49-13-202 - Participation of employers -- Limitations -- Exclusions -- Admission requirements -- Nondiscrimination requirements -- Service credit purchases.
49-13-202. Participation of employers -- Limitations -- Exclusions -- Admissionrequirements -- Nondiscrimination requirements -- Service credit purchases.
(1) (a) Unless excluded under Subsection (2), an employer is a participating employerand may not withdraw from participation in this system.
(b) In addition to their participation in this system, participating employers may provideor participate in any additional public or private retirement, supplemental or defined contributionplan, either directly or indirectly, for their employees.
(2) The following employers may be excluded from participation in this system:
(a) an employer not initially admitted or included as a participating employer in thissystem before January 1, 1982 if:
(i) the employer elects not to provide or participate in any type of private or publicretirement, supplemental or defined contribution plan, either directly or indirectly, for itsemployees, except for Social Security; or
(ii) the employer offers another collectively bargained retirement benefit and hascontinued to do so on an uninterrupted basis since that date;
(b) an employer that is a charter school sponsored by the State Board of Education or aschool district that makes an election of nonparticipation in accordance with Section 53A-1a-512unless the charter school makes a one-time, irrevocable retraction of the election ofnonparticipation in accordance with Subsection 53A-1a-512(9);
(c) an employer that is a hospital created as a special service district under Title 17D,Chapter 1, Special Service District Act, that makes an election of nonparticipation in accordancewith Subsection (5); or
(d) an employer that is a risk management association initially created by interlocalagreement before 1986 for the purpose of implementing a self-insurance joint protection programfor the benefit of member municipalities of the association.
(3) If an employer that may be excluded under Subsection (2)(a)(i) elects at any time toprovide or participate in any type of public or private retirement, supplemental or definedcontribution plan, either directly or indirectly, except for Social Security, the employer shall be aparticipating employer in this system.
(4) (a) An employer may, by resolution of its governing body, apply for admission to thissystem.
(b) Upon approval of the resolution by the board, the employer is a participatingemployer in this system and is subject to this title.
(5) (a) (i) Until June 30, 2009, a employer that is a hospital created as a special servicedistrict under Title 17D, Chapter 1, Special Service District Act, may make an election ofnonparticipation as an employer for retirement programs under this chapter.
(ii) On or before July 1, 2010, an employer described in Subsection (2)(d) may make anelection of nonparticipation as an employer for retirement programs under this chapter.
(b) An election provided under Subsection (5)(a):
(i) is a one-time election made no later than the time specified under Subsection (5)(a);
(ii) shall be documented by a resolution adopted by the governing body of the employer;
(iii) is irrevocable; and
(iv) applies to the employer described in Subsection (5)(a) and to all employees of thatemployer.
(c) The employer making an election under Subsection (5)(a) may offer employee benefit
plans for its employees:
(i) under Title 49, Chapter 20, Public Employees' Benefit and Insurance Program Act; or
(ii) under any other program.
(6) If a participating employer purchases service credit on behalf of regular full-timeemployees for service rendered prior to the participating employer's admission to this system, theservice credit shall be purchased in a nondiscriminatory manner on behalf of all current andformer regular full-time employees who were eligible for service credit at the time service wasrendered.
Amended by Chapter 280, 2010 General Session