Bill Text: OH HB388 | 2011-2012 | 129th General Assembly | Introduced

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Bill Title: To suspend, during the period of employment, the retirement benefit of a public retirement system retiree who returns to public employment.

Spectrum: Partisan Bill (Republican 3-0)

Status: (Introduced - Dead) 2011-12-01 - To Health & Aging [HB388 Detail]

Download: Ohio-2011-HB388-Introduced.html

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As Introduced

129th General Assembly Regular Session 2011-2012

H. B. No. 388

Representative Damschroder 

Cosponsors: Representatives Thompson, Pelanda 

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A BILL

To amend sections 145.01, 145.191, 145.38, 145.384,

1

145.471, 145.473, 145.58, 145.82, 742.26, 3307.35,

2

3307.352, 3309.341, 3309.344, and 3501.13; to

3

enact sections 145.386, 742.261, 3307.354, and

4

3309.346; and to repeal section 5505.161 of the

5

Revised Code to suspend, during the period of

6

employment, the retirement benefit of a public

7

retirement system retiree who returns to public

8

employment.

9

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1.  That sections 145.01, 145.191, 145.38, 145.384,	10
145.471, 145.473, 145.58, 145.82, 742.26, 3307.35, 3307.352,	11
3309.341, 3309.344, and 3501.13 be amended and sections 145.386,	12
742.261, 3307.354, and 3309.346 of the Revised Code be enacted to	13
read as follows:	14

Sec. 145.01.  As used in this chapter:

15

(A) "Public employee" means:

16

(1) Any person holding an office, not elective, under the	17
state or any county, township, municipal corporation, park	18
district, conservancy district, sanitary district, health	19
district, metropolitan housing authority, state retirement board,	20
Ohio historical society, public library, county law library, union	21
cemetery, joint hospital, institutional commissary, state	22
university, or board, bureau, commission, council, committee,	23
authority, or administrative body as the same are, or have been,	24
created by action of the general assembly or by the legislative	25
authority of any of the units of local government named in	26
division (A)(1) of this section, or employed and paid in whole or	27
in part by the state or any of the authorities named in division	28
(A)(1) of this section in any capacity not covered by section	29
742.01, 3307.01, 3309.01, or 5505.01 of the Revised Code.	30

(2) A person who is a member of the public employees	31
retirement system and who continues to perform the same or similar	32
duties under the direction of a contractor who has contracted to	33
take over what before the date of the contract was a publicly	34
operated function. The governmental unit with which the contract	35
has been made shall be deemed the employer for the purposes of	36
administering this chapter.	37

(3) Any person who is an employee of a public employer,	38
notwithstanding that the person's compensation for that employment	39
is derived from funds of a person or entity other than the	40
employer. Credit for such service shall be included as total	41
service credit, provided that the employee makes the payments	42
required by this chapter, and the employer makes the payments	43
required by sections 145.48 and 145.51 of the Revised Code.	44

(4) A person who elects in accordance with section 145.015 of	45
the Revised Code to remain a contributing member of the public	46
employees retirement system.	47

In all cases of doubt, the public employees retirement board	48
shall determine whether any person is a public employee, and its	49
decision is final.	50

(B) "Member" means any public employee, other than a public	51
employee excluded or exempted from membership in the retirement	52
system by section 145.03, 145.031, 145.032, 145.033, 145.034,	53
145.035, or 145.38 of the Revised Code. "Member" includes a PERS	54
retirant who becomes a member under division (C) of section 145.38	55
of the Revised Code. "Member" also includes a disability benefit	56
recipient.	57

(C) "Head of the department" means the elective or appointive	58
head of the several executive, judicial, and administrative	59
departments, institutions, boards, and commissions of the state	60
and local government as the same are created and defined by the	61
laws of this state or, in case of a charter government, by that	62
charter.	63

(D) "Employer" or "public employer" means the state or any	64
county, township, municipal corporation, park district,	65
conservancy district, sanitary district, health district,	66
metropolitan housing authority, state retirement board, Ohio	67
historical society, public library, county law library, union	68
cemetery, joint hospital, institutional commissary, state medical	69
university, state university, or board, bureau, commission,	70
council, committee, authority, or administrative body as the same	71
are, or have been, created by action of the general assembly or by	72
the legislative authority of any of the units of local government	73
named in this division not covered by section 742.01, 3307.01,	74
3309.01, or 5505.01 of the Revised Code. In addition, "employer"	75
means the employer of any public employee.	76

(E) "Prior service" means all service as a public employee	77
rendered before January 1, 1935, and all service as an employee of	78
any employer who comes within the state teachers retirement system	79
or of the school employees retirement system or of any other	80
retirement system established under the laws of this state	81
rendered prior to January 1, 1935, provided that if the employee	82
claiming the service was employed in any capacity covered by that	83
other system after that other system was established, credit for	84
the service may be allowed by the public employees retirement	85
system only when the employee has made payment, to be computed on	86
the salary earned from the date of appointment to the date	87
membership was established in the public employees retirement	88
system, at the rate in effect at the time of payment, and the	89
employer has made payment of the corresponding full liability as	90
provided by section 145.44 of the Revised Code. "Prior service"	91
also means all service credited for active duty with the armed	92
forces of the United States as provided in section 145.30 of the	93
Revised Code.	94

If an employee who has been granted prior service credit by	95
the public employees retirement system for service rendered prior	96
to January 1, 1935, as an employee of a board of education	97
establishes, before retirement, one year or more of contributing	98
service in the state teachers retirement system or school	99
employees retirement system, then the prior service ceases to be	100
the liability of this system.	101

If the board determines that a position of any member in any	102
calendar year prior to January 1, 1935, was a part-time position,	103
the board shall determine what fractional part of a year's credit	104
shall be allowed by the following formula:	105

(1) When the member has been either elected or appointed to	106
an office the term of which was two or more years and for which an	107
annual salary is established, the fractional part of the year's	108
credit shall be computed as follows:	109

First, when the member's annual salary is one thousand	110
dollars or less, the service credit for each such calendar year	111
shall be forty per cent of a year.	112

Second, for each full one hundred dollars of annual salary	113
above one thousand dollars, the member's service credit for each	114
such calendar year shall be increased by two and one-half per	115
cent.	116

(2) When the member is paid on a per diem basis, the service	117
credit for any single year of the service shall be determined by	118
using the number of days of service for which the compensation was	119
received in any such year as a numerator and using two hundred	120
fifty days as a denominator.	121

(3) When the member is paid on an hourly basis, the service	122
credit for any single year of the service shall be determined by	123
using the number of hours of service for which the compensation	124
was received in any such year as a numerator and using two	125
thousand hours as a denominator.	126

(F) "Contributor" means any person who has an account in the	127
employees' savings fund created by section 145.23 of the Revised	128
Code. When used in the sections listed in division (B) of section	129
145.82 of the Revised Code, "contributor" includes any person	130
participating in a PERS defined contribution plan.	131

(G) "Beneficiary" or "beneficiaries" means the estate or a	132
person or persons who, as the result of the death of a member,	133
contributor, or retirant, qualify for or are receiving some right	134
or benefit under this chapter.	135

(H)(1) "Total service credit," except as provided in section	136
145.37 of the Revised Code, means all service credited to a member	137
of the retirement system since last becoming a member, including	138
restored service credit as provided by section 145.31 of the	139
Revised Code; credit purchased under sections 145.293 and 145.299	140
of the Revised Code; all the member's prior service credit; all	141
the member's military service credit computed as provided in this	142
chapter; all service credit established pursuant to section	143
145.297 of the Revised Code; and any other service credited under	144
this chapter. In addition, "total service credit" includes any	145
period, not in excess of three years, during which a member was	146
out of service and receiving benefits under Chapters 4121. and	147
4123. of the Revised Code. For the exclusive purpose of satisfying	148
the service credit requirement and of determining eligibility for	149
benefits under sections 145.32, 145.33, 145.331, 145.35, 145.36,	150
and 145.361 of the Revised Code, "five or more years of total	151
service credit" means sixty or more calendar months of	152
contributing service in this system.	153

(2) "One and one-half years of contributing service credit,"	154
as used in division (B) of section 145.45 of the Revised Code,	155
also means eighteen or more calendar months of employment by a	156
municipal corporation that formerly operated its own retirement	157
plan for its employees or a part of its employees, provided that	158
all employees of that municipal retirement plan who have eighteen	159
or more months of such employment, upon establishing membership in	160
the public employees retirement system, shall make a payment of	161
the contributions they would have paid had they been members of	162
this system for the eighteen months of employment preceding the	163
date membership was established. When that payment has been made	164
by all such employee members, a corresponding payment shall be	165
paid into the employers' accumulation fund by that municipal	166
corporation as the employer of the employees.	167

(3) Where a member also is a member of the state teachers	168
retirement system or the school employees retirement system, or	169
both, except in cases of retirement on a combined basis pursuant	170
to section 145.37 of the Revised Code or as provided in section	171
145.383 of the Revised Code, service credit for any period shall	172
be credited on the basis of the ratio that contributions to the	173
public employees retirement system bear to total contributions in	174
all state retirement systems.	175

(4) Not more than one year of credit may be given for any	176
period of twelve months.	177

(5) "Ohio service credit" means credit for service that was	178
rendered to the state or any of its political subdivisions or any	179
employer.	180

(I) "Regular interest" means interest at any rates for the	181
respective funds and accounts as the public employees retirement	182
board may determine from time to time.	183

(J) "Accumulated contributions" means the sum of all amounts	184
credited to a contributor's individual account in the employees'	185
savings fund together with any interest credited to the	186
contributor's account under section 145.471 or 145.472 of the	187
Revised Code.	188

(K)(1) "Final average salary" means the quotient obtained by	189
dividing by three the sum of the three full calendar years of	190
contributing service in which the member's earnable salary was	191
highest, except that if the member has a partial year of	192
contributing service in the year the member's employment	193
terminates and the member's earnable salary for the partial year	194
is higher than for any comparable period in the three years, the	195
member's earnable salary for the partial year shall be substituted	196
for the member's earnable salary for the comparable period during	197
the three years in which the member's earnable salary was lowest.	198

(2) If a member has less than three years of contributing	199
service, the member's final average salary shall be the member's	200
total earnable salary divided by the total number of years,	201
including any fraction of a year, of the member's contributing	202
service.	203

(3) For the purpose of calculating benefits payable to a	204
member qualifying for service credit under division (Z) of this	205
section, "final average salary" means the total earnable salary on	206
which contributions were made divided by the total number of years	207
during which contributions were made, including any fraction of a	208
year. If contributions were made for less than twelve months,	209
"final average salary" means the member's total earnable salary.	210

(L) "Annuity" means payments for life derived from	211
contributions made by a contributor and paid from the annuity and	212
pension reserve fund as provided in this chapter. All annuities	213
shall be paid in twelve equal monthly installments.	214

(M) "Annuity reserve" means the present value, computed upon	215
the basis of the mortality and other tables adopted by the board,	216
of all payments to be made on account of any annuity, or benefit	217
in lieu of any annuity, granted to a retirant as provided in this	218
chapter.	219

(N)(1) "Disability retirement" means retirement as provided	220
in section 145.36 of the Revised Code.	221

(2) "Disability allowance" means an allowance paid on account	222
of disability under section 145.361 of the Revised Code.	223

(3) "Disability benefit" means a benefit paid as disability	224
retirement under section 145.36 of the Revised Code, as a	225
disability allowance under section 145.361 of the Revised Code, or	226
as a disability benefit under section 145.37 of the Revised Code.	227

(4) "Disability benefit recipient" means a member who is	228
receiving a disability benefit.	229

(O) "Age and service retirement" means retirement as provided	230
in sections 145.32, 145.33, 145.331, 145.34, 145.37, and 145.46 of	231
the Revised Code.	232

(P) "Pensions" means annual payments for life derived from	233
contributions made by the employer that at the time of retirement	234
are credited into the annuity and pension reserve fund from the	235
employers' accumulation fund and paid from the annuity and pension	236
reserve fund as provided in this chapter. All pensions shall be	237
paid in twelve equal monthly installments.	238

(Q) "Retirement allowance" means the pension plus that	239
portion of the benefit derived from contributions made by the	240
member.	241

(R)(1) Except as otherwise provided in division (R) of this	242
section, "earnable salary" means all salary, wages, and other	243
earnings paid to a contributor by reason of employment in a	244
position covered by the retirement system. The salary, wages, and	245
other earnings shall be determined prior to determination of the	246
amount required to be contributed to the employees' savings fund	247
under section 145.47 of the Revised Code and without regard to	248
whether any of the salary, wages, or other earnings are treated as	249
deferred income for federal income tax purposes. "Earnable salary"	250
includes the following:	251

(a) Payments made by the employer in lieu of salary, wages,	252
or other earnings for sick leave, personal leave, or vacation used	253
by the contributor;	254

(b) Payments made by the employer for the conversion of sick	255
leave, personal leave, and vacation leave accrued, but not used if	256
the payment is made during the year in which the leave is accrued,	257
except that payments made pursuant to section 124.383 or 124.386	258
of the Revised Code are not earnable salary;	259

(c) Allowances paid by the employer for full maintenance,	260
consisting of housing, laundry, and meals, as certified to the	261
retirement board by the employer or the head of the department	262
that employs the contributor;	263

(d) Fees and commissions paid under section 507.09 of the	264
Revised Code;	265

(e) Payments that are made under a disability leave program	266
sponsored by the employer and for which the employer is required	267
by section 145.296 of the Revised Code to make periodic employer	268
and employee contributions;	269

(f) Amounts included pursuant to divisions (K)(3) and (Y) of	270
this section.	271

(2) "Earnable salary" does not include any of the following:

272

(a) Fees and commissions, other than those paid under section	273
507.09 of the Revised Code, paid as sole compensation for personal	274
services and fees and commissions for special services over and	275
above services for which the contributor receives a salary;	276

(b) Amounts paid by the employer to provide life insurance,	277
sickness, accident, endowment, health, medical, hospital, dental,	278
or surgical coverage, or other insurance for the contributor or	279
the contributor's family, or amounts paid by the employer to the	280
contributor in lieu of providing the insurance;	281

(c) Incidental benefits, including lodging, food, laundry,	282
parking, or services furnished by the employer, or use of the	283
employer's property or equipment, or amounts paid by the employer	284
to the contributor in lieu of providing the incidental benefits;	285

(d) Reimbursement for job-related expenses authorized by the	286
employer, including moving and travel expenses and expenses	287
related to professional development;	288

(e) Payments for accrued but unused sick leave, personal	289
leave, or vacation that are made at any time other than in the	290
year in which the sick leave, personal leave, or vacation was	291
accrued;	292

(f) Payments made to or on behalf of a contributor that are	293
in excess of the annual compensation that may be taken into	294
account by the retirement system under division (a)(17) of section	295
401 of the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	296
U.S.C.A. 401(a)(17), as amended;	297

(g) Payments made under division (B), (C), or (E) of section	298
5923.05 of the Revised Code, Section 4 of Substitute Senate Bill	299
No. 3 of the 119th general assembly, Section 3 of Amended	300
Substitute Senate Bill No. 164 of the 124th general assembly, or	301
Amended Substitute House Bill No. 405 of the 124th general	302
assembly;	303

(h) Anything of value received by the contributor that is	304
based on or attributable to retirement or an agreement to retire,	305
except that payments made on or before January 1, 1989, that are	306
based on or attributable to an agreement to retire shall be	307
included in earnable salary if both of the following apply:	308

(i) The payments are made in accordance with contract	309
provisions that were in effect prior to January 1, 1986;	310

(ii) The employer pays the retirement system an amount	311
specified by the retirement board equal to the additional	312
liability resulting from the payments.	313

(3) The retirement board shall determine by rule whether any	314
compensation not enumerated in division (R) of this section is	315
earnable salary, and its decision shall be final.	316

(S) "Pension reserve" means the present value, computed upon	317
the basis of the mortality and other tables adopted by the board,	318
of all payments to be made on account of any retirement allowance	319
or benefit in lieu of any retirement allowance, granted to a	320
member or beneficiary under this chapter.	321

(T)(1) "Contributing service" means all service credited to a	322
member of the system since January 1, 1935, for which	323
contributions are made as required by sections 145.47, 145.48, and	324
145.483 of the Revised Code. In any year subsequent to 1934,	325
credit for any service shall be allowed by the following formula:	326

(a) For each month for which the member's earnable salary is	327
two hundred fifty dollars or more, allow one month's credit.	328

(b) For each month for which the member's earnable salary is	329
less than two hundred fifty dollars, allow a fraction of a month's	330
credit. The numerator of this fraction shall be the earnable	331
salary during the month, and the denominator shall be two hundred	332
fifty dollars, except that if the member's annual earnable salary	333
is less than six hundred dollars, the member's credit shall not be	334
reduced below twenty per cent of a year for a calendar year of	335
employment during which the member worked each month. Division	336
(T)(1)(b) of this section shall not reduce any credit earned	337
before January 1, 1985.	338

(2) Notwithstanding division (T)(1) of this section, an	339
elected official who prior to January 1, 1980, was granted a full	340
year of credit for each year of service as an elected official	341
shall be considered to have earned a full year of credit for each	342
year of service regardless of whether the service was full-time or	343
part-time. The public employees retirement board has no authority	344
to reduce the credit.	345

(U) "State retirement board" means the public employees	346
retirement board, the school employees retirement board, or the	347
state teachers retirement board.	348

(V) "Retirant" means any former member who retires and is	349
receiving a monthly allowance as provided in sections 145.32,	350
145.33, 145.331, 145.34, and 145.46 of the Revised Code.	351

(W) "Employer contribution" means the amount paid by an	352
employer as determined under section 145.48 of the Revised Code.	353

(X) "Public service terminates" means the last day for which	354
a public employee is compensated for services performed for an	355
employer or the date of the employee's death, whichever occurs	356
first.	357

(Y) When a member has been elected or appointed to an office,	358
the term of which is two or more years, for which an annual salary	359
is established, and in the event that the salary of the office is	360
increased and the member is denied the additional salary by reason	361
of any constitutional provision prohibiting an increase in salary	362
during a term of office, the member may elect to have the amount	363
of the member's contributions calculated upon the basis of the	364
increased salary for the office. At the member's request, the	365
board shall compute the total additional amount the member would	366
have contributed, or the amount by which each of the member's	367
contributions would have increased, had the member received the	368
increased salary for the office the member holds. If the member	369
elects to have the amount by which the member's contribution would	370
have increased withheld from the member's salary, the member shall	371
notify the employer, and the employer shall make the withholding	372
and transmit it to the retirement system. A member who has not	373
elected to have that amount withheld may elect at any time to make	374
a payment to the retirement system equal to the additional amount	375
the member's contribution would have increased, plus interest on	376
that contribution, compounded annually at a rate established by	377
the board and computed from the date on which the last	378
contribution would have been withheld from the member's salary to	379
the date of payment. A member may make a payment for part of the	380
period for which the increased contribution was not withheld, in	381
which case the interest shall be computed from the date the last	382
contribution would have been withheld for the period for which the	383
payment is made. Upon the payment of the increased contributions	384
as provided in this division, the increased annual salary as	385
provided by law for the office for the period for which the member	386
paid increased contributions thereon shall be used in determining	387
the member's earnable salary for the purpose of computing the	388
member's final average salary.	389

(Z) "Five years of service credit," for the exclusive purpose	390
of satisfying the service credit requirements and of determining	391
eligibility for benefits under section 145.33 of the Revised Code,	392
means employment covered under this chapter or under a former	393
retirement plan operated, recognized, or endorsed by the employer	394
prior to coverage under this chapter or under a combination of the	395
coverage.	396

(AA) "Deputy sheriff" means any person who is commissioned	397
and employed as a full-time peace officer by the sheriff of any	398
county, and has been so employed since on or before December 31,	399
1965; any person who is or has been commissioned and employed as a	400
peace officer by the sheriff of any county since January 1, 1966,	401
and who has received a certificate attesting to the person's	402
satisfactory completion of the peace officer training school as	403
required by section 109.77 of the Revised Code; or any person	404
deputized by the sheriff of any county and employed pursuant to	405
section 2301.12 of the Revised Code as a criminal bailiff or court	406
constable who has received a certificate attesting to the person's	407
satisfactory completion of the peace officer training school as	408
required by section 109.77 of the Revised Code.	409

(BB) "Township constable or police officer in a township	410
police department or district" means any person who is	411
commissioned and employed as a full-time peace officer pursuant to	412
Chapter 505. or 509. of the Revised Code, who has received a	413
certificate attesting to the person's satisfactory completion of	414
the peace officer training school as required by section 109.77 of	415
the Revised Code.	416

(CC) "Drug agent" means any person who is either of the	417
following:	418

(1) Employed full time as a narcotics agent by a county	419
narcotics agency created pursuant to section 307.15 of the Revised	420
Code and has received a certificate attesting to the satisfactory	421
completion of the peace officer training school as required by	422
section 109.77 of the Revised Code;	423

(2) Employed full time as an undercover drug agent as defined	424
in section 109.79 of the Revised Code and is in compliance with	425
section 109.77 of the Revised Code.	426

(DD) "Department of public safety enforcement agent" means a	427
full-time employee of the department of public safety who is	428
designated under section 5502.14 of the Revised Code as an	429
enforcement agent and who is in compliance with section 109.77 of	430
the Revised Code.	431

(EE) "Natural resources law enforcement staff officer" means	432
a full-time employee of the department of natural resources who is	433
designated a natural resources law enforcement staff officer under	434
section 1501.013 of the Revised Code and is in compliance with	435
section 109.77 of the Revised Code.	436

(FF) "Park officer" means a full-time employee of the	437
department of natural resources who is designated a park officer	438
under section 1541.10 of the Revised Code and is in compliance	439
with section 109.77 of the Revised Code.	440

(GG) "Forest officer" means a full-time employee of the	441
department of natural resources who is designated a forest officer	442
under section 1503.29 of the Revised Code and is in compliance	443
with section 109.77 of the Revised Code.	444

(HH) "Preserve officer" means a full-time employee of the	445
department of natural resources who is designated a preserve	446
officer under section 1517.10 of the Revised Code and is in	447
compliance with section 109.77 of the Revised Code.	448

(II) "Wildlife officer" means a full-time employee of the	449
department of natural resources who is designated a wildlife	450
officer under section 1531.13 of the Revised Code and is in	451
compliance with section 109.77 of the Revised Code.	452

(JJ) "State watercraft officer" means a full-time employee of	453
the department of natural resources who is designated a state	454
watercraft officer under section 1547.521 of the Revised Code and	455
is in compliance with section 109.77 of the Revised Code.	456

(KK) "Park district police officer" means a full-time	457
employee of a park district who is designated pursuant to section	458
511.232 or 1545.13 of the Revised Code and is in compliance with	459
section 109.77 of the Revised Code.	460

(LL) "Conservancy district officer" means a full-time	461
employee of a conservancy district who is designated pursuant to	462
section 6101.75 of the Revised Code and is in compliance with	463
section 109.77 of the Revised Code.	464

(MM) "Municipal police officer" means a member of the	465
organized police department of a municipal corporation who is	466
employed full time, is in compliance with section 109.77 of the	467
Revised Code, and is not a member of the Ohio police and fire	468
pension fund.	469

(NN) "Veterans' home police officer" means any person who is	470
employed at a veterans' home as a police officer pursuant to	471
section 5907.02 of the Revised Code and is in compliance with	472
section 109.77 of the Revised Code.	473

(OO) "Special police officer for a mental health institution"	474
means any person who is designated as such pursuant to section	475
5119.14 of the Revised Code and is in compliance with section	476
109.77 of the Revised Code.	477

(PP) "Special police officer for an institution for the	478
mentally retarded and developmentally disabled" means any person	479
who is designated as such pursuant to section 5123.13 of the	480
Revised Code and is in compliance with section 109.77 of the	481
Revised Code.	482

(QQ) "State university law enforcement officer" means any	483
person who is employed full time as a state university law	484
enforcement officer pursuant to section 3345.04 of the Revised	485
Code and who is in compliance with section 109.77 of the Revised	486
Code.	487

(RR) "House sergeant at arms" means any person appointed by	488
the speaker of the house of representatives under division (B)(1)	489
of section 101.311 of the Revised Code who has arrest authority	490
under division (E)(1) of that section.	491

(SS) "Assistant house sergeant at arms" means any person	492
appointed by the house sergeant at arms under division (C)(1) of	493
section 101.311 of the Revised Code.	494

(TT) "Regional transit authority police officer" means a	495
person who is employed full time as a regional transit authority	496
police officer under division (Y) of section 306.35 of the Revised	497
Code and is in compliance with section 109.77 of the Revised Code.	498

(UU) "State highway patrol police officer" means a special	499
police officer employed full time and designated by the	500
superintendent of the state highway patrol pursuant to section	501
5503.09 of the Revised Code or a person serving full time as a	502
special police officer pursuant to that section on a permanent	503
basis on October 21, 1997, who is in compliance with section	504
109.77 of the Revised Code.	505

(VV) "Municipal public safety director" means a person who	506
serves full time as the public safety director of a municipal	507
corporation with the duty of directing the activities of the	508
municipal corporation's police department and fire department.	509

(WW) Notwithstanding section 2901.01 of the Revised Code,	510
"PERS law enforcement officer" means a sheriff or any of the	511
following whose primary duties are to preserve the peace, protect	512
life and property, and enforce the laws of this state: a deputy	513
sheriff, township constable or police officer in a township police	514
department or district, drug agent, department of public safety	515
enforcement agent, natural resources law enforcement staff	516
officer, park officer, forest officer, preserve officer, wildlife	517
officer, state watercraft officer, park district police officer,	518
conservancy district officer, veterans' home police officer,	519
special police officer for a mental health institution, special	520
police officer for an institution for the mentally retarded and	521
developmentally disabled, state university law enforcement	522
officer, municipal police officer, house sergeant at arms,	523
assistant house sergeant at arms, regional transit authority	524
police officer, or state highway patrol police officer. PERS law	525
enforcement officer also includes a person serving as a municipal	526
public safety director at any time during the period from	527
September 29, 2005, to March 24, 2009, if the duties of that	528
service were to preserve the peace, protect life and property, and	529
enforce the laws of this state.	530

(XX) "Hamilton county municipal court bailiff" means a person	531
appointed by the clerk of courts of the Hamilton county municipal	532
court under division (A)(3) of section 1901.32 of the Revised Code	533
who is employed full time as a bailiff or deputy bailiff, who has	534
received a certificate attesting to the person's satisfactory	535
completion of the peace officer basic training described in	536
division (D)(1) of section 109.77 of the Revised Code.	537

(YY) "PERS public safety officer" means a Hamilton county	538
municipal court bailiff, or any of the following whose primary	539
duties are other than to preserve the peace, protect life and	540
property, and enforce the laws of this state: a deputy sheriff,	541
township constable or police officer in a township police	542
department or district, drug agent, department of public safety	543
enforcement agent, natural resources law enforcement staff	544
officer, park officer, forest officer, preserve officer, wildlife	545
officer, state watercraft officer, park district police officer,	546
conservancy district officer, veterans' home police officer,	547
special police officer for a mental health institution, special	548
police officer for an institution for the mentally retarded and	549
developmentally disabled, state university law enforcement	550
officer, municipal police officer, house sergeant at arms,	551
assistant house sergeant at arms, regional transit authority	552
police officer, or state highway patrol police officer. "PERS	553
public safety officer" also includes a person serving as a	554
municipal public safety director at any time during the period	555
from September 29, 2005, to March 24, 2009, if the duties of that	556
service were other than to preserve the peace, protect life and	557
property, and enforce the laws of this state.	558

(ZZ) "Fiduciary" means a person who does any of the	559
following:	560

(1) Exercises any discretionary authority or control with	561
respect to the management of the system or with respect to the	562
management or disposition of its assets;	563

(2) Renders investment advice for a fee, direct or indirect,	564
with respect to money or property of the system;	565

(3) Has any discretionary authority or responsibility in the	566
administration of the system.	567

(AAA) "Actuary" means an individual who satisfies all of the	568
following requirements:	569

(1) Is a member of the American academy of actuaries;

570

(2) Is an associate or fellow of the society of actuaries;

571

(3) Has a minimum of five years' experience in providing	572
actuarial services to public retirement plans.	573

(BBB) "PERS defined benefit plan" means the plan described in	574
sections 145.201 to 145.79 of the Revised Code.	575

(CCC) "PERS defined contribution plans" means the plan or	576
plans established under section 145.81 of the Revised Code.	577

Sec. 145.191.  (A) Except as provided in division (E) of this	578
section, a public employees retirement system member or	579
contributor who, as of the last day of the month immediately	580
preceding the date on which the public employees retirement board	581
first establishes a PERS defined contribution plan, has less than	582
five years of total service credit is eligible to make an election	583
under this section. A member or contributor who is employed in	584
more than one position subject to this chapter is eligible to make	585
only one election. The election applies to all positions subject	586
to this chapter.	587

Not later than one hundred eighty days after the day the	588
board first establishes a PERS defined contribution plan, an	589
eligible member or contributor may elect to participate in a PERS	590
defined contribution plan. If a form evidencing an election is not	591
received by the system not later than the last day of the	592
one-hundred-eighty-day period, a member or contributor to whom	593
this section applies is deemed to have elected to continue	594
participating in the PERS defined benefit plan.	595

(B) An election under this section shall be made in writing	596
on a form provided by the system and filed with the system.	597

(C) On receipt of an election under this section, the system	598
shall do both of the following:	599

(1) Credit to the plan elected both of the following:

600

(a) Any employer contributions attributable to the member for	601
the period beginning on the day the board first established a PERS	602
defined contribution plan;	603

(b) All accumulated contributions attributable to the member	604
or contributor.	605

(2) Cancel all service credit and eligibility for any	606
payment, benefit, or right under the PERS defined benefit plan.	607

(D) An election under this section is effective as of the	608
date the board first established a PERS defined contribution plan	609
and, except as provided in section 145.814 of the Revised Code or	610
rules governing the PERS defined benefit plan, is irrevocable on	611
receipt by the system.	612

(E) An election may not be made under this section by a	613
member or contributor who is either of the following:	614

(1) A PERS retirant who is a member under division (C) of	615
section 145.38 of the Revised Code;	616

(2) Aa PERS law enforcement officer or a PERS public safety	617
officer.	618

Sec. 145.38.  (A) As used in this section and sections	619
145.381 and 145.384 of the Revised Code:	620

(1) "PERS retirant" means a former member of the public	621
employees retirement system who is receiving one of the following:	622

(a) Age and service retirement benefits under section 145.32,	623
145.33, 145.331, 145.34, or 145.46 of the Revised Code;	624

(b) Age and service retirement benefits paid by the public	625
employees retirement system under section 145.37 of the Revised	626
Code;	627

(c) Any benefit paid under a PERS defined contribution plan.

628

(2) "Other system retirant" means both of the following:

629

(a) A member or former member of the Ohio police and fire	630
pension fund, state teachers retirement system, school employees	631
retirement system, state highway patrol retirement system, or	632
Cincinnati retirement system who is receiving age and service or	633
commuted age and service retirement benefits or a disability	634
benefit from a system of which the person is a member or former	635
member;	636

(b) A member or former member of the public employees	637
retirement system who is receiving age and service retirement	638
benefits or a disability benefit under section 145.37 of the	639
Revised Code paid by the school employees retirement system or the	640
state teachers retirement system.	641

(3) "Employed" includes providing services to an employer as	642
an independent contractor and service for which a PERS retirant or	643
other system retirant, the retirant's employer, or both, have	644
waived any earnable salary for the service.	645

(B)(1) Subject to this section and section 145.381 of the	646
Revised Code, a PERS retirant or other system retirant may be	647
employed by a public employer. If so employed, thea PERS retirant	648
or other system retirant shall contribute to the public employees	649
retirement system in accordance with section 145.47 of the Revised	650
Code, and the employer shall make contributions in accordance with	651
section 145.48 of the Revised Code. During the period of	652
employment, the retirement allowance for the period beginning on	653
the first day of the month following the month in which employment	654
commences and ending on the first day of the month following the	655
month the employment ends shall be suspended and placed in an	656
account maintained by the retirement system for the retirant.	657

Payment of the retirement allowance shall resume on the first	658
day of the month following termination of the employment. In	659
addition to the retirement allowance and any amount paid under	660
section 145.384 of the Revised Code, the retirant shall receive a	661
monthly annuity or lump sum payment under section 145.386 of the	662
Revised Code.	663

(2) A public employer that employs a PERS retirant or other	664
system retirant, or enters into a contract for services as an	665
independent contractor with a PERS retirant, shall notify the	666
retirement board of the employment or contract not later than the	667
end of the month in which the employment or contract commences.	668
Any overpayment of benefits to a PERS retirant by the retirement	669
system resulting from delay or failure of the employer to give the	670
notice shall be repaid to the retirement system by the employer.	671

(3) On receipt of notice from a public employer that a person	672
who is an other system retirant has been employed, the retirement	673
system shall notify the retirement system of which the other	674
system retirant was a member of such employment.	675

(4)(a) A PERS retirant who has received a retirement	676
allowance for less than two months when employment subject to this	677
section commences shall forfeit the retirement allowance for any	678
month the PERS retirant is employed prior to the expiration of the	679
two-month period. Service and contributions for that period shall	680
not be included in calculation of any benefits payable to the PERS	681
retirant, and those contributions shall be refunded on the	682
retirant's death or termination of the employment.	683

(b) An other system retirant who has received a retirement	684
allowance or disability benefit for less than two months when	685
employment subject to this section commences shall forfeit the	686
retirement allowance or disability benefit for any month the other	687
system retirant is employed prior to the expiration of the	688
two-month period. Service and contributions for that period shall	689
not be included in the calculation of any benefits payable to the	690
other system retirant, and those contributions shall be refunded	691
on the retirant's death or termination of the employment.	692

(c) Contributions made on compensation earned after the	693
expiration of the two-month period shall be used in the	694
calculation of the benefit or payment due under section 145.384 of	695
the Revised Code.	696

(5) On receipt of notice from the Ohio police and fire	697
pension fund, school employees retirement system, or state	698
teachers retirement system of the re-employment of a PERS	699
retirant, the public employees retirement system shall not pay, or	700
if paid, shall recover, the amount to be forfeited by the PERS	701
retirant in accordance with section 742.26, 3307.35, or 3309.341	702
of the Revised Code.	703

(6) A PERS retirant who enters into a contract to provide	704
services as an independent contractor to the employer by which the	705
retirant was employed at the time of retirement or, less than two	706
months after the retirement allowance commences, begins providing	707
services as an independent contractor pursuant to a contract with	708
another public employer, shall forfeit the pension portion of the	709
retirement benefit for the period beginning the first day of the	710
month following the month in which the services begin and ending	711
on the first day of the month following the month in which the	712
services end. The annuity portion of the retirement allowance	713
shall be suspended on the day services under the contract begin	714
and shall accumulate to the credit of the retirant to be paid in a	715
single payment after services provided under the contract	716
terminate. A PERS retirant subject to division (B)(6)(4) of this	717
section shall not contribute to the retirement system and shall	718
not become a member of the system.	719

(7) As used in this division, "employment" includes service	720
for which a PERS retirant or other system retirant, the retirant's	721
employer, or both, have waived any earnable salary for the	722
service.	723

(C)(1) Except as provided in division (C)(3) of this section,	724
this division applies to both of the following:	725

(a) A PERS retirant who, prior to September 14, 2000, was	726
subject to division (C)(1)(b) of this section as that division	727
existed immediately prior to September 14, 2000, and has not	728
elected pursuant to Am. Sub. S.B. 144 of the 123rd general	729
assembly to cease to be subject to that division;	730

(b) A PERS retirant to whom both of the following apply:

731

(i) The retirant held elective office in this state, or in	732
any municipal corporation, county, or other political subdivision	733
of this state at the time of retirement under this chapter.	734

(ii) The retirant was elected or appointed to the same office	735
for the remainder of the term or the term immediately following	736
the term during which the retirement occurred.	737

(2) A PERS retirant who is subject to this division is a	738
member of the public employees retirement system with all the	739
rights, privileges, and obligations of membership, except that the	740
membership does not include survivor benefits provided pursuant to	741
section 145.45 of the Revised Code or, beginning on the ninetieth	742
day after September 14, 2000, any amount calculated under section	743
145.401 of the Revised Code. The pension portion of the PERS	744
retirant's retirement allowance shall be forfeited until the first	745
day of the first month following termination of the employment.	746
The annuity portion of the retirement allowance shall accumulate	747
to the credit of the PERS retirant to be paid in a single payment	748
after termination of the employment. The retirement allowance	749
shall resume on the first day of the first month following	750
termination of the employment. On termination of the employment,	751
the PERS retirant shall elect to receive either a refund of the	752
retirant's contributions to the retirement system during the	753
period of employment subject to this section or a supplemental	754
retirement allowance based on the retirant's contributions and	755
service credit for that period of employment.	756

(3) This division does not apply to any of the following:

757

(a) A PERS retirant elected to office who, at the time of the	758
election for the retirant's current term, was not retired but, not	759
less than ninety days prior to the primary election for the term	760
or the date on which a primary for the term would have been held,	761
filed a written declaration of intent to retire before the end of	762
the term with the director of the board of elections of the county	763
in which petitions for nomination or election to the office are	764
filed;	765

(b) A PERS retirant elected to office who, at the time of the	766
election for the retirant's current term, was a retirant and had	767
been retired for not less than ninety days;	768

(c) A PERS retirant appointed to office who, at the time of	769
appointment to the retirant's current term, notified the person or	770
entity making the appointment that the retirant was already	771
retired or intended to retire before the end of the term.	772

(D)(1) Except as provided in division (C) of this section, a	773
A PERS retirant or other system retirant subject to this section	774
is not a member of the public employees retirement system, and,	775
except as specified in this section does not have any of the	776
rights, privileges, or obligations of membership. Except as	777
specified in division (D)(C)(2) of this section, the retirant is	778
not eligible to receive health, medical, hospital, or surgical	779
benefits under section 145.58 of the Revised Code for employment	780
subject to this section.	781

(2) A PERS retirant subject to this section shall receive	782
primary health, medical, hospital, or surgical insurance coverage	783
from the retirant's employer, if the employer provides coverage to	784
other employees performing comparable work. Neither the employer	785
nor the PERS retirant may waive the employer's coverage, except	786
that the PERS retirant may waive the employer's coverage if the	787
retirant has coverage comparable to that provided by the employer	788
from a source other than the employer or the public employees	789
retirement system. If a claim is made, the employer's coverage	790
shall be the primary coverage and shall pay first. The benefits	791
provided under section 145.58 of the Revised Code shall pay only	792
those medical expenses not paid through the employer's coverage or	793
coverage the PERS retirant receives through a source other than	794
the retirement system.	795

(E)(D) If the disability benefit of an other system retirant	796
employed under this section is terminated, the retirant shall	797
become a member of the public employees retirement system,	798
effective on the first day of the month next following the	799
termination with all the rights, privileges, and obligations of	800
membership. If such person, after the termination of the	801
disability benefit, earns two years of service credit under this	802
system or under the Ohio police and fire pension fund, state	803
teachers retirement system, school employees retirement system, or	804
state highway patrol retirement system, the person's prior	805
contributions as an other system retirant under this section shall	806
be included in the person's total service credit as a public	807
employees retirement system member, and the person shall forfeit	808
all rights and benefits of this section. Not more than one year of	809
credit may be given for any period of twelve months.	810

(F)(E) This section does not affect the receipt of benefits	811
by or eligibility for benefits of any person who on August 20,	812
1976, was receiving a disability benefit or service retirement	813
pension or allowance from a state or municipal retirement system	814
in Ohio and was a member of any other state or municipal	815
retirement system of this state.	816

(G)(F) The public employees retirement board may adopt rules	817
to carry out this section.	818

Sec. 145.384. (A) As used in this section, "PERS retirant"	819
means a PERS retirant who is not subject to division (C) ofhas	820
the same meaning as in section 145.38 of the Revised Code. For	821
purposes of this section, "PERS retirant", except that, it also	822
includes both of the following:	823

(1) A member who retired under section 145.383 of the Revised	824
Code;	825

(2) A retirant whose retirement allowance resumed under	826
section 145.385 of the Revised Code.	827

(B)(1) An other system retirant or PERS retirant who has made	828
contributions under section 145.38 or 145.383 of the Revised Code	829
or, in the case of a retirant described in division (A)(2) of this	830
section, section 145.47 of the Revised Code may file an	831
application with the public employees retirement system to receive	832
either a benefit, as provided in division (B)(2) of this section,	833
or payment of the retirant's contributions made under those	834
sections, as provided in division (H) of this section.	835

(2) A benefit under this section shall consist of an annuity	836
having a reserve equal to the amount of the retirant's accumulated	837
contributions for the period of employment, other than the	838
contributions excluded pursuant to division (B)(4)(a) or (b) of	839
section 145.38 of the Revised Code, and an amount of the	840
employer's contributions determined by the board.	841

(a) Unless, as described in division (I) of this section, the	842
application is accompanied by a statement of the spouse's consent	843
to another form of payment or the board waives the requirement of	844
spousal consent, a PERS retirant or other system retirant who is	845
married at the time of application for a benefit under this	846
section shall receive a monthly annuity under which the actuarial	847
equivalent of the retirant's single life annuity is paid in a	848
lesser amount for life and one-half of the lesser amount continues	849
after the retirant's death to the surviving spouse.	850

(b) A PERS retirant or other system retirant who is not	851
subject to division (B)(2)(a) of this section shall elect either	852
to receive the benefit as a monthly annuity or a lump sum payment	853
discounted to the present value using a rate of interest	854
determined by the board. A retirant who elects to receive a	855
monthly annuity shall select one of the following as the plan of	856
payment:	857

(i) The retirant's single life annuity;

858

(ii) The actuarial equivalent of the retirant's single life	859
annuity in an equal or lesser amount for life and continuing after	860
death to a surviving beneficiary designated at the time the plan	861
of payment is selected.	862

If a retirant who is eligible to select a plan of payment	863
under division (B)(2)(b) of this section fails to do so, the	864
benefit shall be paid as a monthly annuity under the plan of	865
payment specified in rules adopted by the public employees	866
retirement board.	867

(c) Notwithstanding divisions (B)(2)(a) and (b) of this	868
section, if a monthly annuity would be less than twenty-five	869
dollars per month, the retirant shall receive a lump sum payment.	870

(C)(1) The death of a spouse or other designated beneficiary	871
under a plan of payment described in division (B)(2) of this	872
section cancels that plan of payment. The PERS retirant or other	873
system retirant shall receive the equivalent of the retirant's	874
single life annuity, as determined by the board, effective the	875
first day of the month following receipt by the board of notice of	876
the death.	877

(2) On divorce, annulment, or marriage dissolution, a PERS	878
retirant or other system retirant receiving a benefit described in	879
division (B)(2) of this section under which the beneficiary is the	880
spouse may, with the written consent of the spouse or pursuant to	881
an order of the court with jurisdiction over the termination of	882
the marriage, elect to cancel the plan and receive the equivalent	883
of the retirant's single life annuity as determined by the board.	884
The election shall be made on a form provided by the board and	885
shall be effective the month following its receipt by the board.	886

(D) Following a marriage or remarriage, a PERS retirant or	887
other system retirant who is receiving a benefit described in	888
division (B)(2)(b)(i) of this section may elect a new plan of	889
payment under division (B)(2)(b) of this section based on the	890
actuarial equivalent of the retirant's single life annuity as	891
determined by the board.	892

If the marriage or remarriage occurs on or after the	893
effective date of this amendmentJune 6, 2005, the election must	894
be made not later than one year after the date of the marriage or	895
remarriage.	896

The plan elected under this division shall be effective on	897
the date of receipt by the board of an application on a form	898
approved by the board, but any change in the amount of the benefit	899
shall commence on the first day of the month following the	900
effective date of the plan.	901

(E) A benefit payable under division (B)(2) of this section	902
shall commence on the latest of the following:	903

(1) The last day for which compensation for all employment	904
subject to section 145.38, 145.383, or 145.385 of the Revised Code	905
was paid;	906

(2) Attainment by the PERS retirant or other system retirant	907
of age sixty-five;	908

(3) If the PERS retirant or other system retirant was	909
previously employed under section 145.38, 145.383, or 145.385 of	910
the Revised Code and is receiving or previously received a benefit	911
under this section, completion of a period of twelve months since	912
the effective date of the last benefit under this section;	913

(4) A date specified by the retirant.

914

(F)(1) If a PERS retirant or other system retirant dies while	915
employed in employment subject to section 145.38, 145.383, or	916
145.385 of the Revised Code, a lump sum payment calculated in	917
accordance with division (B)(2) of this section shall be paid to	918
the retirant's beneficiary under division (G) of this section.	919

(2) If at the time of death a PERS retirant or other system	920
retirant receiving a monthly annuity under division (B)(2)(b)(i)	921
of this section has received less than the retirant would have	922
received as a lump sum payment, the difference between the amount	923
received and the amount that would have been received as a lump	924
sum payment shall be paid to the retirant's beneficiary under	925
division (G) of this section.	926

(3) If a beneficiary receiving a monthly annuity under	927
division (B)(2) of this section dies and, at the time of the	928
beneficiary's death, the total of the amounts paid to the retirant	929
and beneficiary are less than the amount the retirant would have	930
received as a lump sum payment, the difference between the total	931
of the amounts received by the retirant and beneficiary and the	932
amount that the retirant would have received as a lump sum payment	933
shall be paid to the beneficiary's estate.	934

(G) A PERS retirant or other system retirant employed under	935
section 145.38, 145.383, or 145.385 of the Revised Code may	936
designate one or more persons as beneficiary to receive any	937
benefits payable under division (B)(2)(b) of this section due to	938
death. The designation shall be in writing duly executed on a form	939
provided by the public employees retirement board, signed by the	940
PERS retirant or other system retirant, and filed with the board	941
prior to death. The last designation of a beneficiary revokes all	942
previous designations. The PERS retirant's or other system	943
retirant's marriage, divorce, marriage dissolution, legal	944
separation, withdrawal of account, birth of a child, or adoption	945
of a child revokes all previous designations. If there is no	946
designated beneficiary, the beneficiary is the beneficiary	947
determined under division (D) of section 145.43 of the Revised	948
Code. If any benefit payable under this section due to the death	949
of a PERS retirant or other system retirant is not claimed by a	950
beneficiary within five years after the death, the amount payable	951
shall be transferred to the income fund and thereafter paid to the	952
beneficiary or the estate of the PERS retirant or other system	953
retirant on application to the board.	954

(H)(1) A PERS retirant or other system retirant who applies	955
under division (B)(1) of this section for payment of the	956
retirant's contributions and is unmarried or is married and,	957
unless the board has waived the requirement of spousal consent,	958
includes with the application a statement of the spouse's consent	959
to the payment, shall be paid the contributions made under section	960
145.38 or 145.383 of the Revised Code or, in the case of a	961
retirant described in division (A)(2) of this section, section	962
145.47 of the Revised Code, plus interest as provided in section	963
145.471 of the Revised Code, if the following conditions are met:	964

(a) The retirant has not attained sixty-five years of age and	965
has terminated employment subject to section 145.38, 145.383, or	966
145.385 of the Revised Code for any cause other than death or the	967
receipt of a benefit under this section.	968

(b) Three months have elapsed since the termination of the	969
retirant's employment subject to section 145.38, 145.383, or	970
145.385 of the Revised Code, other than employment exempted from	971
contribution pursuant to section 145.03 of the Revised Code.	972

(c) The retirant has not returned to public service, other	973
than service exempted from contribution pursuant to section 145.03	974
of the Revised Code, during the three-month period.	975

(2) Payment of a retirant's contributions cancels the	976
retirant's right to a benefit under division (B)(2) of this	977
section.	978

(I) A statement of a spouse's consent under division (B)(2)	979
of this section to the form of a benefit or under division (H) of	980
this section to a payment of contributions is valid only if signed	981
by the spouse and witnessed by a notary public. The board may	982
waive the requirement of spousal consent if the spouse is	983
incapacitated or cannot be located, or for any other reason	984
specified by the board. Consent or waiver is effective only with	985
regard to the spouse who is the subject of the consent or waiver.	986

(J) No amount received under this section shall be included	987
in determining an additional benefit under section 145.323 of the	988
Revised Code or any other post-retirement benefit increase.	989

Sec. 145.386. (A) The annuity paid by the public employees	990
retirement system under this section shall have a reserve equal to	991
the amount placed in the PERS retirant's account under division	992
(B)(1) of section 145.38 of the Revised Code, except that if the	993
annuity would be less than twenty-five dollars per month, the	994
retirant shall receive as a lump sum payment an amount equal to	995
the reserve.	996

(1) If the retirant is married at the time of application,	997
the annuity shall consist of the actuarial equivalent of a single	998
life annuity paid in a lesser amount for life and one-half of the	999
lesser amount continuing after the retirant's death to the	1000
surviving spouse unless, as described in division (G) of this	1001
section, the retirant's application is accompanied by a statement	1002
of the spouse's consent to another form of payment or the public	1003
employees retirement board waives the requirement of spousal	1004
consent.	1005

(2) A retirant who is not subject to division (A)(1) of this	1006
section shall elect one of the following as the annuity plan of	1007
payment:	1008

(a) A single life annuity;

1009

(b) The actuarial equivalent of a single life annuity in an	1010
equal or lesser amount for life and continuing after death to a	1011
surviving beneficiary designated at the time the plan of payment	1012
is selected.	1013

If the retirant fails to select a plan of payment, the	1014
annuity shall be paid under the plan of payment specified in rules	1015
adopted by the board.	1016

(B)(1) The death of a spouse or other designated beneficiary	1017
under a plan of payment described in division (A) of this section	1018
cancels that plan of payment. The retirant shall receive the	1019
equivalent of the single life annuity, as determined by the board,	1020
effective the first day of the first month following the date of	1021
death.	1022

(2) On divorce, annulment, or marriage dissolution, a	1023
retirant receiving an annuity under which the beneficiary is the	1024
spouse may, with the written consent of the spouse or pursuant to	1025
an order of the court with jurisdiction over termination of the	1026
marriage, elect to cancel the plan and receive the equivalent of	1027
the single life annuity as determined by the board. The election	1028
shall be made on a form provided by the board and shall be	1029
effective the month following its receipt by the board.	1030

(C) Following a marriage or remarriage, a retirant who is	1031
receiving an annuity under division (A)(2)(a) of this section may	1032
elect a new plan of payment under division (A)(2)(b) based on the	1033
actuarial equivalent of the single life annuity as determined by	1034
the board. The election must be made not later than one year after	1035
the date of the marriage or remarriage.	1036

The plan elected under this division shall be effective on	1037
the date of receipt by the board of an application on a form	1038
approved by the board, but any change in the annuity amount shall	1039
commence on the first day of the month following the effective	1040
date of the plan.	1041

(D) Payment of the annuity shall commence on the first day of	1042
the month following termination of employment as described in	1043
division (B)(1) of section 145.38 of the Revised Code.	1044

(E) If a retirant dies while in employment described in	1045
division (B)(1) of section 145.38 of the Revised Code, a lump sum	1046
payment calculated by the retirement system shall be paid to the	1047
retirant's beneficiary under division (F) of this section.	1048

If at the time of death, a retirant receiving a monthly	1049
annuity under this section has received less than an amount equal	1050
to the annuity reserve, the difference between the amount received	1051
and the reserve shall be paid to the retirant's beneficiary under	1052
division (F) of this section.	1053

If a beneficiary receiving a monthly annuity under this	1054
section dies, and at the time of the beneficiary's death, the	1055
total of the amounts paid to the retirant and beneficiary are less	1056
than an amount equal to the annuity reserve, the difference	1057
between the total amounts received and the reserve shall be paid	1058
to the beneficiary's estate.	1059

(F) A retirant may designate one or more persons as	1060
beneficiary to receive any amount payable under division (E) of	1061
this section. The designation shall be in writing duly executed on	1062
a form provided by the board, signed by the retirant, and filed	1063
with the board prior to the retirant's death. The last designation	1064
revokes all previous designations. The retirant's marriage,	1065
divorce, marriage dissolution, legal separation, withdrawal of	1066
account, birth of a child, or adoption of a child revokes all	1067
previous designations. If there is no designated beneficiary, the	1068
beneficiary is the beneficiary determined under division (D) of	1069
section 145.43 of the Revised Code. If any amount payable under	1070
division (E) of this section is not claimed by a beneficiary	1071
within five years after the retirant's death, that amount shall	1072
remain in the employees' savings fund or may be transferred to the	1073
income fund and thereafter shall be paid to the beneficiary or the	1074
estate of the retirant on application to the board.	1075

(G) A statement of a spouse's consent under division (A) of	1076
this section to a plan of payment is valid only if signed by the	1077
spouse and witnessed by a notary public. The board may waive the	1078
requirement of spousal consent if the spouse is incapacitated or	1079
cannot be located, or for any other reason specified by the board.	1080
Consent or waiver is effective only with regard to the spouse who	1081
is the subject of the consent or waiver.	1082

(H) No amount received under this section shall be included	1083
in determining an additional benefit under section 145.323 of the	1084
Revised Code or any other post-retirement benefit increase.	1085

Sec. 145.471.  (A)(1) On and after December 13, 2000, the	1086
public employees retirement board shall credit interest to the	1087
individual accounts of contributors, except that interest shall	1088
not be credited to the individual account of a PERS or other	1089
system retirant, as defined in section 145.38 of the Revised Code,	1090
for contributions received during the period described inthe	1091
amount placed in the retirant's account under division (B)(4)(a)	1092
or (b)(1) of section 145.38 of the Revised Code. For amounts	1093
deposited by a contributor under section 145.62 or the version of	1094
division (C) of section 145.23 of the Revised Code as it existed	1095
immediately prior to the effective date of this amendmentApril 6,	1096
2007, interest or earnings shall be credited in accordance with	1097
that section and former division.	1098

(2) Except as provided in section 145.472 of the Revised	1099
Code, the board shall not credit interest to individual accounts	1100
for the period beginning December 31, 1958, and ending on December	1101
13, 2000.	1102

(B) For contributions received in a calendar year, interest	1103
shall be earned beginning on the first day of the calendar year	1104
next following and ending on the last day of that year, except	1105
that interest shall be earned, in the case of an application for	1106
retirement or payment under section 145.40 or 145.43 of the	1107
Revised Code, ending on the last day of the month prior to	1108
retirement or payment under those sections. The board shall credit	1109
interest at the end of the calendar year in which it is earned.	1110

Sec. 145.473.  (A) Except as provided in division (C) of this	1111
section, the rate of interest credited to individual accounts of	1112
contributors under sections 145.471 and 145.472 of the Revised	1113
Code shall be as follows:	1114

(1) Four per cent per annum, compounded annually, to and	1115
including December 31, 1955;	1116

(2) Three per cent per annum, compounded annually, from	1117
January 1, 1956, to and including December 31, 1963;	1118

(3) Three and one-quarter per cent per annum, compounded	1119
annually, from January 1, 1964, to and including December 31,	1120
1969;	1121

(4) Four per cent per annum, compounded annually, from	1122
January 1, 1970, to and including the day before December 13,	1123
2000;	1124

(5) An amount determined by the public employees retirement	1125
board that is not greater than six per cent per annum, compounded	1126
annually, on and after December 13, 2000.	1127

(B) Except as provided in division (C) of this section, for	1128
the purpose of determining the reserve value of a contributor's	1129
annuity, the rate of interest shall be as follows:	1130

(1) Four per cent per annum, compounded annually, for	1131
contributors retiring before October 1, 1956;	1132

(2) Three per cent per annum, compounded annually, for	1133
contributors retiring on or after October 1, 1956, but before	1134
January 1, 1964;	1135

(3) Three and one-quarter per cent per annum, compounded	1136
annually, for contributors retiring on or after January 1, 1964,	1137
but before January 1, 1970;	1138

(4) Four per cent per annum, compounded annually, for	1139
contributors retiring on or after January 1, 1970, but before	1140
December 13, 2000;	1141

(5) An amount determined by the board based on the	1142
recommendation of the board's actuary, compounded annually, for	1143
contributors retiring on or after December 13, 2000.	1144

(C) For a PERS retirant who is not subject to division (C) of	1145
section 145.38 of the Revised Code or an other system retirant, as	1146
those terms are defined in section 145.38 of the Revised Code, or	1147
a member of the public employees retirement system who retires in	1148
accordance with section 145.383 of the Revised Code, the rate of	1149
interest shall be the current actuarial assumption rate of	1150
interest, as determined by the board's actuary, for the purposes	1151
described in divisions (A) and (B) of this section.	1152

Sec. 145.58.  (A) As used in this section, "ineligible	1153
individual" means all of the following:	1154

(1) A former member receiving benefits pursuant to section	1155
145.32, 145.33, 145.331, 145.34, or 145.46 of the Revised Code for	1156
whom eligibility is established more than five years after June	1157
13, 1981, and who, at the time of establishing eligibility, has	1158
accrued less than ten years' service credit, exclusive of credit	1159
obtained pursuant to section 145.297 or 145.298 of the Revised	1160
Code, credit obtained after January 29, 1981, pursuant to section	1161
145.293 or 145.301 of the Revised Code, and credit obtained after	1162
May 4, 1992, pursuant to section 145.28 of the Revised Code;	1163

(2) The spouse of the former member;

1164

(3) The beneficiary of the former member receiving benefits	1165
pursuant to section 145.46 of the Revised Code.	1166

(B) The public employees retirement board may enter into	1167
agreements with insurance companies, health insuring corporations,	1168
or government agencies authorized to do business in the state for	1169
issuance of a policy or contract of health, medical, hospital, or	1170
surgical benefits, or any combination thereof, for those	1171
individuals receiving age and service retirement or a disability	1172
or survivor benefit subscribing to the plan, or for PERS retirants	1173
employed under section 145.38 of the Revised Code, for coverage of	1174
benefits in accordance with division (D)(C)(2) of section 145.38	1175
of the Revised Code. Notwithstanding any other provision of this	1176
chapter, the policy or contract may also include coverage for any	1177
eligible individual's spouse and dependent children and for any of	1178
the individual's sponsored dependents as the board determines	1179
appropriate. If all or any portion of the policy or contract	1180
premium is to be paid by any individual receiving age and service	1181
retirement or a disability or survivor benefit, the individual	1182
shall, by written authorization, instruct the board to deduct the	1183
premium agreed to be paid by the individual to the company,	1184
corporation, or agency.	1185

The board may contract for coverage on the basis of part or	1186
all of the cost of the coverage to be paid from appropriate funds	1187
of the public employees retirement system. The cost paid from the	1188
funds of the system shall be included in the employer's	1189
contribution rate provided by sections 145.48 and 145.51 of the	1190
Revised Code. The board may by rule provide coverage to ineligible	1191
individuals if the coverage is provided at no cost to the	1192
retirement system. The board shall not pay or reimburse the cost	1193
for coverage under this section or section 145.325 of the Revised	1194
Code for any ineligible individual.	1195

The board may provide for self-insurance of risk or level of	1196
risk as set forth in the contract with the companies,	1197
corporations, or agencies, and may provide through the	1198
self-insurance method specific benefits as authorized by rules of	1199
the board.	1200

(C) The board shall, beginning the month following receipt of	1201
satisfactory evidence of the payment for coverage, pay monthly to	1202
each recipient of service retirement, or a disability or survivor	1203
benefit under the public employees retirement system who is	1204
eligible for medical insurance coverage under part B of Title	1205
XVIII of "The Social Security Act," 79 Stat. 301 (1965), 42	1206
U.S.C.A. 1395j, as amended, an amount determined by the board for	1207
such coverage that is not less than ninety-six dollars and forty	1208
cents, except that the board shall make no such payment to any	1209
ineligible individual or pay an amount that exceeds the amount	1210
paid by the recipient for the coverage.	1211

At the request of the board, the recipient shall certify to	1212
the retirement system the amount paid by the recipient for	1213
coverage described in this division.	1214

(D) The board shall establish by rule requirements for the	1215
coordination of any coverage, payment, or benefit provided under	1216
this section or section 145.325 of the Revised Code with any	1217
similar coverage, payment, or benefit made available to the same	1218
individual by the Ohio police and fire pension fund, state	1219
teachers retirement system, school employees retirement system, or	1220
state highway patrol retirement system.	1221

(E) The board shall make all other necessary rules pursuant	1222
to the purpose and intent of this section.	1223

Sec. 145.82.  (A) Except as provided in divisions (B) and (C)	1224
of this section, sections 145.201 to 145.70 of the Revised Code do	1225
not apply to a PERS defined contribution plan, except that a PERS	1226
defined contribution plan may incorporate provisions of those	1227
sections as specified in the plan document.	1228

(B) The following sections of Chapter 145. of the Revised	1229
Code apply to a PERS defined contribution plan: 145.22, 145.221,	1230
145.23, 145.25, 145.26, 145.27, 145.296, 145.38, 145.382, 145.383,	1231
145.384, 145.386, 145.391, 145.47, 145.48, 145.483, 145.51,	1232
145.52, 145.53, 145.54, 145.55, 145.56, 145.563, 145.57, 145.571,	1233
145.572, 145.573, 145.69, and 145.70 of the Revised Code.	1234

(C) A PERS defined contribution plan that includes definitely	1235
determinable benefits may incorporate by reference all or part of	1236
sections 145.201 to 145.79 of the Revised Code to allow a member	1237
participating in the plan to purchase service credit or to be	1238
eligible for any of the following:	1239

(1) Retirement, disability, survivor, or death benefits;

1240

(2) Health or long-term care insurance or any other type of	1241
health care benefit;	1242

(3) Additional increases under section 145.323 of the Revised	1243
Code;	1244

(4) A refund of contributions made by or on behalf of a	1245
member.	1246

With respect to the benefits described in division (C)(1) of	1247
this section, the public employees retirement board may establish	1248
eligibility requirements and benefit formulas or amounts that	1249
differ from those of members participating in the PERS defined	1250
benefit plan. With respect to the purchase of service credit by a	1251
member participating in a PERS defined contribution plan, the	1252
board may reduce the cost of the service credit to reflect the	1253
different benefit formula established for the member.	1254

Sec. 742.26.  (A) As used in this section:

1255

(1) "Actuarial present value" means the calculation under	1256
which the probability of occurrence, based on a specified	1257
mortality table, and the discount for future monetary growth at a	1258
specified interest rate are considered by an actuary to determine	1259
the value of an annuity.	1260

(2) "Other system retirant" means a former member of the	1261
public employees retirement system, state teachers retirement	1262
system, school employees retirement system, state highway patrol	1263
retirement system, or Cincinnati retirement system who is	1264
receiving a disability benefit or an age and service or commuted	1265
age and service retirement benefit or allowance from a system of	1266
which the person is a former member.	1267

(3) "OPFPF retirant" means any person who is receiving a	1268
retirement allowance, other than a disability benefit, from the	1269
Ohio police and fire pension fund.	1270

(B) The mortality table and interest rate used in determining	1271
actuarial present value shall be determined by the board of	1272
trustees of the fund based on the recommendations of an actuary	1273
employed by the board.	1274

(C)(1) An OPFPF retirant or other system retirant may be	1275
employed as a member of a police or fire department. If so	1276
employed, thea retirant shall make contributions to the fund in	1277
accordance with section 742.31 of the Revised Code, and the	1278
employer shall make contributions in accordance with sections	1279
742.33 and 742.34 of the Revised Code. During the period of	1280
employment, the retirement allowance for the period beginning on	1281
the first day of the month following the month in which employment	1282
commences and ending on the first day of the month following the	1283
month the employment ends shall be suspended and placed in an	1284
account maintained by the fund for the retirant.	1285

Payment of the retirement allowance shall resume on the first	1286
day of the month following termination of the employment. In	1287
addition to the retirement allowance and any amount paid under	1288
division (E) of this section, the retirant shall receive a monthly	1289
annuity or lump sum payment under section 742.261 of the Revised	1290
Code.	1291

(2) An employer that employs an OPFPF retirant or other	1292
system retirant shall notify the board of trustees of the fund of	1293
the employment not later than the end of the month in which the	1294
employment commences. On receipt of notice from an employer that a	1295
person who is an other system retirant has been employed, the fund	1296
shall notify the retirement system of which the other system	1297
retirant was a member of such employment.	1298

(D) An OPFPF retirant or other system retirant who has	1299
received a retirement allowance or benefit for less than two	1300
months when employment subject to this section commences shall	1301
forfeit the retirement allowance or benefit for the period that	1302
begins on the date the employment commences and ends on the	1303
earlier of the date the employment terminates or the date that is	1304
two months after the date on which the retirement allowance or	1305
benefit commenced. Service and contributions for that period shall	1306
not be included in the calculation of any benefits payable under	1307
this section, and those contributions shall be refunded on the	1308
retirant's death or termination of the employment.	1309

(E) On receipt of notice from the public employees retirement	1310
system, school employees retirement system, or state teachers	1311
retirement system of the re-employment of an OPFPF retirant, the	1312
Ohio police and fire pension fund shall not pay, or if paid shall	1313
recover, the amount to be forfeited by the OPFPF retirant in	1314
accordance with section 145.38, 3307.35, or 3309.341 of the	1315
Revised Code.	1316

(F)(1) On termination of employment under this section, an	1317
OPFPF retirant or other system retirant may file an application	1318
with the board of trustees of the fund to receive either a	1319
benefit, as provided in division (F)(D)(2) of this section, or	1320
payment of the retirant's contributions made under this section,	1321
as provided in division (H)(F) of this section.	1322

(2) A benefit under this section shall consist of an annuity	1323
the actuarial present value of which is equal to two times the sum	1324
of all amounts deducted from the salary of the OPFPF retirant or	1325
other system retirant and credited to the retirant's individual	1326
account in the fund, other than contributions excluded pursuant to	1327
division (D) of this section, together with interest credited	1328
thereon at the rate determined by the board.	1329

(a) Unless, as described in division (I)(G) of this section,	1330
the application is accompanied by a statement of the spouse's	1331
consent to another form of payment or the board of trustees waives	1332
the requirement of spousal consent, a retirant who is married at	1333
the time of application under this division shall receive a	1334
monthly annuity under which the actuarial equivalent of the	1335
retirant's single life annuity is paid in a lesser amount for life	1336
and one-half of the lesser amount continues after the retirant's	1337
death to the surviving spouse.	1338

(b) A retirant who is not subject to division (F)(D)(2)(a) of	1339
this section shall elect to receive either a monthly annuity or a	1340
lump-sumlump sum payment. If the retirant fails to elect a plan	1341
of payment, the annuity shall be paid as a monthly annuity under	1342
the plan of payment specified in rules adopted by the board of	1343
trustees of the fund.	1344

A retirant who elects to receive a monthly annuity shall	1345
select one of the following as the plan of payment:	1346

(i) The retirant's single life annuity;

1347

(ii) The actuarial equivalent of the retirant's single life	1348
annuity in an equal or lesser amount for life and continuing after	1349
death to a surviving beneficiary designated at the time the plan	1350
of payment is selected.	1351

(c) Notwithstanding divisions (F)(D)(2)(a) and (b) of this	1352
section, if a monthly annuity would be less than twenty-five	1353
dollars per month, the retirant shall receive a lump sum payment.	1354

(3) Interest shall be credited to accounts only at the time	1355
of calculation of a benefit payable under division (F)(D)(2) of	1356
this section.	1357

(4) A benefit payable under this division shall commence on	1358
the first day of the month immediately after the latest of the	1359
following:	1360

(a) The last day for which compensation for employment	1361
subject to this section was paid;	1362

(b) Attainment by the OPFPF retirant or other system retirant	1363
of age sixty;	1364

(c) If the OPFPF retirant or other system retirant was	1365
previously employed under this section and is receiving or	1366
previously received a benefit under this division, completion of a	1367
period of twelve months since the last benefit paid under this	1368
section commenced.	1369

(5) No amount received under this division shall be included	1370
in determining an additional benefit under section 742.3711,	1371
742.3716, or 742.3717 of the Revised Code or any other	1372
post-retirement benefit increase.	1373

(G)(E)(1) If an OPFPF retirant or other system retirant dies	1374
while employed in employment subject to this section, a lump-sum	1375
lump sum payment calculated in accordance with division (F)(D)(2)	1376
of this section shall be paid to the retirant's surviving spouse,	1377
or if there is no surviving spouse, to the retirant's estate.	1378

(2) If at the time of death an OPFPF retirant or other system	1379
retirant receiving a monthly annuity under division (F)(D)(2) of	1380
this section has received less than would have been received as a	1381
lump-sumlump sum payment under division (F)(D)(2) of this	1382
section, the difference between the amount received and the amount	1383
that would have been received as a lump-sumlump sum payment shall	1384
be paid to the retirant's surviving spouse, or if there is no	1385
surviving spouse, to the retirant's estate.	1386

(3) If a beneficiary receiving a monthly annuity under	1387
division (F)(D)(2) of this section dies and, at the time of the	1388
beneficiary's death, the total of the amounts paid to the retirant	1389
and beneficiary are less than the amount the retirant would have	1390
received as a lump sum payment, the difference between the total	1391
of the amounts received by the retirant and beneficiary and the	1392
amount that the retirant would have received as a lump sum payment	1393
shall be paid to the beneficiary's estate.	1394

(H)(F)(1) An OPFPF retirant or other system retirant who	1395
applies under division (F)(D)(1) of this section for payment of	1396
the retirant's contributions and is unmarried or is married and,	1397
unless the board of trustees has waived the requirement of spousal	1398
consent, includes with the application a statement of the spouse's	1399
consent to the payment shall be paid the contributions made under	1400
division (C) of this section, plus interest, if the following	1401
conditions are met:	1402

(a) The retirant has not attained sixty years of age and has	1403
terminated employment subject to this section for any cause other	1404
than death or the receipt of a benefit under division (F)(D) of	1405
this section.	1406

(b) Three months have elapsed since the termination of	1407
employment subject to this section.	1408

(c) The retirant has not returned to service subject to this	1409
chapter or Chapter 145., 3307., or 3309. of the Revised Code,	1410
other than service exempted from contribution to the public	1411
employees retirement system pursuant to section 145.03 of the	1412
Revised Code, during the three-month period.	1413

(2) Payment of a retirant's contributions cancels the	1414
retirant's right to a benefit under division (F)(D) of this	1415
section.	1416

(I)(G) A statement of a spouse's consent under division	1417
(F)(D) of this section to the form of a benefit or under division	1418
(H)(F) of this section to a payment of contributions is valid only	1419
if signed by the spouse and witnessed by a notary public. The	1420
board of trustees may waive the requirement of spousal consent if	1421
the spouse is incapacitated or cannot be located, or for any other	1422
reason specified by the board. Consent or waiver is effective only	1423
with regard to the spouse who is the subject of the consent or	1424
waiver.	1425

(J)(H) An other system retirant subject to this section is	1426
not a member of the Ohio police and fire pension fund, does not	1427
have any of the rights, privileges, or obligations of membership,	1428
except as specified in this section, and is not eligible to	1429
receive health, medical, hospital, or surgical benefits under	1430
section 742.45 of the Revised Code for employment subject to this	1431
section.	1432

(K)(I) If any payment is made by the Ohio police and fire	1433
pension fund to an OPFPF retirant or other system retirant to	1434
which the retirant is not entitled, the retirant shall repay it to	1435
the fund. If the retirant fails to make the repayment, the fund	1436
shall withhold the amount due from any allowances or other amounts	1437
due the OPFPF retirant or other system retirant.	1438

(L)(J) An OPFPF retirant who is employed under this section	1439
is not eligible to receive any benefits under section 742.37 of	1440
the Revised Code for the employment under this section.	1441

(M)(K) This section does not affect the receipt of benefits	1442
by or eligibility for benefits of any person who on August 20,	1443
1976, was receiving a disability benefit or service retirement	1444
pension or allowance from a state or municipal retirement system	1445
in Ohio and was a member of any other state or municipal	1446
retirement system of this state.	1447

(N)(L) The board of trustees of the fund may adopt rules to	1448
carry out this section.	1449

Sec. 742.261. (A) The annuity paid by the Ohio police and	1450
fire pension fund under this section shall have a reserve equal to	1451
the amount placed in the retirant's account under division (C)(1)	1452
of section 742.26 of the Revised Code, except that if the annuity	1453
would be less than twenty-five dollars per month, the retirant	1454
shall receive as a lump sum payment an amount equal to the	1455
reserve.	1456

(1) If the retirant is married at the time of application,	1457
the annuity shall consist of the actuarial equivalent of a single	1458
life annuity paid in a lesser amount for life and one-half of the	1459
lesser amount continuing after the retirant's death to the	1460
surviving spouse unless, as described in division (D) of this	1461
section, the retirant's application is accompanied by a statement	1462
of the spouse's consent to another form of payment or the Ohio	1463
police and fire pension fund board of trustees waives the	1464
requirement of spousal consent.	1465

(2) A retirant who is not subject to division (A)(1) of this	1466
section shall elect one of the following as the annuity plan of	1467
payment:	1468

(a) A retirant's single life annuity;

1469

(b) The actuarial equivalent of a single life annuity in an	1470
equal or lesser amount for life and continuing after death to a	1471
surviving beneficiary at the time the plan of payment is selected.	1472

If the retirant fails to select a plan of payment, the	1473
annuity shall be paid under the plan of payment specified in rules	1474
adopted by the board of trustees.	1475

(B) Payment of the annuity shall commence on the first day of	1476
the month following termination of employment as described in	1477
division (C)(1) of section 742.26 of the Revised Code.	1478

(C) If a retirant dies while in employment described in	1479
division (C)(1) of section 742.26 of the Revised Code, a lump sum	1480
payment calculated by the board of trustees shall be paid to the	1481
retirant's surviving spouse, or if there is no surviving spouse,	1482
to the retirant's estate.	1483

If at the time of death, a retirant receiving a monthly	1484
annuity under this section has received less than an amount equal	1485
to the annuity reserve, the difference between the amount received	1486
and the reserve shall be paid to the retirant's surviving spouse,	1487
or if there is no surviving spouse, to the retirant's estate.	1488

If a beneficiary receiving a monthly annuity under this	1489
section dies, and at the time of the beneficiary's death, the	1490
total of the amounts paid to the retirant and beneficiary are less	1491
than an amount equal to the annuity reserve, the difference	1492
between the total amounts received and the reserve shall be paid	1493
to the beneficiary's estate.	1494

(D) A statement of a spouse's consent under division (A) of	1495
this section to a plan of payment is valid only if signed by the	1496
spouse and witnessed by a notary public. The board of trustees may	1497
waive the requirement of spousal consent if the spouse is	1498
incapacitated or cannot be located, or for any other reason	1499
specified by the board. Consent or waiver is effective only with	1500
regard to the spouse who is the subject of the consent or waiver.	1501

(E) No amount received under this section shall be included	1502
in determining an additional benefit under section 742.3711,	1503
742.3716, or 742.3717 of the Revised Code or any other	1504
post-retirement benefit increase.	1505

Sec. 3307.35.  (A) As used in this section and section	1506
3307.352 of the Revised Code, "other system retirant" means a	1507
member or former member of the public employees retirement system,	1508
Ohio police and fire pension fund, school employees retirement	1509
system, state highway patrol retirement system, or Cincinnati	1510
retirement system who is receiving age and service or commuted age	1511
and service retirement, or a disability benefit from a system of	1512
which the retirant is a member or former member.	1513

(B) Subject to this section and section 3307.353 of the	1514
Revised Code, a superannuate or other system retirant may be	1515
employed as a teacher.	1516

(C). A superannuate or other system retirant employed in	1517
accordance with this section shall contribute to the state	1518
teachers retirement system in accordance with section 3307.26 of	1519
the Revised Code and the employer shall contribute in accordance	1520
with sections 3307.28 and 3307.31 of the Revised Code. Such	1521
contributions shall be received as specified in section 3307.14 of	1522
the Revised Code. ADuring the period of employment, the	1523
retirement allowance for the period beginning on the first day of	1524
the month following the month in which employment commences and	1525
ending on the first day of the month following the month the	1526
employment ends shall be suspended and placed in an account	1527
maintained by the retirement system for the superannuate.	1528

Payment of the retirement allowance shall resume on the first	1529
day of the month following termination of the employment. In	1530
addition to the retirement allowance and any amount paid under	1531
section 3307.352 of the Revised Code, the superannuate shall	1532
receive a monthly annuity or lump sum payment under section	1533
3307.354 of the Revised Code.	1534

(C) A superannuate or other system retirant employed as a	1535
teacher under this section is not a member of the state teachers	1536
retirement system, does not have any of the rights, privileges, or	1537
obligations of membership, except as provided in this section, and	1538
is not eligible to receive health, medical, hospital, or surgical	1539
benefits under section 3307.39 of the Revised Code for employment	1540
subject to this section.	1541

(D) The employer that employs a superannuate or other system	1542
retirant shall notify the state teachers retirement board of the	1543
employment not later than the end of the month in which the	1544
employment commences. Any overpayment of benefits to a	1545
superannuate by the retirement system resulting from an employer's	1546
failure to give timely notice may be charged to the employer and	1547
may be certified and deducted as provided in section 3307.31 of	1548
the Revised Code.	1549

(E) On receipt of notice from an employer that a person who	1550
is an other system retirant has been employed, the state teachers	1551
retirement system shall notify the state retirement system of	1552
which the other system retirant was a member of such employment.	1553

(F) A superannuate or other system retirant who has received	1554
an allowance or benefit for less than two months when employment	1555
subject to this section commences shall forfeit the allowance or	1556
benefit for any month the superannuate or retirant is employed	1557
prior to the expiration of such period. Contributions shall be	1558
made to the retirement system from the first day of such	1559
employment, but service and contributions for that period shall	1560
not be used in the calculation of any benefit payable to the	1561
superannuate or other system retirant, and those contributions	1562
shall be refunded on the superannuate's or retirant's death or	1563
termination of the employment. Contributions made on compensation	1564
earned after the expiration of such period shall be used in	1565
calculation of the benefit or payment due under section 3307.352	1566
of the Revised Code.	1567

(G) On receipt of notice from the Ohio police and fire	1568
pension fund, public employees retirement system, or school	1569
employees retirement system of the re-employment of a	1570
superannuate, the state teachers retirement system shall not pay,	1571
or if paid shall recover, the amount to be forfeited by the	1572
superannuate in accordance with section 145.38, 742.26, or	1573
3309.341 of the Revised Code.	1574

(H) If the disability benefit of an other system retirant	1575
employed under this section is terminated, the retirant shall	1576
become a member of the state teachers retirement system, effective	1577
on the first day of the month next following the termination, with	1578
all the rights, privileges, and obligations of membership. If such	1579
person, after the termination of the retirant's disability	1580
benefit, earns two years of service credit under this retirement	1581
system or under the public employees retirement system, Ohio	1582
police and fire pension fund, school employees retirement system,	1583
or state highway patrol retirement system, the retirant's prior	1584
contributions as an other system retirant under this section shall	1585
be included in the retirant's total service credit, as defined in	1586
section 3307.50 of the Revised Code, as a state teachers	1587
retirement system member, and the retirant shall forfeit all	1588
rights and benefits of this section. Not more than one year of	1589
credit may be given for any period of twelve months.	1590

(I)(G) This section does not affect the receipt of benefits	1591
by or eligibility for benefits of any person who on August 20,	1592
1976, was receiving a disability benefit or service retirement	1593
pension or allowance from a state or municipal retirement system	1594
in Ohio and was a member of any other state or municipal	1595
retirement system of this state.	1596

(J)(H) The state teachers retirement board may make the	1597
necessary rules to carry into effect this section and to prevent	1598
the abuse of the rights and privileges thereunder.	1599

Sec. 3307.352.  For purposes of this section, "superannuate"	1600
includes a member who retired under section 3307.351 of the	1601
Revised Code.	1602

(A) Except as provided in division (B)(3) of this section, a	1603
superannuate or other system retirant who has made contributions	1604
under section 3307.35 or 3307.351 of the Revised Code may file an	1605
application with the state teachers retirement system for a	1606
benefit consisting of a single life annuity. The annuity shall	1607
have a reserve equal to the amount of the superannuate's or	1608
retirant's accumulated contributions, as defined in section	1609
3307.50 of the Revised Code, for the period of employment, other	1610
than the contributions excluded pursuant to division (F) of	1611
section 3307.35 of the Revised Code, and an amount determined by	1612
the state teachers retirement board from the employers' trust	1613
created by section 3307.14 of the Revised Code, plus interest	1614
credited to the date of retirement at a rate of interest	1615
determined by the board. The superannuate or other system retirant	1616
shall elect either to receive the benefit as a monthly annuity for	1617
life or a lump sum payment discounted to the present value using a	1618
rate of interest determined by the board, except that if the	1619
monthly annuity would be less than twenty-five dollars per month	1620
the superannuate or retirant shall receive a lump sum payment.	1621

A benefit payable under this division shall commence on the	1622
latest of the following:	1623

(1) The last day for which compensation for all employment as	1624
a teacher was paid;	1625

(2) Attainment by the superannuate or other system retirant	1626
of age sixty-five;	1627

(3) If the superannuate or other system retirant was	1628
previously employed under section 3307.35 or 3307.351 of the	1629
Revised Code and previously received or is receiving a benefit	1630
under this division, completion of a period of twelve months since	1631
the effective date of the last benefit under this division.	1632

(B)(1) A superannuate or other system retirant under age	1633
sixty-five who has made contributions under section 3307.35 or	1634
3307.351 of the Revised Code may file an application with the	1635
state teachers retirement system for a return of those	1636
contributions if both of the following conditions are met:	1637

(a) The superannuate or retirant has terminated, for any	1638
reason other than death, the employment for which the	1639
contributions were made.	1640

(b) If the superannuate or retirant received a return of	1641
contributions under this division for a previous period of	1642
employment under section 3307.35 or 3307.351 of the Revised Code,	1643
twelve months have passed since the date the retirement system	1644
returned the contributions.	1645

(2) A return of contributions under this division shall	1646
consist of the sum of the following:	1647

(a) The contributions the superannuate or other system	1648
retirant made under section 3307.35 or 3307.351 of the Revised	1649
Code;	1650

(b) Interest at a rate determined by the state teachers	1651
retirement board credited to the date that the superannuate or	1652
retirant terminated the employment for which the contributions are	1653
made.	1654

(3) Payment of a return of contributions under this division	1655
cancels the superannuate or retirant's right to a benefit under	1656
division (A) of this section for the service for which the	1657
contributions were made.	1658

(C)(1) If a superannuate or other system retirant who made	1659
contributions under section 3307.35 or 3307.351 of the Revised	1660
Code dies before receiving a benefit under division (A) of this	1661
section or a return of contributions under division (B) of this	1662
section, a lump sum payment shall be paid to the beneficiary	1663
designated under division (D) of section 3307.562 of the Revised	1664
Code. The lump sum shall be calculated in accordance with division	1665
(A) of this section, except that the interest shall be credited as	1666
follows:	1667

(a) If the superannuate or retirant was under age sixty-five	1668
at the time of death, the interest shall be credited through the	1669
month of death.	1670

(b) If the superannuate or retirant was age sixty-five or	1671
older at the time of death, the interest shall be credited through	1672
the later of the month in which the superannuate or retirant	1673
terminated the employment for which the contributions are made or	1674
the month the superannuate or retirant attained age sixty-five.	1675

(2) If at the time of death a superannuate or other system	1676
retirant receiving a monthly annuity under division (A) of this	1677
section has received less than the superannuate or retirant would	1678
have received as a lump sum payment, the difference between the	1679
amount received and the amount that would have been received as a	1680
lump sum payment shall be paid to the superannuate's or retirant's	1681
beneficiary designated under division (D) of section 3307.562 of	1682
the Revised Code.	1683

(D) No amount received under this section shall be included	1684
in determining an additional benefit under section 3307.67 of the	1685
Revised Code or any other post-retirement benefit increase.	1686

Sec. 3307.354. (A) The annuity paid by the state teachers	1687
retirement system under this section shall have a reserve equal to	1688
the amount placed in the superannuate's account under division (B)	1689
of section 3307.35 of the Revised Code except that if the annuity	1690
would be less than twenty-five dollars per month, the superannuate	1691
shall receive as a lump sum payment an amount equal to the	1692
reserve.	1693

(B) Payment of the annuity shall commence on the first day of	1694
the month following termination of employment as described in	1695
division (B) of section 3307.35 of the Revised Code.	1696

(C) If a superannuate dies while in employment described in	1697
division (B) of section 3307.35 of the Revised Code, a lump sum	1698
payment calculated by the retirement system shall be paid to the	1699
superannuate's beneficiary under division (B) of section 3307.562	1700
of the Revised Code.	1701

If at the time of death, a superannuate receiving a monthly	1702
annuity under this section has received less than an amount equal	1703
to the annuity reserve, the difference between the amount received	1704
and the reserve shall be paid to the superannuate's beneficiary	1705
under division (D) of section 3307.562 of the Revised Code.	1706

(D) No amount received under this section shall be included	1707
in determining an additional benefit under section 3307.67 of the	1708
Revised Code or any other post-retirement benefit increase.	1709

Sec. 3309.341.  (A) As used in this section and section	1710
3309.344 of the Revised Code:	1711

(1) "SERS retirant" means any person who is receiving a	1712
retirement allowance from the school employees retirement system	1713
under section 3309.36, 3309.38, or 3309.381 of the Revised Code or	1714
any benefit paid under a plan established under section 3309.81 of	1715
the Revised Code.	1716

(2) "Other system retirant" means a member or former member	1717
of the public employees retirement system, Ohio police and fire	1718
pension fund, state teachers retirement system, state highway	1719
patrol retirement system, or Cincinnati retirement system who is	1720
receiving age and service or commuted age and service retirement,	1721
or a disability benefit from a system of which the retirant is a	1722
member or former member.	1723

(B)(1) Subject to this section and section 3309.345 of the	1724
Revised Code, an SERS retirant or other system retirant may be	1725
employed by a public employer. If so employed, thean SERS	1726
retirant or other system retirant shall contribute to the school	1727
employees retirement system in accordance with section 3309.47 of	1728
the Revised Code, and the employer shall make contributions in	1729
accordance with section 3309.49 of the Revised Code. During the	1730
period of employment, the retirement allowance for the period	1731
beginning on the first day of the month following the month in	1732
which employment commences and ending on the first day of the	1733
month following the month the employment ends shall be suspended	1734
and placed in an account maintained by the retirement system for	1735
the retirant.	1736

Payment of the retirement allowance shall resume on the first	1737
day of the month following termination of the employment. In	1738
addition to the retirement allowance and any amount paid under	1739
section 3309.344 of the Revised Code, the retirant shall receive a	1740
monthly annuity or lump sum payment under section 3309.346 of the	1741
Revised Code.	1742

(2) An employer that employs an SERS retirant or other system	1743
retirant shall notify the retirement board of the employment not	1744
later than the end of the month in which the employment commences.	1745
On receipt of notice from an employer that a person who is an	1746
other system retirant has been employed, the school employees	1747
retirement system shall notify the state retirement system of	1748
which the other system retirant was a member of such employment.	1749

(C) An SERS retirant or other system retirant who has	1750
received a retirement allowance or disability benefit for less	1751
than two months when employment subject to this section commences	1752
shall forfeit the retirement allowance or disability benefit for	1753
any month the SERS retirant or other system retirant is employed	1754
prior to the expiration of the two-month period. Service and	1755
contributions for that period shall not be included in the	1756
calculation of any benefits payable to the SERS retirant or other	1757
system retirant, and those contributions shall be refunded on	1758
death or termination of the employment. Contributions made on	1759
compensation earned after the expiration of such period shall be	1760
used in the calculation of the benefit or payment due under	1761
section 3309.344 of the Revised Code.	1762

(D) On receipt of notice from the Ohio police and fire	1763
pension fund, public employees retirement system, or state	1764
teachers retirement system of the re-employment of an SERS	1765
retirant, the school employees retirement system shall not pay, or	1766
if paid shall recover, the amount to be forfeited by the SERS	1767
retirant in accordance with section 145.38, 742.26, or 3307.35 of	1768
the Revised Code.	1769

(E) An SERS retirant or other system retirant subject to this	1770
section is not a member of the school employees retirement system;	1771
does not have any of the rights, privileges, or obligations of	1772
membership, except as specified in this section; and is not	1773
eligible to receive health, medical, hospital, or surgical	1774
benefits under section 3309.69 of the Revised Code for employment	1775
subject to this section.	1776

(F)(D) If the disability benefit of an other system retirant	1777
employed under this section is terminated, the retirant shall	1778
become a member of the school employees retirement system,	1779
effective on the first day of the month next following the	1780
termination, with all the rights, privileges, and obligations of	1781
membership. If the retirant, after the termination of the	1782
disability benefit, earns two years of service credit under this	1783
retirement system or under the public employees retirement system,	1784
Ohio police and fire pension fund, state teachers retirement	1785
system, or state highway patrol retirement system, the retirant's	1786
prior contributions as an other system retirant under this section	1787
shall be included in the retirant's total service credit as a	1788
school employees retirement system member, and the retirant shall	1789
forfeit all rights and benefits of this section. Not more than one	1790
year of credit may be given for any period of twelve months.	1791

(G)(E) This section does not affect the receipt of benefits	1792
by or eligibility for benefits of any person who on August 29,	1793
1976, was receiving a disability benefit or service retirement	1794
pension or allowance from a state or municipal retirement system	1795
in Ohio and was a member of any other state or municipal	1796
retirement system of this state.	1797

(H)(F) The school employees retirement board may adopt rules	1798
to carry out this section.	1799

Sec. 3309.344.  For purposes of this section, "SERS retirant"	1800
includes a member who retired under section 3309.343 of the	1801
Revised Code.	1802

(A) Except as provided in division (B)(3) of this section, an	1803
SERS retirant or other system retirant who has made contributions	1804
under section 3309.341 or 3309.343 of the Revised Code may file an	1805
application with the school employees retirement system for a	1806
benefit consisting of a single life annuity. The annuity shall	1807
have a reserve equal to the amount of the retirant's accumulated	1808
contributions for the period of employment, other than the	1809
contributions excluded pursuant to division (C) of section	1810
3309.341 of the Revised Code, and an amount of the employer's	1811
contributions determined by the board, plus interest credited to	1812
the date of retirement at a rate determined by the board. The SERS	1813
retirant or other system retirant shall elect either to receive	1814
the benefit as a monthly annuity for life or a lump sum payment	1815
discounted to the present value using a rate of interest	1816
determined by the board, except that if the monthly annuity would	1817
be less than twenty-five dollars per month, the retirant shall	1818
receive a lump sum payment.	1819

A benefit payable under this division shall commence on the	1820
first day of the month after the latest of the following:	1821

(1) The last day for which compensation for all employment	1822
subject to sections 3309.341 and 3309.343 of the Revised Code was	1823
paid;	1824

(2) Attainment by the SERS retirant or other system retirant	1825
of age sixty-five;	1826

(3) If the SERS retirant or other system retirant was	1827
previously employed under section 3309.341 or 3309.343 of the	1828
Revised Code and is receiving or previously received a benefit	1829
under this division, completion of a period of twelve months since	1830
the effective date of that benefit.	1831

(B)(1) An SERS or other system retirant under age sixty-five	1832
who has made contributions under section 3309.341 or 3309.343 of	1833
the Revised Code may file an application with the school employees	1834
retirement system for a return of those contributions if both of	1835
the following conditions are met:	1836

(a) The retirant has terminated, for any reason other than	1837
death, the employment for which the contributions were made.	1838

(b) If the retirant received a return of contributions under	1839
this division for a previous period of employment under section	1840
3309.341 or 3309.343 of the Revised Code, twelve months have	1841
passed since the date the retirement system returned the	1842
contributions.	1843

(2) A return of contributions under this division shall	1844
consist of all of the contributions the SERS or other system	1845
retirant made under section 3309.341 or 3309.343 of the Revised	1846
Code.	1847

(3) Payment of a return of contributions under this division	1848
cancels the SERS or other system retirant's right to a benefit	1849
under division (A) of this section for the service for which the	1850
contributions were made.	1851

(C)(1) If an SERS retirant or other system retirant who made	1852
contributions under section 3309.341 or 3309.343 of the Revised	1853
Code dies before receiving a benefit under division (A) of this	1854
section or a return of contributions under division (B) of this	1855
section, a lump sum payment shall be paid to the beneficiary under	1856
division (D) of this section. The lump sum shall be calculated in	1857
accordance with division (A) of this section.	1858

(2) If at the time of death an SERS retirant or other system	1859
retirant receiving a monthly annuity under division (A) of this	1860
section has received less than the retirant would have received as	1861
a lump sum payment, the difference between the amount received and	1862
the amount that would have been received as a lump sum payment	1863
shall be paid to the retirant's beneficiary under division (D) of	1864
this section.	1865

(D) An SERS retirant or other system retirant employed under	1866
section 3309.341 or 3309.343 of the Revised Code may designate one	1867
or more persons as beneficiary to receive any benefits payable	1868
under this section due to death. The designation shall be in	1869
writing duly executed on a form provided by the school employees	1870
retirement board, signed by the SERS retirant or other system	1871
retirant, and filed with the board prior to death. The last	1872
designation of a beneficiary revokes all previous designations.	1873
The SERS retirant's or other system retirant's marriage, divorce,	1874
marriage dissolution, legal separation, withdrawal of account,	1875
birth of the retirant's child, or adoption of a child revokes all	1876
previous designations. If there is no designated beneficiary, the	1877
beneficiary is the beneficiary designated under division (D) of	1878
section 3309.44 of the Revised Code. If any benefit payable under	1879
this section due to the death of an SERS retirant or other system	1880
retirant is not claimed by a beneficiary within five years after	1881
the death, the amount payable shall be transferred to the	1882
guarantee fund and thereafter paid to the beneficiary or the	1883
estate of the SERS retirant or other system retirant on	1884
application to the board.	1885

(E) No amount received under this section shall be included	1886
in determining an additional benefit under section 3309.374 of the	1887
Revised Code or any other post-retirement benefit increases.	1888

Sec. 3309.346. (A) The annuity paid by the school employees	1889
retirement system under this section shall have a reserve equal to	1890
the amount placed in the retirant's account under division (B)(1)	1891
of section 3309.341 of the Revised Code, except that if the	1892
annuity would be less than twenty-five dollars per month, the	1893
retirant shall receive as a lump sum payment an amount equal to	1894
the reserve.	1895

(B) Payment of the annuity shall commence on the first day of	1896
the month following termination of employment as described in	1897
division (B)(1) of section 3309.341 of the Revised Code.	1898

(C) If a retirant dies while in employment described in	1899
division (B)(1) of section 3309.341 of the Revised Code, a lump	1900
sum payment calculated by the retirement system shall be paid to	1901
the retirant's beneficiary under division (D) of this section.	1902

If at the time of death, a retirant receiving a monthly	1903
annuity under this section has received less than an amount equal	1904
to the annuity reserve, the difference between the amount received	1905
and the reserve shall be paid to the retirant's beneficiary under	1906
division (D) of this section.	1907

(D) A retirant may designate one or more persons as	1908
beneficiary to receive any amount payable under division (C) of	1909
this section. The designation shall be in writing duly executed on	1910
a form provided by the school employees retirement board, signed	1911
by the retirant, and filed with the board prior to the retirant's	1912
death. The last designation revokes all previous designations. The	1913
retirant's marriage, divorce, marriage dissolution, legal	1914
separation, withdrawal of account, birth of a child, or adoption	1915
of a child revokes all previous designations. If there is no	1916
designated beneficiary, the beneficiary is the beneficiary	1917
determined under division (D) of section 3309.44 of the Revised	1918
Code. If any amount payable under division (C) of this section is	1919
not claimed by a beneficiary within five years after the	1920
retirant's death, that amount shall be transferred to the	1921
guarantee fund and thereafter paid to the beneficiary or the	1922
estate of the retirant on application to the board.	1923

(E) No amount received under this section shall be included	1924
in determining an additional benefit under section 3309.374 of the	1925
Revised Code or any other post-retirement benefit increase.	1926

Sec. 3501.13.  (A) The director of the board of elections	1927
shall keep a full and true record of the proceedings of the board	1928
and of all moneys received and expended; file and preserve in the	1929
board's office all orders and records pertaining to the	1930
administration of registrations, primaries, and elections; receive	1931
and have the custody of all books, papers, and property belonging	1932
to the board; and perform other duties in connection with the	1933
office of director and the proper conduct of elections as the	1934
board determines.	1935

(B) Before entering upon the duties of the office, the	1936
director shall subscribe to an oath that the director will support	1937
the Constitution of the United States and the Ohio Constitution,	1938
perform all the duties of the office to the best of the director's	1939
ability, enforce the election laws, and preserve all records,	1940
documents, and other property pertaining to the conduct of	1941
elections placed in the director's custody.	1942

(C) The director may administer oaths to persons required by	1943
law to file certificates or other papers with the board, to	1944
precinct election officials, to witnesses who are called to	1945
testify before the board, and to voters filling out blanks at the	1946
board's offices. Except as otherwise provided by state or federal	1947
law, the records of the board and papers and books filed in its	1948
office are public records and open to inspection under such	1949
reasonable regulations as shall be established by the board. The	1950
social security number or any part thereof of any elector or of	1951
any applicant for voter registration is not a public record. The	1952
board shall redact any such number from any record that it makes	1953
open to public inspection or copying under this section.	1954

The following notice shall be posted in a prominent place at	1955
each board office:	1956

"Except as otherwise provided by state or federal law,	1957
records filed in this office of the board of elections are open to	1958
public inspection during normal office hours, pursuant to the	1959
following reasonable regulations: (the board shall here list its	1960
regulations). Whoever prohibits any person from inspecting the	1961
public records of this board is subject to the penalties of	1962
section 3599.161 of the Revised Code."	1963

(D) Upon receipt of a written declaration of intent to retire	1964
as provided for in section 145.38 of the Revised Code, the	1965
director shall provide a copy to each member of the board of	1966
elections.	1967

Section 2. That existing sections 145.01, 145.191, 145.38,	1968
145.384, 145.471, 145.473, 145.58, 145.82, 742.26, 3307.35,	1969
3307.352, 3309.341, 3309.344, and 3501.13 and section 5505.161 of	1970
the Revised Code are hereby repealed.	1971