Text: HF00362 Text: HF00364 Text: HF00300 - HF00399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 97B.80C PRIVATE SECTOR
1 2 EMPLOYMENT SERVICE CREDIT.
1 3 1. A vested or retired member who has five or more full
1 4 calendar years of covered wages and who at any time was in
1 5 full-time private sector employment, upon submitting
1 6 verification of the full-time private sector employment and
1 7 the dates of the employment, may make contributions to the
1 8 system for up to the lesser of twenty quarters of service
1 9 credit for such private sector employment or the entire period
1 10 of the private sector employment, in increments of one or more
1 11 calendar quarters, and receive credit for membership service
1 12 and prior service for the period of time for which the
1 13 contributions are made.
1 14 2. The contributions required to be made for purposes of
1 15 this section shall be in an amount equal to the actuarial cost
1 16 of the service purchase. For purposes of this subsection, the
1 17 actuarial cost of the service purchase is an amount determined
1 18 by the department in accordance with actuarial tables, as
1 19 reported to the department by the system's actuary, which
1 20 reflects the actuarial cost necessary to fund an increased
1 21 retirement allowance resulting from the purchase of additional
1 22 service.
1 23 3. The verification of the full-time private sector
1 24 employment and the dates of such employment shall be made by
1 25 the department prior to receiving contributions from the
1 26 member.
1 27 4. A member eligible for an increased retirement allowance
1 28 because of the payment of contributions under this section is
1 29 entitled to receipt of retroactive adjustment payments for no
1 30 more than six months immediately preceding the month in which
1 31 the member pays contributions under this section.
1 32 5. A purchase of service made in accordance with this
1 33 section by a retired reemployed member shall be applied to
1 34 either the member's original retirement allowance, or to the
1 35 member's reemployment service, whichever is more beneficial to
2 1 the member. If applied to a member's original retirement
2 2 allowance, or to the member's reemployment service after the
2 3 retirement allowance payments for such service begin, the
2 4 member is eligible to receive retroactive adjustment payments
2 5 for no more than six months prior to completion of the
2 6 purchase.
2 7 6. The department shall ensure that the member, in
2 8 exercising an option provided in this section, does not exceed
2 9 the amount of annual additions to a member's account permitted
2 10 pursuant to section 415 of the federal Internal Revenue Code.
2 11 EXPLANATION
2 12 This bill allows a vested or retired member of the Iowa
2 13 public employees' retirement system (IPERS) with one or more
2 14 calendar years of covered wages under IPERS to purchase
2 15 service credit for up to five years of full-time private
2 16 sector employment. In no event can the service time purchased
2 17 exceed the period of the private sector employment. The bill
2 18 provides that the department shall verify the dates of the
2 19 full-time private sector employment. The contributions
2 20 required from the member to receive service credit shall be
2 21 the actuarial cost of providing a retirement benefit for the
2 22 period of the service purchase.
2 23 LSB 2272YH 79
2 24 ec/cf/24
Text: HF00362 Text: HF00364 Text: HF00300 - HF00399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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