Okla. Stat. tit. 70, § 70-17-116.2A

Employees of entities or institutions - Retroactive election or

removal of maximum compensation level.

A. Except as otherwise provided by this section, an active

contributing member of the retirement system who performed

membership service as an employee of a comprehensive university on

or after July 1, 1995, but not later than June 30, 1996, may with

respect to membership service performed between those dates,

inclusive, elect to:

1. Retroactively impose a maximum compensation level of Thirty-

two Thousand Five Hundred Dollars ($32,500.00), if the member was

subject to a maximum compensation level of Twenty-seven Thousand

Five Hundred Dollars ($27,500.00) for service performed on or after

July 1, 1995, but not later than June 30, 1996; or

2. Retroactively impose a maximum compensation level of Forty-

nine Thousand Dollars ($49,000.00), if the member was subject to a

maximum compensation level of Forty-four Thousand Dollars

($44,000.00) for service performed on or after July 1, 1995, but not

later than June 30, 1996.

B. Except as otherwise provided by this section, an active

contributing member of the retirement system who performed

membership service as an employee of an entity or institution within

The Oklahoma State System of Higher Education, other than a

comprehensive university, on or after July 1, 1995, but not later

than June 30, 1996, may with respect to membership service performed

between those dates, inclusive, elect to retroactively remove the

maximum compensation level applicable to the member's compensation

for any service performed during that time period.

C. A member electing a maximum compensation level or removing a

maximum compensation level pursuant to subsection A or subsection B

of this section shall be required to pay to the retirement system

the full amount of employer contributions and employee contributions

applicable for the period of service based upon the elections

authorized by this section, less the amount of employer

contributions and employee contributions made or credited for that

period, plus ten percent (10%) interest from the date such

contributions would have been made until the payment is made to the

retirement system. The interest charged pursuant to this subsection

shall be compounded annually. A member may pay the amount

prescribed by this subsection at any time prior to the date as of

which the member files the written application for retirement with

the retirement system. An entity or institution within The Oklahoma

State System of Higher Education may make payment to the retirement

system for any part or all of the amount required by this subsection

for an employee of that entity or institution in order for

retirement benefits to be computed at the applicable maximum

compensation level for membership service performed on or after July

Oklahoma Statutes - Title 70. Schools Page 780

1, 1995, but not later than June 30, 1996. Any amount paid by an

employer pursuant to this subsection shall be deemed to be picked up

by the employer pursuant to Section 414(h) of the Internal Revenue

Code of 1986, as amended.

D. If a member who elects a retroactive maximum compensation

level or who elects to retroactively remove a maximum compensation

level pursuant to subsection A or subsection B of this section fails

to pay the amount required to receive credit for compensation earned

on or after July 1, 1995, but not later than June 30, 1996, the

member shall receive retirement benefits for this period of service

based upon compensation upon which both the required employer and

employee contributions were actually made.

E. For purposes of computing the retirement allowance of a

member authorized to make the election authorized by subsection A or

subsection B of this section, no member electing a retroactive

maximum compensation level or retroactively removing a maximum

compensation level pursuant to subsection A or subsection B of this
oth the required employer and

employee contributions were actually made.

E. For purposes of computing the retirement allowance of a

member authorized to make the election authorized by subsection A or

subsection B of this section, no member electing a retroactive

maximum compensation level or retroactively removing a maximum

compensation level pursuant to subsection A or subsection B of this

section may receive retirement benefits for the period of service

based upon compensation in excess of the amount of compensation upon

which employer and employee contributions were actually paid unless

full payment to the retirement system is made as required by

subsection C of this section.

F. No provision contained in this section shall be considered

or construed to require payment of any sum by an entity or

institution within The Oklahoma State System of Higher Education of

amounts owed to the retirement system by a member who makes an

election authorized by subsection A or subsection B of this section.

G. A member eligible to make the election authorized by

subsection A or subsection B of this section shall:

1. Make the election in writing, upon a form to be prescribed

by the Board of Trustees; and

2. File the election with the Board of Trustees not later than

December 31, 1996.

H. All elections authorized by the provisions of subsection A

or subsection B of this section shall be permitted once, and only

once, for each employee authorized to make the election. Any

election made pursuant to the provisions of this section shall be

irrevocable and shall bind the employee, the employee's heirs,

beneficiaries and other interested persons, with respect to the

amount of compensation upon which contributions shall be made and

the amount of retirement benefits resulting from the election so

made. Any employee who is eligible to make an election pursuant to

the provisions of this section, but who fails to do so, for whatever

reason, shall forfeit any right or power by the employee to attempt

to exercise the election at any later time. All elections made

pursuant to this section shall be operative only for service

performed and compensation received from an entity or institution

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within The Oklahoma State System of Higher Education and shall not

have any effect with respect to compensation received from any other

participating employer within the Teachers' Retirement System of

Oklahoma.