49-12-301 - Contributions -- Two levels -- Election by a participating employer to pay employee contributions -- Accounting for and vesting of member contributions -- Deductions.
49-12-301. Contributions -- Two levels -- Election by a participating employer topay employee contributions -- Accounting for and vesting of member contributions --Deductions.
(1) Participating employers and members shall jointly pay the certified contribution ratesto the office to maintain this system on a financially and actuarially sound basis.
(2) For purposes of determining contribution rates, this system is divided into two levelsaccording to participating employers as follows:
(a) Level A includes the state, its independent agencies, independent entities, publiccorporations, and other instrumentalities, all participating educational institutions, and all otherparticipating employers whose activities are associated with participating educational institutions.
(b) Level B includes all other participating employers in this system.
(3) (a) A participating employer may elect to pay all or part of the required membercontributions, in addition to the required participating employer contributions.
(b) Any amount contributed by a participating employer under this section shall vest tothe member's benefit as though the member had made the contribution.
(c) The required member contributions shall be reduced by the amount that is paid by theparticipating employer.
(4) (a) All member contributions are credited by the office to the account of the individualmember.
(b) This amount, together with refund interest, is held in trust for the payment of benefitsto the member or the member's beneficiaries.
(c) All member contributions are vested and nonforfeitable.
(5) (a) Each member is considered to consent to payroll deductions of membercontributions.
(b) The payment of compensation less these payroll deductions is considered fullpayment for services rendered by the member.
Renumbered and Amended by Chapter 250, 2002 General Session