Transcription
Official PoliciesOf thePUBLIC EMPLOYEES’ RETIREMENTSYSTEM OF NEVADA693 West Nye LaneCarson City, Nevada 89703Effective: July 1, 2019
TABLE OF CONTENTSDefinitions.1Membership .8Contributions.11Monthly Retirement Reports.22Service Credit.25Purchase of Service .28Refunds & Repayment of Contributions.36Disability Retirement .40Survivor Benefits .47Service Retirement .53Police and Firefighters .68General .81Public Employers .86Domestic Relations Order .94Benefit Restoration Plan and Trust .96Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) .104
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DEFINITIONSDEFINITIONS – As used in these policies, the words and termsdefined in NRS Chapter 286 have the meanings ascribed to them in thatchapter.286.016286.67031.1ALTERNATE PAYEE - The spouse, former spouse, registereddomestic partner, former registered domestic partner, child, or otherdependent of a member or retired employee who, pursuant to ajudgment, decree, or order relating to child support, alimony, or thedisposition of community property, is entitled to receive all or a portionof the allowance or benefit of a member or retired member from theSystem.286.551(5)1.2ASSIGNMENT-RELATED COMPENSATION – Compensation paidto the member for shift differential, hazardous duty, standby pay, orextra duty assignments.286.5511.3BASE BENEFIT - The original monthly benefit received by a memberor retired Y - A person eligible for a survivor benefit or as a resultof an option selection by a retired employee.286.2001.5BENEFIT CANCELLATION - Discontinuance of a benefit with nopossible reinstatement.286.2001.6BENEFIT SUSPENSION - Temporary withdrawal of benefit withpossible reinstatement when certain conditions are met.286.025(2)1.7CALL-BACK PAY –a.b.Except as it may conflict with the Nevada Administrative Code at284.214, call-back pay is defined as compensation earned forreturning to duty after a member has completed his regular shift,is off duty for any period of time, and is requested to return toduty with less than 12 hours’ notice.Scheduling the 12-hour rule set forth in subsection (a) will beactivated by the electronic call-out required for the shiftscheduling from the public employer. Any electronic responsesystem must comply with the 12-hour rule and not allow theemployee call-in response to govern notification for purposes ofthe 12-hour rule.1
c.d.286.025(2)1.7CALL-BACK PAY –a.b.c.286.551Returning to duty within 12 hours after one’s regular workinghours to respond to an emergency.As used in this Policy 1.7(a), “emergency” means a sudden,unexpected occurrence that is declared by the governing body orchief administrative officer of the public employer to involveclear and imminent danger and require immediate action toprevent and mitigate the endangerment of lives, health orproperty.This policy applies to all members with an effective date ofmembership on or after January 1, 2010.1.8CONSECUTIVE MONTHS - The months, one following the other, inwhich some compensation is reported or service credit received,whether any actual work was performed or not. For the calculation ofaverage compensation, compensation reported shall not be prorated toreflect the portion of the month that the reported compensationrepresents. Months for which a member does not receive service creditshall be spanned and not included in determining averagecompensation.1.9CONTRIBUTION PLANS –286.450a.286.421b.1.10286.410An employer may not convert what would otherwise be anovertime shift to a call-back shift by waiting until there is lessthan 12 hours’ notice to request a return to duty, if the employerhas knowledge more than 12-hours before the start of the shift tobe staffed, either through notification or through normal staffingpolicies, of the staffing need.This policy applies to all members with an effective date ofmembership on or before December 31, 2009.Employee/Employer: The employee and employer payequivalent contributions.Employer Pay:The employer pays the entire contributionon behalf of the employee. The employees' portion must be inlieu of an equivalent salary increase or by salary reduction, exceptwhen the employee is a local elected official or district judge,Court of Appeals, or a justice of the Supreme Court.CONTRIBUTIONS –a.Employee:Deductions made from the employee's salary,paid to the System and credited to the employee's member2
286.450b.286.421c.account. Employees do not earn interest on any employeecontributions credited to their member accounts.Employer:Payments made by employers to the Systemunder the employee/employer contribution plan.Employer Pay: Payments made by employers on behalf ofthose employees under the employer-pay contribution plan.286.5231.11CRITICAL LABOR SHORTAGE POSITION - A position determinedby a participating public employer's governing body to be experiencinga critical labor shortage pursuant to NRS 286.523.286.671(1-4)286.67671.12ELIGIBLE SURVIVORS - Child, spouse, registered domestic partner,survivor beneficiary of an unmarried member, or dependent parenteligible to receive survivor benefits if the eligible member should die.286.025286.2931.13EMPLOYMENT –a.b.286.1601.14Primary: Public employment which is half-time or more uponwhich retirement contributions must be paid. In the event ofemployment in two or more eligible positions, the position payingthe greatest salary shall be primary.Secondary: In the event of concurrent public employment, thelesser salaried position.EXECUTIVE OFFICER - Administrator of the Public Employees'Retirement System appointed by the Board.286.510(1)(c) 1.15FAMILY MEDICAL EMERGENCY – When an employee is requiredto provide care for a member of his or her immediate family with aserious health condition or other authorized medical need. A certificatefrom a health care provider is required.286.2001.16FIRE SUPPRESSION TRAINING – The requirement specified in theofficial job description for firefighter I, firefighter II, red cardcertification, or equivalent as a condition of employment.286.2931.17HALF-TIME POSITION - A position which requires an employee towork half-time according to the full-time work schedule of the publicemployer, for a duration exceeding six months.286.0251.18HAZARDOUS-DUTY PAY - Regular additional compensation paid toall eligible employees of a public employer for performing dangerousduty not including any payment based, in whole or in part, upon anypay type that does not meet the definition of compensation in NRS286.025.3
286.0251.19HOLIDAY PAY - Compensation for work actually performed duringan official holiday as defined by NRS 236.015 which is in addition tothe compensation paid to all employees who do not work, providing thetotal working hours do not exceed the working hours of a normalworkweek or pay period as certified by the public employer.286.5101.20IMMEDIATE FAMILY – The employee’s parents, spouse, children,regardless of age, brothers, sisters, grandparents, great-grandparents,uncles, aunts, nephews, grandchildren, nieces, great-grandchildren andstepparents.286.293286.2971.21INTERMITTENT POSITION - A position for which no regular workschedule exists.286.676951.22KILLED IN THE COURSE OF EMPLOYMENT – For regularmembers, death that occurs as a direct or proximate result of theperformance of the duty. In the event of heart attack or stroke, themember shall be presumed to have died as a direct or proximate resultof the personal injury sustained in the line of duty if:1. While on duty –a. Engaged in a situation, and such engagement involved nonroutine stressful or strenuous physical activity, or,b. Participated in a training exercise, and such participationinvolved non-routine stressful or strenuous physical activity,2. Member died as a result of a heart attack or stroke suffered –a. Engaged in a situation, and such engagement involved nonroutine stressful or strenuous physical activity, or,b. While still on that duty after so engaging or participating insuch an activity, orc. Not later than 24 hours after so engaging or participating insuch an activity; and3. Such presumption is not overcome by competent medicalevidence to the contrary.286.676951.23KILLED IN THE LINE OF DUTY – For police and firefightermembers, death that occurs as a direct or proximate result of theperformance of the duty. In the event of heart attack or stroke, themember shall be presumed to have died as a direct or proximate resultof the personal injury sustained in the line of duty if:1. While on duty –a. Engaged in a situation, and such engagement involved nonroutine stressful or strenuous physical activity, or,b. Participated in a training exercise, and such participationinvolved non-routine stressful or strenuous physical activity,4
2. Member died as a result of a heart attack or stroke suffered a. While engaging or participating in such activity as describedabove,b. While still on that duty after so engaging or participating insuch an activity, orc. Not later than 24 hours after so engaging or participating insuch an activity; and3. Such presumption is not overcome by competent medicalevidence to the contrary.286.2881.24LIAISON OFFICER - An employee selected by a public employer orgroup of such employers to certify records and coordinate retirementmatters between the System and members of participating publicemployers. The employee selected must be a member of the Systemthrough his employment with the public employer.1.25LINE OF DUTY – Any action the member was obligated or authorizedto perform by rule, regulation, condition of employment or service, orlaw.286.0251.26LONGEVITY PAY - Additional compensation provided to all eligibleemployees by a public employer based on years of service notincluding any payment based, in whole or in part, upon any pay typethat does not meet the definition of compensation in NRS 286.025.286.0501.27MEMBER –a. Active: A member who is in the employ of a participating publicemployer and whose employee contributions are currently beingpaid to the System or is in a leave without pay status.b. Inactive: A member who has been reported as terminated frompublic employment and who has not withdrawn his employeecontributions and/or the portion of mandatory employer-paycontributions submitted on his behalf.286.2601.28MEMBER ACCOUNT - The individual account maintained for eachmember of the System.286.0251.29OVERTIME PAY - Except as it may conflict with the Nevada RevisedStatutes at 284.180 and the Nevada Administrative Code at 284.250,overtime pay is defined as additional pay earned by a member who isheld over on his regular shift or is requested to return to duty underconditions that do not meet the definition of call-back pay applicable tothat member.286.2001.30POSITION - An employment berth with a public employer.5
286.551(5)1.31PROMOTION – The advancement of the member, includingadvancement between two public employers, to a position which has ahigher level of base pay than the position held by the memberimmediately prior to the advancement.286.0501.32REGULAR MEMBER - A member of the System who is not a policeofficer or a firefighter.286.4301.33REFUND –a.b.Initial: The return to a member of all employee contributionscredited to the member's account as of the date of termination ofemployment.Final: The return to a member of all employee contributionswhich are credited after termination of employment.286.2001.34REGISTERED DOMESTIC PARTNERS – Persons who have a validdomestic partnership pursuant to NRS Chapter 122A and who have notterminated that domestic partnership pursuant to NRS Chapter 122A.286.4601.35REPORTING PERIOD - The calendar month for which member'scompensation and service credit are reported and certified by theparticipating public employer.286.541286.6201.36RETIRED EMPLOYEE - Person who is receiving a retirement benefiton his own behalf from the System.286.0251.37SALARY – As used in NRS 286.67665, “salary” is the compensationreported for the member by the member’s public employer in the lastfull month of employment preceding the member’s death, except that ifthe member was not paid on a monthly or semi-monthly schedule, thecompensation shall be converted to a monthly schedule.286.0251.38SHIFT DIFFERENTIAL PAY – Additional compensation paid to alleligible employees by a public employer for employment in a shiftother than the regular shift not including any payment based, in wholeor in part, upon any pay type that does not meet the definition ofcompensation in NRS 286.025.286.025(2)1.39STANDBY PAY - Compensation earned for holding oneself ready forduty while off duty not including any payment based, in whole or inpart, upon any pay type that does not meet the definition ofcompensation in NRS 286.025.6
286.297(5)1.40SUBSTITUTE TEACHER – A person employed by a school district ina position of a licensed teacher and who is performing work for whichlicensure as a substitute teacher is required if the employee: (a) is paida daily rate of pay, (b) may be released at any time with or withoutcause, and (c) does not receive customary employee benefits unlessmandated by federal law.286.67671.41SURVIVOR BENEFICIARY - Beneficiary of a member who wasunmarried at the time of his death, had met the minimum eligibilityrequirements, and had designated a beneficiary to receive payments ona PERS approved form.286.67671.42SURVIVOR BENEFICIARY ADDITIONAL PAYEE(S) – Person(s)designated to receive direct payment of a portion of the survivorbeneficiary benefit payments on a PERS approved form.286.673-71.43SURVIVOR BENEFIT - Monthly allowance paid to eligiblesurvivor(s) of a deceased member.286.297(9)1.44TEMPORARY POSITION - A position that will be staffed for sixmonths or less.286.2001.45TERMINAL LEAVE - All accumulated leave or bonus payments thatare made upon the termination of employment for any cause includingdeath.286.2001.46TWELVE-MONTH SCHOOL DISTRICT EMPLOYEE - A memberwho is employed by a school district in a position requiring that themember work a full 12-month period.286.67931.47VESTING - The attainment of creditable service which guarantees to amember those benefits accrued as of that date.286.367(1)1.48VOLUNTEER FIREFIGHTER - A volunteer member of a regularlyorganized and recognized fire department that is participating in theSystem.286.2931.49WORKDAY - Official, regular, full-time workday certified by a publicemployer.286.2931.50WORKWEEK - Official, regular, full-time workweek certified by apublic employer.7
MEMBERSHIP286.293(1)2.1Persons employed in positions considered to be half-time or moreaccording to the full-time work schedule established by the publicemployer shall be enrolled in the System provided they meet thedefinition of an employee.286.2932.2A person shall be enrolled if he is employed in two or more regular andrecurring positions that total half-time or more286.2972.3Persons employed in temporary positions shall be enrolled on the firstday of the seventh month of employment.286.2932.4a.b.c.Except as otherwise provided in subsection c of this Policy 2.4,persons employed in intermittent positions shall be enrolled fromthe first day worked in the fiscal year if the employment exceeds1,039 hours in a fiscal year.Persons employed by a school district in intermittent positions,whose work is based on the school year, shall be enrolled from thefirst day worked in the school year if the employment exceeds 719hours in a school year.Persons employed in intermittent positions by a public employer,other than a school district, that has certified a work schedule witha full-time work week of less than 40 hours per week, shall beenrolled from the first day worked in the fiscal year if theemployment meets or exceeds the number of hours that is one-halfof the work hours for that public employer in the fiscal year asdetermined by that public employer’s certified work schedule.286.2972.5If two or more persons are assigned to fill a single position of half-timeor more, then each shall be enrolled in the System.286.293(1)2.6Elected officials or persons appointed to elective positions who areelected, reelected, or appointed after July 1, 1975, shall be enrolledregardless of whether they meet the definition of an employee, unlessthey are already active members as a result of concurrent publicemployment, or except where excluded by Policies 2.9, 2.10, or 10.26.286.293(1)2.7A person shall remain an active member while employed with theLegislature or Legislative Counsel Bureau during a legislative session ifhe was contributing immediately before a legislative session or wasvested at the time of commencement of employment during a session.286.3912.8A member who is an employee of a public employer who goes on leaveto work for a recognized public employee or employer association mayremain a contributing member of the System as specified in Policy 3.6.8
286.2972.9The following persons are not eligible to become members of .Inmates of State, county, and municipal institutions.Independent contractors.Members of State and local boards or commissions that areadvisory or directive and whose members are not compensatedexcept for expenses incurred or for attendance fees.Students employed by the institution they attend if the student isworking in a position that can only be filled by a student.Resident physicians.Substitute teachers.District Judges and Justices of the Supreme Court who are notenrolled in the System at the time of election or appointment orwho previously withdrew from membership while serving as aDistrict Judge or Justice of the Supreme Court.Members of the professional staff of the University of NevadaSystem who are not already enrolled in the System as a result ofprevious public employment with a participating employer.Persons assigned to temporary positions of six months or less.Persons assigned to intermittent positions unless the publicemployer can reasonably expect that the intermittent position willbe filled half-time or more during a fiscal year.Persons employed on or after July 1, 1981, as part-time guards atschool crossings.Nurses who do not work a regular work schedule, are paid on anhourly basis, and do not receive customary employee benefits.286.2002.10Persons excluded from membership prior to July 1, 1979, because theywere age 55 or over have the option to join the System at any time afterJuly 1, 1979, but are not required to do so.286.2002.11The Retiree Reemployment Notification PERS Eligible Position Formand the Membership Enrollment Form must be completed by theemployee and certified by the public employer. The MembershipEnrollment Form for a retired employee of this System who is employedand has elected to return to membership must be clearly marked “retiredemployee.”286.2252.12Transfer between the Public Employees' Retirement Fund and the Policeand Firefighter's Retirement Fund or between one public employer andanother will not impair membership rights.9
286.4012.13Membership, and rights associated with membership, of an employee inthe System shall terminate upon:a.b.c.d.286.0402.14The death of a member.The issuance of an initial refund check and/or an initial mandatoryemployer-pay distribution check.The effective date of a retirement allowance.The expiration of service credit under NRS 286.501, if applicable,for purposes of establishing survivor benefit eligibility.For purposes of determining whether a person is an employee or anindependent contractor, the System will use the Internal RevenueService's point test (Internal Revenue System Regulation §313401(c)1). The elements are 7.18.19.20.InstructionTrainingIntegrationServices rendered personallyAuthority to hire, supervise and pay assistantsContinuing relationshipSet hours of workFull-time work requiredPlace of workSequence of workReporting obligationsMethod of paymentPayment of business and/or traveling expensesFurnishing of tools and materialsInvestmentRisk of lossWorking for more than one firm at a timeAvailability of services to the general publicRight to dischargeRight to terminate.10
CONTRIBUTIONS286.025(2)3.1Contributions shall be made on the following:a.b.c.d.e.Base pay in a position eligible for membership, even if fullyeligible to retire.Longevity pay.Shift differential pay.Hazardous duty pay.Compensation includes extra-duty assignments if it is the standardpractice of the public employer to include such pay in theemployment contract or official job description for the calendar oracademic year in which it is paid and such pay is specificallyincluded in the member’s employment contract or official jobdescription.1. Extra duty assignments are those duties assigned to a memberwhich are in addition to and beyond the normal and customaryduties assigned to or associated with the position occupied bythe member and which are distinctly different from the normaland customary duties assigned to or associated with theposition occupied by the member.2. Extra-duty assignments do not include categories of paydefined in NRS 286.025(2) and Policies 1.7 and 1.29 orperforming additional shifts or portions of shifts, including,without limitation, additional shifts or portions of shiftsworked to cover duties of absent employees or vacant positionsregardless of whether the additional shift or portions of shifts isfor the same, or a different, position as the position occupiedby the members.3. Notwithstanding the provisions of subsections a-d herein, anemployer may continue making contributions on pay tomembers who are incumbents in positions on the day beforethe effective date of this policy, for as long as that membercontinues in the same position, if:a. The member is receiving pay, prior to the effective date ofthis policy, for duties performed by that member pursuantto the member’s employment contract or official jobdescription that was in effect on the day before theeffective date of this policy;b. the pay is for duties specifically included in the member’semployment contract or official job description and the payis specifically included in the member’s employmentcontract or official job descriptions; andc. such pay was designated as pay for extra-duty assignmentsand contributions were made and accepted on such payprior to the effective date of this policy.11
f.g.h.i.286.367(3-4)j.k.Holiday pay.Standby pay.Call back pay.The aggregate compensation paid by two separate publicemployers if the member is employed half-time or more by oneand half-time or less by the other, if the total does not exceed fulltime employment, the duties of both positions are similar, and theemployment is pursuant to a continuing relationship between theemployers, except as specified in Policy 3.1(j).The assumed salary as a volunteer firefighter in addition tocompensation earned in any other eligible position.The aggregate compensation received by a school districtemployee from two overlapping contracts when work under a newcontract begins prior to expiration of the old contract.286.535(3)(b) 3.2For members with an effective date of membership on or after July 1,2015, the limit to the amount of compensation is 200,000, plus certainadjustments based on changes in the Consumer Price Index.286.200A cafeteria plan offers employees a choice between non-taxable benefitsand cash (or other permissible taxable benefits) in accordance withSection 125 of the Internal Revenue Code.3.3A cafeteria plan can be provided to employees:a.b.Under a salary reduction agreement using pre-tax dollars, in whichcase any amounts attributable to a cafeteria plan shall not reducean employee's base pay; orBy a means other than a salary-reduction agreement, in which caseany amounts attributable to a cafeteria plan shall not be consideredpart of an employee's base pay.286.2003.4All hours compensated, up to the full-time schedule certified by theemployer, shall be reported at the straight time hourly rate of pay.286.025(3)3.5Contributions shall not be made on any form of compensation notspecifically set forth in Policy 3.1 or NRS 286.025.286.3913.6A member who is an employee of a public employer who goes on leaveto work for a recognized employee or employer association maycontinue contributing through the public employer. The publicemployer is not responsible to pay the employer contribution.286.4603.7The public employer shall pay all of the employee and employercontributions, plus interest, within 90 days if it is determined that anemployee who is eligible for membership was not properly enrolled in12
the System. The public employer is entitled to recover the employeecontributions, and interest thereon, from the employee.286.410(5)3.8Subject to Policies 12.8 and 12.9, the System guarantees each member,or the member's beneficiary or estate, the return of total employeecontributions in either a refund or monthly benefit.EMPLOYEE/EMPLOYER CONTRIBUTION PLAN286.4103.9The matching contribution rate for regular members under theemployee/employer plan shall be effective on the first monthlyretirement reporting period commencing on or after July 1 of each oddnumbered year based on the actuarially determined contribution ratethat is included in the actuarial valuation of the preceding year andadjusted as follows:a.b.286.4103.10If the existing rate is lower than the actuarially determined rate andthe difference is greater than one quarter of one percent, the ratemust be increased and rounded to the nearest one-quarter of onepercent.If the existing rate is higher than the actuarially determined rateand the difference is greater than one percent, the rate must bereduced by the amount by which it exceeds one percent above theactuarially determined rate and rounded to the nearest one-quarterof one percent.Future contribution rate increases detailed in Policy 3.9 shall be sharedequally by the member and public employer.EMPLOYER-PAY CONTRIBUTION PLAN286.4213.11The employer-pay contribution plan is a non-contributory employerpension plan and all contributions are employer contributions.286.4213.12Contributions under the employer-pay contribution plan for regularmembers shall be effective as specified in Policy 3.9 and adjusted asfollows:a.bIf the existing rate is lower than the actuarially determined rate andthe difference is greater than one half of one percent, the rate mustbe increased and rounded to the nearest one-quarter of one percent.If the existing rate is higher than the actuarially determined rateand the difference is greater than two percent, the rate must bereduced by the amount by which it exceeds two percent above theactuarially determined rate and rounded to the nearest one-quarterof one percent.13
286.421(3)3.13The employer-pay contribution plan must be adopted in lieu of anequivalent salary increase or by salary reduction but not by using thepercentage difference of the two as either a positive or negative factor toadjust salary. Elected officials of political subdivisions, district judges,Court of Appeals, and justices of the Supreme Court shall not beaffected by this adjustment.286.421(8)3.14The employer-pay contribution plan for regular members shall beequally divided between employee and employer for the purposes ofadjusting salary increases or salary reductions.286.421(8)3.15Future contribution rate increases detailed in Policy 3.9 shall be sharedequally by the member and public employer with the member's portionbeing in lieu of equivalent salary increases or by salary reduction butnot by using the percentage difference of the two as either a positive ornegative factor to adjust salary. Elected officials of politicalsubdivisions, district judges, Court of Appeals, and justices of theSupreme Court shall not be affected by this adjustment.286.2003.16Elected officials of political subdivisions who are members of theSystem and under the employer-pay contribution plan as of June 30,1983, shall have their average compensation adjusted upwardcommensurate with the in-lieu-of-salary-increase adjustment or salaryreduction factor.286.2003.17Elected officials of political subdivisions may go under the employerpay contribution plan effective January 1, 1984, without the in-lieu-ofequivalent-sal
286.510 1.20 IMMEDIATE FAMILY - The employee's parents, spouse, children, regardless of age, brothers, sisters, grandparents, great-grandparents, uncles, aunts, nephews, grandchildren, nieces, great-grandchildren and stepparents. 286.293 286.297 1.21 INTERMITTENT POSITION - A position for which no regular work schedule exists.
