§ 54-52-02.15 — Public employees retirement system main plan - Closure to new hires - Multiple plan membership

North Dakota § 54-52-02.15

• Jurisdiction: North Dakota
• Title 54: State Government
• Ch. 54-52: Public Employees Retirement System

Text

Multiple plan membership.
1. Under this section "eligible employee" means a permanent employee who:
a. Meets all the eligibility requirements set by this chapter;
b. Is at least eighteen years of age;
c. Becomes a participating member after December 31, 2024; and
d. Is not eligible to participate in the public safety plan, judges' plan, highway patrol
plan, teachers' fund for retirement plan, or alternative retirement program
established under section 15-10-17 for university system employees.
2. Effective January 1, 2025, the public employees retirement system defined benefit
main plan maintained for employees is closed to new eligible employees. However, an
employee who becomes a participating or deferred member under this chapter before
January 1, 2025, remains in the defined benefit retirement plan under this chapter,
regardless of being rehired after December 31, 2024.
3. Except as otherwise provided under this section, effective January 1, 2025, an eligible
employee who begins employment with a participating employer shall participate in the
defined contribution retirement plan under chapter 54-52.6 as provided under section
54-52.6-02.1.
4. This section does not impact an employee to the extent the employee is a participating
member in one or more of the following enumerated retirement plans: public safety
plan, judges' plan, highway patrol plan, teachers' fund for retirement plan, or
alternative retirement program established under section 15-10-17 for university
system employees.
a. A participating or deferred member in the defined contribution retirement plan
under chapter 54-52.6 who becomes eligible to participate in a plan enumerated
under this subsection is eligible to participate in the retirement plan enumerated
under this subsection.
b. A participating member of a retirement plan enumerated under this subsection
who becomes an eligible employee is not eligible to participate in the defined
benefit retirement plan under this chapter but instead participates in the defined
contribution retirement plan under chapter 54-52.6. However, this subdivision
does not apply to an individual who before January 1, 2025, is a participating or a
deferred member under this chapter, as that individual continues to participate in
the defined benefit retirement plan under this chapter.
5. The board shall adopt rules to implement this section.
6. This section may not be construed to require a political subdivision to participate in the
defined contribution retirement plan under chapter 54-52.6, even if the political
subdivision has participated or continues to participate in the defined benefit retirement
plan under this chapter. Political subdivision participation in the public employees
retirement system, including the defined contribution retirement plan under chapter
54-52.6, is optional.

7. Notwithstanding sections 54-52-02.1 and 54-52-04, the board may not assess any
fees or costs against a political subdivision for withdrawing from the defined
contribution retirement plan under chapter 54-52.6.
54-52-03. Governing authority.
1. A state agency is hereby created to constitute the governing authority of the system to
consist of a board of eleven individuals known as the retirement board. No more than
one elected member of the board may be in the employ of a single department,
institution, or agency of the state or in the employ of a political subdivision. An
employee of the public employees retirement system or the state retirement and
investment office may not serve on the board.
2. Four members of the legislative assembly must be appointed to serve on the board.
The majority leader of the house of representatives shall appoint two members of the
house of representatives and the majority leader of the senate shall appoint
two members of the senate. The members appointed under this subsection shall serve
a term of two years. The members appointed under this subsection serve at the
pleasure of the appointing majority leader.
3. Four members of the board must be appointed by the governor to serve a term of five
years. Each appointee under this subsection must be a North Dakota citizen who is
not a state or political subdivision employee and who is familiar with retirement and
employee benefit plans. The governor shall appoint one of the citizen members to
serve as chairman of the board. The members appointed under this subsection serve
at the pleasure of the governor.
4. Three board members must be elected by and from among the active participating
members, members of the retirement plan established under chapter 54-52.6,
members of the retirement plan established under chapter 39-03.1, and members of
the job service North Dakota retirement plan. Employees who have terminated their
employment for whatever reason are not eligible to serve as elected members of the
board under this subsection. Board members must be elected to a five-year term
pursuant to an election called by the board. Notice of board elections must be given to
all active participating members. The time spent in performing duties as a board
member may not be charged against any employee's accumulated annual or any other
type of leave.
5. The members of the board are entitled to receive one hundred forty-eight dollars
per day compensation and necessary mileage and travel expenses as provided in
sections 44-08-04 and 54-06-09. This is in addition to any other pay or allowance due
the chairman or a member, plus an allowance for expenses they may incur through
service on the board.
6. A board member shall serve until the board member's successor qualifies. Each board
member is entitled to one vote, and eight of the eleven board members constitute a
quorum. Six votes are necessary for resolution or action by the board at any meeting.