Pennsylvania Act 1994-76 — STATE GOVERNMENT (71 PA.C.S.) - AMEND TRANSFER PENSION CREDIT

Act text

STATE GOVERNMENT (71 PA.C.S.) - AMEND TRANSFER PENSION CREDIT
                  Act of Oct. 5, 1994, P.L. 518, No. 76               Cl. 71
                             Session of 1994
                               No. 1994-76

     SB 1660

                                  AN ACT

     Amending Title 71 (State Government) of the Pennsylvania
        Consolidated Statutes, providing for the transfer of certain
        pension service credit relating to the Middle Atlantic-Great
        Lakes Organized Crime Law Enforcement Network.

        The General Assembly of the Commonwealth of Pennsylvania
     hereby enacts as follows:

        Section 1.  Section 5303 of Title 71 of the Pennsylvania
     Consolidated Statutes is amended by adding a subsection to read:
      § 5303.  Retention and reinstatement of service credits.
        * * *
        (f)  Transfer of certain pension service credit; Middle
     Atlantic-Great Lakes Organized Crime Law Enforcement Network.--
            (1)  An active member who is an employee of the Office of
        Attorney General and the Middle Atlantic-Great Lakes
        Organized Crime Law Enforcement Network on December 31, 1992,
        shall be eligible to obtain State service credit for service
        with the New Jersey State Police and the Middle Atlantic-
        Great Lakes Organized Crime Law Enforcement Network for the
        period December 1, 1988, to July 31, 1991, upon payment of
        the required contributions by the member and Office of
        Attorney General and the Middle Atlantic-Great Lakes
        Organized Crime Law Enforcement Network if the provisions of
        this subsection are satisfied.
            (2)  The employee shall elect to receive the credit by
        filing an application with the board while an active member
        no later than 90 days after the enactment of this act.
            (3)  Contributions to be paid by an active member for
        credit for New Jersey State Police and the Middle Atlantic-
        Great Lakes Crime Law Enforcement Network service shall be
        sufficient to provide an amount equal to the regular and
        additional accumulated deductions which would have been
        standing to the credit of the member for such service had
        regular and additional member contributions been made to the
        board with full coverage as a Class A member during the
        period of New Jersey State Police and Middle Atlantic-Great
        Lakes Organized Crime Law Enforcement Network service and had
        these regular and additional accumulated deductions been
        credited with statutory interest up to the date of purchase.
        The amount payable shall be certified in each case by the
        board in accordance with methods approved by the actuary and
        shall be paid in a lump sum within 30 days or, in the case of
        an active member, may be amortized with statutory interest
        through salary deductions in amounts agreed upon by the
        member and the board and shall be credited to the members'
        savings account. The amount of members' contributions so
        determined by the board shall be the obligation of the member
        who requested credit for New Jersey State Police and Middle
        Atlantic-Great Lakes Organized Crime Law Enforcement Network
        service and in no event shall such amount be an obligation of
        the Office of Attorney General and Middle Atlantic-Great
        Lakes Organized Crime Law Enforcement Network or the State of
        New Jersey Retirement System.
            (4)  Contributions to be paid by either the Office of
        Attorney General or the Middle Atlantic-Great Lakes Organized
        Crime Law Enforcement Network on account of credit for
        service as an employee of the New Jersey State Police and the
        Middle Atlantic-Great Lakes Organized Crime Law Enforcement
        Network during the period of December 1, 1988, through July
        31, 1991, shall be equal to the full actuarial cost of the
        increased benefit obtained by virtue of the service, reduced
        by the member's contribution payable in a lump sum as
        calculated under paragraph (3). Contributions paid by the
        Office of Attorney General shall be made out of Regional
        Information Sharing Systems Program grants and Federal funds
        received from the Bureau of Justice Assistance, United States
        Department of Justice, and in no event shall the
        contributions be the obligation of any other fund of the
        Commonwealth. The contributions shall not be considered
        compensation for purposes of this part. The full actuarial
        cost of the increased benefit attributable to the New Jersey
        State Police and the Middle Atlantic-Great Lakes Organized
        Crime Law Enforcement Network service shall be the difference
        between subparagraphs (i) and (ii) less the member's
        contribution:
                (i)  the present value of a standard single life
            annuity, beginning at the earliest possible
            superannuation age, calculated assuming a 6.5% future
            salary increase, a 9% interest rate and standard
            postretirement mortality, assuming credit for the New
            Jersey State Police and the Middle Atlantic-Great Lakes
            Organized Crime Law Enforcement Network service to be
            purchased; and
                (ii)  the present value of a standard single life
            annuity, beginning at the earliest possible
            superannuation age, calculated assuming a 6.5% future
            salary increase, a 9% interest rate, standard
            postretirement mortality, excluding credit for the New
            Jersey State Police and the Middle Atlantic-Great Lakes
            Organized Crime Law Enforcement Network service to be
            purchased.
            (5)  The earliest possible superannuation age shall be
        the age at which the member becomes first eligible for
        superannuation retirement assuming continued full-time
        service and credit for the amount of service which the member
        has elected to purchase or the current attained age of the
        member, whichever is later.
            (6)  The payment shall be made in lump sum by either the
        Office of Attorney General or the Middle Atlantic-Great Lakes
        Organized Crime Law Enforcement Network within 90 days of
        certification by the board of the required contribution
        amount and shall be credited to the State accumulation
        account.
            (7)  In the event neither the Office of Attorney General
        nor the Middle Atlantic-Great Lakes Organized Crime Law
        Enforcement Network makes the required contributions within
        the specified time, the State service credited shall be
        canceled, and any member contributions made pursuant to
        paragraph (3) shall be refunded to the member.
            (8)  In no event shall New Jersey State Police and Middle
        Atlantic-Great Lakes Organized Crime Law Enforcement Network
        service be creditable if the member has received, is entitled
        to receive, eligible to receive now or in the future or is
        receiving retirement benefits for such service or has
        retirement credit or has now or acquires in the future
        retirement credit under a retirement system administered and
        wholly or partially paid for by any other governmental agency
        or by any private employer or a retirement program approved
        by the employer in accordance with section 5301(a)(12). In
        the event that State service credit is granted for New Jersey
        State Police and Middle Atlantic-Great Lakes Organized Crime
        Law Enforcement Network service and the member subsequently
        receives credit for such service that is prohibited by this
        paragraph, the State service credited shall be canceled and
        any member contributions made pursuant to paragraph (3) shall
        be refunded to the member.
            (9)  In the event the member is or was an annuitant, any
        annuity paid or payable during the period of such service
        with the New Jersey State Police and the Middle Atlantic-
        Great Lakes Organized Crime Law Enforcement Network shall be
        canceled retroactive to the date the member began service
        with the New Jersey State Police and Middle Atlantic-Great
        Lakes Organized Crime Law Enforcement Network, any such
        annuity payments made to the member shall be repaid by the
        member, and the provisions of section 5706 (relating to
        termination of annuities) shall apply if applicable. The
        amount payable shall be certified in each case by the board
        and shall be paid in a lump sum within 30 days or, in the
        case of an active member, may be amortized with statutory
        interest through salary deductions in amounts agreed upon by
        the member and the board and shall be credited to the
        members' savings account. The amount of annuity repayments so
        determined by the board shall be the obligation of the member
        who requested credit for New Jersey State Police and Middle
        Atlantic-Great Lakes Organized Crime Law Enforcement Network
        service, and in no event shall such amount be an obligation
        of the Office of Attorney General and the Middle Atlantic-
        Great Lakes Organized Crime Law Enforcement Network.
            (10)  In no event shall a member be eligible to receive
        credit for service to the State of New Jersey or service
        credited in the New Jersey Retirement System other than
        service rendered to the New Jersey State Police and the
        Middle Atlantic-Great Lakes Organized Crime Law Enforcement
        Network.
        Section 2.  This act shall take effect immediately.

     APPROVED--The 5th day of October, A. D. 1994.

     ROBERT P. CASEY