1.1 	A bill for an act
1.2 	relating to retirement; general employees retirement
1.3 	plan of the Public Employees Retirement Association;
1.4 	permitting the purchase of service credit for which
1.5 	Independent School District No. 271, Bloomington,
1.6 	failed to make member deductions.
1.7 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.8 	Section 1. PUBLIC EMPLOYEES RETIREMENT
1.9 	ASSOCIATION-GENERAL; BLOOMINGTON PUBLIC SCHOOLS CUSTODIAN
1.10 	SERVICE CREDIT PURCHASE AUTHORIZATION.
 1.11 	(a) Notwithstanding any provision of law to the contrary,
1.12 	an eligible person specified in paragraph (b) may purchase
1.13 	allowable service credit in the general employees retirement
1.14 	plan of the Public Employees Retirement Association for the
1.15 	years and months that elapsed between the date of hire by
1.16 	Independent School District No. 271, Bloomington, and the date
1.17 	on which the person was recorded as a member of the general
1.18 	employees retirement plan of the Public Employees Retirement
1.19 	Association upon the payment of the amount set forth in
1.20 	paragraph (c).
1.21 	(b) An eligible person is a person who was employed by
1.22 	Independent School District No. 271, Bloomington, on the
1.23 	applicable indicated employment date, but who was not reported
1.24 	to the Public Employees Retirement Association as a member of
1.25 	the general employees retirement plan until the applicable
1.26 	indicated membership record date, and who consequently has an
2.1 	uncredited period of school district employment, as follows:
2.2 	employee employment date membership record date 
2.3 	A August 29, 1985 January 1, 1989 
2.4 	B April 29, 1986 November 16, 1988 
2.5 	C January 7, 1987 June 12, 1989 
2.6 	D July 21, 1986 July 1, 1989 
2.7 	E May 22, 1988 June 12, 1989 
2.8 	F September 11, 1988 June 12, 1989 
2.9 	G February 9, 1989 June 16, 1989 
2.10 	H February 15, 1989 June 16, 1989 
2.11 	I March 25, 1989 June 12, 1989 
2.12 	(c) The prior service credit purchase payment amount is the
2.13 	amount determined for each eligible person by the executive
2.14 	director of the Public Employees Retirement Association under
2.15 	Minnesota Statutes, section 356.551.
2.16 	(d) The eligible person shall pay an amount equal to the
2.17 	member contribution that the person would have paid if the
2.18 	person had been a member of the general employees retirement
2.19 	plan of the Public Employees Retirement Association during the
2.20 	period between the applicable employment date and the applicable
2.21 	membership record date, plus annual compound interest on the
2.22 	total amount at the rate of 8.5 percent from the midpoint date
2.23 	of the uncredited employment period until the date on which the
2.24 	equivalent member contribution is paid.  Payment must be made by
2.25 	July 1, 2006, or by the date of the termination of employment,
2.26 	whichever is earlier.
2.27 	(e) If the eligible person makes the required payment under
2.28 	paragraph (d) in a timely fashion, Independent School District
2.29 	No. 271, Bloomington, may pay the difference between the amount
2.30 	determined under paragraph (c) and the amount paid under
2.31 	paragraph (d).  If Independent School District No. 271,
2.32 	Bloomington, does not pay that balance within 30 days of
2.33 	notification by the executive director of the Public Employees
2.34 	Retirement Association of the payment by an eligible person
2.35 	under paragraph (d), the executive director shall notify the
2.36 	commissioner of finance of that fact and the commissioner of
3.1 	finance shall deduct the balance, plus compound interest on that
3.2 	amount at the rate of 1.5 percent per month or portion of a
3.3 	month that has elapsed from the effective date of this section,
3.4 	from any state aid payable to the school district and shall
3.5 	transmit that amount to the executive director of the Public
3.6 	Employees Retirement Association.
3.7 	(f) The eligible person shall provide any relevant
3.8 	documentation related to the eligibility to make this service
3.9 	credit purchase that is required by the executive director of
3.10 	the Public Employees Retirement Association.
3.11 	(g) Only periods of employment when the eligible person
3.12 	would have been eligible for coverage by the general employees
3.13 	retirement plan of the Public Employees Retirement Association
3.14 	is purchasable under this section.

3.15 	Sec. 2. EFFECTIVE DATE.
 3.16 	Section 1 is effective the day following final enactment.