Nevada Administrative Code Chapter 286 - Public Employees' Retirement
1. Denial of Retirement Benefits Due to Incomplete Service Credit
Background:
A public employee applied for retirement benefits, but PERS determined that the employee did not have sufficient service credit to qualify for full benefits.
Issue:
Whether partial service with temporary or part-time employment could be counted toward retirement eligibility under NAC 286.
Decision:
The employee argued that prior temporary service should be included.
NAC 286 allows credit for prior service only if contributions were properly made and documented.
PERS denied full benefits, granting only partial benefits based on documented service credit.
Key Lesson:
Employees must ensure all service periods are properly documented and contributions made to qualify for full retirement benefits under NAC 286.
2. Appeal for Correction of Contribution Records
Background:
An employee discovered that PERS records underreported their contributions, resulting in a lower projected retirement benefit.
Issue:
Whether NAC 286 allows retroactive correction of contribution records and adjustment of benefits.
Decision:
The employee provided payroll records and statements showing missing contributions.
PERS reviewed documentation and corrected the contribution records, recalculating retirement benefits to reflect accurate contributions.
Key Lesson:
NAC 286 allows employees to appeal and correct errors in contribution records; accurate records are critical for correct retirement benefits.
3. Dispute Over Disability Retirement Eligibility
Background:
An employee applied for disability retirement after being medically unable to continue working. PERS initially denied the application.
Issue:
Whether the employee met the disability criteria under NAC 286, which requires a permanent and total inability to perform job duties.
Decision:
Medical records and independent evaluations were submitted.
PERS found that the employee’s condition qualified as a permanent disability, and disability retirement benefits were approved.
Key Lesson:
NAC 286 provides a clear framework for disability retirement; thorough medical documentation is essential for approval.
4. Challenge of Early Retirement Penalty
Background:
A long-term employee applied for early retirement but was assessed a reduction in benefits due to early retirement provisions.
Issue:
Whether NAC 286 allows exceptions or mitigations for early retirement penalties.
Decision:
The employee argued mitigating circumstances, including departmental restructuring.
NAC 286 specifies the reduction formula and does not allow waivers except in statutorily defined circumstances.
The penalty was upheld, though the employee was advised on potential phased retirement alternatives.
Key Lesson:
Early retirement reductions are strictly applied under NAC 286; exceptions are rare and statutory.
5. Appeal of Survivor Benefit Calculation
Background:
A retired employee passed away, and the surviving spouse disputed the benefit amount received under the PERS survivor benefit program.
Issue:
Whether NAC 286 requires adjustments based on the employee’s election of optional retirement plans and contributions.
Decision:
PERS reviewed the employee’s retirement plan election and contributions.
It determined that the survivor benefit reflected the elected optional plan, not the full base benefit.
The calculation was upheld, with clarification provided to the surviving spouse on plan options.
Key Lesson:
Survivor benefits depend on prior retirement elections; NAC 286 governs the calculation and entitlements.
6. Dispute Over Reemployment After Retirement
Background:
A retired employee returned to public employment and applied to continue receiving retirement benefits concurrently.
Issue:
Whether NAC 286 allows retirees to receive full retirement benefits while working for a PERS-covered employer.
Decision:
NAC 286 prohibits double compensation if reemployment violates retirement rehire rules.
PERS suspended benefits temporarily until reemployment limits were clarified.
After adjustments, the retiree received a combination of salary and adjusted benefits in compliance with NAC 286.
Key Lesson:
Reemployment after retirement is regulated under NAC 286; benefits may be suspended or adjusted to prevent overpayment.
7. Appeal of Refund of Contributions Upon Termination
Background:
An employee terminated public service and requested a refund of PERS contributions.
Issue:
Whether NAC 286 allows refund of contributions if the employee is not vested or leaves before retirement age.
Decision:
NAC 286 allows refunds for non-vested members but with adjustments for any employer contributions.
PERS approved the refund, minus interest and employer-matched contributions that could not be refunded.
Key Lesson:
Refunds are permitted for non-vested employees, but NAC 286 specifies deductions and limits on refunded amounts.
✅ Summary of Key Themes in NAC 286 Cases
Service Credit Verification: Accurate records of service and contributions are essential.
Contribution Disputes: Employees may appeal errors in reported contributions to ensure correct benefits.
Disability Retirement: Approval depends on thorough medical documentation and adherence to statutory criteria.
Early Retirement: Reductions are applied strictly; exceptions are limited.
Survivor Benefits: Determined by retirement plan elections; clarity is essential for beneficiaries.
Reemployment Rules: Retirement benefits may be suspended or adjusted if reemployment violates NAC 286 limits.
Refunds: Non-vested employees may receive partial refunds, but employer contributions and interest rules apply.
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