97B.49H ACTIVE MEMBER SUPPLEMENTAL ACCOUNTS.
1. There is established, for each active member, a supplemental
account consisting of amounts credited to the account as provided in
this section which shall be held and used for the exclusive benefit
of the member pursuant to the requirements of this section.
2. Amounts shall be credited to a supplemental account of each
active member pursuant to the requirements of this section following
a determination by the system's actuary during the most recent annual
actuarial valuation that the retirement system does not have an
unfunded accrued liability. For purposes of this section, the
retirement system does not have an unfunded accrued liability if the
actuarial accrued liability of the retirement system based on the
actuarial cost method used by the actuary does not exceed the
actuarial value of assets of the retirement system as of the
valuation date.
3. The system shall annually determine the amount to be credited
to the supplemental accounts of active members. The total amount
credited to the supplemental accounts of all active members shall not
exceed the amount that the system determines, in consultation with
the system's actuary, leaves the system fully funded following the
crediting of the total amount to the supplemental accounts. The
amount to be credited shall not be greater than the amount calculated
by multiplying the member's covered wages for the applicable wage
reporting period by the supplemental rate. For purposes of this
subsection, the supplemental rate is the difference, if positive,
between the combined employee and employer statutory contribution
rates in effect under section 97B.11 and the normal cost rate of the
retirement system as determined by the system's actuary in the most
recent annual actuarial valuation of the retirement system. The
credits shall be made to each member's account at the time that
covered wages are reported for each wage reporting period during the
calendar year following a determination that the retirement system
will remain fully funded following the crediting of the total amount
to the supplemental accounts. The normal cost rate, calculated
according to the actuarial cost method used, is the percent of pay
allocated to each year of service that is necessary to fund projected
benefits over all members' service with the retirement system.
4. Amounts credited to a member's supplemental account shall be
credited with interest quarterly pursuant to section 97B.70,
subsection 2.
5. Amounts credited to a member's supplemental account shall be
distributed as follows:
a. If a member terminates covered employment and files an
application for a refund under section 97B.53, the member shall
receive in a lump sum payment, in addition to any other payment
provided by this chapter, all amounts credited to the member's
supplemental account.
b. If a member dies prior to retirement, the member's
beneficiary shall receive in a lump sum payment, in addition to any
other payment provided by this chapter, all amounts credited to the
member's supplemental account.
c. Upon retirement, the member shall elect to receive in a
lump sum payment or in an annuity, in addition to any other payment
provided by this chapter, all amounts credited to the member's
supplemental account. The annuity provided under this section shall
be payable in the same form, at the same time, and to the same
persons, including beneficiaries and contingent annuitants, that the
member elects for the payments under the other provisions of this
chapter providing for the monthly payment of allowances. The amount
of an annuity provided under this section, including amounts payable
to beneficiaries and contingent annuitants, shall be calculated using
the amount credited to the member's supplemental account as of the
date of retirement, and the assumptions underlying the actuarial
tables used to calculate optional allowances under section 97B.51.
97B.49H ACTIVE MEMBER SUPPLEMENTAL ACCOUNTS.
1. There is established, for each active member, a supplemental
account consisting of amounts credited to the account as provided in
this section which shall be held and used for the exclusive benefit
of the member pursuant to the requirements of this section.
2. Amounts shall be credited to a supplemental account of each
active member pursuant to the requirements of this section following
a determination by the system's actuary during the most recent annual
actuarial valuation that the retirement system does not have an
unfunded accrued liability. For purposes of this section, the
retirement system does not have an unfunded accrued liability if the
actuarial accrued liability of the retirement system based on the
actuarial cost method used by the actuary does not exceed the
actuarial value of assets of the retirement system as of the
valuation date.
3. The system shall annually determine the amount to be credited
to the supplemental accounts of active members. The total amount
credited to the supplemental accounts of all active members shall not
exceed the amount that the system determines, in consultation with
the system's actuary, leaves the system fully funded following the
crediting of the total amount to the supplemental accounts. The
amount to be credited shall not be greater than the amount calculated
by multiplying the member's covered wages for the applicable wage
reporting period by the supplemental rate. For purposes of this
subsection, the supplemental rate is the difference, if positive,
between the combined employee and employer statutory contribution
rates in effect under section 97B.11 and the normal cost rate of the
retirement system as determined by the system's actuary in the most
recent annual actuarial valuation of the retirement system. The
credits shall be made to each member's account at the time that
covered wages are reported for each wage reporting period during the
calendar year following a determination that the retirement system
will remain fully funded following the crediting of the total amount
to the supplemental accounts. The normal cost rate, calculated
according to the actuarial cost method used, is the percent of pay
allocated to each year of service that is necessary to fund projected
benefits over all members' service with the retirement system.
4. Amounts credited to a member's supplemental account shall be
credited with interest quarterly pursuant to section 97B.70,
subsection 2.
5. Amounts credited to a member's supplemental account shall be
distributed as follows:
a. If a member terminates covered employment and files an
application for a refund under section 97B.53, the member shall
receive in a lump sum payment, in addition to any other payment
provided by this chapter, all amounts credited to the member's
supplemental account.
b. If a member dies prior to retirement, the member's
beneficiary shall receive in a lump sum payment, in addition to any
other payment provided by this chapter, all amounts credited to the
member's supplemental account.
c. Upon retirement, the member shall elect to receive in a
lump sum payment or in an annuity, in addition to any other payment
provided by this chapter, all amounts credited to the member's
supplemental account. The annuity provided under this section shall
be payable in the same form, at the same time, and to the same
persons, including beneficiaries and contingent annuitants, that the
member elects for the payments under the other provisions of this
chapter providing for the monthly payment of allowances. The amount
of an annuity provided under this section, including amounts payable
to beneficiaries and contingent annuitants, shall be calculated using
the amount credited to the member's supplemental account as of the
date of retirement, and the assumptions underlying the actuarial
tables used to calculate optional allowances under section 97B.51.
97B.49H ACTIVE MEMBER SUPPLEMENTAL ACCOUNTS.
1. There is established, for each active member, a supplemental
account consisting of amounts credited to the account as provided in
this section which shall be held and used for the exclusive benefit
of the member pursuant to the requirements of this section.
2. Amounts shall be credited to a supplemental account of each
active member pursuant to the requirements of this section following
a determination by the system's actuary during the most recent annual
actuarial valuation that the retirement system does not have an
unfunded accrued liability. For purposes of this section, the
retirement system does not have an unfunded accrued liability if the
actuarial accrued liability of the retirement system based on the
actuarial cost method used by the actuary does not exceed the
actuarial value of assets of the retirement system as of the
valuation date.
3. The system shall annually determine the amount to be credited
to the supplemental accounts of active members. The total amount
credited to the supplemental accounts of all active members shall not
exceed the amount that the system determines, in consultation with
the system's actuary, leaves the system fully funded following the
crediting of the total amount to the supplemental accounts. The
amount to be credited shall not be greater than the amount calculated
by multiplying the member's covered wages for the applicable wage
reporting period by the supplemental rate. For purposes of this
subsection, the supplemental rate is the difference, if positive,
between the combined employee and employer statutory contribution
rates in effect under section 97B.11 and the normal cost rate of the
retirement system as determined by the system's actuary in the most
recent annual actuarial valuation of the retirement system. The
credits shall be made to each member's account at the time that
covered wages are reported for each wage reporting period during the
calendar year following a determination that the retirement system
will remain fully funded following the crediting of the total amount
to the supplemental accounts. The normal cost rate, calculated
according to the actuarial cost method used, is the percent of pay
allocated to each year of service that is necessary to fund projected
benefits over all members' service with the retirement system.
4. Amounts credited to a member's supplemental account shall be
credited with interest quarterly pursuant to section 97B.70,
subsection 2.
5. Amounts credited to a member's supplemental account shall be
distributed as follows:
a. If a member terminates covered employment and files an
application for a refund under section 97B.53, the member shall
receive in a lump sum payment, in addition to any other payment
provided by this chapter, all amounts credited to the member's
supplemental account.
b. If a member dies prior to retirement, the member's
beneficiary shall receive in a lump sum payment, in addition to any
other payment provided by this chapter, all amounts credited to the
member's supplemental account.
c. Upon retirement, the member shall elect to receive in a
lump sum payment or in an annuity, in addition to any other payment
provided by this chapter, all amounts credited to the member's
supplemental account. The annuity provided under this section shall
be payable in the same form, at the same time, and to the same
persons, including beneficiaries and contingent annuitants, that the
member elects for the payments under the other provisions of this
chapter providing for the monthly payment of allowances. The amount
of an annuity provided under this section, including amounts payable
to beneficiaries and contingent annuitants, shall be calculated using
the amount credited to the member's supplemental account as of the
date of retirement, and the assumptions underlying the actuarial
tables used to calculate optional allowances under section 97B.51.
