Senate Bill 16 Signed into Law

Governor Jindal signed SB 16, now Act 718, which provides for increased educational requirements for LASERS Board of Trustees. Act 718 will become effective August 31, 2012. Trustees will be required to complete four hours of Actuarial Science, two hours of Laws, Rules, and Regulations, two hours of Fiduciary Duty/Ethics, and eight hours of Investments.


Stay up to date on the 2012 Legislative Session by checking the LASERS website daily. 

2012 Legislative Session Over, Impact Minimal to LASERS Actives and Retirees

June 4 marks the end of the 2012 Legislative session and many of the Administration's proposed retirement bills failed to pass. Much of this legislation would have severely impacted LASERS actives and retirees. The most controversial bills to fail are:

SB 47 which would have provided for a 60-month FAC and applied a 15 percent anti-spiking rule for all non-hazardous duty LASERS members

SB 52 would have increased the employee contribution rates for all non-hazardous duty LASERS members by two percent

SB 740 would have separated the experience account into the hazardous duty subaccount and the rank-and-file subaccount and required that the system be 80 percent funded before a COLA could occur

SB 749 which would have increased the minimum retirement eligibility of rank-and-file employees and judges elected after July 1, 2012, to the higher of age 67 or the highest retirement age provided by the Social Security Act.

Future LASERS members will be affected by the passage of HB 61, which provides for a cash balance plan for new hires in non-hazardous duty positions. This new plan will go into effect on July 1, 2013.

Review a complete listing of the legislation that passed or failed affecting LASERS.

2008 Legislative Update

The following bills affecting LASERS have been signed by the Governor

House Bill 89—Makes the Self Directed Plan (SDP) for DROP participants in LASERS and TRSL optional. Directs the boards of trustees of LASERS and Teachers' to file separately for a declaratory judgement on the issue of whether members can waive their constitutional rights and invest at the system's rate. The effective date is the later of July 1, 2009, or sixty days after each system respectively obtains a final, non-appealable judgment declaring the elections made pursuant to proposed law to be constitutional. Persons who are currently in the SDP have 60 days from the effective date of this Act to switch.-Act 714

House Bill 1068- Allows certain enforcement personnel employed by the Dept. of Revenue, office of alcohol and tobacco control (ATC), as of June 30, 2007, or thereafter, who are members of the La. State Employees' Retirement System (LASERS), to retire with 25 years of service at any age, 10 years of service at age 60, or with 20 years of service at any age but at an actuarially reduced rate. Furthermore, reduces the amount of funds to be deposited in the Dept. of Revenue Alcohol and Tobacco Control Officers Fund to fund retirement benefits for such persons and provides for the abolition of such fund when the actuarially accrued liability resulting from such benefits has been fully satisfied.-Act 740

Banning cell phone use by young drivers OK'd by Louisiana Legislature

Lawmakers approved legislation prohibiting Drivers 17 and younger from using cell phones and text-messaging devices while driving.

The bill sets a fine of up to $100 for a first violation and up to $250 for subsequent violations. If the driver is involved in an accident while using a cell phone or text-messaging device, the punishment is doubled.

The bill states that a police officer can only ticket someone for the violation if the driver is pulled over for another moving violation such as speeding or running a stop sign.

Lawmakers have sent Jindal two other bills restricting cell phones or text-messaging devices: Senate Bill 137 by Sen. Julie Quinn, R-Metairie, banning the use of text-messaging devices by everyone while driving and the use of cell phones by "novice drivers," those who have a learners or intermediate permit; and Senate Bill 342 by Sen. Dale Erdey, R-Livingston, prohibiting the use of cell phones by any first-time driver, no matter what age, for a one-year period

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Governor signs Stelly Tax repeal

Legislation eliminating the Stelly Tax increase imposed in 2002 has been signed into law by Gov. Bobby Jindal.

Senator B.L. “Buddy” Shaw, the author of the bill said he was surprised to hear that the governor signed the bill Sunday because he is to be in Shreveport Tuesday to have a public signing ceremony.

Shaw said he was disappointed that the bill was amended to not give a refund until 2009 tax returns are filed in 2010, but "some may see some increase in their pay checks in they change their withholding."

SB87 changes the income tax rate for income between $25,000 and $50,000 to 4 percent from the current 6 percent, the same level of taxation before the Stelly Plan was adopted.

2008 Legislative Update

LASERS sponsored Hazardous Duty Services Plan fails final legislative passage

House and Senate Conferees were unable to agree on passage of HB 1084, after an amendment added on the Senate floor added some unfunded liabilities to the bill.

The bill would have created a comprehensive Hazardous Duty Services Plan under LASERS for new employees hired on or after January 1, 2009, whose service to the state will require them to carry weapons and routinely be put in harm's way.

A companion piece of legislation, HB 1077, provided for an optional transfer into the Hazardous Duty Services Plan of service for members of existing plans and rank and file members who are required to be P.O.S.T certified and have power to arrest.

LASERS will try again next year to achieve this important reform.

La. lawmakers OK higher car insurance minimums

Many Louisiana drivers may be required to carry more auto insurance under a measure that cleared its last legislative hurdle Thursday.

Louisiana law requires car and truck owners to have at least "10-20-10" motor vehicle liability coverage: $10,000 coverage for damage of other people's property, $20,000 for injury or death to more than one person in an accident and $10,000 for injury or death to one person.

The House of Representatives voted 84-6 Thursday to send a bill to the governor that would raise the minimum mandatory rates, a smaller proposed increase than one vetoed in 2006 by Gov. Kathleen Blanco. Gov. Bobby Jindal's spokeswoman, Melissa Sellers, said the governor has not decided whether to sign the measure by Rep. Erich Ponti, R-Baton Rouge, into law.

Ponti's House Bill 1312 would change the levels to "15-30-25" on Jan. 1, 2010. Motorists who wish to keep the minimum would begin paying higher rates when they renew.

2008 Legislative Update

Governor signs LASERS sponsored bills

The following LASERS bills have been signed by the Governor:

HB 229- Provides with respect to the number of years and type of service for retirement eligibility in the Corrections Secondary Component. Act 259

HB 230-Pop-Up provision which allows the automatic change to the maximum benefit of a retiree based upon the death of his named beneficiary on the 1st day of month following death. Current law allows pop-up based on the date of notification of death. – Act 260

HB 233-Changes the accrual rate for Act 75 disability retirees from 1.8 percent to 2.5 percent. – Act 262
HB 1078-Updates statutory provisions for computation of maximum benefits to be consistent with the Internal Revenue Code – Act 312

2008 Legislative Update

SB 45 sponsored by Sen. Butch Gautreaux, which would have increased benefits for certain probation and parole officers hired before January 1, 2002 in the office of adult services of the Department of Public Safety and Corrections, was involuntarily deferred by the House Retirement Committee today amid concerns over the funding for the proposal.

Senators pass measure tripling legislators’ base salaries

Senators took less than five minutes Tuesday to pass a pay raise for themselves and House members pegged at 30 percent of the pay of members of the U.S. Congress.

Senate Bill 672 was narrowly approved 20-16 in the Senate very quickly and without discussion. A bill needs a minimum of 20 “yes” votes to win Senate approval. The measure next heads to the state House of Representatives for action before adjournment on June 23.

The bill’s sponsor, Sen. Ann Duplessis, D-New Orleans, said she believes it will be “OK” in the House. She said Gov. Bobby Jindal is not taking a position on the bill, but has agreed not to veto the pay raises if they are approved in the lower chamber.

Legislators have argued they are underpaid and that the salary increases can be afforded because of extra state surplus revenue.

2008 Legislative Update

Bill Vetoed

HB 231 by Rep. Doerge, which would have exempted the Firefighters Retirement System from the obligation to adopt and implement a constructive engagement strategy to avoid ownership of securities in certain prohibited nations, namely Iran, North Korea, Sudan and Syria, as required of all public retirement systems by R.S. 11:314. –has been vetoed by the Governor.

In his veto message the Governor said,” While I recognize the challenges created by R.S.11:314, I strongly support the statute’s important purpose of ensuring that public retirement system funds are not being used to finance harm to the citizens of this country.”

2008 Legislative Update

COST OF LIVING ADJUSTMENT APPROVED

The Louisiana Legislature has approved House Concurrent Resolution 2, by Rep. Joel Robideaux and Sen. Butch Gautreaux.

The Resolution authorizes LASERS to grant a cost-of-living adjustment (COLA) of up to 3% as requested by the board of trustees of the Louisiana State Employees' Retirement System (LASERS) based on the benefit being paid on 06/30/08, to be effective on 7/1/08.

In order to be eligible for this COLA, a LASERS retiree must have reached the age of 55 and must have been receiving a LASERS retirement benefit for at least one year prior to July 1, 2008. The COLA is funded through excess investment earnings which accumulate in the legislatively established Experience Account.

2008 Legislative Update

The House Retirement Committee passed two amended bills affecting LASERS and its members.

HB 89--Makes the Self Directed Plan (SDP) for DROP participants in LASERS and TRSL optional. A member must sign a waiver acknowledging that if negative earnings occur their account balance will be affected. The bill has a July 1, 2008 effective date, and persons who are currently in the SDP have 60 days to switch.

SB 315-Provides for arson investigators in the fire marshal's office to receive the same enhanced retirement benefits as peace officers.

2008 Legislative Update

The Louisiana House of Representatives by a unanimous vote Monday approved two LASERS sponsored bills:

HB 1077--Provides for transfers of service for members of existing hazardous duty plans and rank and file members to the Hazardous Duty Services Plan proposed in HB 1084.

HB 1084-Establishes the Hazardous Duty Services Plan

2008 Legislative Update

The Senate Retirement Committee today approved four LASERS sponsored bills:

HB 229-provides for 10 years at age 60 eligibility in the Corrections Secondary Component as authorized by an Attorney General’s opinion.

HB 230-Pop-Up provision which allows the automatic change to the maximum benefit of a retiree based upon the death of his named beneficiary on the 1st day of month following death. Current law allows pop-up based on the date of notification of death.

HB 233-Changes the accrual rate for Act 75 disability retirees from 1.8 percent to 2.5 percent.

HB 1078-Updates statutory provisions for computation of maximum benefits to be consistent with the Internal Revenue Code.

2008 Legislative Update

HB 1263, by Rep. Anthony Ligi, was involuntarily deferred by the House Retirement Committee.

The bill would have required forfeiture of public retirement benefits by certain persons who are hired after a certain date and who are convicted of certain state or federal felony acts associated with their public service.

2008 Legislative Update

HCR 2, co-authored by Rep. Joel Robideaux and Sen Butch Gautreaux, which grants approval of a 3 percent cost-of-living increase requested by the LASERS Board of Trustees, was approved by the Louisiana Senate. It was previously approved by the House.

2008 Legislative Update

The House Retirement Committee reported favorably two LASERS sponsored bills authored by Rep. Joel Robideaux.

HB 1084 establishes the Hazardous Duty Services Plan for new hires in hazardous duty positions as of January 1, 2009.

HB 1077 provides for optional transfers of service for members of existing hazardous duty plans and rank and file members to the Hazardous Duty Services Plan proposed in HB 1084.

2008 Legislative Update

The House Retirement Committee is scheduled to meet tomorrow and two LASERS sponsored bills will be considered. HB 1084 which establishes the Hazardous Duty Services Plan with the following provisions:

· For new hires January 1, 2009 and thereafter
· 3.33 percent accrual rate
· 60 month final average compensation
· 9 percent employee contribution rate
· 80 percent survivor benefit if killed in line of duty
· 75 percent disability benefit if injured in line of duty

And HB 1077, which provides for transfers of service for members of existing hazardous duty plans and rank and file members to the Hazardous Duty Services Plan proposed in HB 1084.

2008 Legislative Update

The House Retirement Committee voted to defer passage of HB 467, which provides for early retirement (10 years at age 50) of LASERS members with actuarial reduction of benefits. The bill required abolition of positions vacated by early retirement and permitted reestablishment and filling of such positions under limited circumstances.

LASERS Board of Trustees took a neutral position on this bill.