Oklahoma § 20-1110 - Termination of plan

§ 20-1110. Termination of plan

(1) In the event a plan of the Retirement System is terminated

or in the event of complete discontinuation of contributions or is

partially terminated, the right of all participants or in the event

of partial termination the rights of the affected participants,

whether retired or otherwise, shall become fully vested.

(2) In the event of termination of the plan, the board of

trustees shall distribute the net assets of the fund, allowing a

period of not less than six (6) nor more than nine (9) months for

dissolution of disability claims, as follows:

(a) First, accumulated contributions shall be allocated to each

respective participant, former participant, retired member, joint

annuitant or beneficiary then receiving payments. If these assets

are insufficient for this purpose, they shall be allocated to each

such person in the proportion which his accumulated contributions

bear to the total of all such participants' accumulated

contributions. For purposes of this section, contribution means

payment into the System by an employer or employee for the benefit

of an individual employee.

(b) The balance of such assets, if any, remaining after making

the allocations provided in subparagraph (a) of this section shall

be disposed of by allocating to each person then having an interest

Oklahoma Statutes - Title 20. Courts

in the fund the excess of his retirement income under the plan less

the retirement income which is equal to the actuarial equivalent of

the amount allocated to him under subparagraph (a) of this section.

Such allocation shall be made with the full amount of the remaining

assets to be allocated to the persons in each group in the following

order of precedence:

(i) those retired members, joint annuitants or

beneficiaries receiving benefits,

(ii) those members eligible to retire,

(iii) those members eligible for early retirement,

(iv) former participants electing to receive a vested

benefit, and

(v) all other members.

In the event the balance of the fund remaining after all

allocations have been made with respect to all retirement income in

a preceding group is insufficient to allocate the full actuarial

equivalent of such retirement income to all persons in the group for

which it is then being applied, such balance of the fund shall be

allocated to each person in such group in the proportion which the

actuarial equivalent of the retirement income allocable to him

pursuant to such group bears to the total actuarial equivalent of

the retirement income so allocable to all persons in such group.

Provided no discrimination in value results, the board of

trustees shall distribute the amounts so allocated in one of the

following manners as the board of trustees in their discretion may

determine:

(i) by continuing payment of benefits as they become due,

or

(ii) by paying, in cash, the amount allocated to any such

person.

Added by Laws 1978, c. 279, § 1, emerg. eff. May 10, 1978. Amended

by Laws 1979, c. 255, § 5, eff. July 1, 1979.