{"data":{"id":"us-ok/okla.-stat.-tit.-19-19-956.2","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 19, § 19-956.2","heading":"Alternative method of determining retirement benefits -","body":"Vesting restrictions.\n\nA. In lieu of the retirement benefits specified in Section 956\n\nof this title, upon approval by the board of trustees and the board\n\nof county commissioners, a county authorized to provide a retirement\n\nsystem pursuant to the provisions of Section 951 et seq. of this\n\ntitle, with a population in excess of six hundred seventy-five\n\nthousand (675,000), may provide for retirement benefits for the\n\nretirement system based upon the contributions of the individual\n\nemployee, if any, contributions of the county for the benefit of\n\nsuch employee, if any, together with earnings accruals thereon for\n\nsuch periods of time as the board of trustees and the board of\n\ncounty commissioners, in their discretion, may determine best meets\n\nthe purpose of the retirement system. Notwithstanding any other\n\nprovision in this section, a retirement benefits plan based upon the\n\ncontributions by or for the benefit of an employee hired prior to\n\nNovember 1, 2005, as provided in this subsection shall be subject to\n\nthe following vesting restrictions:\n\n1. Twenty percent (20%) vesting after two (2) years of service;\n\n2. Forty percent (40%) vesting after three (3) years of\n\nservice;\n\n3. Sixty percent (60%) vesting after four (4) years of service;\n\nand\n\n4. One hundred percent (100%) vesting after five (5) years of\n\nservice.\n\nThese vesting restrictions are for the benefit of a\n\nparticipating member or other designated beneficiary after the\n\nemployment of the member is permanently terminated with a\n\nparticipating employer of the retirement plan. An employee is\n\npermanently terminated after termination from employment with a\n\nparticipating employer after passage of the period of time specified\n\nin the retirement plan. Pending permanent termination of an\n\nemployee, the nonvested portion of the monies will be held in escrow\n\nuntil the time for reinstatement has lapsed as specified in the\n\nretirement plan. After the time for reinstatement has lapsed, any\n\nnonvested forfeitures shall be used to offset prospective employer\n\ncontributions or to pay expenses associated with the retirement\n\nplan.\n\nB. A retirement benefits plan based upon the contributions by\n\nor for the benefit of an employee hired on or after November 1,\n\n2005, as provided in this subsection shall be subject to full\n\nvesting after five (5) years of service. There shall be no partial\n\nvesting for employees hired on or after November 1, 2005.\n\nC. Notwithstanding other provisions of law, the accumulated\n\nvested benefits of a member, as provided in this section, who dies\n\nbefore retirement or permanent termination of employment, may be\n\nwithdrawn from time to time in whole or in part by the beneficiary\n\nof the deceased member upon application to the Board of Trustees in\n\na manner prescribed by the Board of Trustees.\n\nD. If a county elects to provide benefits pursuant to this\n\nsection, all persons participating in the existing system shall be\n\ngiven the option of remaining subject to the existing retirement\n\nsystem. All persons becoming members of the retirement system after\n\nthe effective date of this act would be required to participate in\n\nthe defined contribution benefit system specified in this section.\n\nUpon approval of the board of trustees and the board of county\n\ncommissioners, the existing liabilities under the defined benefits\n\nsystem provided in Section 956 of this title and the liabilities\n\naccrued under the defined contribution benefit system provided in\n\nthis section may be funded by annuities purchased from annuity or\n\ninsurance companies licensed to do business in this state as\n\nrecommended by the board of trustees and approved by the board of\n\ncounty commissioners.\n\nE. All administrative costs associated with the operation of a\n\ndefined benefit retirement system shall be paid exclusively from the\ndefined contribution benefit system provided in\n\nthis section may be funded by annuities purchased from annuity or\n\ninsurance companies licensed to do business in this state as\n\nrecommended by the board of trustees and approved by the board of\n\ncounty commissioners.\n\nE. All administrative costs associated with the operation of a\n\ndefined benefit retirement system shall be paid exclusively from the\n\ncontributions made by the employer on behalf of employees electing\n\nto participate in the defined benefit retirement system, the\n\ncontributions made by individual employees electing to participate\n\nin the defined benefit retirement system and any income generated\n\nfrom investment of the funds of the defined benefit retirement\n\nsystem.\n\nF. No costs associated with the operation of a defined\n\ncontribution retirement system may be paid from funds used in the\n\noperation of a defined benefit retirement system. Said costs\n\nassociated with the operation of the defined contribution retirement\n\nsystem shall be paid for by the county from the county general fund\n\nas defined by Section 331 of Title 62 of the Oklahoma Statutes or\n\nfrom any other monies available which are not specifically\n\nprohibited from being used for this purpose.","path":["OK Code","Title 19"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os19.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"3a1bfc24a721d730b54a2bd48d001ddadd5252d2f3790e79a2a9dbdda1946fa9","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-19-19-956","next":"us-ok/okla.-stat.-tit.-19-19-957"},"notice":"GroundRules: Original legal text. Not legal advice."}