Title 49. Utah State Retirement and Insurance Benefit Act Chapter

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Title 49. Utah State Retirement and Insurance Benefit Act

Chapter 11

Utah State Retirement Systems Administration

Part 1

General Provisions

49-11-101 Title.

(1) This title is known as the "Utah State Retirement and Insurance Benefit Act."

(2) This chapter is known as the "Utah State Retirement Systems Administration."

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-102 Definitions.

As used in this title:

(1)

(a) "Active member" means a member who:

(i) is employed by a participating employer and accruing service credit; or

(ii) within the previous 120 days:

(A) has been employed by a participating employer; and

(B) accrued service credit.

(b) "Active member" does not include a retiree.

(2) "Actuarial equivalent" means a benefit of equal value when computed upon the basis of

mortality tables as recommended by the actuary and adopted by the executive director,

including regular interest.

(3) "Actuarial interest rate" means the interest rate as recommended by the actuary and adopted

by the board upon which the funding of system costs and benefits are computed.

(4)

(a) "Agency" means:

(i) a department, division, agency, office, authority, commission, board, institution, or hospital of

the state;

(ii) a county, municipality, school district, special district, or special service district;

(iii) a state college or university; or

(iv) any other participating employer.

(b) "Agency" does not include an entity listed under Subsection (4)(a)(i) that is a subdivision of

another entity listed under Subsection (4)(a).

(5) "Allowance" or "retirement allowance" means the pension plus the annuity, including any cost of

living or other authorized adjustments to the pension and annuity.

(6) "Alternate payee" means a member's former spouse or family member eligible to receive

payments under a Domestic Relations Order in compliance with Section 49-11-612.

(7) "Amortization rate" means the board certified percent of salary required to amortize the

unfunded actuarial accrued liability in accordance with policies established by the board upon

the advice of the actuary.

(8) "Annuity" means monthly payments derived from member contributions.

(9) "Appointive officer" means an employee appointed to a position for a definite and fixed term of

office by official and duly recorded action of a participating employer whose appointed position

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is designated in the participating employer's charter, creation document, or similar document,

and:

(a) who earns $500 or more per month, indexed as of January 1, 1990, as provided in Section

49-12-407 for a Tier I appointive officer; and

(b) whose appointive position is full-time as certified by the participating employer for a Tier II

appointive officer.

(10)

(a) "At-will employee" means a person who is employed by a participating employer and:

(i) who is not entitled to merit or civil service protection and is generally considered exempt from

a participating employer's merit or career service personnel systems;

(ii) whose on-going employment status is entirely at the discretion of the person's employer; or

(iii) who may be terminated without cause by a designated supervisor, manager, or director.

(b) "At-will employee" does not include a career employee who has obtained a reasonable

expectation of continued employment based on inclusion in a participating employer's merit

system, civil service protection system, or career service personnel systems, policies, or

plans.

(11) "Beneficiary" means any person entitled to receive a payment under this title through a

relationship with or designated by a member, participant, covered individual, or alternate payee

of a defined contribution plan.

(12) "Board" means the Utah State Retirement Board established under Section 49-11-202.

(13) "Board member" means a person serving on the Utah State Retirement Board as established

under Section 49-11-202.

(14) "Board of Higher Education" or "Utah Board of Higher Education" means the Utah Board of

Higher Education described in Section 53B-1-402.

(15) "Certified contribution rate" means the board certified percent of salary paid on behalf of an

active member to the office to maintain the system on a financially and actuarially sound basis.

(16) "Contributions" means the total amount paid by the participating employer and the member

into a system or to the Utah Governors' and Legislators' Retirement Plan under Chapter 19,

Utah Governors' and Legislators' Retirement Act.

(17) "Council member" means a person serving on the Membership Council established under

Section 49-11-205.

(18) "Covered individual" means any individual covered under Chapter 20, Public Employees'

Benefit and Insurance Program Act.

(19) "Current service" means covered service under:

(a) Chapter 12, Public Employees' Contributory Retirement Act;

(b) Chapter 13, Public Employees' Noncontributory Retirement Act;

(d) Chapter 15, Public Safety Noncontributory Retirement Act;

(e) Chapter 16, Firefighters' Retirement Act;

(f) Chapter 17, Judges' Contributory Retirement Act;

(g) Chapter 18, Judges' Noncontributory Retirement Act;

(h) Chapter 19, Utah Governors' and Legislators' Retirement Act;

(i) Chapter 22, New Public Employees' Tier II Contributory Retirement Act; or

(j) Chapter 23, New Public Safety and Firefighter Tier II Contributory Retirement Act.

(20) "Defined benefit" or "defined benefit plan" or "defined benefit system" means a system or plan

offered under this title to provide a specified allowance to a retiree or a retiree's spouse after

retirement that is based on a set formula involving one or more of the following factors:

(a) years of service;

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(b) final average monthly salary; or

(21) "Defined contribution" or "defined contribution plan" means any defined contribution plan or

deferred compensation plan authorized under the Internal Revenue Code and administered by

the board.

(22) "Educational institution" means a political subdivision or instrumentality of the state or a

combination thereof primarily engaged in educational activities or the administration or servicing

of educational activities, including:

(a) the State Board of Education and its instrumentalities;

(b) any institution of higher education and its branches;

(d) any vocational and technical school; and

(e) any entity arising out of a consolidation agreement between entities described under this

Subsection (22).

(23) "Elected official":

(a) means a person elected to a state office, county office, municipal office, school board or

school district office, special district office, or special service district office;

(b) includes a person who is appointed to serve an unexpired term of office described under

Subsection (23)(a); and

20A-12-201.

(24)

(a) "Employer" means any department, educational institution, or political subdivision of the state

eligible to participate in a government-sponsored retirement system under federal law.

(b) "Employer" may also include an agency financed in whole or in part by public funds.

(25) "Exempt employee" means an employee working for a participating employer:

(a) who is not eligible for service credit under Section 49-12-203, 49-13-203, 49-14-203,

49-15-203, or 49-16-203; and

(b) for whom a participating employer is not required to pay contributions or nonelective

contributions.

(26) "Final average monthly salary" means the amount computed by dividing the compensation

received during the final average salary period under each system by the number of months in

the final average salary period.

(27) "Fund" means any fund created under this title for the purpose of paying benefits or costs of

administering a system, plan, or program.

(28)

(a) "Inactive member" means a member who has not been employed by a participating employer

for a period of at least 120 days.

(b) "Inactive member" does not include retirees.

(29)

(a) "Initially entering" means hired, appointed, or elected for the first time, in current service as a

member with any participating employer.

(b) "Initially entering" does not include a person who has any prior service credit on file with the

office.

that is not eligible under a system or plan under this title, who:

(i) does not have any prior service credit on file with the office;

(ii) is covered by a retirement plan other than a retirement plan created under this title; and

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(iii) moves to a position with a participating employer that is covered by this title.

(30) "Institution of higher education" means an institution described in Section 53B-1-102.

(31)

(a) "Member" means a person, except a retiree, with contributions on deposit with a system, the

Utah Governors' and Legislators' Retirement Plan under Chapter 19, Utah Governors' and

Legislators' Retirement Act, or with a terminated system.

(b) "Member" also includes leased employees within the meaning of Section 414(n)(2) of the

Internal Revenue Code, if the employees have contributions on deposit with the office. If

leased employees constitute less than 20% of the participating employer's work force that

is not highly compensated within the meaning of Section 414(n)(5)(c)(ii), Internal Revenue

Code, "member" does not include leased employees covered by a plan described in Section

414(n)(5) of the federal Internal Revenue Code.

(32) "Member contributions" means the sum of the contributions paid to a system or the Utah

Governors' and Legislators' Retirement Plan, including refund interest if allowed by a system,

and which are made by:

(a) the member; and

(b) the participating employer on the member's behalf under Section 414(h) of the Internal

Revenue Code.

(33) "Nonelective contribution" means an amount contributed by a participating employer into a

participant's defined contribution account.

(34) "Normal cost rate":

(a) means the percent of salary that is necessary for a retirement system that is fully funded to

maintain its fully funded status; and

(b) is determined by the actuary based on the assumed rate of return established by the board.

(35) "Office" means the Utah State Retirement Office.

(36) "Participant" means an individual with voluntary deferrals or nonelective contributions on

deposit with the defined contribution plans administered under this title.

(37) "Participating employer" means a participating employer, as defined by Chapter 12, Public

Employees' Contributory Retirement Act, Chapter 13, Public Employees' Noncontributory

Retirement Act, Chapter 14, Public Safety Contributory Retirement Act, Chapter 15, Public

Safety Noncontributory Retirement Act, Chapter 16, Firefighters' Retirement Act, Chapter 17,

Judges' Contributory Retirement Act, and Chapter 18, Judges' Noncontributory Retirement Act,

or an agency financed in whole or in part by public funds which is participating in a system or

plan as of January 1, 2002.

(38) "Part-time appointed board member" means a person:

(a) who is appointed to serve as a member of a board, commission, council, committee, or panel

of a participating employer; and

(b) whose service as a part-time appointed board member does not qualify as a regular full-time

employee as defined under Section 49-12-102, 49-13-102, or 49-22-102.

(39) "Pension" means monthly payments derived from participating employer contributions.

(40) "Plan" means the Utah Governors' and Legislators' Retirement Plan created by Chapter 19,

Utah Governors' and Legislators' Retirement Act, the New Public Employees' Tier II Defined

Contribution Plan created by Chapter 22, Part 4, Tier II Defined Contribution Plan, the New

Public Safety and Firefighter Tier II Defined Contribution Plan created by Chapter 23, Part

4, Tier II Defined Contribution Plan, or the defined contribution plans created under Section

49-11-801.

(41)

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(a) "Political subdivision" means any local government entity, including cities, towns, counties,

and school districts, but only if the subdivision is a juristic entity that is legally separate and

distinct from the state and only if its employees are not by virtue of their relationship to the

entity employees of the state.

(b) "Political subdivision" includes special districts, special service districts, or authorities created

by the Legislature or by local governments, including the office.

Interlocal Cooperation Act, that was formed prior to July 1, 1987.

(42) "Program" means the Public Employees' Insurance Program created under Chapter 20, Public

Employees' Benefit and Insurance Program Act, or the Public Employees' Long-Term Disability

program created under Chapter 21, Public Employees' Long-Term Disability Act.

(43) "Public funds" means those funds derived, either directly or indirectly, from public

taxes or public revenue, dues or contributions paid or donated by the membership of the

organization, used to finance an activity whose objective is to improve, on a nonprofit basis,

the governmental, educational, and social programs and systems of the state or its political

subdivisions.

(44) "Qualified defined contribution plan" means a defined contribution plan that meets the

requirements of Section 401(k) or Section 403(b) of the Internal Revenue Code.

(45) "Refund interest" means the amount accrued on member contributions at a rate adopted by

the board.

(46) "Retiree" means an individual who has qualified for an allowance under this title.

(47) "Retirement" means the status of an individual who has become eligible, applies for, and is

entitled to receive an allowance under this title.

(48) "Retirement date" means the date selected by the member on which the member's retirement

becomes effective with the office.

(49) "Retirement related contribution":

(a) means any employer payment to any type of retirement plan or program made on behalf of an

employee; and

(b) does not include Social Security payments or Social Security substitute payments made on

behalf of an employee.

(50) "Service credit" means:

(a) the period during which an employee is employed and compensated by a participating

employer and meets the eligibility requirements for membership in a system or the Utah

Governors' and Legislators' Retirement Plan, provided that any required contributions are

paid to the office; and

(b) periods of time otherwise purchasable under this title.

(51) "Surviving spouse" means:

(a) the lawful spouse who has been married to a member for at least six months immediately

before the death date of the member; or

(b) a former lawful spouse of a member with a valid domestic relations order benefits on file with

the office before the member's death date in accordance with Section 49-11-612.

(52) "System" means the individual retirement systems created by Chapter 12, Public Employees'

Contributory Retirement Act, Chapter 13, Public Employees' Noncontributory Retirement

Act, Chapter 14, Public Safety Contributory Retirement Act, Chapter 15, Public Safety

Noncontributory Retirement Act, Chapter 16, Firefighters' Retirement Act, Chapter 17, Judges'

Contributory Retirement Act, Chapter 18, Judges' Noncontributory Retirement Act, and Chapter

19, Utah Governors' and Legislators' Retirement Act, the defined benefit portion of the Tier II

Hybrid Retirement System under Chapter 22, Part 3, Tier II Hybrid Retirement System, and the

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defined benefit portion of the Tier II Hybrid Retirement System under Chapter 23, Part 3, Tier II

Hybrid Retirement System.

(53) "Technical college" means the same as that term is defined in Section 53B-1-101.5.

(54) "Tier I" means a system or plan under this title for which:

(a) an employee is eligible to participate if the employee initially enters regular full-time

employment before July 1, 2011; or

(b) a governor or legislator who initially enters office before July 1, 2011.

(55)

(a) "Tier II" means a system or plan under this title provided in lieu of a Tier I system or plan for

an employee, governor, legislator, or full-time elected official who does not have Tier I service

credit in a system or plan under this title:

(i) if the employee initially enters regular full-time employment on or after July 1, 2011; or

(ii) if the governor, legislator, or full-time elected official initially enters office on or after July 1,

2011.

(b) "Tier II" includes:

(i) the Tier II hybrid system established under:

(A) Chapter 22, Part 3, Tier II Hybrid Retirement System; or

(B) Chapter 23, Part 3, Tier II Hybrid Retirement System; and

(ii) the Tier II Defined Contribution Plan (Tier II DC Plan) established under:

(A) Chapter 22, Part 4, Tier II Defined Contribution Plan; or

(B) Chapter 23, Part 4, Tier II Defined Contribution Plan.

(56) "Unfunded actuarial accrued liability" or "UAAL":

(a) is determined by the system's actuary; and

(b) means the excess, if any, of the accrued liability of a retirement system over the actuarial

value of its assets.

(57) "Voluntary deferrals" means an amount contributed by a participant into that participant's

defined contribution account.

Amended by Chapter 16, 2023 General Session

49-11-103 Purpose -- Liberal construction.

(1) The purpose of this title is to establish:

(a) retirement systems and the Utah Governors' and Legislators' Retirement Plan for members

which provide:

(i) a uniform system of membership;

(ii) retirement requirements;

(iii) benefits for members;

(iv) funding on an actuarially sound basis;

(v) contributions; and

(vi) economy and efficiency in public service; and

(b) a central administrative office and a board to administer the various systems, plans, and

programs established by the Legislature or the board.

(2) This title shall be liberally construed to provide maximum benefits and protections consistent

with sound fiduciary and actuarial principles.

Amended by Chapter 10, 2018 General Session

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Part 2

Retirement Office and Board

49-11-201 Establishment of retirement office -- An independent state agency -- Office

exemption.

(1)

(a) There is established the Utah State Retirement Office, which may also be known and function

as the Utah State Retirement Systems or the Utah Retirement Systems.

(b) The office shall administer the systems, plans, and programs and perform all other functions

assigned to it under this title.

(2)

(a) The office is an independent state agency.

(b) It is subject to legislative and executive department budgetary review and comment.

(3) The office may establish branch offices upon approval of the board.

(4) The board and office are exempt from those acts which are applicable to state and other

governmental entities under this code.

Amended by Chapter 15, 2014 General Session

49-11-202 Establishment of Utah State Retirement Board -- Quorum -- Terms -- Officers --

Expenses and per diem.

(1) There is established the Utah State Retirement Board composed of seven board members

determined as follows:

(a) Four board members, with experience in investments or banking, shall be appointed by the

governor from the general public.

(b) One board member shall be a school employee appointed by the governor from at least

three nominations submitted by the governing board of the school employees' association

that is representative of a majority of the school employees who are members of a system

administered by the board.

three nominations submitted by the governing board of the public employee association

that is representative of a majority of the public employees who are members of a system

administered by the board.

(d) One board member shall be the state treasurer.

(2) Four board members constitute a quorum for the transaction of business.

(3)

(a) All appointments to the board shall be made on a nonpartisan basis, with the advice and

consent of the Senate.

(b) Board members shall serve until their successors are appointed and take the constitutional

oath of office.

the unexpired term.

(4)

(a) Except as required by Subsection (4)(b), all appointed board members shall serve for four-

year terms.

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(b) Notwithstanding the requirements of Subsection (4)(a), the governor shall, at the time of

appointment or reappointment, adjust the length of terms to ensure that the terms of board

members are staggered so that:

(i) approximately half of the board is appointed every two years; and

(ii) no more than two of the board members appointed under Subsection (1)(a) are appointed

every two years.

or who is no longer employed with a participating employer shall immediately resign from the

board.

(5)

(a) Each year the board shall elect a president and vice president from its membership.

(b) A board member may not receive compensation or benefits for the board member's service,

but may receive per diem and travel expenses in accordance with:

(i) Section 63A-3-106;

(ii) Section 63A-3-107; and

(iii) rules made by the Division of Finance pursuant to Sections 63A-3-106 and 63A-3-107.

Amended by Chapter 352, 2020 General Session

49-11-203 Powers and duties of board.

(1) The board shall:

(a) appoint an executive director to administer the office;

(b) receive and act upon reports covering the operations of the systems, plans, programs, and

funds administered by the office;

(d) review any final order of a hearing officer and approve or modify the order at the board's

discretion in accordance with Section 49-11-613;

(e) examine and approve an annual operating budget for the office;

(f) serve as investment trustees of the Utah State Retirement Investment Fund as provided under

this title;

(g) maintain, in conjunction with participating employers and members, the systems, plans, and

programs on an actuarially sound basis;

(h) report annually to the governor, the Legislature, and each participating employer the

contribution rates, premium rates, and any adjustments necessary to maintain the systems,

plans, and programs on a financially and actuarially sound basis;

(i) receive and act upon recommendations of the executive director;

(j) recommend to the governor and Legislature, through the executive director, any necessary or

desirable changes to this title;

(k) develop broad policy for the long-term operation of the various systems, plans, and programs

under broad discretion and power to perform the board's policymaking functions, including

the specific authority to interpret and define any provision or term under this title when the

board or office provides written documentation which demonstrates that the interpretation or

definition promotes uniformity in the administration of the systems or maintains the actuarial

soundness of the systems, plans, or programs;

(l) adopt interest rates, premium rates, and annual contribution rates after reviewing actuarial

recommendations;

(m) establish the compensation of the executive director and adopt compensation plans and

policies based on market surveys for positions in the office;

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(n) take action consistent with this title for the administration of the systems, plans, and programs

in order to carry out the purposes of this title;

(o) provide for audits of the systems, plans, programs, and funds;

(p) take actions not in conflict with the board's trust and fiduciary responsibilities or other law,

with respect to the governance of the office which are substantially similar to those governing

other public agencies;

(q) in accordance with the board's fiduciary responsibilities, make investment decisions with the

sole purpose of maximizing the risk-adjusted return on the investments;

(r) to the extent practicable:

(i)

(A) retain the right to vote investor proxies; or

(B) if the investments are commingled with another investor's funds, request the right to vote

investor proxies; and

(ii) ensure proxy voting is exercised to maximize risk-adjusted returns for the exclusive benefit

of beneficiaries;

(s) make proxy voting records available to the state treasurer upon the state treasurer's request;

and

(t) otherwise exercise the powers and perform the duties conferred on the board by this title.

(2) The board may:

(a) subpoena witnesses and compel the witnesses' attendance to testify before the board, for

which purpose each board member may administer oaths and affirmations to witnesses and

others transacting business of the office;

(b) establish councils to recommend to the board and the executive director policies affecting

members of any systems, plans, and programs administered by the board;

(d) sue and be sued in the board's own name.

(3) The state treasurer is subject to the same restrictions on disclosure of the proxy voting records

described in Subsection (1)(s) as the board.

Amended by Chapter 242, 2023 General Session

49-11-204 Powers and duties of executive director.

The executive director shall:

(1) act as the executive officer of the board and the office;

(2) administer the various systems, plans, programs, and functions assigned to the board or office;

(3) subject to board review, develop and implement internal policies and procedures which

administer and govern the day-to-day operations of the systems, plans, and programs;

(4) transmit orders of a hearing officer made under Section 49-11-613 to the board;

(5) provide information concerning the operation of the office to the board, the governor, the

Legislature, participating employers, and employer and employee associations, unless

otherwise restricted under Section 49-11-618;

(6) inform the Legislature of any recommendations from the board regarding any necessary or

desirable changes to this title;

(7) consult with the Legislature on all legislation under this title;

(8)

(a) recommend to the board an annual administrative budget covering the operations of the office

and, upon approval, submit the budget along with the actuarial status of the funds to the

governor and the Legislature for review and comment; and

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(b) direct and control the subsequent expenditures of the budget;

(9) employ, within the limitations of the budget, personnel to administer the systems, plans,

programs, and funds assigned to the office, including consultants, actuaries, attorneys, medical

examiners, investment counselors, and accountants to accomplish the purposes of this title;

(10) establish independent financial records for each of the systems, plans, and programs or

combine all financial records using acceptable principles of accounting to identify the assets

and vested interests of each system, plan, or program;

(11) maintain individual records necessary to provide benefits under this title;

(12) keep in convenient form all records, accounts, and data necessary for the administration and

actuarial valuation of the systems, plans, and programs;

(13) adopt fees, charges, and upon the recommendation of the actuary, interest rates and tables

for the administration of the systems, plans, and programs;

(14) make payment of all monthly allowances and any defined contribution distributions, and may

consolidate payments at the sole discretion of the executive director;

(15) ensure that the integrity of the various funds is maintained through appropriate accounting

records;

(16) at least every three years:

(a) make an actuarial investigation into the mortality, service, and other experience of the

members, participants, beneficiaries, and covered individuals of the systems, plans, and

programs;

(b) actuarially value the assets and liabilities of the administered funds and accounts; and

(17) report to the board findings under Subsection (16), with recommendations, including proposed

changes in the rates of contribution or benefits that are necessary to maintain the actuarial

soundness of the systems, plans, or programs;

(18) regulate participating employers by:

(a) educating them on their duties imposed by this title;

(b) specifying the time, place, and manner in which contributions shall be withheld and paid; and

(19) otherwise exercise the powers and perform the duties conferred on the executive director by

this title.

Amended by Chapter 31, 2019 General Session

49-11-205 Membership Council established -- Members -- Chair -- Duties -- Expenses and

per diem.

(1) There is established a Membership Council to perform the duties under Subsection (5).

(2) The Membership Council shall be composed of 15 council members selected as follows:

(a) three council members shall be school employees selected by the governing board of an

association representative of a majority of school employees who are members of a system

administered by the board;

(b) one council member shall be a classified school employee selected by the governing board of

the association representative of a majority of classified school employees who are members

of a system administered by the board;

association representative of a majority of the public employees who are members of a

system administered by the board;

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(d) one council member shall be a municipal officer or employee selected by the governing board

of the association representative of a majority of the municipalities who participate in a system

administered by the board;

(e) one council member shall be a county officer or employee selected by the governing board

of the association representative of a majority of counties who participate in a system

administered by the board;

(f) one council member shall be a representative of members of the Judges' Noncontributory

Retirement System selected by the Judicial Council;

(g) one council member shall be a representative of members of the Public Safety Retirement

Systems selected by the governing board of the association representative of the majority of

peace officers who are members of the Public Safety Retirement Systems;

(h) one council member shall be a representative of members of the Firefighters' Retirement

System selected by the governing board of the association representative of the majority of

paid professional firefighters who are members of the Firefighters' Retirement System;

(i) one council member shall be a retiree selected by the governing board of the association

representing the largest number of retirees, who are not public education retirees, from

the Public Employees' Contributory, Public Employees' Noncontributory, and New Public

Employees' Tier II Contributory Retirement Systems;

(j) one council member shall be a retiree selected by the governing board of the association

representing the largest number of public education retirees;

(k) one council member shall be a school business official selected by the governing board of the

association representative of a majority of the school business officials from public education

employers who participate in a system administered by the board; and

(l) one council member shall be a special district officer or employee selected by the governing

board of the association representing the largest number of special service districts and

special districts who participate in a system administered by the board.

(3)

(a) Each entity granted authority to select council members under Subsection (2) may also

revoke the selection at any time.

(b) Each term on the council shall be for a period of four years, subject to Subsection (3)(a).

(d) When a vacancy occurs on the council for any reason, the replacement shall be selected for

the remainder of the unexpired term.

(4) The council shall annually designate one council member as chair.

(5) The council shall:

(a) recommend to the board and to the Legislature benefits and policies for members of any

system or plan administered by the board;

(b) recommend procedures and practices to improve the administration of the systems and plans

and the public employee relations responsibilities of the board and office;

under Section 49-11-613;

(d) submit nominations to the board for the position of executive director if that position is vacant;

(e) advise and counsel with the board and the director on policies affecting members of the

various systems administered by the office; and

(f) perform other duties assigned to it by the board.

(6) A member of the council may not receive compensation or benefits for the member's service,

but may receive per diem and travel expenses in accordance with:

(a) Section 63A-3-106;

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(b) Section 63A-3-107; and

Amended by Chapter 16, 2023 General Session

Part 3

Investment Fund

49-11-301 Creation -- Board to act as trustees of the fund -- Commingling and pooling of

funds -- Interest earnings -- Funded ratio.

(1)

(a) There is created a common trust fund known as the "Utah State Retirement Investment Fund"

for the purpose of enlarging the investment base and simplifying investment procedures and

functions.

(b) The Utah State Retirement Investment Fund may sue and be sued in its own name.

(2)

(a) The board shall act as trustees of the Utah State Retirement Investment Fund and, through

the executive director, may commingle and pool the funds and investments of any system,

plan, or program into the Utah State Retirement Investment Fund, if the principal amounts

of the participating funds do not lose their individual identity and are maintained as separate

trust funds on the books of the office.

(b)

(i) In combining the investments of any fund, each of the participating funds shall be credited

initially with its share of the total assets transferred to the Utah State Retirement Investment

Fund.

(ii) The value of the transferred assets shall be calculated in accordance with generally

accepted accounting principles.

its respective trust account.

(d) The income or principal or equity credit belonging to one participating fund may not be

transferred to another, except for the purpose of:

(i) actuarially recommended transfers in order to adjust employer contribution rates for an

employer that participates in both contributory and noncontributory systems; or

(ii) transfers which reflect the value of service credit accrued in different systems during a

member's career.

(3) The assets of the funds are for the exclusive benefit of the members, participants, and covered

individuals and may not be diverted or appropriated for any purpose other than that permitted

by this title.

(4)

(a) Interest and other earnings shall be credited to each participating fund on a pro rata equity

position basis.

(b)

(i) A portion of the interest and other earnings of the common trust fund may be credited to

a reserve account within the Utah State Retirement Investment Fund to meet adverse

experiences arising from investments or other contingencies.

(ii) Each participating fund shall retain its proportionate equity in the reserve account.

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(5)

(a) The actuarial funded ratio of the systems may reach and be maintained at 110%, as

determined by the board's actuary using assumptions adopted by the board, before the board

is required to certify a decrease in contribution rates.

(b) Except as provided in Subsection (6), the board may not increase contribution rates to attain

an actuarial funded ratio greater than 100%.

(6)

(a) The cost of any amendment to this title shall be included in the final contribution rates

adopted and certified by the board in accordance with Subsections 49-11-102(14) and

49-11-203(1)(l).

(b) If a preliminary certified contribution rate approved by the board prior to an annual general

session or special session of the Legislature was maintained at a previous year's level that is

higher than the contribution rate calculated by the board's actuary for that year in accordance

with Subsection (5)(a), the board's final certified contribution rate shall be the sum of the

actuarially determined costs from any amendment to this title during the general session or

special session and the preliminary certified contribution rate.

Amended by Chapter 10, 2018 General Session

49-11-302 Board duties with respect to fund.

(1) The board:

(a) shall review and establish the asset allocation of the Utah State Retirement Investment Fund

for investment, and with the executive director, shall determine the method of investing the

funds;

(b) through the executive director:

(i) shall invest the money in the Utah State Retirement Investment Fund; and

(ii) may provide for the holding, purchasing, selling, assigning, transferring, and disposing of

any of the securities and investments in which any of the money of the Utah

State Retirement Investment Fund is invested.

(2) Fees for all services shall be paid from the interest earnings of the Utah State Retirement

Investment Fund.

(3) Title to real estate or any other fund investment may be:

(a) held in the name of the Utah State Retirement Investment Fund; or

(b) held in another name or names as determined by the board.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-303 Fund investment standard -- Prudent investor rule.

The fund shall be invested in accordance with the prudent investor rule established in Title 75,

Chapter 7, Part 9, Utah Uniform Prudent Investor Act.

Amended by Chapter 116, 2005 General Session

49-11-304 Administrative costs -- Payable from fund.

General administrative costs of operating the office shall be assessed to the systems, plans,

programs, and funds on a pro rata basis and shall be paid from earnings of the Utah State

Retirement Investment Fund.

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Renumbered and Amended by Chapter 250, 2002 General Session

49-11-305 Self-insurance option -- Purchase of liability insurance.

(1) The office may self insure and may purchase commercial insurance in any amount.

(2) The office may also purchase excess commercial insurance above the limits provided by the

Governmental Immunity Act against any:

(a) risk created or recognized by the Governmental Immunity Act; or

(b) other action for which the board, office, or any of its employees, may be held liable.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-306 Definitions -- Scrutinized companies investment report -- Content -- Reporting --

Exceptions.

(1) As used in this section:

(a) "Active business operations" means all business operations that are not inactive business

operations.

(b)

(i) "Business operations" means investing, with actual knowledge on or after August 5, 1996,

in Iran's petroleum sector which investment directly and significantly contributes to the

enhancement of Iran's ability to develop the petroleum resources of Iran.

(ii) "Business operations" does not include the retail sale of gasoline and related consumer

products.

partnership, joint venture, limited partnership, limited liability partnership, limited liability

company, or any other foreign entity or business association, including all wholly-owned

subsidiaries, majority-owned subsidiaries or parent companies or affiliates of these entities or

business associations, that exists for the purpose of making a profit.

(d)

(i) "Direct holdings" means all publicly traded equity securities of a company that are held

directly by the investment fund or in an account or fund in which the investment fund owns

all shares or interests.

(ii) "Direct holdings" does not include publicly traded equity securities of a company held as part

of a passive indexing investment strategy.

(e) "Inactive business operations" means the continued holding or renewal of rights to property

previously operated for the purpose of generating revenues but not presently deployed for

that purpose.

(f) "Investment fund" means the Utah State Retirement Investment Fund created in Section

49-11-301.

(g) "Iran" means the Islamic Republic of Iran.

(h) "Petroleum resources" means petroleum or natural gas.

(i) "Scrutinized business operations" means any active business operations that:

(i) are subject to or liable for sanctions under Public Law 104-172, the Iran Sanctions Act of

1996, as amended; and

(ii) involve the maintenance of:

(A) the company's existing assets or investments in Iran; or

(B) the deployment of new investments to Iran that meet or exceed the threshold referred to in

Public Law 104-172, the Iran Sanctions Act of 1996, as amended.

(j) "Scrutinized company" means any company engaging in scrutinized business operations.

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(2)

(a)

(i) The Utah State Retirement Office shall identify the scrutinized companies in which the

investment fund has direct holdings.

(ii) In making the determination, the board shall review and rely on publicly available

information regarding companies with business operations in Iran, including information

provided by nonprofit organizations, research firms, international organizations, and

government entities.

(b) The office shall assemble a list of all identified scrutinized companies.

from those entities listed in Subsection (2)(a).

(3) The office shall prepare an annual report of investment fund investments in scrutinized

companies.

(4) The report shall include amounts and other data and statistics designed to explain the past and

current extent to which public fund investments in scrutinized companies:

(a) are present; and

(b) are being prevented under Subsection (6).

(5) The report shall be provided to the governor, the board, the president of the Senate, the

speaker of the House of Representatives, and to each member and staff of the Retirement and

Independent Entities Committee created under Section 63E-1-201.

(6) Using the most current list assembled under Subsection (2), the office shall prevent the

investment of investment fund's direct holdings in a scrutinized company:

(a) for funds managed within the office, by not investing in direct holdings in a scrutinized

company; and

(b) for funds managed by contract by a professional investment manager:

(i) for existing contracts, by requesting that no more direct holdings be acquired in a scrutinized

company; and

(ii) for future contracts, by stipulating in the contract that no new direct holdings be acquired in a

scrutinized company.

(7) The provisions of this section do not apply to:

(a) money invested in a defined contribution plan as defined under Section 49-11-102; or

(b) investments in a company that is primarily engaged in:

(i) supplying goods or services intended to relieve human suffering in Iran; or

(ii) promoting health, education, religious, welfare, or journalistic activities in Iran.

Amended by Chapter 421, 2024 General Session

49-11-307 Report on funded status -- Study of compensation.

(1)

(a) The office shall report the funded status of the Utah State Retirement Investment Fund to the

Retirement and Independent Entities Committee created under Section 63E-1-201.

(b) The report under Subsection (1)(a) shall be made at least annually or as requested by the

committee.

(2)

(a) If the Utah State Retirement Investment Fund reaches a funded status of 100%, the office

shall make a report to that effect.

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(b) The report shall be provided to the governor, the board, the president of the Senate, the

speaker of the House of Representatives, and to each member and staff of the Retirement

and Independent Entities Committee created under Section 63E-1-201.

(3) Upon receipt of the report under Subsection (2)(b), the committee shall conduct a study on

participating employee compensation and benefits to determine the need for adjustments in

retirement benefits, salary, and other benefits for the recruitment and retention of a qualified

workforce.

(4) The committee shall report any findings and recommendations to the Legislative Management

Committee.

Enacted by Chapter 266, 2010 General Session

Part 4

Service Credits

49-11-401 Transfer of service credit -- Eligibility for service credit -- Computation of service

credit -- Retirement from most recent system.

(1)

(a) The office shall make the transfer of service credit, together with related member and

participating employer contributions, from one system to another upon terms and conditions

established by the board.

(b) The terms and conditions may not result in a loss of accrued benefits.

(2) An employee does not lose active member status by transferring employment from a position

covered by one system to a position covered by another system.

(3) In the accrual of service credit, the following provisions apply:

(a)

(i) a person employed and compensated by a participating employer who meets the eligibility

requirements for membership in a system or the Utah Governors' and Legislators'

Retirement Plan shall receive service credit for the term of the employment provided that all

required contributions are paid to the office; and

(ii) the person may not receive service credit for a term of employment until all required

contributions related to that service credit have been paid to the office;

(b) an allowance or other benefit may not accrue under this title which is based upon the same

period of employment as has been the basis for any retirement benefits under some other

public retirement system;

(c)

(i) the board shall fix the minimum time per day, per month, and per year upon the basis

of which one year of service and proportionate parts of a year shall be credited toward

qualification for retirement;

(ii) service may be computed on a fiscal or calendar year basis and portions of years served

shall be accumulated and counted as service; and

(iii) in any event, all of the service rendered in any one fiscal or calendar year may not count for

more than one year;

(d) service credit shall be accrued on a fiscal or calendar year basis as determined by the

participating employer;

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(e) a member may not accrue more than one year of service credit per fiscal or calendar year as

determined by the office; and

(f) fractions of years of service credit shall be accumulated and counted in proportion to the work

performed.

(4) The office may estimate the amount of service credit, compensation, or age of any member,

participant, or alternate payee, if information is not contained in the records.

(5) A member shall retire from the system that most recently covered the member.

(6)

(a) Under no circumstances may service credit earned by a member under Chapter 22, New

Public Employees' Tier II Contributory Retirement Act, or Chapter 23, New Public Safety and

Firefighter Tier II Contributory Retirement Act, be transferable to any other system or plan

under this title.

(b) Under no circumstances may service credit earned by a member under one of the following

systems be transferable to the system created under Chapter 22, New Public Employees' Tier

II Contributory Retirement Act, or under Chapter 23, New Public Safety and Firefighter Tier II

Contributory Retirement Act:

(i) Chapter 12, Public Employees' Contributory Retirement Act;

(ii) Chapter 13, Public Employees' Noncontributory Retirement Act;

(iii) Chapter 14, Public Safety Contributory Retirement Act;

(iv) Chapter 15, Public Safety Noncontributory Retirement Act;

(v) Chapter 16, Firefighters' Retirement Act; or

(vi) Chapter 19, Utah Governors' and Legislators' Retirement Act.

Amended by Chapter 193, 2021 General Session

49-11-402 Purchase of military service credit.

(1) Except as provided under Subsection (7), a member who is absent from employment with a

participating employer by reason of an official call to full-time United States military service may

receive service credit for that military service as follows:

(a) the member, the participating employer, or the member and participating employer jointly

shall make the required payments, as determined by the office, to the system in which

the member participated at the time of the official call, according to the law governing that

particular system;

(b) prior to a member's retirement date, the required payments shall be made:

(i) during the period of full-time United States military service;

(ii) after the military service, but within a period not to exceed three times the period of military

service up to a maximum of five years; or

(iii) as otherwise allowed by federal law;

military call;

(d) if a required payment is not made within the time allowed under Subsection (1)(b), the

member or participating employer may purchase the service credit as allowed in Subsection

(2); and

(e) the member shall return to employment with the participating employer upon receiving an

honorable discharge from military service and there may not be intervening employment

outside of the employment with the participating employer.

(2)

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(a) A member, a participating employer, or a member and a participating employer jointly, may

purchase service credit for full-time United States military service, resulting from an official

call to duty, if the member has four or more years of service credit and the military service

does not otherwise qualify for service credit under this title.

(b) Payment to the office for a military service credit purchase shall be made to the system under

which the member is currently covered in an amount determined by the office based on a

formula recommended by the actuary and adopted by the board.

upon the present value of future payments.

(d) If total payment is not completed prior to retirement, service credit shall be prorated in

accordance with the amount paid.

(3) For purposes of Subsection (2), full-time United States military service does not include any

regularly scheduled or annual military service that is required by a reserve unit, National Guard

unit, or any other United States military unit.

(4)

(a) If any of the factors used to determine the cost of a service credit purchase change at or

before the member's retirement date, the cost of the purchase shall be recalculated.

(b) If the recalculated cost exceeds the amount paid for the purchase, the member may:

(i) pay the increased cost, plus interest, to receive the full amount of service credit; or

(ii) not pay the increased cost and have the purchased service credit prorated.

(5) If the recalculated cost under Subsection (4) is less than the amount paid for the purchase, the

office shall refund the excess payment to the member or participating employer who paid for

the purchase.

(6)

(a) The board may adopt rules under which a member may make the necessary payments to the

office for purchases under this title as permitted by federal law.

(b) The office may reject any payments if the office determines the tax status of the system,

plans, or programs would be jeopardized by allowing the payment.

(7) Notwithstanding the provisions under Subsection (1), a member may receive service credit for

military service covered under the provisions of the federal Uniformed Services Employment

and Reemployment Rights Act of 1994 (USERRA), 38 U.S.C. Sec. 4301 et seq., under the

terms and conditions provided under that law.

Amended by Chapter 243, 2015 General Session

49-11-403 Purchase of public service credit not otherwise qualifying for benefit.

(1) A member, a participating employer, or a member and a participating employer jointly may

purchase service credit equal to the period of the member's employment in the following:

(a) United States federal employment;

(b) employment in a private school based in the United States, if the member received an

employer paid retirement benefit for the employment;

member for membership in the public plan or system covering the employment, but only if the

member does not qualify for any retirement benefits based on the employment;

(d) forfeited service credit in this state if the member does not qualify for an allowance based on

the service credit;

(e) full-time public service while on an approved leave of absence;

(f) the period of time for which disability benefits were paid if:

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(i) the member was receiving:

(A) long-term disability benefits;

(B) short-term disability benefits; or

(ii) the member's employer had not entered into a benefit protection contract under Section

49-11-404 during the period the member had a disability due to sickness or accident;

(g) employment covered by a retirement plan offered by a public or private system, organization,

or company designated by the Utah Board of Higher Education, if the member forfeits any

retirement benefit from that retirement plan for the period of employment to be purchased

under this Subsection (1)(g);

(h) employment in a charter school located within the state if the member forfeits any retirement

benefit under any other retirement system or plan for the period of employment to be

purchased under this Subsection (1)(h); or

(i) employment with a participating employer that is exempt from coverage under this title under

a written request for exemption with the office, if the member forfeits any retirement benefit

under any other retirement system or plan for the period of employment to be purchased

under this Subsection (1)(i).

(2) A member shall:

(a) have at least four years of service credit before a purchase can be made under this section;

and

(b) forfeit service credit and any defined contribution balance based on employer contributions

under any other retirement system or plan based on the period of employment for which

service credit is being purchased.

(3)

(a) To purchase credit under this section, the member, a participating employer, or a member

and a participating employer jointly shall make payment to the system under which the

member is currently covered.

(b) The amount of the payment shall be determined by the office based on a formula that is:

(i) recommended by the actuary; and

(ii) adopted by the board.

(4) The purchase may be made through payroll deductions or through a lump sum deposit based

upon the present value of future payments.

(5) Total payment must be completed prior to the member's effective date of retirement or service

credit will be prorated in accordance with the amount paid.

(6)

(a) For a purchase made before July 1, 2010, if any of the factors used to determine the cost of

a service credit purchase change at or before the member's retirement date, the cost of the

purchase shall be recalculated at the time of retirement.

(b) For a purchase made before July 1, 2010, if the recalculated cost exceeds the amount paid

for the purchase, the member, a participating employer, or a member and a participating

employer jointly may:

(i) pay the increased cost, plus interest, to receive the full amount of service credit; or

(ii) not pay the increased cost and have the purchased service credit prorated.

(i) the purchase shall be made in accordance with rules:

(A) adopted by the board based on recommendations by the board's actuary; and

(B) in effect at the time the purchase is completed; and

(ii) the cost of the service credit purchase shall not be recalculated at the time of retirement.

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(7) If the recalculated cost under Subsection (6)(a) is less than the amount paid for the purchase,

the office shall refund the excess payment to the member or participating employer who paid

for the purchase.

(8)

(a) The board may adopt rules under which a member may make the necessary payments to the

office for purchases under this title as permitted by federal law.

(b) The office may reject any payments if the office determines the tax status of the system,

plans, or programs would be jeopardized by allowing the payment.

(9) An employee who elects to participate exclusively in the defined contribution plan under

Chapter 22, Part 4, Tier II Defined Contribution Plan, or Chapter 23, Part 4, Tier II Defined

Contribution Plan, may not purchase service credit for that period of employment.

Amended by Chapter 365, 2020 General Session

49-11-404 Benefit protection contract authorized -- Annual report required.

(1)

(a) A participating employer may establish a salary protection program under which the

participating employer's employees are paid during periods of disability.

(b) If a salary protection program is established, a participating employer may enter into benefit

protection contracts with the office.

(i) pay benefits based on the rate of compensation of the member with a disability at the time of

disability;

(ii) pay benefits over the period of the disability;

(iii) not include settlement or lump sum payments of any type;

(iv) be based upon the member being awarded and receiving ongoing monthly disability

benefits that are:

(A) substantially equivalent to the long-term disability programs offered under Chapter 21,

Public Employees' Long-Term Disability Act; or

(B) workers' compensation indemnity benefits provided in accordance with Title 31A,

Insurance Code; and

(v) comply with requirements adopted by the board.

(2) A benefit protection contract shall allow:

(a) the member with a disability to be considered an active member in a system and continue to

accrue service credit and salary credit based on the member's rate of pay in effect at the time

disability commences;

(b) the office to require participating employer contributions to be paid before granting service

credit and salary credit to the member;

provided by the system that covers the member; and

(d) the benefit for the member with a disability to be improved by the annual cost-of-living

increase factor applied to retired members of the system that covered the member on the

date the member is eligible to receive benefits under a benefit protection contract.

(3)

(a) The office shall establish the manner and times when employer contributions are paid.

(b) A failure to make the required payments is cause for the office to cancel a contract.

forfeited.

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(4) For an employee covered under Chapter 22, New Public Employees' Tier II Contributory

Retirement Act, or Chapter 23, New Public Safety and Firefighter Tier II Contributory

Retirement Act, a benefit protection contract shall allow:

(a) for the defined benefit portion for a member covered under Chapter 22, Part 3, Tier II Hybrid

Retirement System, or Chapter 23, Part 3, Tier II Hybrid Retirement System:

(i) the member with a disability to be considered an active member in a system and continue

to accrue service credit and salary credit based on the member's rate of pay in effect at the

time disability commences;

(ii) the office to require participating employer contributions to be paid before granting service

credit and salary credit to the member;

(iii) the member with a disability to remain eligible during the contract period for any benefits

provided by the system that covers the member; and

(iv) the benefit for the member with a disability to be improved by the annual cost-of-living

increase factor applied to retired members of the system that covered the member on the

date the member is eligible to receive benefits under a benefit protection contract; and

(b) for the defined contribution portion for a member covered under Chapter 22, Part 3, Tier

II Hybrid Retirement System, or Chapter 23, Part 3, Tier II Hybrid Retirement System, or

for a participant covered under Chapter 22, Part 4, Tier II Defined Contribution Plan, or

Chapter 23, Part 4, Tier II Defined Contribution Plan, the office to require participating

employers to continue making the nonelective contributions on behalf of the member with a

disability or participant in the amounts specified in Subsection 49-22-303(1)(a), 49-22-401(1),

49-23-302(1)(a), or 49-23-401(1).

(5) A participating employer that has entered into a benefit protection contract under this section

shall submit an annual report to the office, which identifies:

(a) the employees receiving long-term disability benefits under policies initiated by the

participating employer and approved under the benefit protection contract;

(b) the employees that have applied for long-term disability benefits and who are waiting

approval; and

(6) If an employer fails to provide the annual report required under Subsection (5), the benefits that

would have accrued under the benefit protection contract shall be forfeited.

(7) The board may adopt rules to implement and administer this section.

Amended by Chapter 122, 2022 General Session

49-11-405 Service credit from different systems or plans -- Eligibility and calculation of

service credit.

(1)

(a) A member who has service credit from two or more systems or one or more systems and the

Utah Governors' and Legislators' Retirement Plan may combine service credit for purposes of

determining eligibility for retirement.

(b) The provisions of Subsection (1)(a) do not apply to concurrent service.

(2) To be eligible for the calculation under Subsection (3), the member's service credit earned

under the different systems or the Utah Governors' and Legislators' Retirement Plan shall at

least equal the minimum amount of service credit required to retire from the system which most

recently covered the member.

(3) If a member meets the requirements of Subsection (2), the office shall calculate the member's

allowance using all service credit earned from any system or the Utah Governors' and

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Legislators' Retirement Plan, with no actuarial reduction applied to the allowance, except the

service credit used to calculate the benefit shall be increased or decreased to reflect the value

of the assets transferred.

(4) The office shall establish the standards used for calculating any increase or decrease in the

service credit.

(5) This section does not apply to a retiree who is subject to Section 49-11-504 and Chapter 11,

Part 12, Postretirement Reemployment Restrictions Act.

Amended by Chapter 310, 2016 General Session

49-11-406 Governor's appointed executives and senior staff -- Appointed legislative

employees -- Transfer of value of accrued defined benefit -- Procedures.

(1) As used in this section:

(a) "Defined benefit balance" means the total amount of the contributions made on behalf of a

member to a defined benefit system plus refund interest.

(b) "Senior staff" means an at-will employee who reports directly to an elected official, executive

director, or director and includes a deputy director and other similar, at-will employee

positions designated by the governor, the speaker of the House, or the president of the

Senate and filed with the Division of Human Resource Management and the Utah State

Retirement Office.

(2) In accordance with this section and subject to requirements under federal law and rules

made by the board, a member who has service credit from a system may elect to be exempt

from coverage under a defined benefit system and to have the member's defined benefit

balance transferred from the defined benefit system or plan to a defined contribution plan in the

member's own name if the member is:

(a) the state auditor;

(b) the state treasurer;

(d) an employee in the Governor's Office;

(e) senior staff in the Governor's Office of Planning and Budget;

(f) senior staff in the Governor's Office of Economic Opportunity;

(g) senior staff in the State Commission on Criminal and Juvenile Justice;

(h) senior staff in the Public Lands Policy Coordinating Office, created in Section 63L-11-201;

(i) a legislative employee appointed under Subsection 36-12-7(3); or

(j) a legislative employee appointed by the speaker of the House of Representatives, the House

of Representatives minority leader, the president of the Senate, or the Senate minority leader.

(3) An election made under Subsection (2):

(a) is final, and no right exists to make any further election;

(b) is considered a request to be exempt from coverage under a defined benefits system; and

(4) The board shall adopt rules to implement and administer this section.

Amended by Chapter 425, 2024 General Session

49-11-407 Service credit purchases by active employees only.

Notwithstanding any other provision of this title, only an active member may purchase service

credit under this title.

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Enacted by Chapter 439, 2011 General Session

Part 5

General Member Provisions

49-11-501 Refunds of member contributions -- Transfers of contributions to defined

contribution plan.

(1) If a member shall for any cause, except retirement, permanent or temporary disability, or

death, terminate employment with a participating employer the member may leave the member

contributions in the fund or may receive a refund of the member contributions as provided

under this section.

(2) A member who applies for a refund of member contributions shall apply in writing on forms

provided by the office.

(3) A refund of member contributions may not be made to a member within 60 days from the last

date of the pay period for which contributions are made by or on behalf of the member.

(4) If the member is reemployed by a participating employer within the time period under

Subsection (3), the member is not eligible for a refund.

(5) A member who receives a refund of member contributions forfeits the service credit based on

those contributions.

(6) A member who is exempted from or becomes ineligible for service credit in a system but

who remains employed by a participating employer may request a direct transfer of member

contributions to a qualified plan.

(7) A member who remains employed with an employer which has withdrawn from a system may

request a plan-to-plan transfer of member contributions to a qualified defined contribution plan

administered by the board or a qualified plan offered by the member's employer.

(8) Refund interest shall be paid on refunds of member contributions under this section.

Amended by Chapter 240, 2003 General Session

49-11-502 Redeposits of refunds -- Time period.

(1)

(a) If a member receives a refund of member contributions and is subsequently reemployed in

a position covered by a system or the Utah Governors' and Legislators' Retirement Plan,

the participating employer or the member may redeposit an amount equal to the member

contributions refunded and interest charged under Section 49-11-503.

(b) The interest shall be compounded annually from the date of refund through the month of

payment.

to the same system or the Utah Governors' and Legislator's Retirement Plan from which the

refund was taken.

(2)

(a) A member may redeposit an amount equal to a prior refund of member contributions and

interest charges in one lump sum or in monthly installments by payroll deduction in a time

period determined by the office.

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(b) If the total redeposit is not made prior to the member's retirement date, the amount of

redeposit paid to the office shall be refunded to the member without interest and the member

is not entitled to service credit based on the amount of the refund.

time of the first installment payment in accordance with Section 49-11-503.

(3) A member who redeposits a refund of member contributions under this section shall receive the

amount of service credit forfeited in taking the refund.

(4)

(a) For purposes of this section, the Public Employees' Contributory Retirement System

created under Chapter 12, Public Employees' Contributory Retirement Act, and the

Public Employees' Noncontributory Retirement System created under Chapter 13, Public

Employees' Noncontributory Retirement Act, are considered one system.

(b) For purposes of this section, the Public Safety Contributory Retirement System created under

Chapter 14, Public Safety Contributory Retirement Act, and the Public Safety Noncontributory

Retirement System created under Chapter 15, Public Safety Noncontributory Retirement Act,

are considered one system.

Chapter 17, Judges' Contributory Retirement Act, and the Judges' Noncontributory

Retirement System created under, Chapter 18, Judges' Noncontributory Retirement Act, are

considered one system.

(5)

(a) The board may make rules to allow a member to make the necessary payments to the office

for redeposits under this title as permitted by federal law.

(b) The office may reject any payments if the office determines the tax status of the systems,

plans, or programs may be jeopardized by allowing the payment.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-503 Rate of interest on redeposits, adjustments, and delinquent payments.

The rate of interest charged on redeposits of refunds, adjustments, or delinquent payments is

the greater of:

(1) the interest rate as determined under a formula approved by the board; or

(2) the actuarial interest rate as of the preceding June 30.

Amended by Chapter 240, 2003 General Session

49-11-504 Reemployment of a retiree -- Restrictions.

(1) As used in this section:

(a) "full-time" means:

(i) employment requiring 20 or more hours of work per week; or

(ii) at least a half-time teaching contract.

(b) "Reemployed," "reemploy," or "reemployment" means the same as those terms are defined in

Section 49-11-1202.

(2)

(a) Except for the provisions of Subsection (3), the provisions of this section do not apply to a

person who is subject to the provisions of Chapter 11, Part 12, Postretirement Reemployment

Restrictions Act.

(b) This section does not apply to employment as an elected official.

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(3) A person who is not a retiree under this title is not subject to any postretirement restrictions

under this title.

(4) A retiree of an agency who is reemployed may not earn additional service credit, if the retiree is

reemployed by:

(a) a different agency; or

(b) the same agency after six months from the retirement date.

(5) A retiree of an agency who is reemployed on a full-time basis by the same agency within six

months of the date of retirement is subject to the following:

(a) the agency shall immediately notify the office;

(b) the office shall cancel the retiree's allowance and reinstate the retiree to active member

status;

day of the month following the date of reemployment;

(d) the reinstated retiree may not retire again with a recalculated benefit for a two-year period

from the date of cancellation of the original allowance, and if the retiree retires again within

the two-year period, the original allowance shall be resumed; and

(e) a reinstated retiree retiring after the two-year period shall be credited with the service credit

in the retiree's account at the time of the first retirement and from that time shall be treated

as a member of a system, including the accrual of additional service credit, but subject to

recalculation of the allowance under Subsection (9).

(6) A retiree of an agency who is reemployed by the same agency within six months of retirement

on a less than full-time basis by the same agency is subject to the following:

(a) the retiree may earn, without penalty, compensation from that position which is not in excess

of the exempt earnings permitted by Social Security;

(b) if a retiree receives compensation in a calendar year in excess of the Social Security

limitation, 25% of the allowance shall be suspended for the remainder of the six-month period;

office; and

(d) any suspension of a retiree's allowance under this Subsection (6) shall be applied on a

calendar year basis.

(7) For six months immediately following retirement, the retiree and participating employer who are

subject to Subsection (6) shall:

(a) maintain an accurate record of gross earnings in employment;

(b) report the gross earnings at least monthly to the office;

and

(d) immediately notify the office in writing whether postretirement earnings equal or exceed the

exempt earnings under Subsection (6).

(8)

(a) If a participating employer hires a retiree, the participating employer may not make a

retirement related contribution in an amount that exceeds the normal cost rate as defined

under Section 49-11-102 on behalf of the retiree under Subsection (8)(b).

(b) The contributions under Subsection (8)(a) are not required, but if paid, shall be paid to a:

(i) defined contribution plan administered by the board; or

(ii) deferred compensation plan administered by the board.

(9) A retiree who has returned to work, accrued additional service credit, and again retires shall

have the retiree's allowance recalculated using:

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(a) the formula in effect at the date of the retiree's original retirement for all service credit accrued

prior to that date; and

(b) the formula in effect at the date of the subsequent retirement for all service credit accrued

between the first and subsequent retirement dates.

(10) The board may make rules to implement this section.

Amended by Chapter 24, 2020 General Session

Part 6

Procedures and Records

49-11-601 Payment of employer contributions -- Penalties for failure to comply --

Adjustments to be made.

(1) The employer contributions, fees, premium taxes, contribution adjustments, and other required

payments shall be paid to the office by the participating employer as determined by the

executive director.

(2) A participating employer that fails to withhold the amount of any member contributions, as soon

as administratively possible, shall also pay the member contributions to the office out of its own

funds.

(3) Except as limited by Subsections (6) and (7), if a participating employer does not make the

contributions required by this title within 30 days of the end of the pay period, the participating

employer is liable to the office as provided in Section 49-11-604 for:

(a) delinquent contributions;

(b) interest on the delinquent contributions as calculated under Section 49-11-503; and

(i) $250; or

(ii) 50% of the total contributions for the employees for the period of the reporting error.

(4) The executive director may waive all or any part of the interest, penalties, expenses, and fees if

the executive director finds there were extenuating circumstances surrounding the participating

employer's failure to comply with this section.

(5) Contributions made in error will be refunded to the participating employer or member that made

the contributions.

(6)

(a) An employer described in Subsection 49-12-202(2)(c) or (d), or Subsection 49-13-202(2)(c),

(d), or (e) that paid retirement benefits to an employee or retiree that were not required by

this title may offer the retirement benefits paid to the employee as a substantial substitute to

service credit and retirement benefits that may have been earned by the employee under this

title.

(b) An employee who received retirement benefits under Subsection (6)(a) may sign an affidavit

that:

(i) acknowledges the substantial substitute received by the employee under Subsection (6)(a);

and

(ii) irrevocably relinquishes service credit and retirement benefits that may have accrued to

the employee under this title effective from the employee's date of employment with the

employer described in Subsection (6)(a) to the date of the employer's election under Section

49-12-202 or 49-13-202.

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retirement benefits other than Social Security, paid to an employee or retiree, in error or under

mistaken belief that the employer was not a participating employer.

(7) If the employer files with the office an irrevocable written relinquishment of service credit signed

by the member or retiree:

(a) the office shall proportionally reduce any delinquent contributions, penalties, fees, or interest

assessed against a participating employer in connection with a member or retiree described

in Subsection (6)(a); and

(b) the system has no liability to the employee for benefits relinquished under Subsection (6)(b).

Amended by Chapter 243, 2015 General Session

49-11-602 Participating employer to maintain records -- Time limit -- Penalties for failure to

comply.

(1) A participating employer shall:

(a) maintain records necessary to calculate benefits under this title and other records necessary

for proper administration of this title as required by the office; and

(b) maintain records that indicate whether an employee is receiving:

(i) a benefit under state or federal law that, under Subsection 49-12-102(1)(b)(vi) or (vii), is

excluded from the definition of benefits normally provided for purposes of Chapter 12, Public

Employees' Contributory Retirement Act, Chapter 13, Public Employees' Noncontributory

Retirement Act, or Chapter 22, New Public Employees' Tier II Contributory Retirement Act;

(ii) a benefit under a benefit package generally offered to similarly situated employees.

(2) A participating employer shall maintain all records necessary to support the participating

employer's reports and certifications required by Section 49-11-603.

(3) A participating employer shall maintain the records required under Subsections (1) and (2) until

the earliest of:

(a) three years after the date of retirement of the employee from a system or plan;

(b) three years after the date of death of the employee; or

(4) A participating employer shall be liable to the office for:

(a) any liabilities and expenses, including administrative expenses and the cost of increased

benefits to members, resulting from the participating employer's failure to maintain records

under this section; and

(b) a penalty equal to 1% of the participating employer's last month's contributions.

(5) The executive director may waive all or any part of the interest, penalties, expenses, and fees if

the executive director finds there were extenuating circumstances surrounding the participating

employer's failure to comply with this section.

(6) The office may estimate the length of service, compensation, or age of any member, if that

information is not contained in the records.

(7)

(a) A participating employer shall enroll an employee, make reports, submit contributions, and

provide other requested information electronically in a manner approved by the office.

(b) A participating employer shall treat any information provided electronically or otherwise by the

office as subject to the confidentiality provisions of this title.

Amended by Chapter 421, 2024 General Session

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49-11-603 Participating employer to report and certify -- Time limit -- Penalties for failure to

comply.

(1) As soon as administratively possible, but in no event later than 30 days after the end of each

pay period, a participating employer shall report and certify to the office:

(a) the eligibility for service credit accrual of:

(i) each current employee;

(ii) each new employee as the new employee begins employment; and

(iii) any changes to eligibility for service credit accrual of each employee;

(b) the compensation of each current employee eligible for service credit; and

director.

(2)

(a) Each participating employer shall submit the reports required under Subsection (1) in a format

approved by the office.

(b) Each participating employer shall include in the reports a certification, for each employee,

whether the employee is:

(i) an eligible employee who is accruing service credit;

(ii) an ineligible employee who may not accrue service credit;

(iii) a reemployed retiree; or

(iv) an employee who is eligible for employer contributions to a defined contribution plan

administered under this title.

(3) A participating employer shall be liable to the office for:

(a) any liabilities and expenses, including administrative expenses and the cost of increased

benefits to employees, resulting from the participating employer's failure to correctly report

and certify records under this section;

(b) a penalty equal to the greater of:

(i) $250; or

(ii) 50% of the total contributions for the employees for the period of the reporting error; and

(4) The executive director may waive all or any part of the interest, penalties, expenses, and fees if

the executive director finds there were extenuating circumstances surrounding the participating

employer's failure to comply with this section.

(5) The office may estimate the length of service, compensation, or age of any employee, if that

information is not contained in the records.

Amended by Chapter 171, 2022 General Session

49-11-604 Office audits of participating employers -- Penalties for failure to comply.

(1)

(a) The office may perform an on-site compliance audit of a participating employer to determine

compliance with reporting, contribution, and certification requirements under this title.

(b) The office or its independent auditor may perform an on-site compliance audit of a

participating employer or request records to be provided by the participating employer,

including records required to complete:

(i) audited financial statements;

(ii) schedules of employer allocations and pension reporting in accordance with Governmental

Accounting Standards Board statements; and

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Page 29

(iii) service organizational controls reports.

audit.

(d) Audits shall be conducted at the sole discretion of the office after reasonable notice to the

participating employer of at least five working days.

(e) The participating employer shall extract and provide records as requested by the office in an

appropriate, organized, and usable format.

(f) Failure of a participating employer to allow access, provide records, or comply in any way with

an office audit shall result in the participating employer being liable to the office for:

(i) any liabilities and expenses, including administrative expenses and travel expenses,

resulting from the participating employer's failure to comply with the audit; and

(ii) a penalty equal to 1% of the participating employer's last month's contributions.

(2) If the audit reveals a participating employer's failure to make contributions as required under

Section 49-11-601, a failure to maintain records as required under Section 49-11-602, or

a failure to correctly report or certify eligibility as required under Section 49-11-603, the

participating employer shall be liable to the office for:

(a) any liability or expense, including an administrative expense or the cost of increased benefits

to members, resulting from the participating employer's failure to fully comply with the

participating employer's reporting, contribution, certification, or record keeping requirements

under this title; and

(b) a penalty, not to exceed 50% of the participating employer's total contributions for the time

period of the error.

(3) If the audit reveals that an incorrect benefit has been paid by the office to a member,

participant, alternate payee, or beneficiary due to a participating employer's failure to comply

with the requirements of Section 49-11-601, 49-11-602, or 49-11-603, in addition to the

liabilities contained in Subsection (2), the participating employer shall be liable to the office for

the following:

(a) the actuarial cost of correcting the incorrect benefit; and

(b) administrative expenses.

(4) The executive director may waive all or any part of the interest, penalties, expenses, and fees if

the executive director finds there were extenuating circumstances surrounding the participating

employer's failure to comply with this section.

Amended by Chapter 421, 2024 General Session

49-11-605 Notification and correction of violations.

If a participating employer discovers that it has violated Section 49-11-601, 49-11-602, or

49-11-603 prior to the office becoming aware of the violation, notifies the office of the violation in

writing, and corrects the violation within a period agreed to by the office, the penalties under those

sections shall be waived.

Enacted by Chapter 250, 2002 General Session

49-11-606 Full participation.

Except as provided in Sections 49-12-203, 49-12-204, 49-13-203, 49-13-204, 49-14-203, and

49-15-203, participating employers shall cover all employees eligible for service credit under this

title.

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Enacted by Chapter 250, 2002 General Session

49-11-607 Determination of benefits -- Errors in records or calculations -- Correction of

errors by the office.

(1) After the retirement date, which shall be set by a member in the member's application for

retirement, no alteration, addition, or cancellation of a benefit may be made except as provided

in Subsections (2), (3), and (4) or other law.

(2)

(a) Errors in the records or in the calculations of the office which result in an incorrect benefit to

any member, retiree, participant, covered individual, alternate payee, or beneficiary shall be

corrected by the office if the correction results in a modification of the benefit amount of $5 or

more.

(b) Future payments shall be made to any member, retiree, participant, covered individual,

alternate payee, or beneficiary to:

(i) pay the benefit to which the member or beneficiary was entitled; or

(ii) recover any overpayment.

(3)

(a) Errors in the records or calculation of a participating employer which result in an incorrect

benefit to a member, retiree, participant, covered individual, alternate payee, or beneficiary

shall be corrected by the participating employer.

(b) If insufficient employer contributions have been received by the office, the participating

employer shall pay any delinquent employer contributions, plus interest under Section

49-11-503, required by the office to maintain the system, plan, or program affected on an

actuarially sound basis.

the participating employer or member which paid the contributions.

(4) If a dispute exists between a participating employer and a member or the office and a member

at the time of the member's retirement which will affect the member's benefit calculation, and

notice of the dispute is given to the office prior to the calculation of a member's benefit, the

benefit may be paid based on the member's retirement date and the records available and then

recalculated upon settlement of the dispute.

Amended by Chapter 31, 2019 General Session

49-11-608 False statements or records -- Unlawfully cashing benefit checks -- Unlawfully

obtaining or appropriating benefit payments.

(1) A person who knowingly makes any false statement, or who falsifies or permits to be falsified

any record necessary for carrying out the intent of this title is in violation of Section 76-6-504.

(2) A person cashing a benefit check to which that person is not entitled is in violation of Section

76-6-501.

(3) A person who obtains a benefit payment, including a direct deposit or electronic benefit

payment, to which that person is not entitled and who fails to take reasonable measures to

return the benefit payment to the office is in violation of Section 76-6-407.

(4) A person who appropriates property or a benefit of another person, including a direct deposit or

electronic benefit payment, by obtaining or exercising unauthorized control over the property or

the benefit is in violation of Section 76-6-407.

Amended by Chapter 193, 2021 General Session

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49-11-609 Beneficiary designations -- Revocation of beneficiary designation -- Procedure --

Beneficiary not designated -- Payment to survivors in order established under the Uniform

Probate Code -- Restrictions on payment -- Payment of deceased's expenses.

(1) As used in this section, "member" includes a member, retiree, participant, covered individual,

a spouse of a retiree participating in the insurance benefits created by Sections 49-12-404,

49-13-404, 49-22-307, and 49-23-306, or an alternate payee under a domestic relations order

dividing a defined contribution account.

(2)

(a) Except as provided under Subsection (2)(b) or (c), the most recent beneficiary designations

signed by the member and filed with the office, including electronic records, at the time of the

member's death are binding in the payment of any benefits due under this title.

(b)

(i) The divorce or annulment of a member's marriage shall revoke the member's former spouse

as a beneficiary from any of the member's beneficiary designations.

(ii) A revocation of a former spouse as a beneficiary in accordance with Subsection (2)(b)(i)

does not revoke any other beneficiaries named on the member's beneficiary designations.

shall be revived on the member's beneficiary designations by:

(i) the member's remarriage to the former spouse; or

(ii) a nullification of the divorce or annulment.

(d) A revocation under Subsection (2)(b) does not apply to a former spouse named as a

beneficiary in a beneficiary designation signed by the member and filed with the office after

the date of the divorce or annulment.

(e) The office is not liable for having made a payment of any benefits to a beneficiary designated

in a beneficiary designation affected by a divorce, annulment, or remarriage before the office

received written notice of the divorce, annulment, or remarriage.

(3)

(a) Except where an optional continuing benefit is chosen, or the law makes a specific benefit

designation to a dependent spouse, a member may revoke a beneficiary designation at any

time and may execute and file a different beneficiary designation with the office.

(b) A beneficiary designation or change of beneficiary designation shall be completed on forms

provided by the office.

(4)

(a) All benefits payable by the office may be paid or applied to the benefit of the decedent's heirs

in the order of precedence established under Title 75, Chapter 2, Intestate Succession and

Wills, if:

(i) no beneficiary is designated or if all designated beneficiaries have predeceased the member;

(ii) the location of the beneficiary or secondary beneficiaries cannot be ascertained by the

office within 12 months of the date a reasonable attempt is made by the office to locate the

beneficiaries; or

(iii) the beneficiary has not completed the forms necessary to pay the benefits within six months

of the date that beneficiary forms are sent to the beneficiary's last-known address.

(b)

(i) A payment may not be made to a person included in any of the groups referred to in

Subsection (4)(a) if at the date of payment there is a living person in any of the groups

preceding it.

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(ii) Payment to a person in any group may be based upon receipt of an affidavit in a form

satisfactory to the office that:

(A) there are no living individuals in the group preceding it;

(B) the probate of the estate of the deceased has not been commenced; and

(5) Benefits paid under this section shall be:

(a) a full satisfaction and discharge of all claims for benefits under this title; and

(b) payable by reason of the death of the decedent.

Amended by Chapter 24, 2020 General Session

49-11-610 Benefits payable in name of beneficiary -- Delivery.

(1)

(a) Any benefits payable to a beneficiary shall be made in the name of and delivered to the

beneficiary or the lawfully appointed guardian or conservator of the beneficiary, or delivered

as otherwise ordered by a court of competent jurisdiction under Title 75, Utah Uniform

Probate Code.

(b) If the benefit involves a payment not to exceed an amount authorized by the Utah Uniform

Probate Code to any one beneficiary, the office may, without the appointment of a guardian or

conservator or the giving of a bond, pay the amount due to the beneficiary or to the persons

assuming their support.

(d) The total of the payments made under this section shall fully discharge and release the office

from any further claims.

(2) A beneficiary who qualifies for a monthly benefit under this section shall apply in writing to the

office.

(3) The allowance shall begin on the first day of the month following the month in which the:

(a) member or participant died, if the application is received by the office within 90 days of the

date of death of the member or participant; or

(b) application is received by the office, if the application is received by the office more than 90

days after the date of death of the member or participant.

Amended by Chapter 15, 2014 General Session

49-11-611 Benefits and money in the fund exempt from taxation -- Exceptions.

(1) Except as provided under Subsection (2), the benefits accrued or paid to any beneficiary of any

system or plan administered by the board and the contributions, money, securities, and other

assets in the funds created by this title are exempt from any state, county, or municipal tax.

(2) An allowance, a refund of member contributions, or other benefits that are subject to federal

income tax, which is received by a member, retiree, alternate payee, participant, or beneficiary

of any system or plan administered by the board and which has not been taxed is subject to

Title 59, Chapter 10, Individual Income Tax Act.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-612 Domestic relations order benefits -- Nonassignability of benefits or payments --

Exemption from legal process.

(1) As used in this section, "domestic relations order benefits" means:

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(a) an allowance;

(b) a defined contribution account established under:

(i) Part 8, Defined Contribution Plans;

(ii) Chapter 22, New Public Employees' Tier II Contributory Retirement Act; or

(iii) Chapter 23, New Public Safety and Firefighter Tier II Contributory Retirement Act;

(i) Chapter 14, Part 5, Death Benefit;

(ii) Chapter 15, Part 5, Death Benefit;

(iii) Chapter 16, Part 5, Death Benefit;

(iv) Chapter 17, Part 5, Death Benefit;

(v) Chapter 18, Part 5, Death Benefit; or

(vi) Chapter 19, Part 5, Death Benefit;

(d) a lump sum death benefit provided under:

(i) Chapter 12, Part 5, Death Benefit;

(ii) Chapter 13, Part 5, Death Benefit;

(iii) Chapter 22, Part 5, Death Benefit; or

(iv) Chapter 23, Part 5, Death Benefit; or

(e) a refund of member contributions upon termination.

(2) Except as provided in Subsections (3), (4), and (5), the right of any member, retiree, participant,

covered individual, or beneficiary to any retirement benefit, retirement payment, or any other

retirement right accrued or accruing under this title and the assets of the funds created by this

title are not subject to alienation or assignment by the member, retiree, participant, or their

beneficiaries and are not subject to attachment, execution, garnishment, or any other legal or

equitable process.

(3)

(a) The office may, upon the request of the retiree, deduct from the retiree's allowance, insurance

premiums or other dues payable on behalf of the retiree, but only to those entities that have

received the deductions prior to February 1, 2002.

(b) The office may, upon the request of a retiree of a public safety or firefighter system, deduct

insurance premiums from the retiree's allowance or defined contribution plan administered by

the board.

(4)

(a) The office shall provide for the division of domestic relations order benefits with former

spouses and family members under an order of a court of competent jurisdiction with respect

to domestic relations matters on file with the office.

(b) The court order shall specify the manner in which the domestic relations order benefits shall

be partitioned, whether as a fixed amount or as a percentage of the benefit.

following:

(i) the amount to be paid or the period for which payments shall be made under the original

domestic relations order may not be altered if the alteration affects the actuarial calculation

of the allowance;

(ii) payments to an alternate payee shall begin at the time the member or beneficiary begins

receiving payments; and

(iii) the alternate payee shall receive payments in the same form as allowances received by the

member or beneficiary.

(d)

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(i) Except as provided under Subsection (4)(d)(ii), to be valid, a court order under this section

must be on file with the office before the member's date of death.

(ii) A court order under this section received by the office after the member's date of death shall

be considered valid if it is received in good order before benefits relating to the member's

death are paid or settled.

(e) A court order under this section may not require and may not be interpreted in any way to

require the office to provide any type of benefit or any option not otherwise provided under

this title.

(5) In accordance with federal law, the board may deduct the required amount from any benefit,

payment, or other right accrued or accruing to any member or beneficiary of a system, plan,

or program under this title to offset any amount that member or beneficiary owes to a system,

plan, or program administered by the board.

(6) The board shall make rules to implement this section.

Amended by Chapter 24, 2020 General Session

49-11-613 Appeals procedure -- Right of appeal to hearing officer -- Board reconsideration --

Judicial review -- Docketing abstract of final administrative order.

(1)

(a) A member, retiree, participant, alternative payee, covered individual, employer, participating

employer, and covered employer shall inform themselves of their benefits, rights, obligations,

and employment rights under this title.

(b) Subject to Subsection (8), any dispute regarding a benefit, right, obligation, or employment

right under this title is subject to the procedures provided under this section.

(c)

(i) A person who disputes a benefit, right, obligation, or employment right under this title shall

request a ruling by the executive director who may delegate the decision to the deputy

director.

(ii) A request for a ruling to the executive director under this section shall constitute the initiation

of an action for purposes of the limitations periods described in Section 49-11-613.5.

(d) A person who is dissatisfied by a ruling under Subsection (1)(c) with respect to any benefit,

right, obligation, or employment right under this title may request a review of that claim by a

hearing officer within the time period described in Section 49-11-613.5.

(e)

(i) The executive director, on behalf of the board, may request that the hearing officer review a

dispute regarding any benefit, right, obligation, or employment right under this title by filing

a notice of board action and providing notice to all affected parties in accordance with rules

adopted by the board.

(ii) The filing of a notice of board action shall constitute the initiation of an action for purposes of

the limitations periods described in Section 49-11-613.5.

(2) The hearing officer shall:

(a) be hired by the executive director after consultation with the board;

(b) follow and enforce the procedures and requirements of:

(i) this title;

(ii) the rules adopted by the board in accordance with Subsection (10); and

(iii) Title 63G, Chapter 4, Administrative Procedures Act, except as specifically modified under

this title or the rules adopted by the board in accordance with Subsection (10);

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for benefits under any system, plan, or program under this title and all matters pertaining to

the administration of the office; and

(d) make conclusions of law in determining the person's rights under any system, plan, or

program under this title and matters pertaining to the administration of the office.

(3) The board shall review and approve or deny all final orders and judgments of the hearing officer

in accordance with rules adopted by the board in accordance with Subsection (10).

(4) The moving party in any proceeding brought under this section shall bear the burden of proof.

(5) A party may file an application for reconsideration by the board upon any of the following

grounds:

(a) that the board acted in excess of the board's powers;

(b) that the order or the award was procured by fraud;

(d) that the party has discovered new material evidence that could not, with reasonable diligence,

have been discovered or procured prior to the hearing.

(6) The board shall affirm, reverse, or modify the final order or judgment of the hearing officer, or

remand the application to the hearing officer for further consideration.

(7) A party aggrieved by the board's final decision under Subsection (6) may obtain judicial review

by complying with the procedures and requirements of:

(a) this title;

(b) rules adopted by the board in accordance with Subsection (10); and

this title or the rules adopted by the board in accordance with Subsection (10).

(8) The program shall provide an appeals process for medical claims that complies with federal

law.

(9)

(a)

(i) Any interested party may file, in a district court of any county in the state, an abstract of a

final administrative order approved by the board in accordance with this section.

(ii) Upon receiving the filing of an abstract, the clerk of the district court shall:

(A) docket the abstract; and

(B) note the date of the abstract's receipt on the abstract and in the docket.

(b)

(i) From the day on which an interested party files the abstract with a district court, the final

administrative order approved by the board is a lien upon the real property of the obligor

situated in that county.

(ii) Unless satisfied, the lien is for a period of eight years after the day on which the board

approves the final administrative order.

same effect as any other money judgment entered by a district court.

(d)

(i) Except as provided in Subsection (9)(d)(ii), an attachment, a garnishment, or an execution

on a judgment included in or accruing under a final administrative order approved by the

board and filed and docketed in accordance with Subsection (9)(a) has the same manner

and same effect as an attachment, a garnishment, or an execution on a judgment of a

district court.

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(ii) A writ of garnishment on earnings continues to operate, and to require the garnishee to

withhold the nonexempt portion of earnings at each succeeding earnings disbursement

interval, until the office or a court releases the writ of garnishment in writing.

(e) The lien and enforcement remedies provided by this section are in addition to any other lien

or remedy provided by law.

(f) A party may bring an action upon a final administrative order approved by the board within

eight years after the day on which the board approves the final administrative order.

(g) A final administrative order may be renewed administratively by complying with the

procedures and requirements provided in rule adopted by the board in accordance with

Subsection (10).

(10)

(a) The board shall make rules to implement this section and to establish procedures and

requirements for adjudicative proceedings.

(b) The rules shall be substantially similar to or incorporate provisions of the Utah Rules of Civil

Procedure, the Utah Rules of Evidence, and Title 63G, Chapter 4, Administrative Procedures

Act.

Amended by Chapter 421, 2024 General Session

49-11-613.5 Limitation of actions -- Cause of action.

(1)

(a) Subject to the procedures provided in Section 49-11-613 and except as provided in

Subsection (3), a party may bring an action regarding a benefit, right, obligation, or

employment right brought under this title within four years after the day on which the cause of

action accrues.

(b) A person who is dissatisfied with an executive director's ruling under Section 49-11-613 and

who seeks a review of that claim by a hearing officer shall file a request for board action

within 30 days after the day on which the executive director issues the ruling.

(2)

(a) A cause of action accrues under this title and the limitation period in this section runs from

the day on which the aggrieved party became aware, or through the exercise of reasonable

diligence should have become aware, of the facts giving rise to the cause of action, including

when:

(i) a benefit, right, or employment right is or should have been granted;

(ii) a payment is or should have been made; or

(iii) an obligation is or should have been performed.

(b) If a claim involves a retirement service credit issue under this title:

(i) a cause of action specifically accrues at the time the requisite retirement contributions

relating to that retirement service credit are paid or should have been paid to the office; and

(ii) the person is deemed to be on notice of the payment or nonpayment of those retirement

contributions.

(3) If an aggrieved party fails to discover the facts giving rise to the cause of action due to

misrepresentation, fraud, intentional nondisclosure, or other affirmative steps to conceal the

cause of action, a limitation period prescribed in this section does not begin to run until the

aggrieved party actually discovers the existence of the cause of action.

(4) The person claiming a benefit, right, obligation, or employment right arising under this title has

the burden of bringing the action within the period prescribed in this section.

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(5) Nothing in this section relieves a member, retiree, participant, alternative payee, covered

individual, employer, participating employer, or covered employer of the obligations under this

title.

(6) The office is not required to bring a claim on behalf of a member, retiree, participant, alternative

payee, covered individual, employer, participating employer, or covered employer.

(7)

(a) A limitation period provided in this section does not apply to actions for which a specific limit

is otherwise specified in this title or by contract, including master policies or other insurance

contracts.

(b) For actions arising under this title, this section supersedes any applicable limitation period

provided in Title 78B, Chapter 2, Statutes of Limitations.

Amended by Chapter 37, 2023 General Session

49-11-614 Vesting on termination of system or plan.

If any system or the Utah Governors' and Legislators' Retirement Plan is terminated, the

accrued benefits of each member in the terminated system or plan shall immediately become

vested and nonforfeitable.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-615 Election to grandfather -- Applicability of provisions.

(1) Notwithstanding any other provision of this title, the allowance payable to any person who

becomes a member of any system, administered by the board on or after January 1, 1990, may

not exceed the limitation imposed by Section 415 of the Internal Revenue Code of 1986, as

amended, which is incorporated by reference.

(2) This constitutes an election of the grandfather provision under Section 415(b)(10)(C) of the

Internal Revenue Code.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-616 Benefits information.

(1) The office shall provide written general information to each participating employer concerning

benefits available under this title.

(2)

(a) A participating employer shall provide the information under Subsection (1) to each eligible

employee:

(i) immediately upon termination of service, leave of absence, commencement of long-term

disability benefits, or retirement; and

(ii) in person or, if the employee is unavailable to receive the information in person, by mailing

the information to the employee's last known address.

(b)

(i) Each participating employer shall maintain the records necessary to demonstrate that the

employer has provided the information outlined in Subsection (1) as required in Subsection

(2)(a).

(ii) The records shall be made available to the office upon request.

(3)

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(a) The office shall provide each participating employer with a form to be signed by each

employee to verify that the employee has been given in person the information required by

this section.

(b) If an employer provides information under Subsection (1) by mail as provided in Subsection

(2)(a)(ii), the employer shall:

(i) indicate on the form that the information was mailed to the employee and the address to

which the information was mailed;

(ii) maintain the records necessary to demonstrate that the employer complied with the

requirements under this Subsection (3); and

(iii) make the records available to the office upon request.

Amended by Chapter 243, 2015 General Session

49-11-617 Original documents.

(1) At the reasonable discretion of the office, any document relating to this title may be treated as

an original, whether created by photocopy, facsimile, e-mail, electronic transmission, imaging,

or other technology.

(2) The office may communicate with participating employers, members, beneficiaries, and others

through electronic means as determined appropriate by the office.

Amended by Chapter 316, 2013 General Session

49-11-618 Members and beneficiaries subject to chapter -- Furnishing of information --

Confidentiality of information.

(1)

(a) Every member, retiree, participant, covered individual, alternate payee, and beneficiary is

subject to this chapter, rules made by the board or office, board actions, resolutions, policies,

and procedures adopted under this title.

(b) Each member, retiree, participant, covered individual, alternate payee, and beneficiary shall

furnish to the office any information required to carry out the purposes of this title.

(2)

(a) All data in the possession of the office is confidential, and may not be divulged by the office

except as permitted by board action.

(b) All data in the possession of the office or divulged pursuant to board action shall be used for

the sole purpose of carrying into effect the provisions of this title.

Renumbered and Amended by Chapter 250, 2002 General Session

49-11-619 Permanent relinquishment of benefit -- Procedure.

(1)

(a) Except for defined contribution plans authorized by this title, a member, retiree, or beneficiary

may permanently relinquish a benefit under this title by signing an irrevocable written

relinquishment.

(b) If the retiree has designated a beneficiary which is still living, the written relinquishment must

be signed by both the retiree and the beneficiary.

(2) The value of the benefit permanently relinquished under Subsection (1) shall remain in the

fund from which the benefit was relinquished and shall be used in the calculation of future

contribution rates.

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(3) A designated beneficiary may disclaim beneficiary status and the benefit shall then be payable

first to any alternate designated beneficiary, then dispersed under Title 75, Chapter 2, Intestate

Succession and Wills, as applicable.

(4) The office is not required to recognize or accept any written relinquishment that jeopardizes the

tax qualified status of the systems, plans, or programs or otherwise violates federal law.

Amended by Chapter 252, 2008 General Session

49-11-620 Closing the retirement account -- Status of retirees and beneficiaries.

(1) The monthly benefit payable for the month a retiree, beneficiary, or alternate payee dies shall

be a full monthly benefit and shall be payable to the estate of the deceased.

(2) If more than one year has elapsed since the death of a retiree whose designated beneficiary is

deceased and whose account payable to the beneficiary amounts to $100 or less, the account

shall be closed and further payment may not be made.

Enacted by Chapter 250, 2002 General Session

49-11-621 Change in employer -- Eligibility for retirement.

(1) If a participating employer is dissolved, consolidated, merged, or is structurally changed in any

way, but similar services are provided by the same members after the change, the members

may not be considered terminated for purposes of eligibility for retirement until the members

actually terminate and are otherwise eligible for retirement.

(2) The board may adopt rules to implement this section.

Enacted by Chapter 116, 2005 General Session

49-11-622 Subsidiaries or other companies owned by independent corporations --

Participation -- Withdrawal.

(1) Notwithstanding any other provision of this title, an independent corporation, as defined in

Section 63E-1-102, which participates in a system or plan prior to July 1, 2006, and which owns

a subsidiary, or other company may provide for the participation of employees with that system

or plan as follows:

(a) the independent corporation shall determine a date that is no later than January 1, 2007, on

which the independent corporation shall make an election under Subsection (2);

(b) an employee hired by the independent corporation and transferred to a subsidiary, or other

company on or after the date set under Subsection (1)(a) may not participate in a system or

plan; and

determined by the office, to have arisen out of the transfer of the employees from the

independent corporation.

(2) The independent corporation described under Subsection (1) shall elect to:

(a) continue its participation for all current employees covered by a system or plan and

transferred to a subsidiary, or other company, as of the date set under Subsection (1)(a); or

(b) withdraw from participation in all systems or plans for all employees covered by a system or

plan and transferred to the subsidiary, or other company, as of the date set under Subsection

(1)(a).

(3) If an independent corporation elects to continue participation under Subsection (2)(a), the

independent corporation and the transferred employees shall continue to be subject to the laws

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Page 40

and the rules governing the system or plan in which the employee participates, including the

accrual of service credit and payment of contributions.

Enacted by Chapter 309, 2006 General Session

49-11-623 Withdrawing entity -- Participation election date -- Withdrawal costs --

Rulemaking.

(1) As used in this section, "withdrawing entity" means an entity that:

(a) participates in a system or plan under this title prior to July 1, 2014;

(b) provides mental health and substance abuse services for a county under Section 17-50-318;

tax status to a nonprofit organization that qualifies under Section 501(c)(3) of the Internal

Revenue Code; and

(d) is not a state institution of higher education as described in Section 53B-2-101.

(2) Notwithstanding any other provision of this title, a withdrawing entity may provide for the

participation of its employees with that system or plan as follows:

(a) the withdrawing entity shall determine a date that is no later than January 1, 2017, on which

the withdrawing entity shall make an election under Subsection (3); and

(b) subject to the provisions of Subsection (6), the withdrawing entity shall pay to the office any

reasonable actuarial and administrative costs determined by the office to have arisen out of

an election made under this section.

(3) The withdrawing entity described under Subsection (2) may elect to:

(a)

(i) continue its participation for all current employees of the withdrawing entity, who are covered

by a system or plan as of the date set under Subsection (2)(a); and

(ii) withdraw from participation in all systems or plans for all persons initially entering

employment with the withdrawing entity, beginning on the date set under Subsection (2)(a);

(b) withdraw from participation in all systems or plans for all current and future employees of the

withdrawing entity, beginning on the date set under Subsection (2)(a).

(4)

(a) An election provided under Subsection (3):

(i) is a one-time election made no later than the date specified under Subsection (2)(a);

(ii) shall be documented by a resolution adopted by the governing body of the withdrawing

entity;

(iii) is irrevocable; and

(iv) applies to the withdrawing entity as the employer and to all employees of the withdrawing

entity.

(b) Notwithstanding an election made under Subsection (3), any eligibility for service credit

earned by an employee under this title before the date specified under Subsection (2)(a) is

not affected by this section.

(5) If a withdrawing entity elects to continue participation under Subsection (3), the withdrawing

entity shall continue to be subject to the laws and the rules governing the system or plan

in which an employee participates, including the accrual of service credit and payment of

contributions.

(6) Before a withdrawing entity may withdraw under this section, the withdrawing entity and the

office shall enter into an agreement on:

(a) the costs described under Subsection (2)(b); and

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(b) arrangements for the payment of the costs described under Subsection (2)(b).

(7) The board shall make rules to implement this section.

Amended by Chapter 364, 2015 General Session

49-11-624 Withdrawing entity -- Participation election date -- Withdrawal costs --

Rulemaking.

(1) As used in this section, "withdrawing entity" means the mutual corporation that is the successor

to the quasi-public corporation created under Chapter 33, Workers' Compensation Fund, which

is the chapter repealed by Laws of Utah 2017, Chapter 363.

(2) Notwithstanding any other provision of this title, a withdrawing entity may provide for the

participation of its employees with that system or plan as follows:

(a) the withdrawing entity shall determine a date that is no later than January 1, 2018, on which

the withdrawing entity shall make an election under Subsection (3); and

(b) subject to Subsection (6), the withdrawing entity shall pay to the office any reasonable

actuarial and administrative costs determined by the office to have arisen out of an election

made under this section.

(3) The withdrawing entity described under Subsection (2) may elect to:

(a)

(i) continue its participation for all current employees of the withdrawing entity, who are covered

by a system or plan as of the date set under Subsection (2)(a); and

(ii) withdraw from participation in all systems or plans for all persons initially entering

employment with the withdrawing entity, beginning on the date set under Subsection (2)(a);

(b) withdraw from participation in all systems or plans for all current and future employees of the

withdrawing entity, beginning on the date set under Subsection (2)(a).

(4)

(a) An election provided under Subsection (3):

(i) is a one-time election made no later than the date specified under Subsection (2)(a);

(ii) shall be documented by a resolution adopted by the governing body of the withdrawing

entity;

(iii) is irrevocable; and

(iv) applies to the withdrawing entity as the employer and to all employees of the withdrawing

entity.

(b) Notwithstanding an election made under Subsection (3), any eligibility for service credit

earned by an employee under this title before the date specified under Subsection (2)(a) is

not affected by this section.

(5) If a withdrawing entity elects to continue participation under Subsection (3), the withdrawing

entity shall continue to be subject to the laws and the rules governing the system or plan

in which an employee participates, including the accrual of service credit and payment of

contributions.

(6) Before a withdrawing entity may withdraw under this section, the withdrawing entity and the

office shall enter into an agreement on:

(a) the costs described under Subsection (2)(b); and

(b) arrangements for the payment of the costs described under Subsection (2)(b).

(7) The board shall make rules to implement this section.

Revisor instructions Chapter 273, 2018 General Session

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Revisor instructions Chapter 363, 2017 General Session

Enacted by Chapter 363, 2017 General Session

49-11-625 Withdrawing independent entity -- Participation election date -- Withdrawal costs

-- Rulemaking.

(1) As used in this section, "withdrawing entity" means an entity that:

(a) participates in a system or plan under this title before January 1, 2021;

(b) is an independent entity listed under Subsection 63E-1-102(4)(b); and

business operations and employment of employees under contract through a regional, multi-

state partnership.

(2) A withdrawing entity may elect to withdraw from participation in all systems or plans for all

current and future employees of the withdrawing entity, beginning on the date set in accordance

with Subsection (3)(a).

(3) Notwithstanding any other provision of this title, a withdrawing entity may provide for the

participation of the withdrawing entity's employees with the system or plan as follows:

(a) the withdrawing entity shall determine a date that is before July 1, 2022, on which the

withdrawing entity shall make an election under Subsection (2); and

(b) subject to Subsection (6), the withdrawing entity shall pay to the office any reasonable

actuarial and administrative costs determined by the office to have arisen out of an election

made under this section.

(4)

(a) An election made under Subsection (2):

(i) shall be made on or before the date specified under Subsection (3)(a);

(ii) shall be documented by a resolution adopted by the governing body of the withdrawing

entity;

(iii) remains in effect unless and until the withdrawing entity again becomes a participating entity

with the office in accordance with Subsection (5); and

(iv) applies to a withdrawing entity as the employer and to all employees of the withdrawing

entity.

(b) Notwithstanding an election made under Subsection (2), any eligibility for service credit

earned by an employee under this title before the date specified under Subsection (3)(a) is

not affected by this section.

under Subsection (2) may provide or participate in any type of public or private retirement for

the withdrawing entity's employees.

(5) After the withdrawal and subject to the laws and rules governing participating employer

admission, the withdrawing entity may elect, by resolution of the withdrawing entity's governing

body, to resume participation with the office and apply for admission as a participating employer

in a system or plan under this title.

(6) Before a withdrawing entity may withdraw under this section, the withdrawing entity and the

office shall enter into an agreement on:

(a) the costs described in Subsection (3)(b); and

(b) arrangements for the payment of the costs described in Subsection (3)(b).

(7) The board shall make rules to implement this section.

Enacted by Chapter 193, 2021 General Session

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49-11-626 Withdrawing entity -- Participation election date -- Withdrawal costs --

Rulemaking.

(1) As used in this section, "withdrawing entity" means an entity that:

(a) participates in a system or plan under this title before January 1, 2023; and

(b)

(i) is a public employees' association;

(ii) is an insurer that is subject to the disclosure requirements of Section 31A-4-113; or

(iii) after beginning participation with a system or plan under this title, has modified the entity's

federal tax status to a nonprofit organization that qualified under Section 501(c)(3) of the

Internal Revenue Code.

(2) Notwithstanding any other provision of this title, a withdrawing entity may provide for the

participation of the withdrawing entity's employees with that system or plan as follows:

(a) the withdrawing entity shall determine a date that is no later than July 1, 2025, on which the

withdrawing entity shall make an election and complete withdrawal under Subsection (3);

(b) the withdrawing entity shall provide to the office notice of the withdrawing entity's intent to

enter into an agreement described in Subsection (2)(c);

document a good faith arrangement to complete a withdrawal under this section; and

(d) subject to Subsection (6), the withdrawing entity shall pay to the office any reasonable

actuarial and administrative costs determined by the office to have arisen out of an election

made under this section.

(3) The withdrawing entity may elect to:

(a)

(i) continue the withdrawing entity's participation for all current employees of the withdrawing

entity, who are covered by a system or plan on the date set under Subsection (2)(a); and

(ii) withdraw from participation in all systems and plans for all persons initially entering

employment with the withdrawing entity, beginning on the date set under Subsection (2)(a);

(b) withdraw from participation in all systems or plans for all current and future employees of the

withdrawing entity, beginning on the date set under Subsection (2)(a).

(4)

(a) An election made under Subsection (3):

(i) shall be made on or before the date specified under Subsection (2)(a);

(ii) shall be documented by a resolution adopted by the governing body of the withdrawing

entity;

(iii) remains in effect unless and until the withdrawing entity again becomes a participating

employer with the office in accordance with Subsection (5); and

(iv) applies to the withdrawing entity as the employer and to all employees of the withdrawing

entity.

(b) Notwithstanding an election made under Subsection (3), any eligibility for service credit

earned by an employee under this title before the date specified under Subsection (2)(a) is

not affected by this section.

under Subsection (3) may provide or participate in any type of public or private retirement for

the withdrawing entity's employees after the withdrawal.

(5) After the withdrawal and subject to the laws and rules governing participating employer

admission, the withdrawing entity may elect, by resolution of the withdrawing entity's governing

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Page 44

body, to resume participation with the office and apply for admission as a participating employer

in a system or plan under this title.

(6) Before a withdrawing entity may withdraw under this section, the withdrawing entity and the

office shall enter into an agreement on:

(a) the costs described under Subsection (2)(d); and

(b) arrangements for the payment of the costs described under Subsection (2)(d).

Amended by Chapter 512, 2023 General Session

Part 7

Allowance Increase

49-11-701 Allowance increase to offset tax liability -- Administration.

(1) This section applies to members of any system administered by the board under this title,

whose retirement allowance remained exempt from the tax imposed under Title 59, Chapter 10,

Individual Income Tax Act, pursuant to Laws of Utah 1988, Chapter 195, Section 2, but whose

allowance has subsequently become subject to that tax.

(2) Any member who meets the conditions established under Subsection (1) shall receive the

following:

(a) the administrator shall calculate the member's retirement allowance pursuant to the formula

governing the system from which the member retired;

(b) the administrator shall then increase the allowance calculated under Subsection (2)(a) by 3%;

and

future adjustments to benefits are made.

(3)

(a) For all members who retire or are receiving retirement allowances in calendar year 1989, the

administrator shall apply the 3% adjustment under Subsection (2) to all retirement allowances

received in 1989, so that the period for which the allowance becomes subject to the tax under

Title 59, Chapter 10, Individual Income Tax Act, and the period for which the 3% adjustment

is given are the same.

(b) For all members who retire after December 31, 1989, and who meet the requirements

of Subsection (1), the administrator shall apply the 3% adjustment under Subsection (2)

beginning on the effective date of retirement.

(4) Any penalty or interest for underpayment of taxes under Title 59, Chapter 1, General Taxation

Policies, or Chapter 10, Individual Income Tax Act, shall be waived for members whose

noncompliance is attributable to Section 49-11-611 and this section. This only applies to tax

year 1989.

(5) The administrator shall comply with Title 59, Chapter 10, Part 4, Withholding of Tax, with

respect to withholding of taxes.

(6)

(a) The retirement board shall annually certify the contribution rate necessary for each system to

comply with this section and may adopt rules to administer this section.

(b) This contribution rate shall be reported separately from the total contribution rate necessary to

fund the systems on an actuarially sound basis and may not be used in comparative studies

of public employee benefits.

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Amended by Chapter 250, 2008 General Session

Part 8

Defined Contribution Plans

49-11-801 Defined contribution plans authorized -- Subject to federal and state laws --

Rules to implement this provision -- Costs of administration -- Limitations on eligibility --

Protection of tax status.

(1)

(a) The board shall establish and administer defined contribution plans established under the

Internal Revenue Code.

(b) Voluntary deferrals and nonelective contributions shall be permitted according to the

provisions of these plans as established by the board.

49-23-401(3)(a), the defined contribution account balance is vested in the participant.

(2)

(a) Voluntary deferrals and nonelective contributions shall be posted to the participant's account.

(b) Except as provided in Subsections 49-22-303(3), 49-22-401(4), 49-23-302(3), and

49-23-401(4), participants may direct the investment of their account in the investment

options established by the board and in accordance with federal and state law.

(3)

(a) The board may make rules and create plan documents to implement and administer this

section.

(b) The board may adopt rules under which a participant may put money into a defined

contribution plan as permitted by federal law.

plans, or programs would be jeopardized by allowing the payment.

(d) Costs of administration shall be paid as established by the board.

(4) Voluntary deferrals and nonelective contributions may be invested separately or in conjunction

with the Utah State Retirement Investment Fund.

(5) The board or office may take actions necessary to protect the tax qualified status of the

systems, plans, and programs under its control, including the movement of individuals from

defined contribution plans to defined benefit systems or the creation of excess benefit plans

authorized by federal law.

(6) The office may, at its sole discretion, correct errors made in the administration of its defined

contribution plans.

Amended by Chapter 258, 2015 General Session

49-11-802 Permanent relinquishment of defined contribution benefit -- Procedure.

A participant or designated beneficiary under a defined contribution plan may permanently

relinquish the benefit by signing an irrevocable written relinquishment.

Enacted by Chapter 250, 2002 General Session

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Part 9

Insurance Premium Tax Revenues Distribution

49-11-901.5 Premium tax revenues -- Distribution.

(1)

(a) In accordance with this section there shall be paid to the office:

(i) 50% of the annual tax levied, assessed, and collected under Title 59, Chapter 9, Taxation

of Admitted Insurers, upon premiums for property insurance, as defined under Section

31A-1-301, and as applied to fire and allied lines insurance collected by insurance

companies within the state; and

(ii) 10% of all money assessed and collected under Title 59, Chapter 9, Taxation of Admitted

Insurers, upon premiums for life insurance, as defined in Section 31A-1-301, within the

state.

(b) Payments to the fund shall be made annually until the service liability under this part is

liquidated, after which the tax revenue provided in this Subsection (1) ceases.

(2) The office shall distribute the premium tax revenue paid under Subsection (1) as follows:

(a) an amount determined by the office to fully fund the long-term disability program provided for

firefighters under Section 49-23-601;

(b) an amount determined by the office to the Firefighters' Retirement Trust Fund created under

Section 49-16-104 equal to the amount when calculated as a percentage of the certified

contribution rate for members in Divisions A and B, as defined under Section 49-16-301, that

is the percentage of the certified contribution rate paid to the Firefighters' Retirement Trust

Fund on July 1, 2004; and

Enacted by Chapter 290, 2011 General Session

Enacted by Chapter 439, 2011 General Session

49-11-902 Premium tax revenues -- Formula -- Deposits.

(1) If the premium tax revenue received by the office under Subsection 49-11-901.5(1) and first

paid in accordance with Subsections 49-11-901.5(2)(a) and (b), including any remaining

amount, the office shall deposit the amount in the:

(a) Public Safety Contributory Trust Fund created under Section 49-14-104; and

(b) Public Safety Noncontributory Retirement Trust Fund created under Section 49-15-104.

(2) The money deposited under this section shall be used to fund an increase for retirees in the

public safety retirement systems from a 2.5% maximum annual cost-of-living adjustment to a

4% maximum annual cost-of-living adjustment under Sections 49-14-403 and 49-15-403 in the

public safety retirement systems.

(3) As required to implement this section, the office shall make the calculations and deposits for the

equitable apportionment of money between:

(a) Division A1 and B1; and

(b) the contributory and noncontributory trust funds.

Amended by Chapter 290, 2011 General Session

Amended by Chapter 439, 2011 General Session

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49-11-903 State appropriation funding offset -- Proportionate share determination and

reporting.

(1) As used in this section:

(a) "Baseline period" means calendar years 2013, 2014, and 2015.

(b) "Premium tax receipts" means the money received by the office under Subsection

49-11-901.5(1) and paid in accordance with Subsections 49-11-901.5(2)(a) and (b).

Firefighters Retirement Fund that offsets the gross expense of the Firefighters' Retirement

System.

(2) The office shall make a determination for the Firefighters' Retirement System, as recommended

by the actuary and adopted by the executive director, as follows:

(a) determine for the baseline period:

(i) the average annual dollar amount of premium tax receipts;

(ii) the average annual dollar amount of total employer contributions; and

(iii) the proportionate share of total dollar employer contributions funded by premium tax

receipts for the baseline period, which is calculated as the average annual dollar amount

of premium tax receipts divided by the average annual dollar amount of total employer

contributions;

(b) determine for each calendar year, beginning after calendar year 2020, the proportionate

share of total dollar employer contributions funded by the state appropriation, which is

calculated as the dollar amount of the state appropriation divided by the total dollar employer

contributions; and

period under Subsection (2)(a)(iii), recommend the actuarially determined dollar amount, if

any, that the state appropriation may be reduced by in the future to maintain an equivalent

proportionate share that is not expected to exceed the proportionate share for the baseline

period.

(3)

(a) If the determination under Subsection (2)(c) results in recommending a reduction to the state

appropriation, the office shall report the dollar amount of the recommended reduction to the

governor and Legislature, which may be included in the annual report on contribution rates

required under Subsection 49-11-203(1)(h).

(b) If the Legislature reduces the state appropriation, the board's subsequent certified

contribution rates for the Firefighters' Retirement System shall include any additional member

or employer contributions required to maintain the system on a financially and actuarially

sound basis due to the reduced funding offset dollars.

(4) As required to implement this section, the office may make the determinations using actuarial

assumptions and methods adopted by the board.

Amended by Chapter 451, 2022 General Session

Part 10

Partial Lump-Sum Payments

49-11-1001 Partial lump-sum payment option.

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Page 48

(1) Except as provided in Subsection (5), at the time of application for retirement, a member may

elect to receive a lump-sum payment of a portion of the member's retirement allowance equal

to 12 or 24 months of the member's allowance to be paid upon retirement.

(2) The member's allowance shall be reduced to reflect the actuarial value of the lump-sum

received under Subsection (1).

(3) A member who has received a lump-sum payment under this section is not eligible for another

lump-sum payment under this section.

(4) The board may make rules to implement this section.

(5) A member or participant of a system or plan under Chapter 22, New Public Employees'

Tier II Contributory Retirement Act, or Chapter 23, New Public Safety and Firefighter Tier II

Contributory Retirement Act, is not eligible to make an election under this section.

Amended by Chapter 266, 2010 General Session

Part 11

Public Information Disclosure

49-11-1101 Public financial information disclosure on website -- Exclusions.

(1) The office shall provide the following financial information for the public on its website:

(a) administrative expense transactions from its general ledger accounting system; and

(b) employee compensation information by individual employee at least annually.

(2) For purposes of this part, the office is not required to provide other information for public access

on its website, if the disclosure of the information would conflict with the fiduciary obligations of

the board, including:

(a) revenue transactions; and

(b) member and participant information.

Amended by Chapter 281, 2016 General Session

49-11-1102 Public notice of administrative board meetings -- Posting on Utah Public Notice

Website.

(1) The office shall provide advance public notice of meetings and agendas on the Utah Public

Notice Website established in Section 63A-16-601 for administrative board meetings.

(2) The office may post other public materials, as directed by the board, on the Utah Public Notice

Website.

Amended by Chapter 84, 2021 General Session

Amended by Chapter 345, 2021 General Session

49-11-1103 Public information requests.

The office shall establish, in policy, time limits to respond to public information requests.

Enacted by Chapter 281, 2016 General Session

Part 12

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Page 49

Postretirement Reemployment Restrictions Act

49-11-1201 Title.

This part is known as the "Postretirement Reemployment Restrictions Act."

Enacted by Chapter 310, 2016 General Session

Superseded 7/1/2025

49-11-1202 Definitions.

As used in this part:

(1)

(a) "Affiliated emergency services worker" means a person who:

(i) is employed by a participating employer;

(ii) performs emergency services for another participating employer that is a different agency;

(iii) is trained in techniques and skills required for the emergency service;

(iv) continues to receive regular training required for the service;

(v) is on the rolls as a trained affiliated emergency services worker of the participating

employer; and

(vi) provides ongoing service for a participating employer, which service may include service

as a volunteer firefighter, reserve law enforcement officer, search and rescue worker,

emergency medical technician, ambulance worker, park ranger, or public utilities worker.

(b) "Affiliated emergency services worker" does not include a person who performs work or

service but does not meet the requirements of Subsection (1)(a).

(2) "Amortization rate" means the amortization rate, as defined in Section 49-11-102, to be applied

to the system that would have covered the retiree if the retiree's reemployed position were

deemed to be an eligible, full-time position within that system.

(3) "Part-time appointed or elected board member" means an individual who:

(a) serves in a position:

(i) as a member of a board, commission, council, committee, panel, or other body of a

participating employer; and

(ii) that is designated in the participating employer's governing statute, charter, creation

document, or similar document;

(b) is appointed or elected to the position for a definite and fixed term of office by official and duly

recorded action of the participating employer;

for the participating employer, whether as an employee or under a contract; and

(d) retires from a participating employer that is different than the participating employer with the

position in which the person serves.

(4)

(a) "Reemployed," "reemploy," or "reemployment" means work or service performed for a

participating employer after retirement, in exchange for compensation.

(b) Reemployment includes work or service performed on a contract for a participating employer

if the retiree is:

(i) listed as the contractor; or

(ii) an owner, partner, or principal of the contractor.

(5) "Retiree":

(a) means a person who:

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Page 50

(i) retired from a participating employer; and

(ii) begins reemployment on or after July 1, 2010, with a participating employer; and

(b) does not include a person:

(i)

(A) who was reemployed by a participating employer before July 1, 2010; and

(B) whose participating employer that reemployed the person under Subsection (5)(b)(i)(A)

was dissolved, consolidated, merged, or structurally changed in accordance with Section

49-11-621 on or after July 1, 2010; or

(ii) who is working under a phased retirement agreement in accordance with Title 49, Chapter

11, Part 13, Phased Retirement.

Amended by Chapter 449, 2020 General Session

Effective 7/1/2025

49-11-1202 Definitions.

As used in this part:

(1)

(a) "Affiliated emergency services worker" means an individual who:

(i) is employed by a participating employer;

(ii) performs emergency services for another participating employer that is a different agency;

(iii) is trained in techniques and skills required for the emergency service;

(iv) continues to receive regular training required for the service;

(v) is on the rolls as a trained affiliated emergency services worker of the participating

employer; and

(vi) provides ongoing service for a participating employer, which service may include service

as a volunteer firefighter, reserve law enforcement officer, search and rescue worker,

emergency medical technician, ambulance worker, park ranger, or public utilities worker.

(b) "Affiliated emergency services worker" does not include an individual who performs work or

service but does not meet the requirements of Subsection (1)(a).

(2) "Amortization rate" means the amortization rate, as defined in Section 49-11-102, to be applied

to the system that would have covered the retiree if the retiree's reemployed position were

deemed to be an eligible, full-time position within that system.

(3) "Bona fide termination of employment" means:

(a) permanent separation from employment or a fee-for-service relationship with any participating

employer; and

(b) separation from employment without a prearrangement that anticipates postretirement

reemployment or a postretirement fee-for-service relationship with a participating employer.

(4) "Normal cost rate" means the normal cost rate, as defined in Section 49-11-102, to be applied

to the system that would have covered the retiree if the retiree's reemployed position were

deemed to be an eligible, full-time position within that system.

(5) "Part-time appointed or elected board member" means an individual who:

(a) serves in a position:

(i) as a member of a board, commission, council, committee, panel, or other body of a

participating employer; and

(ii) that is designated in the participating employer's governing statute, charter, creation

document, or similar document;

(b) is appointed or elected to the position for a definite and fixed term of office by official and duly

recorded action of the participating employer;

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Page 51

for the participating employer, whether as an employee or under a contract; and

(d) retires from a participating employer that is different than the participating employer with the

position in which the person serves.

(6) "Public employee retiree" means a retiree who retires under:

(a) Chapter 12, Public Employees' Contributory Retirement Act;

(b) Chapter 13, Public Employees' Noncontributory Retirement Act; or

(7) "Public safety or firefighter retiree" means a retiree who retires under:

(a) Chapter 14, Public Safety Contributory Retirement Act;

(b) Chapter 15, Public Safety Noncontributory Retirement Act;

(d) Chapter 23, Part 3, Tier II Hybrid Retirement System.

(8)

(a) "Reemployed," "reemploy," or "reemployment" means work or service performed for a

participating employer after retirement, in exchange for compensation.

(b) "Reemployed," "reemploy," or "reemployment" includes work or service performed on a

contract for a participating employer if the retiree is:

(i) listed as the contractor; or

(ii) an owner, partner, or principal of the contractor.

(9)

(a) "Retiree"means an individual who:

(i) retired from a participating employer; and

(ii) begins reemployment on or after July 1, 2010, with a participating employer.

(b) "Retiree" does not include an individual:

(i)

(A) who was reemployed by a participating employer before July 1, 2010; and

(B) whose participating employer that reemployed the individual under Subsection (9)(b)(i)(A)

was dissolved, consolidated, merged, or structurally changed in accordance with Section

49-11-621 on or after July 1, 2010; or

(ii) who is working under a phased retirement agreement in accordance with Chapter 11, Part

13, Phased Retirement.

Amended by Chapter 405, 2024 General Session

49-11-1203 Applicability.

(1)

(a) This part does not apply to employment as an elected official if the elected official's position is

not full time as certified by the participating employer.

(b) The provisions of this part apply to an elected official whose elected position is full time as

certified by the participating employer.

(2)

(a) This part does not apply to employment as a part-time appointed board member who does

not receive any remuneration, stipend, or other benefit for the part-time appointed board

member's service.

(b) For purposes of this Subsection (2), remuneration, stipend, or other benefit does not include

receipt of per diem and travel expenses up to the amounts established by the Division of

Finance in:

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Page 52

(i) Section 63A-3-106;

(ii) Section 63A-3-107; and

(iii) rules made by the Division of Finance according to Sections 63A-3-106 and 63A-3-107.

(3) This part does not apply to a person who is reemployed as an active senior judge or an active

senior justice court judge as described by Utah State Court Rules, appointed to hear cases by

the Utah Supreme Court in accordance with Article VIII, Section 4, Utah Constitution.

(4) An exemption under this section from the provisions of this part is available only for a member

who, at the time of retirement, is at least:

(a) 50 years old, if the member is retiring from a public safety system or firefighter retirement

system; or

(b) 55 years old.

Amended by Chapter 449, 2020 General Session

Superseded 7/1/2025

49-11-1204 General restrictions -- Election following one-year separation -- Amortization

rate.

(1) A retiree may not for the same period of reemployment:

(a)

(i) earn additional service credit; or

(ii) receive any retirement related contribution from a participating employer; and

(b) receive a retirement allowance.

(2)

(a) Except as provided under Section 49-11-1205, the office shall cancel the retirement

allowance of a retiree if the reemployment with a participating employer begins within one

year of the retiree's retirement date.

(b) If the office cancels the retiree's retirement allowance under Subsection (2)(a), the retiree

may be eligible to earn additional service credit in the reemployed position and receive an

allowance in accordance with Subsections (4)(a) and (5) and other provisions of this title.

(3) If a reemployed retiree, in accordance with Subsection (2)(a), is exempt from having the

allowance cancelled, including for completing the one-year separation from employment with a

participating employer, the retiree may elect to:

(a) cancel the retiree's retirement allowance and instead earn additional service credit in the

reemployed position and receive an allowance in accordance with Subsections (4)(a) and (5)

and other provisions of this title; or

(b) continue to receive the retiree's retirement allowance, forfeit earning additional service credit,

and forfeit any retirement-related contribution from the participating employer that reemployed

the retiree.

(4)

(a) If a retiree's retirement allowance is cancelled and the retiree is eligible for retirement

coverage in a reemployed position, the office shall reinstate the retiree to active

member status on the first day of the month following the date of the employee's eligible

reemployment.

(b) Except as provided under Subsection (4)(c), if the retiree is not otherwise eligible for

retirement coverage in the reemployed position, the participating employer that reemploys the

retiree shall contribute the amortization rate to the office on behalf of the retiree.

49-11-1205(1) is not required to contribute the amortization rate to the office.

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Page 53

(5)

(a) For a retiree reinstated to active member status under Subsection (4)(a) who retires within

two years from the date of reemployment, the office:

(i) may not recalculate a retirement benefit for the retiree; and

(ii) shall resume the allowance that was being paid to the retiree at the time of the cancellation.

(b) Subject to Subsection (1), for a retiree who is reinstated to active membership under

Subsection (4)(a) and retires two or more years after the date of reinstatement to active

membership, the office shall:

(i) resume the allowance that was being paid at the time of cancellation; and

(ii) calculate an additional allowance for the retiree based on the formula in effect at the date of

the subsequent retirement for all service credit accrued between the first and subsequent

retirement dates.

Amended by Chapter 24, 2020 General Session

Effective 7/1/2025

49-11-1204 General restrictions -- Election following one-year separation -- Amortization

rate.

(1) A retiree may not for the same period of reemployment:

(a)

(i) earn additional service credit; or

(ii) receive any retirement related contribution from a participating employer; and

(b) receive a retirement allowance.

(2)

(a) Except as provided under Section 49-11-1205, the office shall cancel the retirement

allowance of a retiree if the reemployment with a participating employer begins within one

year of the retiree's retirement date.

(b) If the office cancels the retiree's retirement allowance under Subsection (2)(a), the retiree

may be eligible to earn additional service credit in the reemployed position and receive an

allowance in accordance with Subsections (4)(a) and (5) and other provisions of this title.

(3) If a reemployed retiree, in accordance with Subsection (2)(a), is exempt from having the

allowance cancelled, including for completing the one-year separation from employment with a

participating employer, the retiree may elect to:

(a) cancel the retiree's retirement allowance and instead earn additional service credit in the

reemployed position and receive an allowance in accordance with Subsections (4)(a) and (5)

and other provisions of this title; or

(b) continue to receive the retiree's retirement allowance, not earn additional service credit,

and not receive any retirement-related contribution from the participating employer that

reemployed the retiree.

(4)

(a) If a retiree's retirement allowance is cancelled and the retiree is eligible for retirement

coverage in a reemployed position, the office shall reinstate the retiree to active

member status on the first day of the month following the date of the employee's eligible

reemployment.

(b) Except as provided under Subsection (4)(c), if the retiree is not otherwise eligible for

retirement coverage in the reemployed position, the participating employer that reemploys the

retiree shall contribute the amortization rate to the office on behalf of the retiree.

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Page 54

49-11-1205(1) is not required to contribute the amortization rate to the office.

(5)

(a) For a retiree reinstated to active member status under Subsection (4)(a) who retires within

two years from the date of reemployment, the office:

(i) may not recalculate a retirement benefit for the retiree; and

(ii) shall resume the allowance that was being paid to the retiree at the time of the cancellation.

(b) Subject to Subsection (1), for a retiree who is reinstated to active membership under

Subsection (4)(a) and retires two or more years after the date of reinstatement to active

membership, the office shall:

(i) resume the allowance that was being paid at the time of cancellation; and

(ii) calculate an additional allowance for the retiree based on the formula in effect at the date of

the subsequent retirement for all service credit accrued between the first and subsequent

retirement dates.

Amended by Chapter 405, 2024 General Session

Superseded 7/1/2025

49-11-1205 Postretirement reemployment restriction exceptions.

(1)

(a) The office may not cancel the retirement allowance of a retiree who is reemployed with a

participating employer within one year of the retiree's retirement date if:

(i) the retiree is not reemployed by a participating employer for a period of at least 60 days from

the retiree's retirement date;

(ii) upon reemployment after the break in service under Subsection (1)(a)(i), the retiree does not

receive any employer paid benefits, including:

(A) retirement service credit or retirement-related contributions;

(B) medical benefits;

(D) other insurance benefits except for workers' compensation as provided under Title 34A,

Chapter 2, Workers' Compensation Act, Title 34A, Chapter 3, Utah Occupational Disease

Act, and withholdings required by federal or state law for social security, Medicare, and

unemployment insurance; or

(E) paid time off, including sick, annual, or other type of leave; and

(iii)

(A) the retiree does not earn in any calendar year of reemployment an amount in excess

of the lesser of $15,000 or one-half of the retiree's final average salary upon which the

retiree's retirement allowance is based; or

(B) the retiree is reemployed as a judge as defined under Section 78A-11-102.

(b) The board shall adjust the amounts under Subsection (1)(a)(iii) by the annual change in the

Consumer Price Index during the previous calendar year as measured by a United States

Bureau of Labor Statistics Consumer Price Index average as determined by the board.

(2) A retiree shall be considered as having completed the one-year separation from employment

with a participating employer required under Section 49-11-1204, if the retiree:

(a) before retiring:

(i) was employed with a participating employer as a public safety service employee as defined

in Section 49-14-102, 49-15-102, or 49-23-102;

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Page 55

(ii) during the employment under Subsection (2)(a)(i), suffered a physical injury resulting from

external force or violence while performing the duties of the employment, for which injury

the retiree would have been approved for total disability in accordance with the provisions

under Chapter 21, Public Employees' Long-Term Disability Act, if years of service are not

considered;

(iii) had less than 30 years of service credit but had sufficient service credit to retire, with an

unreduced allowance making the public safety service employee ineligible for long-term

disability payments under Chapter 21, Public Employees' Long-Term Disability Act, or a

substantially similar long-term disability program;

(iv) does not receive any long-term disability benefits from any participating employer; and

(v) is at least 50 years old; and

(b) is reemployed by a different participating employer.

(3)

(a) The office may not cancel the retirement allowance of a retiree who is employed as an

affiliated emergency services worker within one year of the retiree's retirement date if the

affiliated emergency services worker does not receive any compensation, except for:

(i) a nominal fee, stipend, discount, tax credit, voucher, or other fixed sum of money or cash

equivalent payment not tied to productivity and paid periodically for services;

(ii) a length-of-service award;

(iii) insurance policy premiums paid by the participating employer in the event of death of an

affiliated emergency services worker or a line-of-duty accidental death or disability; or

(iv) reimbursement of expenses incurred in the performance of duties.

(b) For purposes of Subsections (3)(a)(i) and (ii), the total amount of any discounts, tax credits,

vouchers, and payments to an affiliated emergency services worker may not exceed $500 per

month.

Consumer Price Index during the previous calendar year as measured by a United States

Bureau of Labor Statistics Consumer Price Index average as determined by the board.

(d) A retiree is eligible for an exemption from the requirement to cease service without

cancellation of a retirement allowance under this Subsection (3) only if the retiree, at the time

of retirement, is at least:

(i) 50 years old, if the retiree is retiring from a public safety system or a firefighter system; or

(ii) 55 years old.

(4)

(a) The office may not cancel the retirement allowance of a retiree employed as a part-time

appointed or elected board member within one year after the retiree's retirement date if the

part-time appointed or elected board member does not receive any compensation exceeding

the amount described in this Subsection (4).

(b) A retiree who is a part-time appointed or elected board member for one or more boards,

commissions, councils, committees, panels, or other bodies of participating employers:

(i) may receive an aggregate amount of compensation, remuneration, a stipend, or other benefit

for service on a single or multiple boards, commissions, councils, committees, panels, or

other bodies of no more than $5,000 per year; and

(ii) may not receive an employer paid retirement service credit or retirement-related

contribution.

(i) a part-time appointed or elected board member's compensation includes:

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Page 56

(A) an amount paid for the part-time appointed or elected board member's coverage in a

group insurance plan provided by the participating employer; and

(B) the part-time appointed or elected board member's receipt of any other benefit provided

by the participating employer; and

(ii) the part-time appointed or elected board member's compensation does not include:

(A) an amount the participating employer pays for employer-matching employment taxes, if

the participating employer treats the part-time appointed or elected board member as an

employee for federal tax purposes; or

(B) an amount that the part-time appointed or elected board member receives for per diem

and travel expenses for up to 12 approved meetings or activities of the government board

per year, if the per diem and travel expenses do not exceed the amounts established by

the Division of Finance under Sections 63A-3-106 and 63A-3-107 or by rules made by the

Division of Finance according to Sections 63A-3-106 and 63A-3-107.

(d) The board shall adjust the amount under Subsection (4)(b)(i) by the annual change in the

Consumer Price Index during the previous calendar year as measured by a United States

Bureau of Labor Statistics Consumer Price Index average, as determined by the board.

(5)

(a) If a retiree is reemployed under the provisions of Subsection (1) or (4), the termination date

of the reemployment, as confirmed in writing by the participating employer, is considered

the retiree's retirement date for the purpose of calculating the separation requirement under

Section 49-11-1204.

(b) The office shall cancel the retirement allowance of a retiree for the remainder of the

calendar year if the reemployment with a participating employer exceeds the limitation under

Subsection (1)(a)(iii), (3)(b), or (4)(b).

Amended by Chapter 193, 2021 General Session

Effective 7/1/2025

49-11-1205 Postretirement reemployment restriction exceptions.

(1)

(a) The office may not cancel the retirement allowance of a retiree who is reemployed with a

participating employer within one year of the retiree's retirement date if:

(i) the retiree is not reemployed by a participating employer for a period of at least 60 days from

the retiree's retirement date;

(ii) the retiree has a bona fide termination of employment on the retiree's retirement date;

(iii) upon reemployment after the break in service under Subsection (1)(a)(i), the retiree does

not receive any employer paid benefits, including:

(A) retirement service credit or retirement-related contributions;

(B) medical benefits;

(D) other insurance benefits except for workers' compensation as provided under Title 34A,

Chapter 2, Workers' Compensation Act, Title 34A, Chapter 3, Utah Occupational Disease

Act, and withholdings required by federal or state law for social security, Medicare, and

unemployment insurance; or

(E) paid time off, including sick, annual, or other type of leave; and

(iv)

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Page 57

(A) the retiree does not earn in any calendar year of reemployment an amount in excess

of the lesser of $15,000 or one-half of the retiree's final average salary upon which the

retiree's retirement allowance is based; or

(B) the retiree is reemployed as a judge as defined under Section 78A-11-102.

(b) The board shall adjust the amounts under Subsection (1)(a)(iv) by the annual change in the

Consumer Price Index during the previous calendar year as measured by a United States

Bureau of Labor Statistics Consumer Price Index average as determined by the board.

(2) A retiree shall be considered as having completed the one-year separation from employment

with a participating employer described in Section 49-11-1204, if the retiree:

(a) before retiring:

(i) was employed with a participating employer as a public safety service employee as defined

in Section 49-14-102, 49-15-102, or 49-23-102;

(ii) during the employment under Subsection (2)(a)(i), suffered a physical injury resulting from

external force or violence while performing the duties of the employment, for which injury

the retiree would have been approved for total disability in accordance with the provisions

under Chapter 21, Public Employees' Long-Term Disability Act, if years of service are not

considered;

(iii) had less than 30 years of service credit but had sufficient service credit to retire, with an

unreduced allowance making the public safety service employee ineligible for long-term

disability payments under Chapter 21, Public Employees' Long-Term Disability Act, or a

substantially similar long-term disability program;

(iv) does not receive any long-term disability benefits from any participating employer; and

(v) is at least 50 years old; and

(b) is reemployed by a different participating employer.

(3)

(a) The office may not cancel the retirement allowance of a retiree who is employed as an

affiliated emergency services worker within one year of the retiree's retirement date if the

affiliated emergency services worker does not receive any compensation, except for:

(i) a nominal fee, stipend, discount, tax credit, voucher, or other fixed sum of money or cash

equivalent payment not tied to productivity and paid periodically for services;

(ii) a length-of-service award;

(iii) insurance policy premiums paid by the participating employer in the event of death of an

affiliated emergency services worker or a line-of-duty accidental death or disability; or

(iv) reimbursement of expenses incurred in the performance of duties.

(b) For purposes of Subsections (3)(a)(i) and (ii), the total amount of any discounts, tax credits,

vouchers, and payments to an affiliated emergency services worker may not exceed $500 per

month.

Consumer Price Index during the previous calendar year as measured by a United States

Bureau of Labor Statistics Consumer Price Index average as determined by the board.

(d) A retiree is eligible for an exemption from the requirement to cease service without

cancellation of a retirement allowance under this Subsection (3) only if the retiree, at the time

of retirement, is at least:

(i) 50 years old, if the retiree is retiring from a public safety system or a firefighter system; or

(ii) 55 years old.

(4)

(a) The office may not cancel the retirement allowance of a retiree who is employed as a part-

time appointed or elected board member within one year after the retiree's retirement date

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Page 58

if the part-time appointed or elected board member does not receive any compensation

exceeding the amount described in this Subsection (4).