| (2) employees who elected ORP in lieu of ERS at the
Board and who, after terminating employment with the Board and enrolling
in retiree group insurance as an ORP retiree from the Board, subsequently
become employed in an ORP-eligible position at a Texas public institution
of higher education;
(3) employees who elected ORP in lieu of TRS at a Texas
public institution of higher education and who, after terminating
employment with all Texas public institutions of higher education
and enrolling in retiree group insurance as an ORP retiree from a
Texas public institution of higher education, subsequently become
employed in an ORP-eligible position at the Board; and
(4) ORP retirees who enroll in retiree group insurance
as part of a phased retirement program.
(A) Definition. For the purposes of this subsection,
a phased retirement program shall be a locally designed option that
is offered by a limited number of institutions as a means of transitioning
active employees to retired status through a contractual agreement
that requires the employee to meet certain milestones during the contractual
period, which is typically one or two years, such as a reduction in
percentage of effort and/or enrollment in retiree group insurance
prior to termination of employment. At the end of the contractual
period, the employee is considered to be in a retired status for all
purposes.
(B) Exemption. ORP participants who are covered by
a phased retirement program agreement shall remain eligible for ORP
contributions during the contractual period as long as they maintain
at least 50 percent effort, even after they are required to enroll
in retiree group insurance as an ORP retiree. Once the contractual
period has expired, the participant shall no longer be exempt from
the provisions of this subsection.
(5) ORP retirees who meet the exceptions described
in paragraphs (1) through (4) of this subsection shall not be considered
eligible to participate in ORP or to elect ORP in lieu of the retirement
system from which they did not retire unless they meet the same eligibility
criteria as employees who have not established ORP retiree status.
(j) Termination of Participation. An employee shall
terminate participation in ORP only upon death, retirement (including
disability retirement), or termination of employment with all Texas
public institutions of higher education (if the election of ORP was
in lieu of TRS) or termination of employment with the Board (if the
election of ORP was in lieu of ERS).
(1) Employment Transfer is not a Termination. A participant's
transfer of employment between Texas public institutions of higher
education without a break in service, as defined in §25.3 of
this title (relating to Definitions), shall not be considered a termination
of employment for ORP purposes, unless the new position is non-benefits-eligible,
as defined in subsection (g) of this section.
(2) Transfer of Funds is not a Termination. A transfer
of ORP funds between ORP accounts or ORP companies (contract exchange)
shall not be considered a termination of employment for ORP purposes.
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| Source Note: The provisions of this §25.5 adopted to be effective May 23, 2004, 29 TexReg 5079; amended to be effective November 28, 2005, 30 TexReg 7873; amended to be effective August 30, 2016, 41 TexReg 6484 |
