Title 3, PUBLIC OFFICERS AND EMPLOYEES

For purposes of this section, the term, compensation year, means each separate, mutually exclusive period of four consecutive calendar quarters considered in the computation of final average compensation. The earliest compensation year is the earliest four consecutive calendar qu…

For any generational member, normal retirement age is sixty-seven for Class A credited service and for Class B credited service as a justice, judge, and magistrate judge and age fifty-seven for other Class B credited service. The Legislature may increase the normal retirement age…

Upon retirement, a generational member shall receive a normal retirement benefit, commencing at normal retirement age or thereafter, for Class A credited service, equal to one and eight-tenths percent of final average compensation for each year of Class A credited service. Source…

Upon retirement, a generational member shall receive a normal retirement benefit, commencing at normal retirement age or thereafter, for Class B credited service other than as a justice, judge, or magistrate judge, equal to two percent of final average compensation for each year …

Upon retirement, a generational member shall receive a normal retirement benefit, commencing at normal retirement age or thereafter, equal to three and three hundred thirty-three thousands percent of final average compensation for the first fifteen years of Class B credited servi…

Any vested generational member may elect to start the retirement benefit in the ten years preceding the member's normal retirement age. However, no retirement benefit may be paid unless the member submits a completed retirement application to the system that includes the benefit …

No retirement benefit may be paid unless the system has received a completed application for a retirement benefit, including the benefit option elected. The application must be made to the executive director, on a form approved by the system. If the member is married, the member'…

Any generational member applying for a retirement benefit shall elect one of the following monthly benefit options: (1) A single life benefit that provides a monthly benefit to the member for as long as the member lives and ceases upon the death of the member; (2) A sixty percent…

If more than one monthly retirement benefit payment has been made to the generational member, the benefit election made by a member is irrevocable and surviving spouse benefits, if elected, may only be paid to the person who is the spouse both at the time of the election and at t…

Unless a generational member's required beginning date for retirement occurs first, the retirement benefit of a generational member is effective in accordance with whichever of the following is last: (1) The first day of the month following the date on which the member's contribu…

Any generational member who fails to make a timely application for retirement benefits may receive three months of benefits retroactive from the effective date of the member's retirement benefit. However, no member may receive any retroactive benefits for any period of time befor…

Upon the death of a generational member retiree who elected either a sixty percent or one hundred percent joint and survivor benefit, the surviving spouse is eligible to receive a surviving spouse benefit. The amount of the surviving spouse benefit is based on the election made u…

Upon the death of a generational member who was vested or died while performing usual duties for the employer and who has reached normal retirement age but has not yet begun a retirement benefit, a surviving spouse is eligible to receive a surviving spouse benefit. The surviving …

If no family benefit is being paid pursuant to § 3-12C-907 , a surviving spouse of a contributing generational member who had acquired at least three years of contributory service or noncontributory service or died while performing usual duties for the employer is, upon attaining…

A generational member's spouse who is eligible to receive a surviving spouse benefit at age sixty-seven may elect to start the benefit in the ten years preceding the spouse attaining the age of sixty-seven. The early surviving spouse benefit, payable for the life of the surviving…

Each generational member shall have a variable retirement account, which consists of variable retirement contributions and the credited investment return. The investment return shall be credited annually as of June thirtieth for all generational members with a variable retirement…

Each year the board shall establish the variable retirement contribution for the following fiscal year based on the results of the most current annual actuarial valuation. The variable retirement contribution for any year may be adjusted from zero to one and one-half percent of e…

The variable retirement account is payable to the generational member when the member commences a retirement benefit or a disability benefit. If a generational member dies before commencing a benefit, the variable retirement account is payable at the death of the member to the me…

For purposes of §§ 3-12C-1401 to 3-12C-1406 , inclusive, in order to have three consecutive calendar months of separation that start with the member's effective date of retirement, the member may have no employment or any relationship with a participating unit regardless of class…

Except as provided in § 3-12C-1401.1 , a retired member's retirement is invalid if the member is reemployed by a participating unit unless the member's employment relationship with the initial participating unit has been terminated, as defined in this chapter and as required purs…

The provisions of § 3-12C-1401 do not apply if the retired member is at least fifty-nine and a half years of age when the member begins receiving retirement benefits and is employed for less than twelve hundred fifty hours during the fiscal year of the participating unit. However…

If a retired member becomes reemployed by the same employer unit the member retired from within one year after the member's retirement, the system may require both the member and the employer unit to certify that: (1) The member's termination was a complete severance of employmen…

If a retired member whose benefits have been reduced pursuant to § 3-12C-1111 becomes employed as a permanent full-time employee by a participating unit before July 1, 2004, the member's monthly retirement benefit shall be reduced by fifteen percent and the COLA shall be eliminat…

If less than three years of contributory service or noncontributory service is acquired after a retired member's reentry into covered employment, the member upon subsequent retirement must receive a refund of the member's accumulated contributions. If three years or more of contr…

If a retired member whose benefits have been reduced pursuant to § 3-12C-1111 becomes employed as a permanent full-time employee by a participating unit on or after July 1, 2004, but before April 1, 2010, the member's monthly retirement benefit must be reduced by fifteen percent …

Except as provided for in § 3-12C-1405.1 , if a retired member reenters covered employment at some time after the three consecutive calendar months that start with the member's effective date of retirement, the member's retirement benefits and continued membership must be adminis…

. The provisions of § 3-12C-1405 do not apply if the retired member is reemployed for less than twelve hundred fifty hours during the fiscal year of the participating unit. However, if the retired member completes twelve hundred fifty hours or more during a fiscal year of the par…

Any participating unit employing a retired member for less than twelve hundred fifty hours during the fiscal year of the participating unit is responsible for tracking the hours of the employee and certifying the hours to the system on a monthly basis. Source: SL 2021, ch 29 , § …

Except as provided in § 3-12C-1401.1 , if a retired member reenters employment within the three consecutive calendar months that start with the member's effective date of retirement, the member's retirement is deemed invalid. If the member received one or more retirement benefit …

There is hereby established the South Dakota Retirement System supplemental pension benefit. The supplemental pension benefit shall be within and integral to the South Dakota Retirement System. It is the intent of the Legislature that the provisions related to the supplemental pe…

On an annual basis, at minimum, the board shall establish an interest rate assumption upon which the provisions of subsequent supplemental pension contracts shall be based. The board shall establish the assumption on the basis of the recommendations of the system's actuary and th…

A participant's monthly supplemental pension benefit is based on the participant's single premium and the current interest rate assumption at the time of purchase, and must take into account the participant's age, gender, and marital status at the time of purchase. A participant …

A member who is a retiree receiving a benefit from the system, or, if the member is deceased, the member's surviving spouse who is receiving a benefit from the system and is a beneficiary of the funds subject to this section, may become a supplemental pension participant by direc…

A supplemental pension participant who is a retiree receiving a benefit from the system shall receive one of three types of supplemental pension benefits: (1) A supplemental pension benefit payable monthly for the lifetime of the participant; (2) A supplemental pension benefit pa…

The system may pay the participant's monthly supplemental pension benefit and the participant's monthly retirement benefit in separate payments. Each payment is a separate benefit, including provision of a separate Internal Revenue Service Form 1099-R for each payment by the syst…

A participant who is married at the time that the participant contracts for a supplemental pension benefit shall provide a copy of the participant's marriage license to the system. Source: SL 2025, ch 27 , § 57.

A supplemental pension participant shall receive a COLA applicable to the participant's supplemental pension benefit for each year commencing on the July first following the date on which the benefit was first payable, and equal to the COLA determined under § 3-12C-704 . However,…

A supplemental pension spouse's benefit must receive an annual increase in the same manner as does a participant's benefit. Source: SL 2025, ch 27 , § 58.

For purposes of calculating any beneficiary payment, a participant's single premium does not increase in value during the period of the supplemental pension contract. Source: SL 2025, ch 27 , § 59.

If payment of monthly supplemental pension benefits ceases due to the death of the participant or the death of a supplemental pension spouse, and the total of monthly supplemental pension benefits paid is less than the amount of the participant's single premium, the difference be…

Supplemental pension contract purchases and supplemental pension benefit payments administered pursuant to the provisions of §§ 3-12C-1501 to 3-12C-1510 , inclusive, are considered to be qualified plan distributed annuity contracts under Internal Revenue Service Treasury Regulati…

Any supplemental pension benefit calculation or payment is deemed to be reasonable and made in good faith under § 401(a)(9) of the Internal Revenue Code. Source: SL 2025, ch 27 , § 60.

Supplemental pension benefit payments shall follow the minimum distribution rules of § 401(a)(9) of the Internal Revenue Code and as set forth in §§ 3-12C-1901 to 3-12C-1905, inclusive, and the annual benefit limitations of § 415(b)(1)(A) of the Internal Revenue Code and as set f…

Supplemental pension benefits are not subject to the duplicate benefit provisions of § 3-12C-709 , to the participant reemployment restrictions of § 3-12C-703 , 3-12C-1402 , 3-12C-1403 , 3-12C-1404 , 3-12C-1405 or 3-12C-1406 , nor to the benefit adjustment provisions of § 3-12C-1…

While performing their official duties under the provisions of §§ 3-12C-1501 to 3-12C-1510 , inclusive, the board, the employees of the system, the system's actuary, the State Investment Council, and the employees of the State Investment Council are exempt from the provisions of …

For purposes of this chapter, a member of the system who has received payment of at least one monthly retirement benefit is a retiree, even if the member has returned to employment with a member unit, either with or without suspension of the retirement benefit. Source: SL 2025, c…