(a)The governing body of a political
subdivision may adopt an ordinance or resolution specifying a
departmental, occupational, or other definable classification of
employees:
(1)who are required to become members of the fund;
(2)who are required to become members of the plan; or
(3)who may each elect whether to become members of the fund
or members of the plan.
An ordinance or resolution adopted by the governing body of a political
subdivision under this subsection that specifies the departmental,
occupational, or other definable classification of employees who are
required under subdivision (2) to become members of the plan or who
may under subdivision (3) elect whether to become members of the
fund or plan may not take effect before January 2, 2016. A political
subdivision may become
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(a) The governing body of a political
subdivision may adopt an ordinance or resolution specifying a
departmental, occupational, or other definable classification of
employees:
(1) who are required to become members of the fund;
(2) who are required to become members of the plan; or
(3) who may each elect whether to become members of the fund
or members of the plan.
An ordinance or resolution adopted by the governing body of a political
subdivision under this subsection that specifies the departmental,
occupational, or other definable classification of employees who are
required under subdivision (2) to become members of the plan or who
may under subdivision (3) elect whether to become members of the
fund or plan may not take effect before January 2, 2016. A political
subdivision may become a participant in the fund or the plan, or both,
as applicable, if the ordinance or resolution is filed with and approved
by the board.
(b) An ordinance or resolution adopted under subsection (a) that
includes a provision described under subsection (a)(3) may also
include one (1) of the following provisions:
(1) If an employee who may elect whether to become a member
of the fund or a member of the plan does not make an election
under IC 5-10.3-7-1.1, the employee becomes a member of the
plan.
(2) If an employee who may elect whether to become a member
of the fund or a member of the plan does not make an election
under IC 5-10.3-12-20.5, the employee becomes a member of the
fund.
If an ordinance or resolution adopted under subsection (a) that includes
a provision described under subsection (a)(3) does not include either
of the provisions described in subdivision (1) or (2), subdivision (2)
applies to the departmental, occupational, or other definable
classification of employees that may elect to become members of the
fund or members of the plan.
(c) If an ordinance or resolution adopted under subsection (a)
includes a provision described under subsection (a)(2) or (a)(3), or
both, the ordinance or resolution must include a specification of the
political subdivision's contribution rate to the plan as a percentage of
each member's compensation. Each year, the political subdivision's
contribution rate specified under this subsection must be greater than
or equal to zero percent (0%) and may not exceed the percentage that
would produce the normal cost for participation in the fund under IC 5-10.2-2-11, if the political subdivision were a participant in the fund.
If a provision specifying the political subdivision's contribution rate is
not included in the ordinance or resolution, the political subdivision's
contribution rate to the plan is zero percent (0%).
(d) If an ordinance or resolution adopted under subsection (a)
includes a provision described under subsection (a)(2) or (a)(3), or
both, the ordinance or resolution must include a specification of the
political subdivision's matching rate that is the percentage of each
member's additional contributions to the plan that the political
subdivision will match. A political subdivision may specify only:
(1) zero percent (0%); or
(2) fifty percent (50%).
If a provision specifying the political subdivision's matching rate is not
included in the ordinance or resolution, the political subdivision's
matching rate for the plan is zero percent (0%).
(e) A governing body may include in its ordinance or resolution
adopted under subsection (a) a determination of the date from which
prior service for its employees will be computed. Creditable service for
these employees is determined under IC 5-10.3-7-7.5.
(f) The effective date of participation is a date approved by the
board, either a date suggested by the political subdivision or a date
selected by the board, but the date may not be later than sixty (60) days
after the date of approval. However, no retirement benefit may be paid
until six (6) months after the effective date of participation.
As added by Acts 1977, P.L.53, SEC.3. Amended by
P.L.60-1987, SEC.1; P.L.241-2015, SEC.12; P.L.179-2018,
SEC.9.