Contract: A legal written agreement that becomes binding when signed.
Employer: means any department, educational institution, or political subdivision of the state eligible to participate in a government-sponsored retirement system under federal law. See Utah Code 49-11-102
Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
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 4, the New Public Safety and Firefighter Tier II Defined Contribution Plan created by 4, or the defined contribution plans created under Section 49-11-801. See Utah Code 49-11-102
Retirement: means the status of an individual who has become eligible, applies for, and is entitled to receive an allowance under this title. See Utah Code 49-11-102
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. See Utah Code 49-11-102
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
(c)
after beginning participation with a system or plan under this title, has restructured the entity’s 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.
(c)
Notwithstanding any other provision of this title, a withdrawing entity that makes an election 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.
