51.1-126.3 - Employees of the University of Virginia Medical Center.
§ 51.1-126.3. Employees of the University of Virginia Medical Center.
A. The University of Virginia Medical Center, hereafter referred to as theMedical Center, may establish one or more retirement plans covering in wholeor in part its employees. The Medical Center is authorized to makecontributions for the benefit of its employees who are covered by any planestablished pursuant to this section. Any such alternative retirement plansfor Medical Center employees shall not become effective until such time asthe Board of Visitors of the University of Virginia may determine. Except asprovided herein, all employees of the Medical Center who are employed by theMedical Center on or after July 1, 2000, shall be participants in a MedicalCenter retirement plan established pursuant to this section, with acontribution by the Medical Center at a rate to be determined by theUniversity of Virginia Board of Visitors. However, an employee hired by theMedical Center on or after July 1, 2003, who, as of the first day of suchemployment, is a current member of the Virginia Retirement System definedbenefit retirement plan established by this chapter shall elect to either:(i) continue to participate in such defined benefit retirement plan or (ii)choose the plan provided by the Medical Center with a contribution by theMedical Center at a rate to be determined by the University of Virginia Boardof Visitors. Such election shall be exercised not later than 60 days from thetime of the employee's entry into the performance of his duties for theMedical Center, and the election shall be irrevocable. During such 60-dayperiod, to the time of such election, such employee shall participate in theVirginia Retirement System defined benefit retirement plan established bythis chapter. If such election is not made within the time period provided inthis subsection, such employee shall be deemed to have elected to participatein the retirement plan established by the Medical Center.
B. With respect to any employee of the Medical Center who elects to continueto participate in the Virginia Retirement System defined benefit retirementplan, the Medical Center shall collect and pay all employee and employercontributions due to the Virginia Retirement System for retirement and grouplife insurance in accordance with the provisions of Chapter 1 (§ 51.1-124.1et seq.) of this title for such employees. For Medical Center employees whoelect or who are required pursuant to subsection A to become members of theretirement program established by the Medical Center, the Virginia RetirementSystem or other such authorized plan shall transfer to the retirement planestablished by the Medical Center assets equal to the actuarially determinedpresent value of the accrued basic benefit as of the transfer date. Forpurposes hereof, the basic benefit shall be the benefit accrued under theVirginia Retirement System or other such authorized retirement plan, based oncreditable service and average final compensation, as defined in § 51.1-124.3and determined as of the transfer date. The actuarial present value shall bedetermined on the same basis, using the same actuarial factors andassumptions used in determining the funding needs of the Virginia RetirementSystem or other such authorized retirement plan, so that the transfer ofassets to the retirement plan established by the Medical Center will have noeffect on the funded status and financial stability of the VirginiaRetirement System or other such authorized retirement plan.
C. No employee of the Medical Center who is an active member of any planestablished under this section shall also be an active member of theretirement system established by this chapter or a beneficiary of such otherplan other than as a contingent annuitant.
D. The University of Virginia Board of Visitors shall adopt guidelines forthe implementation of the provisions of this section, including guidelinesfor the administration of any retirement plan established pursuant to thissection. The Board shall have no duties and responsibilities with respect tosuch plan. The guidelines adopted by the Board of Visitors shall be filedwith the Board of Trustees of the Virginia Retirement System.
(1996, cc. 933, 995; 2000, c. 723; 2003, c. 369.)