Sec. 1. (a) This chapter applies only to an employee beneficiary who:

(1) is hired for the first time after June 30, 1987; or

(2) chooses coverage by this chapter under subsection (b).

(b) Subject to subsection (c), an employee beneficiary who is hired for the first time before July 1, 1987, may choose to be covered by this chapter instead of IC 10-12-3 if the employee files an election with the trustee before July 1, 1988. An election filed under this subsection is irrevocable and, except as provided in subsection (d), takes effect after twelve (12) months of service as an eligible employee following the filing of the election.

(c) This chapter is applicable only if the general assembly provides sufficient funding for the increased cost of the benefits provided by this chapter. If this chapter is not applicable, then IC 10-12-3 applies to all employee beneficiaries regardless of when hired for the first time.

(d) If an employee beneficiary's mandatory retirement date occurs during the twelve (12) months following the filing of an election under subsection (b), the election takes effect only if:

(1) the employee beneficiary serves as an eligible employee until the mandatory retirement date; and

(2) the employee beneficiary pays to the trust fund a lump sum equal to the remaining deductions that would have been made from the employee beneficiary's wages under this chapter during the twelve (12) months following the election if the employee beneficiary had not retired.

The election takes effect on the mandatory retirement date or the date when the lump sum payment is made, whichever is later.

[Pre-2003 Recodification Citation: 10-1-2.3-1.]

As added by P.L.2-2003, SEC.3.