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hb877_00_IN
As Introduced
136th
General Assembly
Regular
Session
H. B. No. 877
2025-2026
Representative Glassburn
Cosponsors: Representatives Brennan,
Piccolantonio, Thomas, D., McNally, Upchurch
To
amend sections 145.293, 742.251, 3307.74,
and
3309.31 of the Revised Code
regarding
limits on the purchase of retirement service credit based on
employment with the United States Government, a state, or a political
subdivision.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section
1.
That
sections 145.293, 742.251, 3307.74,
and
3309.31 of the Revised Code be amended to read as follows:
Sec.
145.293.
(A)
Service credit may be purchased under this section for the following:
(1)
Service rendered in another state, and service in any entity operated
by the United States government, that, if served in a comparable
position in Ohio, would be covered by the public employees retirement
system, Ohio police and fire pension fund, state teachers retirement
system, school employees retirement system, or state highway patrol
retirement system;
(2)
Service for which contributions were made by the member or on the
member's behalf to a municipal retirement system in this state,
except that if the conditions specified in section 145.2910 of the
Revised Code are met, service credit for this service may be
purchased only in accordance with section 145.2911 of the Revised
Code.
The
number of years purchased under this section shall not exceed
the
lesser of five years or
the
member's total accumulated number of years of Ohio service.
(B)
Credit shall be purchased under this section in accordance with
section 145.29 of the Revised Code.
(C)
A member is ineligible to purchase under this section credit for
service under former section 145.44 of the Revised Code or service
that is used in the calculation of any retirement benefit currently
being paid or payable in the future to the member under any other
retirement program except social security. At the time the credit is
purchased the member shall certify on a form furnished by the
retirement board that the member does and will conform to this
requirement.
(D)
Credit purchased under this section may be combined pursuant to
section 145.37 with credit purchased under sections 3307.74 and
3309.31 of the Revised Code
,
except that not more than an aggregate total of five years' service
credit purchased under this section and sections 3307.74 and 3309.31
of the Revised Code shall be used in determining retirement
eligibility or calculating benefits under section 145.37 of the
Revised Code
.
Sec.
742.251.
(A)
A member of the Ohio police and fire pension fund who is not a
participant in the deferred retirement option plan established under
section 742.43 of the Revised Code, in computing years of active
service under division (C) of section 742.37 or section 742.39 of the
Revised Code, shall be given full credit for full-time out-of-state
or federal service, other than military service, purchased under this
section. A member may purchase credit for such service if all of the
following conditions are met:
(1)
The service was rendered as an employee of an entity of state or
local government, or of an entity of the United States government;
(2)
The member is eligible to retire under this chapter or will become
eligible to retire as a result of purchasing the credit;
(3)
The member agrees to retire within ninety days after receiving notice
of the amount determined under division (B) of this section.
(B)
On receipt of a request from a member eligible to purchase credit
under this section, the fund shall obtain from its actuary
certification of the amount of the additional liability to the fund
for each year of credit the member is eligible to purchase and shall
notify the member of that amount. For each year of credit purchased,
the member shall pay to the fund an amount equal to the additional
liability resulting from the purchase of credit for that year.
Payment shall be made in full at the time of purchase.
(C)
The
number of years of service purchased under this section shall not
exceed five.
(D)
A
member may not purchase credit under this section for service that is
used in the calculation of any public or private retirement benefit,
other than federal social security benefits, currently being paid or
payable in the future to the member.
(E)
(D)
If the member does not retire within ninety days after purchasing
credit under this section, the fund shall withdraw the credit and
refund the amount paid by the member.
Sec.
3307.74.
(A)
Service credit may be purchased under section 3307.70 of the Revised
Code by a member participating in the STRS defined benefit plan for
the following:
(1)
Teaching service in a public or private school, college, or
university of this or another state, and for teaching service in any
school or entity operated primarily for United States citizens.
Teaching credit shall be limited to service rendered in schools,
colleges, or universities chartered or accredited by the appropriate
governmental agency.
(2)
Public service with another state or the United States government,
provided that such credit shall be limited to service that would have
been covered by the state teachers retirement system, school
employees retirement system, Ohio police and fire pension fund, state
highway patrol retirement system, or public employees retirement
system if served in a comparable public position in this state.
(3)
Service for which contributions were made by the member or on the
member's behalf to a municipal retirement system in this state,
except that if the conditions specified in section 3307.762 of the
Revised Code are met, service credit for this service may be
purchased only in accordance with section 3307.763 of the Revised
Code.
The
number of years of service credit for service described in this
section shall not exceed
the
lesser of five years or
the
member's total accumulated number of years of Ohio service.
(B)
Credit shall be purchased under this section in accordance with
section 3307.70 of the Revised Code.
(C)
With the exception of social security, a member is ineligible to
purchase credit for service described in this section that is used in
the calculation of any retirement benefit that has been paid, is
currently being paid, or is payable in the future to such member
under any other retirement program. At the time the credit is
purchased, the member shall certify on a form furnished by the board
that the member does and will conform to this requirement.
(D)
Credit for service described in this section may be combined pursuant
to section 3307.57 of the Revised Code with credit purchased under
sections 145.293 and 3309.31 of the Revised Code
,
except that not more than a total of five years' credit for service
described in this section and sections 145.293 and 3309.31 of the
Revised Code shall be used in determining retirement eligibility or
calculating benefits under section 3307.57 of the Revised Code
.
Sec.
3309.31.
Service
credit purchased under this section shall be included in the member's
total service credit. Credit may be purchased for the following:
(A)
School service in a public or private school, college, or university
of this or another state, and for school service in any school or
entity operated by or for the United States government. Credit
purchased under this section for school service shall be limited to
service rendered in schools, colleges, or universities chartered or
accredited by the appropriate governmental agency.
(B)
Public service with another state or the United States government,
provided that such credit shall be limited to service that would have
been covered by the state teachers retirement system, the Ohio police
and fire pension fund, the state highway patrol retirement system, or
the public employees retirement system if served in a comparable
public position in this state.
(C)
Service for which contributions were made by the member or on the
member's behalf to a municipal retirement system in this state,
except that if the conditions specified in section 3309.74 of the
Revised Code are met, service credit for this service shall be
purchased only in accordance with section 3309.75 of the Revised
Code.
The
number of years of service purchased under this section shall not
exceed
the
lesser of five years or
the
member's total accumulated number of years of Ohio service.
For
each year of service purchased under this section, a member shall pay
to the school employees retirement system for credit to the member's
accumulated account an amount equal to the member's retirement
contribution for full-time employment for the first year of Ohio
service following termination of the service to be purchased. To this
amount shall be added an amount equal to compound interest at a rate
established by the school employees retirement board from the date of
membership in the school employees retirement system to date of
payment. A member may choose to purchase only part of such credit in
any one payment, subject to board rules.
A
member is ineligible to purchase under this section service that is
used in the calculation of any retirement benefit currently being
paid or payable in the future to the member under any other
retirement program, except social security. At the time the credit is
purchased, the member shall certify on a form furnished by the
retirement board that the member does and will conform to this
requirement.
(D)
Credit purchased under this section may be combined pursuant to
section 3309.35 of the Revised Code with credit purchased under
sections 145.293 and 3307.74 of the Revised Code
,
except that not more than an aggregate total of five years' service
credit purchased under this section and sections 145.293 and 3307.74
of the Revised Code shall be used in determining retirement
eligibility or calculating benefits under section 3309.35 of the
Revised Code
.
(E)
The retirement board shall establish a policy to determine
eligibility to purchase credit under this section, and its decision
shall be final.
Section
2.
That
existing sections 145.293, 742.251, 3307.74,
and
3309.31 of the Revised Code are hereby repealed.