Rhode Island Code of Regulations › Title 120 - Treasury Department › Chapter 00 - N/A › Subchapter 00 - N/A › Part 1 - Employees' Retirement System of Rhode Island and Municipal Employees' Retirement System Regulations › Section 120-RICR-00-00-1.6 - Service Credit Purchase Regulations

Current through June 14, 2024
1.6.1
R.I.
				  Gen. Laws §
											16-16-6 Concerning the Purchase of
				  Credit for Service in Private Schools or as Federal Employee
A. Introduction
This Administrative Regulation pertaining to the purchase
					 of credit for service in private schools or as Federal employee is promulgated
					 pursuant to R.I. Gen. Laws §
												36-8-3. The Regulation shall be
					 applicable to all requests by teachers to purchase credits for private teaching
					 or teaching as a Federal employee.
B. Definitions
1. Any non-profit private school or
				  institution shall mean a school or institution similar to a public school in
				  Rhode Island.
2. Public school in
				  Rhode Island shall mean those schools teaching elementary and secondary
				  education, i.e. Kindergarten through grade twelve (12).
C. Statutory Requirements
1. In order to purchase private teaching or
				  teaching as a Federal employee credit the following provisions shall apply as
				  required by R.I. Gen. Laws:
a. The member must
				  be a "teacher" as defined by R.I. Gen. Laws §
													16-16-1(12), i.e.
				  holds a certificate of qualification, engaged in teaching as the principal
				  occupation and be regularly employed as a teacher in the public schools in
				  Rhode Island;
b. The teacher must
				  be an "active" member pursuant to R.I. Gen. Laws §
													16-16-1(1), i.e.
				  a teacher for whom the retirement system is currently receiving regular
				  contributions;
c. The teacher must
				  be employed by a city or town in the State of Rhode Island as a
				  teacher;
d. The time sought to be
				  purchased must be for service as a teacher or in a capacity essentially similar
				  or equivalent to that of a teacher as defined in R.I. Gen. Laws §
													16-16-1(12);
e. Service must have been rendered in any
				  non-profit private school or institution or in public schools paid by funds of
				  the United States government;
f.
				  The amount of private teaching credit purchase is limited to a maximum of five
				  (5) years;
g. The purchase amount
				  is at full actuarial cost based on the salary of the member in effect at the
				  date of application for the credit; Consistent with R.I. Gen. Laws §
													36-8-1(10),
				  requests for the purchase of service credit for service in private schools or
				  as Federal employee received and date stamped after June 16, 2009 and prior to
				  July 1, 2012 shall be at full actuarial value, and requests to purchase
				  received and date stamped after June 30, 2012 shall be at full actuarial value
				  which shall be determined using the system's assumed investment rate of return
				  minus one percent (1%);
h.
				  Consistent with R.I. Gen. Laws §
													16-16-12(d)(6),
				  requests for the purchase of service credit for time before the member's date
				  of hire must be received and date stamped within three (3) years of the initial
				  date of hire. For active members as of June 30, 2012, the purchase of service
				  credit request for time prior to June 30, 2012 must be received and date
				  stamped by June 30, 2015.
D. Additional Requirements and Restrictions
				  Regarding the Purchase Credit for Service in Private Schools or as Federal
				  Employee
1. This Regulation does not apply to
				  the purchase of service credit for out of State teaching. Refer to §1.6.10 of
				  this Part governing the purchase of out of State teaching for the
				  requirements.
2. Time worked in an
				  institution devoted toward community service and vocational education for
				  adults shall not be purchasable;
3.
				  Members electing to pay by installment shall pay consistent with §
												1.11 of this Part;
4. The purchase by a member who is currently
				  in a part-time position will be calculated using the member's full annualized
				  salary. A current part-time salary shall not be used if the time prior to the
				  application indicates the member was regularly employed as a full-time teacher;
				  if the member was regularly employed as a part-time teacher, the part-time
				  salary will be used;
5. The Private
				  Teaching Credit Request form must be completed by the member, current school
				  official, and former employer and former retirement system or pension plan and
				  must be submitted to ERSRI;
6. It
				  shall be the responsibility of the member to see that all parties complete the
				  required form and the form must be submitted to ERSRI in a timely manner.
				  Incomplete or inaccurate forms will be returned to the member and will result
				  in a delay in processing the purchase and additional interest being added to
				  the cost of the purchase.