MN HF1848

Allows school boards to determine the number and identity of annuity contract vendors available to employees under section 403(b) of the Internal Revenue Code, rather than this being a term and condition of employment under collective bargaining.

Removes the requirement that school districts and exclusive employee representatives jointly determine vendors; decision-making authority is vested solely with the school board.

Requires school districts to consider seven specific factors when selecting vendors: compliance ability with federal requirements, experience with 403(b) plans, client service effectiveness, rights and benefits offered, suitability of benefits, ability to provide benefits, and financial stability.

Maintains employee ownership of annuity contracts with nonforfeitable rights, applies nondiscriminatory treatment to all employees, and exempts school boards from liability under section 122A.40 related to annuity contract purchases.

Effective date is July 1, 2012.