The bill amends section 54-52-02.15 of the North Dakota Century Code to establish new guidelines regarding the participation of political subdivisions in the public employees retirement system's defined contribution retirement plan. Effective January 1, 2025, the defined benefit main plan will be closed to new eligible employees, who are defined as permanent employees meeting specific criteria, including age and prior participation in other retirement plans. Instead, these eligible employees will participate in the defined contribution retirement plan under chapter 54-52.6. Existing members of the defined benefit plan will retain their status regardless of rehire after the cutoff date.

Additionally, the bill clarifies that participation in the defined contribution retirement plan is optional for political subdivisions, even if they have previously participated in the defined benefit plan. It also prohibits the board from assessing any fees or costs against a political subdivision for withdrawing from the defined contribution retirement plan. This legislative change aims to provide flexibility for political subdivisions while transitioning to a new retirement structure for eligible employees.

Statutes affected:
INTRODUCED: 54-52-02.15
Prepared by the Legislative Council staff for Representative Kasper: 54-52-02.15
FIRST ENGROSSMENT: 54-52-02.15
Enrollment: 54-52-02.15