19-3-403. Exclusions from membership. The following persons may not become members of the retirement system and, except as provided in subsection (9), may not later purchase previous service under 19-3-505:

Terms Used In Montana Code 19-3-403

  • Compensation: means remuneration paid out of funds controlled by an employer in payment for the member's services or for time during which the member is excused from work because of a holiday or because the member has taken compensatory leave, sick leave, annual leave, banked holiday time, or a leave of absence before any pretax deductions allowed by state or federal law are made. See Montana Code 19-3-108
  • Contracting employer: means any political subdivision or governmental entity that has contracted to come into the system under this chapter. See Montana Code 19-3-108
  • Employer: means the state of Montana, its university system or any of the colleges, schools, components, or units of the university system for the purposes of this chapter, or any contracting employer. See Montana Code 19-3-108
  • Person: includes a corporation or other entity as well as a natural person. See Montana Code 1-1-201
  • retirement system: means the public employees' retirement system established in 19-3-103. See Montana Code 19-3-108
  • State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
  • United States: includes the District of Columbia and the territories. See Montana Code 1-1-201
  • Writing: includes printing. See Montana Code 1-1-203

(1)inmates or residents of state institutions or correctional institutions;

(2)persons in state institutions principally for the purpose of training but who receive compensation;

(3)independent contractors;

(4)volunteers;

(5)student interns, except that a student intern who later becomes an active member by otherwise becoming an employee may, after becoming an active member, affirmatively exercise the option of purchasing the service credit excluded by this subsection by applying to the board in writing to become eligible to receive service credit for the excluded service under the provisions of 19-3-505;

(6)persons who are members of any other retirement or pension system supported wholly or in part by funds of the United States government, any state government, or political subdivision of the state and who are receiving credit in the other system for employment. It is the purpose of this subsection to prevent a person from receiving credit for the same employment in two retirement systems supported wholly or in part by public funds, except when the service qualifies and is applied for and the service credit is purchased pursuant to 19-3-503. A member of the retirement system who, because of employment by the state, is required to become a member of any other system described in this subsection is considered, with regard to that employment, an inactive member of the retirement system, except that the member is not eligible for retirement or a refund of the member’s accumulated contributions. Exclusion under this subsection is subject to the following exceptions:

(a)The employees of an employer who has entered into a collective bargaining agreement involving a multiemployer pension plan qualified by the internal revenue service and that requires contributions by the employer for the members of the bargaining unit remain eligible, if otherwise qualified, for membership in the retirement system.

(b)For the purpose of this subsection (6), persons receiving pensions, retirement benefits, or other payments from any source on account of employment other than as an employee are not considered, because of receipt, members of any other retirement or pension system.

(7)substitute teachers or part-time teacher’s aides who may elect to join the teachers’ retirement system in accordance with 19-20-302(4);

(8)court commissioners, elected officials, or appointive members of any board or commission who serve the state or any contracting employer intermittently and who are paid on a per diem basis;

(9)full-time students employed at and attending the same public elementary school, high school, community college, or unit of the state university system, except that a person excluded from membership as a student of a public community college or a unit of the state university system who later becomes an active member by otherwise becoming an employee may affirmatively exercise the option of purchasing the service credit excluded by this subsection by applying to the board in writing after becoming an active member and become eligible to receive service credit for the excluded service under the provisions of 19-3-505;

(10)county school superintendents who are required by 19-20-302(1)(g) and (2) to be members of the teachers’ retirement system provided for in Title 19, chapter 20.