Montana Code 19-3-2102. Defined contribution plan established — assets to be held in trust — contracted services
19-3-2102. Defined contribution plan established — assets to be held in trust — contracted services. (1) The board shall establish within the public employees’ retirement system a defined contribution plan in accordance with the provisions of this part. The plan must be established as a pension plan for the exclusive benefit of members and their beneficiaries and as a “qualified governmental plan” pursuant to section 401(a) of the Internal Revenue Code and its implementing regulations. Retirement accounts must be established for each member of the defined contribution plan. Assets of the plan, including assets of the long-term disability plan pursuant to 19-3-2141, must be held in trust. The plan is established in addition to any retirement, pension, deferred compensation, or other benefit plan administered by the state or a political subdivision.
Terms Used In Montana Code 19-3-2102
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Compensation: means remuneration paid out of funds controlled by an employer in payment for the member's services or for time during which the member is excused from work because of a holiday or because the member has taken compensatory leave, sick leave, annual leave, banked holiday time, or a leave of absence before any pretax deductions allowed by state or federal law are made. See Montana Code 19-3-108
- Contract: A legal written agreement that becomes binding when signed.
- defined contribution plan: means the defined contribution retirement plan. See Montana Code 19-3-2101
- Member: means a person with a retirement account in the defined contribution plan. See Montana Code 19-3-2101
- Process: means a writ or summons issued in the course of judicial proceedings. See Montana Code 1-1-202
- retirement system: means the public employees' retirement system established in 19-3-103. See Montana Code 19-3-108
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
(2)The board may contract for plan administration and use a competitive bidding process when contracting for consulting, educational, investment, recordkeeping, or other services for the plan.