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A bill for an act
relating to retirement; public employees police and fire retirement plan; authorizing
payment of a retirement annuity without reduction or suspension upon
reemployment of a police officer; authorizing continued participation in the
statewide public employees insurance program during reemployment as a police
officer; setting limits on the number of retired police officers that a city may employ
as police officers; amending Minnesota Statutes 2024, section 353.37, by adding
a subdivision; proposing coding for new law in Minnesota Statutes, chapter 353.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2024, section 353.37, is amended by adding a subdivision
to read:
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Subd. 7.
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Applicability; police officers.
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(a) This section does not apply to the
reemployment of a police officer who is receiving an annuity or has applied to receive an
annuity from the public employees police and fire retirement plan and who, pursuant to
section 353.658, returns to employment as a police officer covered by the public employees
police and fire retirement plan.
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(b) For purposes of this subdivision, "police officer" means an individual described as
a police officer in section 353.64.
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EFFECTIVE DATE.
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This section is effective the day following final enactment.
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Sec. 2.
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[353.658] REEMPLOYMENT AS A POLICE OFFICER.
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Subdivision 1.
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Definitions.
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For purposes of this section, the following terms have the
meanings given:
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(1) "police and fire plan" means the public employees police and fire retirement plan of
the Public Employees Retirement Association; and
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(2) "police officer" means an individual described as a police officer in section 353.64.
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Subd. 2.
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Eligibility.
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This section applies to a member of the police and fire plan who:
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(1) is a police officer;
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(2) separated from service with at least five years of allowable service in the police and
fire plan; and
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(3) is receiving or has applied to receive an annuity under section 353.651.
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Subd. 3.
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Return to employment.
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(a) A member who is eligible under subdivision 2
may return to employment for a city as a police officer covered by the police and fire plan
as early as the second day after separation from service if the member is at least age 55.
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(b) The executive director must seek repayment of any annuity payments made to a
member who returns to employment before the earliest day under paragraph (a). The
executive director may waive the repayment requirement if the member's failure to comply
with paragraph (a) was inadvertent or due to no fault of the member.
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Subd. 4.
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Effect on annuity.
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(a) A member's return to employment under subdivision 3
does not impact the member's continued receipt of an annuity or commencement of annuity
payments.
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(b) During the period of reemployment:
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(1) the amount of the annuity must not increase or decrease as a result of the
reemployment;
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(2) the member must make employee contributions as required under section 353.65,
subdivision 2, during the period of reemployment; and
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(3) the member's employer must make employer contributions as required under section
353.65, subdivision 3.
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(c) A member must not earn allowable service in the police and fire plan for employment
covered under this section.
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Subd. 5.
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Separation from service after period of reemployment.
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The executive director
must refund the member's contributions made during the period of reemployment, plus
interest, following the member's separation from service after the period of reemployment.
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Subd. 6.
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Other law and rules not applicable.
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(a) Section 353.37 does not apply to a
member of the police and fire plan who returns to employment under this section.
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(b) Minnesota Rules, part
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, does not apply to a member of the police and fire
plan who returns to employment under this section.
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(c) Minnesota Rules, part
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, does not apply to a member of the police and fire
plan who returns to employment under this section, except that the member must be
fingerprinted and the fingerprints must be forwarded by the employer to the Bureau of
Criminal Apprehension and the Federal Bureau of Investigation.
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Subd. 7.
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Effect on insurance benefits.
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(a) The member's return to employment under
subdivision 3 does not impact the member's continued participation in the statewide public
employees insurance program pursuant to section 43A.316, subdivision 8.
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(b) During the period of reemployment, the continued participation in the statewide
public employees insurance program is at the member's expense unless a collective bargaining
agreement or personnel policy provides otherwise.
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Subd. 8.
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Limitation; reemployed annuitants.
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(a) A city is limited in the number of
members it may reemploy as police officers under this section.
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(b) A city that employed five or fewer police officers over the course of the immediately
preceding calendar year may employ any number of members who are returning to
employment under this section.
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(c) A city that employed more than five but fewer than 100 police officers over the
course of the immediately preceding calendar year may not employ more than five members
who are returning to employment under this section or a number equal to 25 percent of the
police officers employed by the city in the immediately preceding calendar year, whichever
is greater.
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(d) A city that employed 100 or more police officers over the course of the immediately
preceding calendar year may not employ more than 25 members who are returning to
employment under this section or a number equal to ten percent of the police officers
employed by the city in the immediately preceding calendar year, whichever is greater.
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EFFECTIVE DATE.
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This section is effective the day following final enactment.
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