S*171 Session 107 (1987-1988)
S*0171(Rat #0070, Act #0042 of 1987) General Bill, By Leatherman, Courson,
Drummond, H.U. Fielding, T.E. Garrison, J.C. Hayes, Land, W.R. Lee, I.E. Lourie,
T.W. Mitchell, Peeler, T.H. Pope, C.L. Powell, Saleeby, N.W. Smith and
T.E. Smith
A Bill to amend Title 9, Code of Laws of South Carolina, 1976, relating to
retirement systems, by adding Chapter 17 so as to establish an optional
retirement program for the publicly-supported four-year and postgraduate
institutions of higher education.
12/22/86 Senate Prefiled
12/22/86 Senate Referred to Committee on Finance
01/13/87 Senate Introduced and read first time SJ-100
01/13/87 Senate Referred to Committee on Finance SJ-101
02/19/87 Senate Committee report: Favorable with amendment
Finance SJ-596
02/26/87 Senate Special order SJ-709
03/04/87 Senate Read second time SJ-765
03/04/87 Senate Ordered to third reading with notice of
amendments SJ-765
03/05/87 Senate Special order SJ-806
03/10/87 Senate Amended SJ-844
03/10/87 Senate Debate interrupted SJ-850
03/11/87 Senate Amended SJ-872
03/11/87 Senate Read third time and sent to House SJ-892
03/12/87 House Introduced and read first time HJ-1016
03/12/87 House Referred to Committee on Education and Public
Works HJ-1016
03/24/87 House Recalled from Committee on Education and Public
Works HJ-1413
03/24/87 House Committed to Committee on Ways and Means HJ-1413
04/09/87 House Committee report: Favorable Ways and Means HJ-1732
04/15/87 House Read second time HJ-1881
04/16/87 House Read third time and enrolled HJ-1971
04/23/87 Ratified R 70
04/28/87 Signed By Governor
04/28/87 Effective date 04/28/87
04/28/87 Act No. 42
05/12/87 Copies available
(A42, R70, S171)
AN ACT TO AMEND TITLE 9, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO
RETIREMENT SYSTEMS, BY ADDING CHAPTER 17 SO AS TO ESTABLISH AN OPTIONAL
RETIREMENT PROGRAM FOR THE PUBLICLY-SUPPORTED FOUR-YEAR AND POSTGRADUATE
INSTITUTIONS OF HIGHER EDUCATION.
Be it enacted by the General Assembly of the State of South Carolina:
Optional retirement program added
SECTION 1. Title 9 of the 1976 Code is amended by adding:
"CHAPTER 17
Optional Retirement Program for
Publicly-Supported Four-Year and
Postgraduate Institutions of Higher Education
Section 9-17-10. There is established an optional retirement program for the
publicly-supported four-year and postgraduate institutions of higher education.
Only employees of participating institutions holding faculty and administrative
positions are eligible to participate in the optional retirement program. No
employee is eligible to participate in the optional retirement program unless he
is eligible for membership in the South Carolina Retirement System. Retirement
and death benefits must be provided for participants in the optional retirement
program through the purchase of individual annuity contracts, fixed or variable
in nature, or a combination thereof. The State and the participants shall
contribute toward the purchase of such contracts which must be issued to, and
become the property of, the participants.
Section 9-17-20. The South Carolina Retirement
System shall provide for the administration of the optional retirement program
under this chapter. The executive director of the South Carolina Retirement
System, a representative appointed by the Commission on Higher Education, and a
representative appointed by the Council of Presidents of the Public Colleges and
Universities shall designate not less than two companies from which annuity
contracts are to be purchased under the program. In making the designation, the
Retirement System, the Commission on Higher Education, and the council shall
consider:
(1) the nature and extent of the rights and benefits to be provided by the
contracts for participants and their beneficiaries;
(2) the relation of such rights and benefits to the amount of contributions
to be made;
(3) the suitability of such rights and benefits to the needs of the
participants;
(4) the efficacy of the contracts in the recruitment and retention of faculty
and administrators;
(5) the ability and experience of the designated companies in providing
suitable rights and benefits under the contracts.
Section 9-17-30. Eligible employees employed on or after July 1, 1987, shall
elect either to join the South Carolina Retirement System or to participate in
the optional retirement program under this chapter on or before December 1, 1987,
or within ninety days after entry into service, whichever is later. The election
must
be made in writing and filed with the Retirement System and the appropriate
officer of the employee's participating institution and is effective on the date
of employment. In the event an eligible employee fails to make the election
provided in this section, he is considered to have elected membership in the
South Carolina Retirement System.
Section 9-17-40. Each participant shall contribute monthly to the program the
same amount which he would be required to contribute to the South Carolina
Retirement System if he were a member of that system. Participant contributions
may be made by payroll deduction, by a reduction in salary, or by employer pick
up in accordance with any applicable provisions of the United States Internal
Revenue Code. Each participating institution shall contribute on behalf of each
participant the same amount it would be required to contribute to the South
Carolina Retirement System if the participant were a member of that system. Each
participating institution shall remit both the participants' and its own
contributions to the Retirement System at the time it remits contributions for
members of the Retirement System. The Retirement System shall remit to the
designated companies, for application to participants' contracts, an amount equal
to the participant's contribution plus that percentage of each participating
institution's contribution which would have been used to fund all Retirement
System benefits for future service if the participants had been members of the
Retirement System.
Section 9-17-50. Any person electing to participate in the optional program
under this chapter is ineligible for membership in the South Carolina Retirement
System so long as he is employed in a position for which the optional retirement
program is available. In the event an optional program participant assumes a
position in public service for which the optional program is not available, he
must at that time begin membership in the South Carolina Retirement System.
Section 9-17-60. No retirement benefit or preretirement death benefit may be
paid by the State for service rendered while participating in the optional
retirement program. The benefits are payable to optional retirement program
participants or their beneficiaries by the designated companies in accordance
with the terms of the annuity contracts issued to participants."
Time effective
SECTION 2. This act takes effect upon approval by the Governor. |