Membership is mandatory upon employment in any position requiring a license issued by the Minnesota Department of Education with:
- Saint Paul Public Schools (SPPS)
- Saint Paul College (SPC) – if you were first employed prior to July 1, 1995
- Saint Paul charter schools – from July 1, 1995 through June 30, 2002
Management of the SPTRFA is entrusted to a ten member Board of Trustees (BOT) – nine elected members that serve three-year terms and a SPPS Board of Education designee as an ex-officio member. Three positions are open for election at the annual meeting every year.
Nominations for BOT openings are accepted each year and forms are available at the SPTRFA office. Completed nomination forms must be received by the SPTRFA office prior to the close of business on the second Friday in November. Contact the SPTRFA office for further information.
Day to day operation of the SPTRFA is managed by an Executive Director and full-time staff who serve at the pleasure of the Board.
Professional and Oversight Services
The SPTRFA relies on the services of several key professional and monitoring organizations in the ongoing assessment of the fiscal, actuarial and legal dimensions of the plan.
Actuarial services are needed to assess the long term funded status of the plan, to cost and determine the feasibility of proposed changes to the benefit or funding structure.
The BOT and staff also rely on a law firm to help deal with legal questions that arise in the course of managing a complex, highly regulated, tax-qualified pension benefit fund.
The Office of the State Auditor annually reviews the SPTRFA’s financial statements, fiscal operations and ongoing compliance with laws affecting our operations.
In addition, the SPTRFA employs a general investment consultant to advise the Board and staff on issues relating to asset allocation, investment policies, asset manager hiring and terminations, along with monitoring absolute and relative investment performance.
The SPTRFA administers two types of plans: Basic and Coordinated. Both are defined benefit plans qualified under IRC Section 401(a). This means that you are eligible for a lifetime, monthly retirement benefit from the SPTRFA if you are a vested member. Your benefit amount is calculated according to a formula rather than being based solely on your contributions. Allowable retirement service credit and salary are two important terms in understanding your benefit.
Allowable Retirement Service Credit
One full year of retirement service credit is defined as 170 or more days of service within a fiscal year. The SPTRFA prorates retirement service credit earned in a fiscal year using the following formula:
Service credit = Total number of days worked ÷ 170
Salary is all of your compensation upon which employee and employer contributions are paid for each fiscal year. Your salary does include extracurricular pay. Salary is further defined under Minn. Stat. § 354A.011, subd. 24.