§ 24-7-807 - Participation in plan.
24-7-807. Participation in plan.
Participation in an alternate retirement plan established pursuant to this subchapter shall be as follows:
(1) Any staff member employed or appointed by a college or university on or after the establishment of its alternate retirement plan shall participate in the plan or in the Arkansas Teacher Retirement System;
(2) Any staff member employed or appointed by a college or university prior to July 1, 1969, who is a member of the retirement system shall continue in that membership or shall participate in the alternate retirement plan, as provided in this subchapter;
(3) (A) Any staff member employed or appointed by a college or university with less than ten (10) years of member service in the retirement system may elect to terminate his or her membership in the retirement system and participate in the alternate retirement plan established by the employing college or university.
(B) The election shall be in writing and filed with the retirement system and the disbursing officer of the employing college or university within one (1) year after he or she becomes eligible to participate in the alternate retirement plan, except that, on or after July 1, 1993, until December 31, 1993, any staff member employed or appointed by a college or university who has less than ten (10) years of member service in the retirement system and who has not already so elected may elect to terminate his or her membership in the retirement system and participate in the alternate retirement plan established by the employing college or university. The election shall be in writing and filed with the retirement system and the disbursing officer of the employing college or university.
(C) All accumulated contributions to the credit of the staff member in the members' deposit account which is maintained pursuant to the provisions of 24-7-406 shall be returned to the staff member, and all of his or her credited service under the retirement system shall be cancelled;
(4) (A) (i) Any staff member employed or appointed by a college or university with five (5) or more years of actual service who elects to participate only in the alternate retirement plan and who has left his or her contributions in the retirement system shall be eligible to receive an annuity on or after attaining sixty (60) years of age and on his or her retirement from covered employment.
(ii) The amount of the annuity shall be determined by the benefit formula of the retirement system at the time of his or her retirement.
(B) The election authorized under subdivision (4)(A) of this section shall be made in writing and filed with the retirement system and with the disbursing officer of the employing college or university on or before July 1 of the year in which the person makes the election to participate in the alternate retirement plan.
(C) The person's annuity shall begin on the first day of the month following the date his or her application for retirement is filed with the board of trustees on or after his or her attainment of age sixty (60);
(5) (A) (i) Any Department of Higher Education employee who transferred from another state department covered by a state-supported retirement system may elect to participate in an alternate retirement plan.
(ii) The employee shall file written notice of his or her election with the Director of the Department of Higher Education.
(B) (i) Any department employee with five (5) or more years of actual service who elects to participate only in the alternate retirement plan and who has left his or her contributions in the retirement system shall be eligible to receive an annuity on or after attaining the normal retirement age and on his or her retirement from covered employment.
(ii) The amount of the annuity shall be determined by the benefit formula of the retirement system at the time of his or her retirement.
(C) (i) The election authorized under this subdivision (5) shall be made in writing and filed with the retirement system and with the director on or before July 1 of the year in which the person makes the election to participate in the alternate retirement plan.
(ii) The person's annuity shall begin on the first day of the month following the date his or her application for retirement is filed with the board of trustees on or after his or her attainment of normal retirement age and on his or her retirement from covered employment.
(D) (i) Effective July 1, 2001, staff members who elect to participate in an alternate retirement plan may elect to become members of the retirement system.
(ii) Service credit forfeited while a member of an alternate retirement plan cannot be established in the retirement system.
(iii) The election to withdraw from the alternate retirement plan and become a member of the retirement system shall be made by December 31, 2001, and notice of the election shall be made in writing and filed with the retirement system and the disbursing officer of the employing college or university by December 31, 2001.
(6) (A) Each college or university shall provide to each new employee of the college or university a written document explaining to the employee each of his or her retirement plan options.
(B) The written document shall contain a line for the employee's signature verifying that he or she understands his or her retirement plan options.
(C) The signed document shall be added to the employee's personnel file.