Michigan Compiled Laws Act 240 Of 1943 State Employees' Retirement Act (38.1 - 38.69)

AN ACT to provide for a state employees' retirement system; to create a state employees' retirement board and prescribe its powers and duties; to establish certain funds in connection with the retirement system; to require contributions to the retirement system by and on behalf of members and participants of the retirement system; to create certain accounts and provide for expenditures from those accounts; to prescribe the powers and duties of certain state and local officers and employees and certain state departments and agencies; to prescribe and make appropriations for the retirement system; and to prescribe penalties and provide remedies.

History: 1943, Act 240, Eff. July 30, 1943 ;-- Am. 1957, Act 232, Eff. Sept. 27, 1957 ;-- Am. 1984, Act 3, Eff. May 1, 1984 ;-- Am. 1989, Act 297, Imd. Eff. Jan. 3, 1990 ;-- Am. 1996, Act 389, Imd. Eff. Sept. 30, 1996 ;-- Am. 1996, Act 487, Eff. Mar. 31, 1997 ;-- Am. 2002, Act 99, Imd. Eff. Mar. 27, 2002

Section 38.1 Short Title; Meanings Of Words And Phrases.
(1) This act shall be known and may be cited as the “state employees' retirement act”. (2) For the purposes of this act, the...
Section 38.1a Definitions; A, B.
(1) “Accumulated contributions” means the sum of all amounts deducted from the compensation of a member and credited to the member's individual account in...
Section 38.1b Definitions; B, C.
(1) "Beneficiary" or "disability beneficiary" means a person other than a retirant who receives a retirement allowance, pension, or other benefit provided by this...
Section 38.1c Definitions; D.
(1) “Deferred member” means a member who is separated from state service for a reason other than retirement or death and who has satisfied...
Section 38.1d Definitions.
(1) Beginning January 1, 2002, except as otherwise provided in this subsection, "eligible retirement plan" means 1 or more of the following: (a) An...
Section 38.1e Definitions; F To I.
(1) "Final average compensation" means the average of those years of highest annual compensation paid to a member during a period of 5 consecutive...
Section 38.1f Definitions; M To O.
(1) “Member” means a state employee included in the membership of the retirement system, as provided for in section 13. (2) “Membership service” means...
Section 38.1g Definitions; P.
(1) “Pay reduction plan A” means the plan available to or required of a member during the fiscal years ending on and after September...
Section 38.1h Definitions; R.
(1) “Regular interest” means a rate or rates per annum, compounded annually, as the retirement board determines. For the purposes of employee refunds, the...
Section 38.1i Definitions; S, T.
(1) “Service” means service rendered to this state by an elected or appointed state official or employee of this state. Credit for service shall...
Section 38.2 State Employees' Retirement System; Creation; Administration By Retirement Board; Rules.
(1) A state employees' retirement system is created for the employees of the state of Michigan. (2) Except as otherwise provided in this section,...
Section 38.3 Retirement Board; Appointment And Terms Of Members.
(1) The retirement board shall consist of 9 members, as follows: (a) The insurance commissioner, the attorney general, the state treasurer, the deputy legislative...
Section 38.4 Retirement Board; Vacancies, Vacation Of Office.
(a) Any vacancy occurring 90 days or more before the expiration of the term of any employee or retirant member of the retirement board...
Section 38.5 Retirement Board; Oath; Quorum; Conducting Business At Public Meeting; Notice Of Meeting; Compensation And Expenses.
(a) Each member of the retirement board, created by this act, upon election or appointment, shall take an oath of office which shall be...
Section 38.6 Retirement Board; Officers And Employees.
Board chairman—secretary—actuary—medical advisor. The retirement board shall elect from its membership a chairman and a vice chairman, and shall appoint an executive secretary, and...
Section 38.7 Retirement System; Actuarial Valuation Of Assets And Liabilities; Investigation Of Mortality, Service, And Compensation Of Members.
The retirement board shall collect and keep in convenient form such data as shall be necessary for an actuarial valuation of the assets and...
Section 38.8 Administrative Board; Investment Of Funds, Purchase Of Life Insurance Or Annuity, Deposits.
(a) The members of the retirement board shall be the trustees of the several funds created by this act. The board may invest and...
Section 38.9 State Treasurer As Custodian Of Retirement System Funds; Powers And Duties.
(1) All bonds or other obligations purchased according to section 8 shall be placed in the hands of the state treasurer, who is hereby...
Section 38.10 Retirement Board Members And Employees; Interest In Investments Prohibited.
No employe shall gain from investments. Except as provided herein, no member or employe of the retirement board shall have any interest direct or...
Section 38.11 Employees' Savings Fund, Employer's Accumulation Fund, Annuity Reserve Fund, Pension Reserve Fund, Income Fund, Expense Fund, And Health Insurance Reserve Fund; Creation; Health Advance Funding Subaccount; Description Of Funds As Reference To Accounting Records Of Retirement System.
(1) There is created the employees' savings fund, employer's accumulation fund, annuity reserve fund, pension reserve fund, income fund, expense fund, and health insurance...
Section 38.12 Annual Statement Of Retirement Funds In Custody Of State Treasurer; Availability Of Report And Other Writings To Public; Request For Statement Of Credit.
(1) The state treasurer shall furnish annually to the retirement board a statement of the amount of the funds in the custody of the...
Section 38.13 Membership In Retirement System.
(1) Except as otherwise provided in this act, membership in the retirement system consists of state employees occupying permanent positions in the state civil...
Section 38.13a Blind Or Partially Sighted Licensed Vending Stand Operators Deemed Employees; Rights And Benefits; Eligibility; Contribution As Condition To Service Credit; Blindness Not Deemed Retirable Disability; Employer Cost.
Effective January 1, 1973, blind or partially sighted persons licensed as vending stand operators within the controlled programs of the bureau of blind services...
Section 38.13b Credited Service To Include Credit For Service Rendered To Joint Federal-state Commission; Conditions.
A member who retires on or after October 1, 1979 shall have his or her credited service include credit for service rendered by him...
Section 38.14 Information Required Of Members By Retirement Board.
Information furnished by members. Within 3 months after this act becomes effective, each original member, and within 30 days after his employment, each new...
Section 38.15 Original Members; Prior Service Certification.
Subject to such rules and regulations as the retirement board shall adopt, the retirement board shall certify to each original member of the retirement...
Section 38.16 Cessation Of Membership; Reemployment.
(1) Except as otherwise provided in this act, if a member separates or is separated from state service without leave of absence before becoming...
Section 38.17 Service Credited From State Board Of Control For Vocational Education; Conditions.
(a) At retirement a member's credited service shall include service rendered by him under the state board of control for vocational education, to the...
Section 38.17a Use Of Credited Service Acquired In Employ Of Governmental Unit; “governmental Unit Of The State” Defined.
(1) If an employee of a department of a governmental unit of the state is transferred to the employ of the state, by reason...
Section 38.17b Credited Service To Include Service Rendered Certain Universities.
A member retired after January 1, 1965 shall have his or her credited service include service rendered by him or her to the university...
Section 38.17c Retirement System Service Credit For Period Of Service Under County Department Of Social Services; Conditions.
Any member retired on or after January 1, 1975 who is an employee of a county department of social services who was merged and...
Section 38.17d Credited Service To Include Service Rendered To Department Of State Police Or Its Predecessor Agencies, Or To Court Of Record; Conditions.
A member who retires after October 8, 1976, at the member's request shall have his or her credited service include service rendered by that...
Section 38.17e, 38.17f Repealed. 1998, Act 205, Eff. Aug. 1, 1998.
Compiler's Notes: The repealed sections pertained to purchase of service credit as manager of department fee branch office or service in VISTA or peace corps
Section 38.17g Parental Leave; Purchase Of Service Credit.
(1) A member who left or leaves service with the state or who left or leaves service for a reporting unit of the public...
Section 38.17h Full-time Service As Employee With City, County, Township, Or Village Of This State; Purchase Of Service Credit.
(1) A member may elect to purchase service credit for not more than 5 years of full-time service as an employee with a city,...
Section 38.17i Full-time Service With Federal Government Or As State Employee With Another State; Purchase Of Service Credit.
(1) A member may elect to purchase service credit for not more than 5 years of full-time service with the federal government, or as...
Section 38.17j Purchase Of Combined Total Of More Than 10 Years Prohibited; Purchase Of Service Credit In Separate Increments; Future Purchases Not Barred; Refund; Actuarial Cost.
(1) On and after June 23, 1987, a member who is otherwise entitled to purchase service credit under section 17g, 17h, 17i, 17k, 17l,...
Section 38.17k Repealed. 1998, Act 205, Eff. Aug. 1, 1998.
Compiler's Notes: The repealed section pertained to purchase of approved medical leave.
Section 38.17l Purchase Of Additional Service Credit By Employee Of State Accident Fund, Michigan Biologic Products Institute, Or Liquor Control Commission.
(1) An employee of the state accident fund who has 5 or more but less than 10 years of credited service as of the...
Section 38.17m Purchase Of Service Credit; Limitation; Refund.
(1) A member may elect to purchase not more than 5 years of service credit less the number of years of service credit purchased...
Section 38.17n City Employee; Transfer Or Purchase Of Service Credit.
(1) A member may transfer or purchase service credit earned when the member was an employee of a city with a population over 750,000...
Section 38.18 Credit For Military Or Federal Service; Credit For Prior Service; Conditions; Computation.
(1) A member of the retirement system who, while an employee of this state, was or who is drafted or enlisted into active military...
Section 38.19 Retirement Upon Written Application To Retirement Board; Retirement Without Reduction In Retirement Allowance; Definitions; Layoff Status Because Agency Or Inpatient Facility Designated For Closure; Conditions; Certification; Application; Funding Additional Costs; Employees Of State Accident Fund, Michigan Biologic Products Institute, Or Liquor Control Commission.
(1) A member who is 60 years of age or older and has 10 or more years of credited service or a member who...
Section 38.19a Retirement Upon Satisfaction Of Certain Requirements; Monthly Retirement Allowance Supplement; Benefits, Salary, Or Remuneration Precluding Payment Under Subsection (2); Payment Of Sick Leave; Payment By Retirement System; Amount Payable By Principal Departments; Member Considered Retirant; Deposit By Principal Department; Use Of Deposits; Exception; Monthly Payment By Michigan Employment Security Commission; Service Credit For Participation In Pay Reduction Plan C; Death Of Retirant Or Applicant For Retirement.
(1) Notwithstanding section 19, a member who is employed by the state on May 1, 1984 may retire and receive a retirement allowance computed...
Section 38.19b Right To Retire And Receive Retirement Allowance Computed Under Mcl 38.20(1); Application Period; Requirements; Payment For Accumulated Sick Leave In 60 Monthly Installments.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under section 20(1) if the member meets all of the...
Section 38.19c Right To Retire And Receive Retirement Allowance Computed Under Mcl 38.20(1); Application Period; Requirements; Payment For Accumulated Sick Leave In 60 Monthly Installments.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under section 20(1) if the member meets all of the...
Section 38.19d Right To Retire And Receive Retirement Allowance Computed Under Mcl 38.20(1); Application Period; Requirements; Payment For Accumulated Sick Leave In 60 Monthly Installments.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under section 20(1) if the member meets all of the...
Section 38.19e Right To Retire And Receive Retirement Allowance Computed Under Mcl 38.20(1); Application Period; Requirements; Payment For Amounts Entitled To Receive At Retirement.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under section 20(1) if the member meets all of the...
Section 38.19f Retirement And Receipt Of Retirement Allowance; Requirements; Accumulated Sick Leave; Request To Extend Effective Date Of Retirement; Calculation; State Contract Prohibited.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under this section if the member meets all of the...
Section 38.19g Member Meeting Certain Requirements On Or Before November 1, 2002; Computation Of Retirement Allowance; Payment Of Accumulated Sick Leave Or Annual Leave; Extension Of Effective Date; Participant In Tier 2.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under this section if the member meets all of the...
Section 38.19h Payments Not Tax Exempt And Subject To Certain Operations Of Law.
Payments made after September 30, 1991, under sections 19b(2), 19c(2), 19d(2), 19e(2), and 19f(3) are not pensions, annuities, retirement allowances, optional benefits, or any...
Section 38.19i Retirement Allowance; Computation; Accumulated Sick Leave; Purchase Of Service Credit; Hiring Under Contract; Limitation.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under this section if the member meets all of the...
Section 38.19j Retirement; Requirements; Accumulated Annual Leave, Sick Leave, And Deferred Leave Hours; Forfeiture; Inclusion In Calculation For Determination Of Final Average Compensation; Extension; Request; Retirement Allowance Calculation; "Incentivized Retirement Application Period" Defined.
(1) Notwithstanding section 19, a member may retire and receive a retirement allowance computed under this section if the member meets all of the...
Section 38.20 Computation Of Retirement Allowance; Right To Elect Option; Retirement Before Age 65; Death Of Retirant; Separation From Service; Department Of Mental Health Employee Termination; Recalculation And Payment Of Retirement Allowance; Eligibility Of State Accident Fund Or Michigan Biologic Products Institute Employees To Health Care Benefits And Certain Rights, Privileges, And Benefits.
(1) Subject to section 20j, upon his or her retirement, as provided for in section 19, 19a, 19b, 19c, 19d, or 19e, a member...
Section 38.20a Minimum Retirement Allowance.
After July 1, 1968 a retirant or a member who subsequently retires under the provisions of this act and who has completed at least...
Section 38.20b Increase In Monthly Retirement Allowance; Payment.
(1) On July 1, 1972, the monthly retirement allowance payable to a retirant or beneficiary who is on the rolls for June, 1971, is...
Section 38.20c Supplement To Retirement Allowance.
(1) On July 1, 1974, the monthly retirement allowance payable to a retirant or beneficiary who was on the rolls as such for June,...
Section 38.20d Hospitalization, Medical, Dental, And Vision Coverage Insurance Premium; Computation And Allocation Of Cost Savings; Payment By Retirement Board; “retirant” Defined.
(1) On and after July 1, 1974, hospitalization and medical coverage insurance premium payable by any retirant or his or her beneficiary and his...
Section 38.20e Supplemental Retirement Allowance; Amount; Payment.
(1) After December 31, 1980, a retirant or beneficiary of a deceased retirant whose effective date of retirement benefit payable was before July 1,...
Section 38.20f Supplement To Retirement Allowance Payable On Or After September 30, 1976.
(1) The monthly retirement allowance payable to a retirant or beneficiary on or after September 30, 1976, who was on the rolls for April...
Section 38.20g Determining Rate Of Investment Return On Retirement System Assets And Present Value Of Retirement Allowances; Calculation And Reduction Of Distribution Income; Crediting Distribution Units To Retirant Or Retirement Allowance Beneficiary; Calculation And Payment Of Distribution Amount; Effect Of Death; Increase In Retirement Allowance; Computation Of Cumulative Increase Amount; Supplemental Payment.
(1) After the end of each state fiscal year, the department of management and budget shall determine the rate of investment return earned on...
Section 38.20h Supplemental Payments For Retirants Or Retirement Allowance Beneficiaries With Retirement Allowance Effective Date Before October 1, 1986; Future Adjustments.
(1) Effective October 1, 1987, the monthly retirement allowance payable to a retirant or retirement allowance beneficiary whose retirement allowance effective date was before...
Section 38.20i Supplement.
Upon his or her retirement as provided for in section 19j, beginning January 1, 2011, a member shall receive a supplement for 60 months...
Section 38.20j Member Not Making Election Under Mcl 38.50a; Calculation Of Retirement Allowance Beginning April 1, 2012; Items Of Compensation; Accumulation Of Service Credit; Member Making Election Under Mcl 38.50a(1) And Designation Under Mcl 38.50a(2); Calculation Of Retirement Allowance; Items Of Compensation; Accumulation Of Service Credit; Treatment Of Member As Tier 1; "Attainment Date" Defined.
(1) Beginning April 1, 2012, the calculation of a retirement allowance under this act for a member who did not make the election under...
Section 38.21 Duty Disability Retirement.
(1) Except as may be provided otherwise in sections 33 and 34, a member who becomes totally incapacitated for duty because of a personal...
Section 38.22 Retirement For Disability At Age 60; Service Retirement Allowance; Crediting 10 Years Of Service.
Upon retirement for disability, as provided in section 21, a member who has attained age 60 shall receive a service retirement allowance as provided...
Section 38.23 Retirement For Disability Before Attaining Age 60; Benefits.
(1) Upon retirement for disability as provided in section 21, a member who is less than 60 years old shall receive a disability retirement...
Section 38.24 Non-duty Disability Retirement.
(1) Except as may otherwise be provided in sections 33 and 34, a member who becomes totally incapacitated for duty because of a personal...
Section 38.25 Retirement For Disability.
Upon retirement for disability, as provided in section 24, a member shall receive a retirement allowance computed in accordance with section 20(1). The retirement...
Section 38.26 Repealed. 1955, Act 237, Eff. Oct. 24, 1955.
Compiler's Notes: The repealed section provided for non-duty disability retirement allowance to public employees before age 60.
Section 38.27 Death Resulting From Personal Injury Or Disease Arising Out Of And In Course Of State Employment; Survivor Benefits.
(1) Except as provided in subsections (3), (4), and (5), if a member dies as a result of a personal injury or disease arising...
Section 38.27a Retirement Allowances Granted Under Mcl 38.27; Adjustment.
(1) Beginning with retirement allowance payments due on or after June 1, 2004, retirement allowances granted under section 27 that began before the effective...
Section 38.28 Withdrawal Of Member Before Retirement; Refund Of Contributions; Restoration On Re-employment; Court Administrator.
Should a member cease to be an employee before attaining age 60 years, or after attaining such age but before becoming eligible for a...
Section 38.29 Death Before Retirement; Refund Of Contributions.
Should a member die before his service retirement becomes effective, the accumulated contributions standing to his credit in the employees' savings fund, at the...
Section 38.30 Withholding Refund Of Contributions.
Board may withhold refunds of contributions. The retirement board may, in its discretion, withhold payment of all or part of a member's contributions for...
Section 38.31 Election Of Regular Retirement Allowance Or Reduced Retirement Allowance; Payment Options; Designation Of Beneficiary; Effect Of Beneficiary's Death Or Divorce; Request By Nonduty Disability Retirant To Change Elections; Death Of Member Before Effective Date Of Retirement.
(1) Except as provided in subsection (6), before the effective date of retirement, but not after the effective date of retirement, a member or...
Section 38.32 Remarriage Of Surviving Spouse.
The remarriage of a surviving spouse shall not render the surviving spouse ineligible to receive a retirement allowance described in section 27 or 31(c)....
Section 38.33 Disability Retirant Under Age 60; Medical Examination Required; Reduction Of Retirement Allowance On Account Of Gainful Employment.
(a) The retirement board may, and upon the application of anyone retired pursuant to section 21, 24, or 67a shall, require anyone retired under...
Section 38.34 Disability Retirant; Reinstatement To Service, Service Credits Allowable.
A disability retirant who has been or shall be reinstated in active service, as provided in section 33, shall from the date of such...
Section 38.35 Contribution Of 3% Of Employee Compensation To Funding Account; "Funding Account" Defined; Refund Of Amounts Contributed Under Subsection (1).
(1) Beginning with the first pay date after November 1, 2010 and ending no later than the second pay date after the effective date...
Section 38.35a Election Under Mcl 38.50a; Contribution.
(1) Beginning with the first pay date after April 1, 2012 and ending upon the member's termination of employment or attainment date, as applicable...
Section 38.36, 38.37 Repealed. 1974, Act 216, Imd. Eff. July 19, 1974.
Compiler's Notes: The repealed sections pertained to payroll deduction of contributions to employees' savings fund.
Section 38.38 Annual Level Percent Of Payroll Contribution Rate; Determination; Basis; Report; Computation; Amortization Of Unfunded Actuarial Accrued Liability; Annual Appropriation To Retirement System; Transfer Of Funds; Certification; Difference Between Actual State Contributions And Product Of Contribution Rates Times Aggregate Compensations Paid; Submitting Difference Between Estimated And Actual Aggregate Compensation And Estimated And Actual Contribution Rate To Legislature For Appropriation; Interest; Deposit To Health Advance Funding Subaccount.
(1) The annual level percent of payroll contribution rate to finance the benefits provided under this act shall be determined by actuarial valuation pursuant...
Section 38.39 Repealed. 1982, Act 316, Imd. Eff. Oct. 18, 1982.
Compiler's Notes: The repealed section pertained to payment of appropriation into employer's accumulation fund.
Section 38.39a Reserves For Retirement Allowances; Legislative Determination Of Funds From Which Appropriations Made.
In the making of appropriations required under the provisions of sections 38 and 39, the appropriations by the legislature meeting employer's contributions covering employees,...
Section 38.40 Allowances, Benefits, And Other Rights; Exemption From Taxation; Subject To Tax Beginning January 1, 2012; Subject To Public Employee Retirement Benefit Protection Act.
(1) Except as otherwise provided in this section, the right of a person to a pension, an annuity, a retirement allowance, and any optional...
Section 38.41 Correction Of Errors In Payment Of Retirement Allowances.
Should any change or error in the records result in any member, retirant or beneficiary receiving from the retirement system more or less than...
Section 38.42 Retirement System Records; Falsification, Penalty.
Penalty for false statements. Any person who shall knowingly make any false statements, or shall falsify or permit to be falsified any record or...
Section 38.43 Repealed. 1997, Act 148, Eff. Jan. 30, 1998.
Compiler's Notes: The repealed section pertained to contributions made to dissolved authority and transfer to retirement plan of successor agency.
Section 38.44 Rights, Privileges, And Benefits Of Vested Employee.
(1) An employee of the state accident fund who was vested in the state retirement system on or before the effective date of the...
Section 38.44a Member Employed By State Judicial Council.
(1) An individual who was a member on September 30, 1996 by virtue of his or her employment by the state judicial council shall...
Section 38.45 Definitions.
As used in sections 45 to 47: (a) “Covered position” means any of the following: (i) On or after January 1, 1989, a position...
Section 38.46 Retirement Or Separation From Employment Of Supplemental Member With Supplemental Early Retirement Allowance; Conditions; Determination Of Eligibility.
(1) A supplemental member may retire with a supplemental early retirement allowance as provided for in section 47 if the supplemental member meets all...
Section 38.47 Temporary Straight Life Supplemental Early Retirement Allowance; Payment; Computation; Electing Optional Form Of Payment.
(1) Upon retirement as provided in section 46, a supplemental member shall be paid a temporary straight life supplemental early retirement allowance terminating upon...
Section 38.47a Report.
The retirement board shall report to the house and senate appropriations committees not later than June 30, 2003 on the cost of transferring persons...
Section 38.48 Conservation Officers.
(1) A member who is a conservation officer may retire under this section if all of the following requirements are met: (a) The member...
Section 38.49 Administration Of Retirement System As Qualified Pension Plan Under Internal Revenue Code; Requirements And Benefit Limitations; Qualified Military Service.
(1) This section is enacted pursuant to section 401(a) of the internal revenue code, 26 USC 401, that imposes certain administrative requirements and benefit...
Section 38.50 Election To Terminate Participation In Tier 1 And To Participate In Tier 2; Irrevocability; Termination Of Employment; Reemployment Of Deferred Or Former Nonvested Member; Method Of Election; Signature Of Spouse; Waiver; Election Subject To Eligible Domestic Relations Order Act; Effect Of Disqualification Notice From United States Internal Revenue Service; Exception.
(1) Except as otherwise provided in subsection (2), the retirement system shall provide an opportunity for each member who is a member on March...
Section 38.50a Election To Continue Receiving Credit For Future Service And Compensation; Designation; Failure To Make Election; Rescission; Reemployment Of Former Nonvested Member; "Attainment Date" Defined.
(1) The retirement system shall permit each member who is a member on December 31, 2011 to make an election with the retirement system...
Section 38.51 Transfer Of Lump Sum Amount.
(1) For a member who elects to terminate membership in Tier 1 under section 50(1), the retirement system shall direct the state treasurer to...
Section 38.52 Calculation Of Accrued Cost Savings For Each Fiscal Year.
After consulting the retirement system's actuary, the department of management and budget shall calculate for each fiscal year any cost savings that have accrued...
Section 38.53 Meanings Of Words And Phrases; Definitions; A To C.
(1) For the purposes of this section and sections 54 to 69, the words and phrases defined in this section and sections 54 to...
Section 38.54 Definitions; E To H.
(1) “Employer” means this state or, if a qualified participant is not employed by this state but is a participant in Tier 2 by...
Section 38.55 Definitions; P To Y.
(1) "Plan document" means the document that contains the provisions and procedures of Tier 2 in conformity with this act and the internal revenue...
Section 38.56 State Treasurer; Powers And Duties.
(1) The state treasurer shall administer Tier 2 and shall invest the assets of Tier 2. The state treasurer is the fiduciary and trustee...
Section 38.57 Hearing.
(1) A qualified participant, former qualified participant, health benefit dependent, or refund beneficiary may request a hearing on a claim involving his or her...
Section 38.58 Investment Of Employer And Employee Contributions And Earnings; Direction By Participant.
Each qualified participant, former qualified participant, and refund beneficiary shall direct the investment of the individual's accumulated employer and employee contributions and earnings to...
Section 38.59 Payment Of Administrative Expenses.
The administrative expenses of Tier 2 shall be paid by the qualified participants, former qualified participants, and refund beneficiaries who have not closed their...
Section 38.60 Other Public Sector Retirement Benefits Plan; Participation.
A qualified participant shall not participate in any other public sector retirement benefits plan for simultaneous service rendered to the same public sector employer....
Section 38.61 Election By Elected Or Appointed Official.
An elected or appointed official who is first elected or appointed on or after March 31, 1997 may irrevocably elect not to become a...
Section 38.62 Transfer Of Amount; Crediting And Charging Participant Account.
(1) The state treasurer shall promptly credit the Tier 2 account of a qualified participant or former qualified participant who makes an election under...
Section 38.63 Contributions By Employer And Participant.
(1) This section is subject to the vesting requirements of section 64. (2) A qualified participant's employer shall contribute to the qualified participant's account...
Section 38.63a Tier 2 And Tax-deferred Accounts; Terms And Conditions.
Tier 2 and tax-deferred accounts are subject to the following terms and conditions: (a) On or before April 1, 2012, the retirement system shall...
Section 38.64 Tier 2; Vesting Requirements.
(1) A qualified participant is immediately 100% vested in his or her contributions made to Tier 2 and employer contributions under the banked leave...
Section 38.65 Crediting Years Of Service Accrued.
A qualified participant who was a member, deferred member, or former nonvested member of Tier 1 shall be credited with the years of service...
Section 38.66 Refund Beneficiary.
A qualified participant or former qualified participant may nominate 1 or more individuals as a refund beneficiary by filing written notice of nomination with...
Section 38.67 Distributions Of Accumulated Balance.
(1) A qualified participant is eligible to receive distribution of his or her accumulated balance in Tier 2 upon becoming a former qualified participant....
Section 38.67a Duty Disability Retirement Allowance; Supplemental Benefit; Health Insurance Coverage; Exception.
(1) Except as otherwise provided in this section or section 33, a qualified participant who becomes totally incapacitated for duty because of a personal...
Section 38.68 Health Insurance Coverage.
(1) A former qualified participant may elect health insurance benefits in the manner prescribed in this section if he or she meets both of...
Section 38.68a Appropriation Amount; Purpose; Work Project; Estimated Completion Date.
In addition to the amount appropriated in part 1 of 2001 PA 83 for retirement services, there is appropriated for the fiscal year ending...
Section 38.68b Participant Employed On Or After January 1, 2012 Or Making Election Under Subsection (5) Or (6); Health Insurance Coverage; Contribution To Tax-deferred Account; Opt-out; Calculation Of Amount Under Subsection (7) And Adjustment Under Subsection (8); Implementation Of Subsections (5) To (11); Method; Report.
(1) A qualified participant or former qualified participant who was first employed and entered upon the payroll of his or her employer on or...
Section 38.68c Employment Of Retiree Receiving Retirement Allowance; Cessation Of Retirement Payment; Applicability; "Employed By This State" Defined; Coordination Of Benefits Provision; Exceptions To Subsection (1).
(1) Except as otherwise provided in this section, a retirant who is receiving a retirement allowance under this act and is employed by this...
Section 38.68d Administration Of Changes; Appropriation.
(1) There is appropriated for the fiscal year ending September 30, 2010, $1,600,000.00 to the office of retirement services in the department of technology,...
Section 38.68e Appropriation.
(1) There is appropriated for the fiscal year ending September 30, 2012 $1,900,000.00 to the office of retirement services in the department of technology,...
Section 38.69 Exemptions From Taxation; Subject To Public Employee Retirement Benefit Protection Law; Right Of Setoff To Recover Overpayments; Satisfaction Of Claims Arising From Embezzlement Or Fraud; Correction Of Errors In Records And Actions.
(1) Distributions from employer contributions made pursuant to section 63(2) and (3) and earnings on those employer contributions, and distributions from employee contributions made...

Last modified: October 10, 2016