2006 Louisiana Laws - RS 11:1733 — Agreement for coverage of employees of incorporated cities, towns, and villages

§1733.  Agreement for coverage of employees of incorporated cities, towns, and villages

A.  Each incorporated city, town, or village is hereby authorized to submit for board approval an agreement for extending the benefits of this Chapter to its employees.  Each such agreement or amendment thereof shall be approved by the board if it is in conformity with the rules of the board, the requirements of this Chapter, and applicable state laws.  Each agreement shall:

(1)  Specify the particular plan of the system in which the employer wishes to enroll.  

(2)  Designate the classes of employees to be enrolled and certify that such employees meet the membership criteria of this Chapter.  

(3)  Specify that all eligible employees shall become members in this system on the agreement date and all future employees shall become members as a condition of employment.  

(4)  Certify all periods of employment for each employee and specify the extent to which credit for such prior service shall be granted.  

(5)  Provide as an attachment to the agreement, and at the employer's expense, an actuarial study of the total existing accrued liability.  

(6)  Provide for payment to the system at time of enrollment, of an amount to be determined by the board in accordance with its funding philosophy, to offset the increase in accrued liability to the system.  

(7)  Specify the source or sources from which the funds necessary to make the payments required by this Chapter are expected to be derived, that such sources will be adequate for such purpose, and that all contributions required by this Chapter shall be collected and remitted to the system.  

(8)  Certify, if enrollment is to be in Plan A, that the employer has officially terminated its agreement with the Department of Health, Education and Welfare for employee coverage under the Social Security Act, except as noted in R.S. 11:1734, or agrees not to apply for such coverage.  

(9)  Provide for the appointment of an authorized agent.  

(10)  Provide that the authorized agent will make such reports, in such form, containing such information, as the board may from time to time require, and comply with such provisions as the board may find necessary to assure the correctness and completeness of such reports.  

(11)  Authorize the board to terminate the plan in its entirety if it finds a failure to comply substantially with any provision contained in such plan, such termination to take effect at the expiration of such notice and on such conditions as provided by the board.  

B.  The board shall not finally refuse to approve an agreement submitted under Subsection A of this Section, and shall not terminate an agreement, without reasonable notice and opportunity for hearing to each employer affected thereby.  

C.  Each employer as to which a plan has been approved under this Section shall pay into the contribution fund, with respect to earnings, at such time or times as the board may by regulation prescribe, contributions in the amounts and at the rates prescribed by the board as set forth in Parts III and IV of this Chapter.  

D.  Every employer required to make payments under C, above, is authorized, in consideration of the employees' membership service, to impose upon its employees, as to services which are covered by an agreement, a contribution with respect to earnings as set forth in Parts III and IV and to deduct the amount of such contribution from earnings as and when paid.  Contributions so collected shall be paid into the appropriate fund in partial discharge of the liability of such employer.  Failure to deduct such contribution shall not relieve the employee or employer of liability thereof.  

E.  Delinquent payments due under C, above, may, with interest at the rate of six per centum compounded annually, be recovered by action in a court of competent jurisdiction against the employer liable therefor or shall, upon due certification of delinquency and at the request of the board, be deducted from any other moneys payable to such employer by any department or agency of the state.  

Acts 1978, No. 788, §1; Redesignated from R.S. 33:7153 by Acts 1991, No. 74, §3, eff. June 25, 1991.