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Ohio Administrative Code (Last Updated: January 12, 2021) |
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3307:2 Defined Contribution |
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Chapter3307:2-3. Defined Contribution Plans - Election |
3307:2-3-03. Permanent elections [RESCINDED]
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(A) For the purposes of section 3307.25 of the Revised Code and this rule, the entry year shall be based upon the first payroll report of an employer certifying teaching service, compensation and contributions for a member.
(B) No later than the first day of June immediately preceding the fourth anniversary of the June thirtieth of the entry year, a participant in the defined contribution program may elect to cease participation in the original plan elected and participate in the defined benefit plan or another plan in the defined contribution program. The participant will remain in the original plan elected unless prior to that first day of June the retirement system receives a permanent election to change participation to the defined benefit plan or another plan in the defined contribution program on a form supplied by the retirement system.
(C) Except as otherwise specified by the Revised Code, the Administrative Code or the plan document, participation in a plan as specified by paragraph (B) of this rule shall be irrevocable, shall be effective on that first day of July following the election and shall govern future participation in the retirement system, notwithstanding subsequent terminations of employment as a teacher, changes of employer, withdrawal from membership or new employment as a teacher.
(D) The retirement system will notify a participant eligible to make the foregoing permanent election. The retirement system will provide an explanation of this rule and section 3307.25 of the Revised Code, information summarizing the defined benefit plan, information summarizing the plans that comprise the defined contributions program and instructions for making such an election.
(E) If a defined contribution program participant elects participation in the defined benefit plan , funds shall be transferred in accordance with division (F) of section 3307.25 of the Revised Code from the defined contribution fund to the teachers' savings fund and employer's trust fund created by section 3307.14 of the Revised Code. The account in the defined contribution fund shall be closed. If a participant in the defined contribution program who becomes a participant in the defined benefit plan had purchased credit for military service while still participating in the defined contribution program, credit shall be posted to the account in the defined benefit plan and deemed to have been purchased pursuant to section 3307.752 of the Revised Code.
(F) If a participant in the defined contribution plan elects participation in the combined plan, an amount calculated by using the performance of the investment choices made by the member to determine the sum accumulated by reason of member contributions shall be applied to the defined contribution portion of the combined plan. The investment choices made by the member shall be applied to employer contributions to determine the accumulation resulting from employer contributions that shall be used to provide retirement, disability, and survivor benefits and health care program coverage, if eligible, in accordance with the terms of the combined plan. Service credit shall thereupon be established in the combined plan as if the member had begun participation therein when membership was first established.
(G) If a participant in the combined plan elects participation in the defined contribution plan, the account withdrawal value for the defined benefit portion of the combined plan specified by the plan document as of the first day of July following the fourth anniversary of the June thirtieth of the year of entry shall be applied to an account in the defined contribution plan. A sum calculated by using performance of the investment choices made by a member to determine the accumulation by reason of member contributions to the combined plan shall also be applied to the account in the defined contribution plan. The account in the defined benefit portion of the combined plan fund shall be closed.