Citations Affected: IC 5-10-1.1-3.5.
Synopsis: State employee deferred compensation contributions. Conference committee report
for ESB 248. Increases to 2% the amount of a state employee's base salary contributed during the
first year the employee is automatically enrolled in the state's deferred compensation plan (plan),
if that amount is greater than the maximum state match. (Currently, a state employee's
contribution in the first year the employee is automatically enrolled in the plan is the greater of:
(1) the maximum state match; or (2) 0.5% of the employee's base salary.) (This conference
committee report removes provisions that: (1) authorize the payment of a qualified
domestic relations order by the legislators' defined contribution fund; and (2) exempt
criminal offenders in a facility: (A) operated by the department of correction; or (B)
operated by a private operator under contract with the department of correction; from
certain provisions concerning the frequency of wage payment and wage claims.)
Effective: July 1, 2013.
MADAM PRESIDENT:
Your Conference Committee appointed to confer with a like committee from the House
upon Engrossed House Amendments to Engrossed Senate Bill No. 248 respectfully reports
that said two committees have conferred and agreed as follows to wit:
that the Senate recede from its dissent from all House amendments and that
the Senate now concur in all House amendments to the bill and that the bill
be further amended as follows:
Delete the title and insert the following:
A BILL FOR AN ACT to amend the Indiana Code concerning
pensions.
Delete everything after the enacting clause and insert the following:
the color of the employee's paycheck;
(2) contain a statement concerning:
(A) the purposes of;
(B) procedures for notifying the state that the employee does
not want to enroll in;
(C) the tax consequences of; and
(D) the details of the state match for employee contribution to;
the deferred compensation plan; and
(3) list the telephone number, electronic mail address, and other
contact information for the auditor of state, who serves as plan
administrator.
(d) This subsection applies to contributions made before July 1,
2011. Notwithstanding IC 22-2-6, except as provided by subsection (g),
(h), the state shall deduct from an employee's compensation as a
contribution to the deferred compensation plan established by the state
under this chapter an amount equal to the maximum amount of any
match provided by the state on behalf of the employee to a defined
contribution plan established under section 1.5(a) of this chapter.
(e) This subsection applies to contributions made after June 30,
2011, and before July 1, 2013. Notwithstanding IC 22-2-6 and except
as provided by subsection (g), (h), during the first year an employee is
enrolled under subsection (b) in the deferred compensation plan, the
state shall deduct each pay period from the employee's compensation
as a contribution to the deferred compensation plan an amount equal
to the greater of the following:
(1) The maximum amount of any match provided by the state on
behalf of the employee to a defined contribution plan established
under section 1.5(a) of this chapter.
(2) One-half percent (0.5%) of the employee's base salary.
(f) This subsection applies to contributions made after June 30,
2013. Notwithstanding IC 22-2-6 and except as provided by
subsection (h), during the first year an employee is enrolled under
subsection (b) in the deferred compensation plan, the state shall
deduct each pay period from the employee's compensation as a
contribution to the deferred compensation plan an amount equal
to the greater of the following:
(1) The maximum amount of any match provided by the state
on behalf of the employee to a defined contribution plan
established under section 1.5(a) of this chapter.
(2) Two percent (2%) of the employee's base salary.
(f) (g) This subsection applies to a year:
(1) after the first year in which an employee is enrolled in the
deferred compensation plan; and
(2) in which the employee does not affirmatively choose a
contribution amount under subsection (g). (h).
The percentage of the employee's base salary used for the year in
subsection (e)(2) or (f)(2) to determine the employee's contribution
increases by one-half percent (0.5%) from the percentage determined
in the immediately preceding year. for five (5) years. The maximum
percentage of an employee's base salary that may be deducted under
this subsection is three percent (3%). The contribution increase occurs
on the anniversary date of the employee's enrollment in the deferred
compensation plan.
(g) (h) An employee may contribute to the deferred compensation
plan established by the state under this chapter an amount other than
the amount described in subsections (d) through (f) (g) by affirmatively
choosing to contribute:
(1) a higher amount;
(2) a lower amount; or
(3) zero (0).
(Reference is to ESB 248 as reprinted March 26, 2013.)
S
igned by:
____________________________ ____________________________
Senator WalkerRepresentative Steuerwald
Chairperson
____________________________ ____________________________
Senator TallianRepresentative Niezgodski
Senate Conferees House Conferees