Chapter ETF 10

ETF 10.08(3)(c) (c) Except as expressly provided by law, no termination may be effective retroactive to a date earlier than the date on which the employee or employer notifies the other of the decision to terminate the participant’s employment.

ETF 10.08 Note Note: See ss. ER 18.14 (4) and 21.03 (2) concerning termination retroactive to the date the leave of absence expired.

ETF 10.08(3)(d) (d) No termination date may predate the last date for which the employee receives earnings for personal services rendered to or on behalf of the employer, except as provided in sub. (2) (b) 1., and except that operation of s. 40.29, Stats., does not preclude termination of an employee prior to the expiration of a period for which the employee receives temporary disability compensation under s. 102.43, Stats.

ETF 10.08 History History: Cr. Register, June, 1998, No. 510, eff. 7-1-98; CR 08-026: am. (2) (b) 4. Register September 2009 No. 645, eff. 10-1-09; CR 11-042: am. (1) (a), (2) (a), cr. (2) (b) (title), am. (2) (b) 2., cr. (2) (c) (title), (d) (title) Register July 2012 No. 679, eff. 8-1-12; CR 14-055: am. (2) (a), (c) 2., 3. Register May 2015 No. 713, eff. 6-1-15; CR 19-126: am. (2) (c) (intro.), r. (2) (c) 2., am. (2) (d) Register May 2021 No. 785, eff. 6-1-21.

ETF 10.10 ETF 10.10 Employee trust funds board and teachers retirement board elections.

ETF 10.10(1) (1) Purpose. This section establishes procedures for all elections of persons to the employee trust funds board or the teachers retirement board, pursuant to ss. 15.16 (1) (d) and (f), 15.165 (1) and (3) (a) 1., 2., 6., and 7., and 40.03 (2) (p), Stats. Except where noted otherwise, these procedures shall apply for elections to either the employee trust funds board or the teachers retirement board.

ETF 10.10(1m) (1m) Definitions. In this section:

ETF 10.10(1m)(a) (a) “Annuitant” has the meaning given in s. 40.02 (4), Stats.

ETF 10.10(1m)(b) (b) “Election category” means the class of participating employees or annuitants who are eligible under s. 15.16 (1) (d) or (f), or 15.165 (3) (a) 1., 2., 6., or 7., Stats., to vote to elect a member to the employee trust funds board or the teachers retirement board.

ETF 10.10(1m)(c) (c) “Participating employee” has the meaning given in s. 40.02 (46), Stats.

ETF 10.10(1m)(d) (d) “Teacher” has the meaning given in s. 40.02 (55), Stats.

ETF 10.10(2) (2) Scheduling of elections.

ETF 10.10(2)(ag) (ag) Situations requiring an election. The secretary shall schedule an election when the term for an elective board position is due to expire or the position is vacated for any reason.

ETF 10.10(2)(ar) (ar) Regular elections. When a term is due to expire, the secretary shall schedule the election to ensure that the election is completed and the new board member announced prior to the date the new term commences.

ETF 10.10(2)(b) (b) Vacancies. If an elective board position is vacant for any reason other than the term expiring, the secretary shall schedule an election at a time determined by the secretary. The annuitant or participating employee elected in an election to fill a position vacated prior to the end of a term shall serve the remainder of the unexpired term.

ETF 10.10(3) (3) Call for nominations. The department shall publish, in a manner determined by the secretary, the notice of the election, the nomination timetable, and instructions explaining the nomination process for a prospective candidate.

ETF 10.10(4) (4) Nomination Procedures. A candidate shall be nominated by petition on forms provided by the department. Petitions shall be received by the department no later than the petition filing date in the nomination time schedule published under sub. (3). A nominating petition received after this date is invalid. A candidate shall do all of the following:

ETF 10.10(4)(a) (a) Submit a nominating petition. Submit to the department a nominating petition containing at least 25 but no more than 50 printed names and valid signatures of participating employees or annuitants eligible to vote in that election. The nominating petition shall contain the name and address of each signer’s employer and the date signed. For an annuitant, the name and address of the signer’s employer shall be that of the signer’s last participating employer in the Wisconsin retirement system. The department will verify the entries on the petition based on records in the department. Entries that cannot be verified shall not be counted. If more than 50 signatures are submitted, the department shall review for validity only the first 50 signatures, based on the earliest date signed, and disregard the balance.

ETF 10.10(4)(b) (b) Certify the nominating petition. Sign the nomination petition to certify that all signers are eligible to vote in the election category for which the candidate is running.

ETF 10.10(4)(c) (c) Submit a candidate statement. Submit a candidate information form to the department containing no more than 150 words. The department shall print no more than the first 150 words of the candidate’s information and make it available to eligible voters with the ballots. The candidate must sign the candidate information form verifying the accuracy and truthfulness of the information provided.

ETF 10.10 Note Note: A Board Election Packet containing the Nominating Petition form and Candidate Information form can be obtained from the department by contacting the department’s board liaison at 877-533-5020.

ETF 10.10(5) (5) Nominations for the employee trust funds board. Any person who meets the eligibility requirements of s. 15.16 (1) (d) or (f), Stats., on the date the person files nomination papers with the department and who plans to continue meeting the eligibility requirements upon election, may be nominated for election to the employee trust funds board by satisfying the requirements of pars. (4) (a) to (c) within the calendar dates established by the department.

ETF 10.10(6) (6) Nominations for the teachers retirement board. Any person who meets the eligibility requirements of s. 15.165 (3) (a) 1., 2., 6., or 7., Stats., on the date the person files nomination papers with the department and who plans to continue meeting the eligibility requirements upon election, may be nominated for election to the teachers retirement board by satisfying the requirements of par. (4) (a) to (c) within the calendar dates established by the department.

ETF 10.10(7) (7) Eligibility to vote.

ETF 10.10(7)(a) (a) General requirements. A person shall be eligible to vote if the person is an annuitant or participating employee in the election category for which the election is being held and meets the other voting eligibility requirements in this section at the time ballot materials are printed for distribution and the department has a record of his or her eligibility.

ETF 10.10(7)(b) (b) Teachers retirement board elections. A participating employee of the state department of public instruction, state department of health services, state technical college system, and the state educational communications board, who is classified as a teacher under the Wisconsin retirement system, is not employed by a public school or a technical college system district and may not vote in any election to elect a teacher to serve on the teachers retirement board.

ETF 10.10(7)(c) (c) Teacher in public school and a technical college system district. For a teacher concurrently employed by both a public school and a technical college system district, the teacher shall be eligible to vote in both categories specified under s. 15.165 (3) (a) 1. and 2., Stats.

ETF 10.10(8) (8) Distribution procedures for paper ballots.

ETF 10.10(8)(ag) (ag) Scope. This subsection shall only apply to elections that are conducted using paper ballots. If an election is conducted using a combination of electronic and paper ballots, this subsection shall apply only to the paper ballots used in that election.

ETF 10.10(8)(ar) (ar) Ballot format. The department shall print ballots with the candidates’ names in alphabetical order and shall include, when the ballots are distributed, instructions for marking the ballot and the deadline for its return.

ETF 10.10(8)(b) (b) Distribution of ballots to participating employees. At the direction of the secretary, ballots may be distributed either through an employer or directly to a participating employee. If distributed through an employer, the department shall send each employer one ballot individually labeled with the participating employee’s name for each participating employee in the election category for which the election is being held who is employed by the employer and whose position is known to the department. A distribution list, prepared by the department and containing the names of participating employees for whom ballots are included, shall accompany the ballots. The department shall require an employer to verify, by signing the distribution list, that the employer distributed the ballots within 30 days of the date they were mailed by the department. The employer shall indicate on the distribution list which ballots could not be distributed and shall return the undistributed ballots.

ETF 10.10(8)(c) (c) Distribution of ballots to annuitants. The department shall send a ballot directly to each annuitant who is eligible to vote in that election at the last home address the department has on file.

ETF 10.10(8)(d) (d) Distribution of ballots to teachers with multiple employment locations. If a teacher is employed in more than one employment location within an election category specified under s. 15.165 (3) (a) 1. or 2., Stats., the department shall provide a paper ballot to only one location as determined by the department.

ETF 10.10(8)(e) (e) Distribution of ballots to teachers employed in a public school and a technical college system district. For a teacher concurrently employed by both a public school and a technical college system district, the department shall provide a ballot to both locations.

ETF 10.10(9) (9) Voting.

ETF 10.10(9)(ag) (ag) Voting methods. The secretary may conduct the election by paper ballots, electronic ballots, or a combination of such methods.

ETF 10.10(9)(ar) (ar) Voting procedure. The secretary shall approve a secure voting procedure that ensures that only a person eligible to vote is permitted to cast a vote, and that only one vote is recorded for each person who casts a vote in an election. A person eligible to vote shall cast his or her vote by indicating his or her choice of candidates in accordance with voting instructions approved by the secretary.

ETF 10.10(9)(b) (b) Voting when there are multiple teachers retirement board positions to be filled. If there is more than one teachers retirement board position to be filled in an election category and an election is held, voters may vote for as many candidates, in the appropriate election category, as there are positions to be filled.

ETF 10.10(10) (10) Certification of election results. The board for which an election is being held shall appoint an election committee that shall consist of the secretary of the department or the secretary’s designee and 2 board members who are not running for reelection. A majority of the election committee appointed by the respective boards shall determine the validity of ballots set aside by the department and certify the election results.

ETF 10.10(11) (11) Verification of election results. The department shall set aside a vote that it believes may be invalid under pars. (a) to (h) for review by the election committee. The election committee shall deem a vote invalid if any of the following apply:

ETF 10.10(11)(a) (a) The signature is not the same as the name on the ballot.

ETF 10.10(11)(b) (b) The ballot is not signed.

ETF 10.10(11)(c) (c) Too many candidates have been voted for on the ballot.

ETF 10.10(11)(d) (d) A ballot is so defective that the committee cannot determine with reasonable certainty for whom the ballot was cast.

ETF 10.10(11)(e) (e) The ballot contains the name of a write-in candidate.

ETF 10.10(11)(f) (f) The ballot was submitted by an ineligible voter.

ETF 10.10(11)(g) (g) The ballot was not received within the period prescribed by the election notice.

ETF 10.10(11)(h) (h) The vote was not cast in the manner prescribed by the secretary under sub. (9) (ar).

ETF 10.10(12) (12) Special situations.

ETF 10.10(12)(a) (a) Insufficient number of candidates for holding an election. If the number of candidates whose nomination petitions are approved by the department is equal to or less than the number of positions to be filled within an election category, all of the following shall apply:

ETF 10.10(12)(a)1. 1. The department shall not schedule an election.

ETF 10.10(12)(a)2. 2. The election committee shall not be appointed or convened.

ETF 10.10(12)(a)3. 3. The department shall declare all candidates as elected.

ETF 10.10(12)(b) (b) Multiple positions to be filled in an election category that do not have an equivalent amount of time remaining in a term. If there are multiple positions to be filled within an election category and the vacant positions have different amounts of time remaining, the following shall apply:

ETF 10.10(12)(b)1. 1. If an election has been held, the candidate with the most votes shall receive the position with the most time remaining. The candidate with the second most votes shall receive the position with the second most time remaining, and so forth for any remaining candidates and positions.

ETF 10.10(12)(b)2. 2. If an election is not held because the number of candidates is equal to or less than the number of positions to be filled, but there are multiple candidates for the available positions, positions will be selected by the drawing of lots. If there is only one candidate and multiple vacant positions, the candidate will receive the position with most time remaining, unless the candidate requests otherwise from the secretary.

ETF 10.10(13) (13) Tabulation of votes. The candidate who receives the largest number of votes shall be elected. The election committee shall break a tie by the drawing of lots. The counting of votes shall be conducted under the direction of the secretary or the secretary’s designee.

ETF 10.10(14) (14) Notification of election results. For elections scheduled because a term is due to expire, the department shall notify all candidates of the results by certified mail before May 1 following the close of the election. If the department calls an election for any reason other than the expiration of a term, the department shall notify all candidates by certified mail of the results of the election within 15 days of the close of the election.

ETF 10.10(15) (15) Retention of board election materials. The department shall retain election reports, nominating petitions, and ballots for at least 1 year after the election is completed.

ETF 10.10(16) (16) Recount of results. A candidate may request no more than one recount per election. To request a recount, the candidate shall submit a written request to the secretary within 10 business days of the date that the candidates were notified of the certified election results under sub. (14). A recount shall be conducted under the direction of the secretary or designee. If the recount results change the ranking of the candidates, the recount results shall be certified by the election committee under sub. (10) and shall stand as the final election results.

ETF 10.10 History History: Cr. Register, March, 1984, No. 339, eff. 4-1-84; r. (5) and am. (7) (intro.), Register, January, 1985, No. 349, eff. 2-1-85; am. (10), Register, September, 1992, No. 441, eff. 10-1-92; am. (1) to (7) (a), (7) (c) to (11) (b), (d), (12), (13) and (15) to (17), cr. (1m) and (11) (e), r. (14), Register, April, 1993, No. 448, eff. 5-1-93; corrections made under s. 13.93 (2m) (b) 6., Stats., Register, July, 1997, No. 499; am. (1), (1m) (b) and (7) (intro.), Register, December, 2000, No. 540, eff. 1-1-01; correction in (6) made under s. 13.92 (4) (b) 6., Stats., Register September 2009 No. 645; CR 12-020: am. (1), cr. (1m) (title), am. (2), r. and recr. (3), (4), cr. (5), r. and recr. (6), (7), (8), (9), am. (11) (intro), cr. (11) (f) to (h), renum. (12) to be (12) (a) (intro), 1., 2., 3., cr. (12) (b), r. (13), renum. (15), (16), (17) to be (13), (14), (15) and am., cr. (16) Register May 2013 No. 689, eff. 6-1-13; renum. (2) (intro), (a), (8) (intro), (a), (9) (intro), (a) to be (2) (ag), (ar), (8) (ag), (ar), (9) (ag), (ar) under s. 13.92 (4) (b) 1., Stats., cr. (2) (ag) (title), (8) (ag) (title), (9) (ag) (title) under s. 13.92 (4) (b) 2., Stats., Register May 2013 No. 689.

ETF 10.12 ETF 10.12 Separate retirement system participation in the retirement trust fund.

ETF 10.12(1g) (1g) Procedure. The governing body of a separate retirement system qualifying under sub. (5) may request participation in the retirement trust fund by the adoption of a resolution accepting the provisions of this section in a form approved by the department. A certified copy of the resolution shall be forwarded to the department and participation shall be effective on the first day of the month following board approval of the resolution under s. 40.03 (1) (n), Stats. Funds may be delivered or sent to the department subject to this section.

ETF 10.12(1r) (1r) Deposits.

ETF 10.12(1r)(a) (a) Deposits shall be made in accordance with instructions issued by the department.

ETF 10.12(1r)(b) (b) The separate retirement system may designate any portion of its deposit for investment in the variable retirement investment trust. Deposits shall be invested in the core retirement trust unless otherwise designated.

ETF 10.12(1r)(c) (c) The separate retirement system shall provide the department 30 days advance notice of any deposit in excess of $10 million. This requirement may be waived by the secretary.

ETF 10.12(1r)(d) (d) Deposits in the core and variable retirement investment trusts shall be accepted on the last working day of the month only, even if actually received earlier. Each investment shall be effective the last day of the month for purposes of investment valuation.

ETF 10.12(2) (2) Investment valuation. Investments by a separate retirement system shall be valued as follows:

ETF 10.12(2)(a) (a) The current market values of the core and variable retirement investment trusts shall be determined as of the close of the last calendar day of the month.

ETF 10.12(2)(b) (b) The market gain or loss of the core and variable retirement investment trusts shall each be determined for the month, net of administrative and investment costs.

ETF 10.12(2)(c) (c) Each separate retirement system’s share of the respective retirement investment trust’s market gain or loss shall be determined and credited effective the close of the last calendar day of the month.

ETF 10.12(2)(d) (d) Each separate retirement system’s share of the retirement investment trust’s market gain or loss shall be calculated as the total retirement investment trust’s gain or loss multiplied by that separate retirement system’s proportionate share of the average daily net assets available for investment during the month.

ETF 10.12(2)(e) (e) The core or variable retirement investment trust’s average daily net assets available for investment during the month shall be calculated as the sum of its daily beginning asset balances divided by the number of calendar days in the month.

ETF 10.12 Note Note: This rule (CR 09-057) replaces the term “fixed”, when referring to the retirement investment trust, with the term “core” when referring to that retirement investment trust. 2005 Wis. Act 153 changed the name of the Fixed Fund to the Core Fund. This rule replaces the term “fixed” with the term “core” wherever it appears in the ETF administrative rules, specifically in ss. ETF 10.12 (1r) (b) and (d) and (2) (a) (b) and (e); 10.25 (intro.), (1) (a) and (b), (2), (3) (intro.), (b), (c) and (d) and (4); 10.30 (4) (a) and (b), (5) (a) 1., 2., 3. b., and (f); 11.16 (2) (a); 20.23 (2); and 20.25 (intro.), (1) (a) and (2).

ETF 10.12(2)(f) (f) Each separate retirement system’s average daily net assets available for investment during the month shall be calculated as the sum of its daily beginning asset balances divided by the number of calendar days in the month.

ETF 10.12(3) (3) Reports. The department shall provide, at least quarterly, each separate retirement system a report showing all transactions in its account during the preceding quarter and the current value of the system’s investment.

ETF 10.12(4) (4) Withdrawals.

ETF 10.12(4)(a) (a) Requests for withdrawal of funds shall be on a form prescribed by and in accordance with instructions issued by the department.

ETF 10.12(4)(b) (b) The separate retirement system shall provide the secretary no less than 21 days advance notice of any withdrawal.

ETF 10.12(4)(c) (c) Withdrawals by a separate retirement system shall be limited in any calendar month to one withdrawal paid on the last working day of the month of the greater of:

ETF 10.12(4)(c)1. 1. 5% of the system’s balance on deposit or as was last calculated by the department,

ETF 10.12(4)(c)2. 2. $2 million, or

ETF 10.12(4)(c)3. 3. Such other amount as the secretary, after consulting with respect to each withdrawal with the executive director of the state of Wisconsin investment board, determines may be withdrawn without necessitating the premature liquidation of any investment or imprudently reducing cash holdings of the trust fund or otherwise causing actual harm to the participants of the Wisconsin retirement system who have a beneficial interest in the trust fund and its earnings.

ETF 10.12(4)(d) (d) For investment valuation purposes, withdrawals shall be treated as if effective at the close of the last calendar day of the month.

ETF 10.12(4)(e) (e) If a separate retirement system’s balance on deposit drops below $2 million, that system’s investment shall be refunded and the account closed.

ETF 10.12(5) (5) Participating employers eligible.

ETF 10.12(5)(a) (a) “Separate retirement system” for purpose of this section and s. 40.03 (1) (n) and (2) (q), Stats., means a pension benefit plan which is all of the following:

ETF 10.12(5)(a)1. 1. Established by the state or a political subdivision of the state which is also a participating employer subject to the provisions of the Wisconsin retirement system under s. 40.21, Stats.