal and official register of a notary public, as	7243
exempted by section 147.04 of the Revised Code;	7244

(16) The person's interest in a tuition unit or a payment	7245
under section 3334.09 of the Revised Code pursuant to a tuition	7246
payment contract, as exempted by section 3334.15 of the Revised	7247
Code;	7248

(17) Any other property that is specifically exempted from	7249
execution, attachment, garnishment, or sale by federal statutes	7250
other than the "Bankruptcy Reform Act of 1978," 92 Stat. 2549, 11	7251
U.S.C.A. 101, as amended;	7252

(18) The person's aggregate interest in any property, not to	7253
exceed one thousand seventy-five dollars, except that division	7254
(A)(18) of this section applies only in bankruptcy proceedings.	7255

(B) On April 1, 2010, and on the first day of April in each	7256
third calendar year after 2010, the Ohio judicial conference shall	7257
adjust each dollar amount set forth in this section to reflect the	7258
change in the consumer price index for all urban consumers, as	7259
published by the United States department of labor, or, if that	7260
index is no longer published, a generally available comparable	7261
index, for the three-year period ending on the thirty-first day of	7262
December of the preceding year. Any adjustments required by this	7263
division shall be rounded to the nearest twenty-five dollars.	7264

The Ohio judicial conference shall prepare a memorandum	7265
specifying the adjusted dollar amounts. The judicial conference	7266
shall transmit the memorandum to the director of the legislative	7267
service commission, and the director shall publish the memorandum	7268
in the register of Ohio. (Publication of the memorandum in the	7269
register of Ohio shall continue until the next memorandum	7270
specifying an adjustment is so published.) The judicial conference	7271
also may publish the memorandum in any other manner it concludes	7272
will be reasonably likely to inform persons who are affected by	7273
its adjustment of the dollar amounts.	7274

(C) As used in this section:

7275

(1) "Disposable earnings" means net earnings after the	7276
garnishee has made deductions required by law, excluding the	7277
deductions ordered pursuant to section 3119.80, 3119.81, 3121.02,	7278
3121.03, or 3123.06 of the Revised Code.	7279

(2) "Insider" means:

7280

(a) If the person who claims an exemption is an individual, a	7281
relative of the individual, a relative of a general partner of the	7282
individual, a partnership in which the individual is a general	7283
partner, a general partner of the individual, or a corporation of	7284
which the individual is a director, officer, or in control;	7285

(b) If the person who claims an exemption is a corporation, a	7286
director or officer of the corporation; a person in control of the	7287
corporation; a partnership in which the corporation is a general	7288
partner; a general partner of the corporation; or a relative of a	7289
general partner, director, officer, or person in control of the	7290
corporation;	7291

(c) If the person who claims an exemption is a partnership, a	7292
general partner in the partnership; a general partner of the	7293
partnership; a person in control of the partnership; a partnership	7294
in which the partnership is a general partner; or a relative in, a	7295
general partner of, or a person in control of the partnership;	7296

(d) An entity or person to which or whom any of the following	7297
applies:	7298

(i) The entity directly or indirectly owns, controls, or	7299
holds with power to vote, twenty per cent or more of the	7300
outstanding voting securities of the person who claims an	7301
exemption, unless the entity holds the securities in a fiduciary	7302
or agency capacity without sole discretionary power to vote the	7303
securities or holds the securities solely to secure to debt and	7304
the entity has not in fact exercised the power to vote.	7305

(ii) The entity is a corporation, twenty per cent or more of	7306
whose outstanding voting securities are directly or indirectly	7307
owned, controlled, or held with power to vote, by the person who	7308
claims an exemption or by an entity to which division (C)(2)(d)(i)	7309
of this section applies.	7310

(iii) A person whose business is operated under a lease or	7311
operating agreement by the person who claims an exemption, or a	7312
person substantially all of whose business is operated under an	7313
operating agreement with the person who claims an exemption.	7314

(iv) The entity operates the business or all or substantially	7315
all of the property of the person who claims an exemption under a	7316
lease or operating agreement.	7317

(e) An insider, as otherwise defined in this section, of a	7318
person or entity to which division (C)(2)(d)(i), (ii), (iii), or	7319
(iv) of this section applies, as if the person or entity were a	7320
person who claims an exemption;	7321

(f) A managing agent of the person who claims an exemption.

7322

(3) "Participant account" has the same meaning as in section	7323
148.01 of the Revised Code.	7324

(4) "Government unit" has the same meaning as in section	7325
148.06 of the Revised Code.	7326

(D) For purposes of this section, "interest" shall be	7327
determined as follows:	7328

(1) In bankruptcy proceedings, as of the date a petition is	7329
filed with the bankruptcy court commencing a case under Title 11	7330
of the United States Code;	7331

(2) In all cases other than bankruptcy proceedings, as of the	7332
date of an appraisal, if necessary under section 2329.68 of the	7333
Revised Code, or the issuance of a writ of execution.	7334

An interest, as determined under division (D)(1) or (2) of	7335
this section, shall not include the amount of any lien otherwise	7336
valid pursuant to section 2329.661 of the Revised Code.	7337

Sec. 2901.431. On the filing of charges against a person who	7338
is a member of the public employees retirement system alleging	7339
that the person committed a felony on or after the effective date	7340
of this section, the prosecutor assigned to the case shall send	7341
written notice to the retirement system that the charges have been	7342
filed. The notice shall specifically identify the person.	7343

For purposes of this section, a violation or offense that	7344
includes as an element a course of conduct or the occurrence of	7345
multiple acts is committed on or after the effective date of this	7346
section if the course of conduct continues, one or more of the	7347
multiple acts occurs, or the person's accountability for the	7348
course of conduct or one or more of the multiple acts continues on	7349
or after that date.	7350

Sec. 2921.13.  (A) No person shall knowingly make a false	7351
statement, or knowingly swear or affirm the truth of a false	7352
statement previously made, when any of the following applies:	7353

(1) The statement is made in any official proceeding.

7354

(2) The statement is made with purpose to incriminate	7355
another.	7356

(3) The statement is made with purpose to mislead a public	7357
official in performing the public official's official function.	7358

(4) The statement is made with purpose to secure the payment	7359
of unemployment compensation; Ohio works first; prevention,	7360
retention, and contingency benefits and services; disability	7361
financial assistance; retirement benefits or health care coverage	7362
from a state retirement system; economic development assistance,	7363
as defined in section 9.66 of the Revised Code; or other benefits	7364
administered by a governmental agency or paid out of a public	7365
treasury.	7366

(5) The statement is made with purpose to secure the issuance	7367
by a governmental agency of a license, permit, authorization,	7368
certificate, registration, release, or provider agreement.	7369

(6) The statement is sworn or affirmed before a notary public	7370
or another person empowered to administer oaths.	7371

(7) The statement is in writing on or in connection with a	7372
report or return that is required or authorized by law.	7373

(8) The statement is in writing and is made with purpose to	7374
induce another to extend credit to or employ the offender, to	7375
confer any degree, diploma, certificate of attainment, award of	7376
excellence, or honor on the offender, or to extend to or bestow	7377
upon the offender any other valuable benefit or distinction, when	7378
the person to whom the statement is directed relies upon it to	7379
that person's detriment.	7380

(9) The statement is made with purpose to commit or	7381
facilitate the commission of a theft offense.	7382

(10) The statement is knowingly made to a probate court in	7383
connection with any action, proceeding, or other matter within its	7384
jurisdiction, either orally or in a written document, including,	7385
but not limited to, an application, petition, complaint, or other	7386
pleading, or an inventory, account, or report.	7387

(11) The statement is made on an account, form, record,	7388
stamp, label, or other writing that is required by law.	7389

(12) The statement is made in connection with the purchase of	7390
a firearm, as defined in section 2923.11 of the Revised Code, and	7391
in conjunction with the furnishing to the seller of the firearm of	7392
a fictitious or altered driver's or commercial driver's license or	7393
permit, a fictitious or altered identification card, or any other	7394
document that contains false information about the purchaser's	7395
identity.	7396

(13) The statement is made in a document or instrument of	7397
writing that purports to be a judgment, lien, or claim of	7398
indebtedness and is filed or recorded with the secretary of state,	7399
a county recorder, or the clerk of a court of record.	7400

(14) The statement is made in an application filed with a	7401
county sheriff pursuant to section 2923.125 of the Revised Code in	7402
order to obtain or renew a license to carry a concealed handgun or	7403
is made in an affidavit submitted to a county sheriff to obtain a	7404
temporary emergency license to carry a concealed handgun under	7405
section 2923.1213 of the Revised Code.	7406

(15) The statement is required under section 5743.71 of the	7407
Revised Code in connection with the person's purchase of	7408
cigarettes or tobacco products in a delivery sale.	7409

(B) No person, in connection with the purchase of a firearm,	7410
as defined in section 2923.11 of the Revised Code, shall knowingly	7411
furnish to the seller of the firearm a fictitious or altered	7412
driver's or commercial driver's license or permit, a fictitious or	7413
altered identification card, or any other document that contains	7414
false information about the purchaser's identity.	7415

(C) No person, in an attempt to obtain a license to carry a	7416
concealed handgun under section 2923.125 of the Revised Code,	7417
shall knowingly present to a sheriff a fictitious or altered	7418
document that purports to be certification of the person's	7419
competence in handling a handgun as described in division (B)(3)	7420
of section 2923.125 of the Revised Code.	7421

(D) It is no defense to a charge under division (A)(6) of	7422
this section that the oath or affirmation was administered or	7423
taken in an irregular manner.	7424

(E) If contradictory statements relating to the same fact are	7425
made by the offender within the period of the statute of	7426
limitations for falsification, it is not necessary for the	7427
prosecution to prove which statement was false but only that one	7428
or the other was false.	7429

(F)(1) Whoever violates division (A)(1), (2), (3), (4), (5),	7430
(6), (7), (8), (10), (11), (13), or (15) of this section is guilty	7431
of falsification, a misdemeanor of the first degree.	7432

(2) Whoever violates division (A)(9) of this section is	7433
guilty of falsification in a theft offense. Except as otherwise	7434
provided in this division, falsification in a theft offense is a	7435
misdemeanor of the first degree. If the value of the property or	7436
services stolen is one thousand dollars or more and is less than	7437
seven thousand five hundred dollars, falsification in a theft	7438
offense is a felony of the fifth degree. If the value of the	7439
property or services stolen is seven thousand five hundred dollars	7440
or more and is less than one hundred fifty thousand dollars,	7441
falsification in a theft offense is a felony of the fourth degree.	7442
If the value of the property or services stolen is one hundred	7443
fifty thousand dollars or more, falsification in a theft offense	7444
is a felony of the third degree.	7445

(3) Whoever violates division (A)(12) or (B) of this section	7446
is guilty of falsification to purchase a firearm, a felony of the	7447
fifth degree.	7448

(4) Whoever violates division (A)(14) or (C) of this section	7449
is guilty of falsification to obtain a concealed handgun license,	7450
a felony of the fourth degree.	7451

(G) A person who violates this section is liable in a civil	7452
action to any person harmed by the violation for injury, death, or	7453
loss to person or property incurred as a result of the commission	7454
of the offense and for reasonable attorney's fees, court costs,	7455
and other expenses incurred as a result of prosecuting the civil	7456
action commenced under this division. A civil action under this	7457
division is not the exclusive remedy of a person who incurs	7458
injury, death, or loss to person or property as a result of a	7459
violation of this section.	7460

Sec. 2929.194. (A) This section applies to members of the	7461
public employees retirement system except that in any circumstance	7462
in which either section 2929.192 or 2929.193 of the Revised Code	7463
applies this section does not apply.	7464

(B) If an offender is being sentenced for a felony offense	7465
that was the cause of a physical or mental disability in the	7466
offender and was committed on or after the effective date of this	7467
section while the offender was a member of the public employees	7468
retirement system, in addition to any sanction it imposes under	7469
section 2929.14, 2929.15, 2929.16, 2929.17, or 2929.18 of the	7470
Revised Code but subject to division (C) of this section, the	7471
court shall order forfeiture of any right of the offender to a	7472
disability benefit from the retirement system that is based on the	7473
disability caused by commission of the felony. The forfeiture	7474
shall be ordered regardless of whether a disability benefit has	7475
been requested or granted. A forfeiture ordered under this section	7476
is part of, and shall be included in, the offender's sentence.	7477

(C) Before sentencing in a case in which the sentencing court	7478
is required to order forfeiture under division (B) of this	7479
section, the offender may request a hearing regarding the	7480
forfeiture by delivering a written request for a hearing to the	7481
court. If there is a timely request, the court shall schedule the	7482
hearing to be conducted before sentencing. Not later than ten days	7483
prior to the scheduled date of the hearing, the court shall give	7484
notice of the hearing date to the offender, the prosecutor who	7485
handled the case, and the retirement system. The hearing shall be	7486
limited to determination of whether the offender's disability	7487
resulted from commission of the offense. If a disability benefit	7488
has already been granted, the retirement system shall submit to	7489
the court documentation of the evidence on which the benefit was	7490
granted.	7491

(D) If the offender does not make a timely request for a	7492
hearing or if a hearing is held and the court determines that the	7493
disability resulted from commission of the offense, the court	7494
shall order the forfeiture of any right the offender may have to a	7495
disability benefit from the retirement system that is based on the	7496
disability caused by commission of the felony. If the disability	7497
benefit has already been granted, the court shall order	7498
termination of the benefit. Any disability benefit paid to the	7499
offender prior to its termination may be recovered in accordance	7500
with section 145.563 of the Revised Code.	7501

(E) The court shall send a copy of the journal entry imposing	7502
sentence on the offender to the retirement system.	7503

(F) For purposes of this section, any violation or offense	7504
that includes as an element a course of conduct or the occurrence	7505
of multiple acts is committed on or after the effective date of	7506
this section if the course of conduct continues, one or more of	7507
the multiple acts occurs, or the offender's accountability for the	7508
course of conduct or for one or more of the multiple acts	7509
continues on or after the effective date of this section.	7510

Sec. 3105.80.  As used in this section and sections 3105.81	7511
to 3105.90 of the Revised Code:	7512

(A) "Alternate payee" means a party in an action for divorce,	7513
legal separation, annulment, or dissolution of marriage who is to	7514
receive one or more payments from a benefit or lump sum payment	7515
under an order issued under section 3105.171 or 3105.65 of the	7516
Revised Code that is in compliance with sections 3105.81 to	7517
3105.90 of the Revised Code.	7518

(B) "Benefit" means a periodic payment under a pension,	7519
annuity, allowance, or other type of benefit, other than a	7520
survivor benefit, that has been or may be granted to a participant	7521
under sections 742.01 to 742.61 or Chapter 145., 3307., 3309., or	7522
5505. of the Revised Code or any payment that is to be made under	7523
a contract a participant has entered into for the purposes of an	7524
alternative retirement plan. "Benefit" also includes all amounts	7525
received or to be received under a plan of payment elected under	7526
division (B)(4)(E)(1) of section 145.46, division (B) of section	7527
3307.60, or division (B)(4) of section 3309.46 of the Revised	7528
Code.	7529

(C) "Lump sum payment" means a payment of accumulated	7530
contributions standing to a participant's credit under sections	7531
742.01 to 742.61 or Chapter 145., 3307., 3309., or 5505. of the	7532
Revised Code or pursuant to a contract a participant has entered	7533
into for the purposes of an alternative retirement plan and any	7534
other payment made or that may be made to a participant under	7535
those sections or chapters on withdrawal of a participant's	7536
contributions. "Lump sum payment" includes a lump sum payment	7537
under section 145.384, 742.26, 3307.352, or 3309.344 of the	7538
Revised Code.	7539

(D) "Participant" means a member, contributor, retirant, or	7540
disability benefit recipient who is or will be entitled to a	7541
benefit or lump sum payment under sections 742.01 to 742.61 or	7542
Chapter 145., 3307., 3309., or 5505. of the Revised Code or an	7543
employee who elects to participate in an alternative retirement	7544
plan under Chapter 3305. of the Revised Code.	7545

(E) "Personal history record" has the same meaning as in	7546
sections 145.27, 742.41, 3305.20, 3307.20, 3309.22, and 5505.04 of	7547
the Revised Code.	7548

(F) "Public retirement program" means the public employees	7549
retirement system, Ohio police and fire pension fund, school	7550
employees retirement system, state teachers retirement system,	7551
state highway patrol retirement system, or an entity providing an	7552
alternative retirement plan under Chapter 3305. of the Revised	7553
Code.	7554

Sec. 3305.06.  (A) Each electing employee shall contribute an	7555
amount, which shall be a certain percentage of the employee's	7556
compensation, to the provider of the investment option the	7557
employee has selected. This percentage shall be the percentage the	7558
electing employee would have otherwise been required to contribute	7559
to the state retirement system that applies to the employee's	7560
position, except that the percentage shall not be less than three	7561
per cent. Employee contributions under this division may be	7562
treated as employer contributions in accordance with Internal	7563
Revenue Code 414(h).	7564

(B) Each public institution of higher education employing an	7565
electing employee shall contribute a percentage of the employee's	7566
compensation to the provider of the investment option the employee	7567
has selected. This percentage shall be equal to the percentage	7568
that the public institution of higher education would otherwise	7569
contribute on behalf of that employee to the state retirement	7570
system that would otherwise cover that employee's position, less	7571
the percentage contributed by the public institution of higher	7572
education under division (D) of this section.	7573

(C)(1) In no event shall the amount contributed by the	7574
electing employee pursuant to division (A) of this section and on	7575
the electing employee's behalf pursuant to division (B) of this	7576
section be less than the amount necessary to qualify the plan as a	7577
state retirement system pursuant to Internal Revenue Code	7578
3121(B)(7) and the regulations adopted thereunder.	7579

(2) The full amount of the electing employee's contribution	7580
under division (A) of this section and the full amount of the	7581
employer's contribution made on behalf of that employee under	7582
division (B) of this section shall be paid to the appropriate	7583
provider for application to the electing employee's investment	7584
option.	7585

(D) Each public institution of higher education employing an	7586
electing employee shall contribute on behalf of that employee to	7587
the state retirement system that otherwise applies to the electing	7588
employee's position a percentage of the electing employee's	7589
compensation to mitigate any negative financial impact of the	7590
alternative retirement program on the state retirement system. The	7591
percentage shall be six per cent, except that the percentage may	7592
be adjusted by the Ohio retirement study council to reflect the	7593
determinations made by actuarial studies conducted under section	7594
171.07 of the Revised Code. Any adjustment shall become effective	7595
on the first day of the second month following submission of the	7596
actuarial study to the board of regents under section 171.07 of	7597
the Revised Code.	7598

Contributions on behalf of an electing employee shall	7599
continue in accordance with this division until the occurrence of	7600
the following:	7601

(1) If the electing employee would be subject to Chapter 145.	7602
of the Revised Code had the employee not made an election pursuant	7603
to section 3305.05 or 3305.051 of the Revised Code, until the	7604
unfunded actuarial accrued liability for all benefits, except	7605
health care benefits provided under section 145.325 or 145.58 or	7606
145.584 of the Revised Code and benefit increases provided after	7607
March 31, 1997, is fully amortized, as determined by the annual	7608
actuarial valuation prepared under section 145.22 of the Revised	7609
Code;	7610

(2) If the electing employee would be subject to Chapter	7611
3307. of the Revised Code had the employee not made an election	7612
pursuant to section 3305.05 or 3305.051 of the Revised Code, until	7613
the unfunded actuarial accrued liability for all benefits, except	7614
health care benefits provided under section 3307.39 or 3307.61 of	7615
the Revised Code and benefit increases provided after March 31,	7616
1997, is fully amortized, as determined by the annual actuarial	7617
valuation prepared under section 3307.51 of the Revised Code;	7618

(3) If the electing employee would be subject to Chapter	7619
3309. of the Revised Code had the employee not made an election	7620
pursuant to section 3305.05 or 3305.051 of the Revised Code, until	7621
the unfunded actuarial accrued liability for all benefits, except	7622
health care benefits provided under section 3309.375 or 3309.69 of	7623
the Revised Code and benefit increases provided after March 31,	7624
1997, is fully amortized, as determined by the annual actuarial	7625
valuation prepared under section 3309.21 of the Revised Code.	7626

Sec. 3307.57.  To coordinate and integrate membership in the	7627
state retirement systems, the following provisions apply:	7628

(A) As used in this section:

7629

(1) "Retirement systems" means the public employees	7630
retirement system, state teachers retirement system, and school	7631
employees retirement system.	7632

(2) In addition to the meaning given in section 3307.50 of	7633
the Revised Code, "disability benefit" means "disability benefit"	7634
as defined in sections 145.01 and 3309.01 of the Revised Code.	7635

(B) At the option of a member participating in the plan	7636
described in sections 3307.50 to 3307.79 of the Revised Code,	7637
total contributions and service credit in all retirement systems,	7638
including amounts paid to restore service credit under sections	7639
145.311, 3307.711, and 3309.261 of the Revised Code, shall be used	7640
in determining the eligibility for benefits. If total	7641
contributions and service credit are combined, the following	7642
provisions apply:	7643

(1) Service retirement or a disability benefit is effective	7644
on the first day of the month next following the later of:	7645

(a) The last day for which compensation was paid;

7646

(b) The attainment of minimum age or service credit for	7647
benefits provided under this section.	7648

(2) "Total service credit" includes the total credit in all	7649
retirement systems except that such credit shall not exceed one	7650
year for any period of twelve months.	7651

(3) In determining eligibilityEligibility for a disability	7652
benefit, the medical examiner's report toshall be determined by	7653
the board of anythe state retirement system, showing that will	7654
calculate and pay the member's disability incapacitates the member	7655
for the performance of duty, maybenefit, as provided in division	7656
(B)(4) of this section. The state retirement system calculating	7657
and paying the disability benefit shall certify the determination	7658
to the board of each other state retirement system in which the	7659
member has service credit and shall be accepted by that board as	7660
sufficient for granting a disability benefit.	7661

(4) The board of the state retirement system in which the	7662
member had the greatest service credit, without adjustment, shall	7663
determinecalculate and pay the total benefit. If the member's	7664
credit is equal in two or more retirement systems, the system	7665
having the member's largest total contributions shall determine	7666
calculate and pay the total benefit.	7667

(5) In determining the total credit to be used in calculating	7668
a benefit, credit shall not be reduced below that certified by the	7669
system or systems transferring credit, except that such total	7670
combined service credit shall not exceed one year of credit for	7671
any one "year" as defined in the statute governing the system	7672
making the calculation.	7673

(6)(a) The retirement system determiningcalculating and	7674
paying the benefit shall receive from the other system or systems	7675
the member's refundable account at retirement or the effective	7676
date of a disability benefit plus an amount from the employers'	7677
trust fund equal to the member's refundable account less interest	7678
credited under section 145.471, 145.472, or 3307.563 of the	7679
Revised Code. If applicable, the retirement system determining and	7680
paying the benefit shall receive from the public employees	7681
retirement system a portion of the amount paid on behalf of the	7682
member by an employer under section 145.483 of the Revised Code.	7683
The portion shall equal the product obtained by multiplying by two	7684
the amount the member would have contributed during the period the	7685
employer failed to deduct contributions, as described in section	7686
145.483 of the Revised Codeall of the following for each year of	7687
service:	7688

(i) The amount contributed by the member, or, in the case of	7689
service credit purchased by the member, paid by the member, that	7690
is attributable to the year of service;	7691

(ii) An amount equal to the lesser of the employer's	7692
contributions made on behalf of the member to the retirement	7693
system for that year of service or the amount that would have been	7694
contributed by the employer for the service had the member been a	7695
member of the state teachers retirement system at the time the	7696
credit was earned;	7697

(iii) If applicable, an amount equal to the amount paid on	7698
behalf of the member by an employer under section 145.483 of the	7699
Revised Code;	7700

(iv) Interest on the amounts specified in divisions	7701
(B)(6)(a)(i), (ii), and (iii) of this section at the actuarial	7702
assumption rate of the retirement system determining and paying	7703
the benefit.	7704

(a)(b) The annuity rates and mortality tables of the	7705
retirement system making the calculation and paying the benefit	7706
shall be applicable.	7707

(b)(c) Deposits made for the purchase of additional income,	7708
with guaranteed interest, upon the member's request, shall be	7709
transferred to the retirement system paying the regular benefit.	7710
The return upon such deposits shall be that offered by the	7711
retirement system making the calculation and paying the regular	7712
benefit.	7713

(C) A person receiving a benefit under this section, who	7714
accepts employment amenable to coverage in any retirement system	7715
that participated in the person's combined benefit, shall be	7716
subject to the applicable provisions of law governing such	7717
re-employment.	7718

If a retirant should be paid any amount to which the retirant	7719
is not entitled under the applicable provisions of law governing	7720
such re-employment, such amount shall be recouped by the	7721
retirement system paying such benefit by utilizing any recovery	7722
procedure available under the law of the retirement system	7723
covering such re-employment.	7724

Sec. 3309.312.  (A) Not later than ninety days after	7725
September 16, 1998, a member who, on September 16, 1998, is	7726
employed full time pursuant to section 3345.04 of the Revised Code	7727
by the university of Akron as a state university law enforcement	7728
officer may elect to transfer to the public employees retirement	7729
system in accordance with this section. An election shall be made	7730
by giving notice to the school employees retirement system on a	7731
form provided by the school employees retirement board and shall	7732
be irrevocable.	7733

(B) When a member makes the election described in this	7734
section, the school employees retirement system shall notify the	7735
public employees retirement system. The school employees	7736
retirement system shall transfer all of the member's service	7737
credit to the public employees retirement system and shall certify	7738
to the public employees retirement system a copy of the member's	7739
records of service and contributions. For each year or portion of	7740
a year of credit, the school employees retirement system shall	7741
transfer to the public employees retirement system all of the	7742
following:	7743

(1) An amount equal to the accumulated contributions standing	7744
to the member's credit;	7745

(2) An amount equal to the total employer contributions paid	7746
on behalf of the member;	7747

(3) Any amount paid by the member or employer to the school	7748
employees retirement system for the purchase of service credit.	7749

At the request of the public employees retirement system, the	7750
employer of a member who makes an election under this section	7751
shall certify to the public employees retirement system the	7752
member's salary.	7753

(C) A member who elects to transfer to the public employees	7754
retirement system under this section shall make contributions and	7755
receive benefits in accordance with divisions (B) to (F) of	7756
section 145.33145.332 of the Revised Code.	7757

(D) A member who fails to make an election in accordance with	7758
this section shall remain a member of the school employees	7759
retirement system.	7760

Sec. 3309.35.  (A) As used in this section:

7761

(1) "State retirement system" means the public employees	7762
retirement system, state teachers retirement system, or school	7763
employees retirement system.	7764

(2) "Total service credit" means all service credit earned in	7765
all state retirement systems, except credit for service subject to	7766
section 3309.341 of the Revised Code. Total service credit shall	7767
not exceed one year of credit for any twelve-month period.	7768

(3) In addition to the meaning given in division (O) of	7769
section 3309.01 of the Revised Code, "disability benefit" means	7770
"disability benefit" as defined in sections 145.01 and 3307.01 of	7771
the Revised Code.	7772

(B) To coordinate and integrate membership in the state	7773
retirement systems, at the option of a member, total contributions	7774
and service credit in all state retirement systems, including	7775
amounts paid to restore service credit under sections 145.311,	7776
3307.711, and 3309.261 of the Revised Code, shall be used in	7777
determining the eligibility and total retirement or disability	7778
benefit payable. When total contributions and service credit are	7779
so combined, the following provisions apply:	7780

(1) Service and commuted service retirement or a disability	7781
benefit is effective no sooner than the first day of the month	7782
next following the last day of employment for which compensation	7783
was paid. If the application is filed after that date, the board	7784
may retire the member on the first day of the month next following	7785
the last day of employment for which compensation was paid.	7786

(2) In determining eligibilityEligibility for a disability	7787
benefit, the medical examiner's report toshall be determined by	7788
the retirement board of anythe state retirement system, showing	7789
that will calculate and pay the member's disability incapacitates	7790
the member for the performance of duty, maybenefit, as provided	7791
in division (B)(3) of this section. The state retirement system	7792
calculating and paying the disability benefit shall certify the	7793
determination to the board of each other state retirement system	7794
in which the member has service credit and shall be accepted by	7795
the state retirement boardsthat board as sufficient for granting	7796
a disability benefit.	7797

(3) The board of the state retirement system in which the	7798
member had the greatest service credit, without adjustment, shall	7799
determinecalculate and pay the total retirement or disability	7800
benefit. Where the member's credit is equal in two or more state	7801
retirement systems, the system having the largest total	7802
contributions of the member shall determinecalculate and pay the	7803
total benefit.	7804

(4) In determining the total credit to be used in calculating	7805
a retirement allowance or disability benefit, credit shall not be	7806
reduced below that certified by the system or systems transferring	7807
credit, except that such total combined service credit shall not	7808
exceed one year of credit for any one "year" as defined in the law	7809
of the system making the calculation.	7810

(5)(a) The state retirement system determiningcalculating	7811
and paying a retirement or disability benefit shall receive from	7812
the other system or systems the member's refundable account at	7813
retirement or the effective date of a disability benefit plus an	7814
amount from the employers' trust fund equal to the member's	7815
refundable account less the interest credited under section	7816
145.471, 145.472, or 3307.563 of the Revised Code. If applicable,	7817
the retirement system determining and paying the benefit shall	7818
receive from the public employees retirement system a portion of	7819
the amount paid on behalf of the member by an employer under	7820
section 145.483 of the Revised Code. The portion shall equal the	7821
product obtained by multiplying by two the amount the member would	7822
have contributed during the period the employer failed to deduct	7823
contributions, as described in section 145.483 of the Revised Code	7824
all of the following for each year of service:	7825

(i) The amount contributed by the member, or, in the case of	7826
service credit purchased by the member, paid by the member, that	7827
is attributable to that year of service;	7828

(ii) An amount equal to the lesser of the employer's	7829
contributions made on behalf of the member to the retirement	7830
system for that year of service or the amount that would have been	7831
contributed by the employer for the service had the member been a	7832
member of the school employees retirement system at the time the	7833
credit was earned;	7834

(iii) If applicable, an amount equal to the amount paid on	7835
behalf of the member by an employer under section 145.483 of the	7836
Revised Code;	7837

(iv) Interest on the amounts specified in divisions	7838
(B)(5)(a)(i), (ii), and (iii) of this section at the actuarial	7839
assumption rate of the retirement system determining and paying	7840
the benefit.	7841

(a)(b) The annuity rates and mortality tables of the state	7842
retirement system making the calculation and paying the benefit	7843
shall be exclusively applicable.	7844

(b)(c) Deposits made for the purchase of an additional	7845
annuity, and including guaranteed interest, upon the request of	7846
the member, shall be transferred to the state retirement system	7847
paying the retirement or disability benefit. The return upon such	7848
deposits shall be that offered by the state retirement system	7849
making the calculation and paying the retirement or disability	7850
benefit.	7851

(C) A former member receiving a retirement or disability	7852
benefit under this section, who accepts employment amenable to	7853
coverage in any state retirement system that participated in the	7854
member's combined benefit, shall be subject to the applicable	7855
provisions of law governing such re-employment. If a former member	7856
should be paid any amount in a retirement allowance, to which the	7857
former member is not entitled under the applicable provisions of	7858
law governing such re-employment, such amount shall be recovered	7859
by the state retirement system paying such allowance by utilizing	7860
any recovery procedure available under the code provisions of the	7861
state retirement system covering such re-employment.	7862

(D) An SERS retirant or other system retirant, as defined in	7863
section 3309.341 of the Revised Code, is not eligible to receive	7864
any benefit under this section for service subject to section	7865
3309.341 of the Revised Code.	7866

Sec. 3375.411.  A board of library trustees of a free public	7867
library, appointed pursuant to the provisions of sections 3375.06,	7868
3375.08, 3375.12, 3375.15, and 3375.22 of the Revised Code, which	7869
has not less than seventy-five full-time employees, and which,	7870
prior to September 16, 1943, was providing for retirement of the	7871
employees of such library with annuities, insurance, or other	7872
provisions, under authority granted by former section 7889 of the	7873
General Code, may provide such retirement, insurance, or other	7874
provisions in the same manner authorized by former section 7889 of	7875
the General Code, as follows: the library board of such library	7876
which has appropriated and paid the board's portion provided in	7877
such system or plan, may continue to appropriate and pay the	7878
board's portion provided in such system or plan out of the funds	7879
received to the credit of such board by taxation or otherwise.	7880
Each employee of such library who is to be included in a system of	7881
retirement shall contribute to the retirement fund not less than	7882
four per cent per annum of the employee's salary from the time of	7883
eligibility to join the retirement system to the time of	7884
retirement. If a group insurance plan is installed by any library,	7885
not less than fifty per cent of the cost of such insurance shall	7886
be borne by the employees included in such plan.	7887

Provided, any employee whose employment by said library began	7888
on or after September 16, 1943, may exempt self from inclusion in	7889
such retirement system, or withdraw from such retirement system.	7890
Upon such exemption or withdrawal, such person shall become a	7891
member of the public employees retirement system in accordance	7892
with former section 145.02 and sections 145.02, 145.03, and 145.28	7893
of the Revised Code, respectively. All employees appointed for the	7894
first time on and after January 1, 1956, shall, for retirement	7895
purposes, be eligible only for membership in the public employees	7896
retirement system as provided in Chapter 145. of the Revised Code.	7897

A library board which provides for the retirement of its	7898
employees with annuities, insurance, or other provisions under the	7899
authority granted by this section may, pursuant to a board	7900
resolution adopted within thirty days after the effective date of	7901
this section, terminate such retirement plan. Upon the effective	7902
date of such termination, which is specified in the resolution,	7903
each employee covered by such retirement plan shall become a	7904
member of the public employees retirement system.	7905

Section 2.  That existing sections 101.92, 101.93, 145.01,	7906
145.04, 145.041, 145.05, 145.057, 145.06, 145.09, 145.19, 145.191,	7907
145.192, 145.193, 145.20, 145.201, 145.22, 145.23, 145.27, 145.28,	7908
145.29, 145.291, 145.293, 145.294, 145.295, 145.297, 145.298,	7909
145.299, 145.2911, 145.2912, 145.2913, 145.2914, 145.30, 145.301,	7910
145.32, 145.323, 145.325, 145.33, 145.331, 145.35, 145.36,	7911
145.361, 145.362, 145.37, 145.38, 145.383, 145.384, 145.39,	7912
145.40, 145.401, 145.41, 145.43, 145.45, 145.452, 145.46, 145.461,	7913
145.462, 145.47, 145.473, 145.48, 145.483, 145.49, 145.51, 145.54,	7914
145.56, 145.561, 145.563, 145.58, 145.62, 145.63, 145.64, 145.813,	7915
145.814, 145.82, 145.83, 145.87, 145.92, 145.95, 145.97, 742.63,	7916
2329.66, 2921.13, 3105.80, 3305.06, 3307.57, 3309.312, 3309.35,	7917
and 3375.411 and sections 145.02, 145.292, 145.321, 145.322,	7918
145.324, 145.326, 145.327, 145.328, 145.329, 145.3210, 145.3211,	7919
145.3212, 145.3213, 145.332, 145.34, 145.42, and 145.44 are hereby	7920
repealed.	7921

Section 3.  Notwithstanding the times specified in the	7922
amendments to section 145.87 of the Revised Code made by this act,	7923
if the Public Employees Retirement Board determines that a	7924
decrease in the percentage transferred under that section is	7925
warranted, the Board may decrease the percentage transferred not	7926
later than one hundred twenty days after the effective date of	7927
this section. The decrease shall take effect on the first day of	7928
the second month following the Board's action.	7929

Section 4. (A) The amendments by this act regarding	7930
purchasing or obtaining service credit from the Public Employees	7931
Retirement System do not apply if purchasing or obtaining the	7932
service credit is initiated not later than six months after the	7933
effective date of this section. Purchasing or obtaining service	7934
credit shall be considered to be initiated not later than six	7935
months after the effective date of this section if the member	7936
makes one or more payments before that date.	7937

(B) Purchasing or obtaining service credit under Chapter 145.	7938
of the Revised Code shall continue at the total cost of that	7939
credit immediately before the period ending six months after the	7940
effective date of this section if the retirement system receives	7941
from the member one or more payments not later than six months	7942
after the effective date of this section. The total cost shall	7943
continue unchanged unless the requirements of section 145.294 of	7944
the Revised Code, and any applicable rules adopted pursuant to	7945
that section, are not met.	7946