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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2014 ENROLLED
SENATE BILL NO. 2
BY SENATOR MILLS
AN ACT1
To amend and reenact R.S. 11:446(F), 450(B), and 471.1(G) and to enact R.S. 11:1903(F),2
relative to retirement benefits of public employees hired after a certain date; to3
provide for participation, options, contributions, and eligibility; to provide for4
technical corrections; to provide for an effective date; and to provide for related5
matters.6
Notice of intention to introduce this Act has been published.7
Be it enacted by the Legislature of Louisiana:8
Section 1. R.S. 11:446(F), 450(B), and 471.1(G) are hereby amended and reenacted9
and R.S. 11:1903(F) is hereby enacted to read as follows:10
§446. Mode of payment where option elected11
* * *12
F. If the member is married, the designated beneficiary for a qualified joint13
and survivor annuity and any Deferred Retirement Option Plan benefits payable in14
accordance with law shall be his spouse, unless such spouse has consented to the15
contrary in writing before a notary public, or such spouse cannot be located and the16
member submits an original affidavit signed by him before a notary public which17
evidences good faith efforts to locate the spouse. If the member does not select a18
joint and survivor annuity option and fails to provide such a spousal consent at the19
time of his retirement and his spouse survives him, then for the purposes of a20
retirement benefit option the system shall establish the benefit as if the member had21
selected the Option 3 joint and survivor annuity as provided in Paragraph (3) of22
ACT No. 851 SB NO. 2 ENROLLED
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Subsection (A)(3) of this Section. For purposes of this Paragraph, "spouse" shall1
mean that person who is married to the member under a legal regime of community2
of acquets and gains on his effective date of retirement or effective date of3
participation in the Deferred Retirement Option Plan, whichever is earlier.4
* * *5
§450. Termination of participation6
* * *7
B. Upon termination of participation in the plan but not employment, credits8
to the account shall cease and no retirement benefits shall be paid to the participant9
until employment is terminated. The balance in the participant's subaccount shall be10
placed in a self-directed subaccount in the name of the participant as provided for in11
R.S. 11:451.1, and the participant shall then be bound by the provisions of said that12
Section. No payment shall be made based on credits in the subaccount until13
employment is terminated as defined in this Section. The participant may continue14
employment after termination of participation in the plan for the sole purpose of15
accruing a supplemental benefit, and employer and employee contributions shall16
resume. Correction officers, probation and parole officers, and security officers of17
the Department of Public Safety and Corrections; peace officers of the Department18
of Public Safety and Corrections, office of state police, other than state troopers, as19
provided in R.S. 11:444(A)(2)(b); and personnel employed by the Department of20
Revenue, office of alcohol and tobacco control, as provided in R.S. 11:444(A)(2)(c),21
Participants who have ended their participation in the Deferred Retirement Option22
Plan but not employment shall make contributions at the rate established in R.S.23
11:62(5)(b).24
* * *25
§471.1. Survivors' benefits; members hired on or after January 1, 201126
* * *27
G. If a member dies, even after retirement, eligible minor children shall28
receive the benefits under Subsection C of this Section.29
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§1903. Admission of taxing districts; district indigent defender programs; soil and1
water conservation districts2
* * *3
F. Notwithstanding any provision of this Chapter to the contrary, a4
hospital service district located in a parish with a total population between5
seventy thousand and eighty thousand persons as of the latest federal decennial6
census may terminate coverage for employees of the district first hired on or7
after January 1, 2015, as further provided in this Subsection.8
(1) If any plan entered into by a hospital district under this Section is9
prospectively terminated, the hospital district which prospectively terminates10
its plan may not again begin participation for new employees in the system11
pursuant to this Section, unless approved by the board of trustees.12
(2) Prospective termination of a plan shall follow all notice and any other13
requirements of termination provided for in the plan agreement.14
(3) If, pursuant to this Subsection, an employer terminates its agreement15
for coverage of its employees first hired after the effective date of the16
termination, the employer shall remit to the system that portion of the unfunded17
actuarial accrued liability, if any, which is attributable to the employer's18
termination. The amount required to be remitted pursuant to this Paragraph19
shall be determined as of the December thirty-first immediately prior to the20
date of termination. Such determination shall be made using the entry age21
normal actuarial funding method.22
(4) The amount due shall be determined by the actuary employed by the23
system and shall either be paid in a lump sum or amortized over ten years in24
equal monthly payments with interest at the system's actuarial valuation rate25
in the same manner as regular payroll payments to the system, at the option of26
the employer.27
(5) Should the employer fail to make payment timely, the amount due28
shall be collected in the same manner as authorized by Subsection D of this29
Section and R.S. 11:2014.30 SB NO. 2 ENROLLED
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Coding: Words which are struck through are deletions from existing law;
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Section 2. This Act shall become effective on January 1, 2015; if vetoed by the1
governor and subsequently approved by the legislature, this Act shall become effective on2
January 1, 2015, or on the day following such approval by the legislature, whichever is later.3
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED: