Ohio Administrative Code › Title 145 - Public Employees Retirement System › Chapter 145-2 - Service Credit › Section 145-2-18 - Service credit in the traditional pension plan for participation in combined plan or member-directed plan

Current through all regulations passed and filed through July 1, 2024
(A) This rule amplifies section
			 145.814
			 of the Revised Code and sections 2.03, 2.04, and 6.01 of the combined and
			 member-directed plan documents.
(B)
			 For each member participating in the traditional pension plan who elects under
			 division (D) of section
			 145.814
			 of the Revised Code, the public employees retirement system shall prepare a
			 statement of cost for service credit to be purchased in the traditional pension
			 plan based on participation in the combined plan or member-directed plan, as
			 appropriate, at the request of an eligible member. An actuary employed by the
			 public employees retirement board shall determine the additional liability, as
			 defined in section
			 145.814
			 of the Revised Code, as described in rule
			 145-2-02
			 of the Administrative Code.
(C) An
			 eligible member shall purchase the service credit only by a lump-sum payment of
			 the amount on deposit, as defined in rule
			 145-1-35 of the
			 Administrative Code, except that a member described in division (D)(1) of
			 section
			 145.814
			 of the Revised Code may pay any additional liability that exceeds the amount on
			 deposit by initiating payroll deduction under rule
			 145-1-38
			 of the Administrative Code or by direct partial payment. For plan elections
			 effective on or before July 1, 2015, the payroll deduction must be initiated or
			 direct partial payment shall be made not later than one hundred eighty days
			 after the effective date of an election to participate in the traditional
			 pension plan under section 2.03 of the combined plan document. Service credit
			 purchased under this rule shall be included in the member's total service
			 credit in the traditional pension plan but shall not be used in the calculation
			 of a benefit under section
			 145.332
			 of the Revised Code. If the member elects to receive pro-rated service credit,
			 the period of service upon which contributing service is based shall be the
			 member's earliest service credit available to purchase under this
			 rule.
(D) Any funds remaining in an
			 eligible member's accounts, as defined in section
			 1.01
			 of the combined or member-directed plan document, after the purchase of service
			 credit under this rule shall be deposited in an additional annuity account in
			 accordance with rule
			 145-2-43
			 of the Administrative Code. A member may also elect, at the time of service
			 purchase, to leave any remaining funds on deposit in the prior plan; any funds
			 remaining in the prior plan shall be credited to the member's rollover account,
			 as defined in section 1.35 of the combined plan document and section
			 1.31
			 of the member-directed plan document, and treated as a rollover.
(E)
(1)
			 Service credit purchased under this rule cancels the corresponding years of
			 service credit in the combined plan or years of participation in the
			 member-directed plan, as applicable.
(2) For plan elections effective on or before
			 July 1, 2015, service credit that is not purchased under this rule shall be
			 cancelled immediately upon the expiration of the one hundred eighty day period
			 following the effective date of an election to participate in the traditional
			 pension plan under section 2.03 of the combined or member-directed plan
			 document.