A.B. 232

 

Assembly Bill No. 232–Committee on Ways and Means

 

(On Behalf of Interim Committee on Pension Plan
for Certain justices and Judges (AB 698))

 

February 26, 2001

____________

 

Referred to Committee on Ways and Means

 

SUMMARY—Establishes judicial retirement system for certain justices of the supreme court and district court judges. (BDR 1‑208)

 

FISCAL NOTE:            Effect on Local Government: Yes.

                                    Effect on the State: Contains Appropriation included in Executive Budget.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to the judiciary; establishing a judicial retirement system for certain justices of the supreme court and district court judges; providing a penalty; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. Title 1 of NRS is hereby amended by adding thereto a new

1-2  chapter to consist of the provisions set forth as sections 2 to 62, inclusive,

1-3  of this act.

1-4    Sec. 2.  As used in this chapter, unless the context otherwise

1-5  requires, the words and terms defined in sections 3 to 10, inclusive, of

1-6  this act have the meanings ascribed to them in those sections.

1-7    Sec. 3.  “Board” means the public employees’ retirement board.

1-8    Sec. 4.  1.  “Compensation” means the salary paid to a justice of the

1-9  supreme court or district judge by this state including:

1-10    (a) Base pay, which is the monthly rate of pay excluding all fringe

1-11  benefits;

1-12    (b) Additional payment for longevity; and

1-13    (c) Payment for extra duty assignments if it is the standard practice of

1-14  this state to include such pay in the employment contract or official job

1-15  description for the calendar year in which it is paid and such pay is

1-16  specifically included in the justice’s or judge’s employment contract or

1-17  official job description.

1-18    2.  The term does not include any type of payment not specifically

1-19  described in this section.


2-1    Sec. 5.  “Disability retirement allowance” means monthly payments

2-2  from the judicial retirement fund paid to disabled retired justices of the

2-3  supreme court or district judges pursuant to the judicial retirement plan.

2-4    Sec. 6.  “Judicial retirement plan” means the retirement plan

2-5  established pursuant to section 24 of this act.

2-6    Sec. 7.  “Retired justice or judge” means a justice of the supreme

2-7  court or district judge who was a member of the judicial retirement plan

2-8  at the time he retired or who decides, pursuant to section 22 or 23 of this

2-9  act, to receive benefits for retirement pursuant to the judicial retirement

2-10  plan.

2-11    Sec. 8.  “Service” means all creditable employment which is

2-12  validated pursuant to the provisions of this chapter and can be used in

2-13  determining eligibility and scope of benefits for justices of the supreme

2-14  court or district judges pursuant to the judicial retirement plan.

2-15    Sec. 9.  “Service retirement allowance” means monthly payments

2-16  from the judicial retirement fund paid to a retired justice of the supreme

2-17  court or district judge pursuant to the judicial retirement plan for the

2-18  remainder of his life.

2-19    Sec. 10.  “System” means the judicial retirement system established

2-20  pursuant to this chapter.

2-21    Sec. 11.  1.  A system of retirement providing benefits for the

2-22  retirement, disability or death of all justices of the supreme court and

2-23  district judges and funded on an actuarial reserve basis is hereby

2-24  established and must be known as the judicial retirement system.

2-25    2.  The system consists of the judicial retirement plan and the

2-26  provisions set forth in NRS 2.060 to 2.075, inclusive, and section 64 of

2-27  this act and NRS 3.090 to 3.097, inclusive, and section 69 of this act for

2-28  providing benefits to justices of the supreme court or district judges who

2-29  served either as a justice of the supreme court or district judge before

2-30  November 5, 2002. Each justice of the supreme court or district judge

2-31  who is not a member of the public employees’ retirement system is a

2-32  member of the system.

2-33    3.  The official correspondence and records, other than the files of

2-34  individual members of the system or retired justices or judges, and the

2-35  minutes and books of the system are public records and are available for

2-36  public inspection.

2-37    4.  The system must be administered exclusively by the board, which

2-38  shall make all necessary rules and regulations for the administration of

2-39  the system. The legislature shall regularly review the system.

2-40    Sec. 12.  All records maintained for a member of the system, retired

2-41  justice or judge, justice or judge who retired pursuant to NRS 2.060 to

2-42  2.075, inclusive, and section 64 of this act, or pursuant to NRS 3.090 to

2-43  3.097, inclusive, and section 69 of this act, or his beneficiary may be

2-44  reviewed and copied only by the system, the member, the court

2-45  administrator, the spouse of the member, or the retired justice or judge or

2-46  his spouse, or pursuant to a court order, or by a beneficiary after the

2-47  death of the justice or judge on whose account benefits are received

2-48  pursuant to the system. Any member, retired justice or judge, justice or

2-49  judge who retired pursuant to NRS 2.060 to 2.075, inclusive, and section


3-1  64 of this act, or pursuant to NRS 3.090 to 3.097, inclusive, and section

3-2  69 of this act, or beneficiary may submit a written waiver to the system

3-3  authorizing his representative to review or copy all such records.

3-4    Sec. 13.  1.  The judicial retirement fund is hereby established as a

3-5  trust fund.

3-6    2.  It is hereby declared to be the policy of the legislature that the

3-7  judicial retirement fund is established to afford a degree of security to

3-8  long-time justices of the supreme court and district judges in this state.

3-9  The money in the fund must not be used or appropriated for any purpose

3-10  incompatible with the provisions of this chapter or NRS 2.060 to 2.075,

3-11  inclusive, and section 64 of this act, or NRS 3.090 to 3.097, inclusive, and

3-12  section 69 of this act. The fund must be invested and administered to

3-13  ensure the highest return consistent with safety in accordance with

3-14  accepted investment practices.

3-15    3.  All money appropriated by the legislature to the judicial retirement

3-16  fund and all income accruing to the fund from all other sources must be

3-17  deposited in the fund.

3-18    4.  The interest and income earned on the money in the judicial

3-19  retirement fund, after deducting any applicable charges, must be credited

3-20  to the fund.

3-21    5.  The system must pay all retirement allowances, benefits, optional

3-22  settlements and other obligations or payments payable by the system

3-23  pursuant to this chapter and NRS 2.060 to 2.075, inclusive, and section

3-24  64 of this act and NRS 3.090 to 3.097, inclusive, and section 69 of this act

3-25  from the judicial retirement fund. The money in the fund must be

3-26  expended by the board for the payment of expenses authorized by law to

3-27  be paid from the fund.

3-28    Sec. 14.  1.  The board shall establish a fund known as the judicial

3-29  retirement administrative fund in which must be deposited all

3-30  administrative fees.

3-31    2.  The board shall fix an administrative fee per capita sufficient to

3-32  pay the expense of operating the judicial retirement system.

3-33    Sec. 15.  1.  The board may establish a fund to pay the accrued

3-34  benefits of a member of the system that are not payable because of the

3-35  limitations set forth in section 26 of this act. The fund must be

3-36  established in accordance with the provisions of section 415(m) of the

3-37  Internal Revenue Code, 26 U.S.C. § 415(m), and must be separate from

3-38  the judicial retirement fund.

3-39    2.  If the board establishes a fund pursuant to subsection 1, the

3-40  benefits that are required to be paid from the fund must be paid from

3-41  money in the fund.

3-42    Sec. 16.  The board has the exclusive control of the administration

3-43  and investment of the judicial retirement fund, with the same powers and

3-44  duties and subject to the same limitations and restrictions that are

3-45  applicable to the administration and investment of the public employees’

3-46  retirement fund.

3-47    Sec. 17.  Except as specifically provided in this chapter, the accounts

3-48  of members of the system and recipients of benefits of the system must be

3-49  administered in accordance with the provisions of chapter 286 of NRS as


4-1  if the justice of the supreme court or the district judge were or had been a

4-2  member of the public employees’ retirement system.

4-3    Sec. 18.  1.  The board shall not change the actuarial assumptions

4-4  used in computing the benefits provided to a member of the system.

4-5    2.  The board shall make available to every member of the system

4-6  upon request the actuarial assumptions used in computing the benefits

4-7  provided to a member of the system.

4-8    Sec. 19.  1.  The board, subject to the limitations of this chapter, is

4-9  responsible for managing the system.

4-10    2.  The board shall:

4-11    (a) Arrange for a biennial actuarial valuation and report of the

4-12  actuarial soundness of the system to be prepared by an independent

4-13  actuary based upon data compiled and supplied by employees of the

4-14  system, and shall adopt actuarial tables and formula prepared and

4-15  recommended by the actuary;

4-16    (b) Provide for a biennial audit of the system, including, without

4-17  limitation, the judicial retirement administrative fund, by an independent

4-18  certified public accountant; and

4-19    (c) Provide an annual report concerning the judicial retirement

4-20  system established pursuant to this chapter to the court administrator, the

4-21  governor and each member of the legislature, and make the report

4-22  available to all members of the judicial retirement system upon request.

4-23  The report must contain, when available, a review of the actuarial

4-24  valuation required by paragraph (a).

4-25    3.  The board may:

4-26    (a) Adjust the service or correct the records, allowance or benefits of

4-27  any member, retired justice or judge or beneficiary after an error or

4-28  inequity has been determined, and require repayment of any money

4-29  determined to have been paid by the system in error, if the money was

4-30  paid within 6 years before demand for its repayment.

4-31    (b) Examine and copy personnel and financial records of a justice of

4-32  the supreme court or district judge.

4-33    (c) Require an annual notarized statement from a retired justice or

4-34  judge or beneficiary that he is in fact receiving an allowance or benefits,

4-35  and withhold the allowance or benefits if he fails to provide the

4-36  statement.

4-37    4.  As used in this section, “error or inequity” means the existence of

4-38  extenuating circumstances, including, without limitation, a member’s

4-39  reasonable and detrimental reliance on representations made by the

4-40  system which prove to be erroneous, or the mental incapacity of the

4-41  member.

4-42    Sec. 20.  1.  No person may become a member of the judicial

4-43  retirement system unless he is a justice of the supreme court or a district

4-44  judge.

4-45    2.  Except as otherwise provided in section 31 of this act, persons

4-46  retired under the provisions of this chapter who are employed as a justice

4-47  of the supreme court or district judge in any judicial capacity, including,

4-48  without limitation, employment as a senior justice or senior judge of the

4-49  Nevada court system, are not eligible to become members of the system.


5-1    Sec. 21.  1.  Membership of a justice of the supreme court or a

5-2  district judge in the system terminates upon:

5-3    (a) The death of a member;

5-4    (b) Receipt of retirement allowances by a member of the judicial

5-5  retirement plan or retirement benefits pursuant to NRS 2.060 to 2.075,

5-6  inclusive, and section 64 of this act, or pursuant to NRS 3.090 to 3.097,

5-7  inclusive, and section 69 of this act; or

5-8    (c) Receipt of disability allowances by a member of the judicial

5-9  retirement plan or disability benefits pursuant to NRS 2.060 to 2.075,

5-10  inclusive, and section 64 of this act, or pursuant to NRS 3.090 to 3.097,

5-11  inclusive, and section 69 of this act.

5-12    2.  A retired justice or judge is not entitled to any right conferred by

5-13  this chapter upon a member of the system unless the provision conferring

5-14  that right expressly states that it is conferred upon a retired justice or

5-15  judge.

5-16    3.  A justice or judge who retired pursuant to NRS 2.060 to 2.075,

5-17  inclusive, and section 64 of this act, or pursuant to NRS 3.090 to 3.097,

5-18  inclusive, and section 69 of this act, is not entitled to any right conferred

5-19  by this chapter upon a member of the system unless the provision

5-20  conferring that right expressly states that it is conferred upon a justice or

5-21  judge who retired pursuant to NRS 2.060 to 2.075, inclusive, and section

5-22  64 of this act, or pursuant to NRS 3.090 to 3.097, inclusive, and section

5-23  69 of this act.

5-24    Sec. 22.  1.  Each justice of the supreme court or district judge who

5-25  is elected or appointed as a justice of the supreme court or a district

5-26  judge on or after November 5, 2002, who takes office on or after
January 1, 2003, and who previously has not served as either a justice of

5-27  the supreme court or a district judge must receive benefits for retirement,

5-28  benefits for disability and survivor benefits under the judicial retirement

5-29  plan, if eligible to receive such benefits under the judicial retirement

5-30  plan, unless he is a member of the public employees’ retirement system

5-31  and elects to remain a member pursuant to section 23 of this act if

5-32  eligible to do so.

5-33    2.  Each justice of the supreme court or district judge who is elected

5-34  or appointed as a justice of the supreme court or district judge on or after

5-35  November 5, 2002, and who previously has served as either a justice of

5-36  the supreme court or a district judge must receive benefits for retirement,

5-37  benefits for disability and survivor benefits pursuant to either:

5-38    (a) NRS 2.060 to 2.075, inclusive, and section 64 of this act or NRS

5-39  3.090 to 3.097, inclusive, and section 69 of this act, as those sections

5-40  existed on November 5, 2002, if eligible to receive such benefits under

5-41  such provisions; or

5-42    (b) The judicial retirement plan, if eligible to receive such benefits

5-43  under the judicial retirement plan,

5-44  whichever is most beneficial to the justice or judge or his survivor, as

5-45  determined by the justice or judge at the time of his retirement or the

5-46  time at which he becomes disabled, or as determined by his survivor at

5-47  the time of his death, unless he is a member of the public employees’

5-48  retirement system and elects to remain a member pursuant to section 23


6-1  of this act if eligible to do so. A survivor may not change a determination

6-2  that affects the survivor and which was made by a justice or judge

6-3  pursuant to this section while the justice or judge was alive.

6-4    3.  A determination made pursuant to subsection 2 is final and if a

6-5  justice or judge or his survivor determines pursuant to subsection 2:

6-6    (a) To receive benefits pursuant to the judicial retirement plan, the

6-7  justice, judge or survivor may not receive benefits pursuant to NRS 2.060

6-8  to 2.075, inclusive, and section 64 of this act or pursuant to NRS 3.090 to

6-9  3.097, inclusive, and section 69 of this act; or

6-10    (b) To receive benefits pursuant to NRS 2.060 to 2.075, inclusive, and

6-11  section 64 of this act or pursuant to NRS 3.090 to 3.097, inclusive, and

6-12  section 69 of this act, the justice, judge or survivor may not receive

6-13  benefits pursuant to the judicial retirement plan.

6-14    4.  No justice of the supreme court or district judge or survivor of a

6-15  justice of the supreme court or district judge may receive benefits under

6-16  both this chapter and:

6-17    (a) NRS 2.060 to 2.075, inclusive, and section 64 of this act; or

6-18    (b) NRS 3.090 to 3.097, inclusive, and section 69 of this act.

6-19    5.  A justice of the supreme court or district judge or a survivor of a

6-20  justice of the supreme court or district judge who is receiving retirement

6-21  allowances pursuant to NRS 2.060 to 2.075, inclusive, and section 64 of

6-22  this act, or pursuant to NRS 3.090 to 3.097, inclusive, and section 69 of

6-23  this act, on January 1, 2003, is not eligible for transfer to the judicial

6-24  retirement plan.

6-25    Sec. 23.  1.  A person who is elected or appointed as a justice of the

6-26  supreme court or district judge on or after November 5, 2002, and takes

6-27  office on or after January 1, 2003, who is a member of the public

6-28  employees’ retirement system established pursuant to chapter 286 of NRS

6-29  on the date that he is elected or appointed may withdraw from the public

6-30  employees’ retirement system and become a member of the judicial

6-31  retirement plan if:

6-32    (a) He has not been elected or appointed as a justice or judge before

6-33  November 5, 2002, while a member of the public employees’ retirement

6-34  system; and

6-35    (b) He gives written notice to the board of his intention to withdraw

6-36  from the public employees’ retirement system and become a member of

6-37  the judicial retirement plan.

6-38    2.  Written notice pursuant to subsection 1 must be received by the

6-39  board:

6-40    (a) If the justice or judge is elected, by March 31 of the year following

6-41  the year in which he was elected; or

6-42    (b) If the justice or judge is appointed, within 90 days after his

6-43  appointment.

6-44    3.  If the board receives notice pursuant to this section that a justice

6-45  or judge intends to withdraw from the public employees’ retirement

6-46  system, it shall transfer from the public employees’ retirement fund the

6-47  accrued actuarial liability and credit for service earned by the justice or

6-48  judge as determined by an actuary of the system. The service so


7-1  transferred must be accredited under the judicial retirement plan as if

7-2  performed in the public employees’ retirement system.

7-3    4.  A justice or judge who exercises the option granted by this section

7-4  may not reestablish the service for which the liabilities were transferred.

7-5    5.  No justice of the supreme court or district judge or survivor of a

7-6  justice of the supreme court or district judge may receive benefits under

7-7  both sections 2 to 62, inclusive, of this act and chapter 286 of NRS.

7-8    6.  A justice of the supreme court or district judge or survivor of a

7-9  justice of the supreme court or district judge who is receiving a

7-10  retirement allowance from the public employees’ retirement system on

7-11  January 1, 2003, is not eligible for transfer to the judicial retirement

7-12  plan.

7-13    Sec. 24.  1.  A plan under which all justices of the supreme court

7-14  and district judges who are elected or appointed for the first time as

7-15  either a justice of the supreme court or district judge on or after

7-16  November 5, 2002, and who take office on or after January 1, 2003, and

7-17  who do not elect to remain in the public employees’ retirement system, if

7-18  eligible to do so, must receive benefits for retirement, disability and death

7-19  is hereby established and must be known as the judicial retirement plan.

7-20    2.  Each justice of the supreme court or district judge elected or

7-21  appointed for the first time as either a justice of the supreme court or

7-22  district judge on or after November 5, 2002, and who takes office on or

7-23  after January 1, 2003, and who does not elect pursuant to section 23 of

7-24  this act to remain in the public employees’ retirement system, if eligible

7-25  to do so, is a member of the judicial retirement plan.

7-26    3.  Benefits are earned pursuant to the judicial retirement plan in the

7-27  manner set forth in sections 25 to 62, inclusive, of this act.

7-28    Sec. 25.  Except as otherwise required as a result of section 26 of this

7-29  act:

7-30    1.  A member of the judicial retirement plan who has 5 years of

7-31  creditable service may purchase up to 5 years of service. The member

7-32  must pay the full actuarial cost of the service as determined by an

7-33  actuary of the system.

7-34    2.  A member of the judicial retirement plan may use:

7-35    (a) All or any portion of the balance of his interest in a qualified trust

7-36  pursuant to section 401(a) of the Internal Revenue Code, 26 U.S.C. §

7-37  401(a); or

7-38    (b) The money contained in an individual retirement account or in an

7-39  individual retirement annuity of a member, the entire amount of which

7-40  is:

7-41      (1) Attributable to a qualified distribution from a qualified trust

7-42  pursuant to section 401(a) of the Internal Revenue Code, 26 U.S.C. §

7-43  401(a); and

7-44      (2) Qualified as an eligible rollover distribution pursuant to section

7-45  402 of the Internal Revenue Code, 26 U.S.C. § 402,

7-46  to purchase creditable service pursuant to subsection 1.

7-47    Sec. 26.  Notwithstanding any other provision of law, the benefits

7-48  payable to and the contributions made for the benefit of a member of the

7-49  judicial retirement plan are limited pursuant to the provisions of sections


8-1  415(b) and 415(c) of the Internal Revenue Code, 26 U.S.C. §§ 415(b) and

8-2  415(c), that apply to governmental plans.

8-3    Sec. 27.  Service credit for a member of the judicial retirement plan

8-4  begins on the day after his election or appointment and terminates on the

8-5  day of election of his successor, unless sooner terminated on the day of

8-6  his death, resignation or removal from office.

8-7    Sec. 28.  Except as otherwise provided in this chapter, a member of

8-8  the judicial retirement plan must not receive credit in the plan for service

8-9  that entitled the member to credit for retirement purposes in any other

8-10  retirement system operated by the federal or a state government, or any

8-11  of their agencies or political subdivisions, including, without limitation,

8-12  the Social Security Act.

8-13    Sec. 29.  1.  A member of the judicial retirement plan is eligible to

8-14  retire at the age of 65 years if he has at least 5 years of service, at the age

8-15  of 60 years if he has at least 10 years of service, and at any age if he has

8-16  at least 30 years of service.

8-17    2.  Any member of the judicial retirement plan who has the years of

8-18  creditable service necessary to retire, but has not attained the required

8-19  age, if any, may retire at any age with a benefit actuarially reduced to the

8-20  required retirement age. Except as otherwise required as a result of

8-21  section 26 of this act, a retirement benefit under this subsection must be

8-22  reduced by 4 percent of the unmodified benefit for each full year that the

8-23  member is under the appropriate retirement age, and an additional 0.33

8-24  percent for each additional month that the member is under the

8-25  appropriate retirement age. Any option selected under this subsection

8-26  must be reduced by an amount proportionate to the reduction provided in

8-27  this subsection for the unmodified benefit. The board may adjust the

8-28  actuarial reduction based upon an experience study of the system and

8-29  recommendation by the actuary.

8-30    Sec. 30.  1.  Except as otherwise provided in subsection 3 and

8-31  section 31 of this act, if a retired justice or judge accepts employment as a

8-32  justice of the supreme court or district judge in any judicial capacity,

8-33  including, without limitation, employment as a senior justice or senior

8-34  judge of the Nevada court system, he is disqualified from receiving any

8-35  allowances under the judicial retirement plan for the duration of his

8-36  active service.

8-37    2.  If a retired justice or judge accepts any employment other than

8-38  that described in subsection 1, the justice or judge is entitled to the same

8-39  allowances as a retired justice or judge who has no employment.

8-40    3.  The system may waive for one period of 30 days or less a retired

8-41  justice’s or judge’s disqualification under this section if the chief justice

8-42  of the supreme court certifies in writing, in advance, that the retired

8-43  justice or judge is recalled to meet an emergency and that no other

8-44  qualified person is immediately available.

8-45    Sec. 31.  1.  A retired justice or judge who accepts employment as a

8-46  justice of the supreme court or district judge in any judicial capacity,

8-47  including, without limitation, employment as a senior justice or senior

8-48  judge of the Nevada court system, may enroll in the judicial retirement


9-1  plan as of the effective date of that employment. As of the date of

9-2  enrollment:

9-3    (a) He forfeits all retirement allowances for the duration of that

9-4  employment; and

9-5    (b) Except as otherwise required as a result of section 26 or 33 of this

9-6  act, if the duration of the employment is at least 6 months, he gains

9-7  additional service credit for that employment and is entitled to have a

9-8  separate service retirement allowance calculated based on his

9-9  compensation and service, effective upon the termination of that

9-10  employment. If the duration of the employment is:

9-11      (1) Less than 5 years, the additional allowance must be added to his

9-12  original allowance and must be under the same option and designated

9-13  the same beneficiary as the original allowance; or

9-14      (2) Five years or more, the additional allowance may be under any

9-15  option and designate any beneficiary in accordance with section 36 of

9-16  this act.

9-17    2.  The original service retirement allowance of such a retired justice

9-18  or judge must not be recalculated based upon the additional service

9-19  credit, nor is he entitled to any of the rights of membership that were not

9-20  in effect at the time of his original retirement. The accrual of service

9-21  credit pursuant to this section is subject to the limits imposed by:

9-22    (a) Section 37 of this act; and

9-23    (b) Section 415 of the Internal Revenue Code, 26 U.S.C. § 415.

9-24    3.  Except as otherwise required as a result of section 26 or 33 of this

9-25  act, a retired justice or judge who has been receiving a retirement

9-26  allowance pursuant to the judicial retirement plan and who is

9-27  reemployed and is enrolled in the plan for at least 5 years may have his

9-28  additional credit for service added to his previous credit for service. This

9-29  additional credit for service must not apply to more than one period of

9-30  employment after the original retirement.

9-31    4.  The survivor of a deceased member of the judicial retirement plan

9-32  who had previously retired and was reemployed and enrolled in the plan,

9-33  who qualifies for benefits pursuant to sections 50 to 61, inclusive, of this

9-34  act, is eligible for the benefits based on the service accrued through the

9-35  second period of employment.

9-36    Sec. 32.  Notwithstanding any other provision of law, every

9-37  distribution to a member of the judicial retirement plan must be made

9-38  pursuant to the provisions of section 401(a)(9) of the Internal Revenue

9-39  Code, 26 U.S.C. § 401(a)(9), that apply to governmental plans.

9-40    Sec. 33.  Notwithstanding any other provision of law, the amount of

9-41  compensation used to determine the retirement benefit of a member of

9-42  the judicial retirement plan must not exceed the limitation provided by

9-43  section 401(a)(17) of the Internal Revenue Code, 26 U.S.C. § 401(a)(17).

9-44    Sec. 34.  Forfeitures must not be applied to increase the benefits any

9-45  member of the judicial retirement plan would otherwise receive pursuant

9-46  to the provisions governing the plan as provided by section 401(a)(8) of

9-47  the Internal Revenue Code, 26 U.S.C. § 401(a)(8).

 


10-1    Sec. 35.  1.  Applications for service retirement allowances or

10-2  disability retirement allowances must be submitted to the offices of the

10-3  system on forms approved by the executive officer of the board. The form

10-4  must not be deemed filed unless it contains:

10-5    (a) The member of the judicial retirement plan’s selection of the

10-6  retirement plan contained in section 37 of this act or one of the optional

10-7  plans provided in section 38 of this act;

10-8    (b) A notarized statement of the marital status of the member of the

10-9  judicial retirement plan; and

10-10  (c) If the member of the system is married, a statement of the spouse’s

10-11  consent or objection to the chosen retirement plan, signed by the spouse

10-12  and notarized.

10-13  2.  Except as otherwise required by section 32 of this act, retirement

10-14  becomes effective on whichever of the following days is the later:

10-15  (a) The day immediately following the applicant’s last day of

10-16  employment;

10-17  (b) The day the completed application form is filed with the system;

10-18  (c) The day immediately following the applicant’s last day of

10-19  creditable service; or

10-20  (d) The effective date of retirement specified on the application form.

10-21  3.  The selection of a retirement plan by a member of the judicial

10-22  retirement plan and consent or objection to that plan by the spouse

10-23  pursuant to this section does not affect the responsibility of the member

10-24  concerning the rights of any present or former spouse.

10-25  4.  The system is not liable for any damages resulting from the false

10-26  designation of marital status by a member of the system or a retired

10-27  justice or judge, or a justice of the supreme court or district judge who

10-28  retires pursuant to NRS 2.060 to 2.075, inclusive, and section 64 of this

10-29  act, or pursuant to NRS 3.090 to 3.097, inclusive, and section 69 of this

10-30  act.

10-31  Sec. 36.  1.  If the spouse of the member of the judicial retirement

10-32  plan does not consent to the retirement plan chosen by the member

10-33  before the date on which the retirement becomes effective pursuant to

10-34  section 35 of this act the system must:

10-35  (a) Notify the spouse that he has 90 days to consent or have the

10-36  member change his selection; and

10-37  (b) Pay the retirement at the amount calculated for Option 2 provided

10-38  in section 38 of this act until the spouse consents or for 90 days,

10-39  whichever is less.

10-40  2.  Upon consent of the spouse or at the end of the 90 days, the

10-41  retirement benefit must be recalculated and paid under the terms of the

10-42  option originally selected by the member retroactively to the date on

10-43  which the retirement became effective.

10-44  Sec. 37.  Except as otherwise required as a result of section 26 or 33

10-45  of this act:

10-46  1.  Except as otherwise provided in this subsection, a monthly service

10-47  retirement allowance must be determined by multiplying a member of the

10-48  judicial retirement plan’s average compensation by 3.4091 percent for

10-49  each year of service, except that a member of the plan is entitled to a


11-1  benefit of not more than 75 percent of his average compensation with his

11-2  eligibility for service credit ceasing at 22 years of service.

11-3    2.  For the purposes of this section, “average compensation” means

11-4  the average of a member of the plan’s 36 consecutive months of highest

11-5  compensation as certified by the court administrator.

11-6    Sec. 38.  1.  The alternatives to an unmodified service retirement

11-7  allowance are as follows:

11-8    (a) Option 2 consists of a reduced service retirement allowance

11-9  payable monthly during the retired justice’s or judge’s life, with the

11-10  provision that it continue after his death for the life of the beneficiary

11-11  whom he nominates by written designation acknowledged and filed with

11-12  the board at the time of retirement should the beneficiary survive him.

11-13  (b) Option 3 consists of a reduced service retirement allowance

11-14  payable monthly during the retired justice’s or judge’s life, with the

11-15  provision that it continue after his death at one-half the rate paid to him

11-16  and be paid for the life of the beneficiary whom he nominates by written

11-17  designation acknowledged and filed with the board at the time of

11-18  retirement should the beneficiary survive him.

11-19  (c) Option 4 consists of a reduced service retirement allowance

11-20  payable monthly during the retired justice’s or judge’s life, with the

11-21  provision that it continue after his death for the life of his beneficiary,

11-22  whom he nominates by written designation acknowledged and filed with

11-23  the board at the time of the election, should his beneficiary survive him,

11-24  beginning on the attainment by the surviving beneficiary of age 60 years.

11-25  (d) Option 5 consists of a reduced service retirement allowance

11-26  payable monthly during the retired justice’s or judge’s life, with the

11-27  provision that it continue after his death at one-half the rate paid to him

11-28  and be paid for the life of his beneficiary whom he nominates by written

11-29  designation acknowledged and filed with the board at the time of the

11-30  election, should his beneficiary survive him, beginning on the attainment

11-31  by the surviving beneficiary of age 60 years.

11-32  (e) Option 6 consists of a reduced service retirement allowance

11-33  payable monthly during the retired justice’s or judge’s life, with the

11-34  provision that a specific sum per month, which cannot exceed the

11-35  monthly allowance paid to the retired justice or judge, be paid after his

11-36  death to the beneficiary for the life of the beneficiary whom he

11-37  nominates by written designation acknowledged and filed with the board

11-38  at the time of retirement, should the beneficiary survive him.

11-39  (f) Option 7 consists of a reduced service retirement allowance

11-40  payable monthly during the retired justice’s or judge’s life, with the

11-41  provision that a specific sum per month, which cannot exceed the

11-42  monthly allowance paid to the retired justice or judge, be paid after his

11-43  death to the beneficiary for the life of the beneficiary whom he

11-44  nominates by written designation acknowledged and filed with the board

11-45  at the time of election, should the beneficiary survive him, beginning on

11-46  the attainment by the surviving beneficiary of age 60 years.

11-47  2.  Post-retirement allowances must be considered a part of a retired

11-48  justice’s or judge’s monthly benefit and included in the allowance paid to

11-49  a beneficiary under one of the optional plans set forth in this section.


12-1    Sec. 39.  1.  If a member of the judicial retirement plan enters

12-2  retirement status under one of the optional plans described in section 38

12-3  of this act and the designated beneficiary predeceases the retired justice

12-4  or judge, the monthly retirement allowance must be automatically

12-5  adjusted to the unmodified retirement allowance provided in section 37

12-6  of this act.

12-7    2.  A retired justice or judge may not change the selected option or

12-8  designated beneficiary after the effective date of retirement except as

12-9  otherwise provided in subsection 3 and subsection 3 of section 31 of this

12-10  act.

12-11  3.  A retired justice or judge may cancel his selected option and

12-12  designation of beneficiary and revert to the unmodified retirement

12-13  allowance. He shall make this election by written designation,

12-14  acknowledged and filed with the board. The written election must be

12-15  accompanied by a written, notarized acknowledgment of the change by

12-16  the beneficiary if the beneficiary is the spouse of the retired justice or

12-17  judge. The election to cancel a selected option and revert to the

12-18  unmodified allowance does not abrogate any obligation of the retired

12-19  justice or judge respecting community property.

12-20  4.  The termination or adjustment of a monthly retirement allowance

12-21  resulting from the death of a justice or judge or beneficiary must not

12-22  become effective until the first day of the month immediately following

12-23  the death of the retired justice or judge or beneficiary.

12-24  Sec. 40.  Each person who receives benefits from the judicial

12-25  retirement fund pursuant to the system is entitled to receive cost-of-living

12-26  increases equivalent to those provided for retirees and beneficiaries of

12-27  the public employees’ retirement system.

12-28  Sec. 41.  1.  In addition to the options provided in NRS 287.023 and

12-29  subject to the requirements of that section, any justice of the supreme

12-30  court or district judge who retires under the conditions set forth in

12-31  section 29 of this act and, at the time of his retirement, was covered or

12-32  had his dependents covered by any group insurance or medical and

12-33  hospital service established pursuant to NRS 287.010 and 287.020, has

12-34  the option of having the executive officer of the board deduct and pay his

12-35  premium or contribution for that group insurance or medical and

12-36  hospital service coverage, as well as the amount due or to become due

12-37  upon any obligation designated by the board pursuant to subsection 2,

12-38  from his monthly retirement allowance until:

12-39  (a) He notifies the executive officer of the board to discontinue the

12-40  deduction; or

12-41  (b) Any of his dependents elect to assume the premium or contribution

12-42  applicable to the dependent’s coverage before the death of such a retired

12-43  justice or judge and continue coverage pursuant to NRS 287.023 after

12-44  his death.

12-45  2.  The board may adopt regulations to carry out the provisions of

12-46  subsection 1, including, without limitation, regulations governing the

12-47  number and types of obligations, amounts for the payment of which may

12-48  be deducted and paid by the board at the option of the retired justice or

12-49  judge pursuant to this section.


13-1    3.  The executive officer of the board, the board and the system are

13-2  not liable for any damages resulting from errors or omissions concerning

13-3  the deductions and payment of premiums or contributions authorized

13-4  pursuant to this section unless willful neglect or gross negligence is

13-5  proven.

13-6    Sec. 42.  1.  A member of the judicial retirement plan who has 5

13-7  years or more of service credit and who becomes totally unable to

13-8  perform his current job or any comparable job for which he is qualified

13-9  by his training and experience, because of injury or mental or physical

13-10  illness of a permanent nature is eligible to apply for disability retirement

13-11  if:

13-12  (a) Except as otherwise provided in subsection 5, his employment as a

13-13  justice of the supreme court or district judge will be terminated because

13-14  of the disability;

13-15  (b) He is employed as a justice of the supreme court or a district judge

13-16  at the time of application for disability retirement;

13-17  (c) He proves that his disability renders him unable to perform the

13-18  duties of his present position and of any other position he has held within

13-19  the past year;

13-20  (d) He files a notarized application for disability retirement with the

13-21  system which indicates a selection of option and to which is attached a

13-22  personal statement by the member of the judicial retirement plan,

13-23  describing the disability, the duties which he can and cannot perform,

13-24  and any benefits he is entitled to receive for disability from any other

13-25  public source; and

13-26  (e) The court administrator files an official statement certifying the

13-27  member’s employment record, record of disability, absences that have

13-28  occurred because of the disability, the effect upon the work of the

13-29  member after the disability, and job functions that can and cannot be

13-30  performed because of the disability.

13-31  2.  Except as otherwise required as a result of section 26 of this act,

13-32  the amount of the disability retirement allowance must be calculated in

13-33  the same manner as provided for service retirement calculations in

13-34  section 37 of this act, except that no reduction for the age of a member of

13-35  the judicial retirement plan may be made and that the allowance must be

13-36  reduced by the amount of any other benefit received from any source on

13-37  account of the same disability:

13-38  (a) If the benefit is provided or was purchased by the expenditure of

13-39  money by a Nevada public employer; and

13-40  (b) To the extent that the total of the unmodified benefit and the other

13-41  benefit would otherwise exceed his average compensation.

13-42  3.  A member of the judicial retirement plan may apply for disability

13-43  retirement even if he is eligible for service retirement.

13-44  4.  Each child of a deceased recipient of a disability retirement

13-45  allowance is entitled to receive the benefits provided by section 55 of this

13-46  act only if the decedent had not reached the age and completed the

13-47  service required to be eligible for a service retirement allowance, except

13-48  that these benefits must not be paid to anyone who is named as a

13-49  beneficiary under one of the options to an unmodified allowance.


14-1    5.  If a member of the judicial retirement plan whose application for

14-2  disability retirement has been:

14-3    (a) Approved, dies before his employment is terminated, but within 60

14-4  days after his application was approved; or

14-5    (b) Mailed before his death as indicated by the date of the postmark

14-6  dated by the post office on the envelope in which it was mailed, dies

14-7  before the board has acted upon his application and the board approves

14-8  thereafter his application,

14-9  his beneficiary is entitled to receive an allowance under the option

14-10  selected rather than the benefit otherwise provided for a survivor.

14-11  6.  The termination or adjustment of a disability retirement allowance

14-12  resulting from the death of a recipient of an allowance pursuant to this

14-13  section must not become effective until the first day of the month

14-14  immediately following the death of the recipient.

14-15  7.  As used in this section, “public employer” has the meaning

14-16  ascribed to it in NRS 286.070.

14-17  Sec. 43.  The provisions of NRS 286.630, 286.634 and 286.637,

14-18  concerning disability retirement, apply to a member of the judicial

14-19  retirement plan who is receiving a disability retirement allowance

14-20  pursuant to section 42 of this act.

14-21  Sec. 44.  1.  When the recipient of a disability retirement allowance

14-22  is determined by the board to be no longer disabled, his allowance must

14-23  be canceled.

14-24  2.  A retired justice or judge who retired on account of disability

14-25  whose benefit is canceled may:

14-26  (a) Suspend his monthly benefit until eligible for service retirement;

14-27  or

14-28  (b) Elect a service retirement reduced for his age if he has the service

14-29  credit necessary to retire.

14-30  Sec. 45.  1.  Except as otherwise provided in subsection 2, whenever

14-31  a recipient of a disability retirement allowance pursuant to section 42 of

14-32  this act returns to employment as a justice of the supreme court or

14-33  district judge, the allowance must be discontinued and his service credit

14-34  at the time of disability retirement must be restored. The member shall

14-35  retire under the same retirement plan previously selected for retirement

14-36  on account of disability if he returns to disability retirement or elects

14-37  service retirement within 1 year after his return to employment.

14-38  2.  A recipient of a disability retirement allowance may be employed

14-39  and continue to receive his allowance if he applies to the board for

14-40  approval of the employment before he begins to work and the board

14-41  approves his application. The application must include:

14-42  (a) A full description of the proposed employment; and

14-43  (b) A statement written by the member of the system declaring the

14-44  reasons why the proposed employment should not be found to conflict

14-45  with his disability.

14-46  Sec. 46.  Any person convicted of the murder or voluntary

14-47  manslaughter of a member of the system is ineligible to receive any

14-48  benefit conferred by any provision of this chapter or NRS 2.060 to 2.075,

14-49  inclusive, and section 64 of this act, or NRS 3.090 to 3.097, inclusive, and


15-1  section 69 of this act, by reason of the death of that member. The system

15-2  may withhold the payment of any benefit otherwise payable under this

15-3  chapter by reason of the death of any member of the system from any

15-4  person charged with the murder or voluntary manslaughter of that

15-5  member, pending final determination of those charges.

15-6    Sec. 47.  1.  Except as otherwise provided in NRS 31A.150 and

15-7  section 48 of this act and as limited by subsection 2, the right of a person

15-8  to a pension, an annuity, a retirement allowance, the pension, annuity or

15-9  retirement allowance itself, any optional benefit or death benefit or any

15-10  other right accrued or accruing to any person under the provisions of

15-11  this chapter, and the money in the judicial retirement fund, is:

15-12  (a) Exempt from all state, county and municipal taxes;

15-13  (b) Not subject to execution, garnishment, attachment or any other

15-14  process;

15-15  (c) Not subject to the operation of any bankruptcy or insolvency law;

15-16  (d) Not assignable, by power of attorney or otherwise; and

15-17  (e) Exempt from assessment for the impairment or insolvency of any

15-18  life or health insurance company.

15-19  2.  The system may withhold money from a benefit when the person

15-20  applying for or receiving the benefit owes money to the system.

15-21  Sec. 48.  1.  A person may submit a judgment, decree or order of a

15-22  district court or the supreme court of the State of Nevada relating to child

15-23  support, alimony or the disposition of community property to the

15-24  executive officer of the board or his designee for a determination of

15-25  whether the judgment, decree or order entitles an alternate payee to

15-26  receive from the system all or a portion of the allowance or benefit of a

15-27  member of the judicial retirement plan or a retired justice or judge.

15-28  2.  The judgment, decree or order submitted to the executive officer of

15-29  the board or his designee must be signed by a district judge or by the

15-30  justices of the supreme court and entered and certified by the clerk of the

15-31  district court or the clerk of the supreme court.

15-32  3.  The executive officer of the board or his designee shall, in

15-33  accordance with rules prescribed by the board, determine whether the

15-34  judgment, decree or order entitles the alternate payee to receive an

15-35  allowance or benefit from the system. An alternate payee is entitled to

15-36  receive an allowance or benefit from the judicial retirement plan if the

15-37  judgment, decree or order:

15-38  (a) Specifies clearly the names, social security numbers and last

15-39  known mailing addresses, if any, of the member of the judicial retirement

15-40  plan or retired justice or judge and the alternate payee;

15-41  (b) Specifies clearly the amount, percentage or manner of determining

15-42  the amount of the allowance or benefit of the member of the judicial

15-43  retirement plan or retired justice or judge that must be paid by the system

15-44  to each alternate payee;

15-45  (c) Specifically directs the system to pay an allowance or benefit to the

15-46  alternate payee;

15-47  (d) Does not require the system to provide an allowance or benefit or

15-48  any option not otherwise provided under this chapter; and


16-1    (e) Does not require the payment of an allowance or benefit to an

16-2  alternate payee before the retirement of a member of the judicial

16-3  retirement plan.

16-4    4.  For the purposes of this subsection, “alternate payee” means a

16-5  spouse, former spouse, child or other dependent of a member of the

16-6  judicial retirement plan or retired justice or judge who, pursuant to a

16-7  judgment, decree or order relating to child support, alimony or the

16-8  disposition of community property, is entitled to receive all or a portion of

16-9  the allowance or benefit of a member or retired justice or judge from the

16-10  system.

16-11  Sec. 49.  1.  Any check for benefits which has not been paid within

16-12  5 years after being transferred to the account for unclaimed benefits

16-13  must be transferred to the judicial retirement fund.

16-14  2.  If, within 6 years after a check for benefits has been transferred

16-15  pursuant to subsection 1, any person appears and claims the money, the

16-16  claimant may file a petition in the district court for Carson City stating

16-17  the nature of his claim, with an appropriate prayer for the relief

16-18  demanded. A copy of the petition must be served upon the attorney

16-19  general before or at the time it is filed. Within 20 days after service, the

16-20  attorney general shall appear in the proceeding and respond to the

16-21  petition. If, after examining all the facts, the attorney general is

16-22  convinced that the system has no legal defense against the petition, he

16-23  may, with the consent of the court, confess judgment on behalf of the

16-24  system.

16-25  3.  If judgment is not confessed, the petition must be considered at

16-26  issue on the 20th day after its filing, and may be heard by the court on

16-27  that day, or at such future day as the court may order. Upon the hearing,

16-28  the court shall examine into the claim and hear the allegations and

16-29  proofs. If the court finds that the claimant is entitled to any money

16-30  transferred pursuant to subsection 1 to the judicial retirement fund, it

16-31  shall order the board to pay the money forthwith to the claimant, but

16-32  without interest or cost to the board.

16-33  4.  All persons, except minors and persons of unsound mind, who fail

16-34  to appear and file their petitions within the time limited in subsection 1

16-35  are forever barred. Minors and persons of unsound mind may appear

16-36  and file their petitions at any time within 5 years after their respective

16-37  disabilities are removed.

16-38  Sec. 50.  As used in sections 50 to 60, inclusive, of this act, unless the

16-39  context otherwise requires, the words and terms defined in sections 51,

16-40  52 and 53 of this act have the meanings ascribed to them in those

16-41  sections.

16-42  Sec. 51.  “Child” means an unmarried person under 18 years of age

16-43  who is the issue or legally adopted child of a deceased member of the

16-44  judicial retirement plan. As used in this section, “issue” means the

16-45  progeny or biological offspring of the deceased member.

16-46  Sec. 52.  “Dependent parent” means the surviving parent of a

16-47  deceased member of the judicial retirement plan who was dependent

16-48  upon the deceased member for at least 50 percent of his support for at

16-49  least 6 months immediately preceding the death of the deceased member.


17-1    Sec. 53.  “Spouse” means the surviving husband or wife of a

17-2  deceased member of the judicial retirement plan.

17-3    Sec. 54.  1.  Except as otherwise provided in subsection 3, if a

17-4  deceased member of the judicial retirement plan had 2 years of

17-5  accredited contributing service in the 2 1/2 years immediately preceding

17-6  his death, or if the employee had 10 or more years of accredited

17-7  contributing service, certain of his dependents are eligible for payments

17-8  as provided in sections 50 to 60, inclusive, of this act. If the death of the

17-9  member resulted from a mental or physical condition which required him

17-10  to leave his position as a justice of the supreme court or district judge or

17-11  go on leave without pay, eligibility pursuant to the provisions of this

17-12  section extends for 18 months after his termination or commencement of

17-13  leave without pay.

17-14  2.  If the death of a member of the judicial retirement plan occurs

17-15  while he is on leave of absence for further training and if he met the

17-16  requirements of subsection 1 at the time his leave began, certain of his

17-17  dependents are eligible for payments as provided in subsection 1.

17-18  3.  If the death of a member of the judicial retirement plan is caused

17-19  by an occupational disease or an accident arising out of and in the

17-20  course of his employment, no prior contributing service is required to

17-21  make his dependents eligible for payments under sections 50 to 60,

17-22  inclusive, of this act, except that this subsection does not apply to an

17-23  accident occurring while the member is traveling between his home and

17-24  his principal place of employment.

17-25  Sec. 55.  1.  Each child of a deceased member of the judicial

17-26  retirement plan is entitled to receive a cumulative benefit of at least $400

17-27  per month, beginning on the first day of the month following the

17-28  member’s death.

17-29  2.  Except as otherwise provided in subsections 3 and 4, payments to

17-30  any child cease on the last day of the month of:

17-31  (a) His adoption;

17-32  (b) His death;

17-33  (c) His marriage; or

17-34  (d) His attaining the age of 18 years.

17-35  3.  These benefits may be paid to the child of a deceased member of

17-36  the judicial retirement plan until the last day of the month of his 23rd

17-37  birthday if he was, at the time of the member’s death, and continues

17-38  thereafter to be, a full-time student in any accredited:

17-39  (a) High school;

17-40  (b) Vocational or technical school; or

17-41  (c) College or university.

17-42  4.  These benefits may be commenced or extended indefinitely beyond

17-43  a child’s 18th birthday if and so long as he is determined by the system to

17-44  be:

17-45  (a) Financially dependent; and

17-46  (b) Physically or mentally incompetent.

17-47  5.  All benefits under this section may be paid by the system to the

17-48  child’s:

17-49  (a) Surviving parent; or


18-1    (b) Legal guardian.

18-2    6.  The board shall establish uniform standards and procedures for

18-3  determining whether a child is:

18-4    (a) A full-time student;

18-5    (b) Financially dependent; and

18-6    (c) Physically or mentally incompetent.

18-7    Sec. 56. 1.  The spouse of a deceased member of the judicial

18-8  retirement plan is entitled to receive a cumulative benefit of at least $450

18-9  per month. The payments must begin on the first day of the month

18-10  immediately following the death of the member and must cease on the

18-11  last day of the month in which the spouse dies.

18-12  2.  The benefits paid pursuant to this section are in addition to any

18-13  benefits paid pursuant to section 55 of this act.

18-14  Sec. 57.  1.  The spouse of a deceased member of the judicial

18-15  retirement plan who had 10 or more years of accredited contributing

18-16  service is entitled to receive a monthly allowance equivalent to that

18-17  provided by:

18-18  (a) Option 3 in section 38 of this act, if the deceased member had less

18-19  than 15 years of service on the date of his death; or

18-20  (b) Option 2 in section 38 of this act, if the deceased member had

18-21  more than 15 or more years of service on the date of his death.

18-22  To apply the provisions of Options 2 and 3, the deceased member shall be

18-23  deemed to have retired on the date of his death immediately after having

18-24  named the spouse as beneficiary under the applicable option. This

18-25  benefit must be computed without any reduction for age for the deceased

18-26  member. The benefits provided by this subsection must be paid to the

18-27  spouse for the remainder of the spouse’s life.

18-28  2.  The spouse may elect to receive the benefits provided by any one of

18-29  the following only:

18-30  (a) This section; or

18-31  (b) Section 56 of this act.

18-32  Sec. 58. The spouse of a deceased member of the judicial retirement

18-33  plan who was fully eligible to retire, both as to service and age, is entitled

18-34  to receive a monthly allowance equivalent to that provided by option 2 in

18-35  section 38 of this act. This section does not apply to the spouse of a

18-36  member who was eligible to retire only under subsection 2 of section 29

18-37  of this act. For the purposes of applying the provisions of option 2, the

18-38  deceased member shall be deemed to have retired on the date of his death

18-39  immediately after having named the spouse as beneficiary under option

18-40  2. The benefits provided by this section must be paid to the spouse for the

18-41  remainder of the spouse’s life. The spouse may elect to receive the

18-42  benefits provided by any one of the following only:

18-43  1.  This section;

18-44  2.  Section 56 of this act; or

18-45  3.  Section 57 of this act.

18-46  Sec. 59. If payments are not made under the provisions of section

18-47  55, 56 or 57 of this act, the dependent parent of a deceased member of

18-48  the judicial retirement plan is entitled to receive a cumulative benefit of

18-49  at least $400 per month, and if there are two dependent parents, each is


19-1  entitled to receive a cumulative benefit of at least $400 per month.

19-2  Payments to any parent under this section must cease upon the death of

19-3  that parent.

19-4    Sec. 60.  The amount of each monthly allowance paid as specified in

19-5  sections 55 to 59, inclusive, of this act must not exceed the deceased

19-6  member of the judicial retirement plan’s average compensation and must

19-7  be reduced by the amount of any other benefit received from any source:

19-8    1.  If that benefit was provided or purchased by the expenditure of

19-9  money by this state, except for lump-sum payments under a group

19-10  insurance program; and

19-11  2.  To the extent that the total of the allowance and the other benefit

19-12  would otherwise exceed the deceased member’s average compensation.

19-13  Sec. 61. 1.  Retirement allowances for members of the judicial

19-14  retirement plan become vested on the date that the member completes 5

19-15  years of accredited contributing service.

19-16  2.  Benefits for survivors offered pursuant to this chapter become

19-17  vested on the date that the member of the judicial retirement plan

19-18  completes 10 years of accredited contributing service or becomes entitled

19-19  to begin receiving benefits or on the date of his death, whichever event

19-20  occurs first.

19-21  3.  Unless otherwise specifically provided by law, any change in the

19-22  provisions of this chapter is retroactive for all service of any member of

19-23  the judicial retirement plan before the date of vesting, but no change may

19-24  impair any vested allowance or benefit.

19-25  4.  Upon the termination or partial termination of the system, all

19-26  accrued benefits that are funded become 100 percent vested and

19-27  nonforfeitable.

19-28  Sec. 62.  A person who knowingly makes a false statement, certifies

19-29  to an incorrect document or withholds information for the purpose of

19-30  receiving or assisting another person in receiving benefits under this

19-31  chapter to which he is not entitled is guilty of a gross misdemeanor.

19-32  Sec. 63.  NRS 1.365 is hereby amended to read as follows:

19-33  1.365  1.  All of the following claims must be submitted to the [court

19-34  administrator,] executive officer of the public employees’ retirement

19-35  board who shall [act as administrative officer in processing] process the

19-36  claims:

19-37  [1.] (a) Claims of justices of the supreme court under NRS [2.050 and]

19-38  2.060.

19-39  [2.] (b) Claims of surviving spouses of justices of the supreme court

19-40  under NRS 2.070.

19-41  [3.] (c) Claims of judges of the district courts under NRS [3.030 and]

19-42  3.090.

19-43  [4.] (d) Claims of surviving spouses of judges of the district courts

19-44  under NRS 3.095.

19-45  2.  The following claims must be submitted to the court administrator,

19-46  who shall act as administrative officer in processing the claims:

19-47  (a) Claims of justices of the supreme court under NRS 2.050.

19-48  (b) Claims of judges of the district courts under NRS 3.030.


20-1    Sec. 64.  Chapter 2 of NRS is hereby amended by adding thereto a new

20-2  section to read as follows:

20-3    The provisions of NRS 2.060 to 2.075, inclusive:

20-4    1.  Apply only to a justice of the supreme court or a surviving spouse

20-5  or surviving child of a justice of the supreme court who served as a

20-6  justice of the supreme court or district judge before November 5, 2002;

20-7    2.  Are administered by the public employees’ retirement board

20-8  pursuant to section 11 of this act; and

20-9    3.  Are part of the judicial retirement system established pursuant to

20-10  section 11 of this act.

20-11  Sec. 65.  NRS 2.060 is hereby amended to read as follows:

20-12  2.060  1.  Any justice of the supreme court who has served as a justice

20-13  or judge of a district court in any one or more of those courts for a period

20-14  or periods aggregating 22 years and has ended such service is, after

20-15  reaching the age of 60 years, entitled to receive annually from the State of

20-16  Nevada, as a pension during the remainder of his life, a sum of money

20-17  equal in amount to three-fourths the sum received as a salary for his

20-18  judicial services during the last year thereof, payable [every 2 weeks from

20-19  money provided by direct legislative appropriation.] monthly from the

20-20  judicial retirement fund established pursuant to section 13 of this act.

20-21  2.  Any justice of the supreme court who has served as a justice or

20-22  judge of a district court in any one or more of those courts for a period or

20-23  periods aggregating 5 years and has ended such service is, after reaching

20-24  the age of 60 years, entitled to receive annually from the State of Nevada,

20-25  as a pension during the remainder of his life, a sum of money equal in

20-26  amount to 4.1666 percent of the sum received as a salary for his judicial

20-27  services during the last year thereof, payable [every 2 weeks from money

20-28  provided by direct legislative appropriation.] monthly from the judicial

20-29  retirement fund established pursuant to section 13 of this act.

20-30  3.  Any justice of the supreme court who qualifies for a pension under

20-31  the provisions of subsection 2 is entitled to receive, for each year served

20-32  beyond 5 years up to a maximum of 22 years, an additional 4.1666 percent

20-33  of the sum received as a salary for his judicial services during the last year

20-34  thereof, payable as provided in subsection 2.

20-35  4.  Any justice who has retired pursuant to subsection 3 and is

20-36  thereafter recalled to additional active service in the court system is entitled

20-37  to receive credit toward accumulating 22 years’ service for the maximum

20-38  pension based upon the time he actually spends in the additional active

20-39  service.

20-40  5.  Any justice who has the years of service necessary to retire but has

20-41  not attained the required age may retire at any age with a benefit actuarially

20-42  reduced to the required retirement age. A benefit under this subsection

20-43  must be reduced in the same manner as benefits are reduced for persons

20-44  retired under the public employees’ retirement system.

20-45  6.  Any person receiving a pension pursuant to the provisions of this

20-46  section is entitled to receive post-retirement increases equal to those

20-47  provided for persons retired under the public employees’ retirement

20-48  system.


21-1    7.  Any justice who desires to receive the benefits of this section must

21-2  file with the [state controller and the state treasurer] executive officer of

21-3  the public employees’ retirement board an affidavit setting forth the fact

21-4  that he is ending his service, the date and place of his birth, and the years

21-5  he has served in any district court or the supreme court.

21-6    8.  [Upon such notice and filing of the affidavit, the state controller

21-7  shall draw his warrant, payable to the justice who has thus ended his

21-8  service, upon the state treasurer for the sum due to him, and the state

21-9  treasurer shall pay the sum out of money provided by direct legislative

21-10  appropriation.

21-11  9.] The faith of the State of Nevada is hereby pledged that this section

21-12  shall not be repealed or amended so as to affect any justice who may have

21-13  ended his service pursuant to it.

21-14  Sec. 66.  NRS 2.065 is hereby amended to read as follows:

21-15  2.065  1.  A justice of the supreme court who has served as a justice or

21-16  as a district judge in any one or more courts for a period or periods

21-17  aggregating 5 years or more and who becomes permanently incapacitated,

21-18  physically or mentally, to perform the duties of his office may retire from

21-19  office regardless of age.

21-20  2.  Any justice who retires pursuant to the provisions of subsection 1 or

21-21  who is retired because of advanced age or mental or physical disability

21-22  pursuant to section 21 of article 6 of the constitution of the State of Nevada

21-23  is entitled to receive annually from the State of Nevada, as a pension

21-24  during the remainder of his life, the same pension he would receive under

21-25  NRS 2.060 based on his years of service, but without regard to his age.

21-26  3.  Any justice, or his guardian on his behalf if he is unable to act, who

21-27  desires to retire voluntarily must give notice in writing to the governor. The

21-28  governor shall appoint three physicians licensed to practice medicine in the

21-29  State of Nevada to examine the justice and report the results to the

21-30  governor in writing. If a majority of the physicians is of the opinion that

21-31  the justice is permanently incapacitated, physically or mentally, the

21-32  governor shall approve the retirement. The justice or his guardian must file

21-33  with the [state controller and state treasurer] executive officer of the public

21-34  employees’ retirement board an affidavit setting forth the fact of his

21-35  retirement and the years he has served in either or both of such courts.

21-36  4.  Pensions payable pursuant to this section must be paid in the same

21-37  manner as pensions are payable under NRS 2.060. Fees and expenses of

21-38  physicians appointed pursuant to this section must be paid out of funds

21-39  [provided by direct legislative appropriation.] from the judicial retirement

21-40  administrative fund established pursuant to section 14 of this act.

21-41  5.  The faith of the State of Nevada is hereby pledged that this section

21-42  will not be repealed or amended so as to affect adversely any justice who

21-43  may have retired or been retired pursuant to its provisions.

21-44  Sec. 67.  NRS 2.070 is hereby amended to read as follows:

21-45  2.070  1.  If a justice of the supreme court at the time of his death had

21-46  retired and was then receiving a pension under the provisions of NRS

21-47  2.060, or if at the time of his death the justice had not retired but had

21-48  performed sufficient service for retirement under the provisions of NRS

21-49  2.060, the surviving spouse, if the spouse has attained the age of 60 years,


22-1  is entitled, until his death or remarriage, to receive monthly payments of

22-2  $2,500 per month.

22-3    2.  If a surviving spouse of a justice is not eligible to receive benefits

22-4  pursuant to subsection 1, he is entitled, until his death or remarriage or

22-5  until he becomes eligible to receive those benefits, to receive payments

22-6  equal in amount to the payment provided in subsection 1 of NRS 286.674

22-7  for the spouse of a deceased member of the public employees’ retirement

22-8  system.

22-9    3.  To obtain these benefits, the surviving spouse must make

22-10  application to the [board, commission or authority entrusted with the

22-11  administration of the judges’ pensions] executive officer of the public

22-12  employees’ retirement board and furnish such information as may be

22-13  required pursuant to reasonable regulations adopted for the purpose of

22-14  carrying out the intent of this section.

22-15  4.  Any person receiving a benefit pursuant to the provisions of this

22-16  section is entitled to receive post-retirement increases equal to those

22-17  provided for persons retired under the public employees’ retirement

22-18  system.

22-19  5.  It is the intent of this section that no special fund be created for the

22-20  purpose of paying these benefits, and all payments made under the

22-21  provisions of this section are to be made out of and charged to [any fund

22-22  created for the purpose of paying pension benefits to justices of the

22-23  supreme court.] the judicial retirement fund established pursuant to

22-24  section 13 of this act.

22-25  Sec. 68.  NRS 2.075 is hereby amended to read as follows:

22-26  2.075  1.  Each child of a deceased justice of the supreme court is

22-27  entitled to receive payments equal in amount to the payments provided in

22-28  NRS 286.673 for the child of a deceased member of the public employees’

22-29  retirement system.

22-30  2.  In determining whether a child is a full-time student or financially

22-31  dependent and physically or mentally incompetent, as provided in NRS

22-32  286.673, the [court administrator] executive officer of the public

22-33  employees’ retirement board shall use any applicable standards and

22-34  procedures established by the public employees’ retirement board.

22-35  3.  It is the intent of this section that no special fund be created for the

22-36  payment of benefits, and all payments made under the provisions of this

22-37  section are to be made out of and charged to [any fund created for the

22-38  purpose of paying pension benefits to justices of the supreme court.] the

22-39  judicial retirement fund established pursuant to section 13 of this act.

22-40  Sec. 69.  Chapter 3 of NRS is hereby amended by adding thereto a new

22-41  section to read as follows:

22-42  The provisions of NRS 3.090 to 3.097, inclusive:

22-43  1.  Apply only to a district judge or a surviving spouse or surviving

22-44  child of a district judge who served as a justice of the supreme court or

22-45  district judge before November 5, 2002;

22-46  2.  Are administered by the public employees’ retirement board

22-47  pursuant to section 11 of this act; and

22-48  3.  Are part of the judicial retirement system established pursuant to

22-49  section 11 of this act.


23-1    Sec. 70.  NRS 3.090 is hereby amended to read as follows:

23-2    3.090  1.  Any judge of the district court who has served as a justice of

23-3  the supreme court or judge of a district court in any one or more of those

23-4  courts for a period or periods aggregating 22 years and has ended such

23-5  service is, after reaching the age of 60 years, entitled to receive annually

23-6  from the State of Nevada, as a pension during the remainder of his life, a

23-7  sum of money equal in amount to three-fourths the sum received as a

23-8  salary for his judicial services during the last year thereof, payable [every 2

23-9  weeks from money provided by direct legislative appropriation.] monthly

23-10  from the judicial retirement fund established pursuant to section 13 of

23-11  this act.

23-12  2.  Any judge of the district court who has served as a justice of the

23-13  supreme court or judge of a district court in any one or more of those

23-14  courts for a period or periods aggregating 5 years and has ended such

23-15  service is, after reaching the age of 60 years, entitled to receive annually

23-16  from the State of Nevada, as a pension during the remainder of his life, a

23-17  sum of money equal in amount to 4.1666 percent of the sum received as a

23-18  salary for his judicial services during the last year thereof, payable [every 2

23-19  weeks from money provided by direct legislative appropriation.] monthly

23-20  from the judicial retirement fund established pursuant to section 13 of

23-21  this act.

23-22  3.  Any judge of the district court who qualifies for a pension under the

23-23  provisions of subsection 2 is entitled to receive, for each year served

23-24  beyond 5 years up to a maximum of 22 years, an additional 4.1666 percent

23-25  of the sum received as a salary for his judicial services during the last year

23-26  thereof, payable as provided in subsection 2.

23-27  4.  Any judge who has retired pursuant to subsection 3 and is thereafter

23-28  recalled to additional active service in the court system is entitled to

23-29  receive credit toward accumulating 22 years’ service for the maximum

23-30  pension based upon the time he actually spends in the additional active

23-31  service.

23-32  5.  Any district judge who has the years of service necessary to retire

23-33  but has not attained the required age may retire at any age with a benefit

23-34  actuarially reduced to the required retirement age. A retirement benefit

23-35  under this subsection must be reduced in the same manner as benefits are

23-36  reduced for persons retired under the public employees’ retirement system.

23-37  6.  Any person receiving a pension pursuant to the provisions of this

23-38  section is entitled to receive post-retirement increases equal to those

23-39  provided for persons retired in the public employees’ retirement system.

23-40  7.  Any judge of the district court who desires to receive the benefits of

23-41  this section must file with the [state controller and the state treasurer]

23-42  executive officer of the public employees’ retirement board an affidavit

23-43  setting forth the fact that he is ending his service, the date and place of his

23-44  birth, and the years he has served in any district court or the supreme court.

23-45  8.  [Upon such notice and filing of the affidavit, the state controller

23-46  shall draw his warrant, payable to the judge who has thus ended his

23-47  service, upon the state treasurer for the sum due to him, and the state

23-48  treasurer shall pay the sum out of money provided by direct legislative

23-49  appropriation.


24-1    9.] The faith of the State of Nevada is hereby pledged that this section

24-2  shall not be repealed or amended so as to affect any judge of the district

24-3  court who may have ended his service pursuant to it.

24-4    Sec. 71.  NRS 3.092 is hereby amended to read as follows:

24-5    3.092  1.  A district judge who has served as a district judge or as a

24-6  justice of the supreme court in any one or more courts for a period or

24-7  periods aggregating 5 years or more and who becomes permanently

24-8  incapacitated, physically or mentally, to perform the duties of his office

24-9  may retire from office regardless of age.

24-10  2.  Any district judge who retires pursuant to the provisions of

24-11  subsection 1 or who is retired because of advanced age or physical or

24-12  mental disability pursuant to section 21 of article 6 of the constitution of

24-13  the State of Nevada is entitled to receive annually from the State of

24-14  Nevada, a pension for the remainder of his life, the same pension he would

24-15  receive under NRS 3.090 based on his years of service but without regard

24-16  to his age.

24-17  3.  Any judge, or his guardian on his behalf if he is unable to act, who

24-18  desires to retire voluntarily must give notice in writing to the governor. The

24-19  governor shall appoint three physicians licensed to practice medicine in the

24-20  State of Nevada to examine the judge and report the results to the governor

24-21  in writing. If a majority of the physicians is of the opinion that the judge is

24-22  permanently incapacitated, physically or mentally, the governor shall

24-23  approve the retirement. The judge or his guardian must file with the [state

24-24  controller and the state treasurer] executive officer of the public

24-25  employees’ retirement board an affidavit setting forth the fact of his

24-26  retirement and the years he has served in either or both of such courts.

24-27  4.  Pensions payable pursuant to this section must be paid in the same

24-28  manner as pensions payable under NRS 3.090. Fees and expenses of

24-29  physicians appointed pursuant to this section must be paid [out of funds

24-30  provided by direct legislative appropriation.] from the judicial retirement

24-31  administrative fund established pursuant to section 14 of this act.

24-32  5.  The faith of the State of Nevada is hereby pledged that this section

24-33  will not be repealed or amended so as to affect adversely any judge who

24-34  may have retired or been retired pursuant to its provisions.

24-35  Sec. 72.  NRS 3.095 is hereby amended to read as follows:

24-36  3.095  1.  If a district judge at the time of his death had retired and

24-37  was then receiving a pension under the provisions of NRS 3.090, or if at

24-38  the time of his death the judge had not retired but had performed sufficient

24-39  service for retirement under the provisions of NRS 3.090, the surviving

24-40  spouse, if the spouse has attained the age of 60 years, is entitled, until his

24-41  death or remarriage, to receive monthly payments of $2,500 per month.

24-42  2.  If a surviving spouse of a judge is not eligible to receive benefits

24-43  pursuant to subsection 1, he is entitled, until his death or remarriage or

24-44  until he becomes eligible to receive those benefits, to receive payments

24-45  equal in amount to the payment provided in subsection 1 of NRS 286.674

24-46  for the spouse of a deceased member of the public employees’ retirement

24-47  system.

24-48  3.  To obtain these benefits, the surviving spouse must make

24-49  application to the [board, commission or authority entrusted with the


25-1  administration of the judges’ pensions] executive officer of the public

25-2  employees’ retirement fund and furnish such information as may be

25-3  required pursuant to reasonable regulations adopted for the purpose of

25-4  carrying out the intent of this section.

25-5    4.  Any person receiving a benefit pursuant to the provisions of this

25-6  section is entitled to receive post-retirement increases equal to those

25-7  provided for persons retired under the public employees’ retirement

25-8  system.

25-9    5.  It is the intent of this section that no special fund be created for the

25-10  purpose of paying these benefits, and all payments made under the

25-11  provisions of this section are to be made out of and charged to [any fund

25-12  created for the purpose of paying pension benefits to district judges.] the

25-13  judicial retirement fund established pursuant to section 13 of this act.

25-14  Sec. 73.  NRS 3.097 is hereby amended to read as follows:

25-15  3.097  1.  Each child of a deceased district judge is entitled to receive

25-16  payments equal in amount to the payments provided in NRS 286.673 for

25-17  the child of a deceased member of the public employees’ retirement

25-18  system.

25-19  2.  In determining whether a child is a full-time student or financially

25-20  dependent and physically or mentally incompetent, as provided in NRS

25-21  286.673, the [court administrator] executive officer of the public

25-22  employees’ retirement board shall use any applicable standards and

25-23  procedures established by the public employees’ retirement board.

25-24  3.  It is the intent of this section that no special fund be created for the

25-25  payment of benefits, and all payments made under the provisions of this

25-26  section are to be made out of and charged to [any fund created for the

25-27  purpose of paying pension benefits to district judges.] the judicial

25-28  retirement fund established pursuant to section 13 of this act.

25-29  Sec. 74.  NRS 125.155 is hereby amended to read as follows:

25-30  125.155  Unless the action is contrary to a premarital agreement

25-31  between the parties which is enforceable pursuant to chapter 123A of NRS

25-32  or is prohibited by specific statute:

25-33  1.  In determining the value of an interest in or entitlement to a pension

25-34  or retirement benefit provided by the public employees’ retirement system

25-35  pursuant to chapter 286 of NRS[,] or the judicial retirement plan

25-36  established pursuant to section 24 of this act, the court:

25-37  (a) Shall base its determination upon the number of years or portion

25-38  thereof that the contributing party was employed and received the interest

25-39  or entitlement, beginning on the date of the marriage and ending on the

25-40  date on which a decree of legal separation or divorce is entered; and

25-41  (b) Shall not base its determination upon any estimated increase in the

25-42  value of the interest or entitlement resulting from a promotion, raise or any

25-43  other efforts made by the party who contributed to the interest or

25-44  entitlement as a result of his continued employment after the date of a

25-45  decree of legal separation or divorce.

25-46  2.  The court may, in making a disposition of a pension or retirement

25-47  benefit provided by the public employees’ retirement system[,] or the

25-48  judicial retirement plan, order that the benefit not be paid before the date


26-1  on which the participating party retires. To ensure that the party who is not

26-2  a participant will receive payment for the benefits, the court may:

26-3    (a) On its own motion or pursuant to an agreement of the parties,

26-4  require the participating party to furnish a performance or surety bond,

26-5  executed by the participating party as principal and by a corporation

26-6  qualified under the laws of this state as surety, made payable to the party

26-7  who is not a participant under the plan, and conditioned upon the payment

26-8  of the pension or retirement benefits. The bond must be in a principal sum

26-9  equal to the amount of the determined interest of the nonparticipating party

26-10  in the pension or retirement benefits and must be in a form prescribed by

26-11  the court.

26-12  (b) On its own motion or pursuant to an agreement of the parties,

26-13  require the participating party to purchase a policy of life insurance. The

26-14  amount payable under the policy must be equal to the determined interest

26-15  of the nonparticipating party in the pension or retirement benefits. The

26-16  nonparticipating party must be named as a beneficiary under the policy and

26-17  must remain a named beneficiary until the participating party retires.

26-18  (c) Pursuant to an agreement of the parties, increase the value of the

26-19  determined interest of the nonparticipating party in the pension or

26-20  retirement benefit as compensation for the delay in payment of the benefit

26-21  to that party.

26-22  (d) On its own motion or pursuant to an agreement of the parties, allow

26-23  the participating party to provide any other form of security which ensures

26-24  the payment of the determined interest of the nonparticipating party in the

26-25  pension or retirement benefit.

26-26  3.  If a party receives an interest in or an entitlement to a pension or

26-27  retirement benefit which the party would not otherwise have an interest in

26-28  or be entitled to if not for a disposition made pursuant to this section, the

26-29  interest or entitlement and any related obligation to pay that interest or

26-30  entitlement terminates upon the death of either party unless pursuant to:

26-31  (a) An agreement of the parties; or

26-32  (b) An order of the court,

26-33  a party who is a participant in the public employees’ retirement system or

26-34  the judicial retirement plan provides an alternative to an unmodified

26-35  service retirement allowance pursuant to NRS 286.590[.] or section 38 of

26-36  this act.

26-37  Sec. 75.  NRS 154.010 is hereby amended to read as follows:

26-38  154.010  An estate escheats to and is vested in the State of Nevada for

26-39  educational purposes if any person dies or has died, within this state, seised

26-40  of any real or personal estate, and leaving no heirs, representatives or

26-41  devisees capable of inheriting or holding the estate, and in all cases where

26-42  there is no owner of the estate capable of holding it. Any balance

26-43  remaining in a retired employee’s or beneficiary’s individual account under

26-44  the public employees’ retirement system or the judicial retirement system

26-45  established pursuant to sections 2 to 62, inclusive, of this act is not an

26-46  estate within the meaning of this chapter.

26-47  Sec. 76.  NRS 218.5373 is hereby amended to read as follows:

26-48  218.5373  1.  There is hereby created an interim retirement and

26-49  benefits committee of the legislature to review the operation of the public


27-1  employees’ retirement system , the judicial retirement system established

27-2  pursuant to sections 2 to 62, inclusive, of this act and the public

27-3  employees’ benefits program and to make recommendations to the public

27-4  employees’ retirement board and the board of the public employees’

27-5  benefits program, the legislative commission and the legislature. The

27-6  interim retirement and benefits committee consists of six members

27-7  appointed as follows:

27-8    (a) Three members of the senate, one of whom is the chairman of the

27-9  committee on finance during the preceding session and two of whom are

27-10  appointed by the majority leader of the senate.

27-11  (b) Three members of the assembly, one of whom is the chairman of the

27-12  committee on ways and means and two of whom are appointed by the

27-13  speaker of the assembly.

27-14  2.  The immediate past chairman of the senate standing committee on

27-15  finance is the chairman of the interim retirement and benefits committee

27-16  for the period ending with the convening of each odd-numbered session of

27-17  the legislature. The immediate past chairman of the assembly standing

27-18  committee on ways and means is the chairman of the interim retirement

27-19  and benefits committee during the next legislative interim, and the

27-20  chairmanship alternates between the houses of the legislature according to

27-21  this pattern.

27-22  3.  The interim retirement and benefits committee may exercise the

27-23  powers conferred on it by law only when the legislature is not in regular or

27-24  special session and shall meet at the call of the chairman.

27-25  4.  The director of the legislative counsel bureau shall provide a

27-26  secretary for the interim retirement and benefits committee.

27-27  5.  The members of the interim retirement and benefits committee are

27-28  entitled to receive the compensation provided for a majority of the

27-29  members of the legislature during the first 60 days of the preceding

27-30  session, the per diem allowance provided for state officers and employees

27-31  generally and the travel expenses provided by NRS 218.2207 for each day

27-32  of attendance at a meeting of the committee and while engaged in the

27-33  business of the committee. Per diem allowances, compensation and travel

27-34  expenses of the members of the committee must be paid from the

27-35  legislative fund.

27-36  Sec. 77.  NRS 286.230 is hereby amended to read as follows:

27-37  286.230  1.  The board shall establish a fund known as the public

27-38  employees’ retirement administrative fund in which must be deposited all

27-39  administrative fees.

27-40  2.  The board shall fix an administrative fee per capita sufficient to pay

27-41  the operating expense of the system. Except as otherwise provided by NRS

27-42  218.23745[,] and section 14 of this act, the system shall transfer monthly

27-43  from the respective retirement funds to the public employees’ retirement

27-44  administrative fund the amount of the per capita fee multiplied by the

27-45  combined number of members and persons receiving allowances from that

27-46  fund.

27-47  3.  The board may establish a separate and additional administrative fee

27-48  for police officers and firemen and their public employers to pay the

27-49  additional expense of maintaining a separate fund and to pay the actual and


28-1  necessary travel expenses and other expenses, within the limits established

28-2  by the board, for meetings of the police and firemen’s retirement fund

28-3  advisory committee.

28-4    Sec. 78.  NRS 287.023 is hereby amended to read as follows:

28-5    287.023  1.  Whenever an officer or employee of the governing body

28-6  of any county, school district, municipal corporation, political subdivision,

28-7  public corporation or other public agency of the State of Nevada retires

28-8  under the conditions set forth in NRS 286.510 or 286.620 or section 29 or

28-9  42 of this act and, at the time of his retirement, was covered or had his

28-10  dependents covered by any group insurance or medical and hospital service

28-11  established pursuant to NRS 287.010 and 287.020, the officer or employee

28-12  has the option upon retirement to cancel or continue any such group

28-13  insurance or medical and hospital service coverage or join the public

28-14  employees’ benefits program to the extent that such coverage is not

28-15  provided to him or a dependent by the Health Insurance for the Aged Act,

28-16  42 U.S.C. §§ 1395 et seq.

28-17  2.  A retired person who continues coverage under the public

28-18  employees’ benefits program shall assume the portion of the premium or

28-19  membership costs for the coverage continued which the governing body

28-20  does not pay on behalf of retired officers or employees. A person who joins

28-21  the public employees’ benefits program for the first time upon retirement

28-22  shall assume all costs for the coverage. A dependent of such a retired

28-23  person has the option, which may be exercised to the same extent and in

28-24  the same manner as the retired person, to cancel or continue coverage in

28-25  effect on the date the retired person dies. The dependent is not required to

28-26  continue to receive retirement payments from the public employees’

28-27  retirement system to continue coverage.

28-28  3.  Except as otherwise provided in NRS 287.0235, notice of the

28-29  selection of the option must be given in writing to the last public employer

28-30  of the officer or employee within 30 days after the date of retirement or

28-31  death, as the case may be. If no notice is given by that date, the retired

28-32  employee and his dependents shall be deemed to have selected the option

28-33  to cancel the coverage or not to join the public employees’ benefits

28-34  program, as the case may be.

28-35  4.  The governing body of any county, school district, municipal

28-36  corporation, political subdivision, public corporation or other public

28-37  agency of this state may pay the cost, or any part of the cost, of group

28-38  insurance and medical and hospital service coverage for persons eligible

28-39  for that coverage pursuant to subsection 1, but it must not pay a greater

28-40  portion than it does for its current officers and employees.

28-41  Sec. 79.  NRS 287.0235 is hereby amended to read as follows:

28-42  287.0235  1.  Notwithstanding the provisions of NRS 287.023 and

28-43  287.045, a person or the surviving spouse of a person who did not, at the

28-44  time of his retirement pursuant to the conditions set forth in NRS 286.510

28-45  or 286.620, or section 29 or 42 of this act, have the option to participate in

28-46  the public employees’ benefits program may join the public employees’

28-47  benefits program, to the extent that such coverage is not provided to him or

28-48  a dependent by the Health Insurance for the Aged Act, 42 U.S.C. §§ 1395

28-49  et seq., by:


29-1    (a) Providing the public employees’ retirement board with written

29-2  notice of his intention to enroll in the public employees’ benefits program

29-3  during a period of open enrollment;

29-4    (b) Showing evidence of his good health as a condition of enrollment;

29-5    (c) Accepting the current plan of insurance of the public employees’

29-6  benefits program and any subsequent changes to the plan; and

29-7    (d) Paying any portion of the premiums or contributions for the program

29-8  in the manner set forth in NRS 286.615[,] or section 41 of this act, which

29-9  are due after the date of enrollment.

29-10  The public employees’ retirement board shall, beginning on September 1,

29-11  1997, have a biennial period of open enrollment between September 1 of

29-12  each odd-numbered year and January 31 of each even-numbered year

29-13  during which eligible retired persons may join the public employees’

29-14  benefits program pursuant to this section.

29-15  2.  The public employees’ retirement board shall, on or before

29-16  September 1, 1997, and every September 1 of each odd-numbered year

29-17  thereafter, notify eligible retired persons described in subsection 1 of the

29-18  period of open enrollment by:

29-19  (a) Mailing a notice regarding the period of open enrollment to all

29-20  retired persons who are, according to its records, eligible to join the public

29-21  employees’ benefits program;

29-22  (b) Posting a notice of the period of open enrollment at its principal

29-23  office and at least three other separate prominent places, such as a library,

29-24  community center or courthouse; and

29-25  (c) Publicizing the period of open enrollment in any other manner

29-26  reasonably calculated to inform additional eligible retired persons.

29-27  3.  The public employees’ retirement board shall notify the board of the

29-28  public employees’ benefits program of the enrollment of any person on or

29-29  before March 1 immediately following the period of open enrollment. The

29-30  board of the public employees’ benefits program shall approve or

29-31  disapprove the request for enrollment within 90 days after receipt of the

29-32  request. Enrollment shall be deemed to occur on the day the request is

29-33  approved.

29-34  4.  Enrollment in the public employees’ benefits program pursuant to

29-35  this section excludes claims for expenses for any condition for which

29-36  medical advice, treatment or consultation was rendered within 12 months

29-37  before enrollment unless:

29-38  (a) The person has not received any medical advice, treatment or

29-39  consultation for a period of 6 consecutive months after enrollment; or

29-40  (b) The insurance coverage has been in effect more than 12 consecutive

29-41  months.

29-42  Sec. 80.  NRS 287.045 is hereby amended to read as follows:

29-43  287.045  1.  Except as otherwise provided in this section, every officer

29-44  or employee of the state is eligible to participate in the program on the first

29-45  day of the month following the completion of 90 days of full-time

29-46  employment.

29-47  2.  Professional employees of the University and Community College

29-48  System of Nevada who have annual employment contracts are eligible to

29-49  participate in the program on:


30-1    (a) The effective dates of their respective employment contracts, if

30-2  those dates are on the first day of a month; or

30-3    (b) The first day of the month following the effective dates of their

30-4  respective employment contracts, if those dates are not on the first day of a

30-5  month.

30-6    3.  Every officer or employee who is employed by a participating

30-7  public agency on a permanent and full-time basis on the date the agency

30-8  enters into an agreement to participate in the program, and every officer or

30-9  employee who commences his employment after that date is eligible to

30-10  participate in the program on the first day of the month following the

30-11  completion of 90 days of full-time employment.

30-12  4.  Every senator and assemblyman is eligible to participate in the

30-13  program on the first day of the month following the 90th day after his

30-14  initial term of office begins.

30-15  5.  An officer or employee of the governing body of any county, school

30-16  district, municipal corporation, political subdivision, public corporation or

30-17  other public agency of the State of Nevada who retires under the conditions

30-18  set forth in NRS 286.510 or 286.620 or section 29 or 42 of this act and

30-19  was not participating in the program at the time of his retirement is eligible

30-20  to participate in the program 30 days after notice of the selection to

30-21  participate is given pursuant to NRS 287.023 or 287.0235. The board shall

30-22  make a separate accounting for these retired persons. For the first year

30-23  following enrollment, the rates charged must be the full actuarial costs

30-24  determined by the actuary based upon the expected claims experience with

30-25  these retired persons. The claims experience of these retired persons must

30-26  not be commingled with the retired persons who were members of the

30-27  program before their retirement, nor with active employees of the state.

30-28  After the first year following enrollment, the rates charged must be the full

30-29  actuarial costs determined by the actuary based upon the past claims

30-30  experience of these retired persons since enrolling.

30-31  6.  Notwithstanding the provisions of subsections 1, 3 and 4, if the

30-32  board does not, pursuant to NRS 689B.580, elect to exclude the program

30-33  from compliance with NRS 689B.340 to 689B.600, inclusive, and if the

30-34  coverage under the program is provided by a health maintenance

30-35  organization authorized to transact insurance in this state pursuant to

30-36  chapter 695C of NRS, any affiliation period imposed by the program may

30-37  not exceed the statutory limit for an affiliation period set forth in NRS

30-38  689B.500.

30-39  Sec. 81.  NRS 287.046 is hereby amended to read as follows:

30-40  287.046  1.  Except as otherwise provided in subsection 6, any state or

30-41  other participating officer or employee who elects to participate in the

30-42  program may participate, and the department, agency, commission or

30-43  public agency that employs the officer or employee shall pay the state’s

30-44  share of the cost of the premiums or contributions for the program from

30-45  money appropriated or authorized as provided in NRS 287.044. Employees

30-46  who elect to participate in the program must authorize deductions from

30-47  their compensation for the payment of premiums or contributions for the

30-48  program.


31-1    2.  The department of personnel shall pay a percentage of the base

31-2  amount provided by law for that fiscal year toward the cost of the

31-3  premiums or contributions for the program for persons retired from the

31-4  service of the state who have continued to participate in the program.

31-5  Except as otherwise provided in subsection 3, the percentage to be paid

31-6  must be calculated as follows:

31-7    (a) For those persons who retire before January 1, 1994, 100 percent of

31-8  the base amount provided by law for that fiscal year.

31-9    (b) For those persons who retire on or after January 1, 1994, with at

31-10  least 5 years of state service, 25 percent plus an additional 7.5 percent for

31-11  each year of service in excess of 5 years to a maximum of 137.5 percent,

31-12  excluding service purchased pursuant to NRS 286.300[,] or section 25 of

31-13  this act, of the base amount provided by law for that fiscal year.

31-14  3.  If the amount calculated pursuant to subsection 2 exceeds the actual

31-15  premium or contribution for the plan of the program that the retired

31-16  participant selects, the balance must be credited to the fund for the public

31-17  employees’ benefits program created pursuant to NRS 287.0435.

31-18  4.  For the purposes of subsection 2:

31-19  (a) Credit for service must be calculated in the manner provided by

31-20  chapter 286 of NRS.

31-21  (b) No proration may be made for a partial year of service.

31-22  5.  The department shall agree through the board with the insurer for

31-23  billing of remaining premiums or contributions for the retired participant

31-24  and his dependents to the retired participant and to his dependents who

31-25  elect to continue coverage under the program after his death.

31-26  6.  A senator or assemblyman who elects to participate in the program

31-27  shall pay the entire premium or contribution for his insurance.

31-28  Sec. 82.  NRS 287.0475 is hereby amended to read as follows:

31-29  287.0475  1.  A public employee who has retired pursuant to NRS

31-30  286.510 or 286.620 or section 29 or 42 of this act, or a retirement program

31-31  provided pursuant to NRS 286.802, or the surviving spouse of such a

31-32  retired public employee who is deceased may, in any even-numbered year,

31-33  reinstate any insurance, except life insurance, which was provided to him

31-34  and his dependents at the time of his retirement pursuant to NRS 287.010

31-35  or 287.020 or the program as a public employee by:

31-36  (a) Giving written notice of his intent to reinstate the insurance to the

31-37  employee’s last public employer not later than January 31, of an even-

31-38  numbered year;

31-39  (b) Accepting the public employer’s current program or plan of

31-40  insurance and any subsequent changes thereto; and

31-41  (c) Paying any portion of the premiums or contributions of the public

31-42  employer’s program or plan of insurance, in the manner set forth in NRS

31-43  286.615[,] or section 41 of this act, which are due from the date of

31-44  reinstatement and not paid by the public employer.

31-45  The last public employer shall give the insurer notice of the reinstatement

31-46  no later than March 31, of the year in which the public employee or

31-47  surviving spouse gives notice of his intent to reinstate the insurance. The

31-48  insurer shall approve or disapprove the request for reinstatement within 90

31-49  days after the date of the request.


32-1    2.  Reinstatement of insurance excludes claims for expenses for any

32-2  condition for which medical advice, treatment or consultation was rendered

32-3  within 6 months before reinstatement unless:

32-4    (a) The person has not received any medical advice, treatment or

32-5  consultation for a period of 6 consecutive months after the reinstatement;

32-6  or

32-7    (b) The reinstated insurance has been in effect more than 12 consecutive

32-8  months.

32-9    Sec. 83.  NRS 286.305 and 286.307 are hereby repealed.

32-10  Sec. 84.  The amendatory provisions of this act do not apply to

32-11  offenses committed in violation of section 62 of this act before January 1,

32-12  2003.

32-13  Sec. 85.  There is hereby appropriated from the state general fund to

32-14  the judicial retirement fund created pursuant to section 13 of this act the

32-15  sum of $14,342,070 for funding the unfunded accrued liability for active

32-16  members of the judicial retirement system and for partial payments needed

32-17  to fund the unfunded liability for the inactive justices of the supreme court

32-18  and district judges.

32-19  Sec. 86.  1.  This section and sections 13 and 85 of this act become

32-20  effective upon passage and approval.

32-21  2.  Sections 1 to 12, inclusive, and 14 to 84, inclusive, of this act

32-22  become effective on January 1, 2003.

 

 

32-23  TEXT OF REPEALED SECTIONS

 

 

32-24  286.305  Eligibility of supreme court justices and district judges for

32-25   membership in system; restriction on benefits.

32-26  1.  Any justice of the supreme court and any district judge who became

32-27   a member before July 1, 1977, may remain a member of the system. Those

32-28   justices or district judges may choose to gain service credit for previous

32-29   service as provided in NRS 286.300.

32-30  2.  The State of Nevada shall be deemed, for the purpose of this

32-31   chapter, to be the public employer of such justice or judge, and shall

32-32   contribute to the public employees’ retirement fund and the public

32-33   employees’ retirement administrative fund, in the manner provided in this

32-34   chapter for public employers.

32-35  3.  Any justice of the supreme court and any district judge who is a

32-36   member of the system and who qualifies for a pension under the

32-37   provisions of NRS 2.060 or 3.090 may withdraw from the public

32-38   employees’ retirement fund the amount credited to him in the account. No

32-39   justice or judge may receive benefits under both this chapter and under

32-40   NRS 2.060 or 3.090.

32-41  286.307 Withdrawal from membership by supreme court justice

32-42   or district judge; refund of contributions.

32-43  1.  Any justice of the supreme court or district judge who is a member

32-44   of the system on July 1, 1979, may withdraw from membership by giving


33-1  written notice to the board of his intention to withdraw from the system

33-2  and to rely entirely upon the provisions of NRS 2.060 or 3.090 for his

33-3   retirement.

33-4    2.  Notice must be received by the board on or before September 30,

33-5   1979.

33-6    3.  When the board receives notice, the system shall promptly refund

33-7   all employee contributions credited to the account of the justice or judge.

33-8    4.  A justice or judge who:

33-9    (a) Exercises the option granted by this section may not reestablish the

33-10   service for which the contributions were refunded at any time.

33-11  (b) Does not exercise the option must remain a member of the system

33-12   until he is qualified to exercise the option authorized by subsection 3 of

33-13   NRS 286.305.

 

33-14  H