HLS 10RS-658 ORIGINAL
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2010
HOUSE BILL NO. 225
BY REPRESENTATIVE LABRUZZO
RETIREMENT/STATE EMPS: Relative to the La. State Employees' Retirement System
(LASERS), allows a retiree to designate a trust as beneficiary of retirement benefits
AN ACT1
To amend and reenact R.S. 11:446(B) and to enact R.S. 11:446(G), relative to the Louisiana2
State Employees' Retirement System; to allow for the designation of a trust as a3
beneficiary of retirement benefits; to allow for a change in beneficiary from a child4
to a trust created for the benefit of that child; to provide for an effective date; and5
to provide for related matters.6
Notice of intention to introduce this Act has been published7
as provided by Article X, Section 29(C) of the Constitution8
of Louisiana.9
Be it enacted by the Legislature of Louisiana:10
Section 1. R.S. 11:446(B) is hereby amended and reenacted and R.S. 11:446(G) is11
hereby enacted to read as follows: 12
ยง446. Mode of payment where option elected13
* * *14
B. A retiree cannot change the designation of beneficiary unless the15
retirement was approved under Option 1 or pursuant to Subsection G of this Section16
where a trust has been created for the benefit of a child who is the retiree's named17
beneficiary.18
* * *19 HLS 10RS-658 ORIGINAL
HB NO. 225
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
G. If a trust has been created under Louisiana law by the retiree for the1
benefit of a child, the terms of the trust so provide, and the system has been provided2
with a certified copy of the trust document, then the optional retirement allowance3
selected pursuant to this Section shall be paid to the trust under the terms of the trust4
for addition to the trust property. Any retiree who originally named a child as his5
beneficiary may redesignate a trust as his beneficiary if such trust is created for the6
benefit of that child. In the event that a trust is contested by any party, the system7
shall withhold all benefit payments or deposit them in the registry of the court if a8
concursus proceeding is filed until there is a final binding legal agreement or9
judgment regarding the proper payment of benefits.10
Section 2. This Act shall become effective on July 1, 2010; if vetoed by the governor11
and subsequently approved by the legislature, this Act shall become effective on July 1,12
2010, or on the day following such approval by the legislature, whichever is later.13
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
LaBruzzo HB No. 225
Abstract: Relative to the La. State Employees' Retirement System (LASERS), allows a
trust established for the benefit of a child to be named as beneficiary for purposes of
retirement benefits.
Present law provides several payment options for retirement benefits under LASERS, which
a retiree may choose if he wishes benefits to continue being paid to a designated beneficiary
upon his death. Such options will reduce the amount of the monthly benefit that a retiree
receives during his lifetime and may in turn reduce the amount of the monthly benefit that
his beneficiary receives upon his death.
Proposed law allows a retiree to name a trust created for the benefit of a child as his
beneficiary, in which case benefits will be payable to the trust in the event of his death,
depending upon the payment option selected.
Present law prohibits a retiree from changing his beneficiary once selected except under very
limited circumstances.
Proposed law allows a retiree who originally named a child as beneficiary to change his
beneficiary to a trust created for the benefit of that child.
Effective July 1, 2010.
(Amends R.S. 11:446(B); Adds R.S. 11:446(G))