OK SB345

Amends Section 50-111.4 to require the Oklahoma Police Pension and Retirement Board to develop procedures for purchased service credits that comply with federal tax regulations, including rules for trustee-to-trustee transfers and direct rollovers from eligible retirement plans.

Permits members to fund transferred credited service purchases through direct rollovers from Code Section 403(b) annuities, Code Section 457(b) deferred compensation plans, Code Section 401(a) qualified plans, and traditional or conduit IRAs, while excluding Roth IRAs and Coverdell Education Savings Accounts.

Amends Section 50-114.2 to update rollover distribution provisions to comply with federal tax regulations, including expanded eligible retirement plan definitions and treatment of nonspouse designated beneficiary distributions effective after December 31, 2006.

Establishes that effective for distributions after December 31, 2014, the system shall follow I.R.S. Notice 2014-54 guidance when determining portions of benefit disbursements not includible in gross income.

Declares an emergency, making the act effective immediately upon passage and approval.