Ind. Code ch. 21-38-7

in effect

Ind. Code § 21-38-7-1 Applicability of chapter

Sec. 1. This chapter applies to a state educational institution that had at least one (1) employee who was a fund member on July 1, 1980. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-0.5.] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-2 Interpretation

Sec. 2. This chapter does not limit the authority given to a state educational institution under any other law. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-4.] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-3 Power of state educational institutions to establish retirement benefit system

Sec. 3. Subject to IC 5-10.2-2-20 through IC 5-10.2-2-22, a state educational institution may establish a retirement benefit system for the employees of the state educational institution. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(a).] As added by P.L.2-2007, SEC.279. Amended by P.L.241-2015, SEC.44; P.L.149-2016, SEC.58.

Ind. Code § 21-38-7-4 Restricted participation in retirement benefit system

Sec. 4. An employee may not be both an active: (1) fund member; and (2) retirement benefit system participant; at the same time. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(j).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-5 Participation in retirement benefit system

Sec. 5. If a state educational institution establishes a retirement benefit system that includes as participants employees who otherwise qualify as fund members, the state educational institution must allow an employee who otherwise qualifies as a fund member to elect whether to participate in the retirement benefit system. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(b).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-6 Employee election to participate in retirement benefit system

Sec. 6. An employee's election under section 5 of this chapter must be in writing and is not effective until filed with the state educational institution. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(h).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-7 Noncontributing fund members; date participation is effective

Sec. 7. If an employee is not a contributing fund member at the time the employee is initially hired by a state educational institution that has established a retirement benefit system, the employee may file an election under section 5 of this chapter to participate in the employer's retirement benefit system not later than sixty (60) calendar days after the employee's initial employment date. The election is effective as if it had been made on the employee's initial employment date. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(g).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-8 Contributing fund members; date participation is effective

Sec. 8. If an employee is a contributing fund member at the time the employee elects under section 5 of this chapter to participate in a retirement benefit system: (1) the employee's rights in the fund on the date the employee's election is effective are the same as if the employee had terminated employment on that date; and (2) the employee's election and suspension of membership in the fund are effective on July 1 immediately following the date the employee files the election with the state educational institution. [Pre-2007 Higher Education Recodification Citations: 21-6.1-8-2(f); 21-6.1-8-2(c).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-9 Prohibition on rejoining fund

Sec. 9. After an employee's election under section 5 of this chapter becomes effective, the employee is not entitled to rejoin the fund while the employee remains employed by the state educational institution. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(e).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-10 Service credit

Sec. 10. The service of an employee who is participating in a retirement benefit system may not be used to earn service credit, years of service, or for any other purpose by the fund. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(d).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-11 State educational institutions; duties

Sec. 11. The state educational institution shall inform the board of trustees of the fund of: (1) the employee's election to participate in the retirement benefit system established by the state educational institution; and (2) the effective date of the employee's election. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-2(i).] As added by P.L.2-2007, SEC.279.

Ind. Code § 21-38-7-12 Amount of state contribution

Sec. 12. (a) If a state educational institution establishes a retirement benefit system applicable to employees of the institution who otherwise qualify as members of the fund under IC 5-10.4-4-1, the general assembly shall appropriate to a state educational institution that establishes a retirement benefit system to fund the retirement benefit system an amount estimated to be equal to seven and four-tenths percent (7.4%) of the compensation of an employee who: (1) makes the election described in section 5 of this chapter; and (2) becomes a participant in the retirement benefit system of the state educational institution for all or a part of the period of the appropriation. (b) The state educational institution shall: (1) estimate the sum described in subsection (a); and (2) submit the estimate to the budget agency and to the commission for higher education for inclusion in the operating appropriation of the state educational institution. (c) The estimate described in subsection (b) must be submitted at the same time but separately from the request of the state educational institution for an operating appropriation. [Pre-2007 Higher Education Recodification Citation: 21-6.1-8-3.] As added by P.L.2-2007, SEC.279.

Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/21Fetched: 10/17/2026