HOUSE BILL No. 6311

 

November 4, 2004, Introduced by Rep. O'Neil and referred to the Committee on Government Operations.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1957 PA 261, entitled                                             

                                                                                

    "Michigan legislative retirement system act,"                               

                                                                                

    by amending section 75 (MCL 38.1075), as amended by 1998 PA 501.            

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 75.  (1) A qualified participant is immediately 100%                   

                                                                                

2   vested in his or her contributions made to Tier 2.  A qualified             

                                                                                

3   participant shall vest in the employer contributions made on his            

                                                                                

4   or her behalf to Tier 2 according to the following schedule:                

                                                                                

5       (a) Upon completion of 2 years of service, 50%.                             

                                                                                

6       (b) Upon completion of 3 years of service, 75%.                             

                                                                                

7       (c) Upon completion of 4 years of service, 100%.                            

                                                                                

8       (2) A qualified participant is vested in the health insurance               

                                                                                

9   coverage provided in section 79 if the qualified participant                

                                                                                

10  meets 1 of the following requirements:                                      

                                                                                

11      (a) The qualified participant has completed 6 years of                      

                                                                                


                                                                                

1   service as a qualified participant and was not a member, deferred           

                                                                                

2   vested member, or former nonvested member of Tier 1.                        

                                                                                

3       (b) The qualified participant was a member, deferred vested                 

                                                                                

4   member, or former nonvested member of Tier 1 who made an election           

                                                                                

5   to participate in Tier 2 pursuant to section 61, and who has met            

                                                                                

6   the service requirements he or she would have been required to              

                                                                                

7   meet in order to vest in health benefits under section 50b.                 

                                                                                

8       (c) The qualified participant meets all of the following                    

                                                                                

9   requirements:                                                               

                                                                                

10                                                                               (i) Was not a member, deferred vested member, or former                             

                                                                                

11  nonvested member of Tier 1.                                                 

                                                                                

12      (ii) Was first elected to fill a vacancy in the house of                     

                                                                                

13  representatives for a period less than the full term but more               

                                                                                

14  than 1/2 of the term of office.                                             

                                                                                

15      (iii) Has completed 5 years of service as a qualified                        

                                                                                

16  participant.                                                                

                                                                                

17      (d) The qualified participant meets all of the following                    

                                                                                

18  requirements:                                                               

                                                                                

19                                                                               (i) Was not a member, deferred vested member, or former                             

                                                                                

20  nonvested member of Tier 1.                                                 

                                                                                

21      (ii) Has completed at least 5 years and 10 months of service                 

                                                                                

22  as a qualified participant.                                                 

                                                                                

23      (iii) Has resigned from office between November 2, 2004 and                  

                                                                                

24  November 21, 2004 to immediately assume duties of an elected                

                                                                                

25  township office.