§ 26209 Cash Balance Fund Transfers

• •The board can move money from the Teachers’ Retirement Fund to pay for the Cash Balance Benefit Program.
• •Only certain people can sign off on this money move: the chairperson, vice chairperson, the chief executive officer, or someone the CEO picks.
• •This rule was added in 1998 and started working in 1999.

Imagine the Teachers’ Retirement Fund is like a big piggy bank for teachers’ retirement money. The school board wants to use some of that money for a special program that helps teachers save more for retirement, called the Cash Balance Benefit Program.

The board can take money out of the piggy bank for this program, but only if the chairperson, vice chairperson, the CEO, or someone the CEO chooses signs the paperwork to allow it.