CHAPTER 6. JUDGES' RETIREMENT SYSTEM
IC 33-38-6
Chapter 6. Judges' Retirement System
IC 33-38-6-1
"Americans with Disabilities Act" defined
Sec. 1. As used in this chapter, "Americans with Disabilities Act"refers to the Americans with Disabilities Act (42 U.S.C. 12101 etseq.) and any amendments and regulations related to the act.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-2
"Board" defined
Sec. 2. As used in this chapter, "board" refers to the board oftrustees of the public employees' retirement fund.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-3
"Employer" defined
Sec. 3. As used in this chapter, "employer" means the state ofIndiana.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-4
"Fiscal year" defined
Sec. 4. As used in this chapter, "fiscal year" means the periodbeginning July 1, in any year, and ending June 30 of the succeedingyear.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-5
"Fund" defined
Sec. 5. As used in this chapter, "fund" refers to the Indiana judges'retirement fund established by section 12 of this chapter.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-6
"Internal Revenue Code" defined
Sec. 6. As used in this chapter, "Internal Revenue Code":
(1) means the Internal Revenue Code of 1954, as in effectSeptember 1, 1974, if permitted with respect to governmentalplans; or
(2) to the extent not inconsistent with subdivision (1), has themeaning set forth in IC 6-3-1-11.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-7
"Judge" defined
Sec. 7. As used in this chapter, "judge" means a person whoserves or has served as a regular judge or justice of one (1) or moreof the following courts: (1) Supreme court.
(2) Court of appeals.
(3) Indiana tax court.
(4) Circuit court of a judicial circuit.
(5) Superior court of a county.
(6) Criminal court of a county having a separate criminal court.
(7) Probate court of a county having a separate probate court.
(8) Juvenile court of a county having a separate juvenile court.
(9) Municipal court of a county.
(10) County court of a county.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-8
"Judge pro tempore service" defined
Sec. 8. As used in this chapter, "judge pro tempore service" meansservice in Indiana as a full-time judge pro tempore appointed underTrial Rule 63(B) that:
(1) is not covered by IC 33-38-7 or IC 33-38-8; and
(2) is served by a person who has other service that is coveredby IC 33-38-7 or IC 33-38-8.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-9
"Participant" defined
Sec. 9. As used in this chapter, "participant" means a judge whoparticipates in the fund. After December 31, 2010, "participant"means a judge or full-time magistrate who participates in the fund.
As added by P.L.98-2004, SEC.17. Amended by P.L.122-2008,SEC.6.
IC 33-38-6-10
"Salary" defined
Sec. 10. As used in this chapter, "salary" means the total salarypaid to a participant by the state and by a county or counties,determined without regard to any salary reduction agreementestablished under Section 125 of the Internal Revenue Code.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-11
"Services" defined
Sec. 11. As used in this chapter, "services" means the periodbeginning on the first day a person first becomes a judge or, afterDecember 31, 2010, a judge or full-time magistrate, and ending onthe date under consideration and includes all interveningemployment as a judge or, after December 31, 2010, a judge orfull-time magistrate.
As added by P.L.98-2004, SEC.17. Amended by P.L.122-2008,SEC.7.
IC 33-38-6-12 Indiana judges' retirement fund
Sec. 12. The Indiana judges' retirement fund is established andconsists of:
(1) each participant's contribution to the fund;
(2) gifts, grants, devises, and bequests in money, property, orother forms made to the fund;
(3) interest on investments or on deposits of the funds; and
(4) contributions or payments to the fund made in the mannerprovided by the general assembly, including appropriationsfrom the state general fund as provided by this chapter.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-13
Qualification of fund under Internal Revenue Code
Sec. 13. The fund must satisfy the qualification requirements inSection 401 of the Internal Revenue Code, as applicable to the fund.In order to meet those requirements, the fund is subject to thefollowing provisions, notwithstanding any other provision of thischapter IC 33-38-7, or IC 33-38-8:
(1) The board shall distribute the corpus and income of the fundto participants and their beneficiaries in accordance with thischapter, IC 33-38-7, and IC 33-38-8.
(2) A part of the corpus or income of the fund may not be usedor diverted to a purpose other than the exclusive benefit of theparticipants and their beneficiaries.
(3) Forfeitures arising from severance of employment, death, orfor any other reason may not be applied to increase the benefitsa participant would otherwise receive under the fund.
(4) If the fund is terminated or if all contributions to the fundare completely discontinued, the rights of each affectedparticipant to the benefits accrued at the date of the terminationor discontinuance, to the extent then funded, are nonforfeitable.
(5) All benefits paid from the fund shall be distributed inaccordance with the requirements of Section 401(a)(9) of theInternal Revenue Code and the regulations under that section.In order to meet those requirements, the fund is subject to thefollowing provisions:
(A) The life expectancy of a participant, the participant'sspouse, or the participant's beneficiary shall not berecalculated after the initial determination, for purposes ofdetermining benefits.
(B) If a participant dies before the distribution of theparticipant's benefits has begun, distributions to beneficiariesmust begin not later than December 31 of the calendar yearimmediately following the calendar year in which theparticipant died.
(6) The board may not:
(A) determine eligibility for benefits;
(B) compute rates of contribution; or
(C) compute benefits of participants or beneficiaries; in a manner that discriminates in favor of participants who areconsidered officers, supervisors, or highly compensated, asprohibited under Section 401(a)(4) of the Internal RevenueCode.
(7) The salary taken into account under this chapter, IC 33-38-7,or IC 33-38-8 may not exceed the applicable amount underSection 401(a)(17) of the Internal Revenue Code.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-14
Administration of fund
Sec. 14. The board shall administer the fund in a manner that isconsistent with the Americans with Disabilities Act, to the extentrequired by the act.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-15
Law governing participation, contributions, withdrawals, andbenefits; Family and Medical Leave Act; Uniformed ServicesEmployment and Reemployment Act
Sec. 15. (a) Conditions for participation in the fund, contributionsto the fund, withdrawal from the fund, and eligibility for andcomputation of benefits for participants and their survivors aregoverned by IC 33-38-7 and IC 33-38-8.
(b) Notwithstanding any provision of this chapter, IC 33-38-7, orIC 33-38-8, the fund must be administered in a manner consistentwith the Family and Medical Leave Act of 1993 (29 U.S.C. 2601 etseq.). A participant on a leave of absence that qualifies for thebenefits and protections afforded by the Family and Medical LeaveAct is entitled to receive credit for vesting and eligibility purposes tothe extent required by the Family and Medical Leave Act but is notentitled to receive credit for service for benefit purposes.
(c) Notwithstanding any provision of this chapter, IC 33-38-7, andIC 33-38-8, a participant is entitled to service credit and benefits inthe amount and to the extent required by the Uniformed ServicesEmployment and Reemployment Rights Act (38 U.S.C. 4301 et seq.).
As added by P.L.98-2004, SEC.17.
IC 33-38-6-16
Referendum of judges concerning federal Social Securityagreement
Sec. 16. (a) The governor may conduct, or cause to be conducted,a referendum for the judges who are covered by the provisions of thejudges' retirement fund to determine whether the judges covered bythe retirement fund shall be excluded from or included in theagreement negotiated under the provisions of Section 218 of thefederal Social Security Act (as defined in IC 5-10.1-1-9). Thereferendum must be conducted in full compliance with all therequirements of Section 218(d) of the federal Social Security Act.The governor shall designate the board as the agency to conduct and
supervise the referendum, and the expense of conducting thereferendum shall be paid from funds appropriated to the fund.
(b) If the majority of the judges who are eligible to vote in thereferendum described in subsection (a) vote in the negative, theboard may request that a subsequent referendum be conducted in thesame manner and with the same effect described in subsection (a).However, a subsequent referendum may not be conducted within one(1) year after the date of the prior referendum.
(c) If a majority of the judges who are eligible to vote in thereferendum described in subsection (a) vote in the affirmative, boththe:
(1) judges covered by the retirement fund; and
(2) judges who waived their right to be covered by theprovisions of the retirement fund;
shall be included in the agreement negotiated by the state with theSecretary of the United States Department of Health and HumanServices in the same manner provided in IC 5-10.1-4 for theinclusion of services covered by the retirement systems specified inIC 5-10.1-4-1 in the agreement.
(d) Each judge whose services are covered by Social Security isrequired to pay during the period of the judge's service the employeecontributions required by the agreement. The contributions shallbegin on the effective date of the judge's coverage and are subject tothe terms and conditions of IC 5-10.1.
(e) The auditor of state shall pay the employer contributionsrequired under the agreement wholly from funds appropriated to thefund, and the contributions begin on the effective date of themodification that adds the judges of the fund to the federal-stateagreement. The employer contributions shall be paid in the mannerprovided in the agreement.
(f) The modification of the federal-state agreement to effectuatethe participation of the judges in the agreement must be effective forservices performed on a date fixed and determined by the board.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-17
Appropriation from state general fund
Sec. 17. (a) For purposes of this chapter, there is appropriated foreach biennium a sum of money, computed on an actuarially fundedbasis, as follows:
(1) From the state general fund for participants' retirementbenefits, the amount determined by the board, onrecommendation of an actuary, which, when added to the partof the fund held for benefits at the date of the appropriation, isequal to the total liability of the fund for benefits to the end ofthe biennium.
(2) From the earnings on the fund, for administration purposes,the amount required during the biennium, as determined by theboard on the basis of experience. The amount required foradministration shall be paid out as the operating expenses of
other state departments are paid.
(b) The biennial appropriation provided in this section shall becredited to the board annually in equal installments in July of eachyear of the biennium.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-18
Use of appropriated funds
Sec. 18. The amount appropriated under section 17 of this chapterfor participants' retirement benefits shall be used for retirementbenefits under IC 33-38-7 and IC 33-38-8.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-19
Fund construed as a trust
Sec. 19. The fund shall be construed to be a trust, separate anddistinct from all other entities, maintained to secure payment ofbenefits to the participants and their beneficiaries, as prescribed inIC 33-38-7 and IC 33-38-8.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-20
Use of fund for administrative costs
Sec. 20. In addition to the purpose set forth in section 19 of thischapter, the fund may be used for the payment of the costs ofadministering this chapter.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-21
Warrants to participants
Sec. 21. (a) When drawing a salary warrant for a participant, theauditor of state and the county auditor shall deduct from the amountof the warrant the participant's contribution, if any, to the fund in theamount certified in the vouchers or an order issued by the director.
(b) The auditor of state and the county auditor shall draw awarrant to the fund for the total contributions withheld from theparticipants each month. The warrant drawn to the fund together witha list of participants and the amount withheld from each participantshall be transmitted immediately to the director.
(c) The auditor of state shall draw warrants upon the treasurer ofstate, payable from the fund, for purposes provided for in thischapter, upon the presentation of vouchers or an order signed by thedirector of the board in accordance with resolutions of the board.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-22
Salary warrants indicating deductions of contributions
Sec. 22. The auditor of state and the county auditor in thepreparation of salary warrants to participants shall indicate on thepayroll voucher the following information, in addition to other
things:
(1) The amount of the participant's contribution to the funddeducted from the salary of the participant.
(2) The net amount payable to the participant, after thededuction of the participant's contribution.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-23
Administration of fund; confidentiality of fund records
Sec. 23. (a) The board of trustees of the public employees'retirement fund shall administer the fund, which may be commingledwith the public employees' retirement fund for investment purposes.
(b) The board shall do the following:
(1) Determine eligibility for and make payments of benefitsunder IC 33-38-7 and IC 33-38-8.
(2) In accordance with the powers and duties granted it inIC 5-10.3-3-7, IC 5-10.3-3-7.1, IC 5-10.3-3-8, and IC 5-10.3-5-3through IC 5-10.3-5-6, administer the fund.
(3) Provide by rule for the implementation of this chapter andIC 33-38-7 and IC 33-38-8.
(4) Authorize deposits.
(c) A determination by the board may be appealed under theprocedures in IC 4-21.5.
(d) The powers and duties of:
(1) the director and the actuary of the board;
(2) the attorney general; and
(3) the auditor of state;
with respect to the fund are those specified in IC 5-10.3-3 andIC 5-10.3-4.
(e) The board may hire additional personnel, including hearingofficers, to assist it in the implementation of this chapter.
(f) Fund records of individual participants and participants'information are confidential, except for the name and years of serviceof a fund participant.
As added by P.L.98-2004, SEC.17. Amended by P.L.94-2004, SEC.6;P.L.99-2010, SEC.9.
IC 33-38-6-24
Rollover to eligible retirement plan
Sec. 24. Notwithstanding any other provision of this chapter,IC 33-38-7, or IC 33-38-8, to the extent required by Internal RevenueCode Section 401(a)(31) of the Internal Revenue Code, as added bythe Unemployment Compensation Amendments of 1992 (P.L.102-318), and any amendments and regulations related to Section401(a)(31) of the Internal Revenue Code, the fund shall allowparticipants and qualified beneficiaries to elect a direct rollover ofeligible distributions to another eligible retirement plan.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-25 Service credit; contributions for service as judge or full-timemagistrate
Sec. 25. (a) A judge or, after December 31, 2010, a judge orfull-time magistrate, is entitled to a month of service credit forservices performed in any fraction of a calendar month. However, ajudge or, after December 31, 2010, a judge or full-time magistrate,is not entitled to more than one (1) month of credit for servicesperformed in a calendar month.
(b) Except as otherwise provided in this chapter, if a judge iselected or appointed and serves one (1) or more terms or part of aterm, then retires from office but at a later period or periods isappointed or elected and serves as judge, the judge shall pay into thefund during all the periods served as judge, whether the periods areserved consecutively or not.
(c) Except as otherwise provided in this chapter, a judge is notrequired to pay into the fund:
(1) at any time when the judge is not serving as judge; or
(2) during any period of service as a senior judge underIC 33-23-3.
(d) Except as otherwise provided in this chapter, after December31, 2010, a full-time magistrate:
(1) shall pay into the fund during all periods served as afull-time magistrate, whether the periods are servedconsecutively or not; and
(2) is not required to pay into the fund at any time when themagistrate is not serving as a full-time magistrate.
As added by P.L.98-2004, SEC.17. Amended by P.L.122-2008,SEC.8.
IC 33-38-6-26
Judge pro tempore service credit; conditions
Sec. 26. (a) A participant may purchase judge pro tempore servicecredit if:
(1) the participant has at least one (1) year of service in thefund;
(2) before the participant retires, the participant makescontributions to the fund:
(A) that are equal to the product of:
(i) the participant's salary at the time the participantactually makes a contribution for the service credit;multiplied by
(ii) a percentage rate, as determined by the actuary of thefund, that is based on the age of the participant at the timethe participant makes a contribution for service credit andcomputed to result in a contribution amount thatapproximates the actuarial present value of the benefitattributable to the service credit purchased; multiplied by
(iii) the number of years of judge pro tempore service theparticipant intends to purchase; and
(B) for any accrued interest, at a rate determined by the
actuary of the fund, for the period from the participant'sinitial membership in the fund to the date payment is madeby the participant; and
(3) the fund receives verification from the applicable court thatthe judge pro tempore service occurred.
(b) A participant may not receive service credit under this sectionif the judge pro tempore service for which the participant requestscredit also qualifies the participant for a benefit in another retirementsystem.
(c) A participant who:
(1) terminates service before satisfying the requirements foreligibility to receive a retirement benefit from the fund; or
(2) receives a retirement benefit for the same service fromanother retirement system, other than under the federal SocialSecurity Act;
may withdraw the participant's contributions made under this sectionplus accumulated interest after submitting to the fund a properlycompleted application for a refund.
(d) The following apply to the purchase of service credit underthis section:
(1) The board may allow a participant to make periodicpayments of the contributions required for the purchase of theservice credit. The board shall determine the length of theperiod during which the payments are to be made.
(2) The board may deny an application for the purchase ofservice credit if the purchase would exceed the limitations setforth in Section 415 of the Internal Revenue Code.
(3) A participant may not claim the service credit for purposesof determining eligibility or computing benefits unless theparticipant has made all payments required for the purchase ofthe service credit.
(e) To the extent permitted by the Internal Revenue Code andapplicable regulations, the fund may accept, on behalf of aparticipant who is purchasing service credit under this section, arollover of a distribution from any of the following:
(1) A qualified plan described in Section 401(a) or Section403(a) of the Internal Revenue Code.
(2) An annuity contract or account described in Section 403(b)of the Internal Revenue Code.
(3) An eligible plan that is maintained by a state, a politicalsubdivision of a state, or an agency or instrumentality of a stateor political subdivision of a state under Section 457(b) of theInternal Revenue Code.
(4) An individual retirement account or annuity described inSection 408(a) or Section 408(b) of the Internal Revenue Code.
(f) To the extent permitted by the Internal Revenue Code and theapplicable regulations, the fund may accept, on behalf of aparticipant who is purchasing service credit under this section, atrustee to trustee transfer from any of the following:
(1) An annuity contract or account described in Section 403(b)
of the Internal Revenue Code.
(2) An eligible deferred compensation plan under Section457(b) of the Internal Revenue Code.
As added by P.L.98-2004, SEC.17.
IC 33-38-6-27
Reference to judges' retirement system
Sec. 27. A reference to the judges' retirement system under thischapter is considered a reference to the judges' retirement fund underthis article.
As added by P.L.98-2004, SEC.17.