Contributions by members and employers--rate--penalty for failureto remit--benefits to be reduced, when--purchase of service credit,certain members, how.
169.620. 1. The funds required for the operation of the retirementsystem created by sections 169.600 to 169.715 shall come from contributionsmade in equal amounts by employees as herein defined and their employers,beginning November 1, 1965, and from such interest or income as may bederived from the investment of funds of the system. All contributionsshall be transmitted to the board of trustees by employers in such mannerand at such times as the board by rule shall require.
2. For each school year following the date on which the systembecomes operative, each and every employer of one or more persons who aremembers of the system shall transmit to the board of trustees, in themanner and accompanied by such supporting data as the board shallprescribe, twice the amount that is deductible from the pay of suchemployee or employees during the school year. Failure or refusal totransmit such amount as required shall render the person or personsresponsible therefor individually liable for twice the amount so withheld.Suits for the recovery of amounts for which individuals are thus renderedliable shall be instituted and prosecuted by the board of trustees in thename of the retirement system. In addition to such civil penalty, and notin lieu thereof, any person or persons made responsible for the remittanceof contributions who shall willfully and knowingly fail or refuse totransmit such contributions or any part thereof to the board of trusteesshall be deemed guilty of a misdemeanor and, upon conviction thereof, shallbe punished by a fine of not less than twenty-five dollars and not morethan two hundred dollars. Each day such person or persons shall so fail orrefuse to transmit such contributions shall be deemed a separate offense.The board of trustees may request the employer to provide the informationnecessary to administer the system and to advise each member of suchmember's status.
3. The contributions of members of the retirement system shall becollected by their employers through appropriate deductions from paychecks.The total amount deducted from the paychecks of members during any schoolyear shall equal such a percent of their salary rates as may be required bythe contribution rate then in effect. For contribution purposes any annualsalary rate less than one thousand two hundred dollars shall be regarded asone thousand two hundred dollars. Contributions transmitted to theretirement system before February 20, 1996, based on salary rates whicheither included or excluded employer-paid medical benefits for members,shall be deemed to have been in compliance with this section. Theretirement system shall not refund or adjust contributions or adjustbenefit determinations with respect to any period before February 20, 1996,solely because of the treatment of employer-paid medical benefits formembers. Effective December 31, 1995, compensation in excess of thelimitations set forth in Section 401(a)(17) of Title 26 of the UnitedStates Code shall be disregarded for purposes of determining contributionspursuant to this section and calculating benefits paid by the publiceducation employee retirement system of Missouri. The limitation oncompensation for eligible employees shall not be less than the amount whichwas allowed to be taken into account under the system as in effect on July1, 1993. For the purpose of this subsection, an "eligible employee" is anindividual who was a member of the system before July 1, 1996.
4. The board of trustees shall fix and certify to the employers thelevel rate of contribution subject to the following:
(1) The level rate of contribution for a fiscal year shall not exceedthe level rate of contribution for the prior fiscal year by more thanone-quarter percent;
(2) The board shall fix and certify to the employers the rate ofcontribution for a fiscal year no later than six months prior to the datesuch rate is to be effective;
(3) The board shall fix and certify to the employers the rate ofcontribution for a fiscal year based on an actuarial valuation of thesystem as of a date not earlier than the last day of the second priorfiscal year. Such actuarial valuation of the system shall be performedusing processes and actuarial assumptions that are in accordance withactuarial standards of practice in effect at the time the valuation isperformed, as promulgated by the actuarial standards board or itssuccessor; provided that such actuarial valuation shall be based on theentry age normal actuarial cost method and an asset valuation method basedon the market value of system assets that may provide for smoothing ofinvestment gains and losses, and further, that the level rate ofcontribution shall be the total of the normal cost and a rate which shallamortize the unfunded actuarial accrued liability over a period that shallnot exceed thirty years from the date of the valuation, subject to thelimitations of this subsection; and
(4) Not less than once every ten years the board shall have anactuary, other than the actuary performing the actuarial valuation pursuantto this section, review such actuarial valuation and perform an additionalactuarial valuation of the system.
5. Regardless of the provisions of any law governing compensation andcontracts, every employee shall be deemed to consent and agree to thedeductions provided herein. Payment of salary or compensation less suchdeduction shall be a full and complete discharge of all salary orcompensation claims and demands during the period covered by such payment,except as to the benefits provided pursuant to sections 169.600 to 169.715.
6. A person serving as an employee as defined in section 169.600, whobecame a member after November 1, 1965, and before July 1, 1974, and whowas regularly employed to serve for twenty or more hours per week at sometime during the period November 1, 1965, to July 1, 1974, may receivemembership service credit for such service by paying into the system theamount, with interest at such rate as may be set by the board within thelimits set by law for interest rates, the person would have contributed hadthe person been eligible for membership.
7. Notwithstanding any other provision of sections 169.600 to 169.715to the contrary, no legislation shall be enacted after July 1, 2003, thatincreases benefits provided to members or retirees of the public educationemployee retirement system of Missouri above that which may be funded usinga rate of contribution of five percent as determined using an actuarialvaluation as provided in subsection 4 of this section; provided that,notwithstanding the provisions of this subsection, legislation may beenacted after July 1, 2003, that provides for an extension of time withinwhich a member may make an election pursuant to subdivision (4) ofsubsection 1 of section 169.670.
Contributions by members and employers--rate--penalty for failureto remit--benefits to be reduced, when--purchase of service credit,certain members, how.
169.620. 1. The funds required for the operation of the retirementsystem created by sections 169.600 to 169.715 shall come from contributionsmade in equal amounts by employees as herein defined and their employers,beginning November 1, 1965, and from such interest or income as may bederived from the investment of funds of the system. All contributionsshall be transmitted to the board of trustees by employers in such mannerand at such times as the board by rule shall require.
2. For each school year following the date on which the systembecomes operative, each and every employer of one or more persons who aremembers of the system shall transmit to the board of trustees, in themanner and accompanied by such supporting data as the board shallprescribe, twice the amount that is deductible from the pay of suchemployee or employees during the school year. Failure or refusal totransmit such amount as required shall render the person or personsresponsible therefor individually liable for twice the amount so withheld.Suits for the recovery of amounts for which individuals are thus renderedliable shall be instituted and prosecuted by the board of trustees in thename of the retirement system. In addition to such civil penalty, and notin lieu thereof, any person or persons made responsible for the remittanceof contributions who shall willfully and knowingly fail or refuse totransmit such contributions or any part thereof to the board of trusteesshall be deemed guilty of a misdemeanor and, upon conviction thereof, shallbe punished by a fine of not less than twenty-five dollars and not morethan two hundred dollars. Each day such person or persons shall so fail orrefuse to transmit such contributions shall be deemed a separate offense.The board of trustees may request the employer to provide the informationnecessary to administer the system and to advise each member of suchmember's status.
3. The contributions of members of the retirement system shall becollected by their employers through appropriate deductions from paychecks.The total amount deducted from the paychecks of members during any schoolyear shall equal such a percent of their salary rates as may be required bythe contribution rate then in effect. For contribution purposes any annualsalary rate less than one thousand two hundred dollars shall be regarded asone thousand two hundred dollars. Contributions transmitted to theretirement system before February 20, 1996, based on salary rates whicheither included or excluded employer-paid medical benefits for members,shall be deemed to have been in compliance with this section. Theretirement system shall not refund or adjust contributions or adjustbenefit determinations with respect to any period before February 20, 1996,solely because of the treatment of employer-paid medical benefits formembers. Effective December 31, 1995, compensation in excess of thelimitations set forth in Section 401(a)(17) of Title 26 of the UnitedStates Code shall be disregarded for purposes of determining contributionspursuant to this section and calculating benefits paid by the publiceducation employee retirement system of Missouri. The limitation oncompensation for eligible employees shall not be less than the amount whichwas allowed to be taken into account under the system as in effect on July1, 1993. For the purpose of this subsection, an "eligible employee" is anindividual who was a member of the system before July 1, 1996.
4. The board of trustees shall fix and certify to the employers thelevel rate of contribution subject to the following:
(1) The level rate of contribution for a fiscal year shall not exceedthe level rate of contribution for the prior fiscal year by more thanone-quarter percent;
(2) The board shall fix and certify to the employers the rate ofcontribution for a fiscal year no later than six months prior to the datesuch rate is to be effective;
(3) The board shall fix and certify to the employers the rate ofcontribution for a fiscal year based on an actuarial valuation of thesystem as of a date not earlier than the last day of the second priorfiscal year. Such actuarial valuation of the system shall be performedusing processes and actuarial assumptions that are in accordance withactuarial standards of practice in effect at the time the valuation isperformed, as promulgated by the actuarial standards board or itssuccessor; provided that such actuarial valuation shall be based on theentry age normal actuarial cost method and an asset valuation method basedon the market value of system assets that may provide for smoothing ofinvestment gains and losses, and further, that the level rate ofcontribution shall be the total of the normal cost and a rate which shallamortize the unfunded actuarial accrued liability over a period that shallnot exceed thirty years from the date of the valuation, subject to thelimitations of this subsection; and
(4) Not less than once every ten years the board shall have anactuary, other than the actuary performing the actuarial valuation pursuantto this section, review such actuarial valuation and perform an additionalactuarial valuation of the system.
5. Regardless of the provisions of any law governing compensation andcontracts, every employee shall be deemed to consent and agree to thedeductions provided herein. Payment of salary or compensation less suchdeduction shall be a full and complete discharge of all salary orcompensation claims and demands during the period covered by such payment,except as to the benefits provided pursuant to sections 169.600 to 169.715.
6. A person serving as an employee as defined in section 169.600, whobecame a member after November 1, 1965, and before July 1, 1974, and whowas regularly employed to serve for twenty or more hours per week at sometime during the period November 1, 1965, to July 1, 1974, may receivemembership service credit for such service by paying into the system theamount, with interest at such rate as may be set by the board within thelimits set by law for interest rates, the person would have contributed hadthe person been eligible for membership.
7. Notwithstanding any other provision of sections 169.600 to 169.715to the contrary, no legislation shall be enacted after July 1, 2003, thatincreases benefits provided to members or retirees of the public educationemployee retirement system of Missouri above that which may be funded usinga rate of contribution of five percent as determined using an actuarialvaluation as provided in subsection 4 of this section; provided that,notwithstanding the provisions of this subsection, legislation may beenacted after July 1, 2003, that provides for an extension of time withinwhich a member may make an election pursuant to subdivision (4) ofsubsection 1 of section 169.670.
Contributions by members and employers--rate--penalty for failureto remit--benefits to be reduced, when--purchase of service credit,certain members, how.
169.620. 1. The funds required for the operation of the retirementsystem created by sections 169.600 to 169.715 shall come from contributionsmade in equal amounts by employees as herein defined and their employers,beginning November 1, 1965, and from such interest or income as may bederived from the investment of funds of the system. All contributionsshall be transmitted to the board of trustees by employers in such mannerand at such times as the board by rule shall require.
2. For each school year following the date on which the systembecomes operative, each and every employer of one or more persons who aremembers of the system shall transmit to the board of trustees, in themanner and accompanied by such supporting data as the board shallprescribe, twice the amount that is deductible from the pay of suchemployee or employees during the school year. Failure or refusal totransmit such amount as required shall render the person or personsresponsible therefor individually liable for twice the amount so withheld.Suits for the recovery of amounts for which individuals are thus renderedliable shall be instituted and prosecuted by the board of trustees in thename of the retirement system. In addition to such civil penalty, and notin lieu thereof, any person or persons made responsible for the remittanceof contributions who shall willfully and knowingly fail or refuse totransmit such contributions or any part thereof to the board of trusteesshall be deemed guilty of a misdemeanor and, upon conviction thereof, shallbe punished by a fine of not less than twenty-five dollars and not morethan two hundred dollars. Each day such person or persons shall so fail orrefuse to transmit such contributions shall be deemed a separate offense.The board of trustees may request the employer to provide the informationnecessary to administer the system and to advise each member of suchmember's status.
3. The contributions of members of the retirement system shall becollected by their employers through appropriate deductions from paychecks.The total amount deducted from the paychecks of members during any schoolyear shall equal such a percent of their salary rates as may be required bythe contribution rate then in effect. For contribution purposes any annualsalary rate less than one thousand two hundred dollars shall be regarded asone thousand two hundred dollars. Contributions transmitted to theretirement system before February 20, 1996, based on salary rates whicheither included or excluded employer-paid medical benefits for members,shall be deemed to have been in compliance with this section. Theretirement system shall not refund or adjust contributions or adjustbenefit determinations with respect to any period before February 20, 1996,solely because of the treatment of employer-paid medical benefits formembers. Effective December 31, 1995, compensation in excess of thelimitations set forth in Section 401(a)(17) of Title 26 of the UnitedStates Code shall be disregarded for purposes of determining contributionspursuant to this section and calculating benefits paid by the publiceducation employee retirement system of Missouri. The limitation oncompensation for eligible employees shall not be less than the amount whichwas allowed to be taken into account under the system as in effect on July1, 1993. For the purpose of this subsection, an "eligible employee" is anindividual who was a member of the system before July 1, 1996.
4. The board of trustees shall fix and certify to the employers thelevel rate of contribution subject to the following:
(1) The level rate of contribution for a fiscal year shall not exceedthe level rate of contribution for the prior fiscal year by more thanone-quarter percent;
(2) The board shall fix and certify to the employers the rate ofcontribution for a fiscal year no later than six months prior to the datesuch rate is to be effective;
(3) The board shall fix and certify to the employers the rate ofcontribution for a fiscal year based on an actuarial valuation of thesystem as of a date not earlier than the last day of the second priorfiscal year. Such actuarial valuation of the system shall be performedusing processes and actuarial assumptions that are in accordance withactuarial standards of practice in effect at the time the valuation isperformed, as promulgated by the actuarial standards board or itssuccessor; provided that such actuarial valuation shall be based on theentry age normal actuarial cost method and an asset valuation method basedon the market value of system assets that may provide for smoothing ofinvestment gains and losses, and further, that the level rate ofcontribution shall be the total of the normal cost and a rate which shallamortize the unfunded actuarial accrued liability over a period that shallnot exceed thirty years from the date of the valuation, subject to thelimitations of this subsection; and
(4) Not less than once every ten years the board shall have anactuary, other than the actuary performing the actuarial valuation pursuantto this section, review such actuarial valuation and perform an additionalactuarial valuation of the system.
5. Regardless of the provisions of any law governing compensation andcontracts, every employee shall be deemed to consent and agree to thedeductions provided herein. Payment of salary or compensation less suchdeduction shall be a full and complete discharge of all salary orcompensation claims and demands during the period covered by such payment,except as to the benefits provided pursuant to sections 169.600 to 169.715.
6. A person serving as an employee as defined in section 169.600, whobecame a member after November 1, 1965, and before July 1, 1974, and whowas regularly employed to serve for twenty or more hours per week at sometime during the period November 1, 1965, to July 1, 1974, may receivemembership service credit for such service by paying into the system theamount, with interest at such rate as may be set by the board within thelimits set by law for interest rates, the person would have contributed hadthe person been eligible for membership.
7. Notwithstanding any other provision of sections 169.600 to 169.715to the contrary, no legislation shall be enacted after July 1, 2003, thatincreases benefits provided to members or retirees of the public educationemployee retirement system of Missouri above that which may be funded usinga rate of contribution of five percent as determined using an actuarialvaluation as provided in subsection 4 of this section; provided that,notwithstanding the provisions of this subsection, legislation may beenacted after July 1, 2003, that provides for an extension of time withinwhich a member may make an election pursuant to subdivision (4) ofsubsection 1 of section 169.670.
