S*662 Session 109 (1991-1992)
S*0662(Rat #0119, Act #0064 of 1991) General Bill, By J.M. Waddell
A Bill to amend Section 9-1-80, Code of Laws of South Carolina, 1976, relating
to the payroll deduction installment purchase plan for establishing credit for
out-of-state service and federal civilian service for purposes of the South
Carolina Retirement System, so as to extend the installment purchase plan to
military service and other service for which credit is established by only a
member contribution; to amend Section 9-1-1710, relating to establishment of
retirement system credit for out-of-state service, so as to provide that the
required payment may be established by payroll deducted installment payments;
and to amend the 1976 Code by adding Section 9-11-330 so as to extend the
installment purchase plan of the South Carolina Retirement System to the South
Carolina Police Officers Retirement System.-amended title
02/14/91 Senate Introduced and read first time SJ-6
02/14/91 Senate Referred to Committee on Finance SJ-7
03/21/91 Senate Committee report: Favorable with amendment
Finance SJ-26
03/28/91 Senate Amended SJ-17
03/28/91 Senate Read second time SJ-17
04/02/91 Senate Read third time and sent to House SJ-16
04/03/91 House Introduced and read first time HJ-6
04/03/91 House Referred to Committee on Ways and Means HJ-7
04/25/91 House Committee report: Favorable Ways and Means HJ-54
05/08/91 House Read second time HJ-44
05/09/91 House Read third time and enrolled HJ-12
05/21/91 Ratified R 119
05/27/91 Signed By Governor
05/27/91 Effective date 05/27/91
05/27/91 Act No. 64
06/25/91 Copies available
(A64, R119, S662)
AN ACT TO AMEND SECTION 9-1-80, CODE OF LAWS OF
SOUTH CAROLINA, 1976, RELATING TO THE PAYROLL
DEDUCTION INSTALLMENT PURCHASE PLAN FOR
ESTABLISHING CREDIT FOR OUT-OF-STATE SERVICE AND
FEDERAL CIVILIAN SERVICE FOR PURPOSES OF THE SOUTH
CAROLINA RETIREMENT SYSTEM, SO AS TO EXTEND THE
INSTALLMENT PURCHASE PLAN TO MILITARY SERVICE AND
OTHER SERVICE FOR WHICH CREDIT IS ESTABLISHED BY ONLY
A MEMBER CONTRIBUTION; TO AMEND SECTION 9-1-1710,
RELATING TO ESTABLISHMENT OF RETIREMENT SYSTEM
CREDIT FOR OUT-OF-STATE SERVICE, SO AS TO PROVIDE THAT
THE REQUIRED PAYMENT MAY BE ESTABLISHED BY PAYROLL
DEDUCTED INSTALLMENT PAYMENTS; AND TO AMEND THE
1976 CODE BY ADDING SECTION 9-11-330 SO AS TO EXTEND THE
INSTALLMENT PURCHASE PLAN OF THE SOUTH CAROLINA
RETIREMENT SYSTEM TO THE SOUTH CAROLINA POLICE
OFFICERS RETIREMENT SYSTEM.
Be it enacted by the General Assembly of the State of South Carolina:
Installment purchase plan
SECTION 1. Section 9-1-80 of the 1976 Code, as added by Act 559 of
1990, is amended to read:
"Section 9-1-80. The Retirement System shall implement a plan
enabling members who are eligible to establish credit for out-of-state
service, federal civilian service, military service, or other service for which
establishing credit requires only a contribution by the member, to establish
that credit by means of payroll deducted installment payments. Interest
must be paid on the unpaid balance of the amount due at the rate of the
prime rate plus two percent. For purposes of this section, the prime rate is
the average of the prime rate charged by the five largest banks in this State
measured by deposits. The Retirement System shall prescribe other terms
and conditions of the installment payment plan as necessary for its
operation, including, but not limited to, the duration of payment plans,
minimum payments, and the method of adjusting the interest
rate."
Installment purchase plan
SECTION 2. Article 1, Chapter 11, Title 9 of the 1976 Code is amended
by adding:
"Section 9-11-330. The Retirement System shall implement
a plan enabling members who are eligible to establish credit for out-of-state
service, federal civilian service, military service, or other service for which
establishing credit requires only a contribution by the member, to establish
that credit by means of payroll deducted installment payments. Interest
must be paid on the unpaid balance of the amount due at the rate of the
prime rate plus two percent. For purposes of this section, the prime rate is
the average of the prime rate charged by the five largest banks in this State
measured by deposits. The Retirement System shall prescribe other terms
and conditions of the installment payment plan as necessary for its
operation, including, but not limited to, the duration of payment plans,
minimum payments, and the method of adjusting the interest
rate."
Out-of-state service
SECTION 3. Section 9-1-1710(2) of the 1976 Code is amended to
read:
"(2) On or after July 1, 1975, any member may elect to become
entitled to creditable service on account of his out-of-state service by
making a special lump-sum contribution equal to ten percent of his annual
earnable compensation at the time of payment for each year of out-of-state
service and a proportionate part thereof for a fraction of a year, provided
that the earnable compensation used as a basis for the special lump-sum
contribution must not be less than his earnable compensation in any one of
the three preceding fiscal years. A member who elects to receive creditable
service for out-of-state service may establish a portion of the service on a
one-time basis except the balance may be established in accordance with
Section 9-1-80. The out-of-state service must be matched on a one-for-one
basis with in-state service. Out-of-state service may not exceed the total
creditable service, exclusive of out-of-state service which he would have if
he remained in service until completion of the eligibility requirements for
an unreduced service retirement allowance. A member who elects to
receive creditable service for his out-of-state service shall establish credit
for all service for which he is eligible, except that the service shall not
exceed the total creditable service, exclusive of out-of-state service, which
he would have if he remained in service until completion of the eligibility
requirements for an unreduced service retirement allowance. The
contribution thereafter must be treated in the same way as the regular
contributions required of a member hereunder."
Time effective
SECTION 4. This act takes effect upon approval by the Governor.
Approved the 27th day of May, 1991. |