RBS No. 481 Req. No. 481 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 59th Legislature (2023) SENATE BILL 631 By: Montgomery AS INTRODUCED An Act relating to the Oklahoma Law Enforcement Retirement System; amending 47 O.S. 2021, Section 2- 305, as amended by Section 2, Cha pter 255, O.S.L. 2022 (47 O.S. Supp. 2022, Section 2 -305), which relates to retirement and retirement pay ; and reinstating certain annual retirement pay for certain members. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 47 O.S. 2021, Section 2 -305, as amended by Section 2, Chapter 255, O.S.L. 2022 (47 O.S. Supp. 2022, Section 2-305), is amended to read as f ollows: Section 2-305. A. Except as otherwise provided in this title, at any time after attaining normal retirement date, any member of the Oklahoma Law Enforcement Retirement System upon appli cation for unreduced retirement be nefits made and approved, may retire, and, during the remainder of the member’s lifetime, receive annual retirement pay, payable in equal monthly payments, equal to two and one-half percent (2 1/2%) of the final average sa lary times years of credited service. If such retired member is reemployed by a state agency in a position which is not covered by the System, suc h RBS No. 481 Req. No. 481 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 retired member shall continue to receive in -service distributions from the System. Prior to September 19, 2002, if such retired member was reemployed by a state agency in a position which is covered by the System, such member shall continue to receive i n- service distributions from the System and shall not a ccrue any further credited service . If such a member is reemployed by a state agency in a position which is covered by the System on or after September 19, 2002, such member ’s monthly retirement payme nts shall be suspended until such member retires and is not reemployed by a state agency in a position which is covered by the System. B. Beginning July 1, 1994, members who retired or were eligible to retire prior to July 1, 1980, or their surviving spou ses shall receive annual retirement pay, payable in equ al monthly payments, equal to the greater of their cur rent retirement pay, or two and one-half percent (2 1/2%) of the actual paid gross salary being currently paid to a highway patrol officer, at the time each such monthly retirement payment is made, mult iplied by the retired member’s years of credited servi ce. C. Except as otherwise provid ed by this subsection, members of the System whose salary is set by statute who have retired after completion of the mandatory twenty (20) years of service, and those members with statutory salaries who retire after reachi ng the mandatory twenty-year retirement shall receive an annual retirement RBS No. 481 Req. No. 481 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 pay, payable in equal monthly installments, based upon the greater of either: 1. The top base salary currently paid to the hig hest nonsupervisory position in the participating agen cy at the time each such monthly retirement payment is made, limited to the annual salary limit of the Economic Growth and Tax Relief Reconciliatio n Act of 2001, as described in paragraph 9 of Section 2 -300 of this title, multiplied by two and one -half percent (2 1/2%) multiplied by the number of years of credited service and fraction thereof for the following positions: a. Oklahoma Highway Patrolman , b. Communications Dispatcher, c. Capitol Patrolman, d. Lake Patrolman, and e. Oklahoma State Bureau of Inve stigation - Special Agent or Criminalist; or 2. The member’s final average salary as set forth in paragraph 9 of Section 2-300 of this title, mult iplied by two and one -half percent (2 1/2%), and multip lied by the number of years of credited service and fraction thereof. No member of the System retired prior to July 1, 2002, shall receive a benefit less than the amount the member is receiving as of June 30, 2002. RBS No. 481 Req. No. 481 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 The provisions of paragraph 1 of this sub section shall not be applicable to any member whose fi rst participating service with the System occurs on or after November 1, 2012, except for those members who died in the performance of their duties pursuant to Section 2 - 306 of this title. D. Other members of the System whose retirement benefit is not otherwise prescribed by this section who have retired after completion of the mandatory twenty (20) years of service, and those members who retire after reaching the mandatory twenty -year retirement shall receive an annual retirement pay, payable in equal monthly payments, based upon the greater of either: 1. The actual average salary currently paid to the highest nonsupervisory position in the part icipating agency at the time each such monthly payment is made, limited to the annual salary limit of the Economic Growth and Tax Relief Reconciliation Act of 20 01, as described in paragraph 9 of Section 2-300 of this title, multiplied by two and one-half percent (2 1/2%), multiplied by the number of years of credited service and fraction thereof for the following positions: a. Alcoholic Beverage Laws Enforcement Commission - ABLE Commission Agent III, b. Oklahoma State Bureau of Narcotics and Dangerous Dru gs Control - Narcotics Agent III, RBS No. 481 Req. No. 481 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 c. Oklahoma Tourism and Recreation Department - Park Ranger II, d. State Board of Pharmacy - Pharmacy Inspector, e. University of Oklahoma - Police Officer, and f. Oklahoma State University - Police Officer; or 2. The other member’s final average salary as set forth in paragraph 9 of Section 2-300 of this title, multiplied by two and one-half percent (2 1/2%), multiplied b y the number of years of credited service and fraction thereof. No member of the System retired prior to July 1, 2002, shall receive a benefit less than the amount the member is receiving as of June 30, 2002. The participating employer must certify to th e System in writing the actual average gross salary currently paid to the highest nonsupervisory positi on. The Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this section. The provisions of paragraph 1 of th is subsection shall not be applicable to any member whose first participating service with the System occurs on or after May 24, 2013, except for those members who died in the performance of their duties pursuant to Section 2-306 of this title. E. A member who meets the definition of disability as defined in paragraph 11 of Section 2 -300 of this title by direc t reason of RBS No. 481 Req. No. 481 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the performance of the member’s duties as an officer shall re ceive a monthly benefit equal to: 1. Two and one-half percent (2 1/2%); 2. Multiplied by: a. twenty (20) years of credited service, if the member had performed less than twenty (20) years of credited service, notwithstanding the actual number of years of credited service performed by the member prior to the date of disability, or b. the actual number of years of credited service and fraction thereof performed by the member prior to t he date of disability, if the member had performed twenty (20) or more years of credited service; 3. Multiplied by the greater of subparagraph a of this paragraph and division 1 of subparagraph b of this paragraph or division 2 of subparagraph b of this p aragraph, as applicable: a. the final average salary of the member, as se t forth in paragraph 9 of Section 2-300 of this title, and b. (1) the top base salary cur rently paid to the highest nonsupervisory position in the participating agency of the member at the time each monthly payment is made, limited to the a nnual salary limit of the Economic Growth and Tax Relief Reconciliation Act of 2001 described in paragraph RBS No. 481 Req. No. 481 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 9 of Section 2-300 of this title, for the following positions: (a) Oklahoma Highway Patrolman, (b) Communications Dispatcher, (c) Capitol Patrolman, (d) Lake Patrolman, and (e) Oklahoma State Bureau of Investigation - Special Agent or Criminalist, Provided, the participating employe r must certify to the System in writing the top base s alary currently paid to the highest nonsupervisory position for division (1) of subparagraph b of this paragraph, or (2) the actual average salary currently paid to the highest nonsupervisory position in the participating agency of the membe r at the time each monthly payment is made, limited to the annual salary limit of the Economic Growth and Tax Relief Reconciliatio n Act of 2001, described in paragraph 9 of Section 2 -300 of this title, for the following positio ns: (a) Alcoholic Beverage Laws Enforcement (ABLE) Commission - ABLE Commission Agent III, RBS No. 481 Req. No. 481 Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (b) Oklahoma State Bureau of Narcotics and Dangerous Drugs Control - Narcotics Agent III, (c) Oklahoma Tourism and Recreation Depar tment - Park Ranger II, (d) State Board of Pharmacy - Pharmacy Inspector, (e) University of Oklahoma - Police Officer, and (f) Oklahoma State University - Police Officer, Provided, the participating employer must certify to the System in writing the actual average gross salary currently pa id to the highest nonsupervisory position for division (2) of subparagraph b of this paragraph; 4. No member of the System receiving benefits prescribed by this subsection who retired prior to July 1, 2002, shall receive a benefit of less than the amount th e member was receiving as of June 30, 2002; 5. The Board of Trustees shall promulgate rules as necessary to implement the provisions of this subsection ; and 6. If such member participates in the Oklahoma Law Enforcement Deferred Option Plan pursuant to S ection 2-305.2 of this title, then such member’s disability pension provided pursuant to this subsection shall be reduced to account for such member ’s participation in the Oklahoma Law Enforcement Deferred Option Plan. RBS No. 481 Req. No. 481 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 F. A member who meets the definition of disability as defined in paragraph 11 of Section 2-300 of this title and whose disability is by means of personal and traumatic injury of a catastro phic nature and in the line of duty, shall receive a monthly benefit equal to: 1. Two and one-half percent (2 1/2%); 2. Multiplied by: a. twenty (20) years of service, regardless of the actual number of years of credited service performed by the member prior to the date of disability, if the member had performed less than twenty (20) years of service, or b. the actual number of years of service performed by the member if the member had performed twenty (20) or more years of service; 3. Multiplied by a final average salary equal to: a. the salary which the member would have received pursuant to statutory sa lary schedules in effect upon the date of the disabil ity for twenty (20) years of service prior to disability . The final average salary for a member who performed less than twenty (20) years of service prior to disability shall be computed assuming that the member was paid the highest salary allowable pursuant to the law in effect at the time of RBS No. 481 Req. No. 481 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the member’s disability based upon twenty (20) years of service and with an assumption that the member was eligible for any and a ll increases in pay based upon rank during the entire period. If the salary of a member is not prescribed by a specific salary schedule upon the date of the member ’s disability, the fin al average salary for the member shall be computed by the member’s actual final average salary or the hi ghest median salary amount for a member whose salary was prescribed by a specific salary schedule upon the date of the member’s disability, whichever fi nal average salary amount would be greater, or b. the actual final ave rage salary of the member if the member had performed twenty (20) or more years of service prior to disability. If such member participates in the Oklahoma Law Enforcement Deferred Option Plan pursuant to Section 2-305.2 of this title, such member’s disability pension provided pursuant to this subsection shall be adjusted as provided in Sect ion 2-305.2 of this title to account for such member ’s participation in the Oklahoma Law Enforcement Deferred Option Plan. G. A member who meets the definition of disab ility as defined in Section 2-300 of this title and whose disability occurred prior to the member’s normal retirement date but after completing three RBS No. 481 Req. No. 481 Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (3) years of vesting service and no t by reason of the performance of the member’s duties or as a result of the member’s willful negligence shall receive a monthly benefit equal to two and one -half percent (2 1/2%) of final average salary multiplied by the number of years of the member’s credited service. H. Payment of a disability pension shall commence as of the first day of the month coinci ding or next following the date of retirement and shall continue as long as the member meets the definition of total and permanent disability provided in this section. I. For the purpose of determining the member ’s disability under subsection E, F or G of this section, the member shall be required by the Board to be examined by a minimum of two recognized physicians selected by the Board to determine th e extent of the member’s injury or illness. The examining physicians s hall furnish the Board a detailed written report of the injury or illness of the examined member establishing the extent of disability and the possibilities of the disabled member being returned to his or her regular duties or an alternate occupation or se rvice covered by the System after a normal recuperation period. The Board shall requir e all retired disabled members who have not attained their normal retirement date to submit to a p hysical examination once each year for a minimum of three (3) years fol lowing retirement. The Board shall select a minimum of two physicians to examine the r etired RBS No. 481 Req. No. 481 Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 members and pay for their services from the fund . Any retired disabled member found no lon ger disabled by the examining physicians to perform the occupation of t he member or an alternate occupati on or service covered by the System shall be required to return to duty and complete twenty (20) years of service as provided in subsection A of this section, or forfeit all his or her rights and claims under Section 2-300 et seq. of this title. J. The disability benefit under this section shall be for the lifetime of the member unless such member is found no longer disabled pursuant to subsection I of this section. Such member shall not be entitled to the retirement bene fit pursuant to subsection A of this section unless such member returns to active duty and is eligible for a retirement benefit as provided in subsection A of this section. K. At the postoffer, preemployment physical examination required under paragraph 6 of Section 2-300 of this title, t he physician selected by the Board shall determine th e extent to which a new member is disabled. If a member is determined to be partially disabled, the physician shall assign a percentage of disability to such partial disability. If such member then bec omes entitled to a disability benefit under either su bsection E or subsection G of this section, the benefit payable shall be reduced by the percentage which such member was determined to be disabled at the postoffer, preemployment physical unless the Boar d makes a determination that RBS No. 481 Req. No. 481 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 the initially determined percentage of disability at the preemployment physical examination is unrelated to the reason for the disability currently sought pursuant to subsection E or subsection G of this section. Upon employment, the member shall disclose to the Board any disabi lity payments received from any source. The amount of disability to be paid to any member cannot exceed one hundred percent (100%) disability from all sources . The provisions of this subsection shall a pply only to members whose effective date of membersh ip is on or after July 1, 2000. L. In addition to the pension provided for under subsection F of this section, if the member has one or more children under the age of eighteen (18) years or under the ag e of twenty-two (22) years if the child is enrolled f ull time in and is regularly attending a public or private school or any institution of higher edu cation, Four Hundred Dollars ($400.00) a month shall be paid from the F und for the support of each surviv ing child to the member or person having the care and custody of such children until each child reaches the age of eighteen (18) years or reaches the a ge of twenty- two (22) years if the child is enrolled full time in and i s regularly attending a public or private school or any institution of higher education. M. Notwithstanding any other provisions in Section 2 -300 through 2-315 of this title, in order to be eligible to receive disability benefits, a member who meets the d efinition of disability RBS No. 481 Req. No. 481 Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 as defined in paragraph 11 of Section 2-300 of this title shall file the member’s completed application for disability benefits with the System before such membe r’s date of termination from service and provide such additional inform ation that the System’s rules require within six (6) months of the System ’s receipt of such application. If the member’s completed application for disability benefits is not filed with the System before the member’s date of termination from service or such additional information as is req uired under the System’s rules is not provided within six (6) months of the System’s receipt of such application, such member shall be eligible only fo r such other benefits as are available to members of the System and shall not be eligible to receive any disability benefits. For good cause shown, the Board of Trustees may waive the requirement that the disability application be filed before the member ’s date of termination from service. In no event shall a member be elig ible to receive any disability ben efit if the member’s completed application is filed more than six (6) months after the member’s date of termination from service. N. If the requirements of Section 2-305.1C of this title are satisfied, a member who, by re ason of disability or attainment o f normal retirement date or age, is separated from se rvice as a public safety officer with the member’s participating employer may elect to have payment made directly to the provider for qualified health insurance premiums by deduction from his or her mont hly disability RBS No. 481 Req. No. 481 Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 benefit or monthly retirement payment, after December 31, 2006, in accordance with Section 402(1) of the Internal Revenue Code of 1986, as amended. 59-1-481 RD 1/18/2023 8:59:04 AM