SLS 12RS-140 ENGROSSED Page 1 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2012 SENATE BILL NO. 18 BY SENATOR GUILLORY STATE POLICE RET FUND. Provides for technical corrections. (7/1/12) AN ACT1 To amend and reenact R.S. 11:4(A)(1)(d), 22(B)(12), 42(B)(10), 62(10), 102(B)(3)(d)(viii),2 148(B), 154(A)(2), 158(B)(13), 162(A), 173(A)(2), 174(B)(2), 181(A)(4), 182(A)(1),3 185(A)(4), 211(heading), 222(A), 223, 234(A)(12), 251, 262(12), 271(B)(12),4 272(A)(2), 312(A)(12), 417(A) and (C), 516, 1301(1),(4), and (8),5 1302(A)(introductory paragraph), 1305(A)(introductory paragraph) and (B),6 1307(D)(1), 1307.1(A), 1329, 1345.1, and 1345.2(4), relative to the State Police7 Pension and Retirement System; to provide for technical corrections; to provide for8 an effective date; and to provide for related matters.9 Notice of intention to introduce this Act has been published.10 Be it enacted by the Legislature of Louisiana:11 Section 1. R.S. 11:4(A)(1)(d), 22(B)(12), 42(B)(10), 62(10), 102(B)(3)(d)(viii),12 148(B), 154(A)(2), 158(B)(13), 162(A), 173(A)(2), 174(B)(2), 181(A)(4), 182(A)(1),13 185(A)(4), 211(heading), 222(A), 223, 234(A)(12), 251, 262(12), 271(B)(12), 272(A)(2),14 312(A)(12), 417(A) and (C), 516, 1301(1),(4) and (8), 1302(A)(introductory paragraph),15 1305(A)(introductory paragraph) and (B), 1307(D)(1), 1307.1(A), 1329, 1345.1, and16 1345.2(4) are hereby amended and reenacted to read as follows:17 SB NO. 18 SLS 12RS-140 ENGROSSED Page 2 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. §4. Classifications of public retirement systems; state systems; statewide systems1 As used in this Title, unless the context clearly indicates otherwise, the2 following terms shall have the meanings ascribed to them:3 A.(1) The term "state retirement system", "state system", or "state pension or4 retirement system, plan, or fund" shall mean one of the following:5 * * *6 (d) Louisiana State Police Pension and Retirement System.7 * * *8 §22. Methods of actuarial valuation established9 * * *10 B. The following funding methods shall be utilized to determine actuarially11 required contributions:12 * * *13 (12) Louisiana State Police Pension and Retirement System: entry age14 normal.15 * * *16 §42. Unfunded accrued liabilities; amortization17 * * *18 B. The provisions of this Subsection shall be implemented and accomplished19 by the governing authorities of the state and statewide public retirement systems as20 set forth herein.21 * * *22 (10) Louisiana State Police Pension and Retirement System. The unfunded23 accrued liability, as of June 30, 1988, determined under the funding method specified24 in R.S. 11:22(B)(12), shall be amortized over a twenty year period, commencing25 with the fiscal year 1989-1990, with level dollar payments annually.26 * * *27 §62. Employee contribution rates established28 Employee contributions to state and statewide public retirement systems shall29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 3 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. be paid at the following rates, except as otherwise provided by law:1 * * *2 (10) Louisiana State Police Pension and Retirement System:3 * * *4 §102. Employer contributions; determination; state systems5 (B)(1) * * *6 (3) With respect to each state public retirement system, the actuarially7 required employer contribution for each fiscal year, commencing with Fiscal Year8 1989-1990, shall be that dollar amount equal to the sum of:9 * * *10 (d) That fiscal year's payment, computed as of the first of that fiscal year and11 projected to the middle of that fiscal year at the actuarially assumed interest rate,12 necessary to amortize changes in actuarial liability due to:13 * * *14 (viii) Effective July 1, 2009, and beginning with Fiscal Year 1992-1993, the15 amortization period for the changes, gains, or losses of the Louisiana State Police16 Pension and Retirement System provided in Items (i) through (iv) of this17 Subparagraph shall be thirty years, or in accordance with standards promulgated by18 the Governmental Accounting Standards Board, from the year in which the change,19 gain, or loss occurred. The outstanding balances of amortization bases established20 pursuant to Items (i) through (iv) of this Subparagraph before Fiscal Year 2008-21 2009, shall be amortized as a level dollar amount from July 1, 2009, through June 30,22 2029. Beginning with Fiscal Year 2008-2009, and for each fiscal year thereafter, the23 outstanding balances of amortization bases established pursuant to Items (i) through24 (iv) of this Subparagraph shall be amortized as a level dollar amount.25 * * *26 §148. Membership age limitations27 * * *28 B. The provisions of Subsection A hereof shall be inapplicable with respect29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 4 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. to any employee whose retirement would be governed by the Louisiana State Police1 Pension and Retirement System, the Municipal Police Employees' Retirement2 System or any other public retirement system or plan maintained for law3 enforcement personnel or firefighters, the Sheriffs' Pension and Relief Fund, the4 provisions within the Louisiana State Employees' Retirement System governing5 employees of the Department of Corrections, R.S. 11:531(2)(a), or the provisions6 within the Louisiana Employees' Retirement System governing wildlife and fisheries7 agents, R.S. 11:581 et seq.8 * * *9 §154. Tax sheltering of employee contributions to retirement10 A. The provisions of this Section shall be applicable to the following public11 retirement systems and pension funds:12 * * *13 (2) Louisiana State Police Pension and Relief Fund Retirement System.14 * * *15 §158. Purchase of service credit in public retirement systems; price16 * * *17 B. The provisions of this Section are applicable to the following public18 retirement or pension systems, funds, and plans:19 * * *20 (13) Louisiana State Police Pension and Retirement System.21 * * *22 §162. Classes of employees not eligible for membership23 A. The provisions of this Section shall apply to the Louisiana State24 Employees' Retirement System, the Teachers' Retirement System of Louisiana, the25 Louisiana State Police Pension and Retirement System, and the Louisiana School26 Employees' Retirement System.27 * * *28 §173. Audit reports; certified public accountants29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 5 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. A. This Section shall be applicable to the following public retirement1 systems:2 * * *3 (2) Louisiana State Police Pension and Relief Fund Retirement System.4 * * *5 §174. Death reports6 * * *7 B. The provisions of Subsection A shall be applicable to the following public8 retirement systems and pension funds:9 * * *10 (2) Louisiana State Police Pension and Relief Fund Retirement System.11 * * *12 §181. Composition of governing boards of state and statewide systems; per diem13 and expenses14 A. Notwithstanding any other provision of law contained in any of the laws15 governing the state retirement systems listed in this Subsection, or any other laws to16 the contrary, the chairman of the House Committee on Retirement and the chairman17 of the Senate Committee on Retirement, or their designees, shall serve as voting ex18 officio members of the governing boards of each of the following state retirement19 systems:20 * * *21 (4) The Louisiana State Police Pension and Retirement System.22 * * *23 §182. Boards of trustees of state and statewide public retirement systems; per diem24 and expenses25 A.(1) Notwithstanding any other provisions of law to the contrary, the26 members of the boards of trustees of the Louisiana State Employees' Retirement27 System, the Teachers' Retirement System of Louisiana, the Louisiana School28 Employees' Retirement System, the Municipal Police Employees' Retirement29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 6 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. System, the Louisiana State Police Pension and Retirement System, the Parochial1 Employees' Retirement System of Louisiana, the Municipal Employees' Retirement2 System of Louisiana, the Firefighters' Retirement System, the Assessors' Retirement3 Fund, the Clerks' of Court Retirement and Relief Fund, the Registrars of Voters4 Employees' Retirement System, the Sheriffs' Pension and Relief Fund, and the5 District Attorneys' Retirement System shall receive for attendance at meetings of the6 boards a per diem of seventy-five dollars per meeting plus the normal expense7 allowance, provided funds are available for this purpose.8 * * *9 §185. Educational requirements for members of retirement system boards of trustees10 A. The provisions of this Section shall apply to the following state retirement11 systems:12 * * *13 (4) The Louisiana State Police Pension and Retirement System.14 * * *15 §211. Louisiana State Police Retirement Fund System16 A. * * *17 §222. Exemption from restrictions on other income for persons confined to a18 wheelchair; state police; municipal police; sheriffs19 A. Any disability beneficiary of the Louisiana State Police Pension and20 Retirement System or of the Municipal Police Employees' Retirement System21 receiving disability benefits as a result of an injury sustained in the line of duty, who,22 as a result of his disability, is permanently and completely confined to a wheelchair23 for movement of person, or is permanently and legally blind as a result of injury24 suffered in the line of duty, shall be exempt from the provisions of R.S. 11:221 or25 any other provision of law which provides for reduction of disability benefits if the26 recipient, subsequent to his disability, becomes gainfully employed.27 * * *28 §223. Exemption from restrictions on other income for amputees; state police;29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 7 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. municipal police1 Any disability beneficiary of the Louisiana State Police Pension and2 Retirement System or of the Municipal Police Employees' Retirement System3 receiving disability benefits as a result of an injury sustained in the line of duty, who,4 as a result of his injury, is an amputee to a degree that he would be disqualified from5 serving as a state trooper or as a municipal policeman, shall be exempt from the6 provisions of R.S. 11:221 or any other provision of law which provides for reduction7 of disability benefits if the recipient, subsequent to his disability, becomes gainfully8 employed.9 * * *10 §234. Survivor benefits11 A. The provisions of this Section shall be applicable to all members of the12 following public retirement systems:13 * * *14 (12) Louisiana State Police Pension and Retirement System.15 * * *16 §251. Legal counsel, certified public accountants, professional investment17 personnel18 Notwithstanding any other provisions of law to the contrary, the boards of19 trustees of the Louisiana State Employees' Retirement System, the Teachers'20 Retirement System of Louisiana, the Louisiana School Employees' Retirement21 System, the Municipal Police Employees' Retirement System, the Louisiana State22 Police Pension and Retirement System, the Parochial Employees' Retirement System23 of Louisiana, the Municipal Employees ' Retirement System of Louisiana, the24 Firefighters Retirement System, the Assessors' Retirement Fund, the Clerks of Court25 Retirement and Relief Fund, the Registrars of Voters Employees' Retirement System,26 the Sheriffs' Pension and Relief Fund, and the District Attorneys' Retirement System27 are hereby authorized, jointly or otherwise, to at their option either employ or28 appoint at their own cost and expense legal counsel, certified public accountants, and29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 8 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. professional investment personnel who shall be full-time in-house staff members of1 said systems, who may be members of the appropriate public retirement system, and2 who may participate in the state's group life, health, and hospitalization insurance3 program, or to retain legal counsel to represent said systems who shall not be a4 member of any of the above systems.5 * * *6 §262. Applicability7 The provisions of this Subpart are applicable to the following public8 retirement or pension systems, funds, and plans:9 * * *10 (12) Louisiana State Police Pension and Retirement System.11 * * *12 §271. Purpose; elimination of unfunded accrued liability13 * * *14 B. The provisions of this Section are applicable to the following public15 retirement systems:16 * * *17 (12) Louisiana State Police Pension and Retirement System.18 * * *19 §272. Early retirement eligibility20 A. Notwithstanding any other provision of law to the contrary, the provisions21 of this Section shall be applicable to all members of the following public retirement22 systems:23 * * *24 (2) Louisiana State Police Pension and Relief Fund Retirement System,25 * * *26 §312. Application, definitions27 A. The provisions of this Subpart shall apply to the following public28 retirement or pension systems, plans, or funds:29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 9 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. * * *1 (12) Louisiana State Police Pension and Retirement System.2 * * *3 §417. Members employed in other state or public employment4 A. Any person who is a member of the Louisiana State Employees'5 Retirement System, who has creditable membership service of at least five years in6 this system, and who becomes employed in other state or public employment where7 he is no longer eligible for membership in this system, but is eligible for membership8 in the Louisiana School Employees' Retirement System, the Louisiana State Police9 Pension and Retirement Fund System, the Teachers' Retirement System of10 Louisiana, or the Municipal Police Employees' Retirement System shall have the11 right to remain a member of this system in lieu of membership in the other state or12 statewide retirement system by filing a notice of election to remain in this system,13 in writing, with the board of trustees within thirty days after the effective date of14 employment. Such election shall be irrevocable.15 * * *16 C. Any person who is a member of the Louisiana State Employees'17 Retirement System, who becomes employed in other state or public employment18 where he is no longer eligible for membership in this system as a result of official19 actions over which the member has no control, who is eligible for membership in the20 Louisiana School Employees' Retirement System, the Louisiana State Police21 Pension and Retirement System, the Teachers' Retirement System of Louisiana, or22 the Municipal Employees' Retirement System, and who has at least one year of23 creditable service in this system, shall have the right to remain a member of this24 system in lieu of membership in the other state or statewide retirement system, by25 filing a notice of election to remain in the system, in writing, with the board of26 trustees within thirty days after the effective date of the change in employment. The27 election shall be irrevocable.28 * * *29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 10 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. §516. Joint administration with other systems1 The board of trustees may take such actions as it deems necessary or2 appropriate to provide for the joint administration of the retirement system and the3 Louisiana State Police Pension and Retirement System; however, no action shall be4 taken which would impair the integrity of the board of trustees of each of the systems5 or the integrity of funds and investments of each of the systems. The boards may,6 pursuant to the authority herein, appoint the same secretary-treasurer or7 secretary-manager , any other provision of law to the contrary notwithstanding.8 Funds appropriated for the administration of each system shall be used for such9 purpose and in the category of expenditures appropriated but otherwise may be10 transferred to accomplish the purposes of this Section without the necessity of11 additional approval by the legislature, the Legislative Budget Committee, or its12 successor, or the division of administration or its commissioner.13 * * *14 §1301. Definitions15 As used in this Chapter, the following terms have these meanings:16 (1) "Board" means the Louisiana State Police Retirement System Board.17 * * *18 (4) "Fund" means the Louisiana State Police Retirement System Fund.19 * * *20 (8) "System" means the Louisiana State Police Pension and Retirement21 System.22 * * *23 §1302. Creation and composition of board; powers; expenses of administration24 A. The Louisiana State Police Retirement System Board is created and is25 composed of the following members:26 * * *27 §1305. Membership in pension and retirement system; credit for unclassified service28 prohibited; exceptions29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 11 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. A. Membership in the Louisiana State Police Pension and Retirement1 System shall consist of the following:2 * * *3 B. Except for the secretary and the deputy secretary of the Department of4 Public Safety and Corrections who shall be unclassified state employees, all5 members of the state police pension and retirement system State Police Retirement6 System shall be classified employees under the state civil service system and after7 July 27, 1966 no service credit shall be allowed in the system for unclassified service8 with the office of state police except for service as secretary and deputy secretary of9 the Department of Public Safety and Corrections.10 * * *11 §1307. Persons eligible to retire on basis of service and age; retirement benefits12 * * *13 D.(1) Regardless of the compensation actually paid to a member, retirement14 benefits from the Louisiana State Police Pension and Retirement System shall be as15 provided in this Chapter, except that his retirement benefits shall not exceed the16 amount he would receive, assuming for computation purposes his earnings were17 equal to the highest step of the pay range for the highest classified position in the18 office of state police. The member's contributions shall be based upon the above19 salary assumed for computation purposes.20 * * *21 §1307.1. Exceptions22 A. The provisions of R.S. 11:1307(A) as set forth in Section 1 of Acts 2001,23 No. 1160, shall not be applicable to those persons who retired from or became24 beneficiaries of the Louisiana State Police Pension and Retirement System on or25 before June 30, 2001. The provisions of R.S. 11:1307(A) shall apply to any such26 person as R.S. 11:1307(A) was in effect at the time of such person's retirement.27 * * *28 §1329. Increase in pensions; sale of drivers' licenses29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 12 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. An increase of twenty-five per cent in the pensions presently being paid to1 former officers and employees of the State Police Department who retired prior to2 January 1, 1955 under the provisions of R.S. 11:1306 through 1326, as amended, is3 hereby authorized, and out of the receipt derived from the sale of "drivers' licenses"4 accruing to the Driver's License Division of the Department of Public Safety and5 Corrections under the provisions of R.S. 32:412, the sum of twenty thousand dollars6 is hereby appropriated, set aside and dedicated for the fiscal year 1961-62 and each7 Fiscal Year thereafter to pay the increases herein authorized, and said amount shall8 be deposited annually in the Louisiana State Police Pension and Retirement System9 Fund from which fund said increases shall be paid.10 * * *11 §1345.1. Creation; application12 There is hereby created a retirement plan within this system for persons who13 would otherwise be eligible for membership in the Louisiana State Police14 Employees' Pension and Retirement System but whose first employment making him15 eligible for membership in one of the state systems occurred on or after January 1,16 2011. Such plan shall be known as the New State Police Retirement Plan. Any other17 provisions of this Chapter or any other laws to the contrary notwithstanding, the18 retirement of such persons shall be governed by the provisions of this Part; however,19 if provisions of this Chapter cover matters not specifically addressed by the20 provisions of this Part or if any of the provisions of this Chapter are made applicable21 in this Part, then those provisions shall apply to members governed by this Part.22 §1345.2. Application; definitions23 Terms not specifically defined in this Section shall have the meanings24 provided in R.S. 11:1301 unless a different meaning is clearly required by the25 context. For purposes of this Part:26 * * *27 (4) "System" means the Louisiana State Police Pension and Retirement28 System.29 SB NO. 18 SLS 12RS-140 ENGROSSED Page 13 of 13 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Lauren Bailey. DIGEST Guillory (SB 18) Present law provides relative to the State Police Pension and Retirement System and uses various names for the system. Proposed law clarifies that the official name of the system is the Louisiana State Police Retirement System. (Amends R.S. 11:4(A)(1)(d), 22(B)(12), 42(B)(10), 62(10), 102(B)(3)(d)(viii), 148(B), 154(A)(2), 158(B)(13), 162(A), 173(A)(2), 174(B)(2), 181(A)(4), 182(A)(1), 185(A)(4), 211(heading), 222(A), 223, 234(A)(12), 251, 262(12), 271(B)(12), 272(A)(2), 312(A)(12), 417(A) and (C), 516, 1301(1),(4), and (8), 1302(A)(intro. para.), 1305(A)(intro. para.) and (B), 1307(D)(1), 1307.1(A), 1329, 1345.1, and 1345.2(4))