Ohio Administrative Code › Title 3307:2 - Defined Contribution › Chapter 3307:2-3 - Defined Contribution Plans - Election › Section 3307:2-3-03 - Permanent elections

Current through all regulations passed and filed through July 1, 2024
(A) For the purposes of section
			  3307.25 
			 of the Revised Code and this rule, the entry year shall be based upon the first
			 payroll
			 report of an employer certifying teaching service, compensation and
			 contributions for a member.
(B) No
			 later than the first day of June immediately preceding the fourth anniversary
			 of the June thirtieth of the entry year, a participant in the defined
			 contribution program may elect to cease participation in the original plan
			 elected and participate in the defined benefit plan or another plan in the
			 defined contribution program. The participant will remain in the original plan
			 elected unless prior to that first day of June the retirement system receives a
			 permanent election to change participation to the defined benefit plan or
			 another plan in the defined contribution program on a form supplied by the
			 retirement system.
(C) Except as
			 otherwise specified by the Revised Code, the Administrative Code or the plan
			 document, participation in a plan as specified by paragraph (B) of this rule
			 shall be irrevocable, shall be effective on that first day of July following
			 the election and shall govern future participation in the retirement system,
			 notwithstanding subsequent terminations of employment as a teacher, changes of
			 employer, withdrawal from membership or new employment as a teacher.
(D) The retirement system will notify a
			 participant eligible to make the foregoing permanent election. The retirement
			 system will provide an explanation of this rule and section
			  3307.25 
			 of the Revised Code, information summarizing the defined benefit plan,
			 information summarizing the plans that comprise the defined contributions
			 program and instructions for making such an election.
(E) If a defined contribution program
			 participant elects participation in the defined benefit plan , funds shall be
			 transferred in accordance with division (F) of section
			  3307.25 
			 of the Revised Code from the defined contribution fund to the teachers' savings
			 fund and employer's trust fund created by section
			  3307.14 
			 of the Revised Code. The account in the defined contribution fund shall be
			 closed. If a participant in the defined contribution program who becomes a
			 participant in the defined benefit plan had purchased credit for military
			 service while still participating in the defined contribution program, credit
			 shall be posted to the account in the defined benefit plan and deemed to have
			 been purchased pursuant to section
			  3307.752 
			 of the Revised Code.
(F) If a
			 participant in the defined contribution plan elects participation in the
			 combined plan, an amount calculated by using the performance of the investment
			 choices made by the member to determine the sum accumulated by reason of member
			 contributions shall be applied to the defined contribution portion of the
			 combined plan. The investment choices made by the member shall be applied to
			 employer contributions to determine the accumulation resulting from employer
			 contributions that shall be used to provide retirement, disability, and
			 survivor benefits and health care program coverage, if eligible, in accordance
			 with the terms of the combined plan. Service credit shall thereupon be
			 established in the combined plan as if the member had begun participation
			 therein when membership was first established.
(G) If a participant in the combined plan
			 elects participation in the defined contribution plan, the account withdrawal
			 value for the defined benefit portion of the combined plan specified by the
			 plan document as of the first day of July following the fourth anniversary of
			 the June thirtieth of the year of entry shall be applied to an account in the
			 defined contribution plan. A sum calculated by using performance of the
			 investment choices made by a member to determine the accumulation by reason of
			 member contributions to the combined plan shall also be applied to the account
			 in the defined contribution plan. The account in the defined benefit portion of
			 the combined plan fund shall be closed.