New Jersey § 18a:66-173

§ 18a:66-173.

(a) When a member of the Teachers' Pension and Annuity Fund or the Public Employees'

Retirement System or the Police and Firemen's Retirement System elects to transfer

to an alternate benefit program by filing the proper application form declaring his

election to participate in such alternate benefit program, the respective retirement

system shall transfer the amount of his accumulated deductions as of the date of transfer

to his individual account in the program. (b) There shall also be transferred from the contingent reserve fund or the pension

fund of the Teachers' Pension and Annuity Fund or the Public Employees' Retirement

System or the Police and Firemen's Retirement System or from the Group Annuity Plan

to the individual's account in the alternate benefit program, the pension reserve

required as of the date of his transfer to provide a pension for each year of service

credited to the account of the member as set forth in N.J.S.18A:66-36 or N.J.S.18A:66-44 or as set forth in section 38 or section 48 of P.L.1954, c. 84 as such sections have

been amended and supplemented as of July 1, 1969 ( C.43:15A-38 , C.43:15A-48 ) or as set forth in section 17 of P.L.1964, c. 241 ( C.43:16A-11.2 ) or section 5 of P.L.1944, c. 255 ( C.43:16A-5 ) or for each year of service credited under the Group Annuity Plan. Such transfer from the contingent reserve fund or the pension fund of the Teachers'

Pension and Annuity Fund or the Public Employees' Retirement System or the Police

and Firemen's Retirement System or the Group Annuity Plan shall be made at the time

of the member's transfer to the alternate benefit program in the case of any such

member who has then met the eligibility requirements for a pension under the aforementioned N.J.S.18A:66-36 , or N.J.S.18A:66-44 , or section 38 or section 48 of P.L.1954, c. 84 ( C.43:15A-38 , C.43:15A-48 ) or section 17 of P.L.1964, c. 241 ( C.43:16A-11.2 ) or section 5 of P.L.1944, c. 255 ( C.43:16A-5 ) or the Group Annuity Plan. In the case of any member who elects to participate in the alternate benefit program

who has not then met the eligibility requirements for a pension under N.J.S.18A:66-36 or N.J.S.18A:66-44 , or under section 38 or section 48 of P.L.1954, c. 84 ( C.43:15A-38 , C.43:15A-48 ) or section 17 of P.L.1964, c. 241 ( C.43:16A-11.2 ) or section 5 of P.L.1944, c. 255 ( C.43:16A-5 ) or under the Group Annuity Plan, the transfer from the contingent reserve fund or

the pension fund of the Teachers' Pension and Annuity Fund or the Public Employees'

Retirement System or the Police and Firemen's Retirement System or the Group Annuity

Plan shall be effected at the time such requirements have been met, taking into account

for the purpose of such eligibility requirement his years of membership service at

the time of his election and his subsequent years of service as a full-time member

of the faculty of Rutgers, The State University, the New Jersey Institute of Technology,

Rowan University, Montclair State University, Kean University, or the State or county colleges or as an eligible employee of the Department of Higher

Education, or at the time he shall have 10 years of credit for New Jersey service

and becomes physically incapacitated for the performance of duty if he had been a

member of the Teachers' Pension and Annuity Fund or the Public Employees' Retirement

System or the Police and Firemen's Retirement System as of the date of transfer. The annuity to be used in determining the amount of pension is the actuarial equivalent

of the member's accumulated deductions transferred from the Teachers' Pension and

Annuity Fund or the Public Employees' Retirement System or the Police and Firemen's

Retirement System to the date the member attains 60 years of age, if subsequent to

the date of election. The amount of pension is that established by formula within N.J.S.18A:66-44 or section 48 of P.L.1954, c. 84 as such sections have been amended and supplemented as of July

1, 1969 ( C.43:15A-48 ) or section 5 of P.L.1944, c. 255 ( C.43:16A-5 ) or under the Group Annuity Plan, and changes to N.J.S.18A:66-44 or section 48 of P.L.1954, c. 84 ( C.43:15A-48 ) or section 5 of P.L.1944, c. 255 ( C.43:16A-5 ) enacted subsequent to this act or the Group Annuity Plan shall have no application

to the provisions of this act. In the event that the eligibility requirement under N.J.S.18A:66-36 or under section 38 of P.L.1954, c. 84 ( C.43:15A-38 ) or section 17 of P.L.1964, c. 241 ( C.43:16A-11.2 ) or under the Group Annuity Plan is changed at some future date to permit members

to become eligible for such benefit prior to the completion of 15 years of service,

the transfer of the reserve from the contingent reserve fund or the pension fund of

the Teachers' Pension and Annuity Fund or the Public Employees' Retirement System

or the Police and Firemen's Retirement System or from the Group Annuity Plan shall

be effective as of the date the member who had elected the alternate benefit program

meets the amended eligibility requirement or the effective date of the amendment,

whichever is later. In the event an option is available with respect to the distribution of employee and

employer contributions between fixed and variable annuities under the alternate benefit

program, the employee shall have the right to determine the percentage distribution

of these funds subject to any limitations imposed by the designated insurer or insurers. (c) No transfer of pension reserves shall be made pursuant to this section where more

than two consecutive years elapse in which no employer contributions to an alternate

benefit program are required.