North Dakota Administrative Code

The payment for missed contributions for eligible military service under the deferred compensation plan may be paid in a lump sum or in installments pursuant to the rules established under section 71-04-05-02. History: Effective May 1, 2004. General Authority: NDCC 54-52.2-04, 54…

To determine eligibility for vesting of employer contributions pursuant to North Dakota Century Code section 54-52-11.1, payments for missed contributions during military time under this chapter will be allocated to each month, beginning with the first month of missed contributio…

As used in North Dakota Century Code chapter 39-03.1 and this article: 1. "Actuarial equivalent" means a benefit calculated to be of equal value to the benefit otherwise payable when computed on the basis of assumptions and methods adopted for this purpose by the board in a way t…

A member of the highway patrol retirement system, who has completed at least one hundred eighty days of employment, is eligible for disability retirement benefits if the member became permanently and totally disabled during the period of covered employment and otherwise complies …

reduced retirement benefit. A member may elect to start receiving an early reduced retirement benefit, should the member be eligible to do so, pending a disability determination or appeal. During this period, the member's account will be handled in the same manner as all early re…

it exceeds the disability retirement benefit. History: Effective November 1, 1990; amended effective July 1, 2006. General Authority: NDCC 39-03.1-06, 39-03.1-11 Law Implemented: NDCC 39-03.1-11

Repealed effective June 1, 1996. 3

An individual deemed eligible for a disability benefit may elect, as provided in this section, to receive one of the following optional benefits in lieu of the regular disability benefit. 1. One hundred percent joint and survivor benefit. A member shall receive an actuarially red…

Effective January 1, 1998, interest shall accrue on accumulated contributions as defined in article 71-01 until the disabled annuitant reaches normal retirement age, cancels the benefit in accordance with section 71-05-02-06, the account is closed, or until benefit payments comme…

When a member receiving a disability benefit attains the member's normal retirement date, that member may elect to terminate that member's disability benefit and draw retirement benefits as specified in North Dakota Century Code section 39-03.1-11. Upon receipt of normal retireme…

Each eligible member of the highway patrol shall become a member of the North Dakota highway patrolmen's retirement system upon filing a membership form with the office, and the beginning of contributions to the fund. History: Effective October 1, 1991. General Authority: NDCC 39…

A member receives credit for each month a contribution is made. History: Effective October 1, 1991; amended effective July 1, 1998. General Authority: NDCC 39-03.1-06 Law Implemented: NDCC 39-03.1-11

Eligible service credit may be granted as it pertains to the North Dakota highway patrol retirement system as established in chapter 71-02-11. History: Effective October 1, 1991. General Authority: NDCC 39-03.1-06 Law Implemented: 38 USC 2021-2026

To purchase additional credit or repurchase past service, a contributor shall notify the public employees retirement system, in writing, of the service for which the person wishes to receive credit. In addition to the written request, the following information must be submitted, …

Repealed effective May 1, 2004.

The total dollar amount for repurchase or purchase may be paid in a lump sum or on a monthly, quarterly, semiannual, or annual basis. Payments may be subject to contribution limitations established under 26 U.S.C. 415. Payments must begin within ninety days of the date the writte…

1. The cost to purchase service credit must be calculated by applying actuarial factors to the amount of the retirement and retiree health insurance credit being purchased by the contributor or member of an alternative retirement system. The contributor's current age, average sal…

If a payment to be made pursuant to section 71-05-04-04 is not received within thirty days of the due date, the public employees retirement system shall send a letter to the contributor or member of an alternative retirement system advising the person of the delinquency. If no pa…

1. For each month the system receives a payment toward a purchase contract, the member will earn a proportion of service credit. 2. Member acceptance of a service purchase contract extinguishes all pending service purchase cost estimates, excluding purchase of unused sick leave. …

If a member terminates service and receives a return of the member's accumulated contributions, service credit for the years of such contributions must be canceled. History: Effective October 1, 1991. General Authority: NDCC 39-03.1-06 Law Implemented: NDCC 39-03.1-10.1, 39-03.1-…

1. To convert unused sick leave to service credit, the member shall submit an application to the office of the amount of unused sick leave to be converted no later than the end of the month in which the member terminates employment, unless otherwise approved by the executive dire…

An employer may elect to purchase up to five years of service credit for an employee and purchase an employee's unused sick leave that meets the requirements of section 71-02-03-08. Before offering a purchase program to its employees the employer must create a program and documen…

Except as provided in section 71-05-05-02 for retirement options, applications for retirement, surviving spouse, and disability benefits must be filed at the public employees retirement system at least thirty days before normal or early retirement date or before the commencement …

1. A member may elect a retirement option by filing an application with the office no less than thirty days prior to the beginning date of benefit payments. An application may be filed later than thirty days prior to the beginning date of benefit payments if approved by the plan …

Except for the retirement options provided in section 71-05-05-02, a member's normal or early retirement benefit must commence on the first day of the month which follows the member's eligibility for the benefit and which is at least thirty days after the date on which the member…

Except for retirement options provided in sections 71-05-05-02 and 71-05-05-03, for members who are terminated and older than the age at which they reach their normal retirement date, but who have delayed or inadvertently failed to apply for retirement benefits, the regular accru…

A member may elect, as provided in section 71-05-05-02, to receive one of the following optional benefits in lieu of the regular early or normal retirement benefit. 1. One hundred percent joint and survivor benefit. A member may receive an actuarially reduced retirement benefit d…

A member may elect as provided in section 71-05-05-02 to receive one of the following benefit modifications: 1. Partial lump sum option. The partial lump sum option will only be available to members who retire on or after reaching their normal retirement date. This option is an i…

A member may designate a beneficiary or beneficiaries by filing such designation with the office. A member shall have the right to change the member's designation of beneficiary without the consent of the beneficiary, but no such change is effective or binding unless it is receiv…

If no beneficiary is designated by a member, any benefits due and payable must be paid to the estate. If the member has elected the one hundred percent joint and survivor option, and the designated beneficiary predeceases the member, the option must be canceled and the member's b…

The early retirement benefit must be an amount actuarially reduced from the normal retirement benefit by one-half of one percent for each month (six percent per year), that the member is younger than age fifty-five on the date of the member's early retirement benefit effective da…

1. If a member elects to begin drawing monthly benefits while continuing to participate in the public employees retirement system, teachers' fund for retirement, or the teachers' insurance and annuity association college retirement equities fund, the provisions of section 71-02-0…

Benefits provided under the plan may not be assigned or alienated except as provided in North Dakota Century Code section 54-52-17.6. History: Effective April 1, 2002. General Authority: NDCC 39-03.1-06 Law Implemented: NDCC 39-03.1-14.2

1. An "overpayment" means a payment of money by the public employees retirement system that results in a person receiving a higher payment than the person is entitled to under the provision of the retirement plan of membership. 2. A person who receives an overpayment is liable to…

1. An "underpayment" means a payment of money by the public employees retirement system that results in a person receiving a lower payment than the person is entitled to under the provisions of the retirement plan of membership. 2. If an underpayment occurs, the amount of the lum…

1. A person not satisfied with repayment arrangements made under section 71-02-04-10 may appeal the executive director's decision in writing to the board. The written request must explain the basis of the appeal and must be received in the office within sixty days of the executiv…

The accumulated contributions of a member who terminates permanent employment: 1. Before accumulating ten years of service credit and whose account balance is less than one thousand dollars must be automatically refunded unless the member elects to remain in an inactive status. 2…

Refund of accumulated contributions cancels all service credit accumulated prior to the refund and extinguishes the right to any benefits provided by North Dakota Century Code chapter 39-03. Any former member returning the member's refund, with interest at the actuarial rate of r…

The benefits of a retired member who returns to permanent employment must be suspended without interest accruing on the suspended account. Upon subsequent termination and retirement, the member is required to select the same benefit option as the option selected at initial retire…

If the recipient of a disability benefit returns to work, said member is responsible for reporting employment to the public employees retirement system. 1. If a member is working in a permanent full-time position and is eligible to participate in the North Dakota highway patrolme…

Retirement benefits must be paid in accordance with any qualified domestic relations order (QDRO) issued in compliance with subsection 4 of North Dakota Century Code section 39-03.1-11. History: Effective October 1, 1991. General Authority: NDCC 39-03.1-14.2 Law Implemented: NDCC…

1. Upon receipt of a proposed domestic relations order, the public employees retirement system shall send an initial notice to each person named therein, including the member and the alternate payee named in the order, together with an explanation of the procedures followed by th…

Final average salary used for calculating deferred vested retirement benefits for contributors who terminate with ten or more years of service in the highway patrol retirement system must be increased on an annual basis following the contributor's termination date until the date …

If a contributor has a combination of ten years of cumulative service with the public employees retirement system, the teachers' fund for retirement, and the highway patrol retirement system, a contributor's final average salary for the highway patrol retirement system must be in…

and surviving spouses under the North Dakota public employees retirement system, the North Dakota highway patrolmen's retirement system, the retired judges under North Dakota Century Code chapter 27-17, annuitants of the job service retirement program, and former participating me…

Retiree health insurance credit will be calculated on actual years and months of service, identical to retirement benefits under North Dakota Century Code chapter 54-52. 1. Retiree health insurance credit will be subject to reduction factors in the event of early retirement. For …

credit. 1. If a retiree is receiving more than one benefit from the public employees retirement system, or other participating system; one as a surviving spouse, and the other based upon the retiree's own service credit, the retiree health insurance credit for each benefit will b…