January 29, 2013
HOUSE BILL No. 1560
_____
DIGEST OF HB 1560
(Updated January 29, 2013 10:39 am - DI 96)
Citations Affected: IC 20-26.
Synopsis: Rollovers of school retirement accounts. Provides that
whenever a school corporation closes future contributions to a
retirement, savings, or investment plan described under Section 401(a)
or Section 403(b) of the Internal Revenue Code, a participant in the
plan, without regard to the participant's age or employment status, may
elect to rollover the balance invested in that plan to: (1) another eligible
retirement, savings, or investment plan offered by the school
corporation; or (2) an individual retirement account or annuity
described under Section 408(a) or Section 408(b) of the Internal
Revenue Code.
Effective: July 1, 2013.
January 22, 2013, read first time and referred to Committee on Employment, Labor and
Pensions.
January 29, 2013, reported _ Do Pass.
January 29, 2013
First Regular Session 118th General Assembly (2013)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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HOUSE BILL No. 1560
A BILL FOR AN ACT to amend the Indiana Code concerning
pensions.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 20-26-5-34; (13)HB1560.1.1. -->
SECTION 1. IC 20-26-5-34 IS ADDED TO THE INDIANA CODE
AS A
NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2013]:
Sec. 34. (a) This section applies to a school corporation
that, after June 30, 2013, establishes, amends, renews, or modifies
a retirement, savings, or severance plan described under Section
401(a), Section 403(b), or another applicable section of the Internal
Revenue Code that requires or permits an individual employed by
the school corporation to:
(1) contribute amounts; or
(2) have amounts contributed by the school corporation on the
employee's behalf;
that are credited and allocated to an account for each employee.
(b) As used in this section, "Internal Revenue Code" has the
meaning set forth in IC 6-3-1-11.
(c) To the extent permitted by federal law, whenever a school
corporation closes a retirement, savings, or investment plan to
future contributions, a participant in the plan, without regard to
the participant's age or employment status, may elect to rollover
the balance invested in the closed plan to:
(1) another eligible retirement, savings, or investment plan
offered by the school corporation; or
(2) an individual retirement account or annuity described
under Section 408(a) or Section 408(b) of the Internal
Revenue Code.
(d) This section does not apply to or abrogate a written or oral
contract or agreement in effect on July 1, 2013.