State Codes and Statutes

Statutes > Tennessee > Title-8 > Chapter-34 > Part-1 > 8-34-101

8-34-101. Definitions.

As used in chapters 34-37 of this title, unless the context otherwise requires:

     (1)  “Accumulated contributions” means the sum of all the amounts deducted from the compensation of a member, together with any amount transferred to the account of the member established pursuant to chapters 34-37 of this title from the respective account of the member under one (1) or more of the superseded systems, with interest thereon, as provided in § 8-37-307;

     (2)  “Actuarial equivalent” means a benefit of equal value when computed at regular interest upon the basis of the mortality tables last adopted for such purpose by the board of trustees;

     (3)  “Attorney general” means the attorney general and reporter and any assistant thereto by whatever name known, any district attorney general and any assistant thereto by whatever name called, and any officer or full-time employee of the general assembly or any committee thereof established by statute, who is duly licensed to practice law in Tennessee, whose duty it is to provide facilities for drafting bills or to assist individual legislators in drafting bills or who renders legal advice and services to the members of the general assembly or committees thereof;

     (4)  (A)  “Average final compensation” means the average annual earnable compensation of a member during the five (5) consecutive years of the member's creditable service affording the highest such average, or during all of the years in the member's creditable service if less than five (5) years;

          (B)  (i)  The annual earnable compensation received after June 30, 1981, for any member covered by the noncontributory provisions of the retirement system on July 1, 1981, or upon the effective date of the noncontributory provisions for any member covered after July 1, 1981, shall be increased by three and six-tenths percent (3.6%) for the purpose of computing the average final compensation. Such increases in the annual earnable compensation shall be discontinued for earnable compensation received after June 30, 1991. However, such increases in the annual earnable compensation received after June 30, 1991, shall continue for such members until June 30, 1998, unless such members are employees of employers participating in the retirement system pursuant to chapter 35 of this title. The governing body of any such employer may at its discretion authorize and accept the liability for such continued increases by resolution;

                (ii)  Notwithstanding subdivision (4)(B)(i), effective July 1, 1998, such increases in the annual earnable compensation shall continue indefinitely for any member covered by the noncontributory provisions of the retirement system on July 1, 1981, or upon the effective date of the noncontributory provisions for any member covered after July 1, 1981, unless such members are employees of employers participating in the retirement system pursuant to chapter 35 of this title. The governing body of any such employer may at its discretion authorize and accept the liability for such continued increases by resolution;

                (iii)  The provisions of this subdivision (4) do not apply to a noncontributory prior class member of the superseded attorneys general retirement system who is a district attorney general, the executive director of the district attorneys general conference or a full-time assistant district attorney general;

          (C)  Average final compensation shall not include more than five (5) longevity payments to a member pursuant to § 8-23-206;

     (5)  “Beneficiary” means any person, persons or institution receiving a retirement allowance or other benefit as provided in chapters 34-37 of this title;

     (6)  “Board of trustees” or “board” means the board provided for in part 3 of this chapter;

     (7)  “Commissioner” means any person in office as a member of the public service commission, as prescribed by title 65, chapter 1, prior to June 30, 1996;

     (8)  “County judge” means any person who is, or when such office existed was, a judge of a general sessions court, trial justice court, county chair, county judge, probate judge, or judge of a juvenile and/or domestic relations court, and whose compensation for such judicial service is paid wholly by a county of the state, or any person who is a county attorney who receives regular monthly or quarterly compensation from a county of the state, or any county manager or county administrator who receives regular monthly or quarterly compensation from a county of the state; provided, that no county manager or county administrator shall be eligible for membership if a county judge, chair of the quarterly county court or county mayor from that county is a member;

     (9)  (A)  “County official” means a county clerk, a clerk of a circuit court, a criminal court, or a probate court, a clerk and master of a chancery court, a clerk of a general sessions court where such general sessions court has an independent clerk who serves such court only, a register of deeds, a county trustee, a sheriff, a county road superintendent elected by a county legislative body, by a county road commission or commissioners, or by popular vote, and an assessor of property, any county commissioner elected by popular vote, serving in a county having a county commission form of government. In the event a consolidation or reorganization of any or all of such courts is provided by constitutional amendments or by act of the general assembly or both, “county official” also means a clerk of any such consolidated or reorganized court;

          (B)  “County official” also includes any person filling the position of county mayor;

     (10)  (A)  “Covered compensation” means, with respect to any calendar year, the amount of a member's earnable compensation subject to contributions under the provisions of the Federal Insurance Contributions Act (26 U.S.C. §§ 3101-3126);

          (B)  The amount of nontaxable benefits elected in lieu of cash wages under a cafeteria plan, as permitted by § 125 of the Internal Revenue Code of 1986, shall be included in computing the member's covered compensation. In no event shall the total amount included in covered compensation exceed the maximum social security wage base;

     (11)  “Creditable service” means prior service plus membership service, as provided in part 6 of this chapter;

     (12)  “Date of establishment” means the date as of which the retirement system is established as provided in § 8-34-201;

     (13)  “Disability” or “disabled” means the inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to last for a continuous period of not less than twelve (12) months. This means that the condition must be both totally and permanently disabling;

     (14)  (A)  “Earnable compensation” means the compensation payable to a member for services rendered to an employer;

          (B)  (i)  “Earnable compensation” includes, but is not limited to, any bonus or incentive payment; provided, that:

                     (a)  Such payment is authorized by legislation passed by the general assembly and that such legislation provides that the payment shall be included as earnable compensation for retirement purposes and is not made for the purpose of increasing a member's retirement benefit or inducing a member to retire; or

                     (b)  Such payment is authorized by resolution legally adopted and approved by the chief governing body of an employer participating in the retirement system pursuant to chapter 35, part 2 of this title and that the resolution provides that the payment shall be included as earnable compensation for retirement purposes and is not made for the purpose of increasing a member's retirement benefit or inducing a member to retire. All employees generally, or all employees in a broad class or broad group of employees must be given the opportunity to qualify for the bonus or incentive payment under similar terms and conditions. If the bonus or incentive payment plan only applies to a class or group of employees, a distinct and reasonable basis must exist for offering the plan to the particular class or group of employees;

                (ii)  “Earnable compensation” also includes the total amount for which an employee may choose to receive cash or a combination of cash and benefits under a cafeteria plan as permitted by § 125 of the Internal Revenue Code of 1986. “Earnable compensation” shall also include for any general employee in the executive, legislative, or judicial branch of government any compensation paid under § 3-1-106(f) and any non-cash compensation falling under Internal Revenue Service Regulation Section 1.61-2T(d) as such section exists on July 17, 2002, if such compensation was includable in gross income for federal income tax purposes and was subject to contributions under the provisions of the Federal Insurance Contributions Act;

          (C)  In cases where compensation includes maintenance, the board of trustees shall fix the value of that part of the compensation not paid in money;

          (D)  Notwithstanding any other law to the contrary, “earnable compensation” does not include compensation paid to a teacher employed in a state-supported institution of higher education for performing extra services for the institution that exceeds twenty-five percent (25%) of the teacher's base compensation. For purposes of this subdivision (14), “extra services” means any duties other than summer school or regular duties;

          (E)  Notwithstanding anything in this subdivision (14) or in any other law to the contrary, “earnable compensation” does not include compensation that exceeds the maximum dollar limitation imposed by § 401(a)(17) of the Internal Revenue Code, as amended. For any person becoming a member of the retirement system before July 1, 1996, the dollar limitation under § 401(a)(17) of the Internal Revenue Code, as amended shall not apply to the extent the amount of compensation which is allowed to be taken into account under the system would be reduced below the amount which was allowed to be taken into account under the system as in effect on July 1, 1993;

          (F)  In all cases of doubt, the retirement system shall determine whether a certain payment is includable as earnable compensation;

     (15)  “Education television association” means a nonprofit educational organization which has a contract with the state department of education through its television division to provide education television service;

     (16)  “Employer” means:

          (A)  The state or any department, commission, institution, board or agency of the state government by which a member is paid, with respect to members in its employ;

          (B)  The state, the county board of education, the city board of education, the state board of education, the board of trustees of the University of Tennessee, the board of trustees of other educational institutions and agencies supported by and under the control of the state, or any other agency of and within the state by which a teacher is paid, with respect to teachers in its employ;

          (C)  Any political subdivision of the state or educational cooperative participating in the retirement system pursuant to chapter 35, part 2 of this title or the Tennessee County Services Association, with respect to members in its employ;

          (D)  Any county of the state with respect to members in its employ;

          (E)  Any other association which was a member of one (1) of the superseded systems;

          (F)  A contractor that manages and operates a mental health institute under this chapter; or

          (G)  A contractor that manages and operates a blind workshop pursuant to § 71-4-608;

     (17)  “Firefighter” means a person in the employ of a political subdivision participating under chapter 35, part 2 of this title who is a member of the fire department of such political subdivision, and is trained in firefighting and actively engaged in such work or subject to call for such services, providing such person's primary livelihood is derived from such work;

     (18)  “General employee” means any person who is a state official, including legislative officials elected by the general assembly, or who is employed in the service of, and whose compensation is payable in whole or in part by, the state, including employees under supervision of the state whose compensation is paid, in whole or in part, from federal or other funds, or any person in the employ of a political subdivision participating under chapter 35, part 2 of this title, or of the Tennessee County Services Association, but does not include any teacher, state police officer, wildlife officer, firefighter, police officer, state judge, county judge, attorney general, governor, or county official or public service commissioner, or any person performing services on a contractual or percentage basis;

     (19)  “In-service” means a member who has not retired, has not been refunded and is within one hundred fifty (150) days of such member's last paid day of employment. The last paid day of employment for a teacher shall be the last scheduled working day of the normal school year or the last day of employment if prior to the end of the school year;

     (20)  “Local retirement fund” means any teachers' retirement fund or other arrangement for payment of retirement benefits to teachers, except this retirement system, supported wholly or in part by contributions made by an employer as defined by chapters 34-37 of this title;

     (21)  “Medical advisors” means the physicians provided for in part 4 of this chapter;

     (22)  “Member” means any person included in the membership of the retirement system, as provided in chapter 35, part 1 of this title;

     (23)  “Member annuity” means annual payments for life derived from the accumulated contributions of the member;

     (24)  “Membership service” means service rendered while a member of the retirement system;

     (25)  “Minor” has the meaning set forth in § 1-3-105(16), except when a contrary intention is manifest;

     (26)  “Part-time employee” means any person employed by the state or a political subdivision who renders less than a full day of service per working day or less than a full week of service per working week. Any employee falling into either of the above categories shall be considered part-time unless the law otherwise provides. “Part-time employee” does not include employees who are students, seasonal or temporary employees under twenty-five (25) years of age, temporary employees in institutions of higher education, or substitute teachers, unless such substitutes are under contract and scheduled to work the same time as a regular teacher. “Part-time employee” includes any interim teacher who is employed on a temporary basis to teach for a regular teacher who is on unpaid leave;

     (27)  “Physical or mental impairment” means one which is medically determinable. This means that the condition should be one that can be determined by a physician. The physical or mental impairment must be the primary reason for the individual's inability to engage in substantial gainful activity;

     (28)  “Police officer” means a person in the employ of a political subdivision participating under chapter 35, part 2 of this title who is a member of the police department of such political subdivision and is trained in police work and actively engaged in such work;

     (29)  “Prior class member” means a member who, on the day preceding the date of establishment, shall have been a member of a superseded system and who elects to remain covered by the benefit and contribution provisions of the superseded system, or who fails to elect to become covered by the benefit and contribution provisions of the retirement system applicable to new employees, as the case may be, in accordance with the provisions of chapter 35, part 1 of this title;

     (30)  “Prior service” means service rendered prior to the date of membership in the retirement system for which credit was given under the terms of one (1) or more of the superseded systems as provided in part 6 of this chapter;

     (31)  “Public school” means any school conducted within the state under the authority and supervision of a duly elected or appointed city or county school board, and any educational institution supported by and under the control of the state;

     (32)  “Regular interest” means interest at such rate or rates compounded annually as may be set from time to time by the board of trustees in accordance with § 8-34-505;

     (33)  “Retirement” means withdrawal from membership with a retirement allowance granted under the provisions of chapters 34-37 of this title;

     (34)  “Retirement allowance” means the sum of the member annuity and the state annuity. All retirement allowances shall be payable in equal monthly installments, which shall cease with the month in which death occurs, unless otherwise specifically provided in this section; provided, that if the retirement allowance is less than ten dollars ($10.00) per month, it shall be paid in a lump sum of equivalent actuarial value. If the entire monthly retirement allowance is ten dollars ($10.00) or more per month but less than fifty dollars ($50.00) per month, it shall be paid in a lump sum of equivalent actuarial value unless the recipient thereof files with the retirement division an election to receive the benefit in equal monthly installments pursuant to this subdivision (34). To be effective, the recipient must file the election by no later than sixty (60) calendar days after the recipient's receipt of the lump sum payment and the recipient must return any such payment to the retirement division. Notwithstanding any provision of this subdivision (34) to the contrary, any retirement allowance that equals ten dollars ($10.00) or more per month but less than fifty dollars ($50.00) per month shall be paid in a lump sum of equivalent actuarial value if such allowance is payable on account of a person who became a member of the retirement system on or after July 1, 2001;

     (35)  “Retirement system” means the Tennessee consolidated retirement system as defined in §§ 8-34-201, 8-34-202;

     (36)  “Service” means service as a general employee, a teacher, a state police officer, a wildlife officer, a firefighter, a police officer, a state judge, a county judge, an attorney general, a commissioner or a county official which is paid for by an employer, and also includes service for which a former member of the general assembly is entitled to under the provisions of former §§ 3-401 and 3-406; provided, that such member received compensation for such service;

     (37)  “Service retirement date” means the date on which a member first becomes eligible for a service retirement allowance, or would first become eligible for a service retirement allowance if the member were to remain in service until such date, as provided in §§ 8-36-201 8-36-204 or §§ 8-36-301 8-36-304;

     (38)  “Social security integration level” means, with respect to the calendar year in which a member retires, the average annual amount of compensation with respect to which old age and survivors benefits would be provided under Title II of the Federal Social Security Act (42 U.S.C. §§ 401-425) for a male employee attaining sixty-five (65) years of age in such calendar year, computed as though for each year prior to such calendar year annual compensation is at least equal to the maximum amount of annual earnings subject to contributions under the provisions of the Federal Insurance Contributions Act. Such average annual amount of compensation shall be rounded to the nearest multiple of six hundred dollars ($600);

     (39)  “State” means the state of Tennessee;

     (40)  “State annuity” means annual payments for life derived from contributions by an employer;

     (41)  “State judge” means any person in office as a judge of a court of record in this state, whose salary for the judge's judicial position has been paid during the period of the judge's service wholly from the treasury of the state, including the administrative director of the courts;

     (42)  “State police officer” means any commissioned member of the department of safety, and any agent of the Tennessee bureau of investigation;

     (43)  “Student” means any person enrolled in a course of study in a school or in a post-secondary educational institution who as a condition of such enrollment is employed in a full-time position. However, “student” does not include any person who is otherwise eligible for membership in the retirement system in accordance with § 8-35-101(a);

     (44)  (A)  “Substantial gainful activity” means the performance of significant duties over a reasonable period of time of work for remuneration or profit or in work of a type generally performed for remuneration or profit. Work which results in earnings considered by the law or regulations governing the social security administration to be substantial for disability recipients from that system shall be considered to be substantial gainful employment in this system; and

          (B)  “Significant duties” means that the duties are useful in the accomplishment of a job or the operation of a business but also that they have a degree of economic value;

     (45)  “Superseded system” means, where applicable, the Tennessee state retirement system, the Tennessee teachers' retirement system, the Tennessee judges' retirement system, the retirement system for county paid judges of Tennessee, the attorneys general retirement system of Tennessee, the public service commissioners' retirement system, and the Tennessee retirement system for county officials, any one (1) of them, or any combination thereof;

     (46)  “Teacher” means:

          (A)  Any person employed in a public school as a teacher, helping teacher, librarian, principal or supervisor, and includes any superintendent of public schools, or administrative officer of a department of education, or of any educational institution supported in whole or in part by and under the control of the state; or

          (B)  Any person employed in a public school as a teacher, librarian, principal, superintendent or chief administrative officer of a public school system, a supervisor of teachers, or any other position whereby the state requires the employee to be certificated as a teacher, or licensed as a nurse or physical therapist, in the public schools or of any educational institution supported in whole or in part by and under the control of the state. “Teacher” also includes any person employed in a public school as a reserve officer training corps (ROTC) instructor. It is further provided that any teacher who has taught in the public schools for a period of at least one (1) year who transfers to a position within the Tennessee public school system that does not require a teacher's certificate shall continue participation in the retirement plan as a teacher. This definition shall be in effect from and after July 1, 1986, and shall be applied to all persons seeking membership in the retirement plan as a teacher from this date forward;

     (47)  “Temporary employment” means any general employee can be considered as a temporary employee for a period not to exceed six (6) months before becoming eligible for membership in the retirement system, except as provided in § 8-35-107(b);

     (48)  “Transferred Class A member” means a member who on the day preceding the date of establishment shall have been a Class A member of the Tennessee teachers' retirement system or the Tennessee state retirement system and who is not a prior class member;

     (49)  “Transferred Class B member” means a member who on the day preceding the date of establishment shall have been a Class B member of the Tennessee teachers' retirement system or the Tennessee state retirement system and who is not a prior class member; and

     (50)  “Wildlife officer” means any commissioned employee of the wildlife resources agency engaged in law enforcement activities on a day-to-day basis.

[Acts 1972, ch. 814, § 1; 1973, ch. 347, §§ 1, 2; 1974, ch. 582, § 1; 1974, ch. 630, §§ 1, 2; 1974, ch. 715, § 3; 1974, ch. 723, § 1; 1974, ch. 786, § 1; 1974, ch. 788, § 1; 1975, ch. 281, § 1; 1975, ch. 315, §§ 8, 15; 1976, ch. 813, § 1; 1976, ch. 816, § 11; 1977, ch. 89, § 27; 1977, ch. 400, § 1; 1978, ch. 934, §§ 30, 31; 1979, ch. 321, § 1; T.C.A., § 8-3901; Acts 1980, ch. 636, § 13; 1980, ch. 654, §§ 1, 2; 1981, ch. 387, § 1; 1981, ch. 508, § 16; 1982, ch. 571, § 6; 1982, ch. 584, § 3; 1982, ch. 771, § 1; 1982, ch. 863, § 5; 1982, ch. 919, § 1; 1983, ch. 342, §§ 2, 27; 1984, ch. 797, §§ 1, 2; 1985, ch. 449, §§ 1-3; 1986, ch. 553, §§ 2-7, 25; 1986, ch. 665, § 5; 1988, ch. 527, §§ 2, 3; 1988, ch. 973, § 1; 1989, ch. 505, § 1; 1990, ch. 835, § 1; 1991, ch. 378, §§ 1-7; 1991, ch. 489, § 1; 1992, ch. 958, § 1; 1993, ch. 66, § 7; 1993, ch. 67, § 14; 1993, ch. 345, § 3; 1993, ch. 474, § 1; T.C.A., §§ 8-34-103 8-34-152; Acts 1994, ch. 710, § 1; 1994, ch. 716, § 1; 1994, ch. 958, § 1; 1995, ch. 305, § 91; 1995, ch. 479, § 1; 1996, ch. 918, § 1; 1996, ch. 996, § 2; 1997, ch. 63, § 1; 1997, ch. 432, § 1; 1999, ch. 205, §§ 13, 14; 2001, ch. 58, § 3; 2002, ch. 863, §§ 2, 21; 2003, ch. 12, § 1; 2003, ch. 90, § 2; 2004, ch. 631, §§ 1, 2; 2006, ch. 870, § 7; 2008, ch. 674, § 18; 2009, ch. 142, § 2.]  

State Codes and Statutes

Statutes > Tennessee > Title-8 > Chapter-34 > Part-1 > 8-34-101

8-34-101. Definitions.

As used in chapters 34-37 of this title, unless the context otherwise requires:

     (1)  “Accumulated contributions” means the sum of all the amounts deducted from the compensation of a member, together with any amount transferred to the account of the member established pursuant to chapters 34-37 of this title from the respective account of the member under one (1) or more of the superseded systems, with interest thereon, as provided in § 8-37-307;

     (2)  “Actuarial equivalent” means a benefit of equal value when computed at regular interest upon the basis of the mortality tables last adopted for such purpose by the board of trustees;

     (3)  “Attorney general” means the attorney general and reporter and any assistant thereto by whatever name known, any district attorney general and any assistant thereto by whatever name called, and any officer or full-time employee of the general assembly or any committee thereof established by statute, who is duly licensed to practice law in Tennessee, whose duty it is to provide facilities for drafting bills or to assist individual legislators in drafting bills or who renders legal advice and services to the members of the general assembly or committees thereof;

     (4)  (A)  “Average final compensation” means the average annual earnable compensation of a member during the five (5) consecutive years of the member's creditable service affording the highest such average, or during all of the years in the member's creditable service if less than five (5) years;

          (B)  (i)  The annual earnable compensation received after June 30, 1981, for any member covered by the noncontributory provisions of the retirement system on July 1, 1981, or upon the effective date of the noncontributory provisions for any member covered after July 1, 1981, shall be increased by three and six-tenths percent (3.6%) for the purpose of computing the average final compensation. Such increases in the annual earnable compensation shall be discontinued for earnable compensation received after June 30, 1991. However, such increases in the annual earnable compensation received after June 30, 1991, shall continue for such members until June 30, 1998, unless such members are employees of employers participating in the retirement system pursuant to chapter 35 of this title. The governing body of any such employer may at its discretion authorize and accept the liability for such continued increases by resolution;

                (ii)  Notwithstanding subdivision (4)(B)(i), effective July 1, 1998, such increases in the annual earnable compensation shall continue indefinitely for any member covered by the noncontributory provisions of the retirement system on July 1, 1981, or upon the effective date of the noncontributory provisions for any member covered after July 1, 1981, unless such members are employees of employers participating in the retirement system pursuant to chapter 35 of this title. The governing body of any such employer may at its discretion authorize and accept the liability for such continued increases by resolution;

                (iii)  The provisions of this subdivision (4) do not apply to a noncontributory prior class member of the superseded attorneys general retirement system who is a district attorney general, the executive director of the district attorneys general conference or a full-time assistant district attorney general;

          (C)  Average final compensation shall not include more than five (5) longevity payments to a member pursuant to § 8-23-206;

     (5)  “Beneficiary” means any person, persons or institution receiving a retirement allowance or other benefit as provided in chapters 34-37 of this title;

     (6)  “Board of trustees” or “board” means the board provided for in part 3 of this chapter;

     (7)  “Commissioner” means any person in office as a member of the public service commission, as prescribed by title 65, chapter 1, prior to June 30, 1996;

     (8)  “County judge” means any person who is, or when such office existed was, a judge of a general sessions court, trial justice court, county chair, county judge, probate judge, or judge of a juvenile and/or domestic relations court, and whose compensation for such judicial service is paid wholly by a county of the state, or any person who is a county attorney who receives regular monthly or quarterly compensation from a county of the state, or any county manager or county administrator who receives regular monthly or quarterly compensation from a county of the state; provided, that no county manager or county administrator shall be eligible for membership if a county judge, chair of the quarterly county court or county mayor from that county is a member;

     (9)  (A)  “County official” means a county clerk, a clerk of a circuit court, a criminal court, or a probate court, a clerk and master of a chancery court, a clerk of a general sessions court where such general sessions court has an independent clerk who serves such court only, a register of deeds, a county trustee, a sheriff, a county road superintendent elected by a county legislative body, by a county road commission or commissioners, or by popular vote, and an assessor of property, any county commissioner elected by popular vote, serving in a county having a county commission form of government. In the event a consolidation or reorganization of any or all of such courts is provided by constitutional amendments or by act of the general assembly or both, “county official” also means a clerk of any such consolidated or reorganized court;

          (B)  “County official” also includes any person filling the position of county mayor;

     (10)  (A)  “Covered compensation” means, with respect to any calendar year, the amount of a member's earnable compensation subject to contributions under the provisions of the Federal Insurance Contributions Act (26 U.S.C. §§ 3101-3126);

          (B)  The amount of nontaxable benefits elected in lieu of cash wages under a cafeteria plan, as permitted by § 125 of the Internal Revenue Code of 1986, shall be included in computing the member's covered compensation. In no event shall the total amount included in covered compensation exceed the maximum social security wage base;

     (11)  “Creditable service” means prior service plus membership service, as provided in part 6 of this chapter;

     (12)  “Date of establishment” means the date as of which the retirement system is established as provided in § 8-34-201;

     (13)  “Disability” or “disabled” means the inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to last for a continuous period of not less than twelve (12) months. This means that the condition must be both totally and permanently disabling;

     (14)  (A)  “Earnable compensation” means the compensation payable to a member for services rendered to an employer;

          (B)  (i)  “Earnable compensation” includes, but is not limited to, any bonus or incentive payment; provided, that:

                     (a)  Such payment is authorized by legislation passed by the general assembly and that such legislation provides that the payment shall be included as earnable compensation for retirement purposes and is not made for the purpose of increasing a member's retirement benefit or inducing a member to retire; or

                     (b)  Such payment is authorized by resolution legally adopted and approved by the chief governing body of an employer participating in the retirement system pursuant to chapter 35, part 2 of this title and that the resolution provides that the payment shall be included as earnable compensation for retirement purposes and is not made for the purpose of increasing a member's retirement benefit or inducing a member to retire. All employees generally, or all employees in a broad class or broad group of employees must be given the opportunity to qualify for the bonus or incentive payment under similar terms and conditions. If the bonus or incentive payment plan only applies to a class or group of employees, a distinct and reasonable basis must exist for offering the plan to the particular class or group of employees;

                (ii)  “Earnable compensation” also includes the total amount for which an employee may choose to receive cash or a combination of cash and benefits under a cafeteria plan as permitted by § 125 of the Internal Revenue Code of 1986. “Earnable compensation” shall also include for any general employee in the executive, legislative, or judicial branch of government any compensation paid under § 3-1-106(f) and any non-cash compensation falling under Internal Revenue Service Regulation Section 1.61-2T(d) as such section exists on July 17, 2002, if such compensation was includable in gross income for federal income tax purposes and was subject to contributions under the provisions of the Federal Insurance Contributions Act;

          (C)  In cases where compensation includes maintenance, the board of trustees shall fix the value of that part of the compensation not paid in money;

          (D)  Notwithstanding any other law to the contrary, “earnable compensation” does not include compensation paid to a teacher employed in a state-supported institution of higher education for performing extra services for the institution that exceeds twenty-five percent (25%) of the teacher's base compensation. For purposes of this subdivision (14), “extra services” means any duties other than summer school or regular duties;

          (E)  Notwithstanding anything in this subdivision (14) or in any other law to the contrary, “earnable compensation” does not include compensation that exceeds the maximum dollar limitation imposed by § 401(a)(17) of the Internal Revenue Code, as amended. For any person becoming a member of the retirement system before July 1, 1996, the dollar limitation under § 401(a)(17) of the Internal Revenue Code, as amended shall not apply to the extent the amount of compensation which is allowed to be taken into account under the system would be reduced below the amount which was allowed to be taken into account under the system as in effect on July 1, 1993;

          (F)  In all cases of doubt, the retirement system shall determine whether a certain payment is includable as earnable compensation;

     (15)  “Education television association” means a nonprofit educational organization which has a contract with the state department of education through its television division to provide education television service;

     (16)  “Employer” means:

          (A)  The state or any department, commission, institution, board or agency of the state government by which a member is paid, with respect to members in its employ;

          (B)  The state, the county board of education, the city board of education, the state board of education, the board of trustees of the University of Tennessee, the board of trustees of other educational institutions and agencies supported by and under the control of the state, or any other agency of and within the state by which a teacher is paid, with respect to teachers in its employ;

          (C)  Any political subdivision of the state or educational cooperative participating in the retirement system pursuant to chapter 35, part 2 of this title or the Tennessee County Services Association, with respect to members in its employ;

          (D)  Any county of the state with respect to members in its employ;

          (E)  Any other association which was a member of one (1) of the superseded systems;

          (F)  A contractor that manages and operates a mental health institute under this chapter; or

          (G)  A contractor that manages and operates a blind workshop pursuant to § 71-4-608;

     (17)  “Firefighter” means a person in the employ of a political subdivision participating under chapter 35, part 2 of this title who is a member of the fire department of such political subdivision, and is trained in firefighting and actively engaged in such work or subject to call for such services, providing such person's primary livelihood is derived from such work;

     (18)  “General employee” means any person who is a state official, including legislative officials elected by the general assembly, or who is employed in the service of, and whose compensation is payable in whole or in part by, the state, including employees under supervision of the state whose compensation is paid, in whole or in part, from federal or other funds, or any person in the employ of a political subdivision participating under chapter 35, part 2 of this title, or of the Tennessee County Services Association, but does not include any teacher, state police officer, wildlife officer, firefighter, police officer, state judge, county judge, attorney general, governor, or county official or public service commissioner, or any person performing services on a contractual or percentage basis;

     (19)  “In-service” means a member who has not retired, has not been refunded and is within one hundred fifty (150) days of such member's last paid day of employment. The last paid day of employment for a teacher shall be the last scheduled working day of the normal school year or the last day of employment if prior to the end of the school year;

     (20)  “Local retirement fund” means any teachers' retirement fund or other arrangement for payment of retirement benefits to teachers, except this retirement system, supported wholly or in part by contributions made by an employer as defined by chapters 34-37 of this title;

     (21)  “Medical advisors” means the physicians provided for in part 4 of this chapter;

     (22)  “Member” means any person included in the membership of the retirement system, as provided in chapter 35, part 1 of this title;

     (23)  “Member annuity” means annual payments for life derived from the accumulated contributions of the member;

     (24)  “Membership service” means service rendered while a member of the retirement system;

     (25)  “Minor” has the meaning set forth in § 1-3-105(16), except when a contrary intention is manifest;

     (26)  “Part-time employee” means any person employed by the state or a political subdivision who renders less than a full day of service per working day or less than a full week of service per working week. Any employee falling into either of the above categories shall be considered part-time unless the law otherwise provides. “Part-time employee” does not include employees who are students, seasonal or temporary employees under twenty-five (25) years of age, temporary employees in institutions of higher education, or substitute teachers, unless such substitutes are under contract and scheduled to work the same time as a regular teacher. “Part-time employee” includes any interim teacher who is employed on a temporary basis to teach for a regular teacher who is on unpaid leave;

     (27)  “Physical or mental impairment” means one which is medically determinable. This means that the condition should be one that can be determined by a physician. The physical or mental impairment must be the primary reason for the individual's inability to engage in substantial gainful activity;

     (28)  “Police officer” means a person in the employ of a political subdivision participating under chapter 35, part 2 of this title who is a member of the police department of such political subdivision and is trained in police work and actively engaged in such work;

     (29)  “Prior class member” means a member who, on the day preceding the date of establishment, shall have been a member of a superseded system and who elects to remain covered by the benefit and contribution provisions of the superseded system, or who fails to elect to become covered by the benefit and contribution provisions of the retirement system applicable to new employees, as the case may be, in accordance with the provisions of chapter 35, part 1 of this title;

     (30)  “Prior service” means service rendered prior to the date of membership in the retirement system for which credit was given under the terms of one (1) or more of the superseded systems as provided in part 6 of this chapter;

     (31)  “Public school” means any school conducted within the state under the authority and supervision of a duly elected or appointed city or county school board, and any educational institution supported by and under the control of the state;

     (32)  “Regular interest” means interest at such rate or rates compounded annually as may be set from time to time by the board of trustees in accordance with § 8-34-505;

     (33)  “Retirement” means withdrawal from membership with a retirement allowance granted under the provisions of chapters 34-37 of this title;

     (34)  “Retirement allowance” means the sum of the member annuity and the state annuity. All retirement allowances shall be payable in equal monthly installments, which shall cease with the month in which death occurs, unless otherwise specifically provided in this section; provided, that if the retirement allowance is less than ten dollars ($10.00) per month, it shall be paid in a lump sum of equivalent actuarial value. If the entire monthly retirement allowance is ten dollars ($10.00) or more per month but less than fifty dollars ($50.00) per month, it shall be paid in a lump sum of equivalent actuarial value unless the recipient thereof files with the retirement division an election to receive the benefit in equal monthly installments pursuant to this subdivision (34). To be effective, the recipient must file the election by no later than sixty (60) calendar days after the recipient's receipt of the lump sum payment and the recipient must return any such payment to the retirement division. Notwithstanding any provision of this subdivision (34) to the contrary, any retirement allowance that equals ten dollars ($10.00) or more per month but less than fifty dollars ($50.00) per month shall be paid in a lump sum of equivalent actuarial value if such allowance is payable on account of a person who became a member of the retirement system on or after July 1, 2001;

     (35)  “Retirement system” means the Tennessee consolidated retirement system as defined in §§ 8-34-201, 8-34-202;

     (36)  “Service” means service as a general employee, a teacher, a state police officer, a wildlife officer, a firefighter, a police officer, a state judge, a county judge, an attorney general, a commissioner or a county official which is paid for by an employer, and also includes service for which a former member of the general assembly is entitled to under the provisions of former §§ 3-401 and 3-406; provided, that such member received compensation for such service;

     (37)  “Service retirement date” means the date on which a member first becomes eligible for a service retirement allowance, or would first become eligible for a service retirement allowance if the member were to remain in service until such date, as provided in §§ 8-36-201 8-36-204 or §§ 8-36-301 8-36-304;

     (38)  “Social security integration level” means, with respect to the calendar year in which a member retires, the average annual amount of compensation with respect to which old age and survivors benefits would be provided under Title II of the Federal Social Security Act (42 U.S.C. §§ 401-425) for a male employee attaining sixty-five (65) years of age in such calendar year, computed as though for each year prior to such calendar year annual compensation is at least equal to the maximum amount of annual earnings subject to contributions under the provisions of the Federal Insurance Contributions Act. Such average annual amount of compensation shall be rounded to the nearest multiple of six hundred dollars ($600);

     (39)  “State” means the state of Tennessee;

     (40)  “State annuity” means annual payments for life derived from contributions by an employer;

     (41)  “State judge” means any person in office as a judge of a court of record in this state, whose salary for the judge's judicial position has been paid during the period of the judge's service wholly from the treasury of the state, including the administrative director of the courts;

     (42)  “State police officer” means any commissioned member of the department of safety, and any agent of the Tennessee bureau of investigation;

     (43)  “Student” means any person enrolled in a course of study in a school or in a post-secondary educational institution who as a condition of such enrollment is employed in a full-time position. However, “student” does not include any person who is otherwise eligible for membership in the retirement system in accordance with § 8-35-101(a);

     (44)  (A)  “Substantial gainful activity” means the performance of significant duties over a reasonable period of time of work for remuneration or profit or in work of a type generally performed for remuneration or profit. Work which results in earnings considered by the law or regulations governing the social security administration to be substantial for disability recipients from that system shall be considered to be substantial gainful employment in this system; and

          (B)  “Significant duties” means that the duties are useful in the accomplishment of a job or the operation of a business but also that they have a degree of economic value;

     (45)  “Superseded system” means, where applicable, the Tennessee state retirement system, the Tennessee teachers' retirement system, the Tennessee judges' retirement system, the retirement system for county paid judges of Tennessee, the attorneys general retirement system of Tennessee, the public service commissioners' retirement system, and the Tennessee retirement system for county officials, any one (1) of them, or any combination thereof;

     (46)  “Teacher” means:

          (A)  Any person employed in a public school as a teacher, helping teacher, librarian, principal or supervisor, and includes any superintendent of public schools, or administrative officer of a department of education, or of any educational institution supported in whole or in part by and under the control of the state; or

          (B)  Any person employed in a public school as a teacher, librarian, principal, superintendent or chief administrative officer of a public school system, a supervisor of teachers, or any other position whereby the state requires the employee to be certificated as a teacher, or licensed as a nurse or physical therapist, in the public schools or of any educational institution supported in whole or in part by and under the control of the state. “Teacher” also includes any person employed in a public school as a reserve officer training corps (ROTC) instructor. It is further provided that any teacher who has taught in the public schools for a period of at least one (1) year who transfers to a position within the Tennessee public school system that does not require a teacher's certificate shall continue participation in the retirement plan as a teacher. This definition shall be in effect from and after July 1, 1986, and shall be applied to all persons seeking membership in the retirement plan as a teacher from this date forward;

     (47)  “Temporary employment” means any general employee can be considered as a temporary employee for a period not to exceed six (6) months before becoming eligible for membership in the retirement system, except as provided in § 8-35-107(b);

     (48)  “Transferred Class A member” means a member who on the day preceding the date of establishment shall have been a Class A member of the Tennessee teachers' retirement system or the Tennessee state retirement system and who is not a prior class member;

     (49)  “Transferred Class B member” means a member who on the day preceding the date of establishment shall have been a Class B member of the Tennessee teachers' retirement system or the Tennessee state retirement system and who is not a prior class member; and

     (50)  “Wildlife officer” means any commissioned employee of the wildlife resources agency engaged in law enforcement activities on a day-to-day basis.

[Acts 1972, ch. 814, § 1; 1973, ch. 347, §§ 1, 2; 1974, ch. 582, § 1; 1974, ch. 630, §§ 1, 2; 1974, ch. 715, § 3; 1974, ch. 723, § 1; 1974, ch. 786, § 1; 1974, ch. 788, § 1; 1975, ch. 281, § 1; 1975, ch. 315, §§ 8, 15; 1976, ch. 813, § 1; 1976, ch. 816, § 11; 1977, ch. 89, § 27; 1977, ch. 400, § 1; 1978, ch. 934, §§ 30, 31; 1979, ch. 321, § 1; T.C.A., § 8-3901; Acts 1980, ch. 636, § 13; 1980, ch. 654, §§ 1, 2; 1981, ch. 387, § 1; 1981, ch. 508, § 16; 1982, ch. 571, § 6; 1982, ch. 584, § 3; 1982, ch. 771, § 1; 1982, ch. 863, § 5; 1982, ch. 919, § 1; 1983, ch. 342, §§ 2, 27; 1984, ch. 797, §§ 1, 2; 1985, ch. 449, §§ 1-3; 1986, ch. 553, §§ 2-7, 25; 1986, ch. 665, § 5; 1988, ch. 527, §§ 2, 3; 1988, ch. 973, § 1; 1989, ch. 505, § 1; 1990, ch. 835, § 1; 1991, ch. 378, §§ 1-7; 1991, ch. 489, § 1; 1992, ch. 958, § 1; 1993, ch. 66, § 7; 1993, ch. 67, § 14; 1993, ch. 345, § 3; 1993, ch. 474, § 1; T.C.A., §§ 8-34-103 8-34-152; Acts 1994, ch. 710, § 1; 1994, ch. 716, § 1; 1994, ch. 958, § 1; 1995, ch. 305, § 91; 1995, ch. 479, § 1; 1996, ch. 918, § 1; 1996, ch. 996, § 2; 1997, ch. 63, § 1; 1997, ch. 432, § 1; 1999, ch. 205, §§ 13, 14; 2001, ch. 58, § 3; 2002, ch. 863, §§ 2, 21; 2003, ch. 12, § 1; 2003, ch. 90, § 2; 2004, ch. 631, §§ 1, 2; 2006, ch. 870, § 7; 2008, ch. 674, § 18; 2009, ch. 142, § 2.]  


State Codes and Statutes

State Codes and Statutes

Statutes > Tennessee > Title-8 > Chapter-34 > Part-1 > 8-34-101

8-34-101. Definitions.

As used in chapters 34-37 of this title, unless the context otherwise requires:

     (1)  “Accumulated contributions” means the sum of all the amounts deducted from the compensation of a member, together with any amount transferred to the account of the member established pursuant to chapters 34-37 of this title from the respective account of the member under one (1) or more of the superseded systems, with interest thereon, as provided in § 8-37-307;

     (2)  “Actuarial equivalent” means a benefit of equal value when computed at regular interest upon the basis of the mortality tables last adopted for such purpose by the board of trustees;

     (3)  “Attorney general” means the attorney general and reporter and any assistant thereto by whatever name known, any district attorney general and any assistant thereto by whatever name called, and any officer or full-time employee of the general assembly or any committee thereof established by statute, who is duly licensed to practice law in Tennessee, whose duty it is to provide facilities for drafting bills or to assist individual legislators in drafting bills or who renders legal advice and services to the members of the general assembly or committees thereof;

     (4)  (A)  “Average final compensation” means the average annual earnable compensation of a member during the five (5) consecutive years of the member's creditable service affording the highest such average, or during all of the years in the member's creditable service if less than five (5) years;

          (B)  (i)  The annual earnable compensation received after June 30, 1981, for any member covered by the noncontributory provisions of the retirement system on July 1, 1981, or upon the effective date of the noncontributory provisions for any member covered after July 1, 1981, shall be increased by three and six-tenths percent (3.6%) for the purpose of computing the average final compensation. Such increases in the annual earnable compensation shall be discontinued for earnable compensation received after June 30, 1991. However, such increases in the annual earnable compensation received after June 30, 1991, shall continue for such members until June 30, 1998, unless such members are employees of employers participating in the retirement system pursuant to chapter 35 of this title. The governing body of any such employer may at its discretion authorize and accept the liability for such continued increases by resolution;

                (ii)  Notwithstanding subdivision (4)(B)(i), effective July 1, 1998, such increases in the annual earnable compensation shall continue indefinitely for any member covered by the noncontributory provisions of the retirement system on July 1, 1981, or upon the effective date of the noncontributory provisions for any member covered after July 1, 1981, unless such members are employees of employers participating in the retirement system pursuant to chapter 35 of this title. The governing body of any such employer may at its discretion authorize and accept the liability for such continued increases by resolution;

                (iii)  The provisions of this subdivision (4) do not apply to a noncontributory prior class member of the superseded attorneys general retirement system who is a district attorney general, the executive director of the district attorneys general conference or a full-time assistant district attorney general;

          (C)  Average final compensation shall not include more than five (5) longevity payments to a member pursuant to § 8-23-206;

     (5)  “Beneficiary” means any person, persons or institution receiving a retirement allowance or other benefit as provided in chapters 34-37 of this title;

     (6)  “Board of trustees” or “board” means the board provided for in part 3 of this chapter;

     (7)  “Commissioner” means any person in office as a member of the public service commission, as prescribed by title 65, chapter 1, prior to June 30, 1996;

     (8)  “County judge” means any person who is, or when such office existed was, a judge of a general sessions court, trial justice court, county chair, county judge, probate judge, or judge of a juvenile and/or domestic relations court, and whose compensation for such judicial service is paid wholly by a county of the state, or any person who is a county attorney who receives regular monthly or quarterly compensation from a county of the state, or any county manager or county administrator who receives regular monthly or quarterly compensation from a county of the state; provided, that no county manager or county administrator shall be eligible for membership if a county judge, chair of the quarterly county court or county mayor from that county is a member;

     (9)  (A)  “County official” means a county clerk, a clerk of a circuit court, a criminal court, or a probate court, a clerk and master of a chancery court, a clerk of a general sessions court where such general sessions court has an independent clerk who serves such court only, a register of deeds, a county trustee, a sheriff, a county road superintendent elected by a county legislative body, by a county road commission or commissioners, or by popular vote, and an assessor of property, any county commissioner elected by popular vote, serving in a county having a county commission form of government. In the event a consolidation or reorganization of any or all of such courts is provided by constitutional amendments or by act of the general assembly or both, “county official” also means a clerk of any such consolidated or reorganized court;

          (B)  “County official” also includes any person filling the position of county mayor;

     (10)  (A)  “Covered compensation” means, with respect to any calendar year, the amount of a member's earnable compensation subject to contributions under the provisions of the Federal Insurance Contributions Act (26 U.S.C. §§ 3101-3126);

          (B)  The amount of nontaxable benefits elected in lieu of cash wages under a cafeteria plan, as permitted by § 125 of the Internal Revenue Code of 1986, shall be included in computing the member's covered compensation. In no event shall the total amount included in covered compensation exceed the maximum social security wage base;

     (11)  “Creditable service” means prior service plus membership service, as provided in part 6 of this chapter;

     (12)  “Date of establishment” means the date as of which the retirement system is established as provided in § 8-34-201;

     (13)  “Disability” or “disabled” means the inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to last for a continuous period of not less than twelve (12) months. This means that the condition must be both totally and permanently disabling;

     (14)  (A)  “Earnable compensation” means the compensation payable to a member for services rendered to an employer;

          (B)  (i)  “Earnable compensation” includes, but is not limited to, any bonus or incentive payment; provided, that:

                     (a)  Such payment is authorized by legislation passed by the general assembly and that such legislation provides that the payment shall be included as earnable compensation for retirement purposes and is not made for the purpose of increasing a member's retirement benefit or inducing a member to retire; or

                     (b)  Such payment is authorized by resolution legally adopted and approved by the chief governing body of an employer participating in the retirement system pursuant to chapter 35, part 2 of this title and that the resolution provides that the payment shall be included as earnable compensation for retirement purposes and is not made for the purpose of increasing a member's retirement benefit or inducing a member to retire. All employees generally, or all employees in a broad class or broad group of employees must be given the opportunity to qualify for the bonus or incentive payment under similar terms and conditions. If the bonus or incentive payment plan only applies to a class or group of employees, a distinct and reasonable basis must exist for offering the plan to the particular class or group of employees;

                (ii)  “Earnable compensation” also includes the total amount for which an employee may choose to receive cash or a combination of cash and benefits under a cafeteria plan as permitted by § 125 of the Internal Revenue Code of 1986. “Earnable compensation” shall also include for any general employee in the executive, legislative, or judicial branch of government any compensation paid under § 3-1-106(f) and any non-cash compensation falling under Internal Revenue Service Regulation Section 1.61-2T(d) as such section exists on July 17, 2002, if such compensation was includable in gross income for federal income tax purposes and was subject to contributions under the provisions of the Federal Insurance Contributions Act;

          (C)  In cases where compensation includes maintenance, the board of trustees shall fix the value of that part of the compensation not paid in money;

          (D)  Notwithstanding any other law to the contrary, “earnable compensation” does not include compensation paid to a teacher employed in a state-supported institution of higher education for performing extra services for the institution that exceeds twenty-five percent (25%) of the teacher's base compensation. For purposes of this subdivision (14), “extra services” means any duties other than summer school or regular duties;

          (E)  Notwithstanding anything in this subdivision (14) or in any other law to the contrary, “earnable compensation” does not include compensation that exceeds the maximum dollar limitation imposed by § 401(a)(17) of the Internal Revenue Code, as amended. For any person becoming a member of the retirement system before July 1, 1996, the dollar limitation under § 401(a)(17) of the Internal Revenue Code, as amended shall not apply to the extent the amount of compensation which is allowed to be taken into account under the system would be reduced below the amount which was allowed to be taken into account under the system as in effect on July 1, 1993;

          (F)  In all cases of doubt, the retirement system shall determine whether a certain payment is includable as earnable compensation;

     (15)  “Education television association” means a nonprofit educational organization which has a contract with the state department of education through its television division to provide education television service;

     (16)  “Employer” means:

          (A)  The state or any department, commission, institution, board or agency of the state government by which a member is paid, with respect to members in its employ;

          (B)  The state, the county board of education, the city board of education, the state board of education, the board of trustees of the University of Tennessee, the board of trustees of other educational institutions and agencies supported by and under the control of the state, or any other agency of and within the state by which a teacher is paid, with respect to teachers in its employ;

          (C)  Any political subdivision of the state or educational cooperative participating in the retirement system pursuant to chapter 35, part 2 of this title or the Tennessee County Services Association, with respect to members in its employ;

          (D)  Any county of the state with respect to members in its employ;

          (E)  Any other association which was a member of one (1) of the superseded systems;

          (F)  A contractor that manages and operates a mental health institute under this chapter; or

          (G)  A contractor that manages and operates a blind workshop pursuant to § 71-4-608;

     (17)  “Firefighter” means a person in the employ of a political subdivision participating under chapter 35, part 2 of this title who is a member of the fire department of such political subdivision, and is trained in firefighting and actively engaged in such work or subject to call for such services, providing such person's primary livelihood is derived from such work;

     (18)  “General employee” means any person who is a state official, including legislative officials elected by the general assembly, or who is employed in the service of, and whose compensation is payable in whole or in part by, the state, including employees under supervision of the state whose compensation is paid, in whole or in part, from federal or other funds, or any person in the employ of a political subdivision participating under chapter 35, part 2 of this title, or of the Tennessee County Services Association, but does not include any teacher, state police officer, wildlife officer, firefighter, police officer, state judge, county judge, attorney general, governor, or county official or public service commissioner, or any person performing services on a contractual or percentage basis;

     (19)  “In-service” means a member who has not retired, has not been refunded and is within one hundred fifty (150) days of such member's last paid day of employment. The last paid day of employment for a teacher shall be the last scheduled working day of the normal school year or the last day of employment if prior to the end of the school year;

     (20)  “Local retirement fund” means any teachers' retirement fund or other arrangement for payment of retirement benefits to teachers, except this retirement system, supported wholly or in part by contributions made by an employer as defined by chapters 34-37 of this title;

     (21)  “Medical advisors” means the physicians provided for in part 4 of this chapter;

     (22)  “Member” means any person included in the membership of the retirement system, as provided in chapter 35, part 1 of this title;

     (23)  “Member annuity” means annual payments for life derived from the accumulated contributions of the member;

     (24)  “Membership service” means service rendered while a member of the retirement system;

     (25)  “Minor” has the meaning set forth in § 1-3-105(16), except when a contrary intention is manifest;

     (26)  “Part-time employee” means any person employed by the state or a political subdivision who renders less than a full day of service per working day or less than a full week of service per working week. Any employee falling into either of the above categories shall be considered part-time unless the law otherwise provides. “Part-time employee” does not include employees who are students, seasonal or temporary employees under twenty-five (25) years of age, temporary employees in institutions of higher education, or substitute teachers, unless such substitutes are under contract and scheduled to work the same time as a regular teacher. “Part-time employee” includes any interim teacher who is employed on a temporary basis to teach for a regular teacher who is on unpaid leave;

     (27)  “Physical or mental impairment” means one which is medically determinable. This means that the condition should be one that can be determined by a physician. The physical or mental impairment must be the primary reason for the individual's inability to engage in substantial gainful activity;

     (28)  “Police officer” means a person in the employ of a political subdivision participating under chapter 35, part 2 of this title who is a member of the police department of such political subdivision and is trained in police work and actively engaged in such work;

     (29)  “Prior class member” means a member who, on the day preceding the date of establishment, shall have been a member of a superseded system and who elects to remain covered by the benefit and contribution provisions of the superseded system, or who fails to elect to become covered by the benefit and contribution provisions of the retirement system applicable to new employees, as the case may be, in accordance with the provisions of chapter 35, part 1 of this title;

     (30)  “Prior service” means service rendered prior to the date of membership in the retirement system for which credit was given under the terms of one (1) or more of the superseded systems as provided in part 6 of this chapter;

     (31)  “Public school” means any school conducted within the state under the authority and supervision of a duly elected or appointed city or county school board, and any educational institution supported by and under the control of the state;

     (32)  “Regular interest” means interest at such rate or rates compounded annually as may be set from time to time by the board of trustees in accordance with § 8-34-505;

     (33)  “Retirement” means withdrawal from membership with a retirement allowance granted under the provisions of chapters 34-37 of this title;

     (34)  “Retirement allowance” means the sum of the member annuity and the state annuity. All retirement allowances shall be payable in equal monthly installments, which shall cease with the month in which death occurs, unless otherwise specifically provided in this section; provided, that if the retirement allowance is less than ten dollars ($10.00) per month, it shall be paid in a lump sum of equivalent actuarial value. If the entire monthly retirement allowance is ten dollars ($10.00) or more per month but less than fifty dollars ($50.00) per month, it shall be paid in a lump sum of equivalent actuarial value unless the recipient thereof files with the retirement division an election to receive the benefit in equal monthly installments pursuant to this subdivision (34). To be effective, the recipient must file the election by no later than sixty (60) calendar days after the recipient's receipt of the lump sum payment and the recipient must return any such payment to the retirement division. Notwithstanding any provision of this subdivision (34) to the contrary, any retirement allowance that equals ten dollars ($10.00) or more per month but less than fifty dollars ($50.00) per month shall be paid in a lump sum of equivalent actuarial value if such allowance is payable on account of a person who became a member of the retirement system on or after July 1, 2001;

     (35)  “Retirement system” means the Tennessee consolidated retirement system as defined in §§ 8-34-201, 8-34-202;

     (36)  “Service” means service as a general employee, a teacher, a state police officer, a wildlife officer, a firefighter, a police officer, a state judge, a county judge, an attorney general, a commissioner or a county official which is paid for by an employer, and also includes service for which a former member of the general assembly is entitled to under the provisions of former §§ 3-401 and 3-406; provided, that such member received compensation for such service;

     (37)  “Service retirement date” means the date on which a member first becomes eligible for a service retirement allowance, or would first become eligible for a service retirement allowance if the member were to remain in service until such date, as provided in §§ 8-36-201 8-36-204 or §§ 8-36-301 8-36-304;

     (38)  “Social security integration level” means, with respect to the calendar year in which a member retires, the average annual amount of compensation with respect to which old age and survivors benefits would be provided under Title II of the Federal Social Security Act (42 U.S.C. §§ 401-425) for a male employee attaining sixty-five (65) years of age in such calendar year, computed as though for each year prior to such calendar year annual compensation is at least equal to the maximum amount of annual earnings subject to contributions under the provisions of the Federal Insurance Contributions Act. Such average annual amount of compensation shall be rounded to the nearest multiple of six hundred dollars ($600);

     (39)  “State” means the state of Tennessee;

     (40)  “State annuity” means annual payments for life derived from contributions by an employer;

     (41)  “State judge” means any person in office as a judge of a court of record in this state, whose salary for the judge's judicial position has been paid during the period of the judge's service wholly from the treasury of the state, including the administrative director of the courts;

     (42)  “State police officer” means any commissioned member of the department of safety, and any agent of the Tennessee bureau of investigation;

     (43)  “Student” means any person enrolled in a course of study in a school or in a post-secondary educational institution who as a condition of such enrollment is employed in a full-time position. However, “student” does not include any person who is otherwise eligible for membership in the retirement system in accordance with § 8-35-101(a);

     (44)  (A)  “Substantial gainful activity” means the performance of significant duties over a reasonable period of time of work for remuneration or profit or in work of a type generally performed for remuneration or profit. Work which results in earnings considered by the law or regulations governing the social security administration to be substantial for disability recipients from that system shall be considered to be substantial gainful employment in this system; and

          (B)  “Significant duties” means that the duties are useful in the accomplishment of a job or the operation of a business but also that they have a degree of economic value;

     (45)  “Superseded system” means, where applicable, the Tennessee state retirement system, the Tennessee teachers' retirement system, the Tennessee judges' retirement system, the retirement system for county paid judges of Tennessee, the attorneys general retirement system of Tennessee, the public service commissioners' retirement system, and the Tennessee retirement system for county officials, any one (1) of them, or any combination thereof;

     (46)  “Teacher” means:

          (A)  Any person employed in a public school as a teacher, helping teacher, librarian, principal or supervisor, and includes any superintendent of public schools, or administrative officer of a department of education, or of any educational institution supported in whole or in part by and under the control of the state; or

          (B)  Any person employed in a public school as a teacher, librarian, principal, superintendent or chief administrative officer of a public school system, a supervisor of teachers, or any other position whereby the state requires the employee to be certificated as a teacher, or licensed as a nurse or physical therapist, in the public schools or of any educational institution supported in whole or in part by and under the control of the state. “Teacher” also includes any person employed in a public school as a reserve officer training corps (ROTC) instructor. It is further provided that any teacher who has taught in the public schools for a period of at least one (1) year who transfers to a position within the Tennessee public school system that does not require a teacher's certificate shall continue participation in the retirement plan as a teacher. This definition shall be in effect from and after July 1, 1986, and shall be applied to all persons seeking membership in the retirement plan as a teacher from this date forward;

     (47)  “Temporary employment” means any general employee can be considered as a temporary employee for a period not to exceed six (6) months before becoming eligible for membership in the retirement system, except as provided in § 8-35-107(b);

     (48)  “Transferred Class A member” means a member who on the day preceding the date of establishment shall have been a Class A member of the Tennessee teachers' retirement system or the Tennessee state retirement system and who is not a prior class member;

     (49)  “Transferred Class B member” means a member who on the day preceding the date of establishment shall have been a Class B member of the Tennessee teachers' retirement system or the Tennessee state retirement system and who is not a prior class member; and

     (50)  “Wildlife officer” means any commissioned employee of the wildlife resources agency engaged in law enforcement activities on a day-to-day basis.

[Acts 1972, ch. 814, § 1; 1973, ch. 347, §§ 1, 2; 1974, ch. 582, § 1; 1974, ch. 630, §§ 1, 2; 1974, ch. 715, § 3; 1974, ch. 723, § 1; 1974, ch. 786, § 1; 1974, ch. 788, § 1; 1975, ch. 281, § 1; 1975, ch. 315, §§ 8, 15; 1976, ch. 813, § 1; 1976, ch. 816, § 11; 1977, ch. 89, § 27; 1977, ch. 400, § 1; 1978, ch. 934, §§ 30, 31; 1979, ch. 321, § 1; T.C.A., § 8-3901; Acts 1980, ch. 636, § 13; 1980, ch. 654, §§ 1, 2; 1981, ch. 387, § 1; 1981, ch. 508, § 16; 1982, ch. 571, § 6; 1982, ch. 584, § 3; 1982, ch. 771, § 1; 1982, ch. 863, § 5; 1982, ch. 919, § 1; 1983, ch. 342, §§ 2, 27; 1984, ch. 797, §§ 1, 2; 1985, ch. 449, §§ 1-3; 1986, ch. 553, §§ 2-7, 25; 1986, ch. 665, § 5; 1988, ch. 527, §§ 2, 3; 1988, ch. 973, § 1; 1989, ch. 505, § 1; 1990, ch. 835, § 1; 1991, ch. 378, §§ 1-7; 1991, ch. 489, § 1; 1992, ch. 958, § 1; 1993, ch. 66, § 7; 1993, ch. 67, § 14; 1993, ch. 345, § 3; 1993, ch. 474, § 1; T.C.A., §§ 8-34-103 8-34-152; Acts 1994, ch. 710, § 1; 1994, ch. 716, § 1; 1994, ch. 958, § 1; 1995, ch. 305, § 91; 1995, ch. 479, § 1; 1996, ch. 918, § 1; 1996, ch. 996, § 2; 1997, ch. 63, § 1; 1997, ch. 432, § 1; 1999, ch. 205, §§ 13, 14; 2001, ch. 58, § 3; 2002, ch. 863, §§ 2, 21; 2003, ch. 12, § 1; 2003, ch. 90, § 2; 2004, ch. 631, §§ 1, 2; 2006, ch. 870, § 7; 2008, ch. 674, § 18; 2009, ch. 142, § 2.]