This text of Indiana § 36-8-8-8.6 (Purchase of in-state service credit) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
6.
(a)This section applies to a fund member
who completes service for which the 1977 fund gives credit.
(b)As used in this section, "prior service" means service performed
in Indiana for a previous employer in a comparable position for which
the fund member would receive service credit in the 1977 fund if the
service had been performed for an employer that participates in the
1977 fund.
(c)Subject to subsections (d) through (g), a fund member may
purchase and claim prior service credit if the fund member meets the
following requirements:
(1)The fund member has at least one (1) year of credited service
in the 1977 fund.
(2)Before the fund member retires, the fund member makes
contributions to the 1977 fund as follows:
(A)Contributions that are equal to the product of the following:
(i
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6. (a) This section applies to a fund member
who completes service for which the 1977 fund gives credit.
(b) As used in this section, "prior service" means service performed
in Indiana for a previous employer in a comparable position for which
the fund member would receive service credit in the 1977 fund if the
service had been performed for an employer that participates in the
1977 fund.
(c) Subject to subsections (d) through (g), a fund member may
purchase and claim prior service credit if the fund member meets the
following requirements:
(1) The fund member has at least one (1) year of credited service
in the 1977 fund.
(2) Before the fund member retires, the fund member makes
contributions to the 1977 fund as follows:
(A) Contributions that are equal to the product of the following:
(i) The salary of a first class patrolman or firefighter at the
time the fund member makes a contribution for the service
credit.
(ii) A rate, determined by the actuary for the 1977 fund, that
is based on the age of the fund member at the time the fund
member makes a contribution for the service credit and that
is computed to result in a contribution amount that
approximates the actuarial present value of the retirement
benefit attributable to the service credit purchased.
(iii) The number of years of prior service credit the fund
member intends to purchase.
(B) Contributions for any accrued interest, at a rate determined
by the actuary for the 1977 fund, for the period from the fund
member's initial membership in the 1977 fund to the date
payment is made by the fund member.
(3) The fund member has received verification from the 1977
fund that the prior service is, as of the date payment is made by
the fund member, valid.
(d) A fund member must have at least twenty (20) years of service
before the fund member may receive a benefit based on service credit
purchased under this section. A fund member's years of service may not
exceed thirty-two (32) years with the inclusion of service credit
purchased under this section.
(e) A fund member may not receive service credit under this section
if the service for which the fund member requests credit also qualifies
the fund member for a benefit in another governmental retirement
system.
(f) A fund member who:
(1) terminates service before satisfying the eligibility
requirements necessary to receive a retirement benefit payment
from the 1977 fund; or
(2) receives a retirement benefit for the same service from another
retirement system, other than under the federal Social Security
Act;
may withdraw the fund member's contributions made under this section
plus accumulated interest after submitting to the 1977 fund a properly
completed application for a refund.
(g) The following apply to the purchase of service credit under this
section:
(1) The system board may allow a fund member to make periodic
payments of the contributions required for the purchase of the
service credit. The system board shall determine the length of the
period during which the payments must be made.
(2) The system board may deny an application for the purchase of
service credit if the purchase would exceed the limitations under
Section 415 of the Internal Revenue Code.
(3) The fund member may not claim the service credit for
purposes of determining eligibility or computing benefits unless
the fund member has made all payments required for the purchase
of the service credit.
(h) To the extent permitted by the Internal Revenue Code and the
applicable regulations, the 1977 fund may accept, on behalf of a fund
member who is purchasing service credit under this section, a rollover
of a distribution from any of the following:
(1) A qualified plan described in Section 401(a) or Section 403(a)
of the Internal Revenue Code.
(2) An annuity contract or account described in Section 403(b) of
the Internal Revenue Code.
(3) An eligible plan that is maintained by a state, a political
subdivision of a state, or an agency or instrumentality of a state or
a political subdivision of a state under Section 457(b) of the
Internal Revenue Code.
(4) An individual retirement account or annuity described in
Section 408(a) or 408(b) of the Internal Revenue Code.
(i) To the extent permitted by the Internal Revenue Code and the
applicable regulations, the 1977 fund may accept, on behalf of a fund
member who is purchasing service credit under this section, a trustee
to trustee transfer from any of the following:
(1) An annuity contract or account described in Section 403(b) of
the Internal Revenue Code.
(2) An eligible deferred compensation plan under Section 457(b)
of the Internal Revenue Code.