| 1 | 1 | | SECONDREGULARSESSION |
|---|
| 2 | 2 | | HOUSEBILLNO.2816 |
|---|
| 3 | 3 | | 101STGENERALASSEMBLY |
|---|
| 4 | 4 | | INTRODUCEDBYREPRESENTATIVEVEIT. |
|---|
| 5 | 5 | | 5819H.01I DANARADEMANMILLER,ChiefClerk |
|---|
| 6 | 6 | | ANACT |
|---|
| 7 | 7 | | Torepealsection104.1091,RSMo,andtoenactinlieuthereofonenewsectionrelatingto |
|---|
| 8 | 8 | | stateemployeeretirementsystems. |
|---|
| 9 | 9 | | BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows: |
|---|
| 10 | 10 | | SectionA.Section104.1091,RSMo,isrepealedandonenewsectionenactedinlieu |
|---|
| 11 | 11 | | 2thereof,tobeknownassection104.1091,toreadasfollows: |
|---|
| 12 | 12 | | 104.1091.1.Notwithstandinganyprovisionoftheyear2000plantothecontrary, |
|---|
| 13 | 13 | | 2eachpersonwhofirstbecomesanemployeeonorafterJanuary1,2011,shallbeamemberof |
|---|
| 14 | 14 | | 3theyear2000plansubjecttotheprovisionsofthissection. |
|---|
| 15 | 15 | | 4 2.Amember'snormalretirementeligibilityshallbeasfollows: |
|---|
| 16 | 16 | | 5 (1)Themember'sattainmentofatleastagesixty-sevenandthecompletionofatleast |
|---|
| 17 | 17 | | 6tenyearsofcreditedservice;orthemember'sattainmentofatleastagefifty-fivewiththesum |
|---|
| 18 | 18 | | 7ofthemember'sageandcreditedserviceequalingatleastninety;or,inthecaseofamember |
|---|
| 19 | 19 | | 8whoisservingasauniformedmemberofthehighwaypatrolandsubjecttothemandatory |
|---|
| 20 | 20 | | 9retirementprovisionsofsection104.081,suchmember'sattainmentofatleastagesixtyorthe |
|---|
| 21 | 21 | | 10attainmentofatleastagefifty-fivewithtenyearsofcreditedservice; |
|---|
| 22 | 22 | | 11 (2)Formembersofthegeneralassembly,themember'sattainmentofatleastage |
|---|
| 23 | 23 | | 12sixty-twoandthecompletionofatleastthreefullbiennialassemblies;orthemember's |
|---|
| 24 | 24 | | 13attainmentofatleastagefifty-fivewiththesumofthemember'sageandcreditedservice |
|---|
| 25 | 25 | | 14equalingatleastninety; |
|---|
| 26 | 26 | | 15 (3)Forstatewideelectedofficials,theofficial'sattainmentofatleastagesixty-two |
|---|
| 27 | 27 | | 16andthecompletionofatleastfouryearsofcreditedservice;ortheofficial'sattainmentofat |
|---|
| 28 | 28 | | EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis |
|---|
| 29 | 29 | | intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 17leastagefifty-fivewiththesumoftheofficial'sageandcreditedserviceequalingatleast |
|---|
| 30 | 30 | | 18ninety. |
|---|
| 31 | 31 | | 19 3.Avestedformermember'snormalretirementeligibilityshallbebasedonthe |
|---|
| 32 | 32 | | 20attainmentofatleastagesixty-sevenandthecompletionofatleasttenyearsofcredited |
|---|
| 33 | 33 | | 21service. |
|---|
| 34 | 34 | | 22 4.Atemporaryannuitypaidpursuanttosubsection4ofsection104.1024shallbe |
|---|
| 35 | 35 | | 23payableifthememberhasattainedatleastagefifty-fivewiththesumofthemember'sage |
|---|
| 36 | 36 | | 24andcreditedserviceequalingatleastninety;orinthecaseofamemberwhoisservingasa |
|---|
| 37 | 37 | | 25uniformedmemberofthehighwaypatrolandsubjecttothemandatoryretirementprovisions |
|---|
| 38 | 38 | | 26ofsection104.081,thetemporaryannuityshallbepayableifthememberhasattainedatleast |
|---|
| 39 | 39 | | 27agesixty,oratleastagefifty-fivewithtenyearsofcreditedservice. |
|---|
| 40 | 40 | | 28 5.Amember,otherthanamemberwhoisservingasauniformedmemberofthe |
|---|
| 41 | 41 | | 29highwaypatrolandsubjecttothemandatoryretirementprovisionsofsection104.081,shall |
|---|
| 42 | 42 | | 30beeligibleforanearlyretirementannuityupontheattainmentofatleastagesixty-twoand |
|---|
| 43 | 43 | | 31thecompletionofatleasttenyearsofcreditedservice.Avestedformermembershallnotbe |
|---|
| 44 | 44 | | 32eligibleforearlyretirement. |
|---|
| 45 | 45 | | 33 6.Theprovisionsofsubsection6ofsection104.1021andsection104.344asapplied |
|---|
| 46 | 46 | | 34pursuanttosubsection7ofsection104.1021andsection104.1090shallnotapplytomembers |
|---|
| 47 | 47 | | 35coveredbythissection. |
|---|
| 48 | 48 | | 36 7.Theminimumcreditedservicerequirementsoffiveyearscontainedinsections |
|---|
| 49 | 49 | | 37104.1018,104.1030,104.1036,and104.1051shallbetenyearsformemberscoveredbythis |
|---|
| 50 | 50 | | 38section.Thenormalandearlyretirementeligibilityrequirementsinthissectionshallapply |
|---|
| 51 | 51 | | 39forpurposesofadministeringsection104.1087. |
|---|
| 52 | 52 | | 40 8.Amembershallberequiredtocontributefourpercentofthemember'spaytothe |
|---|
| 53 | 53 | | 41retirementsystem,whichshallstandtothemember'screditinhisorherindividualaccount |
|---|
| 54 | 54 | | 42withthesystem,togetherwithinvestmentcreditsthereon,forpurposesoffundingretirement |
|---|
| 55 | 55 | | 43benefitspayableundertheyear2000plan,subjecttothefollowingprovisions: |
|---|
| 56 | 56 | | 44 (1)ThestateofMissouriemployer,pursuanttotheprovisionsof26U.S.C.Section |
|---|
| 57 | 57 | | 45414(h)(2),shallpickupandpaythecontributionsthatwouldotherwisebepayablebythe |
|---|
| 58 | 58 | | 46memberunderthissection.Thecontributionssopickedupshallbetreatedasemployer |
|---|
| 59 | 59 | | 47contributionsforpurposesofdeterminingthemember'spaythatisincludableinthemember's |
|---|
| 60 | 60 | | 48grossincomeforfederalincometaxpurposes; |
|---|
| 61 | 61 | | 49 (2)Membercontributionspickedupbytheemployershallbepaidfromthesame |
|---|
| 62 | 62 | | 50sourceoffundsusedforthepaymentofpaytoamember.Adeductionshallbemadefrom |
|---|
| 63 | 63 | | 51eachmember'spayequaltotheamountofthemember'scontributionspickedupbythe |
|---|
| 64 | 64 | | 52employer.Thisdeduction,however,shallnotreducethemember'spayforpurposesof |
|---|
| 65 | 65 | | 53computingbenefitsundertheretirementsystempursuanttothischapter; |
|---|
| 66 | 66 | | HB2816 2 54 (3)Membercontributionssopickedupshallbecreditedtoaseparateaccountwithin |
|---|
| 67 | 67 | | 55themember'sindividualaccountsothattheamountscontributedpursuanttothissectionmay |
|---|
| 68 | 68 | | 56bedistinguishedfromtheamountscontributedonanafter-taxbasis; |
|---|
| 69 | 69 | | 57 (4)Thecontributions,althoughdesignatedasemployeecontributions,shallbepaid |
|---|
| 70 | 70 | | 58bytheemployerinlieuofthecontributionsbythemember.Themembershallnothavethe |
|---|
| 71 | 71 | | 59optionofchoosingtoreceivethecontributedamountsdirectlyinsteadofhavingthempaidby |
|---|
| 72 | 72 | | 60theemployertotheretirementsystem; |
|---|
| 73 | 73 | | 61 (5)InterestshallbecreditedannuallyonJunethirtiethbasedonthevalueinthe |
|---|
| 74 | 74 | | 62accountasofJulyfirstoftheimmediatelyprecedingyearatarateoffourpercent.Effective |
|---|
| 75 | 75 | | 63June30,2014,andeachJunethirtieththereafter,theinterestcreditingrateshallbeequalto |
|---|
| 76 | 76 | | 64theinvestmentratethatispublishedbytheUnitedStatesDepartmentofTreasury,orits |
|---|
| 77 | 77 | | 65successoragency,forfifty-twoweektreasurybillsfortherelevantauctionthatisnearestto |
|---|
| 78 | 78 | | 66theprecedingJulyfirst,orasuccessortreasurybillinvestmentrateasapprovedbytheboard |
|---|
| 79 | 79 | | 67ifthefifty-twoweektreasurybillisnolongerissued.Interestcreditsshallceaseupon |
|---|
| 80 | 80 | | 68terminationofemploymentifthememberisnotavestedformermember.Otherwise,interest |
|---|
| 81 | 81 | | 69creditsshallceaseuponretirementordeath; |
|---|
| 82 | 82 | | 70 (6)Avestedformermemberoraformermemberwhoisnotvestedmayrequesta |
|---|
| 83 | 83 | | 71refundofhisorhercontributionsandinterestcreditedthereon.Ifsuchmemberismarriedat |
|---|
| 84 | 84 | | 72thetimeofsuchrequest,suchrequestshallnotbeprocessedwithoutconsentfromthespouse. |
|---|
| 85 | 85 | | 73Suchmemberisnoteligibletorequestarefundifsuchmember'sretirementbenefitissubject |
|---|
| 86 | 86 | | 74toadivisionofbenefitorderpursuanttosection104.1051.Suchrefundshallbepaidbythe |
|---|
| 87 | 87 | | 75systemafterninetydaysfromthedateofterminationofemploymentortherequest, |
|---|
| 88 | 88 | | 76whicheverislater,andshallincludeallcontributionsmadetoanyretirementplan |
|---|
| 89 | 89 | | 77administeredbythesystemandinterestcreditedthereon.Avestedformermembermaynot |
|---|
| 90 | 90 | | 78requestarefundaftersuchmemberbecomeseligiblefornormalretirement.Avestedformer |
|---|
| 91 | 91 | | 79memberoraformermemberwhoisnotvestedwhoreceivesarefundshallforfeitallthe |
|---|
| 92 | 92 | | 80member'screditedserviceandfuturerightstoreceivebenefitsfromthesystemandshallnot |
|---|
| 93 | 93 | | 81beeligibletoreceiveanylong-termdisabilitybenefits;providedthatanymemberorvested |
|---|
| 94 | 94 | | 82formermemberreceivinglong-termdisabilitybenefitsshallnotbeeligibleforarefund.If |
|---|
| 95 | 95 | | 83suchmembersubsequentlybecomesanemployeeandworkscontinuouslyforatleastone |
|---|
| 96 | 96 | | 84year,thecreditedservicepreviouslyforfeitedshallberestoredifthememberreturnstothe |
|---|
| 97 | 97 | | 85systemtheamountpreviouslyrefundedplusinterestatarateestablishedbytheboard; |
|---|
| 98 | 98 | | 86 (7)Thebeneficiaryofanymemberwhomadecontributionsshallreceivearefund |
|---|
| 99 | 99 | | 87uponthemember'sdeathequaltotheamount,ifany,ofsuchcontributionsandinterest |
|---|
| 100 | 100 | | 88creditedthereonlessanyretirementbenefitsreceivedbythememberunlessanannuityis |
|---|
| 101 | 101 | | 89payabletoasurvivororbeneficiaryasaresultofthemember'sdeath.Inthatevent,the |
|---|
| 102 | 102 | | 90beneficiaryofthesurvivororbeneficiarywhoreceivedtheannuityshallreceivearefund |
|---|
| 103 | 103 | | HB2816 3 91uponthesurvivor'sorbeneficiary'sdeathequaltotheamount,ifany,ofthemember's |
|---|
| 104 | 104 | | 92contributionslessanyannuityamountsreceivedbythememberandthesurvivoror |
|---|
| 105 | 105 | | 93beneficiary. |
|---|
| 106 | 106 | | 94 9.Theemployeecontributionrate,thebenefitsprovidedundertheyear2000planto |
|---|
| 107 | 107 | | 95memberscoveredunderthissection,andanyotherprovisionoftheyear2000planwith |
|---|
| 108 | 108 | | 96regardtomemberscoveredunderthissectionmaybealtered,amended,increased,decreased, |
|---|
| 109 | 109 | | 97orrepealed,butonlywithrespecttoservicesrenderedbythememberaftertheeffectivedate |
|---|
| 110 | 110 | | 98ofsuchalteration,amendment,increase,decrease,orrepeal,or,withrespecttointerest |
|---|
| 111 | 111 | | 99credits,forperiodsoftimeaftertheeffectivedateofsuchalteration,amendment,increase, |
|---|
| 112 | 112 | | 100decrease,orrepeal. |
|---|
| 113 | 113 | | 101 10.Forpurposesofmemberscoveredbythissection,theoptionsundersection |
|---|
| 114 | 114 | | 102104.1027shallbeasfollows: |
|---|
| 115 | 115 | | 103 Option1. |
|---|
| 116 | 116 | | 104 Aretiree'slifeannuityshallbereducedtoacertainpercentoftheannuityotherwise |
|---|
| 117 | 117 | | 105payable.Suchpercentshallbeeighty-eightandonehalfpercentadjustedasfollows:ifthe |
|---|
| 118 | 118 | | 106retiree'sageontheannuitystartingdateisyoungerthansixty-sevenyears,anincreaseof |
|---|
| 119 | 119 | | 107three-tenthsofonepercentforeachyeartheretiree'sageisyoungerthanagesixty-seven |
|---|
| 120 | 120 | | 108years;andifthebeneficiary'sageisyoungerthantheretiree'sageontheannuitystartingdate, |
|---|
| 121 | 121 | | 109adecreaseofthree-tenthsofonepercentforeachyearofagedifference;andiftheretiree's |
|---|
| 122 | 122 | | 110ageisyoungerthanthebeneficiary'sageontheannuitystartingdate,anincreaseofthree- |
|---|
| 123 | 123 | | 111tenthsofonepercentforeachyearofagedifference;provided,afteralladjustmentsthe |
|---|
| 124 | 124 | | 112option1percentcannotexceedninety-fourandonequarterpercent.Upontheretiree'sdeath, |
|---|
| 125 | 125 | | 113fiftypercentoftheretiree'sreducedannuityshallbepaidtosuchbeneficiarywhowasthe |
|---|
| 126 | 126 | | 114retiree'sspouseontheannuitystartingdateorasotherwiseprovidedbysubsection5ofthis |
|---|
| 127 | 127 | | 115section. |
|---|
| 128 | 128 | | 116 Option2. |
|---|
| 129 | 129 | | 117 Aretiree'slifeannuityshallbereducedtoacertainpercentoftheannuityotherwise |
|---|
| 130 | 130 | | 118payable.Suchpercentshallbeeighty-onepercentadjustedasfollows:iftheretiree'sageon |
|---|
| 131 | 131 | | 119theannuitystartingdateisyoungerthansixty-sevenyears,anincreaseoffour-tenthsofone |
|---|
| 132 | 132 | | 120percentforeachyeartheretiree'sageisyoungerthansixty-sevenyears;andifthe |
|---|
| 133 | 133 | | 121beneficiary'sageisyoungerthantheretiree'sageontheannuitystartingdate,adecreaseof |
|---|
| 134 | 134 | | 122five-tenthsofonepercentforeachyearofagedifference;andiftheretiree'sageisyounger |
|---|
| 135 | 135 | | 123thanthebeneficiary'sageontheannuitystartingdate,anincreaseoffive-tenthsofone |
|---|
| 136 | 136 | | 124percentforeachyearofagedifference;provided,afteralladjustmentstheoption2percent |
|---|
| 137 | 137 | | 125cannotexceedeighty-sevenandthreequarterpercent.Upontheretiree'sdeathonehundred |
|---|
| 138 | 138 | | 126percentoftheretiree'sreducedannuityshallbepaidtosuchbeneficiarywhowastheretiree's |
|---|
| 139 | 139 | | 127spouseontheannuitystartingdateorasotherwiseprovidedbysubsection5ofthissection. |
|---|
| 140 | 140 | | HB2816 4 128 Option3. |
|---|
| 141 | 141 | | 129 Aretiree'slifeannuityshallbereducedtoninety-threepercentoftheannuity |
|---|
| 142 | 142 | | 130otherwisepayable.Iftheretireediesbeforehavingreceivedonehundredtwentymonthly |
|---|
| 143 | 143 | | 131payments,thereducedannuityshallbecontinuedfortheremainderoftheonehundred |
|---|
| 144 | 144 | | 132twenty-monthperiodtotheretiree'sdesignatedbeneficiaryprovidedthatifthereisno |
|---|
| 145 | 145 | | 133beneficiarysurvivingtheretiree,thepresentvalueoftheremainingannuitypaymentsshallbe |
|---|
| 146 | 146 | | 134paidasprovidedundersubsection3ofsection104.620.Ifthebeneficiarysurvivestheretiree |
|---|
| 147 | 147 | | 135butdiesbeforereceivingtheremainderofsuchonehundredtwentymonthlypayments,the |
|---|
| 148 | 148 | | 136presentvalueoftheremainingannuitypaymentsshallbepaidasprovidedundersubsection3 |
|---|
| 149 | 149 | | 137ofsection104.620. |
|---|
| 150 | 150 | | 138 Option4. |
|---|
| 151 | 151 | | 139 Aretiree'slifeannuityshallbereducedtoeighty-sixpercentoftheannuityotherwise |
|---|
| 152 | 152 | | 140payable.Iftheretireediesbeforehavingreceivedonehundredeightymonthlypayments,the |
|---|
| 153 | 153 | | 141reducedannuityshallbecontinuedfortheremainderoftheonehundredeighty-monthperiod |
|---|
| 154 | 154 | | 142totheretiree'sdesignatedbeneficiaryprovidedthatifthereisnobeneficiarysurvivingthe |
|---|
| 155 | 155 | | 143retiree,thepresentvalueoftheremainingannuitypaymentsshallbepaidasprovidedunder |
|---|
| 156 | 156 | | 144subsection3ofsection104.620.Ifthebeneficiarysurvivestheretireebutdiesbefore |
|---|
| 157 | 157 | | 145receivingtheremainderofsuchonehundredeightymonthlypayments,thepresentvalueof |
|---|
| 158 | 158 | | 146theremainingannuitypaymentsshallbepaidasprovidedundersubsection3ofsection |
|---|
| 159 | 159 | | 147104.620. |
|---|
| 160 | 160 | | 148 11.Theprovisionsofsubsection6ofsection104.1024shallnotapplytomembers |
|---|
| 161 | 161 | | 149coveredbythissection. |
|---|
| 162 | 162 | | 150 12.EffectiveJanuary1,2018,amemberwhoisnotastatewideelectedofficialora |
|---|
| 163 | 163 | | 151memberofthegeneralassemblyshallbeeligibleforretirementunderthissubsectionsubject |
|---|
| 164 | 164 | | 152tothefollowingconditions: |
|---|
| 165 | 165 | | 153 (1)Amember'snormalretirementeligibilityshallbebasedontheattainmentofat |
|---|
| 166 | 166 | | 154leastagesixty-sevenandthecompletionofatleastfiveyearsofcreditedservice;orthe |
|---|
| 167 | 167 | | 155member'sattainmentofatleastagefifty-fivewiththesumofthemember'sageandcredited |
|---|
| 168 | 168 | | 156serviceequalingatleastninety; orthemember'sattainmentofatleastagefiftywiththe |
|---|
| 169 | 169 | | 157sumofthemember'sageandcreditedserviceequalingatleasteightyafterthesystem |
|---|
| 170 | 170 | | 158firstattainsafundedratioofatleasteightypercent,asdefinedinsection105.660andas |
|---|
| 171 | 171 | | 159determinedbythesystem'sannualactuarialvaluation,withtheprovisionnotbeing |
|---|
| 172 | 172 | | 160incorporatedintheannualactuarialvaluationofthesystemuntilthefundedratioisat |
|---|
| 173 | 173 | | 161leasteightypercentandthereafter; orinthecaseofamemberwhoisservingasa |
|---|
| 174 | 174 | | 162uniformedmemberofthehighwaypatrolandsubjecttothemandatoryretirementprovisions |
|---|
| 175 | 175 | | 163ofsection104.081,suchmember'sattainmentofatleastagesixtyortheattainmentofatleast |
|---|
| 176 | 176 | | 164agefifty-fivewithfiveyearsofcreditedservice; |
|---|
| 177 | 177 | | HB2816 5 165 (2)Avestedformermember'snormalretirementeligibilityshallbebasedonthe |
|---|
| 178 | 178 | | 166attainmentofatleastagesixty-sevenandthecompletionofatleastfiveyearsofcredited |
|---|
| 179 | 179 | | 167service; |
|---|
| 180 | 180 | | 168 (3)Atemporaryannuitypaidundersubsection4ofsection104.1024shallbepayable |
|---|
| 181 | 181 | | 169ifthememberhasattainedatleastagefifty-fivewiththesumofthemember'sageand |
|---|
| 182 | 182 | | 170creditedserviceequalingatleastninety;orinthecaseofamemberwhoisservingasa |
|---|
| 183 | 183 | | 171uniformedmemberofthehighwaypatrolandsubjecttothemandatoryretirementprovisions |
|---|
| 184 | 184 | | 172ofsection104.081,thetemporaryannuityshallbepayableifthememberhasattainedatleast |
|---|
| 185 | 185 | | 173agesixty,oratleastagefifty-fivewithfiveyearsofcreditedservice; |
|---|
| 186 | 186 | | 174 (4)Amember,otherthanamemberwhoisservingasauniformedmemberofthe |
|---|
| 187 | 187 | | 175highwaypatrolandsubjecttothemandatoryretirementprovisionsofsection104.081,shall |
|---|
| 188 | 188 | | 176beeligibleforanearlyretirementannuityupontheattainmentofatleastagesixty-twoand |
|---|
| 189 | 189 | | 177thecompletionofatleastfiveyearsofcreditedservice.Avestedformermembershallnotbe |
|---|
| 190 | 190 | | 178eligibleforearlyretirement; |
|---|
| 191 | 191 | | 179 (5)Thenormalandearlyretirementeligibilityrequirementsinthissubsectionshall |
|---|
| 192 | 192 | | 180applyforpurposesofadministeringsection104.1087; |
|---|
| 193 | 193 | | 181 (6)Thesurvivorannuitypayableundersection104.1030forvestedformermembers |
|---|
| 194 | 194 | | 182coveredbythissectionshallnotbepayableuntilthedeceasedmemberwouldhavereached |
|---|
| 195 | 195 | | 183hisorhernormalretirementeligibilityunderthissubsection; |
|---|
| 196 | 196 | | 184 (7)Theannualcost-of-livingadjustmentpayableundersection104.1045shallnot |
|---|
| 197 | 197 | | 185commenceuntilthesecondanniversaryofavestedformermember'sannuitystartingdatefor |
|---|
| 198 | 198 | | 186memberscoveredbythissubsection; |
|---|
| 199 | 199 | | 187 (8)Theunusedsickleavecreditgrantedundersubsection2ofsection104.1021shall |
|---|
| 200 | 200 | | 188notapplytomemberscoveredbythissubsectionunlessthememberterminatesemployment |
|---|
| 201 | 201 | | 189afterreachingnormalretirementeligibilityorbecomingeligibleforanearlyretirement |
|---|
| 202 | 202 | | 190annuityunderthissubsection;and |
|---|
| 203 | 203 | | 191 (9)Theminimumcreditedservicerequirementsoffiveyearscontainedinsections |
|---|
| 204 | 204 | | 192104.1018,104.1030,104.1036,and104.1051shallbefiveyearsformemberscoveredbythis |
|---|
| 205 | 205 | | 193subsection. |
|---|
| 206 | 206 | | âś” |
|---|
| 207 | 207 | | HB2816 6 |
|---|