HLS 11RS-500 ORIGINAL
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are additions.
Regular Session, 2011
HOUSE BILL NO. 384
BY REPRESENTATIVE PEARSON AND SENATOR GAUTREAUX
RETIREMENT/FUNDING: (Constitutional Amendment) Provides for a minimum of ten
percent of nonrecurring revenue be applied toward reducing the balance of the
unfunded accrued liability of the state retirement systems
A JOINT RESOLUTION1
Proposing to amend Article VII, Section 10(D)(2)(b) of the Constitution of Louisiana, to2
provide for allowable uses of nonrecurring revenue; to provide for the payment of3
unfunded accrued liabilities; to provide for submission of the proposed amendment4
to the electors; and to provide for related matters.5
Notice of intention to introduce this Act has been published6
as provided by Article X, Section 29(C) of the Constitution7
of Louisiana.8
Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members9
elected to each house concurring, that there shall be submitted to the electors of the state of10
Louisiana, for their approval or rejection in the manner provided by law, a proposal to11
amend Article VII, Section 10(D)(2)(b) of the Constitution of Louisiana, to read as follows:12
§10. Expenditure of State Funds13
Section 10.14
* * *15
(D) Appropriations. 16
* * *17 HLS 11RS-500 ORIGINAL
HB NO. 384
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(2) Except as otherwise provided in this constitution, the appropriation or1
allocation of any money designated in the official forecast as nonrecurring shall be2
made only for the following purposes:3
* * *4
(b) Providing for a minimum of ten percent of any money designated in the5
official forecast as nonrecurring for payments against the unfunded accrued liability6
existing as of June 30, 1988, of the public retirement systems Louisiana State7
Employees' Retirement System and the Teachers Retirement System of Louisiana,8
which are in addition to any payments required for the annual amortization of the9
unfunded accrued liability of the public those retirement systems, as required by10
Article X, Section 29(E)(2)(c) of this constitution; however, any such payments to11
the public retirement systems shall not be used, directly or indirectly, to fund cost-of-12
living increases for such systems.13
* * *14
Section 2. Be it further resolved that this proposed amendment shall be submitted15
to the electors of the state of Louisiana at the statewide election to be held on October 22,16
2011.17
Section 3. Be it further resolved that on the official ballot to be used at said election18
there shall be printed a proposition, upon which the electors of the state shall be permitted19
to vote FOR or AGAINST, to amend the Constitution of Louisiana, which proposition shall20
read as follows:21
To provide that a minimum of ten percent of money designated in the official22
forecast as nonrecurring be applied toward payments of the unfunded accrued23
liability which existed as of June 30, 1988, for the Louisiana State24
Employees' Retirement System and the Teachers Retirement System of25
Louisiana. (Amends Article VII, Section 10(D)(2)(b))26 HLS 11RS-500 ORIGINAL
HB NO. 384
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are additions.
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)]
Pearson HB No. 384
Abstract: Provides that a minimum of 10% of the funds recognized as nonrecurring will
be applied toward payment of the unfunded accrued liabilities which existed as of
June 30, 1988, for the La. State Employees' Retirement System and the Teachers
Retirement System of La.
Present constitution provides that any money designated in the official forecast as
nonrecurring shall be appropriated for the following purposes:
(1)Retiring or defeasance of bonds in advance of and in addition to the existing
amortization requirements of the state.
(2)Providing for payments against the unfunded accrued liability of the public
retirement systems which are in addition to any payments required for the
annual amortization of the unfunded accrued liability of the public retirement
systems.
(3)Providing funding for capital outlay projects in the comprehensive state
budget.
(4)Providing for allocation or appropriation for deposit into the Budget
Stabilization Fund. Article VII, §10.3(A)(3) and (C)(4) requires 25% of
nonrecurring revenues be deposited into the Budget Stabilization Fund unless
the fund balance exceeds 4% of the previous fiscal year's total state receipt.
(5)Providing for allocation or appropriation for deposit into the Coastal
Protection and Restoration Fund.
(6)Providing for new highway construction for which federal matching funds
are available, without excluding highway projects otherwise eligible as
capital projects under other provisions of law.
Proposed constitutional amendment retains present constitution and further provides that a
minimum of 10% of any money designated in the official forecast as nonrecurring be applied
toward payment of the unfunded accrued liabilities and clarifies that the payments are for
those liabilities which existed as of June 30, 1988, for the La. State Employees' Retirement
System and the Teachers Retirement System of Louisiana.
Provides for submission of the proposed amendment to the voters at the statewide election
to be held Oct. 22, 2011.
(Amends Const. Article VII, §10(D)(2)(b))