22400-22404

EDUCATION CODE
SECTION 22400-22404




22400.  (a) There is in the State Treasury a special trust fund to
be known as the Teachers' Retirement Fund. There shall be deposited
in that fund the assets of the plan and its predecessors, consisting
of employee contributions, employer contributions, state
contributions, appropriations made to it by the Legislature, income
on investments, other interest income, income from fees and
penalties, donations, legacies, bequests made to it and accepted by
the board, and any other amounts provided by this part and Part 14.
General Fund transfers pursuant to Section 22954 shall be placed in a
segregated account known as the Supplemental Benefit Maintenance
Account within the retirement fund, which is continuously
appropriated without regard to fiscal years, notwithstanding Section
13340 of the Government Code, for expenditure for the purposes of
Section 24415.
   (b) Disbursement of money from the retirement fund of whatever
nature shall be made upon claims duly audited in the manner
prescribed for the disbursement of other public funds except that
notwithstanding the foregoing disbursements may be made to return
funds deposited in the fund in error.



22401.  Return on investments shall be collected by the Treasurer,
and together with any other moneys received for the retirement fund
shall be immediately deposited to the credit of that fund and
reported immediately to the system. Money in whatever form received
directly by the system shall be deposited immediately in the State
Treasury to the credit of that fund.



22402.  Earned interest on plan assets with respect to the Defined
Benefit Program that is not credited to member accounts under the
Defined Benefit Program and the plan's other income with respect to
the Defined Benefit Program shall be allocated to provide benefits
payable under the Defined Benefit Program.



22403.  The Legislature hereby finds and declares that pursuant to
the authorizing legislation creating and establishing the Cash
Balance Plan, the board transferred one million dollars ($1,000,000)
in the form of a loan from the retirement fund holding assets at that
time exclusively for the State Teachers' Retirement System Defined
Benefit Plan to the newly created Cash Balance Plan. That loan
represented an asset receivable to the State Teachers' Retirement
System Defined Benefit Plan and a liability obligation to the State
Teachers' Retirement System Cash Balance Plan. As a result of the
merger of these two plans authorized under this part, the assets held
in the retirement fund shall hereby reflect the combined assets of
the State Teachers' Retirement Plan. That loan shall be discharged by
the creation and establishment of the State Teachers' Retirement
Plan pursuant to the merger.



22404.  (a) Notwithstanding any other provision of this part or Part
14 to the contrary, the board may establish by plan amendment a
specified amount or amounts, not to exceed ten dollars ($10), below
which the system may dispense with the processing of benefit payments
or collection of benefit overpayments that result from adjustments
made to the benefit paid to a member, participant, or beneficiary.
   (b) When the cumulative dollar amount associated with one or more
benefit adjustments equals or exceeds the amount described in
subdivision (a), that amount shall be paid to, or collected from, the
member, participant, or beneficiary. That cumulative amount paid or
collected shall not be credited with interest.