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 43 Original 2024 Regular Session Bacala
Abstract: Provides relative to the Municipal Police Employees' Retirement System (MPERS)
including provisions for: UAL payments by municipalities that dissolve or substantially
reduce their police departments; deadlines for submission of member information and
reports; penalties for failing to timely submit information or reports; and service on the
MPERS board of trustees.
Proposed law requires MPERS employers to submit to the retirement system a fully completed
membership enrollment form, a copy of the birth certificate and Social Security card for each
member it employs and his beneficiaries within 90 days after employment.
Present law requires an employee to have a physical examination and further requires that the
examination and the execution of any waivers of preexisting conditions or history be received by
the system within six months after employment.
Proposed law changes the deadline for submitting the physical examination to the system to 90 days
after employment.
Proposed law provides that an employer that does not submit the required materials within 90 days
shall pay a fine of $100 per day per member whose documents have not be submitted, subject to a
maximum of $2000 per member. Provides for interest on unpaid amounts. Provides that no retiree
or beneficiary shall receive benefits if the documents are not received and fines not paid. Provides
that an affidavit opting out of membership in the system, as authorized by present law, is not
effective until the date that such documents are provided and fines paid.
Present law provides that the MPERS system is governed by a board of trustees comprised of 15
members. Board membership includes seven active contributing members, four of who shall be
police chiefs and three of whom shall not be chiefs.
Proposed law provides that if such a member of the board with no more than two years left in his
term becomes a retiree of the system or is no longer a police chief, he shall continue to serve as a
member of the board until the expiration of the term for which he was elected. Proposed law requires a municipality that employed a police officer or chief within the previous 10
fiscal years to submit reports to the system as follows:
(1)Reports shall be submitted no later than the 15th day of each month.
(2)The reports shall include the amount of earnable compensation per employee and shall
separately report state supplemental pay and the amount of compensation paid for overtime.
The report shall include other information prescribed by the board.
(3)If a report is in error as to the earnable compensation of any member and such an error results
in an overpayment of benefits by the system, the municipality shall reimburse the system for
the overpayments within 30 days after notification of the discovery of the error or
overpayment.
(4)The penalty for failing to timely file such reports is $100 per day, subject to a maximum of
$2000 per month. Once the penalty meets the maximum, the municipality is also required
to pay interest on the penalty.
Present law requires a municipality that dissolves or substantially reduces the size of its police
department to make certain unfunded accrued liability payments to MPERS based on the size of the
department prior to the reduction. Proposed law amends present law regarding partial dissolutions
as follows:
(1)Present law provides that a police department is partially dissolved if its number of
employees participating in the system is reduced by at least 50. Proposed law retains present
law. Present law provides that a police department is partially dissolved if the number of
participating employees is reduced by 30% or more and either the number of participating
employees decreases by at least two or the number of participating employees is zero.
Proposed law provides that a department is partially dissolved if that number is reduced by
20%.
(2)Present law provides that a partial dissolution is determined by comparing the number of
employees in the current year to the number in the previous year. Proposed law provides that
the number in the current year is compared to the average of the 10 previous years.
(3)Proposed law provides for a 25% penalty for unpaid payments. Further provides that the
employer shall reimburse the system any legal and actuarial fees associated with collection
of the payments.
Effective July 1, 2024.
(Amends R.S. 11:2214(A)(2)(a) and (d)(ii), 2225(A)(3)(a), 2225.4, and 2227(A) and (B)(1)(intro.
para.))