HOUSE BILL No. 5170

 

September 5, 2007, Introduced by Reps. Wenke and Nitz and referred to the Committee on Government Operations.

 

     A bill to amend 1986 PA 182, entitled

 

"State police retirement act of 1986,"

 

by amending sections 7 and 24 (MCL 38.1607 and 38.1624).

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7. (1) A member of the retirement board, upon

 

appointment, shall take an oath of office, which shall be filed

 

immediately in the office of the secretary of state.

 

     (2) The business which the retirement board may perform

 

performs shall be conducted at a public meeting of the retirement

 

board held in compliance with the open meetings act, Act No. 267 of

 

the Public Acts of 1976, being sections 15.261 to 15.275 of the

 

Michigan Compiled Laws 1976 PA 267, MCL 15.261 to 15.275. Public

 

notice of the time, date, and place of the meeting shall be given

 

in the manner required by Act No. 267 of the Public Acts of 1976


 

the open meetings act, 1976 PA 267, MCL 15.261 to 15.275. A

 

majority of the retirement board constitutes a quorum for the

 

transaction of business at a meeting of the board. A member of the

 

retirement board who fails to attend 3 consecutive regularly

 

scheduled meetings of the board, without valid excuse, shall be

 

considered as having resigned from retirement board membership, and

 

the retirement board shall declare by resolution the member's

 

office vacated as of the date of adoption of the resolution.

 

     (3) A writing prepared, owned, used, in the possession of, or

 

retained by the retirement board in the performance of an official

 

function shall be made available to the public in compliance with

 

the freedom of information act, Act No. 442 of the Public Acts of

 

1976, being sections 15.231 to 15.246 of the Michigan Compiled Laws

 

1976 PA 442, MCL 15.231 to 15.246.

 

     (4) The retirement board may promulgate rules pursuant to the

 

administrative procedures act of 1969, Act No. 306 of the Public

 

Acts of 1969, being sections 24.201 to 24.328 of the Michigan

 

Compiled Laws 1969 PA 306, MCL 24.201 to 24.328, for the

 

implementation and administration of this act.

 

     (5) The retirement board shall conduct a cost analysis of the

 

defined benefit retirement program that shall be completed on or

 

before January 2, 2008. The retirement board shall implement a

 

retirement benefit program for parties hired on and after July 1,

 

2008 that has a cost no greater than a defined contribution

 

retirement system would have.

 

     Sec. 24. (1) A Except as may otherwise be provided in section

 

7(5), a member who has 25 years or more of credited service under


 

this act or former Act No. 251 of the Public Acts of 1935 1935 PA

 

251, or both, may retire upon his or her written application to the

 

retirement board, stating a date, not less than 30 nor more than 90

 

days after the execution and filing of the application, he or she

 

desires to retire. However, a member who becomes 56 years of age

 

shall retire. A member retiring under this subsection shall be

 

entitled to receive a retirement allowance equal to 60% of his or

 

her final average compensation.

 

     (2) If a retirant receiving a retirement allowance under

 

subsection (1) dies, the retirement allowance shall continue to be

 

paid to the surviving spouse of the retirant for the rest of the

 

spouse's life. If there is not a surviving spouse or upon the

 

spouse's death, then the retirement allowance shall be paid to the

 

children under the age of 18 of the retirant, share and share

 

alike. If the surviving spouse dies and there are not eligible

 

children, there shall be paid to the retirant's estate or his or

 

her legal representative any residual accumulated contributions and

 

interest made by the retirant into the fund.

 

     (3) If the director of the department of state police orders

 

the retirement of any member eligible to retire for reason or

 

reasons other than having become 56 years of age, and that member

 

is aggrieved by the order, the member so affected shall be entitled

 

to appeal to the retirement board. An appeal shall be in writing

 

and filed with the retirement board within 30 days after receipt of

 

the order of retirement. The retirement board shall set the appeal

 

for hearing within 30 days after the filing of the appeal and shall

 

review the facts as presented and determine whether the order of


 

retirement shall continue or be revoked.