The bill amends various sections of the North Dakota Century Code concerning the public employees retirement system, introducing key changes to definitions and eligibility criteria. Notably, the definition of "temporary employee" is updated to require that such employees be at least eighteen years old and not actively contributing to another employer-sponsored retirement fund. Additionally, the bill clarifies that individuals must have been continuously employed by a governmental unit in North Dakota for at least two years to qualify for prior service benefits. Significant adjustments are made to the calculation of retirement benefits, particularly for members who terminate employment after December 31, 2019, where the final average salary will be determined by the higher of two calculations. New eligibility criteria for early retirement benefits are also established based on the date of hire, with specific provisions for peace officers employed by the bureau of criminal investigation.

Further amendments address the distribution of account balances upon a member's death, detailing payment rules for designated beneficiaries and introducing criteria for automatic refunds for members with less than three years of eligible employment. The bill clarifies options for surviving spouses regarding payment forms and ensures compliance with updated minimum distribution rules under the Internal Revenue Code. Additional provisions include the establishment of rules for receiving retirement benefits, allowing rollovers and trustee-to-trustee transfers for service credit purchases, and the acceptance of voluntary employee contributions through individual retirement accounts. The bill aims to streamline and clarify retirement benefit processes while ensuring adherence to federal regulations.

Statutes affected:
PREFILED: 54-52-01, 54-52-17, 54-52-28, 54-52.1-03.1, 54-52.2-06, 54-52.6-01, 54-52.6-02.2
Enrollment: 54-52-01, 54-52-17, 54-52-28, 54-52.1-03.1, 54-52.2-06, 54-52.6-01, 54-52.6-02.2
INTRODUCED: 54-52-01, 54-52-17, 54-52-28, 54-52.1-03.1, 54-52.2-06, 54-52.6-01, 54-52.6-02.2