1.1                                         A bill for an act
1.2      relating to retirement; general employees retirement plan of the Public 
1.3      Employees Retirement Association; permitting a transfer of retirement coverage 
1.4      from the defined contribution retirement plan to the general employees retirement 
1.5      plan in certain instances.
1.6      BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7          Section 1. PERA-GENERAL; AUTHORIZING TRANSFER OF COVERAGE 
1.8      FROM DEFINED CONTRIBUTION PLAN IN CERTAIN INSTANCES.
1.9      (a) An eligible person described in paragraph (b) may elect under paragraph (c) to 
1.10     transfer past retirement coverage from the defined contribution retirement plan of the 
1.11     public employees retirement association to the general employees retirement plan of the 
1.12     Public Employees Retirement Association by authorizing the transfer of assets specified in 
1.13     paragraph (d) and making the additional payment, if any, specified in paragraph (e).
1.14     (b) An eligible person is a former public employee or official who:
1.15     (1) was born on August 2, 1950;
1.16     (2) served in the Minnesota house of representatives from 1975 to 1991;
1.17     (3) served in the Minnesota senate from 1991 to 2002;
1.18     (4) became the mayor of a Minnesota home rule city in January 2002; and
1.19     (5) elected retirement coverage by the defined contribution retirement plan of the 
1.20     Public Employees Retirement Association on January 15, 2002.
1.21     (c) The election of the retirement coverage transfer must be made in writing within 
1.22     180 days of the date of enactment of this act. The election must authorize the asset 
1.23     transfer specified in paragraph (d) and must be accompanied with any payment amount 
1.24     required under paragraph (e). Upon the transfer and payment, the electing eligible person 
1.25     is entitled to allowable service and salary credit under Minnesota Statutes, section 353.01, 
2.1      subdivisions 10 and 16, for the service and salary related to the defined contribution 
2.2      retirement plan coverage period.
2.3      (d) The transfer amount is the total member and employer contributions and any 
2.4      investment performance to the credit of the eligible person in the defined contribution 
2.5      retirement plan of the Public Employees Retirement Association.
2.6      (e) The additional payment amount is the amount by which the transfer amount 
2.7      under paragraph (d) is less than the amount that would be required to be transferred to the 
2.8      Minnesota post retirement investment fund for the coordinated program of the general 
2.9      employees retirement plan of the Public Employees Retirement Association retirement 
2.10     annuity payable to the eligible person on the first day of the month next following the 
2.11     date of enactment or on the first day of the month next following the day on which the 
2.12     eligible person is first eligible to receive a retirement annuity from the general employees 
2.13     retirement plan of the Public Employees Retirement Association if that date is later than 
2.14     the date of enactment. The former employer of the eligible employee may pay a portion of 
2.15     the additional payment amount, but not to exceed 57 percent of the total amount, at the 
2.16     discretion of the former employer.
2.17     (f) The executive director of the Public Employees Retirement Association may 
2.18     request any relevant documentation to verify a person's status as an eligible person under 
2.19     this section and may audit city records to verify conformity with Minnesota Statutes, 
2.20     section 353.01, subdivisions 10 and 16.

2.21         Sec. 2. EFFECTIVE DATE.
2.22     (a) Section 1 is effective on the day following final enactment.
2.23     (b) Section 1 expires on July 1, 2007.