Introduced Version
Senate Bill 583 History
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Committee Substitute (1)
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Senate Bill No. 583
(By Senator Kirkendoll)
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[Introduced March 20, 2013; referred to the Committee on
Pensions; and then to the Committee on Finance .]
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A BILL to amend and reenact §16-5V-9 of the Code of West Virginia,
1931, as amended, relating to transfer from Public Employees
Retirement System to the Emergency Medical Services Retirement
System; and providing that a transferring director has
thirty-six months from the date of application to pay all
associated costs.
Be it enacted by the Legislature of West Virginia:
That §16-5V-9 of the Code of West Virginia, 1931, as amended,
be amended and reenacted to read as follows:
ARTICLE 5V.á EMERGENCY MEDICAL SERVICES RETIREMENT SYSTEM ACT.
§16-5V-9. Transfer from Public Employees Retirement System.
(a) The Consolidated Public Retirement Board shall, within one
hundred eighty days of the effective date of the transfer of an
emergency medical services officer from the Public Employees Retirement System to the plan, transfer assets from the Public
Employees Retirement System Trust Fund into the West Virginia
Emergency Medical Services Trust Fund.
(b) Except as provided in subsection (e) of this section, the
amount of assets to be transferred for each transferring emergency
medical services officer shall be computed as of January 1, 2008,
using July 1, 2007, actuarial valuation of the Public Employees
Retirement System, and updated with seven and one-half percent
annual interest to the date of the actual asset transfer. The
market value of the assets of the transferring emergency medical
services officer in the Public Employees Retirement System shall be
determined as of the end of the month preceding the actual transfer.
To determine the computation of the asset share to be transferred
the board shall:
(1) Compute the market value of the Public Employees Retirement
System assets as of July 1, 2007, actuarial valuation date under the
actuarial valuation approved by the board;
(2) Compute the actuarial accrued liabilities for all Public
Employees Retirement System retirees, beneficiaries, disabled
retirees and terminated inactive members as of July 1, 2007,
actuarial valuation date;
(3) Compute the market value of active member assets in the
Public Employees Retirement System as of July 1, 2007, by reducing
the assets value under subdivision (1) of this subsection by the inactive liabilities under subdivision (2) of this subsection;
(4) Compute the actuarial accrued liability for all active
Public Employees Retirement System members as of July 1, 2007,
actuarial valuation date approved by the board;
(5) Compute the funded percentage of the active members'
actuarial accrued liabilities under the Public Employees Retirement
System as of July 1, 2007, by dividing the active members' market
value of assets under subdivision (3) of this subsection by the
active members' actuarial accrued liabilities under subdivision (4)
of this subsection;
(6) Compute the actuarial accrued liabilities under the Public
Employees Retirement System as of July 1, 2007, for active emergency
medical services officers transferring to the Emergency Medical
Services Retirement System;
(7) Determine the assets to be transferred from the Public
Employees Retirement System to the Emergency Medical Services
Retirement System by multiplying the active members' funded
percentage determined under subdivision (5) of this subsection by
the transferring active members' actuarial accrued liabilities under
the Public Employees Retirement System under subdivision (6) of this
subsection and adjusting the asset transfer amount by interest at
seven and five-tenths percent for the period from the calculation
date of July 1, 2007, through the first day of the month in which
the asset transfer is to be completed.
(c) Once an emergency medical services officer has elected to
transfer from the Public Employees Retirement System, transfer of
that amount as calculated in accordance with the provisions of
subsection (b) of this section, or subsection (e) if applicable by
the Public Employees Retirement System shall operate as a complete
bar to any further liability to the Public Employees Retirement
System and constitutes an agreement whereby the transferring
emergency medical services officer forever indemnifies and holds
harmless the Public Employees Retirement System from providing him
or her any form of retirement benefit whatsoever until that
emergency medical services officer obtains other employment which
would make him or her eligible to reenter the Public Employees
Retirement System with no credit whatsoever for the amounts
transferred to the Emergency Medical Services Retirement System.
(d) Eligible emergency medical services officers that transfer
from plans other than the Public Employees Retirement System shall
have service recognized under this plan through the purchase of the
service through payment by the member of sixty percent of the
actuarial accrued liabilities which would result if the service is
credited under the Emergency Medical Services Retirement System
subject to the following:
(1) The service may be purchased in one-year increments of
eligible service or for the total period of eligible service;
(2) Payment must begin within twelve months of the effective date of this article;
(3) Payment must be made in either a one-time lump sum payment
received by the board no later than December 31, 2008, or in regular
installment payments payable over sixty months with the initial
installment received by the board on or before December 31, 2008;
(4) The rate of interest applicable to regular installment
payments for the purchase of service shall be the actuarial interest
rate assumption as approved by the board for completing the
actuarial valuation for the plan year immediately preceding the
first day of the plan year in which the service purchase is made,
compounded per annum;
(5) Once payments commence, selection of the period of service
being purchased may not be amended; and
(6) Service will be credited only upon receipt by the board of
all payments due.
(e) Notwithstanding any provision of this code to the contrary,
any Emergency Medical Services director who: (1) Is an active member
of the Public Employees Retirement System; and (2) has, or obtains
within one year of the effective date of the amendments to this
section enacted during the 2012 regular session of the Legislature,
basic or higher emergency management technician certification, is
eligible to transfer service credit from the Public Employees
Retirement System to the Emergency Medical Services Retirement
System, upon payment of associated costs by the transferring director. The board shall compute the actuarially appropriate
amount of any increased benefit cost of transfer to be borne by the
transferring director to be paid according to terms established by
the board. Any Emergency Medical Services director who transfers to
the Emergency Medical Services Retirement System pursuant to the
provisions of this subsection shall apply for the transfer to the
board within one year of the effective date of the amendments to
this section enacted during the 2012 regular session of the
Legislature: Provided, That the transferring director has
thirty-six months from the date of application to pay all associated
costs. Upon receipt of the total payment of all associated costs
by the transferring director, the board shall compute the amount of
assets to be transferred from the Public Employees Retirement System
to the Emergency Medical Retirement System and shall transfer the
assets within six months of the receipt of the application. Any
director transferring into the retirement system as provided in this
subsection is prohibited from retiring within three years of
transfer.
NOTE: The purpose of this bill is to provide that a
transferring director from the Public Employees Retirement System
to the Emergency Medical Services Retirement System has thirty-six
months from the date of application to pay all associated costs.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.