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| Notice: While reasonable efforts have been made to assure the accuracy of this information, this is an unofficial version of the MTRS regulations, and is for informational use only. For the official, printed version, please contact the State Bookstore (see http://www.sec.state.ma.us/spr/sprcat/catidx.htm for more information). |
807 CMR 2.00: Rules of Election
807 CMR 3.00: Retirement and Credit for Service
807 CMR 4.00: Eligibility for Membership
807 CMR 5.00: Employer Reporting Requirements
807 CMR 6.00: Regular Compensation
807 CMR 7.00: Documentation to be Obtained for Ordinary or Accidental Disability
807 CMR 10.00: Maternity Service Purchases
807 CMR 12.00: Rollover Distributions and Trust to Trust Transfers
807 CMR 13.00: Transfer of Membership of RetirementPlus Members
807 CMR 14.00: Purchase of Creditable Service for Prior Vocational Work Experience
807 CMR 15.00: Confidentiality of Information
807 CMR 16.00: Qualified Excess Benefit Arrangement
807 CMR 2.00: RULES OF ELECTION
Section
2.01: Purpose of Standard Rules
2.02: Notice of Election and Eligibility
2.03: Nomination Papers
2.04: Printing Ballots and Envelopes
2.05: Distribution of Ballots
2.06: Verification of Ballots
2.07: Tabulation of Ballots
2.08: Certification and Recount
2.09: Administration
807-2.01: Purpose of Standard Rules
807 CMR 2.00 governs the election of the two elected members of the Massachusetts Teachers’ Retirement Board. The purpose of 807 CMR 2.00 is to establish the procedure by which members of the Massachusetts Teachers’ Retirement System shall elect two members in accordance with the provisions of M.G.L. c. 15, § 16 and shall be supplemental to those rules governing the election of retirement board members as promulgated by the Public Employee Retirement Administration Commission and set out in 840 CMR 7.00.
807-2.02: Notice of Election and Eligibility
(1) The Massachusetts Teachers’ Retirement Board will forward notice of the upcoming election to each school district, educational collaborative, and charter school on or before September 1 of an election year. The notice shall specify how, where, and when nomination papers can be obtained. Each retired member will receive a similar notice in conjunction with the distribution of the August retirement payment.
(2) Members in service (actively employed or on authorized leave of absence) as of September 1 of an election year or members retired from service shall be eligible for nomination as a candidate to fill either of the two elected positions on the Board upon submission of nomination papers as provided by the Board, containing the valid signatures of at least 100 members in service or members retired from service.
(3) All nominees who have qualified as candidates for election will be notified of the same and will be invited to submit a brief biographical sketch of 100 words or less to be distributed to eligible voters as part of the ballot packet. The Board shall establish a deadline for the submission of each nominee’s biographical sketch. Any biographical sketch received after the deadline and any portion of a biographical sketch which exceeds 100 words will not be distributed.
(1) Nomination papers will be available as of September 10 of an election year, and will be forwarded to members upon request together with a copy of the Rules of Election.
(2) The Massachusetts Teachers’ Retirement Board will validate signatures submitted on nomination papers provided by the Board to a candidate.
(3) The candidate must submit nomination papers containing the names of at least 100 members at one time in one packet. Nomination papers must be received at the Board’s Boston Office on or before October 15 of an election year. In the event that October 15 falls on a Saturday or Sunday, nomination papers must be received on or before 5:00 P.M. of the next business day.
(4) Members in service and members retired from service may sign nomination papers. Members may sign more than one set of nomination papers.
(5) The Election Officer will validate nomination papers. If the Election Officer determines that a candidate has filed nomination papers containing less than 100 qualified signatures, the Election Officer shall declare the nomination papers invalid and shall notify the candidate of his decision in writing.
807-2.04: Printing Ballots and Envelopes
(1) The Election Officer shall print an Official Ballot containing only the proper names of the candidates in an order determined by random drawing, and their respective school districts or their last employer school district. If an incumbent elected member is nominated, he or she shall be identified as an incumbent on the official ballot.
(2) The Election Officer shall determine the actual format of the Official Ballot and the return envelope with the approval of the Board. For the purpose of determining eligibility to vote, the ballot envelope shall provide for the signature, printed name, and social security number of the voter.
807-2.05: Distribution of Ballots
(1) The Election Officer shall print an election information packet which will contain voting instructions and biographical sketches of each candidate as provided by 807 CMR 2.02(3).
(2) The Massachusetts Teachers’ Retirement Board will mail the Official Ballot, together with the election information packet, to the home address of every member on or before November 10. In the event that a home address is not available for a member in service, the Massachusetts Teachers’ Retirement Board shall mail the ballot in care of his or her school district.
(3) The Official Ballots must be received at the Boston Office of the Board on or before 5:00 P.M. on December 10. In the event that December 10 falls on a Saturday or Sunday, the ballots must be received on or before 5:00 P.M. of the next business day.
807-2.06: Verification of Ballots
(1) The Election Officer shall verify ballot envelopes and ballots against the official records of the Massachusetts Teachers’ Retirement System.
(2) Verified ballots shall remain in sealed ballot envelopes until the day of the official count.
807-2.07: Tabulation of Ballots
(1) The Election Officer, with the approval of the Board, shall set the date when ballots will be counted.
(2) Only the members of the staff of the Board under the direction of the Election Officer shall count ballots.
(3) The Election Officer will disqualify ballots if:
(a) the ballot envelope contains insufficient information to verify eligibility.
(b) ballots are not returned in the envelope provided by the Board.
(c) ballots of members who have voted more than once.
(d) ballots are received after the deadline.
(e) ballots contain identifying data of the voter.
(f) ballots contain more that two votes.
(g) ballots are illegible such that the voter’s choice of candidates is ambiguous.
The Election Officer shall retain all disqualified ballots and ballot envelopes for 60 days after certification of the results.
(4) The Election Officer shall notify each candidate of the time and location of the tabulation of the ballots and shall permit all candidates, or their representatives, to be present at the tabulation.
807-2.08: Certification and Recount
(1) The Election Officer shall certify the results of the election to the Board at the regular meeting of the Massachusetts Teachers’ Retirement Board not later than the month of December in any election year.
(2) The Massachusetts Teachers’ Retirement Board shall notify all candidates formally in writing by certified mail of the results of the election within five days of certification to the Board.
(3) Any candidate who lost the election by fewer than 200 votes may request a recount provided that such request, made to the Election Officer, is received in writing within seven days of notification of the election results.
(4) The Election Officer shall conduct a recount within five days of receipt of such a request and shall review disqualified ballots.
(5) The Board shall retain all valid and invalid official ballots for 60 days.
(1) Unless otherwise determined by the Board, the Executive Director shall serve as Election Officer.
(2) Except for the election information packet required by 807 CMR 2.04(1), the Board shall not distribute any campaign paraphernalia or literature on behalf of any candidate.
(3) Notwithstanding anything in 807 CMR 2.09(1) and (2), the Executive Director may enter into a contract with an appropriate vendor for services in connection with the election or otherwise delegate such functions of the Election Officer as he may deem appropriate.
REGULATORY AUTHORITY 807 CMR 2.00: M.G.L. c. 15, § 16
807 CMR 3.00: RETIREMENT AND CREDIT FOR SERVICE
Section
3.01: Retirement Date
3.02: The Amount of Service in Any Calendar Year That Shall Be the Equivalent to One Year of Creditable Service
3.03: Credit for Service Massachusetts Non-Membership Public Service
3.04: Retirement Credit for Service Rendered as a Part-Time Member
If a member is in service until the school in which he is employed closes for the school year, his retirement shall not take effect earlier than 12 o’clock midnight on June 30, irrespective of any earlier date which may be designated on his application.
807-3.02: The Amount of Service in Any Calendar Year That Shall Be the Equivalent to One Year of Creditable Service
Members of the Teacher’s Retirement System, who earn their salary on a 12-months basis, such as superintendents and any other persons who must serve for 11 months with one month vacation to receive salary for a full year, shall, for the periods they were employed on a 12-months basis, be allowed credit for the years and full calendar months of service, with the month of vacation counted as a month of service. All persons defined as teachers who earn their salary during the school year from September to June, shall, irrespective of the manner in which their salary is paid, be allowed a year's credit for each full school year of service and one-tenth of a year for each full month of service rendered during a school year.
807-3.03: Credit for Massachusetts Non-Membership Public Service
(1) Except as provided in 807 CMR 10.00, the Board will allow proportional credit for any period of non-membership service rendered in a Massachusetts governmental unit, the purchase of which is authorized under M.G.L. c. 32, § 3(5) or 4(2)(c). Any such purchase will be allowed only after submission of documentation satisfactory to the Board. Such non-membership service includes, but is not limited to, service as a teacher on a per diem substitute basis or on any other basis that is less than half time.
(2) Proportional Credit means that for any year during which the member was ineligible for membership in a contributory retirement system and service was rendered as an employee on a part time, provisional, temporary, temporary provisional, seasonal or intermittent basis for a Massachusetts governmental unit, after purchase the member will receive as creditable service that percentage of full time credit equal to a fraction, the numerator of which is the number of days or hours actually worked during that year, and the denominator of which is the number of days or hours that would have been worked by a full time employee during that year as determined by the Board.(3) The member may purchase less than all non-membership service available for purchase; provided, however, that in such event the member must purchase the most recent time first.
(4) 807 CMR 3.03 shall apply to members whose effective date of retirement is after May 24, 2001.
807-3.04: Retirement Credit for Service Rendered as a Part-Time Member
(1) Any part-time employee who qualifies for membership, shall receive one year of creditable service provided they work the hours required by their position and provided their entire service is on a part-time position.
(2) Subject to verification as specified by the agency any part-time employee who becomes full-time shall receive credit for their part-time service on a pro-rated basis as it relates to a full-time position.
(3) Subject to verification as specified by the agency any full-time employee who becomes part-time shall receive credit for their part-time service on a pro-rated basis as it relates to a full-time position.
REGULATORY AUTHORITY 807 CMR 3.00: M.G.L. c. 15, § 16; c. 32, § 21(4).
807 CMR 4.00: ELIGIBILITY FOR MEMBERSHIP
Section
4.01: Purpose of Standard-Rules; Retirement Board Policy
4.02: Eligibility Criteria
4.03: Enrollment
807-4.01: Purpose of Standard Rules; Retirement Board Policy
The purpose of 807 CMR 4.00 is to establish uniform criteria and procedures to be applied by the Retirement Board in determining an individual’s eligibility for membership within the Massachusetts Teachers’ Retirement System. The retirement board shall assist all public school teachers and administrators in obtaining all rights and benefits authorized by M.G.L. c. 32 while protecting the retirement system from liability not authorized by law.
807-4.02: Eligibility Criteria
(1) No individual shall be eligible for membership within the retirement system unless the retirement board finds:
(a) The individual is covered by a contractual agreement for employment with one or more school committees or boards of trustees or by any combination of such committees and boards;
(b) The contractual agreement requires not less than half-time service;
(c) The individual holds a certificate granted by the board of education, has been granted a waiver pending certification by the board of education, or has been approved as an apprentice teacher in accordance with the provision of St. 1985, c. 188, 21; and
(d) The individual has a contractual agreement which requires that the individual be certified by the board of education as a condition of employment.
(2) In addition to those individuals determined to be eligible pursuant to 807 CMR 4.02(1), the following individuals shall be deemed eligible for membership: individuals who hold a certificate granted by the board of education and are employed on the basis of not less than half-time as the director of an educational collaborative as organized and approved under the provisions of M.G.L. c. 40, § 4E.
(1) Enrollment. Any individual who enters into a contractual agreement for employment with a school committee or board of trustees shall obtain from such committee or board a form (MTRB Enrollment Form) and file it with the retirement board within 30 days of the individual becoming eligible for membership.
REGULATORY AUTHORITY 807 CMR 4.00: M.G.L. c. 15, § 16.
807 CMR 5.00: EMPLOYER REPORTING REQUIREMENTS
Section
5.01: Purpose of Standard Rules; Retirement Board Policy
5.02: Monthly Deduction Report
807-5.01: Purpose of Standard Rules; Retirement Board Policy
The purpose of 807 CMR 5.00 is to clarify and standardize the reporting of employee data to be required of each governmental unit who employs individuals eligible for membership in the Massachusetts Teachers’ Retirement System. Standardizing and clarifying reporting requirements for all governmental units will enable the retirement board to ensure the accurate accounting of all member accounts, to guarantee the financial accountability of the retirement fund, and to maintain the necessary data to fully comply with all reporting requirements as provided in M.G.L. c. 32. All records and reports shall be required as of the dates outlined in these rules and as outlined in M.G.L. c. 32.
807-5.02: Monthly Deduction Reports
(1) Each governmental unit with employees who are members of the Massachusetts Teachers’ Retirement System shall report to the Executive Director of the Teachers’ Retirement Board on or before the tenth day of each succeeding month the various amounts withheld for the deposit in the annuity savings fund.
(2) Each governmental unit shall submit monthly reports in an automated format prescribed by the Teachers’ Retirement Board.
(3) Any governmental unit which withholds contributions from 50 or less members may request authorization to submit written monthly deduction reports. Such a request shall specify the reason(s) which prohibits automated reporting. The granting of such a waiver shall be at the discretion of the Board.
REGULATORY AUTHORITY 807 CMR 5.00: M.G.L. c. 15, § 16.
807 CMR 6.00: REGULAR COMPENSATION
Section
6.01: Definition
6.02: Regular Compensation
6.03: Early Retirement Incentives
The purpose of 807 CMR 6.00 is to clarify and standardize what shall be considered as regular compensation for purposes of retirement. Standardizing and clarifying regular compensation will enable the retirement board to ensure consistency and accurate retirement calculation of all member retirements, and to guarantee compliance with its fiduciary responsibility as provided in M.G.L. c. 32.
For the purpose of 807 CMR 6.00, annual contract shall have the following meaning: In the case of a teacher, the annual contract is the collective bargaining agreement for the unit which governs the rights of the members whether it is a one year or multi-year agreement. In the case of an administrator the annual contract is the individual employment agreement which governs the rights of the member whether it is a one year or multi-year agreement.
807-6.02: Regular Compensation
(1) The term regular compensation as defined by M.G.L. c. 32, § 1 and further defined by 840 CMR 15.03 shall include:
(a) Any premiums paid by a governmental unit for the purchase of any individual life insurance policy and/or any individual disability insurance policy. “Premiums paid by a governmental unit” shall, subject to verification as specified by the agency, include amounts paid to the member as reimbursement for actual amounts already paid by the member for such premiums with appropriate documentation, but not amounts paid to the member that may or may not be used for premiums. “Life insurance policy” shall include a term or whole life insurance policy. Nothing herein shall affect the inclusion in regular compensation of payments to annuity contracts, which are governed by M.G.L. c. 32, § 1 and 807 CMR 6.00.
(b) Salary payable under the terms of an annual contract for additional services so long as:
1. The additional services are set forth in the annual contract;
2. The additional services are educational in nature;
3. The remuneration for these services is provided in the annual contract;
4. The additional services are performed during the school year.
(2) During such period the term regular compensation as so defined shall not include:
(a) Any amounts paid for special projects involving task which are not part of the annual contract and which are not performed on a year to year basis;
(b) Any amounts paid for work performed during the summer months unless the member's position in which he/she is employed during the school year requires that he/she work for 11 or 12 months and the annual contract provides for same;
(c) Any amounts paid as an allowance which the Board considers a necessary cost of employment;
(d) Any amounts paid as a reimbursement for a necessary cost of employment;
(e) Any amounts paid as a career incentive which do not become part of the member's base salary;
(f) Any other payment made as a result of the employer having knowledge of the member’s retirement.
807-6.03: Early Retirement Incentives
(1) The term early retirement incentive shall include but not be limited to the following and shall not be considered as regular compensation:
(a) Any amounts termed a longevity which are paid as a result of the member giving notice of retirement;
(b) Any amounts paid as a retroactive increase in salary provided in an annual contract that has been renegotiated as a result of the member giving notice of retirement;
(c) Any amounts paid as salary which in prior years were paid as a reimbursement or an allowance for the necessary costs of employment as a result of the member giving notice of retirement;
(d) Any amounts paid as salary for additional duties which do not become a permanent component of the job description as a result of the member giving notice of retirement.
REGULATORY AUTHORITY 807 CMR 6.00: M.G.L. c. 15, § 16.
807 CMR 7.00: DOCUMENTATION TO BE OBTAINED FOR ORDINARY OR ACCIDENTAL DISABILITY RETIREMENT
Section
7.01: Purpose of Standard Rules
7.02: Application Forms807 CMR 7.00 is the standard rules governing the application procedure as it relates to the documentation necessary for ordinary and accidental disability retirement for all individuals within the Massachusetts Teachers’ Retirement System promulgated by the Teachers’ Retirement Board under the statutory authority found in M.G.L. c. 15, § 16. 807 CMR 7.00 shall establish the forms to be used for members of the Massachusetts Teachers’ Retirement System who are applying for an ordinary or accidental disability retirement and shall, except as specifically provided herein be supplementary to those rules governing the disability process as promulgated by the Commissioner of the Public Employee Retirement Administration and set out in 840 CMR 10.00.
807-7.01: Purpose of Standard Rules
The purpose of 807 CMR 7.00 is to provide disability application materials which address the employment situation of teachers and administrators. Using these materials will enable the retirement board to ensure that it has the information needed to guarantee compliance with its fiduciary responsibility as provided in M.G.L. c. 32.
807-7.02: Forms to be Completed for an Ordinary or Accidental Disability Retirement
(1) Proceedings for ordinary or accidental disability retirement may be brought by any member of the Massachusetts Teachers’ Retirement System who becomes totally and permanently disabled while a member in service by filing an application with the Teachers’ Retirement Board. The application shall consist of forms:
(a) Disability Retirement Application; and
(b) Disability Applicant’s Physician’s Statement.
These forms are to be utilized in lieu of the disability retirement forms otherwise required by 840 CMR 10.06(1).
(2) Applications shall be considered filed as of the date upon which the applicant completes and submits all the required forms to the Teachers’ Retirement Board. Unless otherwise authorized by vote of the Teachers’ Retirement Board no more than one application for ordinary or accidental disability retirement shall be filed for the same condition or injury within any 12 month period. If the Teachers’ Retirement Board believes any part of the application contains false, fictitious or fraudulent information, the board shall notify the Attorney General or the appropriate district attorney.
(3) Upon receipt of an application by a member for ordinary or accidental disability retirement, the Teachers’ Retirement Board shall request the member’s department head and superintendent to complete the Employer’s Statement. If the department head is not familiar with the member's claim, the statement shall be prepared by the member’s supervisor and shall be approved by the superintendent.
(4) Applications for ordinary or accidental disability retirement shall be considered by the Teachers’ Retirement Board only upon completion of all the forms set forth in 807 CMR 7.00.
REGULATORY AUTHORITY 807 CMR 7.00: M.G.L. c. 15, § 16.
807 CMR 9.00: ELECTIVE PAYROLL DEDUCTIONS FOR RETIREMENTPLUS ACCELERATED CONTRIBUTIONS UNDER M.G.L. C. 32, § 5
Section
9.01: Purpose
9.02: Authorization
9.03: Contribution Pick-Up
9.04: Partial or Full Payments
9.05: Procedure
9.06: Irrevocability of Authorization
9.07: Duration
The purpose of 807 CMR 9.00 is to provide a pick-up of employee contributions under § 414(h)(2) of the Internal Revenue Code of 1986 for RetirementPlus accelerated contributions that are made pursuant to the alternative superannuation retirement benefit of M.G.L. c. 32, § 5.
Members in service who pursuant to M.G.L. c. 32, § 5, have elected to participate in the alternative superannuation program may also elect to accelerate their contributions to this program. Unless paid directly to the system, these accelerated contributions must be made in accordance with a schedule established by the Board through a binding, irrevocable payroll deduction authorization.
A member in service, having executed a binding, irrevocable payroll deduction authorization with respect to any such contributions, shall not be entitled to any option of choosing to receive the contributed amounts directly instead of having them paid by the employer to the Board. Such contributions shall be remitted to the Board pursuant to M.G.L. c. 32, § 22(1)(b) in the same manner as all other contributions made thereunder and shall be credited to the member’s annuity savings account. Such contributions, although designated as employee contributions, will be paid by the employer in lieu of contributions by the employee. The contributions so assumed shall be paid by the employer in lieu of contributions by the employee. The contributions so assumed shall be treated as tax-deferred employer “pick-up” contributions pursuant to the United States Internal Revenue Code, § 414(h)(2), subject to a favorable letter ruling by the Internal Revenue Service.
9.04. Partial or Full Payments.
Members in service may elect to pay all or part of the accelerated contributions through such payroll deduction. The amounts to be deducted and the duration of the deduction shall be specified on the authorization form prescribed by the Board and the amounts and duration shall be irrevocable and binding once made. Prepayment of amounts covered by the authorization is not permitted. However, nothing herein shall prevent a member from paying any amounts not covered by the authorization with after-tax dollars.
No such payroll deduction shall begin unless and until the member in service executes the payroll deduction authorization described below on a form prescribed by the Board. The Board will send such form to the treasurer or other disbursing officer of the employer. After receiving the binding, irrevocable payroll deduction authorization, the treasurer or other disbursing officer of each employer shall add such contributions to the contributions deducted from the member’s regular compensation each pay day pursuant to M.G.L. c. 32, § 22(1)(b). The employer shall continue to make such deductions for the period specified on the form and shall treat these deductions as picked-up contributions.
9.06. Irrevocability of Authorization.
All such payroll deductions, including the amounts and the duration specified, shall be binding and irrevocable upon the member’s execution of the prescribed form.
Notwithstanding the above, such deductions will cease only after the authorization has expired by its terms or upon any of the following events:
(1) The Member’s Death. In this event, an eligible beneficiary or spouse having a right to a member-survivor allowance shall pay the remaining amount owed in one lump sum (using after-tax dollars). If the entire remaining amount cannot be paid due to I.R.C. § 415 limitations, the beneficiary or spouse eligible for a member-survivor allowance shall be entitled to the actuarially reduced benefit available under M.G.L. c. 32, § 5.
(2) The Termination of the Member’s Employment. In this event, the member shall pay the entire remaining amount owed in one lump sum (using after tax dollars) during the same calendar year and within six months of the date of termination or before the date of retirement, whichever occurs earlier, and receive the entire retirement plus benefit. If the remaining amount cannot be paid due to I.R.C. § 415 limitations and the member retires, he or she will receive the actuarially reduced benefit available under M.G.L. c. 32, § 5 only if the employment terminated involuntarily.
For purposes of 807 CMR 9.06(1) and (2), after tax contributions shall only be received to the extent allowed by § 415 of the Internal Revenue Code.
(3) In no event shall the member receive a return of the payroll deductions made hereunder, except as a refund together with all other contributions as provided in M.G.L. c. 32, § 10, or as provided in M.G.L. c. 32, § 5 with respect to a member who retires or terminates without completing 30 years of creditable service.
Payroll deductions and installment agreements hereunder shall last no longer than five years.
REGULATORY AUTHORITY 807 CMR 9.00: M.G.L. c. 15, § 16.
807 CMR 10.00: Maternity Service Purchases
Section
10.01: Purpose
10.02: Definitions
10.03: Applicability
10.04: Service That Can Be Purchased
10.05: Contributions
The purpose of 807 CMR 10.00 is to establish the procedure for the purchase of creditable service for maternity leave, as authorized by M.G.L. c. 32, § 4(1)(g 1/2), and to provide guidance as to the Board’s interpretation of the statute. 807 CMR 10.000 supplements the provisions of M.G.L. c. 32, §4 (1)(g 1/2).
For purposes of 807 CMR 10.00:
“Compensation” is, for any given year, either the regular compensation that was actually paid for the position that the member left, or the Presumed Salary adjusted to reflect the teacher’s normal full or part-time schedule, as the case may be. Absent documentation to the contrary, the member’s Compensation for each year equals the Presumed Salary.
“Leave” is an authorized unpaid absence from employment as a teacher in Massachusetts, a period of unemployment after resignation as a teacher in Massachusetts, or a period following a break in active membership as a teacher due to the member working on a basis of less than half time. The “Leave” must be immediately preceded by membership service. A termination of employment as a teacher for cause (other than maternity) shall not be considered a Leave. The Leave will be considered terminated upon re-entry into membership service in a Massachusetts contributory retirement system on at least a half time basis.
“Maternity Leave” is a Leave that begins no more than nine months before the birth or adoption of a child. The Board may request any documents that it determines are needed to make this determination, including but not limited to birth certificates, adoption records, or documents establishing termination of employment. A Leave that the Board determines is for a reason other than the birth or adoption of a child is not a Maternity Leave.
“Presumed Salary” is defined in the table in 807 CMR 10.05.
807 CMR 10.00 applies to all eligible members regardless of gender.
807-10.04. Service That Can Be Purchased.
(1) A member may purchase creditable service pursuant to M.G.L. c. 32, § 4(1)(g 1/2) for any Maternity Leave that begins before January 1, 1975, even if such Leave extends beyond that date.
(2) A member may purchase creditable service equal to the duration of each Maternity Leave, up to a maximum of four years.
(3) In no event may a member purchase more than the statutory maximum of four years, regardless of the number of Maternity Leaves.
(4) A member shall receive full creditable service equal to the full years and full months of the Maternity Leave (i.e. full-time credit, not pro-rated).
(5) One year shall equal the member’s normal work year immediately preceding the Maternity Leave. A member can purchase only those months normally worked immediately before the Maternity Leave.
(1) The member must pay into the Annuity Savings Fund an amount equal to the deductions that would have been withheld had the member continued in service, together with regular interest. Contributions will be made at the rate of 5% of the Compensation for each year.
(2) The Presumed Salary for each year is as follows:
School
YearPresumed
SalarySchool
YearPresumed
SalarySchool
YearPresumed
SalarySchool
YearPresumed
Salary1954-55 $4,045 1960-61 $5,500 1966-67 $7,300 1972-73 $10,519 1955-56 $4,140 1961-62 $5,775 1967-68 $7,550 1973-74 $11,128 1956-57 $4,325 1962-63 $6,075 1968-69 $8,100 1974-75 $12,734 1957-58 $4,650 1963-64 $6,275 1969-70 $8,764 1975-76 $13,519 1958-59 $4,950 1964-65 $6,950 1970-71 $9,611 1976-77 $14,311 1959-60 $5,300 1965-66 $7,100 1971-72 $10,178 1977-78 $15,336
If a member has more than four years of Maternity Leave, or chooses to purchase fewer than four years, the Board will specify which years may be purchased. All service must be purchased in increments of whole months.
(3) For members paying pursuant to an installment plan, the Board may require interest at a rate to be determined by the Board (in addition to regular interest). For those members eligible to purchase under section 4(1)(g 1/2) prior to December 31, 2001, all installments must be paid no later than that date.REGULATORY AUTHORITY: 807 CMR 10.00: M.G.L. c. 15, § 16; c. 32, § 4(1)(g 1/2).
807 CMR 12.00: Rollover Distributions and Trust to Trust Transfers
Section
12.01: Rollovers from the Plan
12.02: Rollovers into the Plan
12.03: Trust to Trust Transfers
807-12.01: Rollovers from the Plan.
(1) A Distributee may elect, at the time and in the manner prescribed by the Board, to have any portion of an Eligible Rollover Distribution paid directly to an Eligible Retirement Plan specified by the Distributee in a Direct Rollover. The following definitions shall apply to 807 CMR 12.01.
(2) A “Direct Rollover” is a payment by the Board to the Eligible Retirement Plan specified by the Distributee.
(3) A “Distributee” includes an employee or former employee, as well as the employee’s or former employee’s surviving spouse, and non-spousal beneficiaries, but only with respect to an eligible retirement plan described in 807 CMR 12.01(5)(c)1. or 2.
(4) An “Eligible Retirement Plan” is any program defined in the Internal Revenue Code Sections 401(a)(31) and 402(c)(8)(B), that accepts the Distributee’s Eligible Rollover Distribution, as follows:
(a) an individual retirement account under Code Section 408(a);
(b) an individual retirement annuity under Code Section 408(b) (other than an endowment contract);
(c) a qualified plan under Code Sections 401(a) or 403(a);
(d) an eligible deferred compensation plan under Code Section 457(b) which is maintained by a state, a political subdivision of a state, or any agency or instrumentality of a state or a political subdivision of a state (so long as the plan agrees to separately account for amounts rolled into the plan); and
(e) an annuity contract under Code Section 403(b).(5) An “Eligible Rollover Distribution” is any distribution under M.G.L. c. 32, §§ 1 through 28 of all or any portion of the balance to the credit of the Distributee, except that an Eligible Rollover Distribution does not include:
(a) any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the Distributee or the joint lives (or joint life expectancies) of the Distributee and the Distributee’s designated beneficiary, or for a specified period of ten years or more;
(b) any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code (“Code”); or
(c) the portion of any distribution that is not includible in gross income, provided that any portion of any distribution that is not includible in gross income may be an Eligible Rollover Distribution for purposes of a rollover to either:1. a traditional individual retirement account or individual retirement annuity; or
2. a qualified trust or 403(b) tax-sheltered annuity which is part of a plan that will separately account for the taxable and non-taxable portions of the distribution, in a direct trustee-to-trustee transfer.
807-12.02: Rollovers into the Plan.
(1) The Board may accept any portion of an Eligible Rollover Distribution in payment of all or a portion of a member’s purchase of service credit or service buybacks under M.G.L. c. 32, §§ 1 through 28, or of a member’s accelerated Retirement Plus contributions. The Board may accept an Eligible Rollover Distribution paid directly to the system in a Direct Rollover. Rollovers from other permissible sources will be allowed to the extent permitted by law, subject to any conditions, proofs, or acceptance the Board or its designee deems appropriate.
The following definitions shall apply to 807 CMR 12.02.
(2) A “Direct Rollover” is a payment from an Eligible Retirement Plan specified by the member to the system.
(3) An “Eligible Retirement Plan” is any program defined in Code Sections 401(a)(31) and 402(c)(8)(B), from which the member has a right to an Eligible Rollover Distribution, as follows:
(a) an individual retirement account under Code Section 408(a);
(b) an individual retirement annuity under Code Section 408(b) (other than an endowment contract);
(c) a qualified plan under Code Sections 401(a) or 403(a);
(d) an eligible deferred compensation plan under Code Section 457(b) which is maintained by a state, a political subdivision of a state, or any agency or instrumentality of a state or a political subdivision of a state; and
(e) an annuity contract under Code Section 403(b).(4) An “Eligible Rollover Distribution” is any distribution of all or any portion of the balance to the credit of the member from an Eligible Retirement Plan. An Eligible Rollover Distribution does not include:
(a) any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the member or the joint lives (or joint life expectancies) of the member and the member's designated beneficiary, or for a specified period of ten years or more;
(b) any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code ("Code");
(c) any distribution which is made upon hardship of the member; or
(d) the portion of any distribution that is not includible in gross income.
807-12.03 Trust to Trust Transfers
The Board may accept a direct trustee-to-trustee transfer from a deferred compensation plan under Internal Revenue Code Section 457(b) or a tax-sheltered annuity under Internal Revenue Code Section 403(b) for the purchase of permissive service credit, as defined in Internal Revenue Code Section 415(n)(3)(A), or a repayment to which Internal Revenue Code Section 415 does not apply by reason of Internal Revenue Code Section 415(k)(3). Such transfers will be allowed to the extent permitted by law, subject to any conditions, proofs, or acceptance the Board or its designee deems appropriate.
REGULATORY AUTHORITY: 807 CMR 12.00: M.G.L. c. 32, §§ 3, 4 and 5; c. 15, § 16.
807 CMR 13.00: TRANSFER OF MEMBERSHIP OF RETIREMENTPLUS MEMBERS
Section
13.01: Purpose
13.02: Definitions
13.03: Refunds
13.04: Transfers In
13.05: Transfers Out
The purpose of 807 CMR 13.00 is to bring certainty and definiteness to the requirements of G.L. c. 32, § 5(4) governing the election to participate in the enhanced superannuation retirement plan provided in that statute for Transferees. Specifically, the purpose is to clarify the election opportunities available to:
(1) members transferring into the Massachusetts Teachers’ Retirement System (“MTRS”) who have already made an election into RetirementPlus;
(2) members who have taken refunds; and
(3) members transferring out of the MTRS, consistent with the statutory requirement that all such elections be irrevocable.
For purposes of 807 CMR 13.00, the following terms shall have the following meanings:
“Election Opportunity” shall mean the 180-day election “window” available to Transferees in M.G.L. c. 32, § 5(4). Said election “window” shall begin on the date when the MTRS receives the transfer of the member’s account from the other contributory retirement system. A surviving spouse who is eligible for a member survivor allowance may make an election within this period if the member had not previously made an election. For purposes of determining the benefit accrued as of a certain date for Domestic Relations Orders, an election made during the “window” will relate back to the first day the MTRS received payroll deductions on behalf of the member.
“RetirementPlus” shall mean the enhanced superannuation retirement allowance provided for in M.G.L. c. 32, § 5(4). This term includes the Teachers’ Alternate Retirement Program (“TARP”) of the State-Boston Retirement System.
“Transferee” shall mean any member of another M.G.L. c. 32 Massachusetts contributory retirement system who is transferring his or her membership to the MTRS, or a member of the MTRS who is transferring to another M.G.L. c. 32 contributory retirement system.
Any member who takes a refund of accumulated total deductions pursuant to M.G.L. c. 32, § 10(4) and after July 1, 2001 re-establishes membership with the MTRS or the State-Boston Retirement System shall be a mandatory participant in RetirementPlus. Any member who takes a refund of accumulated total deductions pursuant to M.G.L. c. 32, § 10(4) and after July 1, 2001 re-establishes membership with another contributory retirement system, and later transfers to the MTRS, shall be treated like any other Transferee.
(1) Except as provided in 807 CMR 13.04(2) and (3), any Transferee into the MTRS shall have an Election Opportunity.
(2) Because an election opportunity is irrevocable, any Transferee into the MTRS who, since his/her date of membership (or re-establishment of membership after a refund), has made an election to participate or not participate in RetirementPlus (or who failed to so elect when an opportunity was available), shall not have another Election Opportunity. The rights of such a Transferee shall be governed by his or her previous election or non-election.
(3) Any Transferee into the MTRS who is or was a mandatory participant in RetirementPlus shall not have an Election Opportunity.
In transferring a Transferee’s account to another contributory retirement system, the MTRS will transfer the entire account and break out for the other retirement system the “excess” contributions over the normal retirement contribution rate.
REGULATORY AUTHORITY: 807 CMR 13.00: M.G.L. c. 15, § 16 and c. 32, § 20(5)(b).
807 CMR 14.00: PURCHASE OF CREDITABLE SERVICE FOR PRIOR VOCATIONAL WORK EXPERIENCE
Section
14.01: Purpose
14.02: Eligibility
14.03: Qualifying Service
14.04: Duplication
14.05: Interest
14.06: Part-time Service
The purpose of regulation 807 CMR 14.00 is to bring certainty and definiteness to the provisions of M.G.L. c. 32, § 4(1)(h ½) and to clarify and set forth procedures for the purchase of creditable service for prior vocational work experience.
Only members who are or were employed in a c. 74 approved vocational-technical program, as determined by the Department of Education, in a position requiring vocational-technical certification, are eligible to purchase service.
The Board will rely on records of the Department Education in determining whether a member seeking to purchase creditable service as a licensed vocational-technical teacher has qualifying prior vocational service and, if so, how much. The years to be purchased will be the period (up to three years) reflected in Department of Education records as the service qualifying the member for vocational certification, the most recent eligible years to be purchased first. Prior trade service that is not reflected in Department of Education records cannot be verified and cannot be purchased.
Consistent with M.G.L. c. 32, § 4(1)(a), a member cannot purchase creditable service for periods that have been purchased under another service purchase provision or have been credited as membership service with a contributory retirement board.
“Buyback interest” will be charged back to the years of service being purchased. The terms of installment agreements, including the term and interest rate, will be in accordance with the Board’s usual practices and policies.
In the event that a member worked part-time during his or her most recent date of entry into membership in the Teachers’ Retirement System or as a teacher in the State-Boston Retirement System, the salary to be used in determining the amount of the makeup payments shall be the actual salary received by the member during that year, i.e. the part-time salary.
REGULATORY AUTHORITY: 807 CMR 14.00: M.G.L. c. 15, § 16, c. 32, §§ 4(1)(h 1/2) and 20(5)(b).
807 CMR 15.00: CONFIDENTIALITY OF INFORMATION
Section
15.01: Disclosure to School Districts and Municipalities
15.02: Disclosure to Candidates
15.03: General
807-15.01 Disclosure to School Districts and Municipalities
The Teachers’ Retirement System has determined that it is necessary, and in the best interest of its active and retired members, beneficiaries and survivors, to provide certain personal information, specifically the address, dates of birth, and/or social security number, of these individuals for the sole and limited purpose of assisting in the proper administration of M.G.L. chs. 32 and 32B and the issuance of monthly benefit checks. The System recognizes the need to protect the privacy of its active and retired members, beneficiaries and survivors, and to that end will only provide such personal information to employees of the member’s school district or former school district, or the relevant municipality, in connection with the administration of health benefits, retirement benefits, or some other form of benefit.
807-15.02 Disclosure to Candidates.
Upon request the System will also provide the personal information specified in 807 CMR 15.01, except social security numbers, and dates of birth of its active and retired members to persons who have qualified as candidates for election to the Board pursuant to 807 CMR 2.02.
All information provided pursuant to 807 CMR 15.00 may be provided in electronic format. Nothing in 807 CMR 15.00 precludes the disclosure of information that is otherwise considered public information pursuant to M.G.L. c. 6, § 7(26), M.G.L. c. 66, § 10, or 840 CMR. 6.00. The requesting party may be charged for necessary staff time in accordance with 950 CMR 32.06.
REGULATORY AUTHORITY: 807 CMR 15.00: M.G.L. c. 15, § 16.
807 CMR 16.00: QUALIFIED EXCESS BENEFIT ARRANGEMENT
Section
16.01: Establishment of Section 415 Excess Benefit Plan and Trust Fund
16.02: Grantor Trust
807-16.01. Establishment of Section 415 Excess Benefit Plan and Trust Fund.
Since G.L.c. 32, § 104(b) requires the establishment of a qualified governmental plan excess benefit arrangement, as described in 26 U.S.C. section 415(m), for the payment of benefits in excess of the limits of section 415(b) of the Internal Revenue Code, the Board hereby establishes such an arrangement in the form set forth in a document entitled “The Massachusetts Teachers’ Retirement System Section 415 Excess Benefit Plan and Trust Fund, effective January 1, 2006,” and dated January 1, 2007 (the “Excess Benefit Plan”).
The purpose of the Excess Benefit Plan is solely to provide the part of a member’s retirement allowance that would otherwise have been payable by the MTRS except for the limitations of Internal Revenue Code Section 415(b). It is intended to be a “qualified governmental excess benefit arrangement” within the meaning of Internal Revenue Code Section 415(m)(3).
Pursuant to of G.L.c. 32, § 104(b), which provides that a qualified governmental plan excess benefit arrangement must be established according to the requirements of 26 U.S.C. section 415(m), the Board will not provide for the transfer of any funds to pay the excess benefits under the Excess Benefit Plan but, rather, the excess benefits will be funded by appropriations in such amount as determined by the Board to be necessary to fund the excess benefits, to be withheld before such appropriations are credited to the MTRS.
To implement the terms of section 104(b) and the Excess Benefit Plan, the Board is authorized to create a grantor trust, with themselves as trustees, to receive and hold contributions from employers and to pay benefits in accordance with the Excess Benefit Plan. The grantor trust shall be established pursuant to the terms of Article VI of the Excess Benefit Plan.