HLS 15RS-367 ORIGINAL
2015 Regular Session
HOUSE BILL NO. 11
BY REPRESENTATIVE PRICE
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
RETIREMENT/SCHOOL EMPS: Provides exceptions, in certain circumstances, to
required employer payment of Louisiana School Employees' Retirement System
unfunded accrued liability
1 AN ACT
2To amend and reenact R.S. 11:1195.1(A) and 1195.2(A) and to enact R.S. 11:1195.1(D) and
3 1195.2(D), relative to required employer payments of unfunded accrued liability due
4 to termination of employees and elimination of positions covered by the Louisiana
5 School Employees' Retirement System; to provide exceptions to such required
6 payments in certain circumstances; and to provide for related matters.
7 Notice of intention to introduce this Act has been published
8 as provided by Article X, Section 29(C) of the Constitution
9 of Louisiana.
10Be it enacted by the Legislature of Louisiana:
11 Section 1. R.S. 11:1195.1(A) and 1195.2(A) are hereby amended and reenacted and
12R.S. 11:1195.1(D) and 1195.2(D) are hereby enacted to read as follows:
13 §1195.1. Unfunded accrued liability; payment by employer
14 A. Notwithstanding any other provision of law, if an employer terminates a
15 group of employees belonging to this system by eliminating the positions held by
16 those employees through privatizing, outsourcing, contracting the service with a
17 private employer, or any other means other than attrition or force reduction, then the
18 employer shall remit that portion of the unfunded accrued liability existing on June
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 15RS-367 ORIGINAL
HB NO. 11
1 thirtieth, immediately prior to the date of termination attributable to the employees
2 being terminated.
3 * * *
4 D. The provisions of Subsection A of this Section shall not apply if the
5 employees whose positions have been eliminated are retained by the employer in
6 other positions that are covered by the system.
7 §1195.2. Unfunded accrued liability; payment by employer; any position
8 A. Notwithstanding any other provision of law, if an employer eliminates
9 any position through privatizing, outsourcing, contracting the service with a private
10 employer, or any other means other than attrition or force reduction, then the
11 employer shall remit that portion of the unfunded accrued liability existing on June
12 thirtieth, immediately prior to the date of termination of the employee in that
13 position, which is attributable to that position.
14 * * *
15 D. The provisions of Subsection A of this Section shall not apply if the
16 employee whose position has been eliminated is retained by the employer in another
17 position that is covered by the system.
18 Section 2. This Act shall become effective upon signature by the governor or, if not
19signed by the governor, upon expiration of the time for bills to become law without signature
20by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
21vetoed by the governor and subsequently approved by the legislature, this Act shall become
22effective on the day following such approval.
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)]
HB 11 Original 2015 Regular Session Price
Abstract: Provides exceptions to required employer payments of unfunded accrued liability
(UAL) if elimination of positions is due to attrition or force reduction or if there is
continued employment in another Louisiana School Employees' Retirement System-
covered (LSERS) position by the employee whose position has been terminated.
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are additions. HLS 15RS-367 ORIGINAL
HB NO. 11
Present law (R.S. 11:1195.1 and 1195.2) requires an employer that terminates a group of
employees or a position covered by LSERS to remit to the retirement system any UAL
attributable to those terminated positions.
Proposed law provides an exception to present law, removes the requirement for employer
UAL payment if the position is eliminated due to attrition or force reduction.
Further provides that the present law employer payment is not required if an employee
whose position is eliminated is retained by the employer in another position that is covered
by LSERS.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 11:1195.1(A) and 1195.2(A); Adds R.S. 11:1195.1(D) and 1195.2(D))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.