March 19, 2008, Introduced by Senator SCHAUER and referred to the Committee on Appropriations.
A bill to amend 1943 PA 240, entitled
"State employees' retirement act,"
by amending section 63 (MCL 38.63), as added by 1996 PA 487.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 63. (1) This section is subject to the vesting
requirements of section 64.
(2)
A Except as provided in
subsection (5), a qualified
participant's employer shall contribute to the qualified
participant's account in Tier 2 an amount equal to 4% of the
qualified participant's compensation.
(3)
A Except as provided in
subsection (5), a qualified
participant may periodically elect to contribute up to 3% of his or
her
compensation to his or her Tier 2 account. The Except as
provided in subsection (5), the qualified participant's employer
shall make an additional contribution to the qualified
participant's Tier 2 account in an amount equal to the contribution
made by the qualified participant under this subsection.
(4) A qualified participant may make contributions in addition
to contributions made under subsection (3) to his or her Tier 2
account as permitted by the state treasurer and the internal
revenue code. The qualified participant's employer shall not match
contributions made by the qualified participant under this
subsection.
(5) Beginning October 1, 2008, the employer of a qualified
participant who is employed in a covered position shall contribute
to the qualified participant's account in Tier 2 an amount equal to
6% of the qualified participant's compensation. Beginning October
1, 2008, a qualified participant who is employed in a covered
position may periodically elect to contribute up to 4% of his or
her compensation to his or her Tier 2 account. Beginning October 1,
2008, the employer of a qualified participant who is employed in a
covered position shall make an additional contribution to the
qualified participant's Tier 2 account in an amount equal to the
contribution made by the qualified participant under this
subsection.
(6) As used in this section, "qualified participant who is
employed in a covered position" means a qualified participant who
works in a covered position as that term is defined in section 45.