Menu
2018 Session

Budget Amendments - SB30 (Floor Approved)

View Budget Item
View Budget Item amendments

VRS Identify and Recover Stranded Liabilities (language only)

Item 474 #8h

Item 474 #8h

Central Appropriations
Central Appropriations

Language

Page 417, strike lines 25 through 32.

Page 417, after line 24, insert:

"O.1. In addition to the contributions required under § 51.1-145 of the Code of Virginia, and notwithstanding any other contrary provisions of the Appropriation Act

or of § 51.1-145, all institutions of higher education that have established their own optional retirement plan under § 51.1-126(B) shall, beginning July 1, 2018, pay contributions to the employer's retirement allowance account in an amount equal to the difference between the total retirement contribution rate required on behalf of State employees and the rate payable by the Commonwealth under § 51.1-126(F)(1) for Optional Retirement Plan for Higher Education employees who became a member on or after July 1, 2010. Such payment shall be made for each employee who began participating in an Optional Retirement Plan for Higher Education under § 51.1-126(B) on or after January 1, 2014, and who, as of that date, was not directly engaged in the performance of teaching duties, with the exception of employees of entities described in § 51.1-126.1, § 51.1-126.3, and Chapter 24 of Title 23.1.

2. Furthermore, the Virginia Retirement System, the Department of Accounts, and the universities of higher education shall work to develop a methodology to identify and report separately personnel services expenditures for university personnel in positions that use to be classified positions but have been transitioned to university staff positions."



Explanation

(This amendment authorizes the Virginia Retirement System to adjust the contribution rate charged for university employees in positions that were transitioned from the defined benefit VRS program to an optional defined contribution retirement plan in order to recover stranded unfunded liability costs.)