IC 5-10-12
    Chapter 12. Cafeteria Plan Benefits for Certain Unused Vacation,Sick, or Personal Days

IC 5-10-12-1
"Department" defined
    Sec. 1. As used in this chapter, "department" means the statepersonnel department.
As added by P.L.195-1999, SEC.8.

IC 5-10-12-2
"State agency" defined
    Sec. 2. As used in this chapter, "state agency" means an authority,board, branch, commission, committee, department, division, or otherinstrumentality of state government, but does not include:
        (1) a state educational institution;
        (2) a state elected official's office; and
        (3) the legislative and judicial branches of state government.
As added by P.L.195-1999, SEC.8. Amended by P.L.2-2007, SEC.87.

IC 5-10-12-3
Eligibility
    Sec. 3. (a) Subject to subsections (b) and (c), an employee who:
        (1) has at least ten (10) years of creditable service with a stateagency;
        (2) retires after June 30, 2000; and
        (3) has accrued and unused sick days, vacation days, or personaldays on the employee's retirement date;
is entitled to have the amounts specified in section 5 of this chapterdeposited by the state into a cafeteria plan under Section 125 of theInternal Revenue Code.
    (b) The provisions of this chapter requiring the department tomake deposits into a cafeteria plan on behalf of retired employeesdescribed in subsection (a) apply only if the department has receivedfrom the Internal Revenue Service any approvals or rulings that thedepartment considers necessary or appropriate for the cafeteria plan.
    (c) The provisions of this chapter requiring the department tomake deposits into a cafeteria plan on behalf of retired employeesdescribed in subsection (a) do not apply if the plan described inIC 5-10-1.1-7.5(b) is implemented and the deferred compensationcommittee has received from the Internal Revenue Service anyrulings or determination letters that the committee considersnecessary or appropriate for the plan described in IC 5-10-1.1-7.5(b).
As added by P.L.195-1999, SEC.8. Amended by P.L.184-2001,SEC.7.

IC 5-10-12-4
Payments to plan
    Sec. 4. (a) The department shall adopt rules under IC 4-22-2 thatit considers necessary to make periodic payments to a cafeteria plan

under Section 125 of the Internal Revenue Code on behalf of retiredemployees described in section 3 of this chapter and to otherwisecarry out this chapter.
    (b) The rules adopted by the department may include provisionssetting forth the following:
        (1) The minimum or maximum total amount or annual amountthat may be deposited by the state under this chapter on behalfof retired employees.
        (2) The period of years of deposits.
        (3) Payment provisions.
As added by P.L.195-1999, SEC.8.

IC 5-10-12-5
Calculation of deposits
    Sec. 5. The amount that shall be deposited on behalf of aparticipating retired employee may not exceed five thousand dollars($5,000) and is based on:
        (1) the hourly rate the employee was paid on the employee'sretirement date; and
        (2) the following provisions concerning the employee's accruedand unused vacation days, sick days, or personal days:
            (A) An employee with at least ten (10) years of creditableservice but less than fifteen (15) years of creditable serviceis entitled to an amount based on twenty percent (20%) ofthe employee's accrued days.
            (B) An employee with at least fifteen (15) years of creditableservice but less than twenty (20) years of creditable serviceis entitled to an amount based on thirty-five percent (35%)of the employee's accrued days.
            (C) An employee with at least twenty (20) years ofcreditable service is entitled to an amount based on not morethan fifty percent (50%) of the employee's accrued days.
As added by P.L.195-1999, SEC.8.

IC 5-10-12-6
Application procedure
    Sec. 6. Within ninety (90) days after an employee's retirementdate, an employee who wishes to participate in a cafeteria plan asprovided under this chapter must file with the department a writtenapplication and any information required by the department.
As added by P.L.195-1999, SEC.8.