§ 11:2175 — Blanket fidelity insurance policy; powers of board; rehired retirees; refund of

Louisiana § 11:2175

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

Text

§2175. Blanket fidelity insurance policy; powers of board; rehired retirees; refund of
contributions; restrictions on payments; warrants; deposits; investments
A. The board shall carry a blanket fidelity insurance policy covering each officer
handling the money or securities of the fund in an amount not to exceed twenty-five thousand
dollars. The board shall pay the premium therefor out of its funds.
B. The board of trustees may employ an executive director and other personnel and
pay all reasonable and proper expenses required for the efficient operation of the fund.
C.(1) Any member who withdraws from service as a sheriff or deputy may apply for
and obtain a refund of the amount of his contributions by making application on the form
furnished by the fund after he has remained out of service for a period of thirty calendar days
and after all contributions for said member have been submitted by the appropriate sheriff's
office. In addition, such person may apply for and obtain a payment of any contributions
made on his behalf by his employer pursuant to R.S. 11:2174(B)(3)(b) and (5)(b), reduced
by that portion of such contributions described in R.S. 11:103, without the increase provided
in R.S. 11:2174(B)(3)(b) or (5)(b), respectively. A refund automatically cancels all rights
in the fund and the member forfeits all prior service and military service as well as
membership credit for the period refunded.
(2)(a) If any member, who withdrew from service and obtained a refund or other
payment in accordance with this Section, should return to service and become a member of
the fund, then he shall be entitled to reestablish credit for such refunded service by making
payment to the fund of the amount of the refund previously obtained, plus interest at the
board-approved actuarial valuation rate, compounded annually from the date of the refund
to the date of repayment.
(b) If the refund described in Subparagraph (a) of this Paragraph represents four or
more years of service credit, then the refund may be repaid in two separate transactions.
Service credit shall be credited to the member's account in an amount equal to the portion of
service represented by the repayment. No service shall be credited to a member's account
prior to the repayment of the refund.
(3)(a) Any participating member of the fund, who has prior service time performed
as a sheriff, deputy, or noncommissioned employee in a member parish of the fund, which
has not been purchased or credited in the fund, shall be entitled to purchase such credit by
making payment to the fund of an amount calculated in accordance with the provisions of
R.S. 11:158(C).
(b) In the event a member applies for a transfer and has a break in service in the
Sheriffs' Pension and Relief Fund, notwithstanding the provisions of R.S. 11:143(F)(3), the
fund may approve a transfer in which the amount transferred is equal to the accrued liability
multiplied by the ratio of the most recent average monthly salary based on thirty-six months
salary or actual salary if less than thirty-six months, divided by monthly salary used to
determine the accrued liability.
(c) Any member of the fund with a minimum of twelve years of service credit
applicable to eligibility for regular retirement may purchase up to five years of permissive
service credit as defined in the Pension Protection Act of 2006, Section 415(n) of the Internal
Revenue Code, and the corresponding Treasury regulations. The service may be purchased
only in full-month increments by paying the total cost of the actuarial value of benefits to be
purchased. The request to purchase permissive service credit pursuant to this Subparagraph
shall be accompanied by the member's application for retirement from the fund. On the day
such purchase is completed, the member shall terminate employment and retire. His
retirement shall be effective on the next business day following the purchase. The board
shall adopt policies and procedures for the implementation of this Subparagraph, including
providing for a member to request the required actuarial calculation with the cost of such
calculation to be paid by the member.
D. In the event of the death of any sheriff or deputy who has not participated in the
benefits of the fund and who is not survived by a surviving wife or a dependent entitled to
participate in the benefits of the fund, the board shall refund to the heir or heirs of said
deceased sheriff or deputy all contributions made to the fund.
E.(1) Except as provided in this Paragraph and in Paragraph (7) of this Subsection,
the board of trustees shall not authorize, grant, or pay any retirement or disability benefit to
any person employed by or in the office of any sheriff of any parish of the state of Louisiana.
The board may authorize, grant, or pay a retirement or disability benefit to a retiree who is
reemployed in a sheriff's office on a part-time basis, provided that his earnings in a fiscal year
shall not exceed fifty percent of final average compensation for reemployment during the
twenty-four months immediately following the date of retirement and fifty-five percent of
final average compensation for reemployment in the twenty-fifth month after the date of
retirement and thereafter. Such part-time reemployment shall not result in any additional
creditable service time, and no employer or employee contributions shall be paid on the
retiree's behalf. The provisions of this Paragraph governing part-time reemployment of a
retiree shall have no effect on the provisions for full-time reemployment as set forth hereafter
in this Subsection. Beginning July 1, 2024, and ending June 30, 2028, the provisions of
Paragraph (7) of this Subsection shall govern the part-time reemployment or continued
part-time reemployment of any retiree who retired before January 1, 2024, and the provisions
of this Paragraph shall not apply to any part-time reemployment of such a retiree during that
time period.
(2) During reemployment all retirement benefits are suspended and the retired
member shall be a member of the fund and contribute at the current contribution rate
applicable.
(3)(a) Upon subsequent retirement, the suspended retirement allowance shall be
restored to full force and effect. In addition, the retirement allowance shall be increased by
an amount attributable to the service and average compensation during reemployment based
on the computation formula in effect at the time of subsequent retirement. Any supplemental
benefit shall be based on reemployment compensation and service credit only, except the
years of reemployment service shall be added to the member's original retirement service
credit to determine the supplemental service credit accrual rate for purposes of computing
any supplemental benefit earned during reemployment. No change in the retirement option
selected by the member shall be permitted as to the original retirement. However, the
member shall be permitted to select any option authorized at the time of a second retirement
as to any supplemental benefits earned by virtue of reemployment.
(b) Notwithstanding any other provision of law to the contrary, any retiree who
returns to work full time for a minimum of three years as an active contributing member of
the fund may choose to have his benefits recalculated by repaying all retirement benefits
received from the fund, plus interest at the board-approved actuarial valuation rate. This
Subparagraph shall apply only to members that have returned to work not later than
December 31, 2008. Required payments shall be paid in one lump-sum payment prior to
subsequent retirement in order to be eligible for a recalculation as provided in this
Subparagraph. Upon repayment of the required amount, the member shall have restored all
service credit earned and shall be subject to the provisions of law that would have otherwise
been applicable had he not previously retired for the purposes of calculation of retirement
benefits. This Subparagraph shall not affect the provisions of Paragraph (6) of this
Subsection applicable to members that are currently eligible for recalculation of benefits.
(4) In the event of the member's death prior to subsequent retirement, payment of
benefits to his surviving spouse with whom he or she is living at the time of death shall be
in accordance with the option provided in R.S. 11:2178(I)(1)(b) on the supplemental benefits
earned by virtue of reemployment.
(5) In no event shall the supplemental benefit exceed an amount which, when
combined with the original benefit, equals one hundred percent of the average compensation
figure used to compute the supplemental benefit.
(6) The provisions of this Subsection are not applicable to members reemployed
prior to September 9, 1988, nor to members eligible to retire prior to September 9, 1988, who
actively contribute to the system at least three years after reemployment begins. No member
whose retirement or disability benefits are subject to the provisions of this Subsection shall
receive a benefit while actively contributing to the system.
(7)(a) Notwithstanding the provisions of Paragraph (1) of this Subsection or any
other provision of law to the contrary, the board of trustees may authorize, grant, or pay a
retirement or disability benefit to a retiree who retired before January 1, 2024, who is
reemployed in a sheriff's office on a part-time basis, provided that his earnings in a fiscal year
shall not exceed sixty percent of final average compensation for reemployment during the
twenty-four months immediately following the date of retirement and sixty-five percent of
final average compensation for reemployment in the twenty-fifth month after the date of
retirement and thereafter. Such part-time reemployment shall not result in any additional
creditable service time; however, employer and employee contributions shall be paid during
reemployment. Upon termination of reemployment, the employee's contributions shall be
returned, without interest, upon the employee's request.
(b) The provisions of this Paragraph governing part-time reemployment of a retiree
shall have no effect on the provisions for full-time reemployment provided in this
Subsection.
(c) The provisions of this Paragraph shall apply beginning July 1, 2024, to any
part-time reemployment or continued part-time reemployment of any retiree who retired
before January 1, 2024. The provisions of this Paragraph shall terminate on June 30, 2028.
F. All monies ordered to be paid from the fund to any person shall be paid by the
treasurer only upon warrants signed by the president and countersigned by the secretary. No
warrants shall be drawn except by orders of the board, duly entered upon the records of the
proceedings of the board. In case the fund, or any part thereof, is deposited in any bank, all
interest or money which may be paid on account of any sum on deposit, shall belong to and
constitute a part of the fund. Nothing herein contained shall be construed as authorizing the
treasurer to deposit the fund or any part thereof unless so authorized by the board.
G. The board shall deposit all moneys received by it in the bank or banks, which
deposits must be secured by the federal insurance plan. The board may invest moneys
received by it in accordance with the provisions of R.S. 11:263.
H.(1) Any person who retired from a position covered by the fund and who
subsequently returns to full-time service may rescind his retirement by paying in a single
lump sum all benefits received since retirement, including any DROP or Back-DROP
benefits, with interest calculated at the actuarially assumed rate of return compounded
annually from the date of receipt until paid. Upon repayment, the person shall have restored
to his credit all service that the person had at the time of retirement.
(2) The provisions of this Subsection shall terminate on December 31, 2027.

Legislative History

Amended by Acts 1950, No. 53, §3; Acts 1952, No. 218, §1; Acts 1954, No. 239, §1; Acts 1956, No. 464, §1; Acts 1958, No. 173, §1; Acts 1968, No. 359; Acts 1968, No. 360, §1; Acts 1970, No. 160, §1; Acts 1979, No. 757, §1; Acts 1983, No. 217, §1; Acts 1984, No. 484, §1; Acts 1984, No. 867, §2; Acts 1985, No. 353, §1; Acts 1987, No. 153, §1; Acts 1988, No. 134, §1; Acts 1988, No. 925, §1; Acts 1990, No. 62, §1; Acts 1990, No. 482, §1; Acts 1991, No. 61, §1, eff. July 1, 1991; Redesignated from R.S. 33:1454 by Acts 1991, No. 74, §3, eff. June 25, 1991; Acts 1993, No. 319, §1; Acts 1995, No. 1117, §1, eff. June 30, 1995; Acts 1997, No. 837, §1, eff. July 10, 1997; Acts 1997, No. 1226, §1, eff. July 15, 1997; Acts 1999, No. 79, §1, eff. July 1, 1999; Acts 2001, No. 896, §1, eff. July 1, 2001; Acts 2004, No. 781, §1, eff. July 1, 2004; Acts 2008, No. 271, §1, eff. June 17, 2008; Acts 2008, No. 459, §1, eff. July 1, 2008; Acts 2015, No. 136, §1, eff. June 30, 2015; Acts 2024, No. 346, §1, eff. May 28, 2024; Acts 2024, No. 349, §1, eff. May 28, 2024.