1. (1) As used in this section, "service member" means the same as that term is defined in Section 71A-1-101.

2. (2) Employer nonelective contributions made on a member's behalf to a defined contribution plan under Section 49-22-303 or 49-22-401 are exempt from the vesting requirements of Subsections 49-22-303(2)(a) and 49-22-401(3)(a) if:

   1. (a) the member or the member's lawful spouse is a service member;
   2. (b) before the employer nonelective contributions vest in accordance with Subsection 49-22-303(2)(a) or 49-22-401(3)(a), the member or the member's spouse receives permanent change of station or relocation orders outside the state;
   3. (c) the member has a bona fide termination of employment with all participating employers; and
   4. (d) the member applies in writing to the office requesting an exemption under this section.
3. (3) After the office receives a written application under this section and determines the member satisfies the conditions described in Subsection (2), the total amount of employer nonelective contributions made on a member's behalf vest to the member.

Enacted by Chapter 64, 2025 General Session