19 Del. Admin. Code § 2002-3.0

Current through Register Vol. 28, No. 7, January 1, 2025

Section 2002-3.0 - Credited Service

3.1Definitions:

"Accredited private school or college" as used in 29 Del.C. § 5501 (e)(5) means a private school or college which, during the time the pension applicant was employed there, was accredited by its Regional States Association of Colleges and Secondary Schools or whose students were routinely able to transfer to a school or college accredited by one of the aforesaid Regional Associations without loss of academic credit.

"Application for benefits" as used in 29 Del.C. § 5531, means the date on which the signed written application and other necessary documentation is received by the Office of Pensions or by the employee's agency/school district.

"Approved medical leave" as used in 29 Del.C. § 5501 (9) means that period of time during which a participant is on a properly granted medical leave of absence from the participant's employer.

"Course of professional or vocational training" as used in 29 Del.C. § 5501 (e)(4) means an academic course leading to the attainment of a certificate, diploma or degree, and offered by a public or private, non-profit or proprietary institution as approved or accredited by an appropriate State agency or National/Regional organization. A person engaged in such course of instruction shall have been enrolled on a full-time basis, under regulations of the institution in effect at the time of attendance, and shall have completed the course of instruction in which enrolled, by continuous attendance, so as to complete the course of instruction on a scheduled date. Interruption of attendance may be occasioned only by reason of personal medical problems which militate against regular attendance or full-time military duty during war or other declared emergency.

"During time of war or national emergency" as used in 29 Del.C. § 5501 (e)(4), means all months commencing with the month of September, 1940 and continuing until the Board of Pension Trustees decides that a period of war or national emergency has ceased.

"Full-time or annual basis" as used in Title 29 Del.C. §§ 5501 (f)(2) and 5527(e), means, for those employees hired:

(i) Through July 31, 1973 employed for at least sixty-five (65) hours per month for at least 9 months during a period of twelve (12) consecutive months; and

(ii) On and after August 1, 1973 employed in a position which requires at least One-hundred thirty (130) hours per month for at least nine (9) months during a period of twelve (12) consecutive months.

"Professional educational employment" as used in 29 Del.C. § 5501 (e)(5), means documented Full-Time employment for another State, a municipality in another State, the Federal Government, or an accredited private school or college anywhere in the world, and shall not include part-time employment such as employment as a graduate teaching assistant. A school is accredited within the meaning of this § 3.1.1 if the Delaware Department of Public Education allows teaching credit for service as a teacher in such school. Documentation of such accreditation shall be provided to the Office of Pensions in the application.

"Regular part-time employee" as used in 29 Del.C. §§ 5501 (f)(2) and 5527(f), means an employee who either:

(i) is employed in a position which requires at least fifty (50) hours per month for at least 9 months during a period of twelve (12) consecutive months, or

(ii) is employed in a position where the part-time rate for the position is at least fifty (50) times hourly minimum wage for at least nine (9) months during a period of twelve (12) consecutive months.

(iii) In determining the period of nine (9) months during twelve (12) consecutive months in the case of a regular part-time teacher or other school employee who has worked for less than twelve (12) months and whose work year is established as the school year, if such employee worked before and after any school breaks or vacations, the break time or vacation time would be considered as if the employee had worked.

"The Plan" means the State Employees' Pension Plan, as set forth in 29 Del.C. Ch 55.

"The Plan Trust" means the Delaware Public Employees' Pension System Trust, created pursuant to 29 Del.C. Ch. 83.

3.2Credit for vacation and accrued sick leave. An employee or the employee's survivor may elect to use accrued periods of vacation or accrued sick leave as credited service under 29 Del.C. § 5501 (e)(1), provided that an employee or the employee's survivor may not receive a pension for any month during the periods of vacation or sick leave so used. Service so credited may be used to establish eligibility for a service, disability, survivor or vested pension.

3.3Educational employment credited service. Service rendered for the regular school year shall be equivalent to one year's credited service, but in no case shall more than one (1) year of service be creditable for all employment services in one (1) year. Employees who render service for a lesser period of time than that which is established for the regular school year shall receive credited service based upon the actual time employed as a percentage of the time established for a regular school year. A regular school year shall be based upon the period of time established by the State Board of Education or any institution of higher education in the State.

3.4Employee work conditions for credited service. To be deemed an employee for credited service, an employee of the State must:

3.4.1 Report for and work in an official work place of the State or must report for and attend a school or course of instruction in the manner required by the school or other institution pursuant to the direction or authorization of the employee's employer, and be directly accountable to the employer who supervises the employee's work or course of instruction; or

3.4.2 Become eligible for Worker's Compensation during the course of employment as defined in subsection 3.4 .1. The employee's accrual of credited service shall continue only so long as the employee shall remain eligible for and be receiving Worker's Compensation and remains an employee as defined under 29 Del.C. § 5501 (f).

3.5Leave of absence without pay. Any employee on an agency approved leave of absence shall not incur a break in service under 29 Del.C. § 5501 (e)(6), provided that the leave of absence without pay is approved in writing by the employing agency or school board, and a copy thereof is filed with the Office of Pensions. The leave of absence without pay may not exceed a period of twelve (12) consecutive calendar months, unless approved by the Pension Administrator.

3.6One-year limitation: In no case shall more than one (1) year of credited service be granted for any employment services during any twelve (12) month period.

3.7Ordinary service purchase. The actuarial rate to purchase credit under 29 Del.C. § 5501 (e)(8) shall be adopted by resolution of the Board of Pension Trustees.

3.8Rights of former employees returning to active service as an employee.

3.8.1Repayment of withdrawal benefits.

3.8.1.1 If a former employee, who withdrew the employee's accumulated contributions upon termination of service before January 1, 1986 again becomes an employee, the employee's service credits to the date of termination shall be restored in accordance with the provisions of 29 Del.C. § 5501 (e)(6) if the employee repays the total amount withdrawn within ninety (90) days after written notification of such repayment option from the Office of Pensions.

3.8.1.2 If a former employee, who withdrew the former employee's accumulated contributions upon termination of service on or after January 1, 1986 again becomes an employee, the employee's service credits to the date of termination shall be restored in accordance with the provisions of 29 Del.C. § 5501 (e)(6) if the employee repays the total amount withdrawn, plus an interest rate charge as adopted by the Board, compounded annually, within ninety 90 days after notification from the Office of Pensions.

3.8.1.3 If the repayment occurs after the ninety (90) days following written notification of such repayment option from the Office of Pensions, the repayment shall be equal to the amount in subsections 3.8 .2 or 3.8.3 plus, for each full month or fraction thereof following the last day of the ninety (90) day period, interest rate charge as adopted by the Board.

3.8.1.4 Any interest rate charges collected under subsections 3.8 .2 or 3.8.3 shall not be considered part of accumulated contributions and shall not be refunded if the former employee takes a refund of accumulated contributions subsequent to a repayment.

3.8.2Rights of non-disability pensioners who return to active service as a full-time or regular part-time employee.

3.8.2.1 A pensioner, other than a disability pensioner, who again becomes an employee under 29 Del.C. § 5501, shall be eligible for an additional pension for each month of credited service during the employee's period of re-employment, with such additional pension computed as follows:

3.8.2.2 Employees who return for subsequent terms of employment which equal or exceed five (5) years and who waive the pension benefits accepted upon initial retirement and repay all benefit monies received from the prior retirement or retirements shall be eligible for a pension computed in accordance with all provisions of 29 Del.C. Ch. 55.

3.8.2.3 Employees who return for subsequent terms of employment which total less than 5 years or employees who elect not to re-retire under subsection 3.6 .1.1 above shall be eligible for an additional pension for each month of credited service during the employee's period of re-employment, with such additional pension computed in accordance with all provisions of 29 Del.C. Ch. 55, provided, however, that the original pension payable before the employee again became an employee shall not be recomputed and shall be payable in the same amount on the date of the employee's subsequent retirement plus any post retirement increases the employee would have been eligible to receive during the employee's period of active employment.

19 Del. Admin. Code § 2002-3.0

25 DE Reg. 272 (9/1/2021) (final)