H 3234 Session 110 (1993-1994)
H 3234 General Bill, By I.K. Rudnick, Canty, J.P. Harrelson, J.H. Neal,
D.C. Waldrop, L.S. Whipper and J.M. White
Similar(S 177, H 3284)
A Bill to amend Section 9-1-1850, Code of Laws of South Carolina, 1976,
relating to early retirement, so as to delete the requirement that the
employee pay both the employee and employer cost of health and dental
insurance.
01/21/93 House Introduced and read first time HJ-5
01/21/93 House Referred to Committee on Ways and Means HJ-5
A BILL
TO AMEND SECTION 9-1-1850, AS AMENDED, CODE OF LAWS
OF SOUTH CAROLINA, 1976, RELATING TO EARLY
RETIREMENT, SO AS TO DELETE THE REQUIREMENT THAT
THE EMPLOYEE PAY BOTH THE EMPLOYEE AND EMPLOYER
COST OF HEALTH AND DENTAL INSURANCE.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 9-1-1850 of the 1976 Code, as last amended by
Act 632 of 1988, is further amended to read:
"Section 9-1-1850. (A) For any retirement system provided
for by law in this State the member of the retirement system, if he has at
least twenty-five years of creditable service, may elect to receive up to
five years of additional service credit as though the additional service
credit were rendered by him as an employee or member upon his paying
into his retirement system the actuarial cost as determined by regulation
promulgated by the governing or administering board of his retirement
system, provided the actuarial cost must be determined on the basis of
current salary or the highest fiscal year salary in the work career,
whichever is greater. The member also shall pay the employer and
employee cost for health and dental insurance for a time period equal to
the period of service credit purchased. The member also shall
pay the employee cost and the State shall pay the employer cost for
health and dental insurance for a time period equal to the period of
service credit purchased. Any service credit purchased under this
section qualifies the member for retirement and the member must retire
within ninety days subsequent to the purchase.
(B) As an alternative to the option provided in subsection (A) the
member, if he has at least twenty-five years of creditable service, may
elect to receive up to five years of additional service credit as though the
additional service credit were rendered by him as an employee or
member upon paying into his retirement system, during the ensuing
number of years he wishes to purchase in the manner the Comptroller
General shall direct, the employer and employee contributions that
would be due for the position that he presently holds at the salary level
in effect during those years. If the position is consolidated or eliminated
after the member's retirement, he shall pay the employer and employee
contributions during the remaining required years at a level equal to
what these contributions were for the position before its consolidation
or elimination. The member also shall pay the employer and
employee cost for health and dental insurance in effect during the
ensuing years the member wishes to purchase. The additional service
credit qualifies the member for retirement and the member must retire
within ninety days subsequent to electing the option provided by
subsection (B). The member also shall pay the employee cost
and the State shall pay the employer cost for health and dental insurance
for a time period equal to the period of service credit purchased.
The salary level of the position the member presently holds, during the
ensuing years the member pays the employer and employee
contributions, is attributable to the member for purposes determining the
member's average final compensation.
The retirement benefits of the member shall not commence until the
time benefits would have been paid when the member had completed
thirty years of service."
SECTION 2. (A) This act takes effect August 25, 1992, and applies
with respect to payments made on or after that date.
(B) Employer share payments made by employees after the effective
date of this act must be refunded upon application to the Retirement
System.
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