145-1-36. Service credit purchase under Substitute S.B.343

(A) This rule amplifies section 4 of Substitute S.B. 343 of the 129th General Assembly.

(B) For purposes of this rule, "service credit" means all of the following:

(1) Service credit that may be purchased or obtained under former division (H) of section 145.01 and former sections 145.20, 145.201, 145.28, 145.29, 145.291, 145.293, 145.299, 145.30, and 145.47 of the Revised Code, as those sections existed immediately prior to January 7, 2013.

(2) Additional contributions paid by a member under former division (Y) of section 145.01 of the Revised Code, as that section existed immediately prior to January 7, 2013.

(3) Service credit that may be purchased under section 145.301 of the Revised Code.

(4) Service credit that may be purchased or obtained under section 145.814 of the Revised Code or rule 145-2-18 or 145-3-40 of the Administrative Code for an election that is effective on or before July 1, 2013, under section 2.03 of the combined or member-directed plan document, as amended on January 7, 2013.

(C) Except as provided in paragraph (E) of this rule, each member who is purchasing or is eligible to purchase service credit must initiate or continue the purchase by making one or more direct payments to the public employees retirement system during the period beginning on January 7, 2013, and ending on July 7, 2013, or by commencing a payroll deduction during the same period as described in this rule and in rule 145-1-38 of the Administrative Code. A payroll deduction shall be initiated if the system receives a payroll deduction form with a postmark date that is on or after January 7, 2013, but not later than July 7, 2013, and the amount to be deducted from the member's payroll is received by the system not later than one hundred twenty days after the postmark date.

(D) Except as provided in paragraph (E) of this rule, each member is who eligible to obtain service credit under former section 145.30 of the Revised Code shall initiate a request to obtain the credit during the six-month period described in paragraph (C) of this rule. A request shall be initiated if the system receives during the same period described in this paragraph the member's report(s) of separation (form DD214) or other satisfactory documentation as evidence of the member's military service accompanied by a request by the member to obtain the credit.

(E) A member who, by reason of service in the uniformed services as defined in section 145.302 of the Revised Code, is prevented from taking action under paragraph (C) of this rule may, not later than ninety days after the reemployment with member's public employer, apply to the system to have reestablished all or a portion of the six-month period described that paragraph. The member shall submit to the system report(s) of separation (form DD214) or other satisfactory documentation as evidence of the member's military service.

(F) A member who, as of January 7, 2013, has made a partial payment or is subject to a post-tax payroll deduction agreement for the purchase of service credit under section 145.201 of the Revised Code may, during the six-month period described in paragraph (C) of this rule, request that the member's cost statement or payroll deduction agreement be recalculated to include any additional credit the member is eligible to purchase under section 145.201 of the Revised Code. If the system does not receive a request from the member prior to the end of the six-month period, any additional credit the member is eligible to purchase under section 145.201 of the Revised Code shall be eligible for purchase under rules 145-2-02 and 145-3-23 of the Administrative Code.

(G) A member described in division (C) of section 4 of Substitute S.B. 343 of the 129th General Assembly is ineligible to purchase additional service credit as described in that division if any of the service upon which the purchase is based has a monthly earnable salary of less than one thousand dollars.

(H) A purchase of service credit under this rule shall be completed by the member not later than July 7, 2018.

Five Year Review (FYR) Dates: 9/30/2020 and 09/30/2025
Promulgated Under: 111.15
Statutory Authority: 145.09
Rule Amplifies: Section 4 of Sub. S.B. 343, 129th G.A.
Prior Effective Dates: 01/07/2013 (Emer.), 03/24/2013

Prior History: (Five Year Review (FYR) Dates: 09/29/2015 and 09/29/2020
Promulgated Under: 111.15
Statutory Authority: 145.09
Rule Amplifies: Section 4of Sub. S.B. 343, 129th GA
Prior Effective Dates: 1/7/13 (Emer.), 3/24/23)