Sub. S. B. No. 343 As Reported by the Senate Insurance, Commerce and Labor Committee

As Reported by the Senate Insurance, Commerce and Labor Committee

129th General Assembly

Regular Session

2011-2012

Sub. S. B. No. 343

Senators Niehaus, Kearney

A BILL

To amend sections 101.92, 101.93, 145.01, 145.04,

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

145.191, 145.192, 145.193, 145.20, 145.201,

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

145.293, 145.294, 145.295, 145.297, 145.298,

145.299, 145.2911, 145.2912, 145.2913, 145.2914,

145.30, 145.301, 145.31, 145.32, 145.323, 145.33,

145.331, 145.35, 145.36, 145.361, 145.362, 145.37,

145.38, 145.383, 145.384, 145.39, 145.40, 145.401,

145.41, 145.43, 145.45, 145.452, 145.46, 145.47,

145.473, 145.48, 145.483, 145.49, 145.51, 145.54,

145.56, 145.561, 145.563, 145.58, 145.62, 145.63,

145.64, 145.813, 145.814, 145.82, 145.83, 145.87,

145.92, 145.95, 145.97, 742.63, 2329.66, 2921.13,

3105.80, 3305.06, 3305.57, 3309.312, 3309.35, and

3375.411; to amend, for the purpose of adopting

new section numbers as indicated in parentheses,

sections 145.29 (145.292) and 145.325 (145.584);

to enact new sections 145.29 and 145.332 and

sections 145.016, 145.017, 145.036, 145.037,

145.038, 145.101, 145.194, 145.195, 145.2915,

145.2916, 145.333, 145.363, 145.431, 145.574,

2901.431, and 2929.194; and to repeal sections

145.02, 145.292, 145.321, 145.322, 145.324,

145.326, 145.327, 145.328, 145.329, 145.3210,

145.3211, 145.3212, 145.3213, 145.332, 145.34,

145.42, 145.44, 145.461, and 145.462 of the

Revised Code to revise the law governing the

Public Employees Retirement System.

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
145.31, 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, 145.47, 145.473,	37
145.48, 145.483, 145.49, 145.51, 145.54, 145.56, 145.561, 145.563,	38
145.58, 145.62, 145.63, 145.64, 145.813, 145.814, 145.82, 145.83,	39
145.87, 145.92, 145.95, 145.97, 742.63, 2329.66, 2921.13, 3105.80,	40
3305.06, 3307.57, 3309.312, 3309.35, and 3375.411 be amended;	41
sections 145.29 (145.292) and 145.325 (145.584) be amended for the	42
purpose of adopting new section numbers as indicated in	43
parentheses; and new sections 145.29 and 145.332 and sections	44
145.016, 145.017, 145.036, 145.037, 145.038, 145.101, 145.194,	45
145.195, 145.2915, 145.2916, 145.333, 145.363, 145.431, 145.574,	46
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 party~~retirement 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 ~~121.62~~101.92 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 ~~121.62~~101.92 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) of section 145.38	303
of the Revised Code. "Member" also includes a disability benefit	304
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 ~~three~~the appropriate number specified in section	438
145.017 of the Revised Code the ~~sum~~greater of ~~the three full~~the	439
following:	440

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

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

~~(2)~~ If a member has less than ~~three~~the 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 calendar years, including any fraction of a year, of the	457
member's contributing service, except that the member's final	458
average salary shall not exceed the member's highest earnable	459
salary in any twelve consecutive months. If contributions were	460
made for less than twelve months, "final average salary" means the	461
member's total earnable salary.	462

~~(3) For the purpose of calculating benefits payable to a~~	463
~~member qualifying for service credit under division (Z) of this~~	464
~~section, "final average salary" means the total earnable salary on~~	465
~~which contributions were made divided by the total number of years~~	466
~~during which contributions were made, including any fraction of a~~	467
~~year. If contributions were made for less than twelve months,~~	468
~~"final average salary" means the member's total earnable salary.~~	469

(L) "Annuity" means payments for life derived from	470
contributions made by a contributor and paid from the annuity and	471
pension reserve fund as provided in this chapter. All annuities	472
shall be paid in twelve equal monthly installments.	473

(M) "Annuity reserve" means the present value, computed upon	474
the basis of the mortality and other tables adopted by the board,	475
of all payments to be made on account of any annuity, or benefit	476
in lieu of any annuity, granted to a retirant as provided in this	477
chapter.	478

(N)(1) "Disability retirement" means retirement as provided	479
in section 145.36 of the Revised Code.	480

(2) "Disability allowance" means an allowance paid on account	481
of disability under section 145.361 of the Revised Code.	482

(3) "Disability benefit" means a benefit paid as disability	483
retirement under section 145.36 of the Revised Code, as a	484
disability allowance under section 145.361 of the Revised Code, or	485
as a disability benefit under section 145.37 of the Revised Code.	486

(4) "Disability benefit recipient" means a member who is	487
receiving a disability benefit.	488

(O) "Age and service retirement" means retirement as provided	489
in sections 145.32, 145.33, 145.331, ~~145.34,~~145.332, 145.37, and	490
145.46 and former section 145.34 of the Revised Code.	491

(P) "Pensions" means annual payments for life derived from	492
contributions made by the employer that at the time of retirement	493
are credited into the annuity and pension reserve fund from the	494
employers' accumulation fund and paid from the annuity and pension	495
reserve fund as provided in this chapter. All pensions shall be	496
paid in twelve equal monthly installments.	497

(Q) "Retirement allowance" means the pension plus that	498
portion of the benefit derived from contributions made by the	499
member.	500

(R)(1) Except as otherwise provided in division (R) of this	501
section, "earnable salary" means all salary, wages, and other	502
earnings paid to a contributor by reason of employment in a	503
position covered by the retirement system. The salary, wages, and	504
other earnings shall be determined prior to determination of the	505
amount required to be contributed to the employees' savings fund	506
under section 145.47 of the Revised Code and without regard to	507
whether any of the salary, wages, or other earnings are treated as	508
deferred income for federal income tax purposes. "Earnable salary"	509
includes the following:	510

(a) Payments made by the employer in lieu of salary, wages,	511
or other earnings for sick leave, personal leave, or vacation used	512
by the contributor;	513

(b) Payments made by the employer for the conversion of sick	514
leave, personal leave, and vacation leave accrued, but not used if	515
the payment is made during the year in which the leave is accrued,	516
except that payments made pursuant to section 124.383 or 124.386	517
of the Revised Code are not earnable salary;	518

(c) Allowances paid by the employer for ~~full~~ maintenance,	519
consisting of housing, laundry, and meals, as certified to the	520
retirement board by the employer or the head of the department	521
that employs the contributor;	522

(d) Fees and commissions paid under section 507.09 of the	523
Revised Code;	524

(e) Payments that are made under a disability leave program	525
sponsored by the employer and for which the employer is required	526
by section 145.296 of the Revised Code to make periodic employer	527
and employee contributions;	528

(f) Amounts included pursuant to ~~divisions~~division (K)~~(3)~~	529
and former division (Y) of this section and section 145.2916 of	530
the Revised Code.	531

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

532

(a) Fees and commissions, other than those paid under section	533
507.09 of the Revised Code, paid as sole compensation for personal	534
services and fees and commissions for special services over and	535
above services for which the contributor receives a salary;	536

(b) Amounts paid by the employer to provide life insurance,	537
sickness, accident, endowment, health, medical, hospital, dental,	538
or surgical coverage, or other insurance for the contributor or	539
the contributor's family, or amounts paid by the employer to the	540
contributor in lieu of providing the insurance;	541

(c) Incidental benefits, including lodging, food, laundry,	542
parking, or services furnished by the employer, or use of the	543
employer's property or equipment, or amounts paid by the employer	544
to the contributor in lieu of providing the incidental benefits;	545

(d) Reimbursement for job-related expenses authorized by the	546
employer, including moving and travel expenses and expenses	547
related to professional development;	548

(e) Payments for accrued but unused sick leave, personal	549
leave, or vacation that are made at any time other than in the	550
year in which the sick leave, personal leave, or vacation was	551
accrued;	552

(f) Payments made to or on behalf of a contributor that are	553
in excess of the annual compensation that may be taken into	554
account by the retirement system under division (a)(17) of section	555
401 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	556
U.S.C.A. 401(a)(17), as amended;	557

(g) Payments made under division (B), (C), or (E) of section	558
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill	559
No. 3 of the 119th general assembly, Section 3 of Amended	560
Substitute Senate Bill No. 164 of the 124th general assembly, or	561
Amended Substitute House Bill No. 405 of the 124th general	562
assembly;	563

(h) Anything of value received by the contributor that is	564
based on or attributable to retirement or an agreement to retire,	565
except that payments made on or before January 1, 1989, that are	566
based on or attributable to an agreement to retire shall be	567
included in earnable salary if both of the following apply:	568

(i) The payments are made in accordance with contract	569
provisions that were in effect prior to January 1, 1986;	570

(ii) The employer pays the retirement system an amount	571
specified by the retirement board equal to the additional	572
liability resulting from the payments.	573

(i) The portion of any amount included in section 145.2916 of	574
the Revised Code that represents employer contributions.	575

(3) The retirement board shall determine by rule whether any	576
compensation not enumerated in division (R) of this section is	577
earnable salary, and its decision shall be final.	578

(S) "Pension reserve" means the present value, computed upon	579
the basis of the mortality and other tables adopted by the board,	580
of all payments to be made on account of any retirement allowance	581
or benefit in lieu of any retirement allowance, granted to a	582
member or beneficiary under this chapter.	583

(T)~~(1)~~ "Contributing service" means ~~all~~both of the	584
following:	585

(1) All service credited to a member of the system since	586
January 1, 1935, for which contributions are made as required by	587
sections 145.47, 145.48, and 145.483 of the Revised Code. In any	588
year subsequent to 1934, credit for any service shall be allowed	589
~~by the following formula:~~	590

~~(a) For each month for which the member's earnable salary is~~	591
~~two hundred fifty dollars or more, allow one month's credit.~~	592

~~(b) For each month for which the member's earnable salary is~~	593
~~less than two hundred fifty dollars, allow a fraction of a month's~~	594
~~credit. The numerator of this fraction shall be the earnable~~	595
~~salary during the month, and the denominator shall be two hundred~~	596
~~fifty dollars, except that if the member's annual earnable salary~~	597
~~is less than six hundred dollars, the member's credit shall not be~~	598
~~reduced below twenty per cent of a year for a calendar year of~~	599
~~employment during which the member worked each month. Division~~	600
~~(T)(1)(b) of this section shall not reduce any credit earned~~	601
~~before January 1, 1985.~~	602

~~(2) Notwithstanding division (T)(1) of this section, an~~	603
~~elected official who prior to January 1, 1980, was granted a full~~	604
~~year of credit for each year of service as an elected official~~	605
~~shall be considered to have earned a full year of credit for each~~	606
~~year of service regardless of whether the service was full-time or~~	607
~~part-time. The public employees retirement board has no authority~~	608
~~to reduce the credit~~in accordance with section 145.016 of the	609
Revised Code;	610

(2) Service credit received by election of the member under	611
section 145.814 of the Revised Code.	612

(U) "State retirement board" means the public employees	613
retirement board, the school employees retirement board, or the	614
state teachers retirement board.	615

(V) "Retirant" means any former member who retires and is	616
receiving a monthly allowance as provided in sections 145.32,	617
145.33, 145.331, ~~145.34,~~145.332, and 145.46 and former section	618
145.34 of the Revised Code.	619

(W) "Employer contribution" means the amount paid by an	620
employer as determined under section 145.48 of the Revised Code.	621

(X) "Public service terminates" means the last day for which	622
a public employee is compensated for services performed for an	623
employer or the date of the employee's death, whichever occurs	624
first.	625

(Y) ~~When a member has been elected or appointed to an office,~~	626
~~the term of which is two or more years, for which an annual salary~~	627
~~is established, and in the event that the salary of the office is~~	628
~~increased and the member is denied the additional salary by reason~~	629
~~of any constitutional provision prohibiting an increase in salary~~	630
~~during a term of office, the member may elect to have the amount~~	631
~~of the member's contributions calculated upon the basis of the~~	632
~~increased salary for the office. At the member's request, the~~	633
~~board shall compute the total additional amount the member would~~	634
~~have contributed, or the amount by which each of the member's~~	635
~~contributions would have increased, had the member received the~~	636
~~increased salary for the office the member holds. If the member~~	637
~~elects to have the amount by which the member's contribution would~~	638
~~have increased withheld from the member's salary, the member shall~~	639
~~notify the employer, and the employer shall make the withholding~~	640
~~and transmit it to the retirement system. A member who has not~~	641
~~elected to have that amount withheld may elect at any time to make~~	642
~~a payment to the retirement system equal to the additional amount~~	643
~~the member's contribution would have increased, plus interest on~~	644
~~that contribution, compounded annually at a rate established by~~	645
~~the board and computed from the date on which the last~~	646
~~contribution would have been withheld from the member's salary to~~	647
~~the date of payment. A member may make a payment for part of the~~	648
~~period for which the increased contribution was not withheld, in~~	649
~~which case the interest shall be computed from the date the last~~	650
~~contribution would have been withheld for the period for which the~~	651
~~payment is made. Upon the payment of the increased contributions~~	652
~~as provided in this division, the increased annual salary as~~	653
~~provided by law for the office for the period for which the member~~	654
~~paid increased contributions thereon shall be used in determining~~	655
~~the member's earnable salary for the purpose of computing the~~	656
~~member's final average salary.~~	657

~~(Z)~~ "Five years of service credit," for the exclusive purpose	658
of satisfying the service credit requirements and of determining	659
eligibility ~~for benefits~~ under section 145.33 or 145.332 of the	660
Revised Code, means employment covered under this chapter or under	661
a former retirement plan operated, recognized, or endorsed by the	662
employer prior to coverage under this chapter or under a	663
combination of the coverage.	664

~~(AA)~~(Z) "Deputy sheriff" means any person who is commissioned	665
and employed as a full-time peace officer by the sheriff of any	666
county, and has been so employed since on or before December 31,	667
1965; any person who is or has been commissioned and employed as a	668
peace officer by the sheriff of any county since January 1, 1966,	669
and who has received a certificate attesting to the person's	670
satisfactory completion of the peace officer training school as	671
required by section 109.77 of the Revised Code; or any person	672
deputized by the sheriff of any county and employed pursuant to	673
section 2301.12 of the Revised Code as a criminal bailiff or court	674
constable who has received a certificate attesting to the person's	675
satisfactory completion of the peace officer training school as	676
required by section 109.77 of the Revised Code.	677

~~(BB)~~(AA) "Township constable or police officer in a township	678
police department or district" means any person who is	679
commissioned and employed as a full-time peace officer pursuant to	680
Chapter 505. or 509. of the Revised Code, who has received a	681
certificate attesting to the person's satisfactory completion of	682
the peace officer training school as required by section 109.77 of	683
the Revised Code.	684

~~(CC)~~(BB) "Drug agent" means any person who is either of the	685
following:	686

(1) Employed full time as a narcotics agent by a county	687
narcotics agency created pursuant to section 307.15 of the Revised	688
Code and has received a certificate attesting to the satisfactory	689
completion of the peace officer training school as required by	690
section 109.77 of the Revised Code;	691

(2) Employed full time as an undercover drug agent as defined	692
in section 109.79 of the Revised Code and is in compliance with	693
section 109.77 of the Revised Code.	694

~~(DD)~~(CC) "Department of public safety enforcement agent"	695
means a full-time employee of the department of public safety who	696
is designated under section 5502.14 of the Revised Code as an	697
enforcement agent and who is in compliance with section 109.77 of	698
the Revised Code.	699

~~(EE)~~(DD) "Natural resources law enforcement staff officer"	700
means a full-time employee of the department of natural resources	701
who is designated a natural resources law enforcement staff	702
officer under section 1501.013 of the Revised Code and is in	703
compliance with section 109.77 of the Revised Code.	704

~~(FF)~~(EE) "Park officer" means a full-time employee of the	705
department of natural resources who is designated a park officer	706
under section 1541.10 of the Revised Code and is in compliance	707
with section 109.77 of the Revised Code.	708

~~(GG)~~(FF) "Forest officer" means a full-time employee of the	709
department of natural resources who is designated a forest officer	710
under section 1503.29 of the Revised Code and is in compliance	711
with section 109.77 of the Revised Code.	712

~~(HH)~~(GG) "Preserve officer" means a full-time employee of the	713
department of natural resources who is designated a preserve	714
officer under section 1517.10 of the Revised Code and is in	715
compliance with section 109.77 of the Revised Code.	716

~~(II)~~(HH) "Wildlife officer" means a full-time employee of the	717
department of natural resources who is designated a wildlife	718
officer under section 1531.13 of the Revised Code and is in	719
compliance with section 109.77 of the Revised Code.	720

~~(JJ)~~(II) "State watercraft officer" means a full-time	721
employee of the department of natural resources who is designated	722
a state watercraft officer under section 1547.521 of the Revised	723
Code and is in compliance with section 109.77 of the Revised Code.	724

~~(KK)~~(JJ) "Park district police officer" means a full-time	725
employee of a park district who is designated pursuant to section	726
511.232 or 1545.13 of the Revised Code and is in compliance with	727
section 109.77 of the Revised Code.	728

~~(LL)~~(KK) "Conservancy district officer" means a full-time	729
employee of a conservancy district who is designated pursuant to	730
section 6101.75 of the Revised Code and is in compliance with	731
section 109.77 of the Revised Code.	732

~~(MM)~~(LL) "Municipal police officer" means a member of the	733
organized police department of a municipal corporation who is	734
employed full time, is in compliance with section 109.77 of the	735
Revised Code, and is not a member of the Ohio police and fire	736
pension fund.	737

~~(NN)~~(MM) "Veterans' home police officer" means any person who	738
is employed at a veterans' home as a police officer pursuant to	739
section 5907.02 of the Revised Code and is in compliance with	740
section 109.77 of the Revised Code.	741

~~(OO)~~(NN) "Special police officer for a mental health	742
institution" means any person who is designated as such pursuant	743
to section 5119.14 of the Revised Code and is in compliance with	744
section 109.77 of the Revised Code.	745

~~(PP)~~(OO) "Special police officer for an institution for the	746
~~mentally retarded and~~ developmentally disabled" means any person	747
who is designated as such pursuant to section 5123.13 of the	748
Revised Code and is in compliance with section 109.77 of the	749
Revised Code.	750

~~(QQ)~~(PP) "State university law enforcement officer" means any	751
person who is employed full time as a state university law	752
enforcement officer pursuant to section 3345.04 of the Revised	753
Code and who is in compliance with section 109.77 of the Revised	754
Code.	755

~~(RR)~~(QQ) "House sergeant at arms" means any person appointed	756
by the speaker of the house of representatives under division	757
(B)(1) of section 101.311 of the Revised Code who has arrest	758
authority under division (E)(1) of that section.	759

~~(SS)~~(RR) "Assistant house sergeant at arms" means any person	760
appointed by the house sergeant at arms under division (C)(1) of	761
section 101.311 of the Revised Code.	762

~~(TT)~~(SS) "Regional transit authority police officer" means a	763
person who is employed full time as a regional transit authority	764
police officer under division (Y) of section 306.35 of the Revised	765
Code and is in compliance with section 109.77 of the Revised Code.	766

~~(UU)~~(TT) "State highway patrol police officer" means a	767
special police officer employed full time and designated by the	768
superintendent of the state highway patrol pursuant to section	769
5503.09 of the Revised Code or a person serving full time as a	770
special police officer pursuant to that section on a permanent	771
basis on October 21, 1997, who is in compliance with section	772
109.77 of the Revised Code.	773

~~(VV)~~(UU) "Municipal public safety director" means a person	774
who serves full time as the public safety director of a municipal	775
corporation with the duty of directing the activities of the	776
municipal corporation's police department and fire department.	777

~~(WW)~~(VV) Notwithstanding section 2901.01 of the Revised Code,	778
"PERS law enforcement officer" means a sheriff or any of the	779
following whose primary duties are to preserve the peace, protect	780
life and property, and enforce the laws of this state: a deputy	781
sheriff, township constable or police officer in a township police	782
department or district, drug agent, department of public safety	783
enforcement agent, natural resources law enforcement staff	784
officer, park officer, forest officer, preserve officer, wildlife	785
officer, state watercraft officer, park district police officer,	786
conservancy district officer, veterans' home police officer,	787
special police officer for a mental health institution, special	788
police officer for an institution for the ~~mentally retarded and~~	789
developmentally disabled, state university law enforcement	790
officer, municipal police officer, house sergeant at arms,	791
assistant house sergeant at arms, regional transit authority	792
police officer, or state highway patrol police officer. PERS law	793
enforcement officer also includes a person serving as a municipal	794
public safety director at any time during the period from	795
September 29, 2005, to March 24, 2009, if the duties of that	796
service were to preserve the peace, protect life and property, and	797
enforce the laws of this state.	798

~~(XX)~~(WW) "Hamilton county municipal court bailiff" means a	799
person appointed by the clerk of courts of the Hamilton county	800
municipal court under division (A)(3) of section 1901.32 of the	801
Revised Code who is employed full time as a bailiff or deputy	802
bailiff, who has received a certificate attesting to the person's	803
satisfactory completion of the peace officer basic training	804
described in division (D)(1) of section 109.77 of the Revised	805
Code.	806

~~(YY)~~(XX) "PERS public safety officer" means a Hamilton county	807
municipal court bailiff, or any of the following whose primary	808
duties are other than to preserve the peace, protect life and	809
property, and enforce the laws of this state: a deputy sheriff,	810
township constable or police officer in a township police	811
department or district, drug agent, department of public safety	812
enforcement agent, natural resources law enforcement staff	813
officer, park officer, forest officer, preserve officer, wildlife	814
officer, state watercraft officer, park district police officer,	815
conservancy district officer, veterans' home police officer,	816
special police officer for a mental health institution, special	817
police officer for an institution for the ~~mentally retarded and~~	818
developmentally disabled, state university law enforcement	819
officer, municipal police officer, house sergeant at arms,	820
assistant house sergeant at arms, regional transit authority	821
police officer, or state highway patrol police officer. "PERS	822
public safety officer" also includes a person serving as a	823
municipal public safety director at any time during the period	824
from September 29, 2005, to March 24, 2009, if the duties of that	825
service were other than to preserve the peace, protect life and	826
property, and enforce the laws of this state.	827

~~(ZZ)~~(YY) "Fiduciary" means a person who does any of the	828
following:	829

(1) Exercises any discretionary authority or control with	830
respect to the management of the system or with respect to the	831
management or disposition of its assets;	832

(2) Renders investment advice for a fee, direct or indirect,	833
with respect to money or property of the system;	834

(3) Has any discretionary authority or responsibility in the	835
administration of the system.	836

~~(AAA)~~(ZZ) "Actuary" means an individual who satisfies all of	837
the following requirements:	838

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

839

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

840

(3) Has a minimum of five years' experience in providing	841
actuarial services to public retirement plans.	842

~~(BBB)~~(AAA) "PERS defined benefit plan" means the plan	843
described in sections 145.201 to 145.79 of the Revised Code.	844

~~(CCC)~~(BBB) "PERS defined contribution plans" means the plan	845
or plans established under section 145.81 of the Revised Code.	846

Sec. 145.016. Contributing service shall be allowed in	847
accordance with the following:	848

(A) For service before the first day of the first full	849
calendar year beginning on or after the effective date of this	850
section, credit for any contributing service shall be allowed as	851
follows:	852

(1) For each month for which the member's earnable salary is	853
two hundred fifty dollars or more, allow one month's credit;	854

(2) For each month for which the member's earnable salary is	855
less than two hundred fifty dollars, allow a fraction of a month's	856
credit with a numerator of the earnable salary during the month	857
and a denominator of two hundred fifty dollars, except that if the	858
member's annual earnable salary is less than six hundred dollars,	859
the member's credit shall not be reduced below twenty per cent of	860
a year for a calendar year of employment during which the member	861
worked each month.	862

Division (A)(2) of this section shall not reduce any credit	863
earned before January 1, 1985.	864

(B) For service on or after the first day of the first full	865
calendar year that begins on or after the effective date of this	866
section but not after the thirty-first day of December of that	867
year, credit for any contributing service shall be allowed as	868
follows:	869

(1) For each month for which the member's earnable salary is	870
seven hundred fifty dollars or more, allow one month's credit;	871

(2) For each month for which the member's earnable salary is	872
less than seven hundred and fifty dollars, allow a fraction of a	873
month's credit with a numerator of the earnable salary for the	874
month and a denominator of seven hundred and fifty dollars.	875

This division shall not reduce any credit earned before the	876
first day of the first full calendar year that begins on or after	877
the effective date of this section.	878

(C) For service on or after the first day of the second full	879
calendar year that begins on or after the effective date of this	880
section but not after the thirty-first day of December of that	881
year, credit for any contributing service shall be allowed as	882
follows:	883

(1) For each month for which the member's earnable salary is	884
eight hundred seventy-five dollars or more, allow one month's	885
credit;	886

(2) For each month for which the member's earnable salary is	887
less than eight hundred seventy-five dollars, allow a fraction of	888
a month's credit with a numerator of the earnable salary for the	889
month and a denominator of eight hundred seventy-five dollars.	890

This division shall not reduce any credit earned before the	891
first day of the second full calendar year beginning after the	892
effective date of this section.	893

(D) For service on or after the first day of the third full	894
calendar year that begins on or after the effective date of this	895
section, credit for any contributing service shall be allowed in	896
accordance with the following:	897

(1) For each month for which the member's earnable salary	898
equals or exceeds the amount specified in division (D)(1)(a) or	899
(b) of this section, as appropriate, allow one month's credit:	900

(a) For the third full calendar year beginning after the	901
effective date of this section, one thousand dollars;	902

(b) For each calendar year thereafter, the sum of the prior	903
year's amount plus the amount determined by multiplying the prior	904
year's amount by the average wage index as described in 20 C.F.R.	905
404.272, as amended, rounded up to the next dollar for the most	906
recent year for which information is available on June 30 of the	907
year immediately preceding the year for which the sum is being	908
calculated.	909

(2) For each month that the member's earnable salary is less	910
than the appropriate amount specified in division (D)(1) of this	911
section, allow a fraction of a month's credit with a numerator of	912
the earnable salary during the month and a denominator of the	913
amount specified in division (D)(1)(a) or (b) of this section, as	914
appropriate.	915

Division (D) of this section shall not reduce any credit	916
earned before the first day of the third full calendar year	917
beginning after the effective date of this section.	918

(E) Notwithstanding any other provision of this section, an	919
elected official who prior to January 1, 1980, was granted a full	920
year of credit for each year of service as an elected official	921
shall be considered to have earned a full year of credit for each	922
year of service regardless of whether the service was full-time or	923
part-time. The public employees retirement board has no authority	924
to reduce the credit.	925

Sec. 145.017. (A) For a member eligible for a retirement	926
allowance under division (A) or (B) of section 145.32 of the	927
Revised Code or division (A), (B), or (D)(1), (3), or (4) of	928
section 145.332 of the Revised Code, the number of years used in	929
the calculation of final average salary shall be three and the sum	930
of the earnable salary for those years shall be divided by three.	931

(B) For a member eligible for a retirement allowance under	932
division (C) of section 145.32 of the Revised Code or division (C)	933
or (D)(2) or (5) of section 145.332 of the Revised Code, the	934
number of years used in the calculation of final average salary	935
shall be five and the sum of the earnable salary for those years	936
shall be divided by five.	937

(C)(1) For a member described in division (A) or (B) of	938
section 145.32 or division (A), (B), or (D)(1), (3), or (4) of	939
section 145.332 of the Revised Code who is eligible for a	940
retirement allowance under section 145.331 of the Revised Code or	941
a benefit under section 145.36 or 145.361 of the Revised Code, the	942
number of years used in the calculation of final average salary	943
shall be three and the sum of the earnable salary for those years	944
shall be divided by three.	945

(2) For a member described in division (C) of section 145.32	946
or division (C) or (D)(2) or (5) of section 145.332 of the Revised	947
Code who is eligible for a retirement allowance under section	948
145.331 of the Revised Code or a benefit under section 145.36 or	949
145.361 of the Revised Code, the number of years used in the	950
calculation of final average salary shall be five and the sum of	951
the earnable salary for those years shall be divided by five.	952

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

953

(1) The number of years used in the calculation of the	954
deceased member's final average salary shall be three and the sum	955
of the earnable salary for those years shall be divided by three	956
if the member is described in division (A) or (B) of section	957
145.32 of the Revised Code or division (A), (B), or (D)(1), (3),	958
or (4) of section 145.332 of the Revised Code.	959

(2) The number of years used in the calculation of the	960
deceased member's final average salary shall be five and the sum	961
of the earnable salary for those years shall be divided by five if	962
the member is described in division (C) of section 145.32 of the	963
Revised Code or division (C) or (D)(2) or (5) of section 145.332	964
of the Revised Code.	965

Sec. 145.036. On or before the last day of January of each	966
year, each public employer shall transmit to the public employees	967
retirement system a list of all individuals providing personal	968
services who at any time during the preceding calendar year	969
received compensation from the employer for which no contributions	970
were deducted under section 145.47 of the Revised Code because the	971
employer classified the individual as an independent contractor or	972
another classification other than public employee or any other	973
reason. The list shall contain the name of the individual and any	974
other information required by the system.	975

If there is doubt at the time the list is compiled or at any	976
other time regarding whether an individual providing personal	977
services to a public employer is a public employee, the employer	978
shall make a written request to the public employees retirement	979
board for a determination of whether the individual is a public	980
employee for the purposes of this chapter. On receipt of the	981
request, the board shall determine whether the individual is a	982
public employee with regard to the services in question. If the	983
board determines that the individual is not a public employee, for	984
the purposes of this chapter the individual shall be considered an	985
independent contractor with regard to the services in question.	986
The board's determination is final.	987

The board shall notify the individual and the employer of its	988
determination. The determination shall apply to services performed	989
before, on, or after the effective date of this section for the	990
same employer in the same capacity.	991

Sec. 145.037. (A) As used in this section and section 145.038	992
of the Revised Code, "business entity" means an entity with five	993
or more employees that is a corporation, association, firm,	994
limited liability company, partnership, sole proprietorship, or	995
other entity engaged in business.	996

(B)(1) Except as provided in division (B)(2) of this section,	997
an individual who provided personal services to a public employer	998
on or before the effective date of this section but was not	999
classified as a public employee may request from the public	1000
employees retirement board a determination of whether the	1001
individual should have been classified as a public employee for	1002
purposes of this chapter. The request shall be made on a form	1003
provided by the board.	1004

(2) Division (B)(1) of this section does not apply to an	1005
individual employed by a business entity under contract with a	1006
public employer to provide personal services to the employer.	1007

(C) Not later than thirty days after the effective date of	1008
this section, the board shall notify each employer of the right of	1009
an individual described in division (B)(1) of this section to seek	1010
the determination described in that division. The notice shall be	1011
accompanied by copies of the form described in division (B)(1) of	1012
this section.	1013

Not later than sixty days after the effective date of this	1014
section, the employer shall send to each individual described in	1015
division (B)(1) of this section a copy of the form provided by the	1016
retirement system and written notice of the right to seek a	1017
determination of whether the individual should have been	1018
classified as a public employee. The notice shall be sent to the	1019
individual's last known address on record with the employer.	1020

On receipt of a properly completed form, the board shall	1021
determine whether the individual should have been classified as a	1022
public employee. If the board determines that the individual is	1023
not a public employee with regard to the services in question, for	1024
the purposes of this chapter the individual shall be considered an	1025
independent contractor with regard to the services in question.	1026
The board's determination is final.	1027

The board shall notify the individual and the employer of its	1028
determination. The determination shall apply to services performed	1029
before, on, or after the effective date of this section for the	1030
same employer in the same capacity.	1031

(D) Regardless of whether an individual actually receives	1032
notice under this section, the request for a determination must be	1033
made not later than one year after the effective date of this	1034
section unless the individual can demonstrate to the board's	1035
satisfaction through medical records that at the time the one-year	1036
period ended the individual was physically or mentally	1037
incapacitated and unable to request a determination.	1038

Sec. 145.038. (A) A public employer who on or after the	1039
effective date of this section begins to receive personal services	1040
from an individual it classifies as an independent contractor or	1041
another classification other than public employee shall inform the	1042
individual of the classification and that no contributions will be	1043
made to the public employees retirement system. Not later than	1044
thirty days after the services begin, the employer shall require	1045
the individual to acknowledge, in writing on a form provided by	1046
the system, that the individual has been informed that the	1047
employer does not consider the individual a public employee and no	1048
contributions will be made to the public employees retirement	1049
system. The employer shall retain the acknowledgement and	1050
immediately transmit a copy of it to the system.	1051

(B)(1) Regardless of whether the individual has made an	1052
acknowledgement under division (A) of this section and, except as	1053
provided in division (B)(2) of this section, an individual may	1054
request that the public employees retirement board determine	1055
whether the individual is a public employee for purposes of this	1056
chapter.	1057

(2) Division (B)(1) of this section does not apply to an	1058
individual employed by a business entity under contract with a	1059
public employer to provide personal services to the employer.	1060

(C) A request for a determination must be made not later than	1061
five years after the individual begins to provide personal	1062
services to the employer, unless one of the following is the case:	1063

(1) The individual demonstrates to the board's satisfaction	1064
through medical records that at the time the five-year period	1065
ended the individual was physically or mentally incapacitated and	1066
unable to request a determination;	1067

(2) The employer has not obtained or has failed to retain the	1068
acknowledgement required by division (A) of this section.	1069

(D) On receipt of a request under division (B)(1) of this	1070
section, the board shall determine whether the individual is a	1071
public employee for the purposes of this chapter. If the board	1072
determines that the individual is not a public employee, for the	1073
purposes of this chapter the individual shall be considered an	1074
independent contractor with regard to the services in question.	1075
The board's determination is final.	1076

The board shall notify the individual and the employer of its	1077
determination. The determination shall apply to services performed	1078
before, on, or after the effective date of this section for the	1079
same employer in the same capacity.	1080

(E) The board may adopt rules under section 145.09 of the	1081
Revised Code to implement this section and sections 145.036 and	1082
145.037 of the Revised Code.	1083

Sec. 145.04. (A) The general administration and management	1084
of the public employees retirement system and the making effective	1085
of Chapter 145. of the Revised Code, are hereby vested in a board	1086
to be known as the "public employees retirement board," which	1087
shall consist of the following members:	1088

~~(A)~~(1) One member, known as the treasurer of state's	1089
investment designee, who shall be appointed by the treasurer of	1090
state for a term of four years and have the following	1091
qualifications:	1092

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

1093

~~(2)~~(b) Within the three years immediately preceding the	1094
appointment, the member has not been employed by the public	1095
employees retirement system, police and fire pension fund, state	1096
teachers retirement system, school employees retirement system, or	1097
state highway patrol retirement system or by any person,	1098
partnership, or corporation that has provided to one of those	1099
retirement systems services of a financial or investment nature,	1100
including management, analysis, supervision, or investment of	1101
assets.	1102

~~(3)~~(c) The member has direct experience in the management,	1103
analysis, supervision, or investment of assets.	1104

~~(4)~~(d) The member is not currently employed by the state or a	1105
political subdivision of the state.	1106

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

1107

~~(C)~~(3) Five members, known as employee members, one of whom	1108
shall be a state employee member of the system, who shall be	1109
elected by ballot by the state employee members of the system from	1110
among their number; another of whom shall be a county employee	1111
member of the system, who shall be elected by ballot by the county	1112
employee members of the system from among their number; another of	1113
whom shall be a municipal employee member of the system, who shall	1114
be elected by ballot by the municipal employee members of the	1115
system from among their number; another of whom shall be a	1116
university or college employee member of the system, who shall be	1117
elected by ballot by the university and college employee members	1118
of the system from among their number; and another of whom shall	1119
be a park district, conservancy district, sanitary district,	1120
health district, public library, metropolitan housing authority,	1121
union cemetery, joint hospital, township, or institutional	1122
commissary employee member of the system, who shall be elected by	1123
ballot by the park district, conservancy district, sanitary	1124
district, health district, metropolitan housing authority, public	1125
library, union cemetery, joint hospital, township, and	1126
institutional commissary employee members of the system from among	1127
their number, in a manner to be approved by the board. Members of	1128
the system who are receiving a disability benefit under this	1129
chapter are ineligible for membership on the board as employee	1130
members.	1131

~~(D)~~(4) Two members, known as the retirant members, who shall	1132
be former members of the public employees retirement system who	1133
reside in this state and receive age and service retirement, a	1134
disability benefit, or benefits paid under a PERS defined	1135
contribution plan. The retirant members shall be elected by ballot	1136
by former members of the system who are receiving age and service	1137
retirement, a disability benefit, or benefits paid under a PERS	1138
defined contribution plan;	1139

~~(E)(1)~~(5)(a) Two members, known as the investment expert	1140
members, who shall be appointed for four-year terms and each of	1141
whom shall have the following qualifications:	1142

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

1143

~~(b)~~(ii) Within the three years immediately preceding the	1144
appointment, the member has not been employed by the public	1145
employees retirement system, police and fire pension fund, state	1146
teachers retirement system, school employees retirement system, or	1147
state highway patrol retirement system or by any person,	1148
partnership, or corporation that has provided to one of those	1149
retirement systems services of a financial or investment nature,	1150
including the management, analysis, supervision, or investment of	1151
assets.	1152

~~(c)~~(iii) The member has direct experience in the management,	1153
analysis, supervision, or investment of assets.	1154

~~(2)~~(b) One investment expert member shall be appointed by the	1155
governor, and one investment expert member shall be jointly	1156
appointed by the speaker of the house of representatives and the	1157
president of the senate. ~~Any investment expert~~	1158

(B) Any member appointed ~~to fill a vacancy occurring prior to~~	1159
~~the expiration of the term for which the member's predecessor was~~	1160
~~appointed~~under this section shall hold office until the later of	1161
the end of ~~such~~the term~~. The~~for which the member ~~shall continue~~	1162
~~in office subsequent to the expiration date of the member's term~~	1163
~~until~~is appointed or the date the member's successor takes	1164
office~~, or until a period of sixty days has elapsed, whichever~~	1165
~~occurs first~~.	1166

Sec. 145.041. Each ~~newly elected~~ member of the public	1167
employees retirement board ~~and each individual appointed to fill a~~	1168
~~vacancy on the board,~~ shall, not later than ninety days after	1169
commencing service as a board member, complete the orientation	1170
program component of the retirement board member education program	1171
established under section 171.50 of the Revised Code.	1172

Each member of the board who has served a year or longer as a	1173
board member shall, not less than twice each year, attend one or	1174
more programs that are part of the continuing education component	1175
of the retirement board member education program established under	1176
section 171.50 of the Revised Code.	1177

Sec. 145.05. (A) The terms of office of employee members of	1178
the public employees retirement board shall be for four years each	1179
beginning on the first day of January following election. The	1180
election of the county employee member of the board and the	1181
employee member of the board representing public library, health	1182
district, park district, conservancy district, sanitary district,	1183
township, metropolitan housing authority, union cemetery, joint	1184
hospital, and institutional commissary employees shall be held on	1185
the first Monday in October, 1945, and on the first Monday in	1186
October in each fourth year thereafter. The election of the state	1187
employee member of the board and the municipal employee member of	1188
the board shall be held on the first Monday in October, 1946, and	1189
on the first Monday in October in each fourth year thereafter. The	1190
election of the initial university-college employee member of the	1191
board shall be held on the first Monday in October, 1978, and	1192
elections for subsequent university-college employee members of	1193
the board shall be held on the first Monday in October in each	1194
fourth year thereafter.	1195

(B) The term of office of the retirant members of the public	1196
employees retirement board shall be for four years beginning on	1197
the first day of January following the election. The election of	1198
the initial retirant member for that position on the board shall	1199
be held on the first Monday in October, 1978, and subsequent	1200
elections for this retirant position shall be held on the first	1201
Monday in October in each fourth year thereafter. The initial	1202
election for the second retirant member position shall be held at	1203
the first election that occurs later than ninety days after ~~the~~	1204
~~effective date of this amendment~~September 15, 2004. Subsequent	1205
elections for this retirant position shall be held each fourth	1206
year thereafter.	1207

(C) All elections for employee members of the public	1208
employees retirement board shall be held under the direction of	1209
the board in accordance with rules adopted under section 145.058	1210
of the Revised Code. Any member of the public employees retirement	1211
system, except a member who is receiving a disability benefit	1212
under this chapter, is eligible for election as an employee member	1213
of the board to represent the employee group that includes the	1214
member, provided that the member has been nominated by a petition	1215
that is signed by at least five hundred members of the employee	1216
group to be represented, including not less than twenty such	1217
signers from each of at least ten counties of the state, and	1218
certified in accordance with rules adopted under section 145.058	1219
of the Revised Code. The name of any member so nominated shall be	1220
placed upon the ballot by the board as a regular candidate. Names	1221
of other eligible candidates may, at any election, be substituted	1222
for the regular candidates by writing such names upon the ballots.	1223
The candidate who receives the highest number of votes for a	1224
particular employee member position on the board shall be elected	1225
to that office on certification of the election results in	1226
accordance with rules adopted under section 145.058 of the Revised	1227
Code.	1228

(D) All elections for the retirant members of the public	1229
employees retirement board shall be held under the direction of	1230
the board in accordance with rules adopted under section 145.058	1231
of the Revised Code. Any former member of the public employees	1232
retirement system who is described in division ~~(D)~~(A)(4) of	1233
section 145.04 of the Revised Code is eligible for election as a	1234
retirant member of the board to represent recipients of age and	1235
service retirement, a disability benefit, or benefits paid under a	1236
PERS defined contribution plan, provided that such person has been	1237
nominated by a petition that is signed by any combination of at	1238
least two hundred fifty eligible, former members of the system and	1239
certified in accordance with rules adopted under section 145.058	1240
of the Revised Code. To be eligible to sign the petition, a former	1241
member of the system must be a recipient of age and service	1242
retirement, a disability benefit, or benefits paid under a PERS	1243
defined contribution plan. The petition shall contain the	1244
signatures of at least ten such recipients from each of at least	1245
five counties wherein recipients of benefits from the system	1246
reside.	1247

The name of any person nominated in this manner shall be	1248
placed upon the ballot by the board as a regular candidate. Names	1249
of other eligible candidates may, at any election for a retirant	1250
member of the board, be substituted for the regular candidates by	1251
writing the names of such persons upon the ballot. The candidate	1252
who receives the highest number of votes for any term as a	1253
retirant member of the board shall be elected to office on	1254
certification of the election results in accordance with rules	1255
adopted under section 145.058 of the Revised Code.	1256

Sec. 145.057. (A) The office of ~~an employee member or~~	1257
~~retirant~~a member of the public employees retirement board who is	1258
convicted of or pleads guilty to a felony, a theft offense as	1259
defined in section 2913.01 of the Revised Code, or a violation of	1260
section 102.02, 102.03, 102.04, 2921.02, 2921.11, 2921.13,	1261
2921.31, 2921.41, 2921.42, 2921.43, or 2921.44 of the Revised Code	1262
shall be deemed vacant. A person who has pleaded guilty to or been	1263
convicted of an offense of that nature is ineligible for election	1264
or appointment to the ~~office of employee member or retirant member~~	1265
~~of the~~ public employees retirement board.	1266

(B) A member of the public employees retirement board who	1267
willfully and flagrantly exercises authority or power not	1268
authorized by law, refuses or willfully neglects to enforce the	1269
law or to perform any official duty imposed by law, or is guilty	1270
of gross neglect of duty, gross immorality, drunkenness,	1271
misfeasance, malfeasance, or nonfeasance is guilty of misconduct	1272
in office. On complaint and hearing in the manner provided for in	1273
this section, the board member shall have judgment of forfeiture	1274
of the office with all its emoluments entered against the board	1275
member, creating in the office a vacancy to be filled as provided	1276
by law.	1277

(C) Proceedings for removal of a board member on any of the	1278
grounds enumerated in division (B) of this section shall be	1279
commenced by filing with the court of common pleas of the county	1280
in which the board member resides a written complaint specifically	1281
setting forth the charge. The complaint shall be accepted if	1282
signed by the governor or signed as follows:	1283

(1) If the complaint is against an employee member of the	1284
board, the complaint must be signed by a number of members of the	1285
employee group represented by the member that equals at least the	1286
following and must include signatures of at least twenty employee	1287
members residing in at least five different counties:	1288

(a) If the employee member was most recently elected in	1289
accordance with section 145.05 of the Revised Code, ten per cent	1290
of the number of members of the employee group represented by the	1291
employee member who voted in that election;	1292

(b) If the employee member was most recently elected under	1293
section 145.06 of the Revised Code or took office in accordance	1294
with section 145.051 of the Revised Code, ten per cent of the	1295
number of members of the employee group represented by the	1296
employee member who voted in the most recent election held in	1297
accordance with section 145.05 of the Revised Code for that	1298
employee member position on the board.	1299

(2) If the complaint is against a retirant member of the	1300
board, the complaint must be signed by a number of former members	1301
of the system authorized to vote for a retirant member in an	1302
election under section 145.05 of the Revised Code that equals at	1303
least the following and must include signatures of at least twenty	1304
former members residing in at least five different counties:	1305

(a) If the retirant member was most recently elected in	1306
accordance with section 145.05 of the Revised Code, ten per cent	1307
of the number of former members of the system who voted in that	1308
election;	1309

(b) If the retirant member was most recently elected under	1310
section 145.06 of the Revised Code or took office in accordance	1311
with section 145.051 of the Revised Code, ten per cent of the	1312
number of former members of the system who voted in the most	1313
recent election held in accordance with section 145.05 of the	1314
Revised Code for that retirant member position on the board.	1315

(D) The clerk of the court of common pleas in which a	1316
complaint against a member of the board is filed under division	1317
(C) of this section shall do both of the following with respect to	1318
the complaint:	1319

(1) Submit the signatures obtained pursuant to division (C)	1320
of this section to the board for purposes of verifying the	1321
validity of the signatures. The board shall verify the validity of	1322
the signatures and report its findings to the court.	1323

(2) Cause a copy of the complaint to be served on the board	1324
member at least ten days before the hearing on the complaint. The	1325
court shall hold a public hearing not later than thirty days after	1326
the filing of the complaint. The court may subpoena witnesses and	1327
compel their attendance in the same manner as in civil cases.	1328
Process shall be served by the sheriff of the county in which the	1329
witness resides. Witness fees and other fees in connection with	1330
the proceedings shall be the same as in civil cases. The court may	1331
suspend the board member pending the hearing.	1332

If the court finds that one or more of the charges in the	1333
complaint are true, it shall make a finding for removal of the	1334
board member. The court's finding shall include a full, detailed	1335
statement of the reasons for the removal. The finding shall be	1336
filed with the clerk of the court and be made a matter of public	1337
record.	1338

The board member has the right to appeal to the court of	1339
appeals.	1340

(E) No individual who has been removed from the board	1341
pursuant to this section shall be eligible to fill an elective or	1342
appointed position as a member of the board.	1343

Sec. 145.06. (A) Except as provided in division (D) of this	1344
section, if a vacancy occurs in the term of any employee member of	1345
the public employees retirement board, the remaining members of	1346
the board shall elect a successor employee member from the	1347
employee group lacking representation because of the vacancy. On	1348
certification of the election results in accordance with rules	1349
adopted under section 145.058 of the Revised Code, the successor	1350
employee member shall hold office until the first day of the new	1351
term that follows the next board election that occurs not less	1352
than ninety days after the successor employee member's election.	1353

Any employee member of the board who fails to attend the	1354
meetings of the board for three months or longer, without valid	1355
excuse, shall be considered as having resigned, and the board	1356
shall declare the employee member's office vacated as of the date	1357
of the adoption of a proper resolution.	1358

If as a result of changed circumstances an employee member of	1359
the board is no longer employed in the employee group that	1360
corresponds with the employee group that elected the member, the	1361
employee member's office shall be considered vacant, and a	1362
successor employee member shall be chosen in the manner specified	1363
in this division.	1364

(B) Except as provided in division (D) of this section, if a	1365
vacancy occurs during the term of office of a retirant member of	1366
the board, the remaining members of the board shall elect a	1367
successor retirant member who shall be a former member of the	1368
public employees retirement system who is eligible for election	1369
under section 145.04 of the Revised Code as a retirant member of	1370
the board. On certification of the election results in accordance	1371
with rules adopted under section 145.058 of the Revised Code, the	1372
successor retirant member shall hold office until the first day of	1373
the new term that follows the next board election that occurs not	1374
less than ninety days after the successor retirant member's	1375
election.	1376

If a retirant member of the board fails to attend the	1377
meetings of the board for three months or longer, without valid	1378
excuse, the retirant member shall be considered as having	1379
resigned, and the board shall declare the member's office vacated	1380
as of the date of the adoption of a proper resolution.	1381

If as a result of changed circumstances a retirant member	1382
would no longer qualify for membership on the board as the	1383
retirant member, the retirant member's office shall be considered	1384
vacant, and a successor retirant member shall be chosen in the	1385
manner specified in this division.	1386

(C) Elections under this section to fill a vacancy on the	1387
board shall be conducted in accordance with rules adopted under	1388
section 145.058 of the Revised Code.	1389

(D) A successor member need not be elected under division (A)	1390
or (B) of this section for a vacancy that occurs on or after the	1391
first day of October of the year in which the vacated term ends.	1392

Sec. 145.09. The public employees retirement board shall	1393
elect from its membership a chairperson, and shall appoint an	1394
executive director who shall serve as secretary to the board, an	1395
actuary, and other employees as necessary for the transaction of	1396
the business of the public employees retirement system. The	1397
compensation of all persons so appointed shall be fixed by the	1398
board.	1399

If the board provides health care coverage to employees of	1400
the retirement system, it may permit employees of the Ohio public	1401
employees deferred compensation board to participate.	1402

Effective ninety days after ~~the effective date of this~~	1403
~~amendment~~September 15, 2004, the board may not employ a state	1404
retirement system investment officer, as defined in section	1405
1707.01 of the Revised Code, who does not hold a valid state	1406
retirement system investment officer license issued by the	1407
division of securities in the department of commerce.	1408

Every expense voucher of an employee, officer, or board	1409
member of the public employees retirement system shall itemize all	1410
purchases and expenditures.	1411

The board shall perform other functions as required for the	1412
proper execution of this chapter, and may adopt rules in	1413
accordance with section 111.15 of the Revised Code for the proper	1414
administration and management of this chapter.	1415

The board may take all appropriate action to avoid payment by	1416
the system or its members of federal or state income taxes on	1417
contributions to the system or amounts earned on such	1418
contributions.	1419

Notice of proposed rules shall be given to interested parties	1420
and rules adopted by the board shall be published and otherwise	1421
made available. When it files a rule with the joint committee on	1422
agency rule review pursuant to section 111.15 of the Revised Code,	1423
the board shall submit to the Ohio retirement study council a copy	1424
of the full text of the rule, and if applicable, a copy of the	1425
rule summary and fiscal analysis required by division (B) of	1426
section 127.18 of the Revised Code.	1427

The board may sue and be sued, plead and be impleaded,	1428
contract and be contracted with. All of its business shall be	1429
transacted, all of its funds invested, all warrants for money	1430
drawn and payments made, and all of its cash and securities and	1431
other property shall be held in the name of the board, or in the	1432
name of its nominee, provided that nominees are authorized by	1433
retirement board resolution for the purpose of facilitating the	1434
ownership and transfer of investments.	1435

If the Ohio retirement study council establishes a uniform	1436
format for any report the board is required to submit to the	1437
council, the board shall submit the report in that format.	1438

Sec. 145.101. Any action brought against the public	1439
employees retirement system or the public employees retirement	1440
board or its officers, employees, or board members in their	1441
official capacities shall be brought in the Franklin County court	1442
of common pleas.	1443

Sec. 145.19. (A) Except as provided in division (D) of this	1444
section, an individual who becomes employed in a position subject	1445
to this chapter on or after ~~the date on which the public employees~~	1446
~~retirement board first establishes a PERS defined contribution~~	1447
~~plan~~January 1, 2003, shall make an election under this section.	1448
Not later than one hundred eighty days after the date on which	1449
employment begins, the individual shall elect to participate	1450
either in the PERS defined benefit plan or a PERS defined	1451
contribution plan. IfUnless a form evidencing an election under	1452
this section is ~~not~~ received by the public employees retirement	1453
system ~~not later than~~on or before the last day of the	1454
one-hundred-eighty-day period, the individual is deemed to have	1455
elected to participate in the PERS defined benefit plan.	1456

(B) An election under this section shall be made ~~in writing~~	1457
on a form provided by the system and filed with the system.	1458

(C) An election under this section shall take effect on the	1459
date employment began and, except as provided in section 145.814	1460
of the Revised Code or rules governing the PERS defined benefit	1461
plan, is irrevocable on receipt by the system.	1462

(D) An individual is ineligible to make an election under	1463
this section if one of the following applies:	1464

(1) ~~At the time employment begins, the~~The individual is a	1465
PERS retirant or other system retirant, as those terms are defined	1466
in section 145.38 of the Revised Code, or is retired under section	1467
145.383 of the Revised Code.	1468

(2) The individual is participating or has elected to	1469
participate in an alternative retirement plan under section	1470
3305.05 or 3305.051 of the Revised Code and the employment is in a	1471
position that is subject to division (C)(4) of section 3305.05 or	1472
division (F) of section 3305.051 of the Revised Code.	1473

(3) The individual ~~is a contributor who, as of the last day~~	1474
~~of the month prior to the date employment begins, has five or more~~	1475
~~years of total service credit~~has contributions standing to the	1476
individual's credit in the employees' savings fund or defined	1477
contribution fund established under section 145.23 of the Revised	1478
Code.	1479

(4) The individual is employed in a position covered under	1480
this chapter to which section 145.193 of the Revised Code applies.	1481

(5) The individual is a PERS law enforcement officer or PERS	1482
public safety officer.	1483

Sec. 145.191. (A) Except as provided in division ~~(E)~~(F) of	1484
this section, a public employees retirement system member or	1485
contributor who, as of ~~the last day of the month immediately~~	1486
~~preceding the date on which the public employees retirement board~~	1487
~~first establishes a PERS defined contribution plan~~December 31,	1488
2002, has less than five years of total service credit is eligible	1489
to make an election under this section. A member or contributor	1490
who is employed in more than one position subject to this chapter	1491
is eligible to make only one election. The election applies to all	1492
positions subject to this chapter.	1493

Not later than ~~one hundred eighty days after the day the~~	1494
~~board first establishes a PERS defined contribution plan~~June 30,	1495
2003, an eligible member or contributor may elect to participate	1496
in a PERS defined contribution plan. IfUnless a form evidencing	1497
an election is ~~not~~ received by the system ~~not later than the last~~	1498
~~day of the one-hundred-eighty-day period~~on or before that date, a	1499
member or contributor to whom this section applies is deemed to	1500
have elected to continue participating in the PERS defined benefit	1501
plan.	1502

(B) An election under this section shall be made in writing	1503
on a form provided by the system and filed with the system.	1504

(C) On ~~receipt of~~the request of a member or contributor who	1505
made an election under this section, the system shall ~~do both of~~	1506
~~the following:~~	1507

~~(1) Credit~~credit to the plan elected ~~both of the following:~~

1508

~~(a) Any employer contributions attributable to the member for~~	1509
~~the period beginning on the day the board first established a PERS~~	1510
~~defined contribution plan;~~	1511

~~(b) All~~the accumulated contributions ~~attributable~~standing	1512
to the credit of the member or contributor.	1513

~~(2) Cancel~~in the employees' savings fund and cancel all	1514
service credit and eligibility for any payment, benefit, or right	1515
under the PERS defined benefit plan.	1516

(D) For each member or contributor who elected under this	1517
section to participate in a PERS defined contribution plan and	1518
made a request under division (C) of this section, any additional	1519
deposits that were made by the member or contributor prior to	1520
April 6, 2007, under the version of division (C) of section 145.23	1521
of the Revised Code as it existed immediately prior to that date	1522
shall be credited to the defined contribution plan.	1523

(E) An election under this section is effective as of ~~the~~	1524
~~date the board first established a PERS defined contribution plan~~	1525
January 1, 2003, and, except as provided in section 145.814 of the	1526
Revised Code or rules governing the PERS defined benefit plan, is	1527
irrevocable on receipt by the system.	1528

~~(E)~~(F) An election may not be made under this section by a	1529
member or contributor who is either of the following:	1530

(1) A PERS retirant who is a member under division ~~(C)~~(D) of	1531
section 145.38 of the Revised Code;	1532

(2) A PERS law enforcement officer or a PERS public safety	1533
officer.	1534

Sec. 145.192. Except as provided in section 145.195, 145.814	1535
~~and~~, or in division (C) of section 145.82 of the Revised Code, a	1536
member of the public employees retirement system who elects to	1537
participate in a PERS defined contribution plan shall be	1538
ineligible for any benefit or payment under the PERS defined	1539
benefit plan and shall be forever barred from claiming or	1540
purchasing service credit with the system or any other Ohio state	1541
retirement system, as defined in section 145.30 of the Revised	1542
Code, for service covered by the election.	1543

Sec. 145.193. Except as provided in section 145.194 or	1544
division (C)(4) of section 3305.05 and division (F) of section	1545
3305.051 of the Revised Code, an election made or deemed to have	1546
been made under section 145.19 or 145.191 of the Revised Code	1547
applies to all positions subject to this chapter for which the	1548
member is contributing under section 145.47 or 145.85 of the	1549
Revised Code. A	1550

A member who terminates employment in all positions subject	1551
to this chapter, receives a refund of the member's contributions	1552
made under section 145.47 or 145.85 of the Revised Code, and later	1553
becomes employed in a position subject to this chapter may make an	1554
election under section 145.19 of the Revised Code as provided by	1555
that section.	1556

Sec. 145.194. (A) A member participating in a PERS defined	1557
contribution plan at the time of commencing employment as a PERS	1558
law enforcement officer or PERS public safety officer shall cease	1559
making contributions to that plan. During employment as a PERS law	1560
enforcement officer or a PERS public safety officer and any	1561
concurrent employment in a position subject to this chapter, the	1562
member shall contribute only to the PERS defined benefit plan.	1563

(B) A member described in division (A) of this section with	1564
contributions standing to the member's credit in a PERS defined	1565
contribution plan may elect to have those contributions deposited	1566
and credited in the PERS defined benefit plan in accordance with	1567
section 145.814 of the Revised Code and rules governing the PERS	1568
defined benefit plan.	1569

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

~~The~~For each year of additional service credit ~~may be~~	1643
purchased ~~by paying~~under 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 service~~specified 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 ~~the~~a limit established by ~~division (A)(6) of~~	1692
~~that section~~either 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 from~~remain 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) ~~The~~Except 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 and expenses for the	1893
administration of a PERS defined contribution plan, exclusive of	1894
amounts payable as retirement allowances and as other benefits.	1895

(F) The survivors' benefit fund is the fund from which shall	1896
be paid dependent survivor benefits provided by section 145.45 of	1897
the Revised Code.	1898

(G) The defined contribution fund is the fund in which shall	1899
be accumulated the contributions deducted from the earnable salary	1900
of members participating in a PERS defined contribution plan, as	1901
provided in section 145.85 of the Revised Code, together with any	1902
earnings ~~and employer contributions, as provided in section 145.86~~	1903
~~of the Revised Code,~~ credited thereon. The defined contribution	1904
fund is the fund in which may be accumulated the contributions	1905
under section 145.86 of the Revised Code, together with any	1906
earnings credited thereon. Except as provided in division (C) of	1907
this section, the defined contribution fund is the fund from which	1908
shall be paid all benefits provided under a PERS defined	1909
contribution plan.	1910

Sec. 145.27. (A)(1) As used in this division, "personal	1911
history record" means information maintained by the public	1912
employees retirement board on an individual who is a member,	1913
former member, contributor, former contributor, retirant, or	1914
beneficiary that includes the address, telephone number, social	1915
security number, record of contributions, correspondence with the	1916
public employees retirement system, or other information the board	1917
determines to be confidential.	1918

(2) The records of the board shall be open to public	1919
inspection and may be made available in printed or electronic	1920
format, except that the following shall be excluded, except with	1921
the written authorization of the individual concerned:	1922

(a) The individual's statement of previous service and other	1923
information as provided for in section 145.16 of the Revised Code;	1924

(b) The amount of a monthly allowance or benefit paid to the	1925
individual;	1926

1927

(B) All medical reports and recommendations required by this	1928
chapter are privileged, except as follows:	1929

(1) Copies of medical reports or recommendations shall be	1930
made available to the personal physician, attorney, or authorized	1931
agent of the individual concerned upon written release from the	1932
individual or the individual's agent, or when necessary for the	1933
proper administration of the fund, to the board assigned	1934
physician.	1935

(2) Documentation required by section 2929.193 of the Revised	1936
Code shall be provided to a court holding a hearing under that	1937
section.	1938

(C) Any person who is a member or contributor of the system	1939
shall be furnished with a statement of the amount to the credit of	1940
the individual's account upon written request. The board is not	1941
required to answer more than one such request of a person in any	1942
one year. The board may issue annual statements of accounts to	1943
members and contributors.	1944

(D) Notwithstanding the exceptions to public inspection in	1945
division (A)(2) of this section, the board may furnish the	1946
following information:	1947

(1) If a member, former member, contributor, former	1948
contributor, or retirant is subject to an order issued under	1949
section 2907.15 of the Revised Code or an order issued under	1950
division (A) or (B) of section 2929.192 of the Revised Code or is	1951
convicted of or pleads guilty to a violation of section 2921.41 of	1952
the Revised Code, on written request of a prosecutor as defined in	1953
section 2935.01 of the Revised Code, the board shall furnish to	1954
the prosecutor the information requested from the individual's	1955
personal history record.	1956

(2) Pursuant to a court or administrative order issued	1957
pursuant to Chapter 3119., 3121., 3123., or 3125. of the Revised	1958
Code, the board shall furnish to a court or child support	1959
enforcement agency the information required under that section.	1960

(3) At the written request of any person, the board shall	1961
provide to the person a list of the names and addresses of	1962
members, former members, contributors, former contributors,	1963
retirants, or beneficiaries. The costs of compiling, copying, and	1964
mailing the list shall be paid by such person.	1965

(4) Within fourteen days after receiving from the director of	1966
job and family services a list of the names and social security	1967
numbers of recipients of public assistance pursuant to section	1968
5101.181 of the Revised Code, the board shall inform the auditor	1969
of state of the name, current or most recent employer address, and	1970
social security number of each member whose name and social	1971
security number are the same as that of a person whose name or	1972
social security number was submitted by the director. The board	1973
and its employees shall, except for purposes of furnishing the	1974
auditor of state with information required by this section,	1975
preserve the confidentiality of recipients of public assistance in	1976
compliance with section 5101.181 of the Revised Code.	1977

(5) The system shall comply with orders issued under section	1978
3105.87 of the Revised Code.	1979

On the written request of an alternate payee, as defined in	1980
section 3105.80 of the Revised Code, the system shall furnish to	1981
the alternate payee information on the amount and status of any	1982
amounts payable to the alternate payee under an order issued under	1983
section 3105.171 or 3105.65 of the Revised Code.	1984

(6) At the request of any person, the board shall make	1985
available to the person copies of all documents, including	1986
resumes, in the board's possession regarding filling a vacancy of	1987
an employee member or retirant member of the board. The person who	1988
made the request shall pay the cost of compiling, copying, and	1989
mailing the documents. The information described in division	1990
(D)(6) of this section is a public record.	1991

(7) The system shall provide the notice required by section	1992
145.573 of the Revised Code to the prosecutor assigned to the	1993
case.	1994

(8) The system may provide information requested by the	1995
United States social security administration, United States	1996
centers for medicare and medicaid, Ohio public employees deferred	1997
compensation program, Ohio police and fire pension fund, school	1998
employees retirement system, state teachers retirement system, or	1999
state highway patrol retirement system.	2000

(E) A statement that contains information obtained from the	2001
system's records that is signed by the executive director or an	2002
officer of the system and to which the system's official seal is	2003
affixed, or copies of the system's records to which the signature	2004
and seal are attached, shall be received as true copies of the	2005
system's records in any court or before any officer of this state.	2006

(F) For purposes of this section, the board may maintain	2007
records in printed or electronic format.	2008

Sec. 145.28. (A)(1) Except as provided in division (A)(2) of	2009
this section, a member of the public employees retirement system	2010
with at least eighteen months of contributing service in the	2011
system, the state teachers retirement system, or the school	2012
employees retirement system who exempted self from membership in	2013
one or more of the systems pursuant to section 145.03 or 3309.23	2014
of the Revised Code, or former section 3307.25 or 3309.25 of the	2015
Revised Code, or was exempt under section 3307.24 of the Revised	2016
Code, may purchase credit for each year or portion of a year of	2017
service for which the member was exempted.	2018

(2) A member may not purchase credit under this section for	2019
exempted service if the service was exempted from contribution	2020
under section 145.03 of the Revised Code and subject to the tax on	2021
wages imposed by the "Federal Insurance Contributions Act," 68A	2022
Stat. 415 (1954), 26 U.S.C.A. 3101, as amended.	2023

(B) ~~For each year or portion of a year of credit purchased~~	2024
~~under this section, a member shall pay to the retirement system an~~	2025
~~amount determined by multiplying the member's earnable salary for~~	2026
~~the twelve months of contributing service preceding the month in~~	2027
~~which the member applies to purchase the credit by a percentage~~	2028
~~rate established by rule of the public employees retirement board~~	2029
~~adopted under division (F) of this section.~~	2030

~~(C) Subject to board rules, a member may purchase all or part~~	2031
~~of the credit the member is eligible to purchase under this~~	2032
~~section in one or more payments. If the member purchases the~~	2033
~~credit in more than one payment, compound interest at a rate~~	2034
~~specified by rule of the board shall be charged on the balance~~	2035
~~remaining after the first payment is made.~~	2036

~~(D)~~Credit shall be purchased under this section in	2037
accordance with section 145.29 of the Revised Code.	2038

(C) Credit purchasable under this section shall not exceed	2039
one year of service for any twelve-month period. If the period of	2040
service for which credit is purchasable under this section is	2041
concurrent with a period of service that will be used to calculate	2042
a retirement benefit from this system, the state teachers	2043
retirement system, or school employees retirement system, the	2044
amount of the credit shall be adjusted in accordance with rules	2045
adopted by the public employees retirement board.	2046

A member who is also a member of the state teachers	2047
retirement system or the school employees retirement system shall	2048
purchase credit for any service for which the member exempted self	2049
under section 145.03 or 3309.23 of the Revised Code, or former	2050
section 3307.25 or 3309.25 of the Revised Code, or was exempt	2051
under section 3307.24 of the Revised Code, from the retirement	2052
system in which the member has the greatest number of years of	2053
service credit. If the member receives benefits under section	2054
145.37 of the Revised Code, the retirement system that determines	2055
and pays the benefit shall receive from the other system or	2056
systems the amounts paid by the member for purchase of credit for	2057
exempt service plus interest at the actuarial assumption rate of	2058
the system paying that amount. The interest shall be for the	2059
period beginning on the date of the member's last payment for	2060
purchase of the credit and ending on the date of the member's	2061
retirement.	2062

~~(E) If a member dies or withdraws from service, any payment~~	2063
~~made by the member under this section shall be considered as~~	2064
~~accumulated contributions of the member.~~	2065

~~(F)~~(D) The retirement board shall adopt rules to implement	2066
this section.	2067

Sec. 145.29. (A) A member of the public employees retirement	2068
system who elects to purchase or otherwise obtain service credit	2069
under section 145.28, 145.291, 145.292, 145.293, or 145.299 or	2070
division (G) of section 145.47 of the Revised Code shall do both	2071
of the following:	2072

(1) Submit a request to the public employees retirement board	2073
in a manner or form approved by the board;	2074

(2) For each year, or portion of a year, of credit purchased	2075
or otherwise obtained, pay to the employees' savings fund an	2076
amount specified by the board that is equal to one hundred per	2077
cent of the additional liability resulting from purchasing or	2078
obtaining that year or portion of a year of credit as determined	2079
by an actuary employed by the board.	2080

(B) Subject to board rules, a member may choose to purchase	2081
or otherwise obtain in any one payment only part of any service	2082
credit listed in division (A) of this section.	2083

Sec. 145.291. Any member of the public employees retirement	2084
system who subsequent to January 1, 1935, and the date membership	2085
was established was off the payroll either on a leave of absence	2086
approved by the then appointing authority or because the member	2087
resigned due to pregnancy or adoption of a child~~, shall have the~~	2088
~~right to make such payment, at the contribution rate in effect at~~	2089
~~the time of payment, with interest on such amount compounded~~	2090
~~annually at a rate to be determined by the retirement board as the~~	2091
~~member would have made if the member had continued on the payroll~~	2092
~~at the earnable salary the member was receiving at the time public~~	2093
~~service was interrupted~~may purchase service credit for the period	2094
of absence or resignation, provided that subsequent to such leave	2095
of absence or resignation the member returned to regular	2096
contributing status in the retirement system for at least twelve	2097
calendar months. In the case of resignation, the member must	2098
submit evidence satisfactory to the retirement board documenting	2099
that the resignation was due to pregnancy or adoption of a child.	2100

~~The member may choose to purchase only part of the credit in~~	2101
~~any one payment, subject to board rules. The payment shall entitle~~	2102
~~the member to receive service credit for the leave or period of~~	2103
~~absence,~~Credit shall be purchased under this section in	2104
accordance with section 145.29 of the Revised Code, except that	2105
service credit purchased under this section shall not exceed one	2106
year. ~~The payment, together with any regular interest, shall, in~~	2107
~~the event of death or withdrawal from service of the member prior~~	2108
~~to retirement, be considered as accumulated contributions of the~~	2109
~~member.~~	2110

~~Sec. 145.29.~~ Sec. 145.292. ~~Three years of contributing membership~~	2111
~~in the public employees retirement system subsequent to the date~~	2112
~~that membership is established entitles a member to receive prior~~	2113
~~service credit for services prior to January 1, 1935, in any~~	2114
~~capacity which comes under this chapter, provided that such member~~	2115
~~has not lost membership at any time by the withdrawal of the~~	2116
~~member's accumulated contributions. Members who have withdrawn an~~	2117
~~exemption shall receive the prior service credit provided for~~	2118
~~under the conditions of this section, only in the event such~~	2119
~~member has made the payments required by section 145.28 of the~~	2120
~~Revised Code. If the public employees retirement board determines~~	2121
~~that a position of any employee member in any one calendar year~~	2122
~~prior to January 1, 1935, was a part-time position, the board may~~	2123
~~determine what fractional part of a year's credit shall be given.~~	2124
~~In determining what credit shall be allowed to regular, full-time~~	2125
~~employees who are paid on an hourly or per diem basis, the board~~	2126
~~shall allow a full day's credit to any employee toward retirement~~	2127
~~who is called to work and works any portion of a day.~~ Credit for	2128
service between January 1, 1935, and the date of becoming a member	2129
of the public employees retirement system except a part-time	2130
employee who claimed exemption under the provisions of section	2131
145.03 of the Revised Code, may be ~~secured~~purchased by any public	2132
employee for service rendered an employer ~~provided such public~~	2133
~~employee pays into the employees' savings fund an amount equal to~~	2134
~~the amount the member would have paid if deductions had been taken~~	2135
~~on the member's earnable salary at the member contribution rate in~~	2136
~~effect at the time of such payment for service after January 1,~~	2137
~~1935, or since the member's date of employment, plus interest on~~	2138
~~such amount compounded annually at a rate to be determined by the~~	2139
~~board. The member may choose to purchase only part of such credit~~	2140
~~in any one payment, subject to board rules. Such payment shall be~~	2141
~~refunded in the event of the death or withdrawal from service of~~	2142
~~the member prior to retirement under the same conditions and in~~	2143
~~the same manner as refunds are made under sections 145.40 and~~	2144
~~145.43 of the Revised Code, from the employees' savings fund~~.	2145
Credit shall be purchased under this section in accordance with	2146
section 145.29 of the Revised Code.	2147

Sec. 145.293. (A) Service credit may be purchased under this	2148
section ~~shall be included in the member's total service credit.~~	2149
~~Credit may be purchased~~ for the following:	2150

(1) Service rendered in another state, and service in any	2151
entity operated by the United States government, that, if served	2152
in a comparable position in Ohio, would be covered by the public	2153
employees retirement system, Ohio police and fire pension fund,	2154
state teachers retirement system, school employees retirement	2155
system, or state highway patrol retirement system;	2156

(2) Service for which contributions were made by the member	2157
or on the member's behalf to a municipal retirement system in this	2158
state, except that if the conditions specified in section 145.2910	2159
of the Revised Code are met, service credit for this service may	2160
be purchased only in accordance with section 145.2911 of the	2161
Revised Code.	2162

The number of years purchased under this section shall not	2163
exceed the lesser of five years or the member's total accumulated	2164
number of years of Ohio service.	2165

(B) ~~For each year of service purchased, a member shall pay to~~	2166
~~the public employees retirement system for credit to the member's~~	2167
~~accumulated account an amount equal to the member's retirement~~	2168
~~contribution for full-time employment for the first year of Ohio~~	2169
~~service following termination of the service to be purchased. To~~	2170
~~this amount shall be added an amount equal to compound interest at~~	2171
~~a rate established by the public employees retirement board from~~	2172
~~the date of membership in the public employees retirement system~~	2173
~~to date of payment. The member may choose to purchase only part of~~	2174
~~such credit in any one payment, subject to board rules~~Credit	2175
shall be purchased under this section in accordance with section	2176
145.29 of the Revised Code.	2177

(C) A member is ineligible to purchase under this section	2178
credit for service ~~for which the member has obtained credit~~ under	2179
former section 145.44 of the Revised Code or service that is used	2180
in the calculation of any retirement benefit currently being paid	2181
or payable in the future to the member under any other retirement	2182
program except social security. At the time the credit is	2183
purchased the member shall certify on a form furnished by the	2184
retirement board that the member does and will conform to this	2185
requirement.	2186

(D) Credit purchased under this section may be combined	2187
pursuant to section 145.37 with credit purchased under sections	2188
3307.74 and 3309.31 of the Revised Code, except that not more than	2189
an aggregate total of five years' service credit purchased under	2190
this section and sections 3307.74 and 3309.31 of the Revised Code	2191
shall be used in determining retirement eligibility or calculating	2192
benefits under section 145.37 of the Revised Code.	2193

Sec. 145.294. (A)(1) The public employees retirement board	2194
may establish by rule a payroll deduction plan for payment of the	2195
cost of restoring service credit under section 145.31 or 145.311	2196
of the Revised Code or purchasing any service credit members of	2197
the public employees retirement system are eligible to purchase	2198
under this chapter, or for making additional deposits under	2199
section 145.583 or 145.62 of the Revised Code. In addition to any	2200
other matter considered relevant by the board, the rules shall	2201
specify all of the following:	2202

~~(1)~~(a) The types of service credit that may be paid for	2203
through payroll deduction, including the section of the Revised	2204
Code that authorizes the purchase of each type of service credit	2205
for which payment may be made by payroll deduction;	2206

~~(2)~~(b) The procedure for informing the member's employer and	2207
the system that the member wishes to purchase service credit under	2208
this chapter or make additional deposits under section 145.583 or	2209
145.62 of the Revised Code through payroll deduction;	2210

~~(3)~~(c) The procedure to be followed by the system and	2211
employers to determine for each request the amount to be deducted,	2212
the number of deductions to be made, and the interval at which	2213
deductions will be made. The rules may provide for a minimum	2214
amount for each deduction or a maximum number of deductions for	2215
the purchase of any type of credit.	2216

~~(4)~~(d) The procedure to be followed by employers in	2217
transmitting amounts deducted from the salaries of their employees	2218
to the system;	2219

~~(5)~~(e) The procedure to be followed by the system in	2220
crediting service credit to members who choose to purchase it	2221
through payroll deduction.	2222

~~(B)~~(2) If the board establishes a payroll deduction plan	2223
under this ~~section~~division, it shall certify to the member's	2224
employer for each member for whom deductions are to be made, the	2225
amount of each deduction and the payrolls from which deductions	2226
are to be made. The employer shall make the deductions as	2227
certified and transmit the amounts deducted in accordance with the	2228
rules established by the board under this section.	2229

~~(C)~~(3) Rules adopted under this ~~section~~division shall not	2230
affect any right to purchase service credit conferred by any other	2231
section of the Revised Code, including the right of a member under	2232
any such section to purchase only part of the service credit the	2233
member is eligible to purchase.	2234

~~(D)~~(4) No payroll deduction made pursuant to this ~~section~~	2235
division may exceed the amount of a member's net compensation	2236
after all other deductions and withholdings required by law.	2237

(B) The public employees retirement board may establish by	2238
rule a payment plan for the cost of restoring service credit under	2239
section 145.31 or 145.311 of the Revised Code or purchasing any	2240
service credit members of the public employees retirement system	2241
may purchase under this chapter. The plan may provide for partial	2242
payments and for payments by payroll deduction under division (A)	2243
of this section.	2244

On receipt of a request from a member eligible to restore or	2245
purchase service credit, the system shall determine and give	2246
notice to the member of the total cost of the credit and the time	2247
period in which the payments must be made for the credit to be	2248
available at that cost. The system may specify the amount and	2249
frequency of payments for credit not purchased in a single	2250
payment.	2251

Sec. 145.295. (A) As used in this section and section	2252
145.2913 of the Revised Code:	2253

(1) "Uniform retirement system" or "uniform system" means the	2254
Ohio police and fire pension fund or state highway patrol	2255
retirement system.	2256

(2) "Military service credit" means credit purchased or	2257
obtained under this chapter or Chapter 742. or 5505. of the	2258
Revised Code for service in the armed forces of the United States.	2259

(B) A member of the public employees retirement system who	2260
has contributions on deposit with, but is no longer contributing	2261
to, a uniform retirement system shall, in computing years of	2262
service, be given full credit for service credit earned under	2263
Chapter 742. or 5505. of the Revised Code or for military service	2264
credit if a transfer to the public employees retirement system is	2265
made under this division. At the request of the member,a transfer	2266
shall be made if all of the following conditions are met:	2267

(1) The member is eligible, or with the credit will be	2268
eligible, for a retirement or disability benefit.	2269

(2) The member agrees to retire or accept a disability	2270
benefit not later than ninety days after receiving notice from the	2271
public employees retirement system that the credit has been	2272
obtained;	2273

(3) For each year of service the uniform system ~~shall~~	2274
~~transfer~~transfers to the public employees retirement system~~, for~~	2275
~~each year of service,~~ the sum of the following:	2276

~~(1)~~(a) An amount equal to the member's accumulated	2277
contributions to the uniform system making the transfer and any	2278
payments by the member for military service credit;	2279

~~(2)~~(b) An amount equal to ~~the lesser of~~ the employer's	2280
contributions to the uniform system ~~or the amount that would have~~	2281
~~been contributed by the employer for the service had the member~~	2282
~~been employed by the member's current employer as a member of the~~	2283
~~public employees retirement system at the time the credit was~~	2284
~~earned~~;	2285

~~(3)~~(c) Interest, determined as provided in division (H) of	2286
this section, on the amounts specified in divisions (B)~~(1)~~(3)(a)	2287
and ~~(2)~~(b) of this section for the period from the last day of the	2288
year for which the service credit in the uniform system was earned	2289
or in which the military service credit was purchased or obtained	2290
to the date the transfer is made.	2291

(C) A member of the public employees retirement system who	2292
has at least eighteen months of contributing service credit with	2293
the public employees retirement system, who is a former member of	2294
a uniform retirement system, and who has received a refund of the	2295
member's accumulated contributions to that uniform system ~~shall,~~	2296
~~in computing years of service, be given full~~may obtain credit for	2297
service credit earned under Chapter 742. or 5505. of the Revised	2298
Code or for military service credit if~~, for~~all of the following	2299
conditions are met:	2300

(1) The member is eligible, or with the credit will be	2301
eligible, for a retirement or disability benefit.	2302

(2) The member agrees to retire or accept a disability	2303
benefit not later than ninety days after receiving notice from the	2304
public employees retirement system that the credit has been	2305
obtained.	2306

(3) For each year of service, the public employees retirement	2307
system receives the sum of the following:	2308

~~(1)~~(a) An amount, which shall be paid by the member, equal to	2309
the amount refunded by the uniform system to the member for that	2310
year for accumulated contributions and payments for military	2311
service credit, with interest at a rate established by the public	2312
employees retirement board on that amount from the date of the	2313
refund to the date of the payment;	2314

~~(2)~~(b) Interest, which shall be transferred by the uniform	2315
system, on the amount refunded to the member that is attributable	2316
to the year of service from the last day of the year for which the	2317
service credit was earned or in which payment was made for	2318
military service credit to the date the refund was made;	2319

~~(3)~~(c) An amount, which shall be transferred by the uniform	2320
system, equal to ~~the lesser of~~ the employer's contributions to the	2321
uniform system ~~or the amount that would have been contributed by~~	2322
~~the employer for the service had the member been employed by the~~	2323
~~member's current employer as a member of the public employees~~	2324
~~retirement system at the time the credit was earned~~, with interest	2325
on that amount from the last day of the year for which the service	2326
credit was earned or in which payment was made for military	2327
service credit to the date of the transfer.	2328

On receipt of payment from the member, the public employees	2329
retirement system shall notify the uniform system, which, on	2330
receipt of the notice, shall make the transfer required by this	2331
division. Interest shall be determined as provided in division (H)	2332
of this section.	2333

(D) A member of the public employees retirement system who	2334
purchased credit under former division (A)(1) of this section, as	2335
it existed before August 25, 1995, for service as a member of a	2336
uniform retirement system may elect to have the amount the member	2337
paid for this service credit refunded to the member under this	2338
division if the member agrees to repurchase this service credit	2339
pursuant to division (C) of this section.	2340

(E) Service credit purchased or otherwise obtained under this	2341
section shall be considered the equivalent of Ohio service credit.	2342

The public employees retirement system shall withdraw the	2343
credit and refund all amounts paid or transferred under this	2344
section if either of the following occurs:	2345

(1) The member fails to retire or accept a disability benefit	2346
not later than ninety days after receiving notice from the public	2347
employees retirement system that credit has been obtained.	2348

(2) The member's application for a disability benefit is	2349
denied.	2350

A member may choose to purchase only part of the credit the	2351
member is eligible to purchase under division (C) of this section	2352
~~in any one payment~~, subject to rules of the public employees	2353
retirement board. A member is ineligible to purchase or otherwise	2354
obtain credit under this section for service to be used in	2355
calculation of any retirement benefit currently being paid or	2356
payable to the member in the future under any other retirement	2357
program or for service credit that may be transferred under	2358
section 145.2913 of the Revised Code.	2359

(F) If a member of the public employees retirement system who	2360
is not a current contributor elects to receive credit under	2361
section 742.21 or 5505.40 of the Revised Code for service for	2362
which the member contributed to the system or made payment for	2363
military service credit, the system shall transfer to the Ohio	2364
police and fire pension fund or the state highway patrol	2365
retirement system, as applicable, the amount specified in division	2366
(D) of section 742.21 or division (B)(2) of section 5505.40 of the	2367
Revised Code.	2368

(G) A member of the public employees retirement system who	2369
earned service credit in the public employees retirement system	2370
for full-time service as a township or municipal police officer	2371
and received service credit in the Ohio police and fire pension	2372
fund under section 742.511 or 742.512 of the Revised Code for such	2373
service may elect to have the credit restored as public employees	2374
retirement system service credit by paying the public employees	2375
retirement system an amount equal to the accumulated contributions	2376
paid by the member to the Ohio police and fire pension fund under	2377
section 742.511 or 742.512 of the Revised Code. When such an	2378
election is made, the Ohio police and fire pension fund shall	2379
transfer to the public employees retirement system the amount	2380
previously transferred under section 742.511 or 742.512 of the	2381
Revised Code from the public employees retirement system to the	2382
Ohio police and fire pension fund.	2383

(H) Interest charged under this section shall be calculated	2384
separately for each year of service credit. Unless otherwise	2385
specified in this section, it shall be calculated at the lesser of	2386
the actuarial assumption rate for that year of the public	2387
employees retirement system or of the uniform retirement system in	2388
which the credit was earned. The interest shall be compounded	2389
annually.	2390

(I) At the request of the public employees retirement system,	2391
the uniform retirement system shall certify to the public	2392
employees retirement system a copy of the records of the service	2393
and contributions of a public employees retirement system member	2394
who seeks service credit under this section.	2395

Sec. 145.297. (A) As used in this section, "employing unit"	2396
means:	2397

(1) A municipal corporation, agency of a municipal	2398
corporation designated by the legislative authority, park	2399
district, conservancy district, sanitary district, health	2400
district, township, department of a township designated by the	2401
board of township trustees, metropolitan housing authority, public	2402
library, county law library, union cemetery, joint hospital, or	2403
other political subdivision or unit of local government.	2404

(2) With respect to state employees, any entity of the state	2405
including any department, agency, institution of higher education,	2406
board, bureau, commission, council, office, or administrative body	2407
or any part of such entity that is designated by the entity as an	2408
employing unit.	2409

(3)(a) With respect to employees of a board of alcohol, drug	2410
addiction, and mental health services, that board.	2411

(b) With respect to employees of a county board of	2412
developmental disabilities, that board.	2413

(c) With respect to other county employees, the county or any	2414
county agency designated by the board of county commissioners.	2415

(4) In the case of an employee whose employing unit is in	2416
question, the employing unit is the unit through whose payroll the	2417
employee is paid.	2418

(B) An employing unit may establish a retirement incentive	2419
plan for its eligible employees. In the case of a county or county	2420
agency, decisions on whether to establish a retirement incentive	2421
plan for any employees other than employees of a board of alcohol,	2422
drug addiction, and mental health services or county board of	2423
developmental disabilities and on the terms of the plan shall be	2424
made by the board of county commissioners. In the case of a	2425
municipal corporation or an agency of a municipal corporation,	2426
decisions on whether to establish a retirement incentive plan and	2427
on the terms of the plan shall be made by the legislative	2428
authority.	2429

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

2430

A retirement incentive plan shall provide for purchase by the	2431
employing unit of service credit for eligible employees who elect	2432
to participate in the plan and for payment by the employing unit	2433
of the entire cost of the service credit purchased.	2434

Every retirement incentive plan shall remain in effect for at	2435
least one year. The employing unit shall give employees at least	2436
thirty days' notice before terminating the plan.	2437

Every retirement incentive plan shall include provisions for	2438
the timely and impartial resolution of grievances and disputes	2439
arising under the plan.	2440

No employing unit shall have more than one retirement	2441
incentive plan in effect at any time.	2442

(C) Any classified or unclassified employee of the employing	2443
unit who is a member of the public employees retirement system	2444
shall be eligible to participate in the retirement incentive plan	2445
established by the employee's employing unit if the employee meets	2446
the following criteria:	2447

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

2448

(a) An elected official;

2449

(b) A member of a board or commission;

2450

2451

(d) A person appointed to serve a term of fixed length, other	2452
than a person appointed and employed by the person's employing	2453
unit.	2454

(2) The employee is or will be eligible to retire under	2455
section ~~145.32~~145.33, ~~145.34,~~145.332, or 145.37~~, or division (A)~~	2456
~~of section 145.33~~ of the Revised Code on or before the date of	2457
termination of the retirement incentive plan. Service credit to be	2458
purchased for the employee under the retirement incentive plan	2459
shall be included in making such determination.	2460

(3) The employee agrees to retire under section ~~145.32~~	2461
145.33, ~~145.34,~~145.332, or 145.37~~, or division (A) of section~~	2462
~~145.33~~ of the Revised Code within ninety days after receiving	2463
notice from the public employees retirement system that service	2464
credit has been purchased for the employee under this section.	2465

Participation in the plan shall be available to all eligible	2466
employees except that the employing unit may limit the number of	2467
participants in the plan to a specified percentage of its	2468
employees who are members of the public employees retirement	2469
system on the date the plan goes into effect. The percentage shall	2470
not be less than five per cent of such employees. If participation	2471
is limited, employees with more total service credit have the	2472
right to elect to participate before employees with less total	2473
service credit. In the case of employees with the same total	2474
service credit, employees with a greater length of service with	2475
the employing unit have the right to elect to participate before	2476
employees with less service with the employing unit. Employees	2477
with less than eighteen months of service with the employing unit	2478
have the right to elect to participate only after all other	2479
eligible employees have been given the opportunity to elect to	2480
participate. For the purpose of determining which employees may	2481
participate in a plan, total service credit includes service	2482
credit purchased by the employee under this chapter after the date	2483
on which the plan is established.	2484

A retirement incentive plan that limits participation may	2485
provide that an employee who does not notify the employing unit of	2486
the employee's decision to participate in the plan within a	2487
specified period of time will lose priority to participate in the	2488
plan ahead of other employees with less seniority. The time given	2489
to an employee to elect to participate ahead of other employees	2490
shall not be less than thirty days after the employee receives	2491
written notice that the employee may participate in the plan.	2492

(D) A retirement incentive plan shall provide for purchase of	2493
the same amount of service credit for each participating employee,	2494
except that the employer may not purchase more service credit for	2495
any employee than the lesser of the following:	2496

(1) Five years of service credit;

2497

(2) An amount of service credit equal to one-fifth of the	2498
total service credited to the participant under this chapter,	2499
exclusive of service credit purchased under this section.	2500

For each year of service credit purchased under this section,	2501
the employing unit shall pay an amount equal to the additional	2502
liability resulting from the purchase of that year of service	2503
credit, as determined by an actuary employed by the public	2504
employees retirement board.	2505

(E) Upon the election by an eligible employee to participate	2506
in the retirement incentive plan, the employee and the employing	2507
unit shall agree upon a date for payment or contracting for	2508
payment in installments to the public employees retirement system	2509
of the cost of the service credit to be purchased. The employing	2510
unit shall submit to the public employees retirement system a	2511
written request for a determination of the cost of the service	2512
credit, and within forty-five days after receiving the request,	2513
the board shall give the employing unit written notice of the	2514
cost.	2515

The employing unit shall pay or contract to pay in	2516
installments the cost of the service credit to be purchased to the	2517
public employees retirement system on the date agreed to by the	2518
employee and the employing unit. The payment shall be made in	2519
accordance with rules adopted by the public employees retirement	2520
board. The rules may provide for payment in installments and for	2521
crediting the purchased credit to the employee's account upon the	2522
employer's contracting to pay the cost in installments. The board	2523
shall notify the member when the member is credited with service	2524
purchased under this section. If the employee does not retire	2525
within ninety days after receiving notice that the employee has	2526
been credited with the purchased service credit, the system shall	2527
refund to the employing unit the amount paid for the service	2528
credit.	2529

No payment made to the public employees retirement system	2530
under this section shall affect any payment required by section	2531
145.48 of the Revised Code.	2532

(F) For the purpose of determining whether the cost of a	2533
retirement incentive plan established by a county or county agency	2534
under this section is an allowable cost for the purpose of federal	2535
funding for any year, the cost shall be considered abnormal or	2536
mass severance pay only if fifteen per cent or more of the county	2537
or county agency's employees participate in the plan in that year.	2538

Nothing in this division shall relieve a county or county	2539
agency from seeking federal approval for any early retirement	2540
incentive plan that uses federal dollars in accordance with	2541
federal law.	2542

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

2543

(1) "State employing unit" means an employing unit described	2544
in division (A)(2) of section 145.297 of the Revised Code, except	2545
that it does not mean an employing unit with fifty or fewer	2546
employees.	2547

(2) "State institution" means a state correctional facility,	2548
a state institution for the mentally ill, or a state institution	2549
for the care, treatment, and training of the mentally retarded.	2550

(B)(1) Prior to ~~the effective date of this amendment~~July 17,	2551
2009, in the event of a proposal to close a state institution or	2552
lay off, within a six-month period, a number of persons employed	2553
at an institution that equals or exceeds the lesser of fifty or	2554
ten per cent of the persons employed at the institution, the	2555
employing unit responsible for the institution's operation shall	2556
establish a retirement incentive plan for persons employed at the	2557
institution.	2558

(2) On and after ~~the effective date of this amendment~~July	2559
17, 2009, in the event of a proposal to close a state institution	2560
or lay off, within a six-month period, a number of persons	2561
employed at an institution that equals or exceeds the lesser of	2562
three hundred fifty or forty per cent of the persons employed at	2563
the institution, the employing unit responsible for the	2564
institution's operation shall establish a retirement incentive	2565
plan for persons employed at the institution.	2566

(C)(1) Prior to ~~the effective date of this amendment~~July 17,	2567
2009, in the event of a proposal, other than the proposals	2568
described in division (B) of this section, to lay off, within a	2569
six-month period, a number of employees of a state employing unit	2570
that equals or exceeds the lesser of fifty or ten per cent of the	2571
employing unit's employees, the employing unit shall establish a	2572
retirement incentive plan for employees of the employing unit.	2573

(2) On and after ~~the effective date of this amendment~~July	2574
17, 2009, in the event of a proposal, other than the proposals	2575
described in division (B) of this section, to lay off, within a	2576
six-month period, a number of employees of a state employing unit	2577
that equals or exceeds the lesser of three hundred fifty or forty	2578
per cent of the employing unit's employees, the employing unit	2579
shall establish a retirement incentive plan for employees of the	2580
employing unit.	2581

(D)(1) A retirement incentive plan established under this	2582
section shall be consistent with the requirements of section	2583
145.297 of the Revised Code, except ~~as provided in division (D)(2)~~	2584
~~of this section and except~~ that the plan shall go into effect at	2585
the time the layoffs or proposed closings are announced and shall	2586
remain in effect until the date of the layoffs or closings.	2587

(2) ~~A retirement incentive plan established under this~~	2588
~~section due to the proposed closing of a state institution by the~~	2589
~~department of mental health prior to July 1, 1997, shall be~~	2590
~~consistent with the requirements of section 145.297 of the Revised~~	2591
~~Code, except as follows:~~	2592

~~(a) The employing unit shall purchase at least three years of~~	2593
~~service credit for each participating employee, except that it~~	2594
~~shall not purchase more service credit than the amount allowed by~~	2595
~~division (D) of section 145.297 of the Revised Code;~~	2596

~~(b) The plan shall go into effect at the time the proposed~~	2597
~~closing is announced and shall remain in effect at least until the~~	2598
~~date of the closing.~~	2599

~~(3)~~ If the employing unit already has a retirement incentive	2600
plan in effect, the plan shall remain in effect at least until the	2601
date of the layoffs or closings. The employing unit may revise the	2602
existing plan to provide greater benefits, but if it revises the	2603
plan, it shall give written notice of the changes to all employees	2604
who have elected to participate in the original plan, and it shall	2605
provide the greater benefits to all employees who participate in	2606
the plan, whether their elections to participate were made before	2607
or after the date of the revision.	2608

Sec. 145.299. (A) As used in this section, "school board	2609
member" means a member of a city, local, exempted village, or	2610
joint vocational school district board of education and "governing	2611
board member" means a member of an educational service center	2612
governing board.	2613

(B) A member of the public employees retirement system may	2614
purchase credit for service as a school board member if all of the	2615
following conditions are met:	2616

(1) The member is eligible to retire under this chapter or	2617
will become eligible to retire as a result of purchasing the	2618
credit.	2619

(2) The member agrees to retire within ninety days after	2620
receiving notice of the additional liability under ~~division (C) of~~	2621
~~this~~ section 145.29 of the Revised Code.	2622

(3) The retirement system receives certification of the	2623
member's service and compensation as a school board or governing	2624
board member from the board of education or governing board of the	2625
district or educational service center in which the member served	2626
or, if that district or educational service center no longer	2627
exists, the board or governing board that controls the territory,	2628
or the largest part of the territory, of the district or	2629
educational service center in which the member served.	2630

(C) Credit shall be purchased under this section in	2631
accordance with section 145.29 of the Revised Code, except that	2632
payment for the credit or portion of credit shall be paid in full	2633
at the time of purchase.	2634

(D) The retirement system shall calculate the amount of	2635
credit the member is eligible to purchase by dividing the	2636
compensation received pursuant to section 3313.12 of the Revised	2637
Code for each month served as a school board or governing board	2638
member by the amount of compensation that, for the same month, the	2639
retirement system considered equivalent to full-time service.	2640

(E) Credit may be purchased for service as a school board or	2641
governing board member, other than service subject to the tax on	2642
wages imposed by the "Federal Insurance Contributions Act," 68A	2643
Stat. 415 (1954), 26 U.S.C.A. 3101, as amended, between January 1,	2644
1935, and the first day of January of the year in which the credit	2645
is purchased. A member may purchase not more than one-twelfth of a	2646
year's credit for each month of service as a school board or	2647
governing board member.	2648

~~(C) On receipt of a request from a member eligible to~~	2649
~~purchase credit under this section, the system shall obtain from~~	2650
~~its actuary certification of the additional liability to the~~	2651
~~system for each month of credit the member is eligible to~~	2652
~~purchase, and shall notify the member of such additional~~	2653
~~liability. The member may purchase in one-month increments any~~	2654
~~portion of the credit the member is eligible to purchase. For each~~	2655
~~month of credit purchased, the member shall pay to the system an~~	2656
~~amount equal to the additional liability resulting from the~~	2657
~~purchase. Payment shall be made in full at the time of purchase~~.	2658

~~(D)~~(F) The public employees retirement board shall adopt	2659
rules in accordance with section 111.15 of the Revised Code	2660
concerning the purchase of credit under this section. In addition	2661
to any other matters considered relevant by the retirement board,	2662
the rules shall specify the procedure to be followed by a member	2663
to inform the system of the member's desire to purchase credit for	2664
service as a school board or governing board member.	2665

~~(E)~~(G) If the member does not retire within ninety days after	2666
purchasing credit under this section, the system shall withdraw	2667
the credit and refund the amount paid by the member.	2668

Sec. 145.2911. (A) If the conditions described in division	2669
(B) of section 145.2910 of the Revised Code are met, a member of	2670
the public employees retirement system who is not receiving a	2671
pension or benefit from the public employees retirement system is	2672
eligible to obtain credit for service as a member of the	2673
Cincinnati retirement system under this section.	2674

(B) A member of the public employees retirement system who	2675
has contributions on deposit with, but is no longer contributing	2676
to, the Cincinnati retirement system shall, in computing years of	2677
service credit, be given credit for service credit earned under	2678
the Cincinnati retirement system or purchased or obtained as	2679
military service credit if~~, for~~all of the following conditions	2680
are met:	2681

(1) The member is eligible, or with the credit will be	2682
eligible, for a retirement or disability benefit.	2683

(2) The member agrees to retire or accept a disability	2684
benefit not later than ninety days after receiving notice from the	2685
public employees retirement system that the credit has been	2686
obtained.	2687

(3) For each year of service, the Cincinnati retirement	2688
system transfers to the public employees retirement system the sum	2689
of the following:	2690

~~(1)~~(a) The amount contributed by the member, or, in the case	2691
of military service credit, paid by the member, that is	2692
attributable to the year of service;	2693

~~(2)~~(b) An amount equal to ~~the lesser of~~ the employer's	2694
contributions to the Cincinnati retirement system ~~or the amount~~	2695
~~that would have been contributed by the employer for the service~~	2696
~~had the member been employed by the member's current employer as a~~	2697
~~member of the public employees retirement system at the time the~~	2698
~~credit was earned~~;	2699

~~(3)~~(c) Interest on the amounts specified in divisions	2700
(B)~~(1)~~(3)(a) and ~~(2)~~(b) of this section from the last day of the	2701
year for which the service credit was earned or in which payment	2702
was made for military service credit to the date the transfer is	2703
made.	2704

(C) A member of the public employees retirement system with	2705
at least eighteen months of contributing service credit with the	2706
public employees retirement system who has received a refund of	2707
the member's contributions to the Cincinnati retirement system	2708
~~shall, in computing years of service, be given~~may obtain credit	2709
for service credit earned under the Cincinnati retirement system	2710
or purchased or obtained as military service credit if~~, for~~all of	2711
the following conditions are met:	2712

(1) The member is eligible, or with the credit will be	2713
eligible, for a retirement or disability benefit.	2714

(2) The member agrees to retire or accept a disability	2715
benefit not later than ninety days after receiving notice from the	2716
public employees retirement system that the credit has been	2717
obtained.	2718

(3) For each year of service, the public employees retirement	2719
system receives the sum of the following:	2720

~~(1)~~(a) An amount, paid by the member, equal to the sum of the	2721
following:	2722

~~(a)~~(i) The amount refunded by the Cincinnati retirement	2723
system to the member for that year for contributions and payments	2724
for military service, with interest at a rate established by the	2725
public employees retirement board on that amount from the date of	2726
the refund to the date of payment;	2727

~~(b)~~(ii) The amount of interest, if any, the member received	2728
when the refund was made that is attributable to the year of	2729
service.	2730

~~(2)~~(b) An amount, transferred by the Cincinnati retirement	2731
system to the public employees retirement system, equal to the sum	2732
of the following:	2733

~~(a)~~(i) Interest on the amount refunded to the member that is	2734
attributable to the year of service from the last day of the year	2735
for which the service credit was earned or in which payment was	2736
made for military service credit to the date the refund was made;	2737

~~(b)~~(ii) An amount equal to ~~the lesser of~~ the employer's	2738
contributions to the Cincinnati retirement system ~~or the amount~~	2739
~~that would have been contributed by the employer for the service~~	2740
~~had the member been employed by the member's current employer as a~~	2741
~~member of the public employees retirement system at the time the~~	2742
~~credit was earned~~, with interest on that amount from the last day	2743
of the year for which the service credit was earned to the date of	2744
the transfer.	2745

(D) The amount transferred under division (C)~~(2)(a)~~(3)(b)(i)	2746
of this section shall not include any amount of interest the	2747
Cincinnati retirement system paid to the person when it made the	2748
refund.	2749

(E) On receipt of payment from the member under division	2750
(C)~~(1)~~(3)(a) of this section, the public employees retirement	2751
system shall notify the Cincinnati retirement system. On receipt	2752
of the notice, the Cincinnati retirement system shall transfer the	2753
amount described in division (C)~~(2)~~(3)(b) of this section.	2754

(F) Interest charged under this section shall be calculated	2755
separately for each year of service credit. Unless otherwise	2756
specified in this section, it shall be calculated at the lesser of	2757
the actuarial assumption rate for that year of the public	2758
employees retirement system or the Cincinnati retirement system.	2759
The interest shall be compounded annually.	2760

(G) At the request of the public employees retirement system,	2761
the Cincinnati retirement system shall certify to the public	2762
employees retirement system a copy of the records of the service	2763
and contributions of a member of the public employees retirement	2764
system who seeks service credit under this section.	2765

(H) Service credit purchased or otherwise obtained under this	2766
section shall be considered the equivalent of Ohio service credit.	2767

The public employees retirement system shall withdraw the	2768
credit and refund all amounts paid or transferred under this	2769
section if either of the following occurs:	2770

(1) The member fails to retire or accept a disability benefit	2771
not later than ninety days after receiving notice from the public	2772
employees retirement system that credit has been obtained under	2773
this section.	2774

(2) The member's application for a disability benefit is	2775
denied.	2776

(I) A member may choose to purchase only part of the credit	2777
the member is eligible to purchase under division (C) of this	2778
section ~~in any one payment~~, subject to rules of the public	2779
employees retirement board.	2780

(J) A member is ineligible to purchase or otherwise obtain	2781
credit under this section for the service to be used in	2782
calculation of any ~~retiremement~~retirement benefit currently being	2783
paid or payable to the member in the future.	2784

Sec. 145.2912. (A) If the conditions described in division	2785
(B) of section 145.2910 of the Revised Code are met and a person	2786
who is a member or former member of the public employees	2787
retirement system but not a current contributor and who is not	2788
receiving a pension or benefit from the public employees	2789
retirement system elects to receive credit under the Cincinnati	2790
retirement system for service for which the person contributed to	2791
the public employees retirement system or purchased or obtained as	2792
military service credit, the public employees retirement system	2793
shall transfer the amounts specified in divisions ~~(B)~~(A)(3)(a) and	2794
~~(C)~~(b) of this section to the Cincinnati retirement system. A	2795
person may obtain credit if all of the following conditions are	2796
met:	2797

(1) The member is eligible, or with the credit will be	2798
eligible, for a retirement or disability benefit.	2799

(2) The member agrees to retire or accept a disability	2800
benefit not later than ninety days after receiving notice from the	2801
public employees retirement system that the credit has been	2802
obtained.	2803

~~(B)~~(3)(a) If the person has contributions on deposit with the	2804
public employees retirement system, the public employees	2805
retirement system ~~shall~~, for each year of service credit, ~~transfer~~	2806
transfers to the Cincinnati retirement system the sum of the	2807
following:	2808

~~(1)~~(i) An amount equal to the person's contributions to the	2809
public employees retirement system and payments made by the member	2810
for military service credit;	2811

~~(2)~~(ii) An amount equal to ~~the lesser of~~ the employer's	2812
contributions to the public employees retirement system ~~or the~~	2813
~~amount that would have been contributed by the employer for the~~	2814
~~service had the person been a member of the Cincinnati retirement~~	2815
~~system at the time the credit was earned~~;	2816

~~(3)~~(iii) Interest on the amounts specified in divisions	2817
~~(B)(1)~~(A)(3)(a)(i) and ~~(2)~~(ii) of this section for the period	2818
from the last day of the year for which the service credit was	2819
earned or in which payment was made for military service credit to	2820
the date the transfer was made.	2821

~~(C)(1)~~(b) If the person has received a refund of accumulated	2822
contributions to the public employees retirement system, the	2823
public employees retirement system ~~shall~~, for each year of service	2824
credit, ~~transfer~~transfers to the Cincinnati retirement system the	2825
sum of the following:	2826

~~(a)~~(i) Interest on the amount refunded to the former member	2827
that is attributable to the year of service from the last day of	2828
the year for which the service credit was earned or in which	2829
payment was made for military service credit to the date the	2830
refund was made;	2831

~~(b)~~(ii) An amount equal to ~~the lesser of~~ the employer's	2832
contributions to the public employees retirement system ~~or the~~	2833
~~amount that would have been contributed by the employer for the~~	2834
~~service had the person been a member of the Cincinnati retirement~~	2835
~~system at the time the credit was earned~~, with interest on that	2836
amount from the last day of the year for which the service credit	2837
was earned to the date of the transfer.	2838

~~(2)~~(B) The amount transferred under division ~~(C)(1)~~(A)(3)(b)	2839
of this section shall not include any amount of the employer's	2840
contributions or interest on employee contributions the person	2841
received under section 145.40 of the Revised Code.	2842

~~(3)~~(C) On receipt of notice from the Cincinnati retirement	2843
system that the Cincinnati retirement system has received payment	2844
from a person described in division ~~(C)(1)~~(A)(3)(b) of this	2845
section, the public employees retirement system shall transfer the	2846
amount described in that division.	2847

(D) Interest charged under this section shall be calculated	2848
separately for each year of service credit. Unless otherwise	2849
specified in this section, it shall be calculated at the lesser of	2850
the actuarial assumption rate for that year of the public	2851
employees retirement system or the Cincinnati retirement system.	2852
The interest shall be compounded annually.	2853

(E) The transfer of any amount under this section cancels an	2854
equivalent amount of service credit.	2855

(F) At the request of the Cincinnati retirement system, the	2856
public employees retirement system shall certify to the Cincinnati	2857
retirement system a copy of the records of the service and	2858
contributions of a member or former member of the public employees	2859
retirement system who elects to receive service credit under the	2860
Cincinnati retirement system.	2861

Sec. 145.2913. (A) As used in this section, "transferred	2862
service credit" means service credit purchased or obtained under	2863
section 742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of	2864
the Revised Code prior to the date a member commenced the	2865
employment covered by the public employees retirement system for	2866
which the member is currently contributing to the system.	2867

(B) A member of the public employees retirement system who	2868
has contributions on deposit with, but is no longer contributing	2869
to, a uniform retirement system shall, in computing years of	2870
service, be given full credit for transferred service credit if a	2871
transfer to the public employees retirement system is made under	2872
this ~~section~~division. At the request of a member a transfer shall	2873
be made if all of the following conditions are met:	2874

(1) The member is eligible, or with the credit will be	2875
eligible, for a retirement or disability benefit.	2876

(2) The member agrees to retire or accept a disability	2877
benefit not later than ninety days after receiving notice from the	2878
public employees retirement system that the credit has been	2879
obtained.	2880

(3) For each year of service, the uniform system ~~shall~~	2881
~~transfer~~transfers to the public employees retirement system the	2882
sum of the following:	2883

~~(1)~~(a) An amount equal to the amounts transferred to the	2884
uniform system under section 742.21, 742.214, 742.375, 5505.201,	2885
5505.40, or 5505.41 of the Revised Code;	2886

~~(2)~~(b) Interest, determined as provided in division (E) of	2887
this section, on the amount specified in division (B)~~(1)~~(3)(a) of	2888
this section for the period from the last day of the year in which	2889
the transfer under section 742.21, 742.214, 742.375, 5505.201,	2890
5505.40, or 5505.41 of the Revised Code was made to the date a	2891
transfer is made under this section.	2892

(C) A member of the public employees retirement system with	2893
at least eighteen months of contributing service credit with the	2894
public employees retirement system who has received a refund of	2895
contributions to a uniform retirement system shall, in computing	2896
years of service, be given full credit for transferred service	2897
credit if~~, for~~all of the following conditions are met:	2898

(1) The member is eligible, or with the credit will be	2899
eligible, for a retirement or disability benefit.	2900

(2) The member agrees to retire or accept a disability	2901
benefit not later than ninety days after receiving notice from the	2902
public employees retirement system that the credit has been	2903
obtained.	2904

(3) For each year of service, the public employees retirement	2905
system receives the sum of the following:	2906

~~(1)~~(a) An amount, which shall be paid by the member, equal to	2907
the amount refunded by the uniform system to the member for that	2908
year for transferred service credit, with interest on that amount	2909
from the date of the refund to the date a payment is made under	2910
this section;	2911

~~(2)~~(b) Interest, which shall be transferred by the uniform	2912
system, on the amount refunded to the member for the period from	2913
the last day of the year in which the transfer under section	2914
742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of the	2915
Revised Code was made to the date the refund was made;	2916

~~(3)~~(c) If the uniform system retained any portion of the	2917
amount transferred under section 742.21, 742.214, 742.375,	2918
5505.201, 5505.40, or 5505.41 of the Revised Code, an amount,	2919
which shall be transferred by the uniform system, equal to the	2920
amount retained, with interest on that amount for the period from	2921
the last day of the year in which the transfer under section	2922
742.21, 742.214, 742.375, 5505.201, 5505.40, or 5505.41 of the	2923
Revised Code was made to the date a transfer is made under this	2924
section.	2925

On receipt of payment from the member, the public employees	2926
retirement system shall notify the uniform system, which, on	2927
receipt of the notice, shall make the transfer required by this	2928
division. Interest shall be determined as provided in division (E)	2929
of this section.	2930

(D) Service credit purchased or obtained under this section	2931
shall be considered the equivalent of Ohio service credit. A	2932
member may choose to purchase only part of the credit the member	2933
is eligible to purchase under division (C) of this section ~~in any~~	2934
~~one payment~~, subject to rules adopted by the public employees	2935
retirement board. A member is ineligible to purchase or obtain	2936
service credit under this section for service to be used in the	2937
calculation of any retirement benefit currently being paid or	2938
payable to the member in the future under any other retirement	2939
program or for service credit that may be purchased or obtained	2940
under section 145.295 of the Revised Code.	2941

(E) Interest charged under this section shall be calculated	2942
separately for each year of service credit at the lesser of the	2943
actuarial assumption rate for that year of the public employees	2944
retirement system or of the uniform retirement system to which the	2945
credit was transferred under section 742.21, 742.214, 742.375,	2946
5505.201, 5505.40, or 5505.41 of the Revised Code. The interest	2947
shall be compounded annually.	2948

(F) Any amounts transferred or paid under divisions (B) and	2949
(C) of this section that are attributable to contributions made by	2950
the member or to amounts paid to purchase service credit shall be	2951
credited to the employees' savings fund created under section	2952
145.23 of the Revised Code. Any remaining amounts shall be	2953
credited to one or more of the funds created under that section as	2954
determined by the board.	2955

(G) At the request of the public employees retirement system,	2956
the uniform retirement system shall certify to the public	2957
employees retirement system a copy of the records of the service	2958
and contributions of a public employees retirement system member	2959
who seeks service credit under this section. The uniform	2960
retirement system shall specify the portions of the amounts	2961
transferred that are attributable to employee contributions,	2962
employer contributions, and interest.	2963

(H) If a member of the public employees retirement system who	2964
is not a current contributor elects to receive service credit	2965
under section 742.214 or 5505.41 of the Revised Code for	2966
transferred service credit, as defined in those sections, the	2967
system shall transfer to the uniform retirement system, as	2968
applicable, the amount specified in division (B) or (C) of section	2969
742.214 or division (B) or (C) of section 5505.41 of the Revised	2970
Code.	2971

(I) The public employees retirement system shall withdraw the	2972
credit and refund all amounts paid or transferred under this	2973
section if either of the following occurs:	2974

(1) The member fails to retire or accept a disability benefit	2975
not later than ninety days after receiving notice from the public	2976
employees retirement system that credit has been obtained under	2977
this section.	2978

(2) The member's application for a disability benefit is	2979
denied.	2980

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

2981

Sec. 145.2914. (A) The public employees retirement board may	2982
adopt rules in accordance with section 145.09 of the Revised Code	2983
to establish a program under which service credit earned under	2984
~~division (A) or (B)(2)(b) of~~ section 145.33 of the Revised Code or	2985
division (A)(2), (B)(2), or (C)(2) of section 145.332 of the	2986
Revised Code is treated as service credit earned under division	2987
~~(B)(2)(a)~~(A)(1), (B)(1), or (C)(1) of ~~that~~ section 145.332 of the	2988
Revised Code if the member ~~makes~~elects to do one of the	2989
following:	2990

(1) Have the amount of service credit earned under section	2991
145.33 of the Revised Code or division (A)(2), (B)(2), or (C)(2)	2992
of section 145.332 of the Revised Code reduced so there is no	2993
additional liability to the public employees retirement system;	2994

(2) Make payment to the public employees retirement system in	2995
accordance with the rules. The number of years of service credit	2996
earned under section 145.33 of the Revised Code or division	2997
(A)(2), (B)(2), or (C)(2) of section 145.332 of the Revised Code	2998
that may be treated as service credit earned under division	2999
(A)(1), (B)(1), or (C)(1) of section 145.332 of the Revised Code	3000
shall not exceed five.	3001

(B) If the board adopts rules under division (A) of this	3002
section, all of the following apply to payments made under	3003
division (A)(2) of this section:	3004

(1) For each year or portion of a year of service credit	3005
earned under ~~division (A) or (B)(2)(b) of~~ section 145.33 of the	3006
Revised Code or division (A)(2), (B)(2), or (C)(2) of section	3007
145.332 of the Revised Code that is to be treated as service	3008
credit earned under division ~~(B)(2)(a)~~(A)(1), (B)(1), or (C)(1) of	3009
~~that~~ section 145.332 of the Revised Code, the member shall pay to	3010
the retirement system an amount specified by the retirement board	3011
that is not less than one hundred per cent of the additional	3012
liability resulting from the purchase of that year, or portion of	3013
a year, of service.	3014

(2) ~~The number of years of service credit earned under~~	3015
~~division (A) or (B)(2)(b) of section 145.33 of the Revised Code~~	3016
~~that may be treated as service credit earned under division~~	3017
~~(B)(2)(a)~~ of ~~that~~ section shall not exceed five.	3018

~~(3)~~ Any amounts paid under this section shall be credited to	3019
the employees' savings fund.	3020

~~(4)~~(3) The amounts paid by the member under this section are	3021
subject to the limits established by division (n) of section 415	3022
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.	3023
415(n), as amended.	3024

(C) A member may make ~~payments~~the election authorized by	3025
this section if the member is eligible to retire under this	3026
chapter or will become eligible to retire as a result of the	3027
~~payment~~election. The member shall agree to retire not later than	3028
ninety days after making the election under division (A)(1) of	3029
this section or receiving notice of the additional liability	3030
specified under division (B)(1) of this section. ~~Payment~~If the	3031
member makes the election under division (A)(2) of this section,	3032
payment shall be made in full for any credit earned under ~~division~~	3033
~~(A) or (B)(2)(b) of~~ section 145.33 of the Revised Code or division	3034
(A)(2), (B)(2), or (C)(2) of section 145.332 of the Revised Code	3035
that is to be treated as service credit earned under division	3036
~~(B)(2)(a)~~(A)(1), (B)(1), or (C)(1) of ~~that~~ section 145.332 of the	3037
Revised Code, but the member may choose to make payment for only	3038
part of the credit for which the member is eligible.	3039

(D) If the member does not retire not later than ninety days	3040
after making the election under division (A)(1) of this section or	3041
the payment ~~authorized by~~under division (A)(2) of this section,	3042
the system shall refund ~~the~~any payment and shall not treat the	3043
credit ~~for which payment was made~~ as service credit earned under	3044
division ~~(B)(2)(a)~~(A)(1), (B)(1), or (C)(1) of section ~~145.33~~	3045
145.332 of the Revised Code.	3046

(E) The board's rules may deal with any other matter	3047
necessary to implement this section.	3048

Sec. 145.2915. (A) As used in this section, "workers'	3049
compensation" means benefits paid under Chapter 4121. or 4123. of	3050
the Revised Code.	3051

(B) A member of the public employees retirement system may	3052
purchase service credit under this section for any period during	3053
which the member was out of service and receiving workers'	3054
compensation.	3055

3056

(1) If the member is employed by one public employer, for	3057
each year of credit, the member shall pay to the system for credit	3058
to the employees' savings fund an amount equal to the employee	3059
contribution required under section 145.47 of the Revised Code	3060
that would have been paid had the member not been out of service	3061
based on the salary of the member before the member was out of	3062
service. To this amount shall be added an amount equal to compound	3063
interest at a rate established by the public employees retirement	3064
board from the first date the member was out of service to the	3065
final date of payment.	3066

(2) If the member is employed by more than one public	3067
employer, the member is eligible to purchase credit under this	3068
section and make payments under division (C)(1)(b) of this section	3069
only for the position for which the member received workers'	3070
compensation. For each year of credit, the member shall pay to the	3071
system for credit to the employees' savings fund an amount equal	3072
to the employee contribution required under section 145.47 of the	3073
Revised Code that would have been paid had the member not been out	3074
of service based on the salary of the member earned for the	3075
position for which the member received workers' compensation	3076
before the member was out of service. To this amount shall be	3077
added an amount equal to compound interest at a rate established	3078
by the public employees retirement board from the first date the	3079
member was out of service to the final date of payment.	3080

(D) The member may choose to purchase only part of such	3081
credit in any one payment, subject to board rules.	3082

(E) If a member makes a payment under division (C) of this	3083
section, the employer to which workers' compensation benefits are	3084
attributed shall pay to the system for credit to the employers'	3085
accumulation fund an amount equal to the employer contribution	3086
required under section 145.48 of the Revised Code corresponding to	3087
that payment that would have been paid had the member not been out	3088
of service based on the salary of the member before the member was	3089
out of service.	3090

Compound interest at a rate established by the board from the	3091
later of the member's date of re-employment or the effective date	3092
of this section to the date of payment shall be added to this	3093
amount if the employer pays all or any portion of the amount later	3094
than the earlier of five years or a period that is three times the	3095
period during which the member was out of service and receiving	3096
workers' compensation beginning from the later of the member's	3097
date of re-employment or the effective date of this section.	3098

(F) The number of years purchased under this section shall	3099
not exceed three.	3100

Sec. 145.2916. (A) When a member has been elected or	3101
appointed to an office, the term of which is two or more years,	3102
for which an annual salary is established, and in the event that	3103
the salary of the office is increased and the member is denied the	3104
additional salary by reason of any constitutional provision	3105
prohibiting an increase in salary during a term of office, the	3106
member may elect to have the amount of the member's and employer's	3107
contributions calculated upon the basis of the increased salary	3108
for the office.	3109

At the member's request and on notification to the public	3110
employees retirement system, the public employees retirement board	3111
shall compute the total additional amount the member and employer	3112
would have contributed, or the amount by which each of the	3113
member's and employer's contributions would have increased, had	3114
the member received the increased salary for the office the member	3115
holds. If the member elects to have the combined amount by which	3116
the member's and employer's contribution would have increased	3117
withheld from the member's salary, the member shall notify the	3118
employer, and the employer shall make the withholding commensurate	3119
with the period of denied salary and transmit it to the retirement	3120
system. The payment of the amount by which the employer's	3121
contribution would have increased shall be credited to the	3122
employers' accumulation fund.	3123

If the payment of the increased contributions is made in	3124
accordance with this section, the increased annual salary as	3125
provided by law for the office for the period for which the member	3126
paid increased contributions thereon shall be used in determining	3127
the member's earnable salary for the purpose of computing the	3128
member's final average salary.	3129

(B) If a member dies or withdraws from service, the payment	3130
under division (A) of this section shall be considered as	3131
accumulated contributions of the member.	3132

Sec. 145.30. (A)(1) As used in this section and section	3133
145.301 of the Revised Code:	3134

~~(1)~~(a) "Armed forces" of the United States includes the	3135
following:	3136

~~(a)~~(i) Army, navy, air force, marine corps, coast guard,	3137
auxiliary corps as established by congress, red cross nurse	3138
serving with the army, navy, air force, or hospital service of the	3139
United States, army nurse corps, navy nurse corps, full-time	3140
service with the American red cross in a combat zone, and such	3141
other service as may be designated by congress as included	3142
therein;	3143

~~(b)~~(ii) Personnel of the Ohio national guard and the reserve	3144
components of any of the armed forces enumerated in division	3145
(A)(1) of this section who are called to active duty pursuant to	3146
an executive order issued by the president of the United States or	3147
an act of congress;	3148

~~(c)~~(iii) Persons on whom United States merchant marine	3149
veteran status has been conferred for service aboard oceangoing	3150
merchant ships in service to the United States during World War	3151
II.	3152

~~(2)~~(b) "State retirement system" means any of the following:	3153
the Ohio police and fire pension fund, public employees retirement	3154
system, school employees retirement system, state highway patrol	3155
retirement system, or the state teachers retirement system.	3156

(2) This section applies only to service in the armed forces	3157
that occurred prior to October 13, 1994, the date on which the	3158
"Uniformed Services Employment and Reemployment Rights Act of	3159
1994," 108 Stat. 3149, 38 U.S.C. 101, became a public law.	3160

(B) ~~Upon~~Except as otherwise provided in this division, upon	3161
reemployment in the public service and completion of one year of	3162
service credit as covered by a state retirement system or the	3163
Cincinnati retirement system, within two years after service in	3164
the armed forces that is terminated in a manner other than as	3165
described in section 4304 of Title 38 of the United States Code,	3166
"Uniformed Services Employment and Reemployment Rights Act of	3167
1994," 108 Stat. 3149, 38 U.S.C.A. 4304, and presentation of	3168
documentation of the service and subject to rules adopted by the	3169
retirement board, any member of the public employees retirement	3170
system who was a member with not less than one year of payroll	3171
deductions before entering active duty with the armed forces and	3172
maintained membership in the public employees retirement system as	3173
provided by section 145.41 of the Revised Code, and who was or is	3174
out of active service as a public employee by reason of having	3175
become a member of the armed forces of the United States on active	3176
duty or service shall have such service, not in excess of ten	3177
years, ~~considered~~included as ~~the equivalent of~~ prior military	3178
service. ~~Service~~Except as otherwise provided in this division,	3179
service in the armed forces as established by documentation of the	3180
service, not in excess of ten years, shall also be ~~considered~~	3181
included as prior military service for a person who was a public	3182
employee and who has acquired service credit for five years prior	3183
to, and within the one year preceding, the date of entering on	3184
active duty in the armed forces of the United States if such	3185
person was reemployed in the public service within one year after	3186
service in the armed forces that is terminated in a manner other	3187
than as described in section 4304 of Title 38 of the United States	3188
Code, "Uniformed Services Employment and Reemployment Rights Act	3189
of 1994," ~~108 Stat. 3149,~~ 38 U.S.C.A. 4304, and established total	3190
service credit as defined in section 145.01 of the Revised Code of	3191
twenty years exclusive of credit for service in the uniformed	3192
services, as defined in section 145.302 of the Revised Code. This	3193
division shall not serve to cancel any military service credit	3194
earned or granted prior to November 1, 1965.	3195

If the public employees retirement board adopts a rule	3196
requiring payment for service credit granted under this section,	3197
the credit shall be granted only if payment is made. The rule	3198
shall not require payment of more than the additional liability to	3199
the retirement system resulting from granting the credit. A member	3200
may choose to purchase only part of the credit in any one payment.	3201

(C) A member of the public employees retirement system is	3202
ineligible to receive service credit under this section for any	3203
year of military service credit used ~~in the calculation of any~~	3204
~~retirement benefit currently being paid to the member or payable~~	3205
~~in the future under any other retirement program, except social~~	3206
~~security, or used~~ to obtain service credit pursuant to section	3207
145.301 or 145.302 of the Revised Code. At the time such credit is	3208
requested, the member shall certify on a form supplied by the	3209
retirement board that the member does and will conform to this	3210
requirement. This division does not cancel any military service	3211
credit earned prior to March 15, 1979.	3212

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

3213

(1) "Prisoner of war" means any regularly appointed,	3214
enrolled, enlisted, or inducted member of the armed forces of the	3215
United States, reserves, or Ohio national guard who was captured,	3216
separated, and incarcerated by an enemy of the United States.	3217

(2) "Reserves" means personnel of the reserve components of	3218
any of the armed forces of the United States enumerated in	3219
division (A)(1)(a) of section 145.30 of the Revised Code.	3220

(B)(1) A member may purchase service credit that shall be	3221
considered as the equivalent of Ohio service for each year or	3222
portion of a year of service incurred by reason of having been on	3223
active duty as a member of the armed forces of the United States,	3224
as defined in section 145.30 of the Revised Code.	3225

(2) On presentation of documentation of the service and	3226
subject to public employees retirement board rules, a member may	3227
purchase service credit for each year or portion of a year of	3228
service incurred by reason of having been on active duty as a	3229
member of the reserves or the Ohio national guard for which the	3230
member is not eligible to purchase credit under division (B)(1) of	3231
this section. Any credit purchased under this section shall be	3232
considered as the equivalent of Ohio service credit. For purposes	3233
of division (B)(2) of this section, active duty in the reserves or	3234
the Ohio national guard includes assembly for drill and	3235
instruction; training at encampments, maneuvers, outdoor target	3236
practice, or other exercises; and any training or duty in this	3237
state ordered by the governor.	3238

(3) Credit shall not be granted for any period of duty during	3239
which the member was contributing to the retirement system.	3240

The credit may be purchased at any time prior to receipt of a	3241
retirement allowance. The number of years purchased shall not	3242
exceed five. The member may choose to purchase only part of such	3243
credit in any one payment, subject to public employees retirement	3244
board rules.	3245

(C) A member may purchase service credit that shall be	3246
considered as the equivalent of Ohio service for each year of	3247
service such member was a prisoner of war. The number of years	3248
purchased under this division shall not exceed five. Service	3249
credit may be purchased under this division for the same years of	3250
service used to purchase service credit under division (B) of this	3251
section. The member may choose to purchase only part of such	3252
credit in any one payment, subject to board rules.	3253

(D) The total number of years purchased under this section	3254
shall not exceed the member's total accumulated number of years of	3255
Ohio service.	3256

(E)(1) For each year or portion of a year of service	3257
purchased under division (B)(1) or (C) of this section, the member	3258
shall pay to the public employees retirement system for credit to	3259
the member's accumulated account an amount specified by the	3260
retirement board that shall be not less than fifty per cent of the	3261
additional liability resulting from the purchase of that year or	3262
portion of a year of service as determined by an actuary employed	3263
by the board.	3264

(2) For each year or portion of a year of service credit	3265
purchased under division (B)(2) of this section, the member shall	3266
pay to the public employees retirement system for credit to the	3267
member's accumulated account an amount equal to one hundred per	3268
cent of the additional liability resulting from the purchase of	3269
that year or portion of a year of service as determined by an	3270
actuary employed by the board.	3271

The retirement system shall calculate the number of years or	3272
portion of a year of credit the member is eligible to purchase	3273
under division (B)(2) of this section by dividing the number of	3274
days actually served by three hundred sixty-five.	3275

(F) A member is ineligible to purchase service credit under	3276
this section for any year of military service that was:	3277

~~(1) Used in the calculation of any retirement benefit~~	3278
~~currently being paid to the member or payable in the future under~~	3279
~~any other retirement program, except social security, or for~~	3280
~~retired pay for nonregular service under Chapter 1223 of Section~~	3281
~~1662 of Title XVI of the "National Defense Authorization Act for~~	3282
~~Fiscal Year 1995," 108 Stat. 2998 (1994), 10 U.S.C.A. 12731 to~~	3283
~~12739;~~	3284

~~(2) Used~~used to obtain service credit pursuant to section	3285
145.30 or 145.302 of the Revised Code.	3286

At the time the credit is purchased, the member shall certify	3287
on a form furnished by the retirement board that the member does	3288
and will conform to this requirement.	3289

(G) A member who, on March 17, 2000, is purchasing service	3290
credit under this section by making installment payments to the	3291
system or by a payroll deduction plan authorized under section	3292
145.294 of the Revised Code may elect, on a form provided by the	3293
board, to have a portion of the cost of the service credit	3294
recalculated under division (E) of this section as amended by	3295
House Bill 186 of the 123rd general assembly. The recalculation	3296
shall apply only to the amount still owed by the member as of the	3297
date the election is filed with the board.	3298

For each member who makes an election, the board shall do all	3299
of the following:	3300

(1) Determine the amount of the total cost of the service	3301
credit still owed by the member as of the date the election is	3302
filed with the board and the number of years or portion of a year	3303
of service credit attributable to that amount;	3304

(2) Recalculate under division (E) of this section the cost	3305
of the service credit described in division (G)(1) of this	3306
section;	3307

(3) Notify the member of the recalculated amount.

3308

If the recalculated amount is less than the amount still owed	3309
by the member as of the date the election is filed, the	3310
recalculated amount shall be the amount owed by the member.	3311

(H) Credit purchased under this section may be combined	3312
pursuant to section 145.37 with credit for military service	3313
purchased under sections 3307.751 and 3309.021, except that not	3314
more than an aggregate total of five years of credit purchased	3315
under division (B) of this section, division (A) of section	3316
3307.751, and division (A) of section 3309.021, and not more than	3317
an aggregate total of five years of credit purchased under	3318
division (C) of this section, division (B) of section 3307.751,	3319
and division (B) of section 3309.021 shall be used in determining	3320
retirement eligibility or calculating benefits under section	3321
145.37 of the Revised Code.	3322

Sec. 145.31. (A) Except as provided in this section, a	3323
member or former member of the public employees retirement system	3324
with at least eighteen months of contributing service credit in	3325
this system, the state teachers retirement system, the school	3326
employees retirement system, the Ohio police and fire pension	3327
fund, or the state highway patrol retirement system, after the	3328
withdrawal of accumulated contributions and cancellation of	3329
service credit in this system, may restore such service credit by	3330
redepositing the amount withdrawn, with interest on such amount	3331
compounded annually at a rate to be determined by the public	3332
employees retirement board from the first day of the month of	3333
withdrawal to and including the month of redeposit. The amount	3334
redeposited shall be credited as follows:	3335

~~(A)~~(1) The amount that equals the amount, if any, included	3336
under section 145.401 of the Revised Code in the withdrawal of	3337
accumulated contributions under section 145.40 of the Revised Code	3338
shall be credited to the employers' accumulation fund.	3339

~~(B)~~(2) The remaining amount shall be credited to the member's	3340
account in the employees' savings fund.	3341

The member may choose to purchase only part of such credit in	3342
any one payment, subject to board rules. Except for any amount	3343
included under section 145.401 of the Revised Code in the	3344
withdrawal of accumulated contributions under section 145.40 of	3345
the Revised Code, the total payment to restore canceled service	3346
credit, plus any interest credited thereto, shall be considered as	3347
accumulated contributions of the member. If a former member is	3348
eligible to buy the service credit as a member of the Ohio police	3349
and fire pension fund, state highway patrol retirement system, or	3350
the city of Cincinnati retirement system, the former member is	3351
ineligible to restore that service credit under this section.	3352

Any employee who has been refunded the employee's accumulated	3353
contributions to the public employees retirement system solely by	3354
reason of membership in a former firemen's relief and pension fund	3355
or a former police relief and pension fund may restore membership	3356
in the public employees retirement system by redepositing with the	3357
system the amount refunded, with interest on such amount	3358
compounded annually at a rate to be determined by the board from	3359
the month of refund to and including the month of redeposit. The	3360
member may choose to purchase only part of such credit in any one	3361
payment, subject to board rules.	3362

(B) In lieu of an amount required by division (A) of this	3363
section, the board may by rule require deposit of an amount	3364
specified in the rule. The amount shall not exceed the additional	3365
liability to the retirement system that results from granting the	3366
credit.	3367

Sec. 145.32. Eligibility of members of the public employees	3368
retirement system, other than those subject to section 145.332 of	3369
the Revised Code, for age and service retirement shall be	3370
determined under this section.	3371

(A) A member~~, who has passed his sixtieth birthday and has~~is	3372
eligible for age and service retirement under this division if,	3373
not later than five years after the effective date of this	3374
amendment, the member meets one of the following requirements:	3375

(1) Has five or more years of total service credit~~, or has~~	3376
and has attained age sixty;	3377

(2) Has twenty-five or more years of total service credit and	3378
has attained ~~his fifty-fifth birthday, or has~~age fifty-five;	3379

(3) Has thirty or more years of total ~~Ohio~~ service credit,	3380
~~regardless of~~at any age~~, may file~~.	3381

(B)(1) A member who would be eligible to retire not later	3382
than ten years after the effective date of this amendment if the	3383
requirements of this section as they existed immediately prior to	3384
the effective date of this amendment were still in effect is	3385
eligible to retire under this division if the member meets one of	3386
the following requirements:	3387

(a) Has five or more years of total service credit and has	3388
attained age sixty;	3389

(b) Has twenty-five or more years of total service credit and	3390
has attained age fifty-five;	3391

(c) Has thirty-one or more years of total service credit and	3392
has attained age fifty-two;	3393

(d) Has thirty-two or more years of total Ohio service credit	3394
at any age.	3395

(2) A member who on the effective date of this amendment has	3396
twenty or more years of total service credit is eligible for age	3397
and service retirement under this division on meeting one of the	3398
requirements of division (B)(1) of this section, regardless of	3399
when the member meets the requirement unless, between the	3400
effective date of this section and the date the member meets the	3401
requirement, the member receives a refund of accumulated	3402
contributions under section 145.40 of the Revised Code.	3403

(C) A member who is not eligible for age and service	3404
retirement under division (A) or (B) of this section, or who	3405
became a member on or after the effective date of this amendment,	3406
is eligible for age and service retirement under this division if	3407
the member meets one of the following requirements:	3408

(1) Has five years or more of total service credit and has	3409
attained age sixty-two;	3410

(2) Has twenty-five years or more of total service credit and	3411
has attained age fifty-seven;	3412

(3) Has thirty-two years or more of total service credit and	3413
has attained age fifty-five.	3414

(D) Service credit purchased or obtained under this chapter	3415
shall be used in determining whether a member has the number of	3416
years of total service credit required under division (A) or (B)	3417
of this section only if both of the following apply:	3418

(1)(a) For division (A) of this section, the service credit	3419
purchase is completed or the service credit is obtained not later	3420
than five years after the effective date of this amendment;	3421

(b) For division (B) of this section, the service credit	3422
purchase is completed or the service credit is obtained not later	3423
than ten years after the effective date of this amendment.	3424

(2) The member was a member on the effective date of this	3425
amendment or obtains credit under section 145.483 of the Revised	3426
Code that would have made the member a member on that date.	3427

(E) A member seeking to retire shall file with the ~~public~~	3428
~~employees retirement~~ board an application for retirement.	3429

~~Service~~. Service retirement shall be effective on the first	3430
day of the month immediately following the later of:	3431

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

3432

~~(B)~~(2) The attainment of minimum age or service credit	3433
eligibility provided under this section;	3434

(3) Ninety days prior to receipt by the board of the member's	3435
completed application for retirement.	3436

An employer may, except as otherwise provided in the "Age	3437
Discrimination in Employment Act of 1967," as amended, 81 Stat.	3438
602, 29 U.S.C. 621 to 634, as of the thirtieth day of June of any	3439
year, terminate the employment of any member who has attained the	3440
age of seventy years. A member may at the time of ~~his~~ retirement	3441
by written designation duly executed and filed with the public	3442
employees retirement board designate a beneficiary to receive any	3443
installment which may remain unpaid at the time of ~~his~~ death.	3444
Except as provided in section 145.46 of the Revised Code, after	3445
the date of ~~his~~ retirement such nomination shall not be changed if	3446
the member elects to receive ~~his~~the member's retirement allowance	3447
computed as provided in section 145.46 of the Revised Code as	3448
"plan A," or "plan C," ~~or "plan D~~."	3449

Sec. 145.323. (A) ~~The~~Except as otherwise provided in this	3450
section, the public employees retirement board shall annually	3451
increase each allowance, pension, or benefit payable under this	3452
chapter ~~by three per cent, except that no allowance, pension, or~~	3453
~~benefit shall exceed the limit established by section 415 of the~~	3454
~~"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,~~	3455
~~as amended~~.	3456

Until the last day of December of the fifth full calendar	3457
year after the effective date of this amendment, the increase	3458
shall be three per cent. For each succeeding calendar year, the	3459
increase shall be as follows:	3460

(1) For each allowance, pension, or benefit granted not later	3461
than the effective date of this amendment, three per cent;	3462

(2) For each allowance, pension, or benefit granted on or	3463
after the effective date of this amendment, the percentage	3464
increase in the consumer price index, not exceeding three per	3465
cent, as determined by the United States bureau of labor	3466
statistics (U.S. city average for urban wage earners and clerical	3467
workers: "all items 1982-84=100") for the twelve-month period	3468
ending on the thirtieth day of June of the immediately preceding	3469
calendar year. If the consumer price index for that period did not	3470
increase, no increase shall be made under division (A)(2) of this	3471
section.	3472

No allowance, pension, or benefit shall exceed the limit	3473
established by section 415 of the "Internal Revenue Code of 1986,"	3474
100 Stat. 2085, 26 U.S.C. 415, as amended.	3475

The first increase is payable to all persons becoming	3476
eligible after June 30, 1971, upon such persons receiving an	3477
allowance for twelve months. The increased amount is payable for	3478
the ensuing twelve-month period or until the next increase is	3479
granted under this section, whichever is later. Subsequent	3480
increases shall be determined from the date of the first increase	3481
paid to the former member in the case of an allowance being paid a	3482
beneficiary under an option, or from the date of the first	3483
increase to the survivor first receiving an allowance or benefit	3484
in the case of an allowance or benefit being paid to the	3485
subsequent survivors of the former member.	3486

The date of the first increase under this section becomes the	3487
anniversary date for any future increases.	3488

The allowance or benefit used in the first calculation of an	3489
increase under this section shall remain as the base for all	3490
future increases, unless a new base is established.	3491

(B) If payment of a portion of a benefit is made to an	3492
alternate payee under section 145.571 of the Revised Code,	3493
increases under this section granted while the order is in effect	3494
shall be apportioned between the alternate payee and the benefit	3495
recipient in the same proportion that the amount being paid to the	3496
alternate payee bears to the amount paid to the benefit recipient.	3497

If payment of a portion of a benefit is made to one or more	3498
beneficiaries under "plan FC" under ~~division (B)(3)(e) of~~ section	3499
145.46 of the Revised Code, each increase under this section	3500
granted while the plan of payment is in effect shall be divided	3501
among the designated beneficiaries in accordance with the portion	3502
each beneficiary has been allocated.	3503

(C) The board shall make all rules necessary to carry out	3504
this section.	3505

Sec. 145.33. (A)(1) Except as provided in ~~division (B) or~~	3506
~~(C) of this~~ section~~, a member with at least five years of total~~	3507
~~service credit who has attained age sixty, or who has thirty years~~	3508
~~of total Ohio service credit, may apply for age and service~~	3509
~~retirement, which shall consist of:~~	3510

~~(1) An annuity having a reserve equal to the amount of the~~	3511
~~member's accumulated contributions at that time;~~	3512

~~(2) A pension equal to the annuity provided by division~~	3513
~~(A)(1) of this section;~~	3514

~~(3) An additional pension, if the member can qualify for~~	3515
~~prior service, equal to forty dollars multiplied by the number of~~	3516
~~years, and fraction thereof, of such prior and military service~~	3517
~~credit;~~	3518

~~(4) A basic annual pension equal to one hundred eighty~~	3519
~~dollars if the member has ten or more years of total service~~	3520
~~credit as of October 1, 1956, except that the basic annual pension~~	3521
~~shall not exceed the sum of the annual benefits provided by~~	3522
~~divisions (A)(1), (2), and (3) of this section.~~	3523

~~(5) When~~145.332 of the Revised Code, when a member retires	3524
on age and service retirement, the member's total annual single	3525
lifetime allowance~~, including the allowances provided in divisions~~	3526
~~(A)(1), (2), (3), and (4) of this section,~~ shall be ~~not less than~~	3527
~~a base~~an amount adjusted in accordance with division (A)~~(5)~~(2) or	3528
(B) of this section and determined by multiplying the member's	3529
total service credit by ~~the greater of~~ the following:	3530

(a) ~~Eighty-sixdollars;~~

3531

~~(b) Two~~If the member is eligible for age and service	3532
retirement under division (A) or (B) of section 145.32 of the	3533
Revised Code, two and two-tenths per cent of the member's final	3534
average salary for each of the first thirty years of service plus	3535
two and one-half per cent of the member's final average salary for	3536
each subsequent year of service.;	3537

~~The~~(b) If the member is eligible for age and service	3538
retirement under division (C) of section 145.32 of the Revised	3539
Code, two and two-tenths per cent of the member's final average	3540
salary for each of the first thirty-five years of service plus two	3541
and one-half per cent of the member's final average salary for	3542
each subsequent year of service.	3543

(2)(a) For a member eligible to retire under division (A) of	3544
section 145.32 of the Revised Code, the member's allowance under	3545
division (A)(1) of this section shall be adjusted by the factors	3546
of attained age or years of service to provide the greater amount	3547
as determined by the following schedule:	3548

		Years of	Percentage	3549
Attained	or	Total Service	of	3550
Birthday		Credit	Base Amount	3551

58	25	75	3552
59	26	80	3553
60	27	85	3554
61		88	3555
	28	90	3556
62		91	3557
63		94	3558
	29	95	3559
64		97	3560
65	30 or more	100	3561

~~Members shall vest~~(b) For a member eligible to retire under	3562
division (B) of section 145.32 of the Revised Code, the member's	3563
allowance under division (A)(1) of this section shall be reduced	3564
by a percentage determined by the board's actuary for each year	3565
the member retires before whichever of the following occurs first:	3566
attaining age sixty-five or earning thirty years of total service	3567
credit.	3568

(c) For a member eligible to retire under division (C) of	3569
section 145.32 of the Revised Code, the member's allowance under	3570
division (A)(1) of this section shall be reduced by a percentage	3571
determined by the board's actuary for each year the member retires	3572
before whichever of the following occurs first: attaining age	3573
sixty-seven, or attaining age fifty-five with thirty-two years of	3574
total service credit.	3575

(d) The actuary may use an actuarially based average	3576
percentage reduction for purposes of division (B)(2)(b) or (c) of	3577
this section.	3578

(3) For a member eligible to retire under division (A) or (B)	3579
of section 145.32 of the Revised Code, the right to a benefit	3580
shall vest in accordance with the following schedule, based on the	3581
member's attained age by September 1, 1976:	3582

	Percentage	3583
Attained	of	3584
Birthday	Base Amount	3585
66	102	3586
67	104	3587
68	106	3588
69	108	3589
70 or more	110	3590

~~(6)~~(B) The total annual single lifetime allowance that a	3591
member shall receive under ~~division (A)(5) of~~ this section shall	3592
not exceed the lesser of ~~one~~the following:	3593

(1) Any limit established under section 145.333 of the	3594
Revised Code;	3595

(2) One hundred per cent of the member's final average salary	3596
~~or the~~;	3597

(3) The limit established by section 415 of the "Internal	3598
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415, as	3599
amended.	3600

~~(B)(1) For the purposes of divisions (B) to (G) of this~~	3601
~~section, "total service credit as a PERS law enforcement officer"~~	3602
~~and "total service credit as a PERS public safety officer" include~~	3603
~~credit for military service to the extent permitted by division~~	3604
~~(E)(2) of this section and credit for service as a police officer~~	3605
~~or state highway patrol trooper to the extent permitted by~~	3606
~~divisions (E)(3) and (4) of this section.~~	3607

~~(2) A member who meets the conditions in division (B)(2)(a),~~	3608
~~(b), or (c) of this section may apply for an age and service~~	3609
~~retirement benefit under this division:~~	3610

~~(a) The member has attained age forty-eight and has at least~~	3611
~~twenty-five years of total service credit as a PERS law~~	3612
~~enforcement officer;~~	3613

~~(b) The member has attained age fifty-two, and has at least~~	3614
~~twenty-five years of total service credit as a PERS public safety~~	3615
~~officer or has service as a PERS public safety officer and service~~	3616
~~as a PERS law enforcement officer that when combined equal at~~	3617
~~least twenty-five years of total service credit;~~	3618

~~(c) The member has attained age sixty-two and has at least~~	3619
~~fifteen years of total service credit as either of the following:~~	3620

~~(i) A PERS law enforcement officer;~~

3621

~~(ii) A PERS public safety officer.~~

3622

~~(3) A benefit paid under division (B)(2) of this section~~	3623
~~shall consist of an annual single lifetime allowance equal to the~~	3624
~~sum of two and one-half per cent of the member's final average~~	3625
~~salary multiplied by the first twenty-five years of the member's~~	3626
~~total service plus two and one-tenth per cent of the member's~~	3627
~~final average salary multiplied by the number of years of the~~	3628
~~member's total service credit in excess of twenty-five years.~~	3629

~~(4) A member with at least fifteen years of total service~~	3630
~~credit as a PERS law enforcement officer or PERS public safety~~	3631
~~officer who voluntarily resigns or is discharged for any reason~~	3632
~~except death, dishonesty, cowardice, intemperate habits, or~~	3633
~~conviction of a felony may apply for an age and service retirement~~	3634
~~benefit, which shall consist of an annual single lifetime~~	3635
~~allowance equal to one and one-half per cent of the member's final~~	3636
~~average salary multiplied by the number of years of the member's~~	3637
~~total service credit. The allowance shall commence on the first~~	3638
~~day of the calendar month following the month in which the~~	3639
~~application is filed with the public employees retirement board on~~	3640
~~or after the attainment by the applicant of age fifty-two.~~	3641

~~(C)(1) A member with at least twenty-five years of total~~	3642
~~service credit who would be eligible to retire under division~~	3643
~~(B)(2)(b) of this section had the member attained age fifty-two~~	3644
~~and who voluntarily resigns or is discharged for any reason except~~	3645
~~death, dishonesty, cowardice, intemperate habits, or conviction of~~	3646
~~a felony, on or after the date of attaining forty-eight years of~~	3647
~~age, but before the date of attaining fifty-two years of age, may~~	3648
~~elect to receive a reduced benefit as determined by the following~~	3649
~~schedule:~~	3650

~~Attained Age~~

~~Reduced Benefit~~

3651

48	~~75% of the benefit payable under~~	3652
	~~division (B)(3) of this section~~	3653
49	~~80% of the benefit payable under~~	3654
	~~division (B)(3) of this section~~	3655
50	~~86% of the benefit payable under~~	3656
	~~division (B)(3) of this section~~	3657
51	~~93% of the benefit payable under~~	3658
	~~division (B)(3) of this section~~	3659

~~(2) If a member elects to receive a reduced benefit after~~	3660
~~attaining age forty-eight the reduced benefit is payable from the~~	3661
~~later of the date of the member's most recent birthday or the date~~	3662
~~the member becomes eligible to receive the reduced benefit.~~	3663

~~(3) Once a member elects to receive a reduced benefit~~	3664
~~determined by the schedule in division (C)(1) of this section and~~	3665
~~has received a payment, the member may not reelect to change that~~	3666
~~election.~~	3667

~~(4) If a member who has resigned or been discharged has left~~	3668
~~on deposit the member's accumulated contributions in the~~	3669
~~employees' savings fund and has not elected to receive a reduced~~	3670
~~benefit determined by the schedule in division (C)(1) of this~~	3671
~~section, upon attaining fifty-two years of age, the member shall~~	3672
~~be entitled to receive a benefit computed and paid under division~~	3673
~~(B)(3) of this section.~~	3674

~~(D) A benefit paid under division (B) or (C) of this section~~	3675
~~shall not exceed the lesser of ninety per cent of the member's~~	3676
~~final average salary or the limit established by section 415 of~~	3677
~~the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.~~	3678
~~415, as amended.~~	3679

~~(E)(1) A member with service credit as a PERS law enforcement~~	3680
~~officer or a PERS public safety officer and other service credit~~	3681
~~under this chapter may elect one of the following:~~	3682

~~(a) To have all the member's service credit under this~~	3683
~~chapter, including credit for service as a PERS law enforcement~~	3684
~~officer or PERS public safety officer, used in calculating a~~	3685
~~retirement allowance under division (A) of this section if the~~	3686
~~member qualifies for an allowance under that division;~~	3687

~~(b) If the member qualifies for an allowance under division~~	3688
~~(B)(2)(a) of this section, to have the member's service credit as~~	3689
~~a PERS law enforcement officer used in calculating a benefit under~~	3690
~~that division and the member's credit for all service other than~~	3691
~~PERS law enforcement service used in calculating a benefit~~	3692
~~consisting of a single life annuity having a reserve equal to the~~	3693
~~amount of the member's accumulated contributions for all service~~	3694
~~other than PERS law enforcement service and an equal amount of~~	3695
~~employer contributions.~~	3696

~~(c) If the member qualifies for an allowance under division~~	3697
~~(B)(2)(b) or (c), (B)(4), or (C) of this section, to have the~~	3698
~~member's service credit as a PERS law enforcement officer or PERS~~	3699
~~public safety officer used in calculating a benefit under the~~	3700
~~appropriate division and the member's credit for all service other~~	3701
~~than PERS law enforcement service or service as a PERS public~~	3702
~~safety officer under this chapter used in calculating a benefit~~	3703
~~consisting of a single life annuity having a reserve equal to the~~	3704
~~amount of the member's accumulated contributions for all service~~	3705
~~other than PERS law enforcement service or PERS public safety~~	3706
~~officer service and an equal amount of the employer's~~	3707
~~contributions.~~	3708

~~(2) Notwithstanding sections 145.01 and 145.30 of the Revised~~	3709
~~Code, no more than four years of military service credit granted~~	3710
~~under section 145.30 of the Revised Code and five years of~~	3711
~~military service credit purchased under section 145.301 or 145.302~~	3712
~~of the Revised Code shall be used in calculating service as a PERS~~	3713
~~law enforcement officer or PERS public safety officer or the total~~	3714
~~service credit of that person.~~	3715

~~(3) Only credit for the member's service as a PERS law~~	3716
~~enforcement officer, PERS public safety officer, or service credit~~	3717
~~obtained as a police officer or state highway patrol trooper shall~~	3718
~~be used in computing the benefit of a member who qualifies for a~~	3719
~~benefit under division (B) or (C) of this section for the~~	3720
~~following:~~	3721

~~(a) Any person who originally is commissioned and employed as~~	3722
~~a deputy sheriff by the sheriff of any county, or who originally~~	3723
~~is elected sheriff, on or after January 1, 1975;~~	3724

~~(b) Any deputy sheriff who originally is employed as a~~	3725
~~criminal bailiff or court constable on or after April 16, 1993;~~	3726

~~(c) Any person who originally is appointed as a township~~	3727
~~constable or police officer in a township police department or~~	3728
~~district on or after January 1, 1981;~~	3729

~~(d) Any person who originally is employed as a county~~	3730
~~narcotics agent on or after September 26, 1984;~~	3731

~~(e) Any person who originally is employed as an undercover~~	3732
~~drug agent as defined in section 109.79 of the Revised Code,~~	3733
~~department of public safety enforcement agent who prior to June~~	3734
~~30, 1999, was a liquor control investigator, park officer, forest~~	3735
~~officer, wildlife officer, state watercraft officer, park district~~	3736
~~police officer, conservancy district officer, veterans' home~~	3737
~~police officer, special police officer for a mental health~~	3738
~~institution, special police officer for an institution for the~~	3739
~~mentally retarded and developmentally disabled, or municipal~~	3740
~~police officer on or after December 15, 1988;~~	3741

~~(f) Any person who originally is employed as a state~~	3742
~~university law enforcement officer on or after November 6, 1996;~~	3743

~~(g) Any person who is originally employed as a state~~	3744
~~university law enforcement officer by the university of Akron on~~	3745
~~or after September 16, 1998;~~	3746

~~(h) Any person who originally is employed as a preserve~~	3747
~~officer on or after March 18, 1999;~~	3748

~~(i) Any person who originally is employed as a natural~~	3749
~~resources law enforcement staff officer on or after March 18,~~	3750
~~1999;~~	3751

~~(j) Any person who is originally employed as a department of~~	3752
~~public safety enforcement agent on or after June 30, 1999;~~	3753

~~(k) Any person who is originally employed as a house sergeant~~	3754
~~at arms or assistant house sergeant at arms on or after September~~	3755
~~5, 2001;~~	3756

~~(l) Any person who is originally appointed as a regional~~	3757
~~transit authority police officer or state highway patrol police~~	3758
~~officer on or after February 1, 2002;~~	3759

~~(m) Any person who is originally employed as a municipal~~	3760
~~public safety director on or after September 29, 2005, but not~~	3761
~~later than the effective date of this amendment.~~	3762

~~(4) Only credit for a member's service as a PERS public~~	3763
~~safety officer or service credit obtained as a PERS law~~	3764
~~enforcement officer, police officer, or state highway patrol~~	3765
~~trooper shall be used in computing the benefit of a member who~~	3766
~~qualifies for a benefit under division (B)(2)(b) or (c)(ii) or (4)~~	3767
~~or division (C) of this section for any person who originally is~~	3768
~~employed as a Hamilton county municipal court bailiff on or after~~	3769
~~November 6, 1996.~~	3770

~~(F)~~(C) Retirement allowances determined under this section	3771
shall be paid as provided in section 145.46 of the Revised Code.	3772

~~(G) For the purposes of this section, service prior to June~~	3773
~~30, 1999, as a food stamp trafficking agent under former section~~	3774
~~5502.14 of the Revised Code shall be considered service as a law~~	3775
~~enforcement officer.~~	3776

Sec. 145.331. (A) A recipient of a disability allowance	3777
under section 145.361 of the Revised Code who is subject to	3778
division (C)(3) of that section may make application for age and	3779
service retirement under this section. Retirement shall be	3780
effective on the first day of the first month following the last	3781
day for which the disability allowance is paid.	3782

(B) The annual allowance payable under this section shall	3783
consist of the sum of the amounts determined under divisions	3784
(B)(1) and (2) of this section:	3785

(1) The greater of the following:

3786

(a) An allowance calculated as provided in section 145.33 or	3787
~~145.34~~145.332 of the Revised Code, excluding any period during	3788
which the applicant received a disability benefit under section	3789
145.361 of the Revised Code;	3790

(b) An allowance calculated by multiplying the applicant's	3791
total service credit, including service credit for the last	3792
continuous period during which the applicant received a disability	3793
benefit under section 145.361 of the Revised Code, by two and	3794
two-tenths per cent of the applicant's final average salary,	3795
except that the allowance shall not exceed forty-five per cent of	3796
the applicant's final average salary.	3797

(2) An amount equal to the additional allowance the recipient	3798
would receive under section 145.323 of the Revised Code, plus any	3799
other additional amount the recipient would receive under this	3800
chapter, had the recipient retired under section 145.33 or ~~145.34~~	3801
145.332 of the Revised Code effective on the effective date of the	3802
recipient's most recent continuous period of receipt of a	3803
disability benefit under section 145.361 of the Revised Code.	3804

(C) The allowance calculated under division (B) of this	3805
section, exclusive of any amount added under division (B)(2) of	3806
this section based on section 145.323 of the Revised Code, shall	3807
be the base for all future additional allowances under section	3808
145.323 of the Revised Code.	3809

The anniversary date for future additional allowances under	3810
section 145.323 of the Revised Code shall be the effective date of	3811
the recipient's most recent continuous period of receipt of a	3812
disability benefit under section 145.361 of the Revised Code.	3813

(D) The retirement allowance determined under this section	3814
shall be paid as provided in section 145.46 of the Revised Code.	3815

Sec. 145.332. Eligibility of members of the public employees	3816
retirement system, other than those subject to section 145.32 of	3817
the Revised Code, for age and service retirement shall be	3818
determined under this section.	3819

(A) A member of the public employees retirement system is	3820
eligible for age and service retirement under this division if,	3821
not later than five years after the effective date of this	3822
section, the member meets one of the following requirements:	3823

(1) Has attained age forty-eight and has at least twenty-five	3824
years of total service credit as a PERS law enforcement officer;	3825

(2) Has attained age fifty-two and has at least twenty-five	3826
years of total service credit as a PERS public safety officer or	3827
has service as a PERS public safety officer and service as a PERS	3828
law enforcement officer that when combined equal at least	3829
twenty-five years of total service credit;	3830

(3) Has attained age sixty-two and has at least fifteen years	3831
of total service credit as a PERS law enforcement officer or PERS	3832
public safety officer.	3833

(B)(1) A member who would be eligible to retire not later	3834
than ten years after the effective date of this amendment if the	3835
requirements of section 145.33 of the Revised Code as they existed	3836
immediately prior to the effective date of this amendment were	3837
still in effect is eligible to retire under this division if the	3838
member meets one of the following requirements:	3839

(a) Has attained age fifty and has at least twenty-five years	3840
of total service credit as a PERS law enforcement officer;	3841

(b) Has attained age fifty-four and has at least twenty-five	3842
years of total service credit as a PERS public safety officer or	3843
has service as a PERS public safety officer and service as a PERS	3844
law enforcement officer that when combined equal at least	3845
twenty-five years of total service credit;	3846

(c) Has attained age sixty-four and has at least fifteen	3847
years of total service credit as a PERS law enforcement officer or	3848
PERS public safety officer.	3849

(2) A member who on the effective date of this amendment has	3850
twenty or more years of total service credit is eligible for age	3851
and service retirement under this division on meeting one of the	3852
requirements of division (B)(1) of this section, regardless of	3853
when the member meets the requirement unless, between the	3854
effective date of this section and the date the member meets the	3855
requirement, the member receives a refund of accumulated	3856
contributions under section 145.40 of the Revised Code.	3857

(C) A member who is not eligible for age and service	3858
retirement under division (A) or (B) of this section is eligible	3859
under this division if the member meets one of the following	3860
requirements:	3861

(1) Has attained age fifty-two and has at least twenty-five	3862
years of total service credit as a PERS law enforcement officer;	3863

(2) Has attained age fifty-six and has at least twenty-five	3864
years of total service credit as a PERS public safety officer or	3865
has service as a PERS public safety officer and service as a PERS	3866
law enforcement officer that when combined equal at least	3867
twenty-five years of total service credit;	3868

(3) Has attained age sixty-four and has at least fifteen	3869
years of total service credit as a PERS law enforcement officer or	3870
PERS public safety officer.	3871

(D)(1) A member with at least twenty-five years of total	3872
service credit who would be eligible to retire under division	3873
(B)(1) of this section had the member attained age fifty and who	3874
voluntarily resigns or is discharged for any reason except death,	3875
dishonesty, cowardice, intemperate habits, or conviction of a	3876
felony, on or after attaining age forty-eight, but before	3877
attaining age fifty, may elect to receive a reduced benefit. The	3878
benefit shall be the actuarial equivalent of the allowance	3879
calculated under division (E) of this section adjusted for age.	3880

(2) A member with at least twenty-five years of total service	3881
credit who would be eligible to retire under division (C)(1) of	3882
this section had the member attained age fifty-two and who	3883
voluntarily resigns or is discharged for any reason except death,	3884
dishonesty, cowardice, intemperate habits, or conviction of a	3885
felony, on or after attaining age forty-eight, but before	3886
attaining age fifty-two, may elect to receive a reduced benefit.	3887
The benefit shall be the actuarial equivalent of the allowance	3888
calculated under division (E) of this section adjusted for age.	3889

(3) A member with at least twenty-five years of total service	3890
credit who would be eligible to retire under division (A)(2) of	3891
this section had the member attained age fifty-two and who	3892
voluntarily resigns or is discharged for any reason except death,	3893
dishonesty, cowardice, intemperate habits, or conviction of a	3894
felony, on or after attaining age forty-eight, but before	3895
attaining age fifty-two, may elect to receive a reduced benefit.	3896

(a) If eligibility to make the election under division (D)(3)	3897
of this section occurs not later than five years after the	3898
effective date of this section, the benefit shall be calculated in	3899
accordance with the following schedule:	3900

Attained Age	Reduced Benefit	3901
48	75% of the benefit payable under division (E) of this section	3902
49	80% of the benefit payable under division (E) of this section	3903
50	86% of the benefit payable under division (E) of this section	3904
51	93% of the benefit payable under division (E) of this section	3905

(b) If eligibility to make the election occurs after the date	3906
determined under division (D)(3)(a) of this section, the benefit	3907
shall be the actuarial equivalent of the allowance calculated	3908
under division (E) of this section adjusted for age.	3909

(4) A member with at least twenty-five years of total service	3910
credit who would be eligible to retire under division (B)(2) of	3911
this section had the member attained age fifty-four and who	3912
voluntarily resigns or is discharged for any reason except death,	3913
dishonesty, cowardice, intemperate habits, or conviction of a	3914
felony, on or after attaining age forty-eight, but before	3915
attaining age fifty-four, may elect to receive a reduced benefit.	3916
The benefit shall be the actuarial equivalent of the allowance	3917
calculated under division (E) of this section adjusted for age.	3918

(5) A member with at least twenty-five years of total service	3919
credit who would be eligible to retire under division (C)(2) of	3920
this section had the member attained age fifty-six and who	3921
voluntarily resigns or is discharged for any reason except death,	3922
dishonesty, cowardice, intemperate habits, or conviction of a	3923
felony, on or after attaining age fifty-two, but before attaining	3924
age fifty-six, may elect to receive a reduced benefit. The benefit	3925
shall be the actuarial equivalent of the allowance calculated	3926
under division (E) of this section adjusted for age.	3927

(6) If a member elects to receive a reduced benefit under	3928
division (D)(1), (2), (3), (4), or (5) of this section, the	3929
reduced benefit shall be based on the member's age on the member's	3930
most recent birthday. Once a member elects to receive a reduced	3931
benefit and has received a payment, the member may not change that	3932
election.	3933

(E) A benefit paid under division (A), (B), or (C) of this	3934
section shall consist of an annual single lifetime allowance equal	3935
to the sum of two and one-half per cent of the member's final	3936
average salary multiplied by the first twenty-five years of the	3937
member's total service credit plus two and one-tenth per cent of	3938
the member's final average salary multiplied by the number of	3939
years of the member's total service credit in excess of	3940
twenty-five years.	3941

(F) A member with at least fifteen years of total service	3942
credit as a PERS law enforcement officer or PERS public safety	3943
officer who voluntarily resigns or is discharged for any reason	3944
except death, dishonesty, cowardice, intemperate habits, or	3945
conviction of a felony may apply for an age and service retirement	3946
benefit, which shall consist of an annual single lifetime	3947
allowance equal to one and one-half per cent of the member's final	3948
average salary multiplied by the number of years of the member's	3949
total service credit.	3950

(1) If the member will attain age fifty-two not later than	3951
ten years after the effective date of this section, the retirement	3952
allowance shall commence on the first day of the calendar month	3953
following the month in which application is filed with the board	3954
on or after the member's attainment of age fifty-two.	3955

(2) If the member will not attain age fifty-two on or before	3956
the date determined under division (F)(1) of this section, the	3957
retirement allowance shall commence on the first day of the	3958
calendar month following the month in which application is filed	3959
with the board on or after the member's attainment of age	3960
fifty-six.	3961

(G) A benefit paid under this section shall not exceed the	3962
lesser of ninety per cent of the member's final average salary or	3963
the limit established by section 415 of the "Internal Revenue Code	3964
of 1986," 100 Stat. 2085, 26 U.S.C. 415, as amended.	3965

(H) A member with service credit as a PERS law enforcement	3966
officer or PERS public safety officer and other service credit	3967
under this chapter may elect one of the following:	3968

(1) To have all the member's service credit under this	3969
chapter, including credit for service as a PERS law enforcement	3970
officer or PERS public safety officer, used in calculating a	3971
retirement allowance under section 145.33 of the Revised Code if	3972
the member qualifies for an allowance under that section;	3973

(2) If the member qualifies for an allowance under division	3974
(A)(1), (B)(1), (C)(1), or (D)(1) or (2) of this section, to	3975
receive all of the following:	3976

(a) A benefit under division (A)(1), (B)(1), (C)(1), or	3977
(D)(1) or (2) of this section for the member's service credit as a	3978
PERS law enforcement officer;	3979

(b) A single life annuity having a reserve equal to the	3980
amount of the member's accumulated contributions for all service	3981
other than PERS law enforcement service;	3982

(c) A pension equal to the annuity provided under division	3983
(H)(2)(b) of this section, excluding amounts of the member's	3984
accumulated contributions deposited under former division (Y) of	3985
section 145.01 or former sections 145.02, 145.29, 145.292, and	3986
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	3987
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	3988
Revised Code for the purchase of service credit.	3989

(3) If the member qualifies for an allowance under division	3990
(A)(2), (B)(2), (C)(2), or (D)(3), (4), or (5) of this section, to	3991
receive all of the following:	3992

(a) A benefit under division (A)(2), (B)(2), (C)(2), or	3993
(D)(3), (4), or (5) of this section for the member's service	3994
credit as a PERS law enforcement officer or PERS public safety	3995
officer;	3996

(b) A single life annuity having a reserve equal to the	3997
amount of the member's accumulated contributions for all service	3998
other than PERS law enforcement service or PERS public safety	3999
officer service;	4000

(c) A pension equal to the annuity provided under division	4001
(H)(3)(b) of this section, excluding amounts of the member's	4002
accumulated contributions deposited under former division (Y) of	4003
section 145.01 or former sections 145.02, 145.29, 145.292, and	4004
145.42, or sections 145.20, 145.201, 145.28, 145.291, 145.292,	4005
145.293, 145.299, 145.2916, 145.301, 145.47, and 145.814 of the	4006
Revised Code for the purchase of service credit.	4007

(I) For the purposes of this section, "total service credit"	4008
includes credit for military service to the extent permitted by	4009
division (J) of this section and credit for service as a police	4010
officer or state highway patrol trooper to the extent permitted by	4011
division (K) of this section.	4012

(J) Notwithstanding sections 145.01 and 145.30 of the Revised	4013
Code, not more than four years of military service credit granted	4014
or purchased under section 145.30 of the Revised Code and five	4015
years of military service credit purchased under section 145.301	4016
or 145.302 of the Revised Code shall be used in calculating	4017
service as a PERS law enforcement officer or PERS public safety	4018
officer or the total service credit of that person.	4019

(K)(1) Only credit for the member's service as a PERS law	4020
enforcement officer, PERS public safety officer, or service credit	4021
obtained as a police officer or state highway patrol trooper shall	4022
be used in computing the benefit of a member who qualifies for a	4023
benefit under this section for the following:	4024

(a) Any person who originally is commissioned and employed as	4025
a deputy sheriff by the sheriff of any county, or who originally	4026
is elected sheriff, on or after January 1, 1975;	4027

(b) Any deputy sheriff who originally is employed as a	4028
criminal bailiff or court constable on or after April 16, 1993;	4029

(c) Any person who originally is appointed as a township	4030
constable or police officer in a township police department or	4031
district on or after January 1, 1981;	4032

(d) Any person who originally is employed as a county	4033
narcotics agent on or after September 26, 1984;	4034

(e) Any person who originally is employed as an undercover	4035
drug agent as defined in section 109.79 of the Revised Code,	4036
department of public safety enforcement agent who prior to June	4037
30, 1999, was a liquor control investigator, park officer, forest	4038
officer, wildlife officer, state watercraft officer, park district	4039
police officer, conservancy district officer, veterans' home	4040
police officer, special police officer for a mental health	4041
institution, special police officer for an institution for the	4042
developmentally disabled, or municipal police officer on or after	4043
December 15, 1988;	4044

(f) Any person who originally is employed as a state	4045
university law enforcement officer on or after November 6, 1996;	4046

(g) Any person who is originally employed as a state	4047
university law enforcement officer by the university of Akron on	4048
or after September 16, 1998;	4049

(h) Any person who originally is employed as a preserve	4050
officer on or after March 18, 1999;	4051

(i) Any person who originally is employed as a natural	4052
resources law enforcement staff officer on or after March 18,	4053
1999;	4054

(j) Any person who is originally employed as a department of	4055
public safety enforcement agent on or after June 30, 1999;	4056

(k) Any person who is originally employed as a house sergeant	4057
at arms or assistant house sergeant at arms on or after September	4058
5, 2001;	4059

(l) Any person who is originally appointed as a regional	4060
transit authority police officer or state highway patrol police	4061
officer on or after February 1, 2002;	4062

(m) Any person who is originally employed as a municipal	4063
public safety director on or after September 29, 2005, but not	4064
later than March 24, 2009.	4065

(2) Only credit for a member's service as a PERS public	4066
safety officer or service credit obtained as a PERS law	4067
enforcement officer, police officer, or state highway patrol	4068
trooper shall be used in computing the benefit of a member who	4069
qualifies for a benefit under division (B)(1)(b) or (c), (B)(2),	4070
(C)(1)(b) or (c), or (C)(2) of this section for any person who	4071
originally is employed as a Hamilton county municipal court	4072
bailiff on or after November 6, 1996.	4073

(L) For purposes of this section, service prior to June 30,	4074
1999, as a food stamp trafficking agent under former section	4075
5502.14 of the Revised Code shall be considered service as a law	4076
enforcement officer.	4077

(M) Retirement allowances determined under this section shall	4078
be paid as provided in section 145.46 of the Revised Code.	4079

(N) A member seeking to retire under this section shall file	4080
an application with the public employees retirement board.	4081

Service retirement shall be effective as provided in division	4082
(E) of section 145.32 of the Revised Code.	4083

(O) If fewer than one per cent of the retirement system's	4084
members are contributing as public safety officers, the board,	4085
pursuant to a rule it adopts, may treat service as a public safety	4086
officer as service as a law enforcement officer.	4087

Sec. 145.333. (A) As used in this section:

4088

(1) "Retirement allowance" means either of the following as	4089
appropriate:	4090

(a) An allowance calculated under section 145.33 or 145.332	4091
of the Revised Code prior to any reduction for early retirement or	4092
election under section 145.46 of the Revised Code of a plan of	4093
payment and exclusive of any amounts payable under divisions	4094
(H)(2)(b) and (c) or (H)(3)(b) and (c) of section 145.332 of the	4095
Revised Code;	4096

(b) An allowance calculated under division (A) of section	4097
145.45 of the Revised Code.	4098

(2) "CBBC" means the contribution based benefit cap, a limit	4099
established by the public employees retirement board on the	4100
retirement allowance a member may receive.	4101

(B) Based on the advice of an actuary appointed by the board,	4102
the board shall designate a number as the CBBC factor. The board	4103
may revise the factor pursuant to advice from an actuary appointed	4104
by the board.	4105

(C) Prior to paying a retirement allowance, the public	4106
employees retirement system shall make the following calculations:	4107

(1) Determine an amount equal to the value of the member's	4108
accumulated contributions, including any contributions made under	4109
section 145.483 of the Revised Code that represent member	4110
contributions and any contributions used to fund a benefit under	4111
section 145.36 of the Revised Code, with interest compounded at a	4112
rate approved by the board;	4113

(2) Determine the amount of a single life annuity that is the	4114
actuarial equivalent of the amount determined under division	4115
(C)(1) of this section, adjusted for age of the member at the time	4116
of retirement or, when appropriate, the age at the time of the	4117
member's death;	4118

(3) Multiply the annuity amount determined under division (C)	4119
(2) of this section by the CBBC factor.	4120

(D) The amount determined under division (C)(3) of this	4121
section is the member's CBBC. If the retirement allowance the	4122
member would receive exceeds the member's CBBC, the allowance	4123
shall be reduced to an amount equal to the member's CBBC.	4124

Sec. 145.35. (A) As used in this section, "on-duty illness	4125
or injury" means an illness or injury that occurred during or	4126
resulted from performance of duties under the direct supervision	4127
of a ~~member's appointing authority~~public employer.	4128

(B) The public employees retirement system shall provide	4129
disability coverage to each member who has at least five years of	4130
total service credit and disability coverage for on-duty illness	4131
or injury to each member who is a PERS law enforcement officer or	4132
PERS public safety officer, regardless of length of service.	4133

The coverage shall extend only to illness or injury that	4134
occurs before the member's contributing service terminates or, in	4135
the case of illness or injury that results from contributing	4136
service, becomes evident not later than two years after the date	4137
the contributing service ends. The coverage shall not extend to	4138
disability resulting from elective cosmetic surgery other than	4139
reconstructive surgery.	4140

Not later than October 16, 1992, the public employees	4141
retirement board shall give each person who is a member on July	4142
29, 1992, the opportunity to elect disability coverage either	4143
under section 145.36 of the Revised Code or under section 145.361	4144
of the Revised Code. The board shall mail notice of the election,	4145
accompanied by an explanation of the coverage under each of the	4146
Revised Code sections and a form on which the election is to be	4147
made, to each member at the member's last known address. The board	4148
shall also provide the explanation and form to any member on	4149
request.	4150

Regardless of whether the member actually receives notice of	4151
the right to make an election, a member who fails to file a valid	4152
election under this section shall be considered to have elected	4153
disability coverage under section 145.36 of the Revised Code. To	4154
be valid, an election must be made on the form provided by the	4155
retirement board, signed by the member, and filed with the board	4156
not later than one hundred eighty days after the date the notice	4157
was mailed, or, in the case of a form provided at the request of a	4158
member, a date specified by rule of the retirement board. Once	4159
made, an election is irrevocable, but if the member ceases to be a	4160
member of the retirement system, the election is void. If a person	4161
who makes an election under this section also makes an election	4162
under section 3307.62 or 3309.39 of the Revised Code, the election	4163
made for the system that pays a disability benefit to that person	4164
shall govern the benefit.	4165

Disability coverage shall be provided under section 145.361	4166
of the Revised Code for persons who become members after July 29,	4167
1992, and for members who elect under this division to be covered	4168
under section 145.361 of the Revised Code.	4169

The retirement board may adopt rules governing elections made	4170
under this division.	4171

(C) Application for a disability benefit may be made by a	4172
member, by a person acting in the member's behalf, or by the	4173
member's employer, provided the member has disability coverage	4174
under section 145.36 or 145.361 of the Revised Code and is not	4175
receiving a disability benefit under any other Ohio state or	4176
municipal retirement program. Application must be made within two	4177
years from the date the member's contributing service under the	4178
PERS defined benefit plan terminated or the date the member ceased	4179
to make contributions to the PERS defined benefit plan under	4180
section 145.814 of the Revised Code, unless the retirement board	4181
determines that the member's medical records demonstrate	4182
conclusively that at the time the two-year period expired, the	4183
member was physically or mentally incapacitated for duty and	4184
unable to make an application. Application may not be made by or	4185
for any person receiving age and service retirement benefits under	4186
section 145.33, 145.331, ~~145.34,~~145.332, or 145.37 or former	4187
section 145.34 of the Revised Code or any person who, pursuant to	4188
section 145.40 of the Revised Code, has been paid the accumulated	4189
contributions standing to the credit of the person's individual	4190
account in the employees' savings fund. The application shall be	4191
made on a form provided by the retirement board.	4192

(D) The benefit payable to any member who is approved for a	4193
disability benefit shall become effective on the first day of the	4194
month immediately following the later of the following:	4195

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

4196

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

4197

(E) Medical examination of a member who has applied for a	4198
disability benefit shall be conducted by a competent disinterested	4199
physician or physicians selected by the board to determine whether	4200
the member is mentally or physically incapacitated for the	4201
performance of duty by a disabling condition either permanent or	4202
presumed to be permanent. The disability must have occurred since	4203
last becoming a member or have increased since last becoming a	4204
member to such extent as to make the disability permanent or	4205
presumed to be permanent. A disability is presumed to be permanent	4206
if it is expected to last for a continuous period of not less than	4207
twelve months following the filing of the application.	4208

The standard used to determine whether a member is	4209
incapacitated for duty is that the member is mentally or	4210
physically incapable of performing the duties of the position the	4211
member held at the time the disabling condition began or of a	4212
position with similar duties.	4213

If the physician or physicians determine that the member	4214
qualifies for a disability benefit, the board concurs with the	4215
determination, and the member agrees to medical treatment as	4216
specified in division (F) of this section, the member shall	4217
receive a disability benefit under section 145.36 or 145.361 of	4218
the Revised Code. The action of the board shall be final.	4219

(F) The public employees retirement board shall adopt rules	4220
requiring a disability benefit recipient, as a condition of	4221
continuing to receive a disability benefit, to agree in writing to	4222
obtain any medical treatment recommended by the board's physician	4223
and submit medical reports regarding the treatment. If the board	4224
determines that a disability benefit recipient is not obtaining	4225
the medical treatment or the board does not receive a required	4226
medical report, the disability benefit shall be suspended until	4227
the treatment is obtained, the report is received by the board, or	4228
the board's physician certifies that the treatment is no longer	4229
helpful or advisable. Should the recipient's failure to obtain	4230
treatment or submit a medical report continue for one year, the	4231
recipient's right to the disability benefit shall be terminated as	4232
of the effective date of the original suspension.	4233

The board shall require the recipient of a disability benefit	4234
who is described in section 145.363 of the Revised Code to comply	4235
with that section.	4236

(G) A disability benefit that has been granted a member but	4237
has not commenced shall not be paid if the member continues in or	4238
returns to employment with the same employer in the same position	4239
or in a position with duties similar to those of the position the	4240
member held at the time the benefit was granted.	4241

(H) In the event an employer files an application for a	4242
disability benefit as a result of a member having been separated	4243
from service because the member is considered to be mentally or	4244
physically incapacitated for the performance of the member's	4245
present duty, and the physician or physicians selected by the	4246
board reports to the board that the member is physically and	4247
mentally capable of performing service similar to that from which	4248
the member was separated and the board concurs in the report, the	4249
board shall so certify to the employer and the employer shall	4250
restore the member to the member's previous position and salary or	4251
to a similar position and salary.	4252

Sec. 145.36. A member who has elected disability coverage	4253
under this section, has not attained the applicable age ~~sixty~~, and	4254
is determined by the public employees retirement board under	4255
section 145.35 of the Revised Code to qualify for a disability	4256
benefit shall be retired on disability under this section.	4257

The applicable age is sixty if the member is described in	4258
division (A) or (B) of section 145.32 or division (A), (B), or	4259
(D)(1), (3), or (4) of section 145.332 of the Revised Code. It is	4260
sixty-two if the member is described in division (C) of section	4261
145.32 or division (D)(2) or (5) of section 145.332 of the Revised	4262
Code.	4263

Upon disability retirement, a member shall receive an annual	4264
amount that shall consist of:	4265

(A) An annuity having a reserve equal to the amount of the	4266
retirant's accumulated contributions;	4267

(B) A pension that shall be the difference between the	4268
member's annuity and an annual amount determined by multiplying	4269
the total service credit of the retirant, and in addition thereto	4270
the projected number of years and fractions thereof between the	4271
effective date of the member's disability retirement and ~~attained~~	4272
attainment of the applicable age ~~sixty~~, assuming continuous	4273
service, by ~~eighty-six dollars or~~ two and two-tenths per cent of	4274
the member's final average salary~~, whichever is greater~~.	4275

Where the recipient is not receiving a disability benefit	4276
under section 145.37 of the Revised Code and is receiving a	4277
disability benefit from either the state teachers retirement	4278
system or the school employees retirement system, the recipient	4279
shall not be eligible for service credit based upon the number of	4280
years and fractions thereof between the date of disability and	4281
attained age sixty as provided for in this division.	4282

In no case shall disability retirement be less than thirty	4283
per cent or more than seventy-five per cent of the member's final	4284
average salary, except that it shall not exceed any limit to which	4285
the retirement system is subject under section 415 of the	4286
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 415,	4287
as amended.	4288

A year of service for the purpose of disability retirement is	4289
a complete year of full-time employment, or the equivalent	4290
thereof. The public employees retirement board is the final	4291
authority in determining the eligibility of a member for	4292
disability retirement.	4293

Sec. 145.361. (A) A member with disability coverage under	4294
this section who is determined by the public employees retirement	4295
board under section 145.35 of the Revised Code to qualify for a	4296
disability benefit shall receive a disability allowance under this	4297
section. The allowance shall be an annual amount equal to the	4298
greater of the following:	4299

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

4300

(2) The member's total service credit multiplied by two and	4301
two-tenths per cent of the member's final average salary, not	4302
exceeding sixty per cent of the member's final average salary.	4303

(B) Sufficient reserves for payment of the disability	4304
allowance shall be transferred to the annuity and pension reserve	4305
fund from the employers' contribution fund. The accumulated	4306
contributions of the member shall remain in the employees' savings	4307
fund. No part of the allowance paid under this section shall be	4308
charged against the member's accumulated contributions.	4309

(C) A disability allowance paid under this section shall	4310
terminate at the earliest of the following:	4311

(1) The effective date of age and service retirement under	4312
sections 145.32 ~~and~~, 145.33, and 145.332, or section ~~145.34 or~~	4313
145.37 or former section 145.34 of the Revised Code;	4314

(2) The date the allowance is terminated under section	4315
145.362 of the Revised Code;	4316

(3) The later of the last day of the month in which the	4317
recipient attains age sixty-five, or the last day of the month in	4318
which the benefit period ends as follows:	4319

Attained Age at		4320
Effective Date of		4321
Disability Allowance	Benefit Period	4322
60 or 61	60 months	4323
62 or 63	48 months	4324
64 or 65	36 months	4325
66, 67, or 68	24 months	4326
69 or older	12 months	4327

Sec. 145.362. A disability benefit recipient whose	4328
application for a disability benefit was received by the public	4329
employees retirement system before the effective date of this	4330
amendment shall, regardless of when the disability occurred,	4331
retain membership status and shall be considered on leave of	4332
absence from employment during the first five years following the	4333
effective date of a disability benefit, notwithstanding any	4334
contrary provisions in this chapter.	4335

A disability benefit recipient whose application for a	4336
disability benefit is received by the system on or after the	4337
effective date of this amendment shall, regardless of when the	4338
disability occurred, retain membership status and shall be	4339
considered on leave of absence from employment during the first	4340
three years following the effective date of a disability benefit,	4341
except that, if the member is receiving rehabilitative services	4342
acceptable to a physician or physicians selected by the board, the	4343
board may permit the recipient to retain membership status and be	4344
considered on leave of absence from employment for up to five	4345
years following the effective date of a disability benefit.	4346

The public employees retirement board shall require any	4347
disability benefit recipient to undergo an annual medical	4348
examination, except that the board may waive the medical	4349
examination if the board's physician or physicians certify that	4350
the recipient's disability is ongoing. If any disability benefit	4351
recipient refuses to submit to a medical examination, the	4352
recipient's disability benefit shall be suspended until withdrawal	4353
of the refusal. Should the refusal continue for one year, all the	4354
recipient's rights in and to the disability benefit shall be	4355
terminated as of the effective date of the original suspension.	4356

On completion of the examination by an examining physician or	4357
physicians selected by the board, the physician or physicians	4358
shall report and certify to the board whether the disability	4359
benefit recipient meets the applicable standard for termination of	4360
a disability benefit.	4361

(A) Regardless of when the disability occurred, if the	4362
recipient's application for a disability benefit was received by	4363
the system before the effective date of this amendment, or, if	4364
after that date, the recipient has been receiving the benefit for	4365
less than three years or is receiving rehabilitative services	4366
acceptable to the physician or physicians and considered on leave	4367
of absence, or, if, when the disability occurred, the recipient	4368
was a PERS law enforcement officer or PERS public safety officer,	4369
the standard for termination is that the recipient is no longer	4370
physically and mentally incapable of resuming the service from	4371
which the recipient was found disabled. If	4372

(B) Regardless of when the disability occurred, if the	4373
recipient's application for a disability benefit is received by	4374
the system on or after the effective date of this amendment the	4375
recipient has been receiving the benefit for three years or	4376
longer, the recipient was not a PERS law enforcement officer or	4377
PERS public safety officer when the disability occurred, and the	4378
recipient is not receiving rehabilitative services acceptable to	4379
the physician or physicians, the standard for termination is that	4380
the recipient is not physically or mentally incapable of	4381
performing the duties of any position that meets all of the	4382
following criteria:	4383

(1) Replaces not less than seventy-five per cent of the	4384
member's final average salary, adjusted each year by the actual	4385
average increase in the consumer price index prepared by the	4386
United States bureau of labor statistics (U.S. city average for	4387
urban wage earners and clerical workers: "all items	4388
1982-1984=100");	4389

(2) Is reasonably to be found in the member's regional job	4390
market;	4391

(3) Is one that the member is qualified for by experience or	4392
education.	4393

If the board concurs in the report that the disability	4394
benefit recipient ~~is no longer incapable~~meets the applicable	4395
standard for termination of a disability benefit, the payment of	4396
the disability benefit shall be terminated not later than three	4397
months after the date of the board's concurrence or upon	4398
employment as a public employee. If the leave of absence has not	4399
expired, the retirement board shall certify to the disability	4400
benefit recipient's last employer before being found disabled that	4401
the recipient is no longer physically and mentally incapable of	4402
resuming service that is the same or similar to that from which	4403
the recipient was found disabled. The employer shall restore the	4404
recipient to the recipient's previous position and salary or to a	4405
position and salary similar thereto, unless the recipient was	4406
dismissed or resigned in lieu of dismissal for dishonesty,	4407
misfeasance, malfeasance, or conviction of a felony.	4408

Each disability benefit recipient shall file with the board	4409
an annual statement of earnings, current medical information on	4410
the recipient's condition, and any other information required in	4411
rules adopted by the board. The board may waive the requirement	4412
that a disability benefit recipient file an annual statement of	4413
earnings or current medical information if the board's physician	4414
certifies that the recipient's disability is ongoing.	4415

The board shall annually examine the information submitted by	4416
the recipient. If a disability benefit recipient refuses to file	4417
the statement or information, the disability benefit shall be	4418
suspended until the statement and information are filed. If the	4419
refusal continues for one year, the recipient's right to the	4420
disability benefit shall be terminated as of the effective date of	4421
the original suspension.	4422

If a disability benefit recipient is restored to service by,	4423
or elected to an elective office with, an employer covered by this	4424
chapter, the recipient's disability benefit shall cease.	4425

The board may terminate a disability benefit at the request	4426
of the recipient.	4427

If disability retirement under section 145.36 of the Revised	4428
Code is terminated for any reason, the annuity and pension	4429
reserves at that time in the annuity and pension reserve fund	4430
shall be transferred to the employees' savings fund and the	4431
employers' accumulation fund, respectively. If the total	4432
disability benefit paid is less than the amount of the accumulated	4433
contributions of the member transferred to the annuity and pension	4434
reserve fund at the time of the member's disability retirement,	4435
the difference shall be transferred from the annuity and pension	4436
reserve fund to another fund as may be required. In determining	4437
the amount of a member's account following the termination of	4438
disability retirement for any reason, the total amount paid shall	4439
be charged against the member's refundable account.	4440

If a disability allowance paid under section 145.361 of the	4441
Revised Code is terminated for any reason, the reserve on the	4442
allowance at that time in the annuity and pension reserve fund	4443
shall be transferred from that fund to the employers' accumulation	4444
fund.	4445

If a former disability benefit recipient again becomes a	4446
contributor, other than as an other system retirant under section	4447
145.38 of the Revised Code, to this system, the state teachers	4448
retirement system, or the school employees retirement system, and	4449
completes an additional two years of service credit, the former	4450
disability benefit recipient shall be entitled to full service	4451
credit, not exceeding five years' service credit, for the period	4452
as a disability benefit recipient, except that if the board adopts	4453
a rule requiring payment for the service credit it shall be	4454
granted only if the former disability benefit recipient pays an	4455
amount determined under the rule. The rule shall not require	4456
payment of more than the additional liability to the retirement	4457
system resulting from granting the credit. The former recipient	4458
may choose to purchase only part of the credit in any one payment.	4459

If any employer employs any member who is receiving a	4460
disability benefit, the employer shall file notice of employment	4461
with the retirement board, designating the date of employment. In	4462
case the notice is not filed, the total amount of the benefit paid	4463
during the period of employment prior to notice shall be charged	4464
to and paid by the employer.	4465

Sec. 145.363. This section does not apply to a disability	4466
recipient who, when the disability occurred, was a PERS law	4467
enforcement officer or PERS public safety officer.	4468

(A) A recipient of a disability benefit granted under this	4469
chapter whose application for such benefit is received by the	4470
public employees retirement system on or after the effective date	4471
of this section shall, regardless of when the disability occurred,	4472
apply for social security disability insurance benefit payments	4473
under 42 U.S.C. 423 if the recipient meets the requirements of	4474
divisions (a)(1)(A),(B), and (C) of that section. The application	4475
for a social security disability insurance benefit shall be made	4476
not later than ninety days after the recipient is granted a	4477
disability benefit under this chapter unless the public employees	4478
retirement board determines from the member's medical records that	4479
the member is physically or mentally unable to make the	4480
application. The recipient shall file a copy of the completed	4481
application with the public employees retirement system and the	4482
system shall accept the copy as evidence of the member's	4483
application. If a recipient fails without just cause to apply for	4484
social security disability insurance benefit payments or to file a	4485
copy of the application with the system, the disability benefit	4486
under this chapter shall be suspended until application is made	4487
and a copy of the application filed with the system.	4488

(B) Regardless of whether the recipient's disability is	4489
ongoing, a recipient of a disability benefit under this chapter	4490
who also receives social security disability insurance benefit	4491
payments shall file an annual statement of earnings under section	4492
145.362 of the Revised Code and include a copy of the social	4493
security disability insurance benefit annual reward letter that	4494
specifies the amount of the social security disability insurance	4495
program benefit.	4496

(C) Except as provided in division (D) of this section, if	4497
any year the total of a disability benefit recipient's benefit	4498
under this chapter and social security disability insurance	4499
benefit payments exceeds the recipient's adjusted final average	4500
salary, the annual benefit under this chapter shall be reduced so	4501
that the annual total equals the recipient's adjusted final	4502
average salary.	4503

The recipient's adjusted final average salary shall be	4504
determined by annually increasing the recipient's final average	4505
salary by the percentage increase in the consumer price index, not	4506
exceeding three per cent, as determined by the United States	4507
bureau of labor statistics (U.S. city average for urban wage	4508
earners and clerical workers: "all items 1982-84=100") for the	4509
twelve-month period ending on the thirtieth day of June of the	4510
immediately preceding calendar year. If the consumer price index	4511
for that period did not increase, no increase shall be made to the	4512
recipient's adjusted final average salary for that period. No	4513
adjustment to a benefit shall exceed the limit established by	4514
section 415 of the "Internal Revenue Code of 1986," 100 Stat.	4515
2085, 26 U.S.C. 415, as amended.	4516

If a disability benefit recipient receives retroactive	4517
payments of social security disability insurance benefits, the	4518
system may reduce future disability benefit payments under this	4519
chapter to recoup any overpayments.	4520

(D) The reductions required by division (C) of this section	4521
do not apply to a recipient of a disability benefit under this	4522
chapter who has not less than five years of service credit for	4523
periods during which the recipient had earnings from other	4524
employment that was subject to the tax imposed by the "Federal	4525
Insurance Contributions Act," 26 U.S.C. 3101.	4526

Sec. 145.37. (A) As used in this section:

4527

(1) "State retirement system" means the public employees	4528
retirement system, school employees retirement system, or state	4529
teachers retirement system.	4530

(2) "Total service credit" means all service credit earned in	4531
the state retirement systems, except credit for service subject to	4532
section 145.38 of the Revised Code. Total service credit shall not	4533
exceed one year of credit for any twelve-month period.	4534

(3) In addition to the meaning given in division (N) of	4535
section 145.01 of the Revised Code, "disability benefit" means	4536
"disability benefit" as defined in sections 3307.01 and 3309.01 of	4537
the Revised Code.	4538

(B) To coordinate and integrate membership in the state	4539
retirement systems, the following provisions apply:	4540

(1) AtSubject to division (B)(2) of this section, at the	4541
~~option~~election of a member, total contributions and service	4542
credit in all state retirement systems, including amounts paid to	4543
restore service credit under sections 145.311, 3307.711, and	4544
3309.261 of the Revised Code, shall be used in determining the	4545
eligibility and total retirement or disability benefit payable.	4546
When total contributions and service credit are so combined, the	4547
following provisions apply:	4548

(a) Age and service retirement ~~or disability benefits are~~	4549
shall be effective on the first day of the month immediately	4550
following the later of:	4551

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

4552

(ii) The attainment of minimum age or service credit	4553
eligibility for benefits provided under this section;	4554

(iii) Ninety days prior to receipt by the board of the	4555
member's completed application for retirement.	4556

(b) ~~In determining eligibility~~Disability benefits shall be	4557
effective on the first day of the month immediately following the	4558
later of the following:	4559

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

4560

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

4561

(c) Eligibility for a disability benefit~~, the medical~~	4562
~~examiner's report to~~shall be determined by the ~~retirement~~ board	4563
of ~~any~~the state retirement system~~, showing~~ that will calculate	4564
and pay the ~~member's disability incapacitates the member for the~~	4565
~~performance of duty, may~~benefit, as provided in division	4566
(B)(1)(d) of this section. The state retirement system calculating	4567
and paying the disability benefit shall certify the determination	4568
to the board of each other state retirement system in which the	4569
member has service credit and shall be accepted by ~~the state~~	4570
~~retirement boards~~that board as sufficient for granting a	4571
disability benefit.	4572

~~(c)~~(d) The board of the state retirement system in which the	4573
member had the greatest service credit, without adjustment, shall	4574
~~determine~~calculate and pay the total retirement or disability	4575
benefit. Where the member's credit is equal in two or more state	4576
retirement systems, the system having the largest total	4577
contributions of the member shall ~~determine~~calculate and pay the	4578
total benefit.	4579

~~(d)~~(e) In determining the total credit to be used in	4580
calculating a retirement or disability benefit, ~~credit shall not~~	4581
~~be reduced below that certified by the system or systems~~	4582
~~transferring credit, except that such~~ total combined service	4583
credit shall not exceed one year of credit for any one "year" as	4584
defined in the law of the system making the calculation.	4585

~~(e)~~(f) The state retirement system ~~determining~~calculating	4586
and paying a retirement or disability benefit shall receive from	4587
the other system or systems ~~the member's refundable account at~~	4588
~~retirement or the effective date of a disability benefit plus an~~	4589
~~amount from the employers' accumulation fund equal to the member's~~	4590
~~refundable account less interest credited under section 145.471,~~	4591
~~145.472, or 3307.563 of the Revised Code~~all of the following for	4592
each year of service:	4593

(i) The amount contributed by the member, or, in the case of	4594
service credit purchased by the member, paid by the member, that	4595
is attributable to the year of service;	4596

(ii) An amount equal to the lesser of the employer's	4597
contributions made on behalf of the member to the retirement	4598
system for that year of service or the amount that would have been	4599
contributed by the employer for the service had the member been a	4600
member of the public employees retirement system at the time the	4601
credit was earned;	4602

(iii) Interest on the amounts specified in divisions	4603
(B)(1)(f)(i) and (ii) of this section at the actuarial assumption	4604
rate of the retirement system determining and paying the benefit.	4605
If	4606

If applicable, the public employees retirement system shall	4607
pay to the retirement system ~~determining~~calculating and paying	4608
the benefit a portion of the amount paid on behalf of the member	4609
by an employer under section 145.483 of the Revised Code. The	4610
portion shall be paid from the employers' accumulation fund and	4611
shall equal the product obtained by multiplying by two the amount	4612
the member would have contributed during the period the employer	4613
failed to deduct contributions, as described in section 145.483 of	4614
the Revised Code.	4615

~~(i)~~(g) The annuity rates and mortality tables of the state	4616
retirement system making the calculation and paying the benefit	4617
shall be exclusively applicable.	4618

~~(ii)~~(h) Deposits made for the purpose of an additional	4619
annuity, ~~and including guaranteed interest~~together with earnings	4620
as provided in section 145.62 of the Revised Code, upon the	4621
request of the member, shall be transferred to the state	4622
retirement system paying the benefit. The return upon such	4623
deposits shall be that offered by the state retirement system	4624
making the calculation and paying the benefit.	4625

(2) A former member receiving a retirement or disability	4626
benefit under this section, who accepts employment amenable to	4627
coverage in any state retirement system that participated in the	4628
former member's combined benefit, shall be subject to the	4629
applicable provisions of law governing such re-employment. If a	4630
former member should be paid any amount in a retirement benefit,	4631
to which the former member is not entitled under the applicable	4632
provisions of law governing such re-employment, such amount shall	4633
be recovered by the state retirement system paying such benefit by	4634
utilizing any recovery procedure available under the code	4635
provisions of the state retirement system covering such	4636
re-employment.	4637

(C) A PERS retirant or other system retirant, as defined in	4638
section 145.38 of the Revised Code, is not eligible to receive any	4639
benefit under this section for service subject to section 145.38	4640
of the Revised Code.	4641

Sec. 145.38. (A) As used in this section and sections	4642
145.381 and 145.384 of the Revised Code:	4643

(1) "PERS retirant" means a former member of the public	4644
employees retirement system who is receiving one of the following:	4645

(a) Age and service retirement benefits under section 145.32,	4646
145.33, 145.331, ~~145.34,~~145.332, or 145.46 or former section	4647
145.34 of the Revised Code;	4648

(b) Age and service retirement benefits paid by the public	4649
employees retirement system under section 145.37 of the Revised	4650
Code;	4651

4652

(2) "Other system retirant" means both of the following:

4653

(a) A member or former member of the Ohio police and fire	4654
pension fund, state teachers retirement system, school employees	4655
retirement system, state highway patrol retirement system, or	4656
Cincinnati retirement system who is receiving age and service or	4657
commuted age and service retirement benefits or a disability	4658
benefit from a system of which the person is a member or former	4659
member;	4660

(b) A member or former member of the public employees	4661
retirement system who is receiving age and service retirement	4662
benefits or a disability benefit under section 145.37 of the	4663
Revised Code paid by the school employees retirement system or the	4664
state teachers retirement system.	4665

(B)(1) Subject to this section and section 145.381 of the	4666
Revised Code, a PERS retirant or other system retirant may be	4667
employed by a public employer. If so employed, the PERS retirant	4668
or other system retirant shall contribute to the public employees	4669
retirement system in accordance with section 145.47 of the Revised	4670
Code, and the employer shall make contributions in accordance with	4671
section 145.48 of the Revised Code.	4672

(2) A public employer that employs a PERS retirant or other	4673
system retirant, or enters into a contract for services as an	4674
independent contractor with a PERS retirant, shall notify the	4675
retirement board of the employment or contract not later than the	4676
end of the month in which the employment or contract commences.	4677
Any overpayment of benefits to a PERS retirant by the retirement	4678
system resulting from delay or failure of the employer to give the	4679
notice shall be repaid to the retirement system by the employer.	4680

(3) On receipt of notice from a public employer that a person	4681
who is an other system retirant has been employed, the retirement	4682
system shall notify the retirement system of which the other	4683
system retirant was a member of such employment.	4684

(4)(a) A PERS retirant who has received a retirement	4685
allowance for less than two months when employment subject to this	4686
section commences shall forfeit the retirement allowance for any	4687
month the PERS retirant is employed prior to the expiration of the	4688
two-month period. Service and contributions for that period shall	4689
not be included in calculation of any benefits payable to the PERS	4690
retirant, and those contributions shall be refunded on the	4691
retirant's death or termination of the employment.	4692

(b) An other system retirant who has received a retirement	4693
allowance or disability benefit for less than two months when	4694
employment subject to this section commences shall forfeit the	4695
retirement allowance or disability benefit for any month the other	4696
system retirant is employed prior to the expiration of the	4697
two-month period. Service and contributions for that period shall	4698
not be included in the calculation of any benefits payable to the	4699
other system retirant, and those contributions shall be refunded	4700
on the retirant's death or termination of the employment.	4701

(c) Contributions made on compensation earned after the	4702
expiration of the two-month period shall be used in the	4703
calculation of the benefit or payment due under section 145.384 of	4704
the Revised Code.	4705

(5) On receipt of notice from the Ohio police and fire	4706
pension fund, school employees retirement system, or state	4707
teachers retirement system of the re-employment of a PERS	4708
retirant, the public employees retirement system shall not pay, or	4709
if paid, shall recover, the amount to be forfeited by the PERS	4710
retirant in accordance with section 742.26, 3307.35, or 3309.341	4711
of the Revised Code.	4712

(6) A PERS retirant who enters into a contract to provide	4713
services as an independent contractor to the employer by which the	4714
retirant was employed at the time of retirement or, less than two	4715
months after the retirement allowance commences, begins providing	4716
services as an independent contractor pursuant to a contract with	4717
another public employer, shall forfeit the pension portion of the	4718
retirement benefit for the period beginning the first day of the	4719
month following the month in which the services begin and ending	4720
on the first day of the month following the month in which the	4721
services end. The annuity portion of the retirement allowance	4722
shall be suspended on the day services under the contract begin	4723
and shall accumulate to the credit of the retirant to be paid in a	4724
single payment after services provided under the contract	4725
terminate. A PERS retirant subject to division (B)(6) of this	4726
section shall not contribute to the retirement system and shall	4727
not become a member of the system.	4728

(7) As used in this division, "employment" includes service	4729
for which a PERS retirant or other system retirant, the retirant's	4730
employer, or both, have waived any earnable salary for the	4731
service.	4732

(C)(1) Except as provided in division (C)(3) of this section,	4733
this division applies to both of the following:	4734

(a) A PERS retirant who, prior to September 14, 2000, was	4735
subject to division (C)(1)(b) of this section as that division	4736
existed immediately prior to September 14, 2000, and has not	4737
elected pursuant to Am. Sub. S.B. 144 of the 123rd general	4738
assembly to cease to be subject to that division;	4739

(b) A PERS retirant to whom both of the following apply:

4740

(i) The retirant held elective office in this state, or in	4741
any municipal corporation, county, or other political subdivision	4742
of this state at the time of retirement under this chapter.	4743

(ii) The retirant was elected or appointed to the same office	4744
for the remainder of the term or the term immediately following	4745
the term during which the retirement occurred.	4746

(2) A PERS retirant who is subject to this division is a	4747
member of the public employees retirement system with all the	4748
rights, privileges, and obligations of membership, except that the	4749
membership does not include survivor benefits provided pursuant to	4750
section 145.45 of the Revised Code or, beginning on the ninetieth	4751
day after September 14, 2000, any amount calculated under section	4752
145.401 of the Revised Code. The pension portion of the PERS	4753
retirant's retirement allowance shall be forfeited until the first	4754
day of the first month following termination of the employment.	4755
The annuity portion of the retirement allowance shall accumulate	4756
to the credit of the PERS retirant to be paid in a single payment	4757
after termination of the employment. The retirement allowance	4758
shall resume on the first day of the first month following	4759
termination of the employment. On termination of the employment,	4760
the PERS retirant shall elect to receive either a refund of the	4761
retirant's contributions to the retirement system during the	4762
period of employment subject to this section or a supplemental	4763
retirement allowance based on the retirant's contributions and	4764
service credit for that period of employment.	4765

(3) This division does not apply to any of the following:

4766

(a) A PERS retirant elected to office who, at the time of the	4767
election for the retirant's current term, was not retired but, not	4768
less than ninety days prior to the primary election for the term	4769
or the date on which a primary for the term would have been held,	4770
filed a written declaration of intent to retire before the end of	4771
the term with the director of the board of elections of the county	4772
in which petitions for nomination or election to the office are	4773
filed;	4774

(b) A PERS retirant elected to office who, at the time of the	4775
election for the retirant's current term, was a retirant and had	4776
been retired for not less than ninety days;	4777

(c) A PERS retirant appointed to office who, at the time of	4778
appointment to the retirant's current term, notified the person or	4779
entity making the appointment that the retirant was already	4780
retired or intended to retire before the end of the term.	4781

(D)(1) Except as provided in division (C) of this section, a	4782
PERS retirant or other system retirant subject to this section is	4783
not a member of the public employees retirement system, and,	4784
except as specified in this section does not have any of the	4785
rights, privileges, or obligations of membership. Except as	4786
specified in division (D)(2) of this section, the retirant is not	4787
eligible to receive health, medical, hospital, or surgical	4788
benefits under section 145.58 of the Revised Code for employment	4789
subject to this section.	4790

(2) A PERS retirant subject to this section shall receive	4791
primary health, medical, hospital, or surgical insurance coverage	4792
from the retirant's employer, if the employer provides coverage to	4793
other employees performing comparable work. Neither the employer	4794
nor the PERS retirant may waive the employer's coverage, except	4795
that the PERS retirant may waive the employer's coverage if the	4796
retirant has coverage comparable to that provided by the employer	4797
from a source other than the employer or the public employees	4798
retirement system. If a claim is made, the employer's coverage	4799
shall be the primary coverage and shall pay first. The benefits	4800
provided under section 145.58 of the Revised Code shall pay only	4801
those medical expenses not paid through the employer's coverage or	4802
coverage the PERS retirant receives through a source other than	4803
the retirement system.	4804

(E) If the disability benefit of an other system retirant	4805
employed under this section is terminated, the retirant shall	4806
become a member of the public employees retirement system,	4807
effective on the first day of the month next following the	4808
termination with all the rights, privileges, and obligations of	4809
membership. If such person, after the termination of the	4810
disability benefit, earns two years of service credit under this	4811
system or under the Ohio police and fire pension fund, state	4812
teachers retirement system, school employees retirement system, or	4813
state highway patrol retirement system, the person's prior	4814
contributions as an other system retirant under this section shall	4815
be included in the person's total service credit as a public	4816
employees retirement system member, and the person shall forfeit	4817
all rights and benefits of this section. Not more than one year of	4818
credit may be given for any period of twelve months.	4819

(F) This section does not affect the receipt of benefits by	4820
or eligibility for benefits of any person who on August 20, 1976,	4821
was receiving a disability benefit or service retirement pension	4822
or allowance from a state or municipal retirement system in Ohio	4823
and was a member of any other state or municipal retirement system	4824
of this state.	4825

(G) The public employees retirement board may adopt rules to	4826
carry out this section.	4827

Sec. 145.383. (A) As used in this section:

4828

(1) "Compensation" has the same meaning as in section 3307.01	4829
or 3309.01 of the Revised Code, as appropriate.	4830

(2) "PERS position" means a position for which a member of	4831
the public employees retirement system is making contributions to	4832
the system.	4833

(3) "Other state retirement system" means the state teachers	4834
retirement system or the school employees retirement system.	4835

(4) "State retirement system" means the public employees	4836
retirement system, state teachers retirement system, or the school	4837
employees retirement system.	4838

(B)(1) A member of the public employees retirement system who	4839
holds two or more PERS positions may retire under section 145.32,	4840
145.33, 145.331, ~~145.34,~~145.332, 145.37, or 145.46 of the Revised	4841
Code from the position for which the annual earnable salary at the	4842
time of retirement is highest and continue to contribute to the	4843
retirement system for the other PERS position or positions.	4844

(2) A member of the public employees retirement system who	4845
also holds one or more other positions covered by the other state	4846
retirement systems may retire under section 145.32, 145.33,	4847
145.331, ~~145.34,~~145.332, 145.37, or 145.46 of the Revised Code	4848
from the PERS position and continue contributing to the other	4849
state retirement systems if the annual earnable salary for the	4850
PERS position at the time of retirement is greater than annual	4851
compensation for the position, or any of the positions, covered by	4852
the other state retirement systems.	4853

(3) A member of the public employees retirement system who	4854
holds two or more PERS positions and at least one other position	4855
covered by one of the other state retirement systems may retire	4856
under section 145.32, 145.33, 145.331, ~~145.34,~~145.332, 145.37, or	4857
145.46 of the Revised Code from one of the PERS positions and	4858
continue contributing to the public employees retirement system	4859
and the other state retirement system if the annual earnable	4860
salary for the PERS position from which the member is retiring is,	4861
at the time of retirement, greater than the annual compensation or	4862
earnable salary for any of the positions for which the member is	4863
continuing to make contributions.	4864

(4) A member of the public employees retirement system who	4865
has retired as provided in division (B)(2) or (3) of section	4866
3307.351 or division (B)(2) or (3) of section 3309.343 of the	4867
Revised Code may continue to contribute to the public employees	4868
retirement system for a PERS position if the member held the	4869
position at the time of retirement from the other state retirement	4870
system.	4871

(5) A member who contributes to the public employees	4872
retirement system in accordance with division (B)(1), (3), or (4)	4873
of this section shall contribute in accordance with section 145.47	4874
of the Revised Code. The member's employer shall contribute as	4875
provided in section 145.48 of the Revised Code. Neither the member	4876
nor the member's survivors are eligible for any benefits based on	4877
those contributions other than those provided under section	4878
145.384, 3307.352, or 3309.344 of the Revised Code.	4879

(C)(1) In determining retirement eligibility and the annual	4880
retirement allowance of a member who retires as provided in	4881
division (B)(1), (2), or (3) of this section, the following shall	4882
be used to the date of retirement:	4883

(a) The member's earnable salary and compensation for all	4884
positions covered by a state retirement system;	4885

(b) Total service credit in any state retirement system,	4886
except that the credit shall not exceed one year of credit for any	4887
period of twelve months;	4888

4889

(2) A member who retires as provided in division (B)(1), (2),	4890
or (3) of this section is a retirant for all purposes of this	4891
chapter, except that the member is not subject to section 145.38	4892
of the Revised Code for a position or positions for which	4893
contributions continue under those divisions or division (B)(4) of	4894
this section.	4895

(D) A retired member receiving a benefit under section	4896
145.384 of the Revised Code based on employment subject to this	4897
section is not a member of the public employees retirement system	4898
and does not have any rights, privileges, or obligations of	4899
membership. The retired member is a PERS retirant for purposes of	4900
section 145.38 of the Revised Code.	4901

(E) The public employees retirement board may adopt rules to	4902
carry out this section.	4903

Sec. 145.384. (A) As used in this section, "PERS retirant"	4904
means a PERS retirant who is not subject to division (C) of	4905
section 145.38 of the Revised Code. For purposes of this section,	4906
"PERS retirant" also includes both of the following:	4907

(1) A member who retired under section 145.383 of the Revised	4908
Code;	4909

(2) A retirant whose retirement allowance resumed under	4910
section 145.385 of the Revised Code.	4911

(B)(1) An other system retirant or PERS retirant who has made	4912
contributions under section 145.38 or 145.383 of the Revised Code	4913
or, in the case of a retirant described in division (A)(2) of this	4914
section, section 145.47 of the Revised Code may file an	4915
application with the public employees retirement system to receive	4916
either a benefit, as provided in division (B)(2) of this section,	4917
or payment of the retirant's contributions made under those	4918
sections, as provided in division (H) of this section.	4919

(2) A benefit under this section shall consist of an annuity	4920
having a reserve equal to the amount of the retirant's accumulated	4921
contributions for the period of employment, other than the	4922
contributions excluded pursuant to division (B)(4)(a) or (b) of	4923
section 145.38 of the Revised Code, and an amount of the	4924
employer's contributions determined by the board.	4925

(a) Unless, as described in division (I) of this section, the	4926
application is accompanied by a statement of the spouse's consent	4927
to another form of payment or the board waives the requirement of	4928
spousal consent, a PERS retirant or other system retirant who is	4929
married at the time of application for a benefit under this	4930
section shall receive a monthly annuity under which the actuarial	4931
equivalent of the retirant's single life annuity is paid in a	4932
lesser amount for life and one-half of the lesser amount continues	4933
after the retirant's death to the surviving spouse.	4934

(b) A PERS retirant or other system retirant who is not	4935
subject to division (B)(2)(a) of this section shall elect either	4936
to receive the benefit as a monthly annuity or a lump sum payment	4937
discounted to the present value using a rate of interest	4938
determined by the board. A retirant who elects to receive a	4939
monthly annuity shall select one of the following as the plan of	4940
payment:	4941

(i) The retirant's single life annuity;

4942

(ii) The actuarial equivalent of the retirant's single life	4943
annuity in an equal or lesser amount for life and continuing after	4944
death to a surviving beneficiary designated at the time the plan	4945
of payment is selected.	4946

If a retirant who is eligible to select a plan of payment	4947
under division (B)(2)(b) of this section fails to do so, the	4948
benefit shall be paid as a monthly annuity under the plan of	4949
payment specified in rules adopted by the public employees	4950
retirement board.	4951

(c) Notwithstanding divisions (B)(2)(a) and (b) of this	4952
section, if a monthly annuity would be less than twenty-five	4953
dollars per month, the retirant shall receive a lump sum payment.	4954

(C)(1) The death of a spouse or other designated beneficiary	4955
under a plan of payment described in division (B)(2) of this	4956
section cancels that plan of payment. The PERS retirant or other	4957
system retirant shall receive the equivalent of the retirant's	4958
single life annuity, as determined by the board, effective the	4959
first day of the month following receipt by the board of notice of	4960
the death.	4961

(2) On divorce, annulment, or marriage dissolution, a PERS	4962
retirant or other system retirant receiving a benefit described in	4963
division (B)(2) of this section under which the beneficiary is the	4964
spouse may, with the written consent of the spouse or pursuant to	4965
an order of the court with jurisdiction over the termination of	4966
the marriage, elect to cancel the plan and receive the equivalent	4967
of the retirant's single life annuity as determined by the board.	4968
The election shall be made on a form provided by the board and	4969
shall be effective the month following its receipt by the board.	4970

(D) Following a marriage or remarriage, a PERS retirant or	4971
other system retirant who is receiving a benefit described in	4972
division (B)(2)(b)(i) of this section may elect a new plan of	4973
payment under division (B)(2)(b) of this section based on the	4974
actuarial equivalent of the retirant's single life annuity as	4975
determined by the board.	4976

If the marriage or remarriage occurs on or after ~~the~~	4977
~~effective date of this amendment~~June 6, 2005, the election must	4978
be made not later than one year after the date of the marriage or	4979
remarriage.	4980

The plan elected under this division shall be effective on	4981
the date of receipt by the board of an application on a form	4982
approved by the board, but any change in the amount of the benefit	4983
shall commence on the first day of the month following the	4984
effective date of the plan.	4985

(E) A benefit payable under division (B)(2) of this section	4986
shall commence on the latest of the following:	4987

(1) The last day for which compensation for all employment	4988
subject to section 145.38, 145.383, or 145.385 of the Revised Code	4989
was paid;	4990

(2) Attainment by the PERS retirant or other system retirant	4991
of age sixty-five;	4992

(3) If the PERS retirant or other system retirant was	4993
previously employed under section 145.38, 145.383, or 145.385 of	4994
the Revised Code and is receiving or previously received a benefit	4995
under this section, completion of a period of twelve months since	4996
the effective date of the last benefit under this section;	4997

(4) Ninety days prior to receipt by the board of the member's	4998
completed application for retirement;	4999

(5) A date specified by the retirant.

5000

(F)(1) If a PERS retirant or other system retirant dies while	5001
employed in employment subject to section 145.38, 145.383, or	5002
145.385 of the Revised Code, a lump sum payment ~~calculated in~~	5003
~~accordance with division (B)(2) of this section~~ shall be paid to	5004
the retirant's beneficiary under division (G) of this section. The	5005
lump sum shall be calculated in accordance with division (H) of	5006
this section if the retirant was under age sixty-five at the time	5007
of death. It shall be calculated in accordance with division	5008
(B)(2) of this section if the retirant was age sixty-five or older	5009
at the time of death.	5010

(2) If at the time of death a PERS retirant or other system	5011
retirant receiving a monthly annuity under division (B)(2)(b)(i)	5012
of this section has received less than the retirant would have	5013
received as a lump sum payment, the difference between the amount	5014
received and the amount that would have been received as a lump	5015
sum payment shall be paid to the retirant's beneficiary under	5016
division (G) of this section.	5017

(3) If a beneficiary receiving a monthly annuity under	5018
division (B)(2) of this section dies and, at the time of the	5019
beneficiary's death, the total of the amounts paid to the retirant	5020
and beneficiary are less than the amount the retirant would have	5021
received as a lump sum payment, the difference between the total	5022
of the amounts received by the retirant and beneficiary and the	5023
amount that the retirant would have received as a lump sum payment	5024
shall be paid to the beneficiary's estate.	5025

(G) A PERS retirant or other system retirant employed under	5026
section 145.38, 145.383, or 145.385 of the Revised Code may	5027
designate one or more persons as beneficiary to receive any	5028
benefits payable under division (B)(2)(b) of this section due to	5029
death. The designation shall be in writing duly executed on a form	5030
provided by the public employees retirement board, signed by the	5031
PERS retirant or other system retirant, and filed with the board	5032
prior to death. The last designation of a beneficiary revokes all	5033
previous designations. The PERS retirant's or other system	5034
retirant's marriage, divorce, marriage dissolution, legal	5035
separation, withdrawal of account, birth of a child, or adoption	5036
of a child revokes all previous designations. If there is no	5037
designated beneficiary, the beneficiary is the beneficiary	5038
determined under division (D) of section 145.43 of the Revised	5039
Code. If any benefit payable under this section due to the death	5040
of a PERS retirant or other system retirant is not claimed by a	5041
beneficiary within five years after the death, the amount payable	5042
shall be transferred to the income fund and thereafter paid to the	5043
beneficiary or the estate of the PERS retirant or other system	5044
retirant on application to the board.	5045

(H)(1) A PERS retirant or other system retirant who applies	5046
under division (B)(1) of this section for payment of the	5047
retirant's contributions and is unmarried or is married and,	5048
unless the board has waived the requirement of spousal consent,	5049
includes with the application a statement of the spouse's consent	5050
to the payment, shall be paid the contributions made under section	5051
145.38 or 145.383 of the Revised Code or, in the case of a	5052
retirant described in division (A)(2) of this section, section	5053
145.47 of the Revised Code, plus interest as provided in section	5054
145.471 of the Revised Code, if the following conditions are met:	5055

(a) The retirant has not attained sixty-five years of age and	5056
has terminated employment subject to section 145.38, 145.383, or	5057
145.385 of the Revised Code for any cause other than death or the	5058
receipt of a benefit under this section.	5059

(b) Three months have elapsed since the termination of the	5060
retirant's employment subject to section 145.38, 145.383, or	5061
145.385 of the Revised Code, other than employment exempted from	5062
contribution pursuant to section 145.03 of the Revised Code.	5063

(c) The retirant has not returned to public service, other	5064
than service exempted from contribution pursuant to section 145.03	5065
of the Revised Code, during the three-month period.	5066

(2) Payment of a retirant's contributions cancels the	5067
retirant's right to a benefit under division (B)(2) of this	5068
section.	5069

(I) A statement of a spouse's consent under division (B)(2)	5070
of this section to the form of a benefit or under division (H) of	5071
this section to a payment of contributions is valid only if signed	5072
by the spouse and witnessed by a notary public. The board may	5073
waive the requirement of spousal consent if the spouse is	5074
incapacitated or cannot be located, or for any other reason	5075
specified by the board. Consent or waiver is effective only with	5076
regard to the spouse who is the subject of the consent or waiver.	5077

(J) No amount received under this section shall be included	5078
in determining an additional benefit under section 145.323 of the	5079
Revised Code or any other post-retirement benefit increase.	5080

Sec. 145.39. Whenever the limits established by section 415	5081
of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	5082
U.S.C.A. 415, as amended, are raised, the public employees	5083
retirement board shall increase the amount of the pension,	5084
benefit, or allowance of any person whose pension, benefit, or	5085
allowance payable under section 145.323, 145.33, 145.331, ~~145.34,~~	5086
145.332, 145.36, or 145.361 or former section 145.34 of the	5087
Revised Code was limited by the application of section 415. The	5088
amount of the increased pension, benefit, or allowance shall not	5089
exceed the lesser of the amount the person would have received if	5090
the limits established by section 415 had not been applied or the	5091
amount the person is eligible to receive subject to the new limits	5092
established by section 415.	5093

Sec. 145.40. (A)(1) Subject to the provisions of section	5094
145.57 of the Revised Code and except as provided in section	5095
145.402 of the Revised Code and division (B) of this section, if a	5096
member elects to become exempt from contribution to the public	5097
employees retirement system pursuant to section 145.03 of the	5098
Revised Code or ceases to be a public employee for any cause other	5099
than death, retirement, receipt of a disability benefit, or	5100
current employment in a position in which the member has elected	5101
to participate in an alternative retirement plan under section	5102
3305.05 or 3305.051 of the Revised Code, upon application the	5103
public employees retirement board shall pay the member the	5104
member's accumulated contributions, plus any applicable amount	5105
calculated under section 145.401 of the Revised Code, provided	5106
that both the following apply:	5107

(a) Three months have elapsed since the member's service	5108
subject to this chapter, other than service exempted from	5109
contribution pursuant to section 145.03 of the Revised Code, was	5110
terminated;	5111

(b) The member has not returned to service subject to this	5112
chapter, other than service exempted from contribution pursuant to	5113
section 145.03 of the Revised Code, during that three-month	5114
period.	5115

The payment of such accumulated contributions shall cancel	5116
the total service credit of such member in the public employees	5117
retirement system.	5118

(2) A member described in division (A)(1) of this section who	5119
is married at the time of application for payment and is eligible	5120
for age and service retirement under section 145.32, 145.33,	5121
145.331, or ~~145.34~~145.332 of the Revised Code or would be	5122
eligible for age and service retirement under any of those	5123
sections but for a forfeiture ordered under division (A) or (B) of	5124
section 2929.192 of the Revised Code shall submit with the	5125
application a written statement by the member's spouse attesting	5126
that the spouse consents to the payment of the member's	5127
accumulated contributions. Consent shall be valid only if it is	5128
signed and witnessed by a notary public.	5129

The board may waive the requirement of consent if the spouse	5130
is incapacitated or cannot be located, or for any other reason	5131
specified by the board. Consent or waiver is effective only with	5132
regard to the spouse who is the subject of the consent or waiver.	5133

(B) This division applies to any member who is employed in a	5134
position in which the member has made an election under section	5135
3305.05 or 3305.051 of the Revised Code and due to the election	5136
ceases to be a public employee for purposes of that position.	5137

Subject to section 145.57 of the Revised Code, the public	5138
employees retirement system shall do the following:	5139

(1) On receipt of a certified copy of a form evidencing an	5140
election under section 3305.05 or 3305.051 of the Revised Code,	5141
pay to the appropriate provider, in accordance with section	5142
3305.052 of the Revised Code, the amount described in section	5143
3305.052 of the Revised Code;	5144

(2) If a member has accumulated contributions, in addition to	5145
those subject to division (B)(1) of this section, standing to the	5146
credit of the member's individual account and is not otherwise	5147
employed in a position in which the member is considered a public	5148
employee for the purposes of that position, pay, to the provider	5149
the member selected pursuant to section 3305.05 or 3305.051 of the	5150
Revised Code, the member's accumulated contributions. The payment	5151
shall be made on the member's application.	5152

(C) Payment of a member's accumulated contributions under	5153
division (B) of this section cancels the member's total service	5154
credit in the public employees retirement system. A member whose	5155
accumulated contributions are paid to a provider pursuant to	5156
division (B) of this section is forever barred from claiming or	5157
purchasing service credit under the public employees retirement	5158
system for the period of employment attributable to those	5159
contributions.	5160

Sec. 145.401. (A) As used in this section:

5161

~~(1) "Eligible contributions" means amounts contributed under~~	5162
~~section 145.47 of the Revised Code, amounts received from a member~~	5163
~~or transferred under section 145.20, 145.295, 145.302, or 145.44~~	5164
~~of the Revised Code, and any interest credited under section~~	5165
~~145.471 or 145.472 of the Revised Code. "Eligible contributions"~~	5166
~~does not include contributions that were used in the payment of a~~	5167
~~disability benefit or, as provided in rules adopted by the board,~~	5168
~~were refunded to a member because the system was not authorized to~~	5169
~~accept the contributions.~~	5170

~~(2) "Service~~, "service credit" means service credit earned	5171
for periods for which contributions were made under section 145.47	5172
of the Revised Code and, if applicable, periods for which service	5173
credit was purchased or ~~transferred~~restored under section ~~145.20,~~	5174
~~145.295,~~ 145.302, or ~~145.44~~145.31 of the Revised Code.	5175

(B) If a member has, or at the time of death had, at least	5176
five years of service credit, the public employees retirement	5177
board shall include the amount specified in ~~division (B)(1) or (2)~~	5178
~~of this section~~rules adopted by the board in the amount payable	5179
under section 145.40 of the Revised Code to the member, or under	5180
division (B) of section 145.43 of the Revised Code to a	5181
beneficiary or beneficiaries of the member, unless at the time of	5182
death the member was a disability benefit recipient. The amount	5183
specified in ~~division (B)(1) or (2) of this section~~rules shall be	5184
paid from the employers' accumulation fund.	5185

~~(1) If the member has, or had at the time of death, at least~~	5186
~~five but less than ten years of service credit, the amount~~	5187
~~included shall be equal to thirty-three per cent of the member's~~	5188
~~eligible contributions.~~	5189

~~(2) If the member has, or had at the time of death, at least~~	5190
~~ten years of service credit, the amount included shall be equal to~~	5191
~~sixty-seven per cent of the member's eligible contributions~~(C)	5192
The public employees retirement board shall adopt rules under	5193
section 145.09 of the Revised Code specifying the additional	5194
amounts that may be provided a member under section 145.40 of the	5195
Revised Code or a beneficiary or beneficiaries under division (B)	5196
of section 145.43 of the Revised Code. The additional amounts may	5197
vary depending on the amount of service credit the member has	5198
accrued.	5199

Sec. 145.41. Membership shall cease upon refund of	5200
accumulated contributions, death, or retirement except as provided	5201
in section 145.362 of the Revised Code. A member who separates	5202
from service for any reason other than death or retirement or who	5203
otherwise ceases to be a public employee for any reason other than	5204
death or retirement may leave the member's accumulated	5205
contributions on deposit with the public employees retirement	5206
board and, for the purposes of the public employees retirement	5207
system, be considered on a membership leave of absence. The	5208
member's membership rights shall continue until the member has	5209
withdrawn the member's accumulated contributions, retired on a	5210
retirement allowance as provided in section 145.33, 145.331, or	5211
~~145.34~~145.332 of the Revised Code, or died. The account of such a	5212
member shall remain in the employees' savings fund, except that	5213
the account of a member who has less than five calendar years of	5214
contributing service credit or is a member of the state teachers	5215
retirement system or the school employees retirement system may be	5216
transferred to the income fund if by the end of the fifth calendar	5217
year following the calendar year in which the last contribution	5218
was received the member has not died, claimed a refund of	5219
contributions, or requested the retirement board to continue the	5220
member's membership on a leave of absence basis. In case such a	5221
member later requests a refund, the member's account shall be	5222
restored to the employees' savings account and refunded therefrom.	5223
Members on such leaves of absence shall retain all rights,	5224
obligations, and privileges of membership in the public employees	5225
retirement system. A "contributor," as defined in division (F) of	5226
section 145.01 of the Revised Code, who formerly lost membership	5227
through termination of membership leave of absence and who has not	5228
withdrawn the contributor's account shall be reinstated as a	5229
member with all the rights, privileges, and obligations of	5230
membership in the system. In no case shall a member on leave of	5231
absence as provided in this section add to the member's total	5232
number of years of service credit by reason of such leave of	5233
absence, unless such member ~~was receiving benefits from the state~~	5234
~~insurance fund and by reason of such benefits qualified for~~	5235
~~additional service credit as provided in division (H) of section~~	5236
~~145.01 of the Revised Code, or was~~is eligible to and does make a	5237
payment as provided in section 145.291 of the Revised Code.	5238

Sec. 145.43. (A) As used in this section and in section	5239
145.45 of the Revised Code:	5240

(1) "Child" means a biological or legally adopted child of a	5241
deceased member. If a court hearing for an interlocutory decree	5242
for adoption was held prior to the member's death, "child"	5243
includes the child who was the subject of the hearing	5244
notwithstanding the fact that the final decree of adoption,	5245
adjudging the surviving spouse as the adoptive parent, is made	5246
subsequent to the member's death.	5247

(2) "Parent" is a parent or legally adoptive parent of a	5248
deceased member.	5249

(3) "Dependent" means a beneficiary who receives one-half of	5250
the beneficiary's support from a member during the twelve months	5251
prior to the member's death.	5252

(4) "Surviving spouse" means an individual who establishes a	5253
valid marriage to a member at the time of the member's death by	5254
marriage certificate or pursuant to division (E) of this section.	5255

(5) "Survivor" means a surviving spouse, child, or parent.

5256

(6) "Accumulated contributions" has the meaning given in	5257
section 145.01 of the Revised Code, except that, notwithstanding	5258
that section, it does not include additional amounts deposited in	5259
the employees' savings fund pursuant to the version of division	5260
(C) of section 145.23 of the Revised Code as it existed	5261
immediately prior to ~~the effective date of this amendment~~April 6,	5262
2007, or pursuant to section 145.62 of the Revised Code.	5263

(B) Except as provided in division (C)(1) of section 145.45	5264
of the Revised Code, should a member die before age and service	5265
retirement, the member's accumulated contributions and any	5266
applicable amount calculated under section 145.401 of the Revised	5267
Code, shall be paid to the person or persons the member has	5268
designated ~~in writing duly executed on a form provided by the~~	5269
~~public employees retirement board, signed by the member, and filed~~	5270
~~with the board prior to the member's death~~under section 145.431	5271
of the Revised Code. A member may designate two or more persons as	5272
beneficiaries to be paid the accumulated account in a lump sum.	5273
Subject to rules adopted by the public employees retirement board,	5274
a member who designates two or more persons as beneficiaries ~~under~~	5275
~~this division~~ shall specify the percentage of the lump sum that	5276
each beneficiary is to be paid. If the member has not specified	5277
the percentages, the lump sum shall be divided equally among the	5278
beneficiaries.	5279

The last designation of any beneficiary revokes all previous	5280
designations. The member's marriage, divorce, marriage	5281
dissolution, legal separation, or withdrawal of account, or the	5282
birth of the member's child, or adoption of a child, shall	5283
constitute an automatic revocation of the member's previous	5284
designation. If a deceased member was also a member of the school	5285
employees retirement system or the state teachers retirement	5286
system, the beneficiary last established among the systems shall	5287
be the sole beneficiary in all the systems.	5288

If the accumulated contributions of a deceased member are not	5289
claimed by a beneficiary or by the estate of the deceased member	5290
within five years after the death, the contributions shall remain	5291
in the employees' savings fund or may be transferred to the income	5292
fund and thereafter shall be paid to the beneficiary or to the	5293
member's estate upon application to the board. The board shall	5294
formulate and adopt the necessary rules governing all designations	5295
of beneficiaries.	5296

(C) Except as provided in division (C)(1) of section 145.45	5297
of the Revised Code, if a member dies before age and service	5298
retirement and is not survived by a designated beneficiary, the	5299
following shall qualify, with all attendant rights and privileges,	5300
in the following order of precedence, the member's:	5301

(1) Surviving spouse;

5302

(2) Children, share and share alike;

5303

(3) A dependent parent, if that parent takes survivor	5304
benefits under division (B) of section 145.45 of the Revised Code;	5305

(4) Parents, share and share alike;

5306

(5) Estate.

5307

If the beneficiary is deceased or is not located within	5308
ninety days, the beneficiary ceases to qualify for any benefit and	5309
the beneficiary next in order of precedence shall qualify as a	5310
beneficiary.	5311

Any payment made to a beneficiary as determined by the board	5312
shall be a full discharge and release to the board from any future	5313
claims.	5314

(D) Any amount due a retirant or disability benefit recipient	5315
receiving a monthly benefit and unpaid to the retirant or	5316
recipient at death shall be paid to the beneficiary designated in	5317
~~writing on a form approved by the board, signed by the retirant or~~	5318
~~recipient and filed with the board~~under section 145.431 of the	5319
Revised Code. If no such designation has been filed, or if the	5320
designated beneficiary is not located within ninety days, any	5321
amounts payable under this chapter due to the death of the	5322
retirant or recipient shall be paid in the following order of	5323
precedence to the retirant's or recipient's:	5324

(1) Surviving spouse;

5325

(2) Children, share and share alike;

5326

(3) Parents, share and share alike;

5327

(4) Estate.

5328

The payment shall be a full discharge and release to the	5329
board from any future claim for the payment.	5330

Any amount due a beneficiary receiving a monthly benefit and	5331
unpaid to the beneficiary at the beneficiary's death shall be paid	5332
to the beneficiary's estate.	5333

(E) If the validity of marriage cannot be established to the	5334
satisfaction of the board for the purpose of disbursing any amount	5335
due under this section or section 145.45 of the Revised Code, the	5336
board may accept a decision rendered by a court having	5337
jurisdiction in the state in which the member was domiciled at the	5338
time of death that the relationship constituted a valid marriage	5339
at the time of death, or the "spouse" would have the same status	5340
as a widow or widower for purposes of sharing the distribution of	5341
the member's intestate personal property.	5342

(F) As used in this division, "recipient" means an individual	5343
who is receiving or may be eligible to receive an allowance or	5344
benefit under this chapter based on the individual's service to a	5345
public employer.	5346

If the death of a member, a recipient, or any individual who	5347
would be eligible to receive an allowance or benefit under this	5348
chapter by virtue of the death of a member or recipient is caused	5349
by one of the following beneficiaries, no amount due under this	5350
chapter to the beneficiary shall be paid to the beneficiary in the	5351
absence of a court order to the contrary filed with the board:	5352

(1) A beneficiary who is convicted of, pleads guilty to, or	5353
is found not guilty by reason of insanity of a violation of or	5354
complicity in the violation of either of the following:	5355

(a) Section 2903.01, 2903.02, or 2903.03 of the Revised Code;

5356

(b) An existing or former law of any other state, the United	5357
States, or a foreign nation that is substantially equivalent to	5358
section 2903.01, 2903.02, or 2903.03 of the Revised Code.	5359

(2) A beneficiary who is indicted for a violation of or	5360
complicity in the violation of the sections or laws described in	5361
division (F)(1)(a) or (b) of this section and is adjudicated	5362
incompetent to stand trial;	5363

(3) A beneficiary who is a juvenile found to be a delinquent	5364
child by reason of committing an act that, if committed by an	5365
adult, would be a violation of or complicity in the violation of	5366
the sections or laws described in division (F)(1)(a) or (b) of	5367
this section.	5368

Sec. 145.431. Designation of a beneficiary for the purposes	5369
of section 145.40 of the Revised Code or payment of benefits or	5370
return of contributions to the beneficiary of a member	5371
participating in a PERS defined contribution plan shall be made	5372
under this section. A beneficiary shall be designated in writing	5373
duly executed on a form provided by the public employees	5374
retirement board and signed by the member. A designation under	5375
this section is not valid unless received by the board prior to	5376
the member's death.	5377

A beneficiary designation made under this section applies to	5378
the PERS defined benefit plan or PERS defined contribution plan in	5379
which the member participated or, if the member participated in	5380
both the defined benefit plan and one or more defined contribution	5381
plans, to both the defined benefit plan and the defined	5382
contribution plans.	5383

The last designation of any beneficiary revokes all previous	5384
designations. The member's marriage, divorce, marriage	5385
dissolution, legal separation, or withdrawal of account, or the	5386
birth of the member's child, or adoption of a child, shall	5387
constitute an automatic revocation of the member's previous	5388
designation.	5389

Sec. 145.45. Except as provided in division (C)(1) of this	5390
section, in lieu of accepting the payment of the accumulated	5391
account of a member who dies before service retirement, a	5392
beneficiary, as determined in this section or section 145.43 of	5393
the Revised Code, may elect to forfeit the accumulated	5394
contributions and to substitute certain other benefits under	5395
division (A) or (B) of this section.	5396

(A)(1) If a deceased member was eligible for a service	5397
retirement benefit as provided in section 145.33, 145.331, or	5398
~~145.34~~145.332 of the Revised Code, a surviving spouse or other	5399
sole dependent beneficiary may elect to receive a monthly benefit	5400
computed as the joint-survivor benefit designated as "plan DA"	5401
in section 145.46 of the Revised Code, which the member would have	5402
received had the member retired on the last day of the month of	5403
death and had the member at that time selected such joint-survivor	5404
plan. Payment shall begin with the month subsequent to the	5405
member's death, except that a surviving spouse who is less than	5406
sixty-five years old may defer receipt of such benefit. Upon	5407
receipt, the benefit shall be calculated based upon the spouse's	5408
age at the time of first payment, and shall accrue regular	5409
interest during the time of deferral.	5410

(2) Beginning on a date selected by the public employees	5411
retirement board, which shall be not later than July 1, 2004, a	5412
surviving spouse or other sole dependent beneficiary may elect, in	5413
lieu of a monthly payment under division (A)(1) of this section, a	5414
plan of payment consisting of both of the following:	5415

(a) A lump sum in an amount the surviving spouse or other	5416
sole dependent beneficiary designates that constitutes a portion	5417
of the allowance that would be payable under division (A)(1) of	5418
this section;	5419

(b) The remainder of that allowance in monthly payments.

5420

The total amount paid as a lump sum and a monthly benefit	5421
shall be the actuarial equivalent of the amount that would have	5422
been paid had the lump sum not been selected.	5423

The lump sum amount designated by the surviving spouse or	5424
other sole dependent beneficiary under division (A)(2)(a) of this	5425
section shall be not less than six times and not more than	5426
thirty-six times the monthly amount that would be payable to the	5427
surviving spouse or other sole dependent beneficiary under	5428
division (A)(1) of this section and shall not result in a monthly	5429
payment that is less than fifty per cent of that monthly amount.	5430

(B) If a deceased member had, except as provided in division	5431
(B)(7) of this section, at least one and one-half years of	5432
contributing service credit, with, except as provided in division	5433
(B)(7) of this section, at least one-quarter year of contributing	5434
service credit within the two and one-half years prior to the date	5435
of death, or was receiving at the time of death a disability	5436
benefit as provided in section 145.36, 145.361, or 145.37 of the	5437
Revised Code, qualified survivors who elect to receive monthly	5438
benefits shall receive the greater of the benefits provided in	5439
division (B)(1)(a) or (b) and (4) of this section as allocated in	5440
accordance with division (B)(5) of this section.	5441

(1)(a) Number		Or	5442
of Qualified		Monthly	5443
survivors	Annual Benefit as a Per	Benefit	5444
affecting	Cent of Decedent's Final	shall not be	5445
the benefit	Average Salary	less than	5446
1	25%	$250	5447
2	40	400	5448
3	50	500	5449
4	55	500	5450
5 or more	60	500	5451

(b) Years of	Annual Benefit as a Per Cent	5452
Service	of Member's Final Average	5453
	Salary	5454
20	29%	5455
21	33	5456
22	37	5457
23	41	5458
24	45	5459
25	48	5460
26	51	5461
27	54	5462
28	57	5463
29 or more	60	5464

(2) Benefits shall begin as qualified survivors meet	5465
eligibility requirements as follows:	5466

(a) A qualified spouse is the surviving spouse of the	5467
deceased member, who is age sixty-two, or regardless of age meets	5468
one of the following qualifications:	5469

(i) Except as provided in division (B)(7) of this section,	5470
the deceased member had ten or more years of Ohio service credit.	5471

(ii) The spouse is caring for a qualified child.

5472

(iii) The spouse is adjudged physically or mentally	5473
incompetent.	5474

A spouse of a member who died prior to August 27, 1970, whose	5475
eligibility was determined at the member's death, and who is	5476
physically or mentally incompetent on or after August 20, 1976,	5477
shall be paid the monthly benefit which that person would	5478
otherwise receive when qualified by age.	5479

(b) A qualified child is any child of the deceased member who	5480
has never been married and to whom one of the following applies:	5481

(i) Is under age eighteen, or under age twenty-two if the	5482
child is attending an institution of learning or training pursuant	5483
to a program designed to complete in each school year the	5484
equivalent of at least two-thirds of the full-time curriculum	5485
requirements of such institution and as further determined by	5486
board policy;	5487

(ii) Regardless of age, is adjudged physically or mentally	5488
incompetent at the time of the member's death.	5489

(c) A qualified parent is a dependent parent aged sixty-five	5490
or older or regardless of age if physically or mentally	5491
incompetent, a dependent parent whose eligibility was determined	5492
by the member's death prior to August 20, 1976, and who is	5493
physically or mentally incompetent on or after August 20, 1976,	5494
shall be paid the monthly benefit for which that person would	5495
otherwise qualify.	5496

(3) "Physically or mentally incompetent" as used in this	5497
section may be determined by a court of jurisdiction, or by a	5498
physician appointed by the retirement board. Incapability of	5499
making a living because of a physically or mentally disabling	5500
condition shall meet the qualifications of this division.	5501

(4) Benefits to a qualified survivor shall terminate upon	5502
ceasing to meet eligibility requirements as provided in this	5503
division, a first marriage, abandonment, adoption, or during	5504
active military service. Benefits to a deceased member's surviving	5505
spouse that were terminated under a former version of this section	5506
that required termination due to remarriage and were not resumed	5507
prior to September 16, 1998, shall resume on the first day of the	5508
month immediately following receipt by the board of an application	5509
on a form provided by the board.	5510

Upon the death of any subsequent spouse who was a member of	5511
the public employees retirement system, state teachers retirement	5512
system, or school employees retirement system, the surviving	5513
spouse of such member may elect to continue receiving benefits	5514
under this division, or to receive survivor's benefits, based upon	5515
the subsequent spouse's membership in one or more of the systems,	5516
for which such surviving spouse is eligible under this section or	5517
section 3307.66 or 3309.45 of the Revised Code. If the surviving	5518
spouse elects to continue receiving benefits under this division,	5519
such election shall not preclude the payment of benefits under	5520
this division to any other qualified survivor.	5521

Benefits shall begin or resume on the first day of the month	5522
following the attainment of eligibility and shall terminate on the	5523
first day of the month following loss of eligibility.	5524

(5)(a) If a benefit is payable under division (B)(1)(a) of	5525
this section, benefits to a qualified spouse shall be paid in the	5526
amount determined for the first qualifying survivor in division	5527
(B)(1)(a) of this section. All other qualifying survivors shall	5528
share equally in the benefit or remaining portion thereof.	5529

(b) All qualifying survivors shall share equally in a benefit	5530
payable under division (B)(1)(b) of this section, except that if	5531
there is a surviving spouse, the surviving spouse shall receive	5532
not less than the amount determined for the first qualifying	5533
survivor in division (B)(1)(a) of this section.	5534

(6) The beneficiary of a member who is also a member of the	5535
state teachers retirement system or of the school employees	5536
retirement system, must forfeit the member's accumulated	5537
contributions in those systems and in the public employees	5538
retirement system, if the beneficiary takes a survivor benefit.	5539
Such benefit shall be exclusively governed by section 145.37 of	5540
the Revised Code.	5541

(7) The following restrictions do not apply if the deceased	5542
member was contributing toward benefits under ~~division (B) or (C)~~	5543
of section ~~145.33~~145.332 of the Revised Code at the time of	5544
death:	5545

(a) That the deceased member have had at least one and	5546
one-half years of contributing service credit, with at least	5547
one-quarter year of contributing service within the two and	5548
one-half years prior to the date of death;	5549

(b) If the deceased member was killed in the line of duty,	5550
that the deceased member have had ten or more years of Ohio	5551
service credit as described in division (B)(2)(a)(i) of this	5552
section.	5553

For the purposes of division (B)(7)(b) of this section,	5554
"killed in the line of duty," means either that death occurred in	5555
the line of duty or that death occurred as a result of injury	5556
sustained in the line of duty.	5557

(C)(1) Regardless of whether the member is survived by a	5558
spouse or designated beneficiary, if the public employees	5559
retirement system receives notice that a deceased member described	5560
in division (A) or (B) of this section has one or more qualified	5561
children, all persons who are qualified survivors under division	5562
(B) of this section shall receive monthly benefits as provided in	5563
division (B) of this section.	5564

If, after determining the monthly benefits to be paid under	5565
division (B) of this section, the system receives notice that	5566
there is a qualified survivor who was not considered when the	5567
determination was made, the system shall, notwithstanding section	5568
145.561 of the Revised Code, recalculate the monthly benefits with	5569
that qualified survivor included, even if the benefits to	5570
qualified survivors already receiving benefits are reduced as a	5571
result. The benefits shall be calculated as if the qualified	5572
survivor who is the subject of the notice became eligible on the	5573
date the notice was received and shall be paid to qualified	5574
survivors effective on the first day of the first month following	5575
the system's receipt of the notice.	5576

If the retirement system did not receive notice that a	5577
deceased member has one or more qualified children prior to making	5578
payment under section 145.43 of the Revised Code to a beneficiary	5579
as determined by the retirement system, the payment is a full	5580
discharge and release of the system from any future claims under	5581
this section or section 145.43 of the Revised Code.	5582

(2) If benefits under division (C)(1) of this section to all	5583
persons, or to all persons other than a surviving spouse or other	5584
sole beneficiary, terminate, there are no children under the age	5585
of twenty-two years, and the surviving spouse or beneficiary	5586
qualifies for benefits under division (A) of this section, the	5587
surviving spouse or beneficiary may elect to receive benefits	5588
under division (A) of this section. The benefits shall be	5589
effective on the first day of the month immediately following the	5590
termination.	5591

(D) The final average salary used in the calculation of a	5592
benefit payable pursuant to division (A) or (B) of this section to	5593
a survivor or beneficiary of a disability benefit recipient shall	5594
be adjusted for each year between the disability benefit's	5595
effective date and the recipient's date of death by the lesser of	5596
three per cent or the actual average percentage increase in the	5597
consumer price index prepared by the United States bureau of labor	5598
statistics (U.S. city average for urban wage earners and clerical	5599
workers: "all items 1982-84=100").	5600

(E) If the survivor benefits due and paid under this section	5601
are in a total amount less than the member's accumulated account	5602
that was transferred from the public employees' savings fund to	5603
the survivors' benefit fund, then the difference between the total	5604
amount of the benefits paid shall be paid to the beneficiary under	5605
section 145.43 of the Revised Code.	5606

Sec. 145.452. ~~Upon the death of a member prior to receipt of~~	5607
~~service retirement, the surviving spouse or dependents of the~~	5608
~~deceased member shall have the right to purchase any service~~	5609
~~credit the member, had the member not died, would have been~~	5610
~~eligible to purchase under this chapter upon the same terms and~~	5611
~~conditions that the deceased member could have purchased such~~	5612
~~service credit had the member not died~~The surviving spouse of a	5613
member who dies on or after the effective date of this amendment	5614
may continue any service credit purchase the member initiated	5615
before death. A purchase shall be considered to have been	5616
initiated before the member's death if the member made one or more	5617
payments for the purchase before death. ~~Any~~	5618

Any service credit purchased under this section shall be	5619
applied under the provisions of this chapter in the same manner as	5620
it would have been applied had it been purchased by the deceased	5621
member during the deceased member's lifetime.	5622

Sec. 145.46. (A) A retirement allowance calculated under	5623
section 145.33, 145.331, or ~~145.34~~145.332 of the Revised Code	5624
shall be paid as provided in this section. ~~If the member is~~	5625
~~eligible to elect a plan of payment under this section, the~~	5626
~~election shall be made on a form provided by the public employees~~	5627
~~retirement board. A plan of payment elected under this section~~	5628
~~shall be effective only if approved by the board, which shall~~	5629
~~approve it only if it is certified by an actuary engaged by the~~	5630
~~board to be the actuarial equivalent of the retirement allowance~~	5631
~~calculated under section 145.33, 145.331, or 145.34 of the Revised~~	5632
~~Code.~~	5633

~~(B)(1)(a) Except as provided in divisions (B)(1)(b) and (c)~~	5634
~~of this section, a member who retires under section 145.32,~~	5635
~~145.331, or 145.34 of the Revised Code shall receive a retirement~~	5636
~~allowance under "plan A," which shall consist of the actuarial~~	5637
~~equivalent of the member's retirement allowance determined under~~	5638
~~section 145.33, 145.331, or 145.34 of the Revised Code in a lesser~~	5639
~~amount payable for life and one-half of such allowance continuing~~	5640
~~after death to the member's surviving spouse for the life of the~~	5641
~~spouse.~~	5642

~~(b) A member may receive a retirement allowance under a plan~~	5643
~~of payment other than "plan A" if either of the following is the~~	5644
~~case:~~	5645

~~(i) The member is not married or either the member's spouse~~	5646
~~consents in writing to the member's election of a plan of payment~~	5647
~~other than "plan A" or the board waives the requirement that the~~	5648
~~spouse consent;~~	5649

~~(ii) A plan of payment providing for payment in a specified~~	5650
~~portion of the allowance continuing after the member's death to a~~	5651
~~former spouse is required by a court order issued under section~~	5652
~~3105.171 or 3105.65 of the Revised Code or the laws of another~~	5653
~~state regarding division of marital property prior to the~~	5654
~~effective date of the member's retirement.~~	5655

~~(c) If a member is subject to division (B)(1)(b)(ii) of this~~	5656
~~section and the board has received a copy of the order described~~	5657
~~in that division,~~Unless the member is required by division (C) of	5658
this section to select a specified plan of payment, a member may	5659
elect a plan of payment as provided in division (B)(1), (2), or	5660
(3) of this section. An election shall be made at the time the	5661
member makes application for retirement and on a form provided by	5662
the public employees retirement board. A plan of payment elected	5663
under this section shall be effective only if approved by the	5664
board, which shall approve it only if it is certified by an	5665
actuary engaged by the board to be the actuarial equivalent of the	5666
retirement allowance calculated under section 145.33, 145.331, or	5667
145.332 of the Revised Code.	5668

(B) The following plans of payment shall be offered by the	5669
public employees retirement system:	5670

(1) "Plan A," an allowance that consists of the actuarial	5671
equivalent of the member's retirement allowance determined under	5672
section 145.33, 145.331, or 145.332 of the Revised Code in a	5673
lesser amount payable for life and one-half or some other portion	5674
of the allowance continuing after death to the member's designated	5675
beneficiary for the beneficiary's life. The beneficiary shall be	5676
nominated by written designation filed with the retirement board.	5677
The amount payable to the beneficiary shall not exceed the amount	5678
payable to the member.	5679

(2) "Plan B," the member's retirement allowance determined	5680
under section 145.33, 145.331, or 145.332 of the Revised Code;	5681

(3) "Plan C," an allowance that consists of the actuarial	5682
equivalent of the member's retirement allowance determined under	5683
section 145.33, 145.331, or 145.332 of the Revised Code in a	5684
lesser amount payable to the retirant for life and some portion of	5685
the lesser amount continuing after death to two, three, or four	5686
surviving beneficiaries designated at the time of the member's	5687
retirement. Unless required under division (C) of this section, no	5688
portion allocated under this plan of payment shall be less than	5689
ten per cent. The total of the portions allocated shall not exceed	5690
one hundred per cent of the member's lesser allowance.	5691

5692

(1) Subject to division (C)(2) of this section, if the member	5693
is married at the time of retirement, the member shall select	5694
"plan A" and receive a plan of payment that consists of the	5695
actuarial equivalent of the member's retirement allowance	5696
determined under section 145.33, 145.331, or 145.332 of the	5697
Revised Code in a lesser amount payable for life and one-half of	5698
such allowance continuing after death to the member's surviving	5699
spouse for the life of the spouse. A married member is not	5700
required to select this plan of payment if the member's spouse	5701
consents in writing to the member's election of a plan of payment	5702
other than described in this division or the board waives the	5703
requirement that the spouse consent;	5704

(2) If prior to the effective date of the member's	5705
retirement, the public employees retirement board receives a copy	5706
of a court order issued under section 3105.171 or 3105.65 of the	5707
Revised Code or the laws of another state regarding division of	5708
marital property the board shall accept the member's election of a	5709
plan of payment under this section only if the member complies	5710
with both of the following:	5711

~~(i)~~(a) The member elects a plan of payment that is in	5712
accordance with the order ~~described in division (B)(1)(b)(ii) of~~	5713
~~this section~~.	5714

~~(ii)~~(b) If the member is married, the member elects ~~"plan F"~~	5715
"plan C" and designates the member's current spouse as a	5716
beneficiary under that plan unless that spouse consents in writing	5717
to not being designated a beneficiary under any plan of payment or	5718
the board waives the requirement that the current spouse consent.	5719

~~(2)~~(D) An application for retirement shall include an	5720
explanation of all of the following:	5721

~~(a)~~(1) That, if the member is married, unless the spouse	5722
consents to another plan of payment or there is a court order	5723
dividing marital property issued under section 3105.171 or 3105.65	5724
of the Revised Code or the laws of another state regarding the	5725
division of marital property that provides for payment in a	5726
specified amount, the member's retirement allowance will be paid	5727
under "plan A," ~~which consists~~and consist of the actuarial	5728
equivalent of the member's retirement allowance in a lesser amount	5729
payable for life and one-half of the allowance continuing after	5730
death to the surviving spouse for the life of the spouse;	5731

(b) A description of the alternative plans of payment,	5732
including all plans described in ~~divisions~~division (B)~~(2) and (3)~~	5733
of this section, available with the consent of the spouse;	5734

(c) That the spouse may consent to another plan of payment	5735
and the procedure for giving consent;	5736

(d) That consent is irrevocable once notice of consent is	5737
filed with the board.	5738

Consent shall be valid only if it is signed, in writing, and	5739
witnessed by a notary public. The board may waive the requirement	5740
of consent if the spouse is incapacitated or cannot be located or	5741
for any other reason specified by the board. Consent or waiver is	5742
effective only with regard to the spouse who is the subject of the	5743
consent or waiver.	5744

~~(3) A member eligible to elect to receive the member's~~	5745
~~retirement allowance under a plan of payment other than "plan A"~~	5746
~~shall receive the member's retirement allowance under the plan~~	5747
~~described in division (B)(4) of this section or one of the~~	5748
~~following plans:~~	5749

~~(a) "Plan B," which shall consist of an allowance determined~~	5750
~~under section 145.33, 145.331, or 145.34 of the Revised Code;~~	5751

~~(b) "Plan C," which shall consist of the actuarial equivalent~~	5752
~~of the member's retirement allowance determined under section~~	5753
~~145.33, 145.331, or 145.34 of the Revised Code in a lesser amount~~	5754
~~payable for life and one-half or some other portion of the~~	5755
~~allowance continuing after death to the member's sole surviving~~	5756
~~beneficiary designated at the time of the member's retirement,~~	5757
~~provided that the amount payable to the beneficiary does not~~	5758
~~exceed the amount payable to the member;~~	5759

~~(c) "Plan D," which shall consist of the actuarial equivalent~~	5760
~~of the member's retirement allowance determined under section~~	5761
~~145.33, 145.331, or 145.34 of the Revised Code in a lesser amount~~	5762
~~payable for life and continuing after death to a surviving~~	5763
~~beneficiary designated at the time of the member's retirement;~~	5764

~~(d) "Plan E," which shall consist of the actuarial equivalent~~	5765
~~of the member's retirement allowance determined under section~~	5766
~~145.33, 145.331, or 145.34 of the Revised Code in a lesser amount~~	5767
~~payable for a certain period from the member's retirement date as~~	5768
~~elected by the member and approved by the retirement board, and on~~	5769
~~the member's death before the expiration of that certain period~~	5770
~~the member's lesser retirement allowance payable for the remainder~~	5771
~~of that period to the member's surviving designated beneficiary~~	5772
~~nominated by written designation filed with the retirement board.~~	5773

~~Should the nominated beneficiary designated in writing die~~	5774
~~prior to the expiration of the guarantee period, then for the~~	5775
~~purpose of completing payment for the remainder of the guarantee~~	5776
~~period, the present value of such payments shall be paid to the~~	5777
~~estate of the beneficiary last receiving.~~	5778

~~(e) "Plan F," which shall consist of the actuarial equivalent~~	5779
~~of the member's retirement allowance determined under section~~	5780
~~145.33, 145.331, or 145.34 of the Revised Code in a lesser amount~~	5781
~~payable to the retirant for life and some portion of the lesser~~	5782
~~amount continuing after death to two, three, or four surviving~~	5783
~~beneficiaries designated at the time of the member's retirement.~~	5784
~~The portion of the lesser allowance that continues after the~~	5785
~~member's death shall be allocated among the beneficiaries at the~~	5786
~~time of the member's retirement. If the member elects this plan as~~	5787
~~required by a court order issued under section 3105.171 or 3105.65~~	5788
~~of the Revised Code or the laws of another state regarding the~~	5789
~~division of marital property and compliance with the court order~~	5790
~~requires the allocation of a portion less than ten per cent to any~~	5791
~~beneficiary, the member shall allocate a portion less than ten per~~	5792
~~cent to that beneficiary in accordance with that order. In all~~	5793
~~other circumstances, no portion allocated under this plan of~~	5794
~~payment shall be less than ten per cent. The total of the portions~~	5795
~~allocated shall not exceed one hundred per cent of the member's~~	5796
~~lesser allowance.~~	5797

~~(4)(a)~~(E)(1) Beginning on a date selected by the retirement	5798
board, which shall be not later than July 1, 2004, a member may	5799
elect to receive a retirement allowance under a plan of payment	5800
consisting of both a lump sum in an amount the member designates	5801
that constitutes a portion of the member's retirement allowance	5802
under a plan described in division (B) of this section and the	5803
remainder as a monthly allowance under that plan.	5804

The total amount paid as a lump sum and a monthly benefit	5805
shall be the actuarial equivalent of the amount that would have	5806
been paid had the lump sum not been selected.	5807

~~(b)~~(2) The lump sum designated by a member shall be not less	5808
than six times and not more than thirty-six times the monthly	5809
amount that would be payable to the member under the plan of	5810
payment elected under division (B)~~(4)(a)~~ of this section had the	5811
lump sum not been elected and shall not result in a monthly	5812
allowance that is less than fifty per cent of that monthly amount.	5813

~~(5) An election under division (B)(3) or (4) of this section~~	5814
~~shall be made at the time the member makes application for~~	5815
~~retirement.~~	5816

~~(6) A member eligible to elect to receive the member's~~	5817
~~retirement allowance under a plan of payment other than "plan A"~~	5818
~~because the member is unmarried who fails to make an election on~~	5819
~~retirement shall receive the member's retirement allowance under~~	5820
~~"plan B."~~	5821

~~(C)~~(F) If the retirement allowances, as a single life annuity	5822
or payment plan as provided in this section, due and paid are in a	5823
total amount less than (1) the accumulated contributions, and (2)	5824
other deposits made by the member as provided by this chapter,	5825
standing to the credit of the member at the time of retirement,	5826
then the difference between the total amount of the allowances	5827
paid and the accumulated contributions and other deposits shall be	5828
paid to the beneficiary provided under division (D) of section	5829
145.43 of the Revised Code.	5830

~~(D)~~(G)(1) The death of a spouse or any designated beneficiary	5831
following retirement shall cancel the portion of the plan of	5832
payment providing continuing lifetime benefits to the deceased	5833
spouse or deceased designated beneficiary. The retirant shall	5834
receive the actuarial equivalent of the retirant's single lifetime	5835
benefit, as determined by the board, based on the number of	5836
remaining beneficiaries, with no change in the amount payable to	5837
any remaining beneficiary. The change shall be effective the month	5838
following receipt by the board of notice of the death.	5839

(2) On divorce, annulment, or marriage dissolution, a	5840
retirant receiving a retirement allowance under a plan that	5841
provides for continuation of all or part of the allowance after	5842
death for the lifetime of the retirant's surviving spouse may,	5843
with the written consent of the spouse or pursuant to an order of	5844
the court with jurisdiction over the termination of the marriage,	5845
elect to cancel the portion of the plan providing continuing	5846
lifetime benefits to that spouse. The retirant shall receive the	5847
actuarial equivalent of the retirant's single lifetime benefit as	5848
determined by the retirement board based on the number of	5849
remaining beneficiaries, with no change in amount payable to any	5850
remaining beneficiary. The election shall be made on a form	5851
provided by the board and shall be effective the month following	5852
its receipt by the board.	5853

~~(E)~~(H)(1) Following a marriage or remarriage, both of the	5854
following apply:	5855

(a) A retirant who is receiving the retirant's retirement	5856
allowance under "plan B" may elect a new plan of payment under	5857
division (B)(1)~~, (3)(b),~~ or (3)~~(c)~~ of this section based on the	5858
actuarial equivalent of the retirant's single lifetime benefit as	5859
determined by the board.	5860

(b) A retirant who is receiving a retirement allowance	5861
pursuant to a plan of payment providing for payment to a former	5862
spouse pursuant to a court order described in division	5863
~~(B)(1)(b)(ii)~~(C)(2) of this section may elect a new plan of	5864
payment under ~~"plan F"~~"plan C" based on the actuarial equivalent	5865
of the retirant's single lifetime retirement allowance as	5866
determined by the board if the new plan of payment elected does	5867
not reduce the payment to the former spouse.	5868

(2) If the marriage or remarriage occurs on or after ~~the~~	5869
~~effective date of this amendment~~June 6, 2005, the election must	5870
be made not later than one year after the date of the marriage or	5871
remarriage.	5872

The plan elected under this division shall become effective	5873
on the date of receipt by the board of an application on a form	5874
approved by the board, but any change in the amount of the	5875
retirement allowance shall commence on the first day of the month	5876
following the effective date of the plan.	5877

~~(F)~~(I) Any person who, prior to July 24, 1990, selected an	5878
optional plan of payment at retirement that provided for a return	5879
to the single life benefit after the designated beneficiary's	5880
death shall have the retirant's benefit adjusted to the optional	5881
plan equivalent without such provision.	5882

~~(G)~~(J) A retirant's receipt of the first month's retirement	5883
allowance constitutes the retirant's final acceptance of the plan	5884
of payment and may be changed only as provided in this chapter.	5885

Sec. 145.47. (A) Each public employee who is a contributor	5886
to the public employees retirement system shall contribute eight	5887
per cent of the contributor's earnable salary to the employees'	5888
savings fund, except that the public employees retirement board	5889
may raise the contribution rate to a rate not greater than ten per	5890
cent of the employee's earnable salary and except as provided in	5891
division (C) of this section.	5892

(B) The head of each state department, institution, board,	5893
and commission, and the fiscal officer of each local authority	5894
subject to this chapter, shall deduct from the earnable salary of	5895
each contributor on every payroll of such contributor for each	5896
payroll period subsequent to the date of coverage, an amount equal	5897
to the applicable per cent of the contributor's earnable salary.	5898
The head of each state department and the fiscal officer of each	5899
local authority subject to this chapter shall transmit promptly to	5900
the system a report of contributions at such intervals and in such	5901
form as the system shall require, showing thereon all deductions	5902
for the system made from the earnable salary of each contributor	5903
employed, together with warrants, checks, or electronic payments	5904
covering the total of such deductions. A penalty shall be added	5905
when such report, together with warrants, checks, or electronic	5906
payments to cover the total amount due from the earnable salary of	5907
all amenable employees of such employer, is filed thirty or more	5908
days after the last day of such reporting period. The system,	5909
after making a record of all receipts under this division, shall	5910
deposit the receipts with the treasurer of state for use as	5911
provided by this chapter.	5912

(C) Unless the board adopts a rule under division (D) of this	5913
section, the penalty described in division (B) of this section for	5914
failing to timely transmit a report, pay the total amount due, or	5915
both is as follows:	5916

(1) At least one but not more than ten days past due, an	5917
amount equal to one per cent of the total amount due;	5918

(2) At least eleven but not more than thirty days past due,	5919
an amount equal to two and one-half per cent of the total amount	5920
due;	5921

(3) Thirty-one or more days past due, an amount equal to five	5922
per cent of the total amount due.	5923

The penalty described in this division shall be added to and	5924
collected on the next succeeding regular employer billing.	5925
Interest at a rate set by the retirement board shall be charged on	5926
the amount of the penalty in case such penalty is not paid within	5927
thirty days after it is added to the regular employer billing.	5928

(D) The board may adopt rules to establish penalties in	5929
amounts that do not exceed the amounts specified in divisions	5930
(C)(1) to (3) of this section.	5931

(E) In addition to the periodical reports of deduction	5932
required by this section, the fiscal officer of each local	5933
authority subject to this chapter shall submit to the system at	5934
least once each year a complete listing of all noncontributing	5935
appointive employees. Where an employer fails to transmit	5936
contributions to the system, the system may make a determination	5937
of the employees' liability for contributions and certify to the	5938
employer the amounts due for collection in the same manner as	5939
payments due the employers' accumulation fund. Any amounts so	5940
collected shall be held in trust pending receipt of a report of	5941
contributions for such public employees for the period involved as	5942
provided by law and, thereafter, the amount in trust shall be	5943
transferred to the employees' savings fund to the credit of the	5944
employees. Any amount remaining after the transfer to the	5945
employees' savings fund shall be transferred to the employers'	5946
accumulation fund as a credit of such employer.	5947

(F) The fiscal officer of each local authority subject to	5948
this chapter shall require each new contributor to submit to the	5949
system a detailed report of all the contributor's previous service	5950
as a public employee along with such other facts as the board	5951
requires for the proper operation of the system.	5952

(G) Any member who, because of the member's own illness,	5953
injury, or other reason which may be approved by the member's	5954
employer is prevented from making the member's contribution to the	5955
system for any payroll period, may ~~pay such deductions as a back~~	5956
~~payment~~purchase service credit for the period of absence within	5957
one year. Credit shall be purchased under this division in	5958
accordance with section 145.29 of the Revised Code.	5959

Sec. 145.473. (A) ~~Except as provided in division (C) of this~~	5960
~~section, the~~The rate of interest credited to individual accounts	5961
of contributors under sections 145.471 and 145.472 of the Revised	5962
Code shall be as follows:	5963

(1) Four per cent per annum, compounded annually, to and	5964
including December 31, 1955;	5965

(2) Three per cent per annum, compounded annually, from	5966
January 1, 1956, to and including December 31, 1963;	5967

(3) Three and one-quarter per cent per annum, compounded	5968
annually, from January 1, 1964, to and including December 31,	5969
1969;	5970

(4) Four per cent per annum, compounded annually, from	5971
January 1, 1970, to and including the day before December 13,	5972
2000;	5973

(5) An amount determined by the public employees retirement	5974
board that is not greater than six per cent per annum, compounded	5975
annually, on and after December 13, 2000.	5976

(B) ~~Except as provided in division (C) of this section, for~~	5977
For the purpose of determining the reserve value of a	5978
contributor's annuity, the rate of interest shall be as follows:	5979

(1) Four per cent per annum, compounded annually, for	5980
contributors retiring before October 1, 1956;	5981

(2) Three per cent per annum, compounded annually, for	5982
contributors retiring on or after October 1, 1956, but before	5983
January 1, 1964;	5984

(3) Three and one-quarter per cent per annum, compounded	5985
annually, for contributors retiring on or after January 1, 1964,	5986
but before January 1, 1970;	5987

(4) Four per cent per annum, compounded annually, for	5988
contributors retiring on or after January 1, 1970, but before	5989
December 13, 2000;	5990

(5) An amount determined by the board based on the	5991
recommendation of the board's actuary, compounded annually, for	5992
contributors retiring on or after December 13, 2000.	5993

~~(C) For a PERS retirant who is not subject to division (C) of~~	5994
~~section 145.38 of the Revised Code or an other system retirant, as~~	5995
~~those terms are defined in section 145.38 of the Revised Code, or~~	5996
~~a member of the public employees retirement system who retires in~~	5997
~~accordance with section 145.383 of the Revised Code, the rate of~~	5998
~~interest shall be the current actuarial assumption rate of~~	5999
~~interest, as determined by the board's actuary, for the purposes~~	6000
~~described in divisions (A) and (B) of this section.~~	6001

Sec. 145.48. (A) Each employer shall pay to the public	6002
employees retirement system an amount that shall be a certain per	6003
cent of the earnable salary of all contributors to be known as the	6004
"employer contribution," except that the public employees	6005
retirement board may raise the employer contribution to a rate not	6006
to exceed fourteen per cent of the earnable salaries of all	6007
contributors.	6008

(B)(1) On the basis of regular interest and of such mortality	6009
and other tables as are adopted by the public employees retirement	6010
board, the actuary for the board shall determine the liabilities	6011
and employer rates of contribution as follows:	6012

(a) The percentage of earnable salary that, when added to the	6013
per cent of earnable salary contributed by each member, will cover	6014
the costs of benefits to be paid to members for each year of	6015
service rendered;	6016

(b) The percentage of earnable salary that, if paid over a	6017
period of future years, will discharge fully the system's unfunded	6018
actuarial accrued pension liability;	6019

(c) The percentage of earnable salary designated by the board	6020
to pay benefits authorized under section 145.58 of the Revised	6021
Code.	6022

(2) If recognized assets exceed the liabilities for service	6023
previously rendered, on approval of the board, a percentage of	6024
earnable salary may be deducted from the employer rates of	6025
contribution that, if deducted annually over a period of future	6026
years, will eliminate the excess.	6027

~~(C) Any publicly owned utility that became subject to this~~	6028
~~chapter subsequent to July 1, 1938, shall assume before January 1,~~	6029
~~1967, the obligation to pay those of its employees entitled to any~~	6030
~~prior service credit a pension for such service that is in an~~	6031
~~amount at least equal to the pension provided for other public~~	6032
~~employees under this chapter. No employers' contributions for~~	6033
~~prior service credit shall be required of such publicly owned~~	6034
~~utility. The public employees retirement system has no obligation~~	6035
~~to pay a prior service pension to any such employees of a publicly~~	6036
~~owned utility, nor is it obligated to grant any service credit for~~	6037
~~service with such utility prior to May 1, 1942, or prior to the~~	6038
~~date such utility became subject to this chapter, whichever is the~~	6039
~~later date.~~	6040

Sec. 145.483. Upon a finding that an employer failed to	6041
deduct contributions pursuant to section 145.47 of the Revised	6042
Code during a period of employment for which such contributions	6043
were required, a statement of delinquent contributions shall be	6044
prepared showing the amount the contributor and employer would	6045
have contributed had regular payroll deductions been taken. Simple	6046
interest from the end of each calendar year at a rate ~~set by the~~	6047
~~public employees retirement board~~equal to the assumed actuarial	6048
rate of interest at the time the statement is prepared shall be	6049
included. If delinquent contribution statements are ~~not~~ paid ~~not~~	6050
later than thirty days after the end of the month in which they	6051
become an obligation of the employer, any balance remaining shall	6052
be collected with penalties and interest pursuant to section	6053
145.51 of the Revised Code.	6054

Any amount paid under this section by an employer shall be	6055
credited in accordance with section 145.23 of the Revised Code.	6056

Sec. 145.49. (A) Notwithstanding section 145.47 of the	6057
Revised Code:	6058

(1) The public employees retirement system shall be	6059
authorized to calculate the employee contribution rates separately	6060
for those public employees contributing toward benefits as PERS	6061
public safety officers under section ~~145.33~~145.332 of the Revised	6062
Code.	6063

(2) Each public employee contributing toward benefits as PERS	6064
law enforcement officers under section ~~145.33~~145.332 of the	6065
Revised Code shall contribute to the employees' savings fund the	6066
rate determined under division (A)(1) of this section plus an	6067
additional percentage specified by the public employees retirement	6068
board, which shall initially be one per cent of the employee's	6069
earnable salary and shall not be increased to more than two per	6070
cent of the employee's earnable salary.	6071

(B) Notwithstanding section 145.48 of the Revised Code, the	6072
public employees retirement system shall be authorized to	6073
calculate the employer contribution rates separately for those	6074
public employees contributing toward benefits as PERS public	6075
safety officers under section ~~145.33~~145.332 of the Revised Code	6076
or as PERS law enforcement officers under that section, except	6077
that the employer contribution rate shall not exceed eighteen and	6078
one-tenth per cent of the earnable salaries of those employees.	6079

(C) If the public employees retirement board adopts a rule	6080
under division (O) of section 145.332 of the Revised Code under	6081
which service as a public safety officer is treated as service as	6082
a law enforcement officer, the contributions for service as a	6083
public safety officer shall be at the rate for service as a law	6084
enforcement officer.	6085

Sec. 145.51. (A) Each employer described in division (D) of	6086
section 145.01 of the Revised Code shall pay into the employers'	6087
accumulation fund, in monthly installments, an amount certified by	6088
the public employees retirement board, which equals the employer	6089
obligation as described in section 145.12 or 145.69 of the Revised	6090
Code. In addition, the board shall add to the employer billing	6091
next succeeding the amount, with interest, to be paid by the	6092
employer to provide the member with contributing service credit	6093
for the service prior to the date of initial contribution to the	6094
system for which the member has made additional payments, except	6095
payments made pursuant to former section 145.29 or sections 145.28	6096
and ~~145.29~~145.292 of the Revised Code.	6097

(B) Except as provided in section 145.52 of the Revised Code,	6098
all employer obligations described in division (A) of this section	6099
must be received by the public employees retirement system not	6100
later than the thirtieth day after the last day of the calendar	6101
month for which related member contributions are withheld.	6102

(C) Unless the board adopts a rule under division (F) of this	6103
section establishing a different interest rate or penalty,	6104
interest and penalties for failing to pay the employer obligation	6105
when due under division (B) of this section shall be as follows:	6106

(1) Interest, compounded annually and charged monthly, for	6107
each day after the due date that the employer obligation remains	6108
unpaid in an amount equal to six per cent per annum of the past	6109
due amount of the employer obligation and any penalties imposed	6110
under this section;	6111

(2) The penalty for failing to pay the employer obligation	6112
when due under division (B) is as follows:	6113

(a) At least eleven but not more than thirty days past due,	6114
an amount equal to one per cent of the past due obligation;	6115

(b) At least thirty-one but not more than sixty days past	6116
due, an additional amount equal to one and one-half per cent of	6117
the past due obligation;	6118

(c) Sixty-one or more days past due, an additional amount	6119
equal to two and one-half per cent of the past due obligation.	6120

(D) The aggregate of all payments by employers under this	6121
section shall be sufficient, when combined with the amount in the	6122
employers' accumulation fund, to provide amounts payable under	6123
this chapter out of the fund, and if not, the additional amount so	6124
required shall be collected by means of an increased rate per	6125
cent, which shall be certified to such employers by the board.	6126

(E) Upon certification by the board to the director of budget	6127
and management, or to the county auditor, of an amount due from an	6128
employer within any county who is subject to this chapter, by	6129
reason of such employer's delinquency in making payments into the	6130
employers' accumulation fund for past billings, such amount shall	6131
be withheld from such employer from any funds subject to the	6132
control of the director or the county auditor to such employer and	6133
shall be paid to the public employees retirement system.	6134

(F) The board may adopt rules to do any of the following:

6135

(1) Establish interest at a rate that does not exceed the	6136
annual rate described in division (C)(1) of this section;	6137

(2) Establish penalties in amounts that do not exceed the	6138
amounts described in division (C)(2) of this section;	6139

(3) Permit the board to lengthen the periods of time or enter	6140
into repayment agreements for employers to comply with divisions	6141
(B) and (C) of this section.	6142

Sec. 145.54. The public employees retirement board shall	6143
estimate annually the amount required to defray the expenses of	6144
the administration of the public employees retirement system in	6145
the ensuing year. If in the judgment of the board, as evidenced by	6146
a resolution of that board in its minutes, the amount in the	6147
income fund exceeds the amount necessary to cover the ordinary	6148
requirements of that fund, the board may transfer to the expense	6149
fund such excess amount not exceeding the entire amount required	6150
to cover the expenses as estimated for the year. ~~The~~If the amount	6151
in the expense fund, including any amount transferred from the	6152
income fund, is not sufficient to defray the expenses of	6153
administration of the system in the ensuing year, the board may	6154
~~then apportion~~transfer any remaining amount required for the	6155
expense fund ~~for the year then current among contributors. The~~	6156
~~amount so apportioned in any year shall not exceed three dollars~~	6157
~~per contributor~~to that fund from the employer's accumulation	6158
fund.	6159

Sec. 145.56. The right of an individual to a pension, an	6160
annuity, or a retirement allowance itself, the right of an	6161
individual to any optional benefit, any other right accrued or	6162
accruing to any individual, under this chapter, or under any	6163
municipal retirement system established subject to this chapter	6164
under the laws of this state or any charter, the various funds	6165
created by this chapter, or under such municipal retirement	6166
system, and all moneys, investments, and income from moneys or	6167
investments are exempt from any state tax, except the tax imposed	6168
by section 5747.02 of the Revised Code, and are exempt from any	6169
county, municipal, or other local tax, except income taxes imposed	6170
pursuant to section 5748.02, 5748.08, or 5748.09 of the Revised	6171
Code, and, except as provided in sections 145.57, 145.572,	6172
145.573, 145.574, 3105.171, 3105.65, and 3115.32 and Chapters	6173
3119., 3121., 3123., and 3125. of the Revised Code, shall not be	6174
subject to execution, garnishment, attachment, the operation of	6175
bankruptcy or insolvency laws, or other process of law whatsoever,	6176
and shall be unassignable except as specifically provided in this	6177
chapter and sections 3105.171, 3105.65, and 3115.32 and Chapters	6178
3119., 3121., 3123., and 3125. of the Revised Code.	6179

Sec. 145.561. (A) Except as provided in division (B) of this	6180
section and section 145.363, 145.573, or 145.574 of the Revised	6181
Code, the granting of a retirement allowance, annuity, pension, or	6182
other benefit to any person pursuant to action of the public	6183
employees retirement board vests a right in such person, so long	6184
as the person remains the recipient of any benefit of the funds	6185
established by section 145.23 of the Revised Code, to receive such	6186
retirement allowance, annuity, pension, or other benefit at the	6187
rate fixed at the time of granting such retirement allowance,	6188
annuity, pension, or other benefit. Such right shall also be	6189
vested with equal effect in the recipient of a grant heretofore	6190
made from any of the funds named in section 145.23 of the Revised	6191
Code.	6192

(B) This section does not apply to an increase made under	6193
section 145.323 of the Revised Code on or after the effective date	6194
of this amendment.	6195

Sec. 145.563. ~~If the~~Notwithstanding section 145.561 of the	6196
Revised Code:	6197

(A) The public employees retirement system may adjust an	6198
allowance or benefit payable under this chapter if an error	6199
occurred in calculation of the allowance or benefit;	6200

(B) If any person who is a member, former member,	6201
contributor, former contributor, retirant, beneficiary, or	6202
alternate payee, as defined in section 3105.80 of the Revised	6203
Code, is paid any benefit or payment by the public employees	6204
retirement system, including any payment made to a third party on	6205
the person's behalf, to which the person is not entitled, the	6206
benefit or payment shall be repaid to the retirement system by the	6207
person or third party. If the person or third party fails to make	6208
the repayment, the retirement system shall withhold the amount or	6209
a portion of the amount due from any benefit or payment due the	6210
person or the person's beneficiary under this chapter, or may	6211
collect the amount in any other manner provided by law.	6212

Sec. 145.574. Notwithstanding any other provision of this	6213
chapter, any right of a member of the public employees retirement	6214
system to a disability benefit is subject to a forfeiture order	6215
issued under section 2929.194 of the Revised Code.	6216

If the retirement system receives notice under section	6217
2901.431 of the Revised Code that felony charges have been filed	6218
against a member, the retirement system shall not grant the member	6219
a disability benefit unless it determines that the member's	6220
disability was not caused by commission of the felony. If the	6221
member has disability coverage under this chapter or was granted a	6222
disability benefit after the date on which the felony was	6223
committed, the retirement system shall notify the prosecutor who	6224
sent the notice under section 2901.431 of the Revised Code that	6225
the member may be subject to an order of forfeiture under section	6226
2929.194 of the Revised Code.	6227

On receipt under section 2929.194 of the Revised Code of a	6228
journal entry showing an order of forfeiture of any right a member	6229
may have to a disability benefit, the retirement system shall	6230
comply with the order. If a disability benefit was granted prior	6231
to receipt of the order, the retirement system shall terminate the	6232
benefit. Any disability benefit paid to the member prior to its	6233
termination may be recovered in accordance with section 145.563 of	6234
the Revised Code.	6235

Neither this section nor section 2929.194 of the Revised Code	6236
precludes a member from withdrawing the member's accumulated	6237
contributions in accordance with section 145.40 of the Revised	6238
Code if the member is not subject to section 145.572 or 2929.193	6239
of the Revised Code.	6240

Sec. 145.58. (A) ~~As used in this section, "ineligible~~	6241
~~individual" means all of the following:~~	6242

~~(1) A former member receiving benefits pursuant to section~~	6243
~~145.32, 145.33, 145.331, 145.34, or 145.46 of the Revised Code for~~	6244
~~whom eligibility is established more than five years after June~~	6245
~~13, 1981, and who, at the time of establishing eligibility, has~~	6246
~~accrued less than ten years' service credit, exclusive of credit~~	6247
~~obtained pursuant to section 145.297 or 145.298 of the Revised~~	6248
~~Code, credit obtained after January 29, 1981, pursuant to section~~	6249
~~145.293 or 145.301 of the Revised Code, and credit obtained after~~	6250
~~May 4, 1992, pursuant to section 145.28 of the Revised Code;~~	6251

~~(2) The spouse of the former member;~~

6252

~~(3) The beneficiary of the former member receiving benefits~~	6253
~~pursuant to section 145.46 of the Revised Code~~The public	6254
employees retirement board shall adopt rules establishing	6255
eligibility for any coverage provided under this section. The	6256
rules shall base eligibility on years and types of service credit	6257
earned by members. Eligibility determinations shall be made in	6258
accordance with the rules, except that an individual who, as a	6259
result of making a false statement in an attempt to secure a	6260
benefit under this section, is convicted of violating section	6261
2921.13 of the Revised Code is ineligible for coverage.	6262

(B) The ~~public employees retirement~~ board may enter into	6263
agreements with insurance companies, health insuring corporations,	6264
or government agencies authorized to do business in the state for	6265
issuance of a policy or contract of health, medical, hospital, or	6266
surgical benefits, or any combination thereof, for ~~those~~eligible	6267
individuals receiving age and service retirement or a disability	6268
or survivor benefit subscribing to the plan, or for PERS retirants	6269
employed under section 145.38 of the Revised Code, for coverage of	6270
benefits in accordance with division ~~(D)~~(C)(2) of section 145.38	6271
of the Revised Code. Notwithstanding any other provision of this	6272
chapter, the policy or contract may also include coverage for any	6273
eligible individual's spouse and dependent children and for any of	6274
the eligible individual's sponsored dependents as the board	6275
determines appropriate. If all or any portion of the policy or	6276
contract premium is to be paid by any individual receiving age and	6277
service retirement or a disability or survivor benefit, the	6278
individual shall, by written authorization, instruct the board to	6279
deduct the premium agreed to be paid by the individual to the	6280
company, corporation, or agency.	6281

The board may contract for coverage on the basis of part or	6282
all of the cost of the coverage to be paid from appropriate funds	6283
of the public employees retirement system. The cost paid from the	6284
funds of the system shall be included in the employer's	6285
contribution rate provided by sections 145.48 and 145.51 of the	6286
Revised Code. The board may by rule provide coverage to ~~ineligible~~	6287
individuals who are not eligible under the rules adopted under	6288
division (A) of this section if the coverage is provided at no	6289
cost to the retirement system. The board shall not pay or	6290
reimburse the cost for coverage under this section or section	6291
~~145.325~~145.584 of the Revised Code for any ~~ineligible~~such	6292
individual.	6293

The board may provide for self-insurance of risk or level of	6294
risk as set forth in the contract with the companies,	6295
corporations, or agencies, and may provide through the	6296
self-insurance method specific benefits as authorized by rules of	6297
the board.	6298

(C) The board shall, beginning the month following receipt of	6299
satisfactory evidence of the payment for coverage, pay monthly to	6300
each recipient of service retirement, or a disability or survivor	6301
benefit under the public employees retirement system who is	6302
eligible for ~~medical insurance~~ coverage under part B of the	6303
medicare program established under Title XVIII of "The Social	6304
Security Act Amendments of 1965," 79 Stat. 301 (1965), 42 U.S.C.A.	6305
1395j, as amended, an amount determined by the board for such	6306
coverage ~~that is not less than ninety-six dollars and forty cents~~,	6307
except that the board shall make no such payment to any ~~ineligible~~	6308
individual who is not eligible for coverage under the rules	6309
adopted under division (A) of this section or pay an amount that	6310
exceeds the amount paid by the recipient for the coverage.	6311

At the request of the board, the recipient shall certify to	6312
the retirement system the amount paid by the recipient for	6313
coverage described in this division.	6314

(D) The board shall establish by rule requirements for the	6315
coordination of any coverage, payment, or benefit provided under	6316
this section or section ~~145.325~~145.584 of the Revised Code with	6317
any similar coverage, payment, or benefit made available to the	6318
same individual by the Ohio police and fire pension fund, state	6319
teachers retirement system, school employees retirement system, or	6320
state highway patrol retirement system.	6321

(E) The board shall make all other necessary rules pursuant	6322
to the purpose and intent of this section.	6323

~~Sec. 145.325.~~ Sec. 145.584. (A) Except as otherwise provided in	6324
division (B) of this section, the board of the public employees	6325
retirement system shall make available to each retirant or	6326
disability benefit recipient receiving a monthly allowance or	6327
benefit on or after January 1, 1968, who has attained the age of	6328
sixty-five years, and who is not eligible to receive hospital	6329
insurance benefits under the federal old age, survivors, and	6330
disability insurance program, hospital insurance coverage	6331
substantially equivalent to the federal hospital insurance	6332
benefits, Social Security Amendments of 1965, 79 Stat. 291, 42	6333
U.S.C.A. 1395c, as amended. This coverage shall also be made	6334
available to the spouse, widow, or widower of such retirant or	6335
disability benefit recipient provided such spouse, widow, or	6336
widower has attained age sixty-five and is not eligible to receive	6337
hospital insurance benefits under the federal old age, survivors,	6338
and disability insurance program. The widow or widower of a	6339
retirant or disability benefit recipient shall be eligible for	6340
such coverage only if he or she is the recipient of a monthly	6341
allowance or benefit from this system. One-half of the cost of the	6342
premium for the spouse shall be paid from the appropriate funds of	6343
the public employees retirement system and one-half by the	6344
recipient of the allowance or benefit.	6345

The cost of such coverage, paid from the funds of the system,	6346
shall be included in the employer's rate provided by section	6347
145.48 of the Revised Code. The retirement board is authorized to	6348
make all necessary rules pursuant to the purpose and intent of	6349
this section, and shall contract for such coverage as provided in	6350
section 145.58 of the Revised Code.	6351

(B) The board need not make the hospital insurance coverage	6352
described in division (A) of this section available to any person	6353
for whom it is prohibited by section 145.58 of the Revised Code	6354
from paying or reimbursing the premium cost of such insurance.	6355

Sec. 145.62. Subject to rules adopted by the public	6356
employees retirement system under section 145.09 of the Revised	6357
Code, a contributor participating in the PERS defined benefit plan	6358
or contributing under section 145.38 or 145.383 of the Revised	6359
Code may deposit additional amounts in the employees' savings fund	6360
established under section 145.23 of the Revised Code. The	6361
additional deposits may be made either directly to the retirement	6362
system or by payroll deduction under section 145.294 of the	6363
Revised Code. The contributor shall receive in return either an	6364
annuity, as provided in section 145.64 of the Revised Code, having	6365
a reserve equal to the amount deposited or a refund under section	6366
145.63 of the Revised Code of the amount deposited, together with	6367
earnings on the amount deposited as the public employees	6368
retirement board determines appropriate. If the annuity under the	6369
plan of payment selected by the contributor under section 145.64	6370
of the Revised Code would be less than twenty-five dollars per	6371
month, the contributor shall receive the refund.	6372

Sec. 145.63. (A) Deposits under section 145.62 of the Revised	6373
Code, together with earnings, shall be refunded under whichever of	6374
the following circumstances applies:	6375

(1) On withdrawal of accumulated contributions as provided in	6376
sections 145.40 and 145.43 of the Revised Code or payment of a	6377
lump sum under section 145.384 of the Revised Code;	6378

(2) On the death of a contributor prior to retirement;

6379

(3) In the case of a contributor participating in the PERS	6380
defined benefit plan, on application of the contributor prior to	6381
attaining eligibility for age and service retirement;	6382

(4) In the case of a contributor under section 145.38 or	6383
145.383 of the Revised Code, on application of the contributor	6384
prior to attaining eligibility for a benefit under section 145.384	6385
of the Revised Code;	6386

(5) In the case of a contributor who has attained eligibility	6387
for an age and service retirement benefit or a benefit under	6388
section 145.384 of the Revised Code and is not married, on	6389
application;	6390

(6) In the case of a contributor who has attained eligibility	6391
for an age and service retirement benefit or a benefit under	6392
section 145.384 of the Revised Code and is married, on application	6393
if the application is accompanied by a statement of the spouse's	6394
consent to the refund or the public employees retirement board	6395
waives the requirement that the spouse consent;	6396

(7) In the case of a contributor who has attained eligibility	6397
for an age and service retirement benefit as a consequence of	6398
section 145.37 of the Revised Code and will receive a retirement	6399
or disability benefit from the state teachers retirement system or	6400
school employees retirement system but has not requested a	6401
transfer of funds to the other retirement system under division	6402
(B)(1)(g) of section 145.37 of the Revised Code, at the time the	6403
public employees retirement system pays to the other retirement	6404
system the amount required under division (B)(1)(e) of that	6405
section.	6406

(B) The consent of a spouse to a refund is valid only if it	6407
is in writing, signed, and witnessed by a notary public.	6408

The board may waive the requirement of consent if the spouse	6409
is incapacitated or cannot be located or for any other reason	6410
specified by the board. Consent or waiver is effective only with	6411
regard to the spouse who is the subject of the consent or waiver.	6412

Sec. 145.64. (A) As used in this section:

6413

~~(1) "Plan A" means a plan of payment that is the same as~~,	6414
"plan A," ~~as described in section 145.46 of the Revised Code.~~	6415

~~(2) "Plan B" means a plan of payment that is the same as~~	6416
"plan B," ~~as described in section 145.46 of the Revised Code.~~	6417

~~(3) "Plan F" means a plan of payment that is the same as~~and	6418
"plan FC" have the same meanings as ~~described~~ in division (B) of	6419
section 145.46 of the Revised Code.	6420

(B) A contributor who has not received a refund of amounts	6421
deposited under section 145.62 or the version of division (C) of	6422
section 145.23 of the Revised Code as it existed immediately prior	6423
to ~~the effective date of this section~~April 6, 2007, may file an	6424
application with the public employees retirement system for a	6425
benefit under this section. ~~The~~Except as provided in section	6426
145.62 of the Revised Code, the benefit shall consist of an	6427
annuity ~~under a plan of payment~~that shall be paid as described in	6428
division ~~(A)~~(B) of ~~this~~ section 145.46 of the Revised Code.	6429

The application must be filed prior to receipt of an age and	6430
service retirement benefit from the retirement system or, in the	6431
case of a contributor under section 145.38 or 145.383 of the	6432
Revised Code, a benefit under section 145.384 of the Revised Code.	6433
A contributor who fails to file an application for a benefit under	6434
this section prior to receipt of an age and service retirement	6435
benefit or a benefit under section 145.384 of the Revised Code	6436
shall be eligible only for a refund under section 145.63 of the	6437
Revised Code.	6438

(1) Except as provided in division (B)(2) of this section, a	6439
contributor who is married at the time of application for a	6440
benefit under this section shall receive the benefit as a monthly	6441
annuity under "plan A."	6442

(2) A contributor may receive a benefit under this section	6443
under a plan of payment other than "plan A" if one of the	6444
following is the case:	6445

(a) The contributor is unmarried;

6446

(b) The benefit application is accompanied by a statement of	6447
the spouse's consent to another plan of payment or the public	6448
employees retirement board waives the requirement that the spouse	6449
consent;	6450

(c) A plan of payment providing for payment in a specified	6451
portion of the benefit continuing after the member's death to a	6452
former spouse is required by a court order issued under section	6453
3105.171 or 3105.65 of the Revised Code or the laws of another	6454
state regarding division of marital property prior to the	6455
effective date of the contributor's benefit application.	6456

(3) If a member is subject to division (B)(2)(c) of this	6457
section and the board has received a copy of the order described	6458
in that division, the board shall accept the member's election of	6459
a plan of payment under this section only if the member complies	6460
with both of the following:	6461

(a) The member elects a plan of payment that is in accordance	6462
with the order described in division (B)(2)(c) of this section.	6463

(b) If the member is married, the member elects "plan FC"	6464
and designates the member's current spouse as a beneficiary under	6465
that plan unless that spouse consents in writing to not being	6466
designated a beneficiary or the board waives the requirement that	6467
the current spouse consent.	6468

(4) The contributor shall designate the beneficiary or	6469
beneficiaries under a plan of payment in writing at the time the	6470
plan is selected.	6471

(5) A plan of payment, other than "plan B," shall be	6472
effective only if it is certified by an actuary engaged by the	6473
board to be the actuarial equivalent of the contributor's "plan B"	6474
annuity and is approved by the board.	6475

(6) A contributor who is eligible to select a plan of payment	6476
under this section but fails to do so shall receive a monthly	6477
annuity under the plan of payment specified in rules adopted by	6478
the board.	6479

(C) An annuity shall be paid monthly and consist of an amount	6480
determined by the public employees retirement system or the	6481
actuarial equivalent of that amount paid ~~under a plan of payment~~	6482
as described in this section.	6483

Payments shall begin on whichever of the following applies:

6484

(1) ~~The~~Except as provided in this division, the later of the	6485
effective date of the contributor's age and service retirement	6486
allowance;or the first day of the month following the latest of:	6487

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

6488

(b) The attainment of the member's applicable minimum age or	6489
service credit eligibility as provided in section 145.32 of the	6490
Revised Code;	6491

(c) The first day of the month following receipt of an	6492
application for an age and service retirement benefit.	6493

(2) The later of the effective date of a benefit under	6494
section 145.384 of the Revised Code;or the first day of the month	6495
following the latest of:	6496

(a) The last day for which compensation for employment	6497
subject to section 145.38 or 145.383 of the Revised Code was paid;	6498

(b) Attainment by the contributor of age sixty-five;

6499

(c) If the contributor was previously employed as described	6500
in division (E)(3) of section 145.384 of the Revised Code,	6501
completion of a period of twelve months since the effective date	6502
of the last benefit under that section;	6503

(d) Receipt of an application for a benefit under section	6504
145.384 of the Revised Code.	6505

(3) The later of the effective date of disability retirement	6506
under section 145.36 of the Revised Code or the date on which a	6507
member receiving disability retirement ~~under section 145.36 of the~~	6508
~~Revised Code~~ would have been eligible for an age and service	6509
retirement allowance.	6510

(4) The first day of the month following the last day for	6511
which a disability allowance is paid under section 145.361 of the	6512
Revised Code.	6513

(D) The consent of a spouse to a plan of payment other than	6514
"plan A" is valid only if it is in writing, signed, and witnessed	6515
by a notary public. The board may waive the requirement of consent	6516
if the spouse is incapacitated or cannot be located or for any	6517
other reason specified by the board. Consent or waiver is	6518
effective only with regard to the spouse who is the subject of the	6519
consent or waiver.	6520

(E)(1) The death of a spouse or any designated beneficiary	6521
shall cancel the portion of an annuity providing continuing	6522
lifetime payments to the deceased spouse or deceased designated	6523
beneficiary. The contributor shall receive the actuarial	6524
equivalent of the contributor's remaining annuity, as determined	6525
by the board, based on the number of remaining beneficiaries, with	6526
no change in the amount payable to any remaining beneficiary. ~~The~~	6527
If the retirement system receives notice of the death on or after	6528
the effective date of this amendment, the change shall be	6529
effective the month following ~~receipt by the board of notice of~~	6530
the date of death.	6531

(2) On divorce, annulment, or marriage dissolution, a	6532
contributor receiving an annuity under a plan of payment that	6533
provides for continuation of all or part of the annuity after	6534
death for the lifetime of the contributor's surviving spouse may,	6535
with the written consent of the spouse or pursuant to an order of	6536
the court with jurisdiction over the termination of the marriage,	6537
elect to cancel the portion of the plan providing continuing	6538
lifetime payments to that spouse. The contributor shall receive	6539
the actuarial equivalent of the contributor's annuity as	6540
determined by the board based on the number of remaining	6541
beneficiaries, with no change in the amount payable to any	6542
remaining beneficiary. The election shall be made on a form	6543
provided by the board and shall be effective the month following	6544
its receipt by the board.	6545

(F)(1) Following a marriage or remarriage, both of the	6546
following apply:	6547

(a) A contributor who is receiving payments under "plan B"	6548
may elect a new plan of payment based on the actuarial equivalent	6549
of the contributor's "plan B" annuity as determined by the board.	6550

(b) A contributor receiving an annuity under this section	6551
pursuant to a plan of payment providing for payment to a former	6552
spouse pursuant to a court order as described in division	6553
(B)(2)(c) of this section may elect a new plan of payment under	6554
"plan FC" based on the actuarial equivalent of the contributor's	6555
benefit as determined by the board if the new plan of payment does	6556
not reduce the payment to the former spouse.	6557

(2) An election under division (F)(1) of this section must be	6558
made not later than one year after the date of the marriage or	6559
remarriage.	6560

The plan elected shall become effective on the date of	6561
receipt by the board of an application on a form approved by the	6562
board, but any change in the amount of the annuity payment shall	6563
commence on the first day of the month following the effective	6564
date of the plan.	6565

(G) If at the time of death a contributor receiving a monthly	6566
annuity under "plan B" has received less than the retirant's	6567
deposits under section 145.62 or the version of division (C) of	6568
section 145.23 of the Revised Code as it existed immediately prior	6569
to ~~the effective date of this section~~April 6, 2007, plus earnings	6570
on those deposits, the difference between the amount received and	6571
the amount of the contributor's deposits plus earnings shall be	6572
paid to the contributor's beneficiary under section 145.65 of the	6573
Revised Code. If any designated beneficiary receiving a monthly	6574
annuity under this section dies and at the time of the	6575
beneficiary's death the amounts paid to the contributor and the	6576
beneficiary are less than the amount of the contributor's deposits	6577
plus earnings on those deposits, the difference between the amount	6578
received by the contributor and the beneficiary and the amount of	6579
the contributor's deposits plus earnings shall be paid to the	6580
beneficiary's estate.	6581

(H) Receipt of the first month's annuity payment constitutes	6582
final acceptance of the plan of payment and may be changed only as	6583
provided in this section.	6584

Sec. 145.813. Each PERS defined contribution plan shall	6585
require the public employees retirement board, or the entity	6586
administering the plan pursuant to a contract with the board, to	6587
cause an individual account to be maintained for each member	6588
participating in the plan. Amounts to be credited ~~to an individual~~	6589
~~account~~under a PERS defined contribution plan may be deposited	6590
into any of the funds created under section 145.23 of the Revised	6591
Code or may be transferred to the entity administering the plan	6592
for ~~deposit into~~the purpose of making distributions from the	6593
member's individual account.	6594

Sec. 145.814. (A) As used in this section:

6595

~~(1) "Additional liability" means an amount that, when added~~	6596
~~to the amount on deposit, will provide the remaining portion of~~	6597
~~the pension reserve for the period of service that corresponds to~~	6598
~~the contributions made by or on behalf of a member.~~	6599

~~(2) "Amount on deposit" means the sum of a member's employee~~	6600
~~and employer contributions and, if applicable, any earnings or~~	6601
~~losses on those contributions.~~	6602

~~(3) "Eligible~~, "eligible member" means a member who was	6603
eligible to make an election under section 145.19 or 145.191 of	6604
the Revised Code, regardless of whether the member elected to	6605
participate in a PERS defined contribution plan.	6606

(B) If permitted to do so by the plan documents for a PERS	6607
defined contribution plan or rules governing the PERS defined	6608
benefit plan, an eligible member may elect, at intervals specified	6609
by the plan document or rules, to participate in a different	6610
defined contribution plan or in the PERS defined benefit plan. The	6611
election is subject to this section and rules adopted by the	6612
public employees retirement board under sections 145.09 and 145.80	6613
of the Revised Code. An election to participate in a different	6614
plan shall be made in writing on a form provided by the public	6615
employees retirement system and filed with the system. The	6616
election shall take effect on the first day of the month following	6617
the date the election is filed and, except as provided in the plan	6618
documents or rules governing the PERS defined benefit plan, is	6619
irrevocable on receipt by the system.	6620

(C)~~(1)~~ Except as provided in division ~~(C)(2)~~(D) of this	6621
section, an election to participate in a different plan shall	6622
apply only to employee and employer contributions made and, if	6623
applicable, service credit earned after the effective date of the	6624
election.	6625

~~(2)~~(D) An eligible member may elect to have the member's	6626
amount on deposit for the prior plan and, if applicable, service	6627
credit earned prior to the effective date of the election	6628
deposited and credited in accordance with the member's new plan if	6629
~~one of the following applies:~~	6630

~~(a) The member, by an election under this section, will cease~~	6631
~~participation in a PERS defined contribution plan that does not~~	6632
~~include definitely determinable benefits.~~	6633

~~(b) The~~the member, by anthe election ~~under division (A) of~~	6634
~~this section~~, will begin participating in the PERS defined benefit	6635
plan or a PERS defined contribution plan with definitely	6636
determinable benefits. The amount on deposit is the amount the	6637
member would be entitled to receive as a refund from the prior	6638
plan if the member ceased to be a public employee.	6639

~~(3)~~ If a member ~~described in division (C)(2) of this section~~	6640
makes the election described in ~~that~~this division and service	6641
credit is transferred, the board's actuary shall determine the	6642
additional liability to the system, if any. IfThe additional	6643
liability is the amount that, when added to the amount on deposit,	6644
will provide the remaining portion of the pension reserve for the	6645
period of the member's service as a public employee in the prior	6646
plan.	6647

If the actuary determines that there is an additional	6648
liability, the member shall elect one of the following:	6649

~~(a)~~(1) To receive the total amount of service credit that the	6650
member would have received had the member been participating in	6651
the new plan, pay to the system an amount equal to the additional	6652
liability;	6653

~~(b) Receive~~(2) To receive an amount of service credit in the	6654
new plan that corresponds to the amount on deposit for the prior	6655
plan.	6656

For each member who makes the election described in this	6657
division ~~(C)(2) of this section~~, the system shall deposit and	6658
credit to the new plan the amount on deposit for the prior plan	6659
and, if applicable, the amount paid by the member. The board may	6660
specify in rules adopted under sections 145.09 and 145.80 of the	6661
Revised Code how service credit in the defined benefit plan may be	6662
converted to amounts on deposit in the defined contribution plan.	6663

Sec. 145.82. (A) Except as provided in divisions (B) and (C)	6664
of this section, sections 145.201 to 145.70 of the Revised Code do	6665
not apply to a PERS defined contribution plan, except that a PERS	6666
defined contribution plan may incorporate provisions of those	6667
sections as specified in the plan document.	6668

(B) The following sections of Chapter 145. of the Revised	6669
Code apply to a PERS defined contribution plan: 145.195, 145.22,	6670
145.221, 145.23, 145.25, 145.26, 145.27, 145.296, 145.38, ~~145.382,~~	6671
~~145.383,~~ 145.384, 145.391, 145.43, 145.431, 145.47, 145.48,	6672
145.483, 145.51, 145.52, 145.53, 145.54, 145.55, 145.56, 145.563,	6673
145.57, 145.571, 145.572, 145.573, 145.574, 145.69, and 145.70 of	6674
the Revised Code.	6675

(C) A PERS defined contribution plan that includes definitely	6676
determinable benefits may incorporate by reference all or part of	6677
sections 145.201 to 145.79 of the Revised Code to allow a member	6678
participating in the plan to purchase service credit or to be	6679
eligible for any of the following:	6680

(1) Retirement, disability, survivor, or death benefits;

6681

(2) Health or long-term care insurance or any other type of	6682
health care benefit;	6683

(3) Additional increases under section 145.323 of the Revised	6684
Code;	6685

(4) A refund of contributions made by or on behalf of a	6686
member.	6687

With respect to the benefits described in division (C)(1) of	6688
this section, the public employees retirement board may establish	6689
eligibility requirements and benefit formulas or amounts that	6690
differ from those of members participating in the PERS defined	6691
benefit plan. With respect to the purchase of service credit by a	6692
member participating in a PERS defined contribution plan, the	6693
board may reduce the cost of the service credit to reflect the	6694
different benefit formula established for the member.	6695

Sec. 145.83. A PERS defined contribution plan may include a	6696
program described in section 145.583 of the Revised Code under	6697
which a ~~participating~~ member participating in the plan is required	6698
to accumulate a portion of the amount contributed under section	6699
145.86 of the Revised Code for the purpose of providing funds to	6700
the member for the payment of health, medical, hospital, surgical,	6701
dental, or vision care expenses, including insurance premiums,	6702
deductible amounts, or copayments as described in that section.	6703
~~The program may be a voluntary employees' beneficiary association,~~	6704
~~as described in section 501(c)(9) of the "Internal Revenue Code of~~	6705
~~1986," 100 Stat. 2085, 26 U.S.C.A. 501(c)(9), as amended; a~~	6706
~~medical savings account; or a similar type of program under which~~	6707
~~an individual may accumulate funds for the purpose of paying such~~	6708
~~expenses. To implement the program, the public employees~~	6709
~~retirement board may enter into agreements with insurance~~	6710
~~companies or other entities authorized to conduct business in this~~	6711
~~state.~~	6712

If a PERS defined contribution plan includes a program	6713
described in this section, the public employees retirement board	6714
shall adopt rules to ~~establish and administer the program. The~~	6715
~~rules shall~~ specify the length of time during which the member	6716
will vest in amounts accumulated on the member's behalf and may	6717
provide for a minimum annual distribution from the accumulated	6718
amount after the member terminates employment in positions subject	6719
to this chapter.	6720

Sec. 145.87. For each member participating in a PERS defined	6721
contribution plan, the public employees retirement system ~~shall~~	6722
may transfer to the employers' accumulation fund a portion of the	6723
employer contribution required under section 145.48 of the Revised	6724
Code. ~~The~~If the public employees retirement board elects to make	6725
a transfer under this section, the portion transferred shall ~~equal~~	6726
not exceed the percentage of earnable salary of members for whom	6727
the contributions are being made that is determined by an actuary	6728
appointed by the ~~public employees retirement~~ board to be necessary	6729
to mitigate any negative financial impact on the system of	6730
members' participation in a plan.	6731

The board ~~shall have prepared annually~~may have prepared, at	6732
intervals determined by the board, an actuarial study to determine	6733
whether ~~the percentage transferred~~a transfer under this section	6734
~~should be changed~~is necessary to reflect a change in the level of	6735
negative financial impact resulting from members' participation in	6736
a plan. The percentage transferred, if any, shall be increased or	6737
decreased to reflect the amount needed to mitigate the negative	6738
financial impact, if any, on the system, as determined by the	6739
study. A change in the percentage transferred shall take effect on	6740
~~the first day of the year following the date the conclusions of~~	6741
~~the study are reported to~~a date determined by the board.	6742

~~The~~If a transfer under this section is made, the system	6743
shall make the transfer ~~required under this section~~ until the	6744
unfunded actuarial accrued liability for all benefits, except	6745
health care benefits provided under section ~~145.325 or~~ 145.58 or	6746
145.584 of the Revised Code and benefit increases to members and	6747
former members participating in the PERS defined benefit plan	6748
granted after September 21, 2000, is fully amortized, as	6749
determined by the annual actuarial valuation prepared under	6750
section 145.22 of the Revised Code.	6751

Sec. 145.92. If a member participating in a PERS defined	6752
contribution plan is married at the time benefits under the plan	6753
are to commence, unless the spouse consents to another plan of	6754
payment or the spouse's consent is waived, the member's ~~retirement~~	6755
~~allowance~~benefit under the plan shall be paid in a lesser amount	6756
payable for life and one-half of ~~the allowance~~that amount	6757
continuing after death to the surviving spouse for the life of the	6758
spouse.	6759

Consent is valid only if it is evidenced by a written	6760
document signed by the spouse and the signature is witnessed by a	6761
notary public. A plan may waive the requirement of consent if the	6762
spouse is incapacitated or cannot be located or for any other	6763
reason specified by the plan or in rules adopted by the public	6764
employees retirement board.	6765

A plan shall waive the requirement of consent if a plan of	6766
payment that provides for payment in a specified portion of the	6767
retirement allowance continuing after the member's death to a	6768
former spouse is required by a court order issued under section	6769
3105.171 or 3105.65 of the Revised Code or laws of another state	6770
regarding division of marital property prior to the effective date	6771
of the member's retirement. If a court order requires this plan of	6772
payment, the member shall be required to annuitize the member's	6773
accumulated amounts in accordance with the order. If the member is	6774
married, the plan of payment selected by the member also shall	6775
provide for payment to the member's current spouse, unless the	6776
current spouse consents in writing to not being designated a	6777
beneficiary under the plan of payment or the current spouse's	6778
consent is waived by reason other than the court order.	6779

Consent or waiver is effective only with regard to the spouse	6780
who is the subject of the consent or waiver.	6781

Sec. 145.95. (A) Subject to division (B) of this section and	6782
sections 145.38, 145.56, 145.57, 145.572, ~~and~~ 145.573, and 145.574	6783
of the Revised Code, the right of a member participating in a PERS	6784
defined contribution plan to any payment or benefit accruing from	6785
contributions made by or on behalf of the member under sections	6786
145.85 and 145.86 of the Revised Code shall vest in accordance	6787
with this section.	6788

A member's right to any payment or benefit that is based on	6789
the member's contributions is nonforfeitable.	6790

A member's right to any payment or benefit that is based on	6791
contributions by the member's employer is nonforfeitable as	6792
specified by the plan selected by the member.	6793

(B) This section does not apply to an increase made under	6794
section 145.323 of the Revised Code on or after the effective date	6795
of this amendment.	6796

Sec. 145.97. Each PERS defined contribution plan shall	6797
permit a member participating in the plan to do all of the	6798
following:	6799

(A) Maintain on deposit with the public employees retirement	6800
system, or the entity administering the plan pursuant to a	6801
contract with the public employees retirement board, any amounts	6802
that have accumulated on behalf of the member;	6803

(B) If the member has withdrawn the amounts described in	6804
division (A) of this section, returns to employment covered under	6805
this chapter, and is participating in a plan that includes	6806
definitely determinable benefits, pay to the system the amounts	6807
withdrawn in accordance with rules adopted under section ~~145.31~~	6808
145.80 of the Revised Code;	6809

(C) Make additional deposits as permitted by the "Internal	6810
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended.	6811

Sec. 742.63. The board of trustees of the Ohio police and	6812
fire pension fund shall adopt rules for the management of the Ohio	6813
public safety officers death benefit fund and for disbursements of	6814
benefits as set forth in this section.	6815

(A) As used in this section:

6816

(1) "Member" means all of the following:

6817

(a) A member of the Ohio police and fire pension fund,	6818
including a member of the fund who has elected to participate in	6819
the deferred retirement option plan established under section	6820
742.43 of the Revised Code or a member of or contributor to a	6821
police or firemen's relief and pension fund established under	6822
former Chapter 521. or 741. of the Revised Code;	6823

(b) A member of the state highway patrol retirement system,	6824
including a member who is participating in the deferred retirement	6825
option plan established under section 5505.50 of the Revised Code;	6826

(c) A member of the public employees retirement system who at	6827
the time of the member's death was one of the following:	6828

(i) A county sheriff or deputy sheriff;

6829

(ii) A full-time regular police officer in a municipal	6830
corporation or township;	6831

(iii) A full-time regular firefighter employed by the state,	6832
an instrumentality of the state, a municipal corporation, a	6833
township, a joint fire district, or another political subdivision;	6834

(iv) A full-time park district ranger or patrol trooper;

6835

(v) A full-time law enforcement officer of the department of	6836
natural resources;	6837

(vi) A full-time department of public safety enforcement	6838
agent;	6839

(vii) A full-time law enforcement officer of parks, waterway	6840
lands, or reservoir lands under the control of a municipal	6841
corporation;	6842

(viii) A full-time law enforcement officer of a conservancy	6843
district;	6844

(ix) A correction officer at an institution under the control	6845
of a county, a group of counties, a municipal corporation, or the	6846
department of rehabilitation and correction;	6847

(x) A state university law enforcement officer;

6848

(xi) An investigator, as defined in section 109.541 of the	6849
Revised Code, or an investigator commissioned as a special agent	6850
of the bureau of criminal identification and investigation.	6851

(xii) A drug agent, as defined in section 145.01 of the	6852
Revised Code.	6853

(d) A member of a retirement system operated by a municipal	6854
corporation who at the time of death was a full-time law	6855
enforcement officer of parks, waterway lands, or reservoir lands	6856
under the control of the municipal corporation.	6857

(2) Notwithstanding section 742.01 of the Revised Code, "fire	6858
or police department" includes a fire department of the state or	6859
an instrumentality of the state or of a municipal corporation,	6860
township, joint fire district, or other political subdivision, the	6861
state highway patrol, a county sheriff's office, the security	6862
force of an institution under the control of the department of	6863
rehabilitation and correction, the security force of a jail or	6864
workhouse under the control of a county, group of counties, or	6865
municipal corporation, the security force of a metropolitan,	6866
county, or township park district, the security force of lands	6867
under the control of the department of natural resources,	6868
department of public safety enforcement agents, the security force	6869
of parks, waterway lands, or reservoir lands under the control of	6870
a municipal corporation, the security force of a conservancy	6871
district, the police department of a township or municipal	6872
corporation, and the police force of a state university.	6873

(3) "Firefighter or police officer" includes a state highway	6874
patrol trooper, a county sheriff or deputy sheriff, a correction	6875
officer at an institution under the control of a county, a group	6876
of counties, a municipal corporation, or the department of	6877
rehabilitation and correction, a police officer employed by a	6878
township or municipal corporation, a firefighter employed by the	6879
state, an instrumentality of the state, a municipal corporation, a	6880
township, a joint fire district, or another political subdivision,	6881
a full-time park district ranger or patrol trooper, a full-time	6882
law enforcement officer of the department of natural resources, a	6883
full-time department of public safety enforcement agent, a	6884
full-time law enforcement officer of parks, waterway lands, or	6885
reservoir lands under the control of a municipal corporation, a	6886
full-time law enforcement officer of a conservancy district, and a	6887
state university law enforcement officer.	6888

(4) "Correction officer" includes, in addition to any	6889
correction officer, any correction corporal, sergeant, lieutenant,	6890
or captain, and the equivalents of all such persons.	6891

(5) "A park district ranger or patrol trooper" means a peace	6892
officer commissioned to make arrests, execute warrants, and	6893
preserve the peace upon lands under the control of a board of park	6894
commissioners of a metropolitan, county, or township park	6895
district.	6896

(6) "Metropolitan, county, or township park district" means a	6897
park district created under the authority of Chapter 511. or 1545.	6898
of the Revised Code.	6899

(7) "Conservancy district" means a conservancy district	6900
created under the authority of Chapter 6101. of the Revised Code.	6901

(8) "Law enforcement officer" means an officer commissioned	6902
to make arrests, execute warrants, and preserve the peace upon	6903
lands under the control of the governmental entity granting the	6904
commission.	6905

(9) "Department of natural resources law enforcement officer"	6906
includes a forest officer designated pursuant to section 1503.29	6907
of the Revised Code, a preserve officer designated pursuant to	6908
section 1517.10 of the Revised Code, a wildlife officer designated	6909
pursuant to section 1531.13 of the Revised Code, a park officer	6910
designated pursuant to section 1541.10 of the Revised Code, and a	6911
state watercraft officer designated pursuant to section 1547.521	6912
of the Revised Code.	6913

(10) "Retirement eligibility date" means the last day of the	6914
month in which a deceased member would have first become eligible,	6915
had the member lived, for the retirement pension provided under	6916
section 145.33, section 145.332, Chapter 521. or 741., division	6917
(C)(1) of section 742.37, or division (A)(1) of section 5505.17 of	6918
the Revised Code or provided by a retirement system operated by a	6919
municipal corporation.	6920

(11) "Death benefit amount" means an amount equal to the full	6921
monthly salary received by a deceased member prior to death, minus	6922
an amount equal to the benefit received under section 145.45,	6923
742.37, 742.3714, or 5505.17 of the Revised Code or the benefit	6924
received from a retirement system operated by a municipal	6925
corporation, plus any increases in salary that would have been	6926
granted the deceased member.	6927

(12) "Killed in the line of duty" means either of the	6928
following:	6929

(a) Death in the line of duty;

6930

(b) Death from injury sustained in the line of duty,	6931
including heart attack or other fatal injury or illness caused	6932
while in the line of duty.	6933

(B) A spouse of a deceased member shall receive a death	6934
benefit each month equal to the full death benefit amount,	6935
provided that the deceased member was a firefighter or police	6936
officer killed in the line of duty and there are no surviving	6937
children eligible for a benefit under this section. The spouse	6938
shall receive this benefit during the spouse's natural life until	6939
the deceased member's retirement eligibility date, on which date	6940
the benefit provided under this division shall terminate.	6941

(C)(1) If a member killed in the line of duty as a	6942
firefighter or police officer is survived only by a child or	6943
children, the child or children shall receive a benefit each month	6944
equal to the full death benefit amount. If there is more than one	6945
surviving child, the benefit shall be divided equally among these	6946
children.	6947

(2) If the death benefit paid under this division is divided	6948
among two or more surviving children and any of the children	6949
become ineligible to continue receiving a portion of the benefit	6950
as provided in division (H) of this section, the full death	6951
benefit amount shall be paid to the remaining eligible child or	6952
divided among the eligible children so that the benefit paid to	6953
the remaining eligible child or children equals the full death	6954
benefit amount.	6955

(3) Notwithstanding divisions (C)(1) and (2) of this section,	6956
all death benefits paid under this division shall terminate on the	6957
deceased member's retirement eligibility date.	6958

(D) If a member killed in the line of duty as a firefighter	6959
or police officer is survived by both a spouse and a child or	6960
children, the monthly benefit provided shall be as follows:	6961

(1)(a) If there is a surviving spouse and one surviving	6962
child, the spouse shall receive an amount each month equal to	6963
one-half of the full death benefit amount and the child shall	6964
receive an amount equal to one-half of the full death benefit	6965
amount.	6966

(b) If the surviving spouse dies or the child becomes	6967
ineligible as provided in division (H) of this section, the	6968
surviving spouse or child remaining eligible shall receive the	6969
full death benefit amount.	6970

(2)(a) If there is a surviving spouse and more than one	6971
child, the spouse shall receive an amount each month equal to	6972
one-third of the full death benefit amount and the children shall	6973
receive an amount, equally divided among them, equal to two-thirds	6974
of the full death benefit amount.	6975

(b) If a spouse and more than one child each are receiving a	6976
death benefit under division (D)(2)(a) of this section and the	6977
spouse dies, the children shall receive an amount each month,	6978
equally divided among them, equal to the full death benefit	6979
amount.	6980

(c) If a spouse and more than one child each are receiving a	6981
benefit under division (D)(2)(a) of this section and any of the	6982
children becomes ineligible to receive a benefit as provided in	6983
division (H) of this section, the spouse and remaining eligible	6984
child or children shall receive a death benefit as follows:	6985

(i) If there are two or more remaining eligible children, the	6986
spouse shall receive an amount each month equal to one-third of	6987
the full death benefit amount and the children shall receive an	6988
amount each month, equally divided among them, equal to two-thirds	6989
of the full death benefit amount;	6990

(ii) If there is one remaining eligible child, the spouse	6991
shall receive an amount each month equal to one-half of the full	6992
death benefit amount, and the child shall receive an amount each	6993
month equal to one-half of the full death benefit amount.	6994

(d) If a spouse and more than one child each are receiving a	6995
benefit under division (D)(2)(a) of this section and all of the	6996
children become ineligible to receive a benefit as provided in	6997
division (H) of this section, the spouse shall receive the full	6998
death benefit amount.	6999

(3) Notwithstanding divisions (D)(1) and (2) of this section,	7000
death benefits paid under this division to a surviving spouse	7001
shall terminate on the member's retirement eligibility date. Death	7002
benefits paid to a surviving child or children shall terminate on	7003
the deceased member's retirement eligibility date unless earlier	7004
terminated pursuant to division (H) of this section.	7005

(E) If a member, on or after January 1, 1980, is killed in	7006
the line of duty as a firefighter or police officer and is	7007
survived by only a parent or parents dependent upon the member for	7008
support, the parent or parents shall receive an amount each month	7009
equal to the full death benefit amount. If there is more than one	7010
surviving parent dependent upon the deceased member for support,	7011
the death benefit amount shall be divided equally among the	7012
surviving parents. On the death of one of the surviving parents,	7013
the full death benefit amount shall be paid to the other parent.	7014

(F)(1) The following shall receive a monthly death benefit	7015
under this division:	7016

(a) A surviving spouse whose benefits are terminated in	7017
accordance with division (B) or (D)(3) of this section on the	7018
deceased member's retirement eligibility date, or who would	7019
qualify for a benefit under division (B) or (D) of this section	7020
except that the deceased member reached the member's retirement	7021
eligibility date prior to the member's death;	7022

(b) A qualified surviving spouse of a deceased member of or	7023
contributor to a police or firemen's relief and pension fund	7024
established under former Chapter 521. or 741. of the Revised Code	7025
who was a firefighter or police officer killed in the line of	7026
duty.	7027

(2) The monthly death benefit shall be one-half of an amount	7028
equal to the monthly salary received by the deceased member prior	7029
to the member's death, plus any salary increases the deceased	7030
member would have received prior to the member's retirement	7031
eligibility date. The benefit shall terminate on the surviving	7032
spouse's death. A death benefit payable under this division shall	7033
be reduced by an amount equal to any allowance or benefit payable	7034
to the surviving spouse under section 742.3714 of the Revised	7035
Code.	7036

(3) A benefit granted to a surviving spouse under division	7037
(F)(1)(b) of this section shall commence on the first day of the	7038
month immediately following receipt by the board of a completed	7039
application on a form provided by the board and any evidence the	7040
board may require to establish that the deceased spouse was killed	7041
in the line of duty.	7042

(G)(1) If there is not a surviving spouse eligible to receive	7043
a death benefit under division (F) of this section or the	7044
surviving spouse receiving a death benefit under that division	7045
dies, a surviving child or children whose benefits under division	7046
(C) or (D) of this section are or have been terminated pursuant to	7047
division (C)(3) or (D)(3) of this section or who would qualify for	7048
a benefit under division (C) or (D) of this section except that	7049
the deceased member reached the member's retirement eligibility	7050
date prior to the member's death shall receive a monthly death	7051
benefit under this division. The monthly death benefit shall be	7052
one-half of an amount equal to the monthly salary received by the	7053
deceased member prior to the member's death, plus any salary	7054
increases the member would have received prior to the member's	7055
retirement eligibility date. If there is more than one surviving	7056
child, the benefit shall be divided equally among the surviving	7057
children.	7058

(2) If two or more surviving children each are receiving a	7059
benefit under this division and any of those children becomes	7060
ineligible to continue receiving a benefit as provided in division	7061
(H) of this section, the remaining eligible child or children	7062
shall receive an amount equal to one-half of the monthly salary	7063
received by the deceased member prior to death, plus any salary	7064
increases the deceased member would have received prior to the	7065
retirement eligibility date. If there is more than one remaining	7066
eligible child, the benefit shall be divided equally among the	7067
eligible children.	7068

(3) A death benefit, or portion of a death benefit, payable	7069
to a surviving child under this division shall be reduced by an	7070
amount equal to any allowance or benefit payable to that child	7071
under section 742.3714 of the Revised Code, but the reduction in	7072
that child's benefit shall not affect the amount payable to any	7073
other surviving child entitled to a portion of the death benefit.	7074

(H) A death benefit paid to a surviving child under division	7075
(C), (D), or (G) of this section shall terminate on the death of	7076
the child or, unless one of the following is the case, when the	7077
child reaches age eighteen:	7078

(1) The child, because of physical or mental disability, is	7079
unable to provide the child's own support, in which case the death	7080
benefit shall terminate when the disability is removed;	7081

(2) The child is unmarried, under age twenty-two, and a	7082
student in and attending an institution of learning or training	7083
pursuant to a program designed to complete in each school year the	7084
equivalent of at least two-thirds of the full-time curriculum	7085
requirements of the institution, as determined by the trustees of	7086
the fund.	7087

(I) Acceptance of any death benefit under this section does	7088
not prohibit a spouse or child from receiving other benefits	7089
provided under the Ohio police and fire pension fund, the state	7090
highway patrol retirement system, the public employees retirement	7091
system, or a retirement system operated by a municipal	7092
corporation.	7093

(J) No person shall receive a benefit under this section if	7094
any of the following occur:	7095

(1) The person fails to exercise the right to a monthly	7096
survivor benefit under division (A) or (B) of section 145.45,	7097
division (D), (E), or (F) of section 742.37, or division (A)(3),	7098
(4), or (7) of section 5505.17 of the Revised Code; to a monthly	7099
survivor benefit from a retirement system operated by a municipal	7100
corporation; or to a retirement allowance under section 742.3714	7101
of the Revised Code.	7102

(2) The member's accumulated contributions under this chapter	7103
or Chapter 145. or 5505. of the Revised Code are refunded unless	7104
the member had been a member of the public employees retirement	7105
system and had fewer than eighteen months of total service credit	7106
at the time of death.	7107

(3) In the case of a full-time park district ranger or patrol	7108
trooper, a full-time law enforcement officer of the department of	7109
natural resources, a full-time law enforcement officer of parks,	7110
waterway lands, or reservoir lands under the control of a	7111
municipal corporation, a full-time law enforcement officer of a	7112
conservancy district, a correction officer at an institution under	7113
the control of a county, group of counties, or municipal	7114
corporation, or a member of a retirement system operated by a	7115
municipal corporation who at the time of the member's death was a	7116
full-time law enforcement officer of parks, waterway lands, or	7117
reservoir lands under the control of the municipal corporation,	7118
the member died prior to April 9, 1981, in the case of a benefit	7119
under division (B), (C), or (D) of this section, or prior to	7120
January 1, 1980, in the case of a benefit under division (E) of	7121
this section.	7122

(4) In the case of a full-time department of public safety	7123
enforcement agent who prior to June 30, 1999, was a liquor control	7124
investigator of the department of public safety, the member died	7125
prior to December 23, 1986;	7126

(5) In the case of a full-time department of public safety	7127
enforcement agent other than an enforcement agent who, prior to	7128
June 30, 1999, was a liquor control investigator, the member died	7129
prior to June 30, 1999.	7130

(K) A surviving spouse whose benefit was terminated prior to	7131
June 30, 1999, due to remarriage shall receive a benefit under	7132
division (B), (D), or (F) of this section beginning on the first	7133
day of the month following receipt by the board of an application	7134
on a form provided by the board. The benefit amount shall be	7135
determined as of that date.	7136

(1) If the benefit will begin prior to the deceased member's	7137
retirement eligibility date, it shall be paid under division (B)	7138
or (D) of this section and shall terminate as provided in those	7139
divisions. A benefit paid to a surviving spouse under division (D)	7140
of this section shall be determined in accordance with that	7141
division, even if benefits paid to surviving children are reduced	7142
as a result.	7143

(2) If the benefit will begin on or after the deceased	7144
member's retirement eligibility date, it shall be paid under	7145
division (F) of this section and shall terminate as provided in	7146
that division. A benefit paid to a surviving spouse under division	7147
(F) of this section shall be determined in accordance with that	7148
division, even if benefits paid to surviving children are	7149
terminated as a result.	7150

Sec. 2329.66. (A) Every person who is domiciled in this	7151
state may hold property exempt from execution, garnishment,	7152
attachment, or sale to satisfy a judgment or order, as follows:	7153

(1)(a) In the case of a judgment or order regarding money	7154
owed for health care services rendered or health care supplies	7155
provided to the person or a dependent of the person, one parcel or	7156
item of real or personal property that the person or a dependent	7157
of the person uses as a residence. Division (A)(1)(a) of this	7158
section does not preclude, affect, or invalidate the creation	7159
under this chapter of a judgment lien upon the exempted property	7160
but only delays the enforcement of the lien until the property is	7161
sold or otherwise transferred by the owner or in accordance with	7162
other applicable laws to a person or entity other than the	7163
surviving spouse or surviving minor children of the judgment	7164
debtor. Every person who is domiciled in this state may hold	7165
exempt from a judgment lien created pursuant to division (A)(1)(a)	7166
of this section the person's interest, not to exceed twenty	7167
thousand two hundred dollars, in the exempted property.	7168

(b) In the case of all other judgments and orders, the	7169
person's interest, not to exceed twenty thousand two hundred	7170
dollars, in one parcel or item of real or personal property that	7171
the person or a dependent of the person uses as a residence.	7172

(2) The person's interest, not to exceed three thousand two	7173
hundred twenty-five dollars, in one motor vehicle;	7174

(3) The person's interest, not to exceed four hundred	7175
dollars, in cash on hand, money due and payable, money to become	7176
due within ninety days, tax refunds, and money on deposit with a	7177
bank, savings and loan association, credit union, public utility,	7178
landlord, or other person, other than personal earnings.	7179

(4)(a) The person's interest, not to exceed five hundred	7180
twenty-five dollars in any particular item or ten thousand seven	7181
hundred seventy-five dollars in aggregate value, in household	7182
furnishings, household goods, wearing apparel, appliances, books,	7183
animals, crops, musical instruments, firearms, and hunting and	7184
fishing equipment that are held primarily for the personal,	7185
family, or household use of the person;	7186

(b) The person's aggregate interest in one or more items of	7187
jewelry, not to exceed one thousand three hundred fifty dollars,	7188
held primarily for the personal, family, or household use of the	7189
person or any of the person's dependents.	7190

(5) The person's interest, not to exceed an aggregate of two	7191
thousand twenty-five dollars, in all implements, professional	7192
books, or tools of the person's profession, trade, or business,	7193
including agriculture;	7194

(6)(a) The person's interest in a beneficiary fund set apart,	7195
appropriated, or paid by a benevolent association or society, as	7196
exempted by section 2329.63 of the Revised Code;	7197

(b) The person's interest in contracts of life or endowment	7198
insurance or annuities, as exempted by section 3911.10 of the	7199
Revised Code;	7200

(c) The person's interest in a policy of group insurance or	7201
the proceeds of a policy of group insurance, as exempted by	7202
section 3917.05 of the Revised Code;	7203

(d) The person's interest in money, benefits, charity,	7204
relief, or aid to be paid, provided, or rendered by a fraternal	7205
benefit society, as exempted by section 3921.18 of the Revised	7206
Code;	7207

(e) The person's interest in the portion of benefits under	7208
policies of sickness and accident insurance and in lump sum	7209
payments for dismemberment and other losses insured under those	7210
policies, as exempted by section 3923.19 of the Revised Code.	7211

(7) The person's professionally prescribed or medically	7212
necessary health aids;	7213

(8) The person's interest in a burial lot, including, but not	7214
limited to, exemptions under section 517.09 or 1721.07 of the	7215
Revised Code;	7216

(9) The person's interest in the following:

7217

(a) Moneys paid or payable for living maintenance or rights,	7218
as exempted by section 3304.19 of the Revised Code;	7219

(b) Workers' compensation, as exempted by section 4123.67 of	7220
the Revised Code;	7221

(c) Unemployment compensation benefits, as exempted by	7222
section 4141.32 of the Revised Code;	7223

(d) Cash assistance payments under the Ohio works first	7224
program, as exempted by section 5107.75 of the Revised Code;	7225

(e) Benefits and services under the prevention, retention,	7226
and contingency program, as exempted by section 5108.08 of the	7227
Revised Code;	7228

(f) Disability financial assistance payments, as exempted by	7229
section 5115.06 of the Revised Code;	7230

(g) Payments under section 24 or 32 of the "Internal Revenue	7231
Code of 1986," 100 Stat. 2085, 26 U.S.C. 1, as amended.	7232

(10)(a) Except in cases in which the person was convicted of	7233
or pleaded guilty to a violation of section 2921.41 of the Revised	7234
Code and in which an order for the withholding of restitution from	7235
payments was issued under division (C)(2)(b) of that section, in	7236
cases in which an order for withholding was issued under section	7237
2907.15 of the Revised Code, in cases in which an order for	7238
forfeiture was issued under division (A) or (B) of section	7239
2929.192 of the Revised Code, and in cases in which an order was	7240
issued under section 2929.193 or 2929.194 of the Revised Code, and	7241
only to the extent provided in the order, and except as provided	7242
in sections 3105.171, 3105.63, 3119.80, 3119.81, 3121.02, 3121.03,	7243
and 3123.06 of the Revised Code, the person's right to a pension,	7244
benefit, annuity, retirement allowance, or accumulated	7245
contributions, the person's right to a participant account in any	7246
deferred compensation program offered by the Ohio public employees	7247
deferred compensation board, a government unit, or a municipal	7248
corporation, or the person's other accrued or accruing rights, as	7249
exempted by section 145.56, 146.13, 148.09, 742.47, 3307.41,	7250
3309.66, or 5505.22 of the Revised Code, and the person's right to	7251
benefits from the Ohio public safety officers death benefit fund;	7252

(b) Except as provided in sections 3119.80, 3119.81, 3121.02,	7253
3121.03, and 3123.06 of the Revised Code, the person's right to	7254
receive a payment under any pension, annuity, or similar plan or	7255
contract, not including a payment from a stock bonus or	7256
profit-sharing plan or a payment included in division (A)(6)(b) or	7257
(10)(a) of this section, on account of illness, disability, death,	7258
age, or length of service, to the extent reasonably necessary for	7259
the support of the person and any of the person's dependents,	7260
except if all the following apply:	7261

(i) The plan or contract was established by or under the	7262
auspices of an insider that employed the person at the time the	7263
person's rights under the plan or contract arose.	7264

(ii) The payment is on account of age or length of service.

7265

(iii) The plan or contract is not qualified under the	7266
"Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C. 1, as	7267
amended.	7268

(c) Except for any portion of the assets that were deposited	7269
for the purpose of evading the payment of any debt and except as	7270
provided in sections 3119.80, 3119.81, 3121.02, 3121.03, and	7271
3123.06 of the Revised Code, the person's right in the assets held	7272
in, or to receive any payment under, any individual retirement	7273
account, individual retirement annuity, "Roth IRA," or education	7274
individual retirement account that provides benefits by reason of	7275
illness, disability, death, or age, to the extent that the assets,	7276
payments, or benefits described in division (A)(10)(c) of this	7277
section are attributable to any of the following:	7278

(i) Contributions of the person that were less than or equal	7279
to the applicable limits on deductible contributions to an	7280
individual retirement account or individual retirement annuity in	7281
the year that the contributions were made, whether or not the	7282
person was eligible to deduct the contributions on the person's	7283
federal tax return for the year in which the contributions were	7284
made;	7285

(ii) Contributions of the person that were less than or equal	7286
to the applicable limits on contributions to a Roth IRA or	7287
education individual retirement account in the year that the	7288
contributions were made;	7289

(iii) Contributions of the person that are within the	7290
applicable limits on rollover contributions under subsections 219,	7291
402(c), 403(a)(4), 403(b)(8), 408(b), 408(d)(3), 408A(c)(3)(B),	7292
408A(d)(3), and 530(d)(5) of the "Internal Revenue Code of 1986,"	7293
100 Stat. 2085, 26 U.S.C.A. 1, as amended.	7294

(d) Except for any portion of the assets that were deposited	7295
for the purpose of evading the payment of any debt and except as	7296
provided in sections 3119.80, 3119.81, 3121.02, 3121.03, and	7297
3123.06 of the Revised Code, the person's right in the assets held	7298
in, or to receive any payment under, any Keogh or "H.R. 10" plan	7299
that provides benefits by reason of illness, disability, death, or	7300
age, to the extent reasonably necessary for the support of the	7301
person and any of the person's dependents.	7302

(11) The person's right to receive spousal support, child	7303
support, an allowance, or other maintenance to the extent	7304
reasonably necessary for the support of the person and any of the	7305
person's dependents;	7306

(12) The person's right to receive, or moneys received during	7307
the preceding twelve calendar months from, any of the following:	7308

(a) An award of reparations under sections 2743.51 to 2743.72	7309
of the Revised Code, to the extent exempted by division (D) of	7310
section 2743.66 of the Revised Code;	7311

(b) A payment on account of the wrongful death of an	7312
individual of whom the person was a dependent on the date of the	7313
individual's death, to the extent reasonably necessary for the	7314
support of the person and any of the person's dependents;	7315

(c) Except in cases in which the person who receives the	7316
payment is an inmate, as defined in section 2969.21 of the Revised	7317
Code, and in which the payment resulted from a civil action or	7318
appeal against a government entity or employee, as defined in	7319
section 2969.21 of the Revised Code, a payment, not to exceed	7320
twenty thousand two hundred dollars, on account of personal bodily	7321
injury, not including pain and suffering or compensation for	7322
actual pecuniary loss, of the person or an individual for whom the	7323
person is a dependent;	7324

(d) A payment in compensation for loss of future earnings of	7325
the person or an individual of whom the person is or was a	7326
dependent, to the extent reasonably necessary for the support of	7327
the debtor and any of the debtor's dependents.	7328

(13) Except as provided in sections 3119.80, 3119.81,	7329
3121.02, 3121.03, and 3123.06 of the Revised Code, personal	7330
earnings of the person owed to the person for services in an	7331
amount equal to the greater of the following amounts:	7332

(a) If paid weekly, thirty times the current federal minimum	7333
hourly wage; if paid biweekly, sixty times the current federal	7334
minimum hourly wage; if paid semimonthly, sixty-five times the	7335
current federal minimum hourly wage; or if paid monthly, one	7336
hundred thirty times the current federal minimum hourly wage that	7337
is in effect at the time the earnings are payable, as prescribed	7338
by the "Fair Labor Standards Act of 1938," 52 Stat. 1060, 29	7339
U.S.C. 206(a)(1), as amended;	7340

(b) Seventy-five per cent of the disposable earnings owed to	7341
the person.	7342

(14) The person's right in specific partnership property, as	7343
exempted by ~~division (B)(3) of section 1775.24 of the Revised Code~~	7344
or the person's rights in a partnership pursuant to section	7345
1776.50 of the Revised Code, except as otherwise set forth in	7346
section 1776.50 of the Revised Code;	7347

(15) A seal and official register of a notary public, as	7348
exempted by section 147.04 of the Revised Code;	7349

(16) The person's interest in a tuition unit or a payment	7350
under section 3334.09 of the Revised Code pursuant to a tuition	7351
payment contract, as exempted by section 3334.15 of the Revised	7352
Code;	7353

(17) Any other property that is specifically exempted from	7354
execution, attachment, garnishment, or sale by federal statutes	7355
other than the "Bankruptcy Reform Act of 1978," 92 Stat. 2549, 11	7356
U.S.C.A. 101, as amended;	7357

(18) The person's aggregate interest in any property, not to	7358
exceed one thousand seventy-five dollars, except that division	7359
(A)(18) of this section applies only in bankruptcy proceedings.	7360

(B) On April 1, 2010, and on the first day of April in each	7361
third calendar year after 2010, the Ohio judicial conference shall	7362
adjust each dollar amount set forth in this section to reflect the	7363
change in the consumer price index for all urban consumers, as	7364
published by the United States department of labor, or, if that	7365
index is no longer published, a generally available comparable	7366
index, for the three-year period ending on the thirty-first day of	7367
December of the preceding year. Any adjustments required by this	7368
division shall be rounded to the nearest twenty-five dollars.	7369

The Ohio judicial conference shall prepare a memorandum	7370
specifying the adjusted dollar amounts. The judicial conference	7371
shall transmit the memorandum to the director of the legislative	7372
service commission, and the director shall publish the memorandum	7373
in the register of Ohio. (Publication of the memorandum in the	7374
register of Ohio shall continue until the next memorandum	7375
specifying an adjustment is so published.) The judicial conference	7376
also may publish the memorandum in any other manner it concludes	7377
will be reasonably likely to inform persons who are affected by	7378
its adjustment of the dollar amounts.	7379

7380

(1) "Disposable earnings" means net earnings after the	7381
garnishee has made deductions required by law, excluding the	7382
deductions ordered pursuant to section 3119.80, 3119.81, 3121.02,	7383
3121.03, or 3123.06 of the Revised Code.	7384

(2) "Insider" means:

7385

(a) If the person who claims an exemption is an individual, a	7386
relative of the individual, a relative of a general partner of the	7387
individual, a partnership in which the individual is a general	7388
partner, a general partner of the individual, or a corporation of	7389
which the individual is a director, officer, or in control;	7390

(b) If the person who claims an exemption is a corporation, a	7391
director or officer of the corporation; a person in control of the	7392
corporation; a partnership in which the corporation is a general	7393
partner; a general partner of the corporation; or a relative of a	7394
general partner, director, officer, or person in control of the	7395
corporation;	7396

(c) If the person who claims an exemption is a partnership, a	7397
general partner in the partnership; a general partner of the	7398
partnership; a person in control of the partnership; a partnership	7399
in which the partnership is a general partner; or a relative in, a	7400
general partner of, or a person in control of the partnership;	7401

(d) An entity or person to which or whom any of the following	7402
applies:	7403

(i) The entity directly or indirectly owns, controls, or	7404
holds with power to vote, twenty per cent or more of the	7405
outstanding voting securities of the person who claims an	7406
exemption, unless the entity holds the securities in a fiduciary	7407
or agency capacity without sole discretionary power to vote the	7408
securities or holds the securities solely to secure to debt and	7409
the entity has not in fact exercised the power to vote.	7410

(ii) The entity is a corporation, twenty per cent or more of	7411
whose outstanding voting securities are directly or indirectly	7412
owned, controlled, or held with power to vote, by the person who	7413
claims an exemption or by an entity to which division (C)(2)(d)(i)	7414
of this section applies.	7415

(iii) A person whose business is operated under a lease or	7416
operating agreement by the person who claims an exemption, or a	7417
person substantially all of whose business is operated under an	7418
operating agreement with the person who claims an exemption.	7419

(iv) The entity operates the business or all or substantially	7420
all of the property of the person who claims an exemption under a	7421
lease or operating agreement.	7422

(e) An insider, as otherwise defined in this section, of a	7423
person or entity to which division (C)(2)(d)(i), (ii), (iii), or	7424
(iv) of this section applies, as if the person or entity were a	7425
person who claims an exemption;	7426

(f) A managing agent of the person who claims an exemption.

7427

(3) "Participant account" has the same meaning as in section	7428
148.01 of the Revised Code.	7429

(4) "Government unit" has the same meaning as in section	7430
148.06 of the Revised Code.	7431

(D) For purposes of this section, "interest" shall be	7432
determined as follows:	7433

(1) In bankruptcy proceedings, as of the date a petition is	7434
filed with the bankruptcy court commencing a case under Title 11	7435
of the United States Code;	7436

(2) In all cases other than bankruptcy proceedings, as of the	7437
date of an appraisal, if necessary under section 2329.68 of the	7438
Revised Code, or the issuance of a writ of execution.	7439

An interest, as determined under division (D)(1) or (2) of	7440
this section, shall not include the amount of any lien otherwise	7441
valid pursuant to section 2329.661 of the Revised Code.	7442

Sec. 2901.431. On the filing of charges against a person who	7443
is a member of the public employees retirement system alleging	7444
that the person committed a felony on or after the effective date	7445
of this section, the prosecutor assigned to the case shall send	7446
written notice to the retirement system that the charges have been	7447
filed. The notice shall specifically identify the person.	7448

For purposes of this section, a violation or offense that	7449
includes as an element a course of conduct or the occurrence of	7450
multiple acts is committed on or after the effective date of this	7451
section if the course of conduct continues, one or more of the	7452
multiple acts occurs, or the person's accountability for the	7453
course of conduct or one or more of the multiple acts continues on	7454
or after that date.	7455

Sec. 2921.13. (A) No person shall knowingly make a false	7456
statement, or knowingly swear or affirm the truth of a false	7457
statement previously made, when any of the following applies:	7458

(1) The statement is made in any official proceeding.

7459

(2) The statement is made with purpose to incriminate	7460
another.	7461

(3) The statement is made with purpose to mislead a public	7462
official in performing the public official's official function.	7463

(4) The statement is made with purpose to secure the payment	7464
of unemployment compensation; Ohio works first; prevention,	7465
retention, and contingency benefits and services; disability	7466
financial assistance; retirement benefits or health care coverage	7467
from a state retirement system; economic development assistance,	7468
as defined in section 9.66 of the Revised Code; or other benefits	7469
administered by a governmental agency or paid out of a public	7470
treasury.	7471

(5) The statement is made with purpose to secure the issuance	7472
by a governmental agency of a license, permit, authorization,	7473
certificate, registration, release, or provider agreement.	7474

(6) The statement is sworn or affirmed before a notary public	7475
or another person empowered to administer oaths.	7476

(7) The statement is in writing on or in connection with a	7477
report or return that is required or authorized by law.	7478

(8) The statement is in writing and is made with purpose to	7479
induce another to extend credit to or employ the offender, to	7480
confer any degree, diploma, certificate of attainment, award of	7481
excellence, or honor on the offender, or to extend to or bestow	7482
upon the offender any other valuable benefit or distinction, when	7483
the person to whom the statement is directed relies upon it to	7484
that person's detriment.	7485

(9) The statement is made with purpose to commit or	7486
facilitate the commission of a theft offense.	7487

(10) The statement is knowingly made to a probate court in	7488
connection with any action, proceeding, or other matter within its	7489
jurisdiction, either orally or in a written document, including,	7490
but not limited to, an application, petition, complaint, or other	7491
pleading, or an inventory, account, or report.	7492

(11) The statement is made on an account, form, record,	7493
stamp, label, or other writing that is required by law.	7494

(12) The statement is made in connection with the purchase of	7495
a firearm, as defined in section 2923.11 of the Revised Code, and	7496
in conjunction with the furnishing to the seller of the firearm of	7497
a fictitious or altered driver's or commercial driver's license or	7498
permit, a fictitious or altered identification card, or any other	7499
document that contains false information about the purchaser's	7500
identity.	7501

(13) The statement is made in a document or instrument of	7502
writing that purports to be a judgment, lien, or claim of	7503
indebtedness and is filed or recorded with the secretary of state,	7504
a county recorder, or the clerk of a court of record.	7505

(14) The statement is made in an application filed with a	7506
county sheriff pursuant to section 2923.125 of the Revised Code in	7507
order to obtain or renew a license to carry a concealed handgun or	7508
is made in an affidavit submitted to a county sheriff to obtain a	7509
temporary emergency license to carry a concealed handgun under	7510
section 2923.1213 of the Revised Code.	7511

(15) The statement is required under section 5743.71 of the	7512
Revised Code in connection with the person's purchase of	7513
cigarettes or tobacco products in a delivery sale.	7514

(B) No person, in connection with the purchase of a firearm,	7515
as defined in section 2923.11 of the Revised Code, shall knowingly	7516
furnish to the seller of the firearm a fictitious or altered	7517
driver's or commercial driver's license or permit, a fictitious or	7518
altered identification card, or any other document that contains	7519
false information about the purchaser's identity.	7520

(C) No person, in an attempt to obtain a license to carry a	7521
concealed handgun under section 2923.125 of the Revised Code,	7522
shall knowingly present to a sheriff a fictitious or altered	7523
document that purports to be certification of the person's	7524
competence in handling a handgun as described in division (B)(3)	7525
of section 2923.125 of the Revised Code.	7526

(D) It is no defense to a charge under division (A)(6) of	7527
this section that the oath or affirmation was administered or	7528
taken in an irregular manner.	7529

(E) If contradictory statements relating to the same fact are	7530
made by the offender within the period of the statute of	7531
limitations for falsification, it is not necessary for the	7532
prosecution to prove which statement was false but only that one	7533
or the other was false.	7534

(F)(1) Whoever violates division (A)(1), (2), (3), (4), (5),	7535
(6), (7), (8), (10), (11), (13), or (15) of this section is guilty	7536
of falsification, a misdemeanor of the first degree.	7537

(2) Whoever violates division (A)(9) of this section is	7538
guilty of falsification in a theft offense. Except as otherwise	7539
provided in this division, falsification in a theft offense is a	7540
misdemeanor of the first degree. If the value of the property or	7541
services stolen is one thousand dollars or more and is less than	7542
seven thousand five hundred dollars, falsification in a theft	7543
offense is a felony of the fifth degree. If the value of the	7544
property or services stolen is seven thousand five hundred dollars	7545
or more and is less than one hundred fifty thousand dollars,	7546
falsification in a theft offense is a felony of the fourth degree.	7547
If the value of the property or services stolen is one hundred	7548
fifty thousand dollars or more, falsification in a theft offense	7549
is a felony of the third degree.	7550

(3) Whoever violates division (A)(12) or (B) of this section	7551
is guilty of falsification to purchase a firearm, a felony of the	7552
fifth degree.	7553

(4) Whoever violates division (A)(14) or (C) of this section	7554
is guilty of falsification to obtain a concealed handgun license,	7555
a felony of the fourth degree.	7556

(G) A person who violates this section is liable in a civil	7557
action to any person harmed by the violation for injury, death, or	7558
loss to person or property incurred as a result of the commission	7559
of the offense and for reasonable attorney's fees, court costs,	7560
and other expenses incurred as a result of prosecuting the civil	7561
action commenced under this division. A civil action under this	7562
division is not the exclusive remedy of a person who incurs	7563
injury, death, or loss to person or property as a result of a	7564
violation of this section.	7565

Sec. 2929.194. (A) This section applies to members of the	7566
public employees retirement system except that in any circumstance	7567
in which either section 2929.192 or 2929.193 of the Revised Code	7568
applies this section does not apply.	7569

(B) If an offender is being sentenced for a felony offense	7570
that was the cause of a physical or mental disability in the	7571
offender and was committed on or after the effective date of this	7572
section while the offender was a member of the public employees	7573
retirement system, in addition to any sanction it imposes under	7574
section 2929.14, 2929.15, 2929.16, 2929.17, or 2929.18 of the	7575
Revised Code but subject to division (C) of this section, the	7576
court shall order forfeiture of any right of the offender to a	7577
disability benefit from the retirement system that is based on the	7578
disability caused by commission of the felony. The forfeiture	7579
shall be ordered regardless of whether a disability benefit has	7580
been requested or granted. A forfeiture ordered under this section	7581
is part of, and shall be included in, the offender's sentence.	7582

(C) Before sentencing in a case in which the sentencing court	7583
is required to order forfeiture under division (B) of this	7584
section, the offender may request a hearing regarding the	7585
forfeiture by delivering a written request for a hearing to the	7586
court. If there is a timely request, the court shall schedule the	7587
hearing to be conducted before sentencing. Not later than ten days	7588
prior to the scheduled date of the hearing, the court shall give	7589
notice of the hearing date to the offender, the prosecutor who	7590
handled the case, and the retirement system. The hearing shall be	7591
limited to determination of whether the offender's disability	7592
resulted from commission of the offense. If a disability benefit	7593
has already been granted, the retirement system shall submit to	7594
the court documentation of the evidence on which the benefit was	7595
granted.	7596

(D) If the offender does not make a timely request for a	7597
hearing or if a hearing is held and the court determines that the	7598
disability resulted from commission of the offense, the court	7599
shall order the forfeiture of any right the offender may have to a	7600
disability benefit from the retirement system that is based on the	7601
disability caused by commission of the felony. If the disability	7602
benefit has already been granted, the court shall order	7603
termination of the benefit. Any disability benefit paid to the	7604
offender prior to its termination may be recovered in accordance	7605
with section 145.563 of the Revised Code.	7606

(E) The court shall send a copy of the journal entry imposing	7607
sentence on the offender to the retirement system.	7608

(F) For purposes of this section, any violation or offense	7609
that includes as an element a course of conduct or the occurrence	7610
of multiple acts is committed on or after the effective date of	7611
this section if the course of conduct continues, one or more of	7612
the multiple acts occurs, or the offender's accountability for the	7613
course of conduct or for one or more of the multiple acts	7614
continues on or after the effective date of this section.	7615

Sec. 3105.80. As used in this section and sections 3105.81	7616
to 3105.90 of the Revised Code:	7617

(A) "Alternate payee" means a party in an action for divorce,	7618
legal separation, annulment, or dissolution of marriage who is to	7619
receive one or more payments from a benefit or lump sum payment	7620
under an order issued under section 3105.171 or 3105.65 of the	7621
Revised Code that is in compliance with sections 3105.81 to	7622
3105.90 of the Revised Code.	7623

(B) "Benefit" means a periodic payment under a pension,	7624
annuity, allowance, or other type of benefit, other than a	7625
survivor benefit, that has been or may be granted to a participant	7626
under sections 742.01 to 742.61 or Chapter 145., 3307., 3309., or	7627
5505. of the Revised Code or any payment that is to be made under	7628
a contract a participant has entered into for the purposes of an	7629
alternative retirement plan. "Benefit" also includes all amounts	7630
received or to be received under a plan of payment elected under	7631
division ~~(B)(4)~~(E)(1) of section 145.46, division (B) of section	7632
3307.60, or division (B)(4) of section 3309.46 of the Revised	7633
Code.	7634

(C) "Lump sum payment" means a payment of accumulated	7635
contributions standing to a participant's credit under sections	7636
742.01 to 742.61 or Chapter 145., 3307., 3309., or 5505. of the	7637
Revised Code or pursuant to a contract a participant has entered	7638
into for the purposes of an alternative retirement plan and any	7639
other payment made or that may be made to a participant under	7640
those sections or chapters on withdrawal of a participant's	7641
contributions. "Lump sum payment" includes a lump sum payment	7642
under section 145.384, 742.26, 3307.352, or 3309.344 of the	7643
Revised Code.	7644

(D) "Participant" means a member, contributor, retirant, or	7645
disability benefit recipient who is or will be entitled to a	7646
benefit or lump sum payment under sections 742.01 to 742.61 or	7647
Chapter 145., 3307., 3309., or 5505. of the Revised Code or an	7648
employee who elects to participate in an alternative retirement	7649
plan under Chapter 3305. of the Revised Code.	7650

(E) "Personal history record" has the same meaning as in	7651
sections 145.27, 742.41, 3305.20, 3307.20, 3309.22, and 5505.04 of	7652
the Revised Code.	7653

(F) "Public retirement program" means the public employees	7654
retirement system, Ohio police and fire pension fund, school	7655
employees retirement system, state teachers retirement system,	7656
state highway patrol retirement system, or an entity providing an	7657
alternative retirement plan under Chapter 3305. of the Revised	7658
Code.	7659

Sec. 3305.06. (A) Each electing employee shall contribute an	7660
amount, which shall be a certain percentage of the employee's	7661
compensation, to the provider of the investment option the	7662
employee has selected. This percentage shall be the percentage the	7663
electing employee would have otherwise been required to contribute	7664
to the state retirement system that applies to the employee's	7665
position, except that the percentage shall not be less than three	7666
per cent. Employee contributions under this division may be	7667
treated as employer contributions in accordance with Internal	7668
Revenue Code 414(h).	7669

(B) Each public institution of higher education employing an	7670
electing employee shall contribute a percentage of the employee's	7671
compensation to the provider of the investment option the employee	7672
has selected. This percentage shall be equal to the percentage	7673
that the public institution of higher education would otherwise	7674
contribute on behalf of that employee to the state retirement	7675
system that would otherwise cover that employee's position, less	7676
the percentage contributed by the public institution of higher	7677
education under division (D) of this section.	7678

(C)(1) In no event shall the amount contributed by the	7679
electing employee pursuant to division (A) of this section and on	7680
the electing employee's behalf pursuant to division (B) of this	7681
section be less than the amount necessary to qualify the plan as a	7682
state retirement system pursuant to Internal Revenue Code	7683
3121(B)(7) and the regulations adopted thereunder.	7684

(2) The full amount of the electing employee's contribution	7685
under division (A) of this section and the full amount of the	7686
employer's contribution made on behalf of that employee under	7687
division (B) of this section shall be paid to the appropriate	7688
provider for application to the electing employee's investment	7689
option.	7690

(D) Each public institution of higher education employing an	7691
electing employee shall contribute on behalf of that employee to	7692
the state retirement system that otherwise applies to the electing	7693
employee's position a percentage of the electing employee's	7694
compensation to mitigate any negative financial impact of the	7695
alternative retirement program on the state retirement system. The	7696
percentage shall be six per cent, except that the percentage may	7697
be adjusted by the Ohio retirement study council to reflect the	7698
determinations made by actuarial studies conducted under section	7699
171.07 of the Revised Code. Any adjustment shall become effective	7700
on the first day of the second month following submission of the	7701
actuarial study to the board of regents under section 171.07 of	7702
the Revised Code.	7703

Contributions on behalf of an electing employee shall	7704
continue in accordance with this division until the occurrence of	7705
the following:	7706

(1) If the electing employee would be subject to Chapter 145.	7707
of the Revised Code had the employee not made an election pursuant	7708
to section 3305.05 or 3305.051 of the Revised Code, until the	7709
unfunded actuarial accrued liability for all benefits, except	7710
health care benefits provided under section ~~145.325 or~~ 145.58 or	7711
145.584 of the Revised Code and benefit increases provided after	7712
March 31, 1997, is fully amortized, as determined by the annual	7713
actuarial valuation prepared under section 145.22 of the Revised	7714
Code;	7715

(2) If the electing employee would be subject to Chapter	7716
3307. of the Revised Code had the employee not made an election	7717
pursuant to section 3305.05 or 3305.051 of the Revised Code, until	7718
the unfunded actuarial accrued liability for all benefits, except	7719
health care benefits provided under section 3307.39 ~~or 3307.61~~ of	7720
the Revised Code and benefit increases provided after March 31,	7721
1997, is fully amortized, as determined by the annual actuarial	7722
valuation prepared under section 3307.51 of the Revised Code;	7723

(3) If the electing employee would be subject to Chapter	7724
3309. of the Revised Code had the employee not made an election	7725
pursuant to section 3305.05 or 3305.051 of the Revised Code, until	7726
the unfunded actuarial accrued liability for all benefits, except	7727
health care benefits provided under section 3309.375 or 3309.69 of	7728
the Revised Code and benefit increases provided after March 31,	7729
1997, is fully amortized, as determined by the annual actuarial	7730
valuation prepared under section 3309.21 of the Revised Code.	7731

Sec. 3307.57. To coordinate and integrate membership in the	7732
state retirement systems, the following provisions apply:	7733

(A) As used in this section:

7734

(1) "Retirement systems" means the public employees	7735
retirement system, state teachers retirement system, and school	7736
employees retirement system.	7737

(2) In addition to the meaning given in section 3307.50 of	7738
the Revised Code, "disability benefit" means "disability benefit"	7739
as defined in sections 145.01 and 3309.01 of the Revised Code.	7740

(B) At the option of a member participating in the plan	7741
described in sections 3307.50 to 3307.79 of the Revised Code,	7742
total contributions and service credit in all retirement systems,	7743
including amounts paid to restore service credit under sections	7744
145.311, 3307.711, and 3309.261 of the Revised Code, shall be used	7745
in determining the eligibility for benefits. If total	7746
contributions and service credit are combined, the following	7747
provisions apply:	7748

(1) Service retirement or a disability benefit is effective	7749
on the first day of the month next following the later of:	7750

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

7751

(b) The attainment of minimum age or service credit for	7752
benefits provided under this section.	7753

(2) "Total service credit" includes the total credit in all	7754
retirement systems except that such credit shall not exceed one	7755
year for any period of twelve months.	7756

(3) ~~In determining eligibility~~Eligibility for a disability	7757
benefit~~, the medical examiner's report to~~shall be determined by	7758
the board of ~~any~~the state retirement system~~, showing~~ that will	7759
calculate and pay the ~~member's disability incapacitates the member~~	7760
~~for the performance of duty, may~~benefit, as provided in division	7761
(B)(4) of this section. The state retirement system calculating	7762
and paying the disability benefit shall certify the determination	7763
to the board of each other state retirement system in which the	7764
member has service credit and shall be accepted by that board as	7765
sufficient for granting a disability benefit.	7766

(4) The board of the state retirement system in which the	7767
member had the greatest service credit, without adjustment, shall	7768
~~determine~~calculate and pay the total benefit. If the member's	7769
credit is equal in two or more retirement systems, the system	7770
having the member's largest total contributions shall ~~determine~~	7771
calculate and pay the total benefit.	7772

(5) In determining the total credit to be used in calculating	7773
a benefit, credit shall not be reduced below that certified by the	7774
system or systems transferring credit, except that such total	7775
combined service credit shall not exceed one year of credit for	7776
any one "year" as defined in the statute governing the system	7777
making the calculation.	7778

(6)(a) The retirement system ~~determining~~calculating and	7779
paying the benefit shall receive from the other system or systems	7780
~~the member's refundable account at retirement or the effective~~	7781
~~date of a disability benefit plus an amount from the employers'~~	7782
~~trust fund equal to the member's refundable account less interest~~	7783
~~credited under section 145.471, 145.472, or 3307.563 of the~~	7784
~~Revised Code. If applicable, the retirement system determining and~~	7785
~~paying the benefit shall receive from the public employees~~	7786
~~retirement system a portion of the amount paid on behalf of the~~	7787
~~member by an employer under section 145.483 of the Revised Code.~~	7788
~~The portion shall equal the product obtained by multiplying by two~~	7789
~~the amount the member would have contributed during the period the~~	7790
~~employer failed to deduct contributions, as described in section~~	7791
~~145.483 of the Revised Code~~all of the following for each year of	7792
service:	7793

(i) The amount contributed by the member, or, in the case of	7794
service credit purchased by the member, paid by the member, that	7795
is attributable to the year of service;	7796

(ii) An amount equal to the lesser of the employer's	7797
contributions made on behalf of the member to the retirement	7798
system for that year of service or the amount that would have been	7799
contributed by the employer for the service had the member been a	7800
member of the state teachers retirement system at the time the	7801
credit was earned;	7802

(iii) If applicable, an amount equal to the amount paid on	7803
behalf of the member by an employer under section 145.483 of the	7804
Revised Code;	7805

(iv) Interest on the amounts specified in divisions	7806
(B)(6)(a)(i), (ii), and (iii) of this section at the actuarial	7807
assumption rate of the retirement system determining and paying	7808
the benefit.	7809

~~(a)~~(b) The annuity rates and mortality tables of the	7810
retirement system making the calculation and paying the benefit	7811
shall be applicable.	7812

~~(b)~~(c) Deposits made for the purchase of additional income,	7813
with guaranteed interest, upon the member's request, shall be	7814
transferred to the retirement system paying the regular benefit.	7815
The return upon such deposits shall be that offered by the	7816
retirement system making the calculation and paying the regular	7817
benefit.	7818

(C) A person receiving a benefit under this section, who	7819
accepts employment amenable to coverage in any retirement system	7820
that participated in the person's combined benefit, shall be	7821
subject to the applicable provisions of law governing such	7822
re-employment.	7823

If a retirant should be paid any amount to which the retirant	7824
is not entitled under the applicable provisions of law governing	7825
such re-employment, such amount shall be recouped by the	7826
retirement system paying such benefit by utilizing any recovery	7827
procedure available under the law of the retirement system	7828
covering such re-employment.	7829

Sec. 3309.312. (A) Not later than ninety days after	7830
September 16, 1998, a member who, on September 16, 1998, is	7831
employed full time pursuant to section 3345.04 of the Revised Code	7832
by the university of Akron as a state university law enforcement	7833
officer may elect to transfer to the public employees retirement	7834
system in accordance with this section. An election shall be made	7835
by giving notice to the school employees retirement system on a	7836
form provided by the school employees retirement board and shall	7837
be irrevocable.	7838

(B) When a member makes the election described in this	7839
section, the school employees retirement system shall notify the	7840
public employees retirement system. The school employees	7841
retirement system shall transfer all of the member's service	7842
credit to the public employees retirement system and shall certify	7843
to the public employees retirement system a copy of the member's	7844
records of service and contributions. For each year or portion of	7845
a year of credit, the school employees retirement system shall	7846
transfer to the public employees retirement system all of the	7847
following:	7848

(1) An amount equal to the accumulated contributions standing	7849
to the member's credit;	7850

(2) An amount equal to the total employer contributions paid	7851
on behalf of the member;	7852

(3) Any amount paid by the member or employer to the school	7853
employees retirement system for the purchase of service credit.	7854

At the request of the public employees retirement system, the	7855
employer of a member who makes an election under this section	7856
shall certify to the public employees retirement system the	7857
member's salary.	7858

(C) A member who elects to transfer to the public employees	7859
retirement system under this section shall make contributions and	7860
receive benefits in accordance with ~~divisions (B) to (F) of~~	7861
section ~~145.33~~145.332 of the Revised Code.	7862

(D) A member who fails to make an election in accordance with	7863
this section shall remain a member of the school employees	7864
retirement system.	7865

Sec. 3309.35. (A) As used in this section:

7866

(1) "State retirement system" means the public employees	7867
retirement system, state teachers retirement system, or school	7868
employees retirement system.	7869

(2) "Total service credit" means all service credit earned in	7870
all state retirement systems, except credit for service subject to	7871
section 3309.341 of the Revised Code. Total service credit shall	7872
not exceed one year of credit for any twelve-month period.	7873

(3) In addition to the meaning given in division (O) of	7874
section 3309.01 of the Revised Code, "disability benefit" means	7875
"disability benefit" as defined in sections 145.01 and 3307.01 of	7876
the Revised Code.	7877

(B) To coordinate and integrate membership in the state	7878
retirement systems, at the option of a member, total contributions	7879
and service credit in all state retirement systems, including	7880
amounts paid to restore service credit under sections 145.311,	7881
3307.711, and 3309.261 of the Revised Code, shall be used in	7882
determining the eligibility and total retirement or disability	7883
benefit payable. When total contributions and service credit are	7884
so combined, the following provisions apply:	7885

(1) Service and commuted service retirement or a disability	7886
benefit is effective no sooner than the first day of the month	7887
next following the last day of employment for which compensation	7888
was paid. If the application is filed after that date, the board	7889
may retire the member on the first day of the month next following	7890
the last day of employment for which compensation was paid.	7891

(2) ~~In determining eligibility~~Eligibility for a disability	7892
benefit~~, the medical examiner's report to~~shall be determined by	7893
the ~~retirement~~ board of ~~any~~the state retirement system~~, showing~~	7894
that will calculate and pay the ~~member's disability incapacitates~~	7895
~~the member for the performance of duty, may~~benefit, as provided	7896
in division (B)(3) of this section. The state retirement system	7897
calculating and paying the disability benefit shall certify the	7898
determination to the board of each other state retirement system	7899
in which the member has service credit and shall be accepted by	7900
~~the state retirement boards~~that board as sufficient for granting	7901
a disability benefit.	7902

(3) The board of the state retirement system in which the	7903
member had the greatest service credit, without adjustment, shall	7904
~~determine~~calculate and pay the total retirement or disability	7905
benefit. Where the member's credit is equal in two or more state	7906
retirement systems, the system having the largest total	7907
contributions of the member shall ~~determine~~calculate and pay the	7908
total benefit.	7909

(4) In determining the total credit to be used in calculating	7910
a retirement allowance or disability benefit, credit shall not be	7911
reduced below that certified by the system or systems transferring	7912
credit, except that such total combined service credit shall not	7913
exceed one year of credit for any one "year" as defined in the law	7914
of the system making the calculation.	7915

(5)(a) The state retirement system ~~determining~~calculating	7916
and paying a retirement or disability benefit shall receive from	7917
the other system or systems ~~the member's refundable account at~~	7918
~~retirement or the effective date of a disability benefit plus an~~	7919
~~amount from the employers' trust fund equal to the member's~~	7920
~~refundable account less the interest credited under section~~	7921
~~145.471, 145.472, or 3307.563 of the Revised Code. If applicable,~~	7922
~~the retirement system determining and paying the benefit shall~~	7923
~~receive from the public employees retirement system a portion of~~	7924
~~the amount paid on behalf of the member by an employer under~~	7925
~~section 145.483 of the Revised Code. The portion shall equal the~~	7926
~~product obtained by multiplying by two the amount the member would~~	7927
~~have contributed during the period the employer failed to deduct~~	7928
~~contributions, as described in section 145.483 of the Revised Code~~	7929
all of the following for each year of service:	7930

(i) The amount contributed by the member, or, in the case of	7931
service credit purchased by the member, paid by the member, that	7932
is attributable to that year of service;	7933

(ii) An amount equal to the lesser of the employer's	7934
contributions made on behalf of the member to the retirement	7935
system for that year of service or the amount that would have been	7936
contributed by the employer for the service had the member been a	7937
member of the school employees retirement system at the time the	7938
credit was earned;	7939

(iii) If applicable, an amount equal to the amount paid on	7940
behalf of the member by an employer under section 145.483 of the	7941
Revised Code;	7942

(iv) Interest on the amounts specified in divisions	7943
(B)(5)(a)(i), (ii), and (iii) of this section at the actuarial	7944
assumption rate of the retirement system determining and paying	7945
the benefit.	7946

~~(a)~~(b) The annuity rates and mortality tables of the state	7947
retirement system making the calculation and paying the benefit	7948
shall be exclusively applicable.	7949

~~(b)~~(c) Deposits made for the purchase of an additional	7950
annuity, and including guaranteed interest, upon the request of	7951
the member, shall be transferred to the state retirement system	7952
paying the retirement or disability benefit. The return upon such	7953
deposits shall be that offered by the state retirement system	7954
making the calculation and paying the retirement or disability	7955
benefit.	7956

(C) A former member receiving a retirement or disability	7957
benefit under this section, who accepts employment amenable to	7958
coverage in any state retirement system that participated in the	7959
member's combined benefit, shall be subject to the applicable	7960
provisions of law governing such re-employment. If a former member	7961
should be paid any amount in a retirement allowance, to which the	7962
former member is not entitled under the applicable provisions of	7963
law governing such re-employment, such amount shall be recovered	7964
by the state retirement system paying such allowance by utilizing	7965
any recovery procedure available under the code provisions of the	7966
state retirement system covering such re-employment.	7967

(D) An SERS retirant or other system retirant, as defined in	7968
section 3309.341 of the Revised Code, is not eligible to receive	7969
any benefit under this section for service subject to section	7970
3309.341 of the Revised Code.	7971

Sec. 3375.411. A board of library trustees of a free public	7972
library, appointed pursuant to the provisions of sections 3375.06,	7973
3375.08, 3375.12, 3375.15, and 3375.22 of the Revised Code, which	7974
has not less than seventy-five full-time employees, and which,	7975
prior to September 16, 1943, was providing for retirement of the	7976
employees of such library with annuities, insurance, or other	7977
provisions, under authority granted by former section 7889 of the	7978
General Code, may provide such retirement, insurance, or other	7979
provisions in the same manner authorized by former section 7889 of	7980
the General Code, as follows: the library board of such library	7981
which has appropriated and paid the board's portion provided in	7982
such system or plan, may continue to appropriate and pay the	7983
board's portion provided in such system or plan out of the funds	7984
received to the credit of such board by taxation or otherwise.	7985
Each employee of such library who is to be included in a system of	7986
retirement shall contribute to the retirement fund not less than	7987
four per cent per annum of the employee's salary from the time of	7988
eligibility to join the retirement system to the time of	7989
retirement. If a group insurance plan is installed by any library,	7990
not less than fifty per cent of the cost of such insurance shall	7991
be borne by the employees included in such plan.	7992

Provided, any employee whose employment by said library began	7993
on or after September 16, 1943, may exempt self from inclusion in	7994
such retirement system, or withdraw from such retirement system.	7995
Upon such exemption or withdrawal, such person shall become a	7996
member of the public employees retirement system in accordance	7997
with former section 145.02 and sections ~~145.02,~~ 145.03, and 145.28	7998
of the Revised Code, respectively. All employees appointed for the	7999
first time on and after January 1, 1956, shall, for retirement	8000
purposes, be eligible only for membership in the public employees	8001
retirement system as provided in Chapter 145. of the Revised Code.	8002

A library board which provides for the retirement of its	8003
employees with annuities, insurance, or other provisions under the	8004
authority granted by this section may, pursuant to a board	8005
resolution adopted within thirty days after the effective date of	8006
this section, terminate such retirement plan. Upon the effective	8007
date of such termination, which is specified in the resolution,	8008
each employee covered by such retirement plan shall become a	8009
member of the public employees retirement system.	8010

Section 2. That existing sections 101.92, 101.93, 145.01,	8011
145.04, 145.041, 145.05, 145.057, 145.06, 145.09, 145.19, 145.191,	8012
145.192, 145.193, 145.20, 145.201, 145.22, 145.23, 145.27, 145.28,	8013
145.29, 145.291, 145.293, 145.294, 145.295, 145.297, 145.298,	8014
145.299, 145.2911, 145.2912, 145.2913, 145.2914, 145.30, 145.301,	8015
145.31, 145.32, 145.323, 145.325, 145.33, 145.331, 145.35, 145.36,	8016
145.361, 145.362, 145.37, 145.38, 145.383, 145.384, 145.39,	8017
145.40, 145.401, 145.41, 145.43, 145.45, 145.452, 145.46, 145.47,	8018
145.473, 145.48, 145.483, 145.49, 145.51, 145.54, 145.56, 145.561,	8019
145.563, 145.58, 145.62, 145.63, 145.64, 145.813, 145.814, 145.82,	8020
145.83, 145.87, 145.92, 145.95, 145.97, 742.63, 2329.66, 2921.13,	8021
3105.80, 3305.06, 3307.57, 3309.312, 3309.35, and 3375.411 and	8022
sections 145.02, 145.292, 145.321, 145.322, 145.324, 145.326,	8023
145.327, 145.328, 145.329, 145.3210, 145.3211, 145.3212,	8024
145.3213, 145.332, 145.34, 145.42, 145.44, 145.461, and 145.462	8025
are hereby repealed.	8026

Section 3. Notwithstanding the times specified in the	8027
amendments to section 145.87 of the Revised Code made by this act,	8028
if the Public Employees Retirement Board determines that a	8029
decrease in the percentage transferred under that section is	8030
warranted, the Board may decrease the percentage transferred not	8031
later than one hundred twenty days after the effective date of	8032
this section. The decrease shall take effect on the first day of	8033
the second month following the Board's action.	8034

Section 4. (A) The amendments by this act regarding	8035
purchasing or obtaining service credit from the Public Employees	8036
Retirement System do not apply if purchasing or obtaining the	8037
service credit is initiated not later than six months after the	8038
effective date of this section. Purchasing or obtaining service	8039
credit shall be considered to be initiated not later than six	8040
months after the effective date of this section if the member	8041
makes one or more payments before that date.	8042

(B) Purchasing or obtaining service credit under Chapter 145.	8043
of the Revised Code shall continue at the total cost of that	8044
credit immediately before the period ending six months after the	8045
effective date of this section if the retirement system receives	8046
from the member one or more payments not later than six months	8047
after the effective date of this section. The total cost shall	8048
continue unchanged unless the requirements of section 145.294 of	8049
the Revised Code, and any applicable rules adopted pursuant to	8050
that section, are not met.	8051