94- 411 C.M.R. ch. 401, § 4

Current through 2025-03, January 15, 2025
Section 411-401-4 - Participating District Employees Membership
A. Prior to July 1, 1984, participating district employees who are less than full-time, regular, will be permitted membership in the Maine State Retirement System on the basis of personnel rules or regulations which have been adopted by the participating local district, if such rules or regulations do not conflict with existing statutes or legal opinions.
B. The following provisions shall apply to employees of participating local districts hired on or after January 1, 1987:
(1) Regardless of employment status, an employee shall be a member of the Retirement System from the first day of employment if his job description is one that would require him to work more than 15 hours per week and accumulate at least 720 hours in a period of 12 consecutive months. "First day of employment" shall mean the first day on which the employee reports for work.
(2) Regardless of his job description or if no job description exists, any employee who has worked more than 15 hours per week and has accumulated at least 720 hours in a period of 12 consecutive months shall become a member of the Retirement System as of the first day of the first pay period following the end of the 12 month period.
(3) In the case of employees who share a job whose description would require membership, each employee shall be a member of the Retirement System regardless of the number of hours worked.
(4) Any employee who accumulates more than 1,170 hours in 18 consecutive months or less shall become a member of the Retirement System as of the first day of the first pay period following the end of the 18 month period.
(5) Any employee who must become a member of the Retirement System pursuant to paragraphs 2 or 4 shall have the option of purchasing creditable service time back to the beginning of the 12 month period described in paragraph 2 or the 18 month period described in paragraph 4.
(6) Upon qualifying for membership in the Retirement System under this rule, an employee shall become and remain a member, regardless of the number of hours worked, as long as that employee works for the same employer. Only an employee who terminates employment, withdraws his accumulated contributions, and does not return to employment with the same employer within two (2) years from the date on which he was last employed, must requalify for membership under this rule.
C. The following provisions apply to employees of participating local districts hired on or after July 1, 1984, but before January 1, 1987:
(1) Any employee hired on or after July 1, 1984, but before January 1, 1987, who is not a member of the Retirement System, and who worked more than 15 hours per week and 720 hours in a period of 12 months or 1,170 hours in a period of 18 months must become a member of the Retirement System beginning with the first payroll after January 1, 1987, and shall continue membership while an employee of the same employer. Any employee hired on or after July 1, 1984, but before January 1, 1987, who is not a member of the Retirement System, and who did not work more than 15 hours per week and 720 hours in a period of 12 months or 1,170 hours in a period of 18 months, shall be given an option, to be exercised before July 1, 1987, to become a member of the System, and to continue membership while an employee of the same employer regardless of the number of hours worked.

Any such employee who becomes a member of the System under the preceding paragraph may also elect to purchase the service credit that would have accrued had the employee joined the Retirement System on the first day of employment. Any such employee who becomes a member of the System who had service with another participating local district during the period July 1, 1984, to January 1, 1987, may also purchase service credits for that period of employment. Payment of any back contributions shall begin with the payroll immediately following notice from the Retirement System of the amount due. The repayment must be made according to the rules of the Retirement System governing repayments.

Before January 1, 1987, written notice of these options shall be sent by 1st class mail or otherwise be given by each employer to all affected employees, including former employees. Mail notice shall be sent to the last known address of the former employees. In order to exercise these options, written notification must be received by the employer on or before June 30, 1987, and a copy promptly sent to the Retirement System offices. Failure to exercise these options within the time allotted shall make the employee's previous service non-creditable, and shall constitute a waiver of repurchase rights.

This subparagraph does not apply to any employee who elected not be a member under 5 MRSA, §18252(1).

(2) Current employees hired on or after July 1, 1984, but before January 1, 1987, who did not work more than 15 hours per week and 720 hours in a period of 12 months or 1,170 in 18 months, and who became members of the Retirement System at the time of hire shall have an option, to be exercised before July 1, 1987, to terminate their membership and obtain a return of their contributions and accumulated interest. This option shall be presented to affected employees, and exercised, as above. Failure to exercise this limited option within the time allotted shall constitute a final rejection of the option.
D. In lieu of the provisions of paragraph B, a participating local district may elect to require that, except as provided in subsection E, regardless of employment status, all persons in the employ of a participating local district on June 30, 1991, who are not members of the Retirement System, shall become members as of July 1, 1991, and any employee of a participating local district hired after June 30, 1991, shall become a member of the Retirement System from the first day of employment.
E. On and after January 1, 1992, membership in the Maine State Retirement System for part-time, seasonal or temporary employees is governed by Chapter 802 of the Board's rules. For purposes of this subsection, "part-time, seasonal or temporary employee" means a part-time, seasonal or temporary employee as defined by 26 CFR Part 31 and by Chapter 802.
F. The requirements of paragraphs A, B, C and D are subject to the following exceptions:
(1) A retired participating local district employee receiving a retirement benefit from the Retirement System may not become a member as an employee of the participating local district from which the employee retired except as provided by 5 MRSA, Section18457.
(2) A person receiving per diem compensation only is not eligible for membership in the System.
(3) A person employed by a school in which he is enrolled as a full-time student is not eligible for membership in the System.
(4) Membership is optional for elected officials, officials appointed for a fixed term and a chief administrative officer of a participating local district.
(5) The options provided by 5 MRSA §18252 are available only to employees who are employees of participating local districts having Section 218 agreements and who were covered by the United States Social Security Act under the Section 218 agreement prior to July 1, 1991.
(6) The requirements of paragraphs A. B and C do not apply to any class of employees, otherwise provided for by local pension provisions, who are exempt from coverage at the time that a municipality approves participation in the Retirement System.
(7) Membership is optional for employees in the service of a participating local district on the date that participating local district begins.
(8) A person employed as an election worker who is not paid more than $100 in a year is not eligible for membership in the System.
(9) A volunteer fire fighter is not eligible for membership in the System.
(10) Persons hired to respond to a natural disaster are not eligible for membership.

94- 411 C.M.R. ch. 401, § 4