1. Senate Bill No. 111–Committee on Finance

CHAPTER........

AN ACT relating to public employees’ retirement; clarifying provisions governing the

purchase by a state agency of service credit in the public employees’ retirement

system on behalf of certain employees under certain circumstances; and providing

other matters properly relating thereto.

 

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 286.3007 is hereby amended to read as follows:

  1. 286.3007 Except as otherwise required as a result of NRS 286.537:
  1. 1. A state agency [shall] may enter into an agreement to pay the cost
  1. of purchasing credit for service pursuant to NRS 286.300 on behalf of a
  1. member if:
  1. (a) The agency [entered into an agreement with the member under which
  1. the member was employed] enters into the agreement before the member
  1. is employed;
  1. (b) The member is employed upon the condition that the employer pay
  1. the cost of purchasing the credit; and
  1. [(b)] (c) The agreement to [purchase] pay the cost of purchasing the
  1. credit is in writing, becomes part of the personnel records of the employee
  1. and is approved in advance by the state board of examiners.
  1. 2. If a state agency is [required] authorized to purchase credit pursuant
  1. to subsection 1, it shall not do so until the member has completed 1 year of
  1. service in its employ.
  1. 3. If a state agency is required to reduce the number of its employees, it
  1. shall purchase credit for service pursuant to NRS 286.300 for any member
  1. who:
  1. (a) Is eligible to purchase credit;
  1. (b) Is eligible to retire or will be made eligible by the purchase of the
  1. credit;
  1. (c) Agrees to retire upon completion of the purchase; and
  1. (d) Has been employed by the agency for 5 or more years.
  1. 4. If a state agency is required to purchase credit pursuant to subsection
  1. 3, it shall pay 5 percent of the cost of purchasing the credit and an
  1. additional 5 percent of the cost for each year that the person has been
  1. employed by the agency in excess of the minimum requirement of 5 years.

Sec. 2. This act becomes effective upon passage and approval.

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