Section 589 - Establishment and Status of Plan(a) Establishment. (1) There is hereby established and adopted a retirement plan entitled the California Public Employees' Retirement System Replacement Benefits Plan (the "Plan") to restore the annual retirement benefits otherwise earned by Members of CalPERS but which are limited by the rules of Section 415 of the Internal Revenue Code of 1986, as amended ("Tax Code"). CalPERS is a tax qualified plan under Section 401(a) of the Tax Code and is a governmental plan as defined in Section 414(d) of the Tax Code.(2) This Plan is established pursuant to the provisions of Section 401(m) of the Tax Code and Section 21757 of the Government Code. This Plan constitutes the regulations that implement Part 3.4 of the Government Code, as provided in Section 21760 thereof.(3) The state, each school employer, and each contracting agency is deemed to have elected to contract with the Board of CalPERS for administration of this Plan, pursuant to Government Code Section 21761.(b) Effective Date. (1) This Plan shall be effective as of January 1, 1999, and benefits shall be payable from this Plan on and after that date.(2) Benefits shall be paid to CalPERS Members with respect to periods beginning on and after the Effective Date for which their CalPERS benefits are limited by Section 415.(3) In addition, benefits with respect to periods prior to the Effective Date and on and after January 1, 1993, shall be payable under this Plan as provided in Sections 589.2 and 589.3 below.(c) "Portion of CalPERS"--This Plan shall be deemed to be a "portion" of CalPERS and each retirement plan which exists as a part of CalPERS solely to the extent required by, and within the meaning of, Section 415(m)(3) as in effect on January 1, 2000, and not for any other purpose.(d) Purpose and Tax Status of this Plan--In accordance with Section 415(m), this Plan is solely for the purpose of providing to Members of CalPERS, and Other Recipients that part of the annual benefit otherwise earned under CalPERS that exceeds the limitations on benefits imposed by Section 415.Cal. Code Regs. Tit. 2, § 589
1. New article 8 (sections 589-589.10) and section filed 1-25-2001; operative 1-25-2001 pursuant to Government Code section 11343.4(c). Submitted to OAL for printing only (Register 2001, No. 4).
2. Amendment of subsection (a)(3) filed 11-18-2002; operative 12-18-2002. Submitted to OAL for printing only pursuant to Government Code section 21760 (Register 2002, No. 47). Note: Authority cited: Section 20120, 20121 and 21760, Government Code. Reference: Section 21757, Government Code.
1. New article 8 (sections 589-589.10) and section filed 1-25-2001; operative 1-25-2001 pursuant to Government Code section 11343.4(c). Submitted to OAL for printing only (Register 2001, No. 4).
2. Amendment of subsection (a)(3) filed 11-18-2002; operative 12-18-2002. Submitted to OAL for printing only pursuant to Government Code section 21760 (Register 2002, No. 47).