§ 11:1902 — Definitions

Louisiana § 11:1902

• Jurisdiction: Louisiana
• Title 11: Consolidated Public Retirement Systems

Text

§1902. Definitions
As used in this Chapter, the following words and phrases shall have the following
meanings, unless a different meaning is plainly required by context:
(1) "Accumulated contributions" means the sum of all amounts deducted from a
member's compensation and credited to his individual account in the annuity savings fund.
(1.1) "Actuarial equivalent" shall mean a benefit of equivalent value to the
accumulated contributions, annuity, or benefits, as the case may be, computed on the basis
of such mortality and interest tables as shall be adopted by the board of trustees in
accordance with the provisions of R.S. 11:1985.
(2) "Adjusted service date" means the service date adjusted by the amount of any
creditable service other than membership service, or for any periods of interrupted service,
and from which all creditable service shall be calculated.
(3) "Agreement" means the document of participation between a participating
employer and the board, that sets forth the requirements and procedures for covering the
employees of such participating employer under this system.
(4) "Agreement date" means the date as of which the provisions of this Chapter first
become applicable to an employer.
(5) "Annuity reserve fund" means the fund in which shall be held the reserves for
liabilities or retirees and beneficiaries.
(6) "Annuity savings fund" means the fund to which all accumulated contributions
of members are credited.
(7) "Beneficiary" means the person designated in writing by a member to receive any
benefits to which he may be entitled under this Chapter.
(8) "Board" or "board of trustees" means the board of trustees of this system.
(9) "Creditable service" means all periods of time for which credit is allowed towards
any benefits of this Chapter.
(10) "Disability" means a condition which in the determination of the board renders
an employee permanently and totally disabled, by bodily injury or disease, from performing
the duties and responsibilities of his position; provided, however, that such condition is not,
directly or indirectly, the result of military service, engaging in a felonious criminal
enterprise, habitual drunkenness or use of narcotics, intentionally self-inflicted injury, or
declared war or enemy action.
(11) "Earnings" shall mean the full rate of compensation paid to the member
(employee); however, in computing the earnings of an employee for retirement purposes, the
amount of overtime earnings to be used in the computation of earnings cannot exceed the
average amount of overtime earnings received for the six-year period immediately preceding
retirement. Earnings shall not include fees or commissions. This definition shall supersede
any contrary provisions in the general retirement statutes regarding overtime computation,
including that portion of R.S. 11:233(B), so that all overtime is included in this computation,
regardless of whether it was required to be worked in the employee's regular tour of duty.
(12)(a) "Employee" means any person who is employed as a permanent employee
of a parish who works at least twenty-eight hours a week and whose compensation is paid
wholly or partly by said parish, but excluding all persons employed by a parish or city school
board, and all persons eligible for any other public retirement system in this state.
(b) "Employee" shall also mean a person employed by either the Police Jury
Association of Louisiana or this retirement system and elected officials of the governing
authority of any parish covered by this Chapter, and shall include members of school boards
at their options.
(c) "Employee" shall also mean a person employed by a district indigent defender
program in this state, without regard to the source of funds for such districts or programs,
provided the employee works at least twenty-eight hours a week and the program is an
employer as defined in this Section. No person employed by an indigent defender program
shall be entitled to receive credit for service rendered prior to becoming eligible for
membership in the system.
(d) "Employee" shall also mean a person employed by a soil and water conservation
district that is an employer as defined in this Section, without regard to the source of funds
for such districts.
(e) "Employee" shall also mean a person employed by a public trust that meets all
of the following conditions:
(i) The trust was created pursuant to R.S. 9:2341 et seq.
(ii) The trust exists for the sole benefit of a parish, without regard to the source of
funds for such trust.
(iii) The trustees of the trust have submitted a plan pursuant to R.S. 11:1903, and the
plan has been approved by the board of trustees.
(f) "Employee" shall also mean a person employed by a taxing district that is an
employer as defined in this Section.
(g) "Employee" shall also mean a person employed by a branch or section of a parish
if the branch or section is an employer as defined in this Section.
(h) "Employee" also means an employee of the Louisiana School Boards Association
who meets all of the following:
(i) He was hired by the association before July 1, 2021.
(ii) He, as of June 30, 2021, has less than five years of creditable service in the
Teachers' Retirement System of Louisiana.
(iii) He is not the director of the Louisiana School Boards Association.
(iv) In any case of doubt, the board of trustees shall be the sole judge of who is an
employee.
(13) "Employer" means any parish in the state of Louisiana, except Orleans and East
Baton Rouge Parishes, or the police jury or any other governing body of a parish which
employs and pays persons serving the parish. "Employer" means also the Police Jury
Association of Louisiana, this retirement system, and any entity with an approved plan
pursuant to R.S. 11:1903. "Employer" also means the Louisiana School Boards Association
if an employee of the association is an employee as defined in Subparagraph (12)(b) of this
Section. "Employer" shall not mean a parish or city school board.
(14)(a) "Final compensation", for members hired on or before December 31, 2006,
means the average monthly earnings during the highest thirty-six consecutive months or
joined months if service was interrupted. The earnings to be considered for the thirteenth
through the twenty-fourth month shall not exceed one hundred fifteen percent of the earnings
of the first through the twelfth month. The earnings to be considered for the final twelve
months shall not exceed one hundred fifteen percent of the earnings of the thirteenth through
the twenty-fourth month.
(b) For members hired on or after January 1, 2007, "final compensation" means the
average monthly earnings during the sixty highest consecutive months of employment or the
sixty highest successive joined months of employment if interruption of service occurred.
The earnings to be considered for the thirteenth through the twenty-fourth month shall not
exceed one hundred fifteen percent of the earnings for the first through the twelfth month.
The earnings to be considered for the twenty-fifth through the thirty-sixth month shall not
exceed one hundred fifteen percent of the earnings for the thirteenth through the twenty-fourth month. The earnings to be considered for the thirty-seventh through the forty-eighth
month shall not exceed one hundred fifteen percent of the earnings for the twenty-fifth
through the thirty-sixth month. The earnings to be considered for the final twelve months
shall not exceed one hundred fifteen percent of the earnings for the thirty-seventh through
the forty-eighth month.
(15) "Final salary" means the average monthly earnings of a member during the
twelve-month period immediately preceding his death or retirement.
(15.1) "Fiscal year" shall mean the twelve-month period ending on December 31, of
each year.
(16) "Medical board" means the board of physicians which shall arrange for or
review medical examinations as required by this Chapter or applicable state laws.
(17) "Member" means a contributing employee who is covered under the provisions
of this Chapter. A person who has received a return of accumulated contributions pursuant
to R.S. 11:1935 shall no longer be considered a member. If a person who has received a
return of contributions is later employed in a capacity covered under the provisions of this
Chapter, he shall become a member effective upon the date of that employment,
notwithstanding the repayment, if any, of the returned contributions.
(18) "Members annuity" means that portion of a retirement allowance that is
attributable to a member's accumulated contributions payable for life in equal monthly
installments.
(19) "Minor child" means an unmarried child under the age of eighteen years who
is: the issue of a marriage; the legally adopted child of a member of this system; the natural
child of a female member of this system; the child of a male member of this system if a court
of competent jurisdiction has made an order of filiation declaring the paternity of such a
member for the child or if the father has formally acknowledged the child; or, who had a
disability at the time of the member's death and who remains in such disability status.
(20) "Pension accumulation fund" means the fund to which shall be credited all
payments to the system exclusive of those amounts to be credited to the annuity savings and
expense funds.
(21) "Plan A" means the revised plan to replace a combination of the regular and
supplemental plans, to be effective January 1, 1980, as outlined in Part III.
(22) "Plan B" means the revised plan to replace the regular plan, to be effective
January 1, 1980, as outlined in Part IV.
(22.1) "Plan C" means the plan to be effective July 1, 1997, as outlined in Part IV-A
of this Chapter.
(23) "Regular plan" means the original plan that became effective upon the
establishment of the retirement system in 1953, as amended, excluding the supplemental
plan.
(24) "Revision date" means January 1, 1980, the effective date of the establishment
of Plan A and Plan B.
(25) "Service certificate" means a statement of a member's total creditable service
as approved by the board.
(26) "Service date" means the date of enrollment of a member into the system.
(27) "Supplemental plan" means the supplementary plan established by Act No. 538
of 1968, as amended, to provide benefits in addition to those of the regular plan.
(28) "Surviving spouse" means a legal spouse who was married to a member at the
time of the member's death and for at least twelve months immediately prior thereto.
(29) "System" or "retirement system" means the Parochial Employees' Retirement
System of Louisiana, established as of January 1, 1953, defined in Chapter 5, Title 11 of the
Louisiana Revised Statutes, and as subsequently amended.
(30) "Tier 1" means the benefit structure applicable to members hired prior to
January 1, 2007.
(31) "Tier 2" means the benefit structure applicable to members hired on or after
January 1, 2007.
NOTE: Acts 2014, No. 811 changed terminology referring to persons with
disabilities throughout the La. Revised Statutes and codes of law, and included a
listing of terms that were deleted and their respective successor terms (See Acts
2014, No. 811, §36). The Act provides that it is not the intent of the legislature that
changes in terminology effected therein alter or affect in any way the substance,
interpretation, or application of any law or administrative rule; further provides that
nothing in the Act shall be construed to expand or diminish any right of or benefit for
any person provided by any law or administrative rule (See Acts 2014, No. 811,
§35(C) and (D)).

Legislative History

Acts 1979, No. 765, §1; Acts 1981, No. 598, §1; Acts 1982, No. 718, §2; Acts 1983, No. 213, §1; Acts 1983, No. 214, §1; Acts 1988, No. 133, §1; Acts 1990, No. 450, §1; Redesignated from R.S. 33:6102 by Acts 1991, No. 74, §3, eff. June 25, 1991; Amended by Acts 1993, No. 855, §1; Acts 1997, No. 867, §1, eff. July 1, 1997; Acts 2001, No. 695, §1, eff. Jan. 1, 2002; Acts 2003, No. 819, §1, eff. July 1, 2003; Acts 2006, No. 584, §1, eff. July 1, 2006; Acts 2006, No. 780, §1, eff. June 30, 2006; Acts 2012, No. 226, §1, eff. June 30, 2012; Acts 2014, No. 811, §4, eff. June 23, 2014; Acts 2019, No. 58, §1; Acts 2020, No. 5, §1; Acts 2021, No. 138, §1, eff. June 11, 2021.