EMERGENCY RULES
RETIREMENT SYSTEMS
Date of Adoption: March 27, 2001.
Purpose: In rule adoption WSR 01-01-059, effective January 12, 2001, the department made an inadvertent omission in the adoption of WAC 415-111-220 affecting the current contribution rates for its teachers retirement system (TRS) Plan 3 retirement plans. This emergency adoption corrects the omission, and adds a newly approved provision for the school employees personnel system (SERS) Plan 3. The department is also making grammatical changes.
Citation of Existing Rules Affected by this Order: Amending WAC 415-111-220 Defined contribution rate election.
Statutory Authority for Adoption: RCW 41.50.050(5).
Other Authority: RCW 34.05.350, 41.34.040.
Under RCW 34.05.350 the agency for good cause finds that immediate adoption, amendment, or repeal of a rule is necessary for the preservation of the public health, safety, or general welfare, and that observing the time requirements of notice and opportunity to comment upon adoption of a permanent rule would be contrary to the public interest.
Reasons for this Finding: RCW 41.34.040 provides Options A through C in the emergency rule shown below. In November 1996 the Employee Retirement Benefits Board (ERBB) approved the three additional rate options, D through F, codified in WAC 415-210-020 for TRS Plan 3. The department repealed WAC 415-210-020 at the same time it adopted the current version of WAC 415-111-220. The intent was to transfer the WAC 415-210-020 contribution rate options into WAC 415-111-220. This language was inadvertently omitted. The emergency adoption is necessary to restore codification for an existing program. In addition, on March 27, 2001, the ERBB approved the three additional rate options for SERS Plan 3. The emergency adoption is also necessary to put the SERS change into effect.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0. Effective Date of Rule: Immediately.
March 27, 2001
John Charles
Director
OTS-4749.1
AMENDATORY SECTION(Amending WSR 01-01-059, filed 12/12/00,
effective 1/12/01)
WAC 415-111-220
How do I choose a defined contribution rate
((election.))?
((A Plan 3 member shall)) (1) If you are a member
of the Teachers' Retirement System Plan 3 or the School
Employees' Retirement System Plan 3, you are required to
contribute from ((his or her)) your compensation according to one
of the following rate structures ((described in RCW 41.34.040.
Pursuant to WAC 415-111-110, you bear the responsibility for
completing)):
| Option A | Contribution Rate |
| All ages | 5.0% fixed |
| Option B | |
| Up to age 35 | 5.0% |
| Age 35 to 44 | 6.0% |
| Age 45 and above | 7.5% |
| Option C | |
| Up to age 35 | 6.0% |
| Age 35 to 44 | 7.5% |
| Age 45 and above | 8.5% |
| Option D | |
| All ages | 7.0% |
| Option E | |
| All ages | 10.0% |
| Option F | |
| All ages | 15.0% |
(((1))) (3) Where do I get the form to make my election?
Your employer must provide the appropriate form to ((elect))
choose a contribution rate if you are enrolling ((into)) in Plan
3 or transferring from Plan 2 to Plan 3.
(((2))) (4) When do I have to ((elect)) choose a
contribution rate? You must irrevocably ((elect)) choose a
contribution rate within ninety calendar days from your date of
hire in an eligible position. However, if you are transferring
from Plan 2 to Plan 3, you must ((elect)) choose a contribution
rate ((when)) at the same time you transfer. The ninety-day
period does not apply to a member transferring from Plan 2 to
Plan 3.
(a) Once ((a member elects)) you choose a contribution rate,
contributions will begin the first day of the pay cycle in which
((the member makes the election)) you make the choice.
(b) If ((it is determined that a member)) the department
determines that you should be reported into Plan 3 membership
retroactively, the ninety-day period starts from the date it is
discovered((, as determined by the department, that the member))
that you should have been reported. The department will decide
which date to use.
(c) If you are a Plan 3 member working in eligible positions for more than one employer, you may select a different contribution rate with each employer.
(((3))) (5) What happens if I do not ((make)) choose a
contribution rate ((election))? Pursuant to RCW 41.34.040, you
will be irrevocably assigned to Option A if:
(a) You are a new employee or changing your employer, and do
not ((make)) choose a contribution rate ((election)) within the
ninety-day election period described in subsection (((2))) (4) of
this section; or
(b) You are transferring from Plan 2 to Plan 3 and do not
((make)) choose a contribution rate ((election)) at the time of
transfer. Contributions required under subsection (a) or (b)
shall ((begin)) become effective the first day of the pay cycle
in which you are assigned to Option A.
(((4))) (6) Can I change my contribution rate? Once you
elect a contribution rate or are defaulted into Option A, you
cannot change your contribution rate unless you change employers.
Each time you change employers, you will be allowed the
ninety-day period described in subsection (((2))) (4) of this
section to elect a new contribution rate. ((For the purposes of
this section, employer is defined as each school district and
each educational service district.))
[Statutory Authority: Chapters 41.32, 41.34, 41.35, 41.50 RCW. 01-01-059, 415-111-220, filed 12/12/00, effective 1/12/01.]