STATEMENT OF BASIS AND PURPOSE
Amendments and Additions to Rules of the Public Employees’ Retirement Association
November 21, 2008

1.	Rule 1.20 E. is being amended to clarify the impact of adoption on survivor benefits and to further clarify when children are entitled to survivor benefits. 

2.	Amendments to Rule 2.15 (employer assignments) are being added to reflect additional employer affiliations.

3.	Rule 2.20 is being amended to allow for consolidation of administrative hearings at the discretion of the Board chair upon request by either party.  Additionally, review by the full board will be optional and if not requested the Administrative Panel’s decision will constitute final board action appealable under Colorado Rule of Civil Procedure 106(a)(4). Further, the standard of review of the full Board is being clarified. 

4.	Rule 4.50 is being added so that the defined benefit plan complies with the Uniformed Services Employment and Reemployment Rights Act of 1994.  

5.	Rule 5.20A is being amended to clarify that the purchase of service credit relating to a refunded member contribution account (also known as a reinstatement) does not count toward the ten year limit for purchases of service credit under C.R.S. § 24-51-505(2)(c).

6.	Rule 6.15 is being added to clarify from which division a member will retire.  This rule addresses how the Association will determine which division a member retires from when the retiree had membership in multiple divisions in the month immediately preceding retirement.

7.	Rule 9.40D is being amended to accommodate the change in Rule 1.20 E.

8.	Rule 9.70 is being added to clarify from which division benefits are payable for survivor beneficiaries.  This rule mirrors Rule 6.15.

9.	Rule 11.16 is being amended to clarify when a retiree may suspend receipt of retirement benefits, and also what occurs when the retiree resumes receipt of benefits. It clarifies that when a retiree resumes receipt of retirement benefits after suspension the retiree will remain retired from the division in which he or she originally retired. 

10.	Rule 14.30 is being amended to correct a clerical error.

11.	Rule 15.25A is being amended to clarify the method in which certified copies of a Domestic Relations Order must be submitted to the Association.

12.	Rule 16.30F is being added to clarify that a member who elects to receive a distribution of his or her defined contribution account or to refund his or her defined benefit account and then subsequently returns to membership before there has been a 12 month break shall begin with the same number of years of membership he or she had accrued prior to terminating membership for purposes of the choice to switch retirement plans within years two through five of their membership. 

13.	Rule 16.65 is being added to clarify that the defined contribution plan complies with the Uniformed Services Employment and Reemployment Rights Act of 1994.

14.	Rule 16.90E is being added to clarify that a member who elects to receive a distribution of his or her defined contribution account and then subsequently returns to membership before there has been a 12 month break will begin a new vesting schedule for future contributions.