                                 CODE OF VIRGINIA

EMPLOYEES OF THE UNIVERSITY OF VIRGINIA MEDICAL CENTER (§ 51.1-126.3)

A. The University of Virginia Medical Center, hereafter referred to as the
Medical Center, may establish one or more retirement plans covering in whole or
in part its employees. The Medical Center is authorized to make contributions
for the benefit of its employees who are covered by any plan established
pursuant to this section. Any such alternative retirement plans for Medical
Center employees shall not become effective until such time as the Board of
Visitors of the University of Virginia may determine. Except as provided herein,
all employees of the Medical Center who are employed by the Medical Center on or
after July 1, 2000, shall be participants in a Medical Center retirement plan
established pursuant to this section, with a contribution by the Medical Center
at a rate to be determined by the University of Virginia Board of Visitors.
However, an employee hired by the Medical Center on or after July 1, 2003, who,
as of the first day of such employment, is a current member of the Virginia
Retirement System defined benefit retirement plan established by this chapter
shall elect to either: (i) continue to participate in such defined benefit
retirement plan or (ii) choose the plan provided by the Medical Center with a
contribution by the Medical Center at a rate to be determined by the University
of Virginia Board of Visitors. Such election shall be exercised not later than
60 days from the time of the employee&#8217;s entry into the performance of his
duties for the Medical Center, and the election shall be irrevocable. During
such 60-day period, to the time of such election, such employee shall
participate in the Virginia Retirement System defined benefit retirement plan
established by this chapter. If such election is not made within the time period
provided in this subsection, such employee shall be deemed to have elected to
participate in the retirement plan established by the Medical Center.

B. With respect to any employee of the Medical Center who elects to continue to
participate in the Virginia Retirement System defined benefit retirement plan,
the Medical Center shall collect and pay all employee and employer contributions
due to the Virginia Retirement System for retirement and group life insurance in
accordance with the provisions of Chapter 1 (&#xA7; 51.1-124.1 et seq.) of this
title for such employees. For Medical Center employees who elect or who are
required pursuant to subsection A to become members of the retirement program
established by the Medical Center, the Virginia Retirement System or other such
authorized plan shall transfer to the retirement plan established by the Medical
Center assets equal to the actuarially determined present value of the accrued
basic benefit as of the transfer date. For purposes hereof, the basic benefit
shall be the benefit accrued under the Virginia Retirement System or other such
authorized retirement plan, based on creditable service and average final
compensation, as defined in &#xA7; 51.1-124.3 and determined as of the transfer
date. The actuarial present value shall be determined on the same basis, using
the same actuarial factors and assumptions used in determining the funding needs
of the Virginia Retirement System or other such authorized retirement plan, so
that the transfer of assets to the retirement plan established by the Medical
Center will have no effect on the funded status and financial stability of the
Virginia Retirement System or other such authorized retirement plan.

C. No employee of the Medical Center who is an active member of any plan
established under this section shall also be an active member of the retirement
system established by this chapter or a beneficiary of such other plan other
than as a contingent annuitant.

D. The University of Virginia Board of Visitors shall adopt guidelines for the
implementation of the provisions of this section, including guidelines for the
administration of any retirement plan established pursuant to this section. The
Board shall have no duties and responsibilities with respect to such plan. The
guidelines adopted by the Board of Visitors shall be filed with the Board of
Trustees of the Virginia Retirement System.

HISTORY: 1996, cc. 933, 995; 2000, c. 723; 2003, c. 369.