History

When the PERA Correctional Plan began on July 1, 1999, its initial members came directly from the Coordinated Plan when the positions were certified by employers as meeting the membership criteria for the Correctional Plan. Those employees retained their Social Security coverage when their PERA membership changed because they had Section 218 coverage as members of the Coordinated Plan.

Subsequent members of the Correctional Plan were also given Social Security coverage. However, in 2014, the SSA determined that new participants should not have been provided coverage until after a successful referendum was conducted. Completion of a referendum was required to correct the omission. This affected over 2,800 active Correctional Plan participants who had been hired after 2000.

The approximately 700 employees who converted from Coordinated to Correctional coverage in 1999/2000 retained their Social Security 218 eligibility and were excluded from the vote.

In 2015, each county held its own referendum vote to decide Social Security participation

Majority Vote

Majority Vote was used by most counties with nearly 85% passing to continue Social Security for all current and future Correctional Plan employees.

• Eleven counties had a failed majority vote and stopped Social Security: Carlton, Hubbard, Jackson, Lake of the Woods, Lac qui Parle, Lyon, Martin, Meeker, Sibley, Wilkin, and Yellow Medicine.
• Four of the failed majority counties offered a second chance divided vote to their employees to allow individual selections and provide Social Security to all new hires (Hubbard, Jackson, Lake of the Woods & Lyon).
• Seven counties do not provide any Social Security coverage to their Correctional Plan members, both existing and future. (Carlton, Lac qui Parle, Martin, Meeker, Sibley, Wilkin, and Yellow Medicine).

Divided Vote

Divided Vote was offered by 15 counties and allowed each individual member to choose whether to continue Social Security. 65% of those members continued their participation and all new Correctional Plan hires in these divided vote counties participate in Social Security.

• Held by: Anoka, Carver, Lake, Le Sueur, McLeod, Olmsted, Pine, Ramsey, Renville, Scott, Sherburne, Waseca, Washington, Winona, Wright.

Second Chance Vote

A Second Chance Vote was available through 2016 and allowed certain individuals to choose Social Security for themselves.

• Members who voted No in divided vote counties were given an opportunity to reverse their decision and keep Social Security. Only 3% of that group changed their vote.
• As noted above, four of the failed majority vote employers offered a second chance divided vote to their employees to allow individual selections. They also provide Social Security to all new hires (Hubbard, Jackson, Lake of the Woods & Lyon).