SECTION 395:10-1-9. Purchase of prior service credit

(a)   A member may receive service credit not to exceed five (5) years of participating service accumulated by the member while an employee of a state agency, or as a commissioned officer with an in-state law enforcement agency. In addition, a member may purchase service credit as a commissioned officer with an out-of-state law enforcement agency, or with a federal law enforcement agency, either as a commissioned officer or in a scientific or technical field, if the member is not receiving or eligible to receive retirement credit or benefits for such service from any other public retirement System. The cost shall be computed in accordance with 47 O.S. § 2-307.5. Application for such prior service must be submitted to the administrative office of the system for computation of purchase cost and must be paid for in full within two (2) years of the member's effective date of membership in OLERS. Such service credit shall not be used in determining the eligibility of the member for retirement or vesting purposes.

(b)   Effective January 1, 1991, all purchases of transferred credited service pursuant to 47 O.S. 2-307.5, shall be based upon the actuarial cost of the incremental projected benefits to be purchased.

(1)   The actuarial cost and any tables formulated for the purpose of determining such cost during each fiscal year, shall be based on the actuarial assumptions utilized in the actuarial valuation report in effect at the time.

(2)   The actuarial value shall be based upon the member's age, salary and service at the time of purchase, together with the earliest age for retirement and actuarially projected salary at time of retirement. For purposes of this actuarial cost, it is assumed that all members are married at the time of retirement. If purchase is not made within (30) days of the Board's approval, the purchase must be recalculated and the actuarial cost may increase.

(3)   For purposes of this actuarial cost, the member's age shall be rounded up or down to the nearest birthday.

(4)   For purposes of this actuarial cost, the mortality tables shall be formulated as a unisex table assuming 1975 Group Annuity Mortality weighted 90% male.

(5)   In the event a member who chooses to purchase service has been employed less than twelve (12) months, his salary shall be annualized based upon the most current completed calendar months of payroll information.

(c)   Military service may be granted in accordance with 47 O.S. § 2-307.4. To receive credit for such service, a DD214 or military discharge should be submitted along with the application for membership in OLERS, or any time prior to commencement of retirement benefits. Such service shall not be used in determining the eligibility of the member for retirement or vesting purposes.

[Source: Amended at 10 Ok Reg 3733, eff 7-12-93; Amended at 20 Ok Reg 962, eff 5-12-03]