SB 21

2026 Regular Session  ENROLLED
  ACT No. 230
 SENATE BILL NO. 21
 BY SENATOR PRICE
1AN ACT
2 To amend and reenact R.S. 11:102.1(A)(4)(c)(iv), to enact R.S. 11:102.1(A)(5), and to
3repeal R.S. 11:102.1(A)(4)(c)(v), (e)(ii) and (iii), and (h) through (j), relative to the
4Louisiana State Employees' Retirement System; to provide for the calculation of
5employer contributions, minimum employer contribution rates, amortization of the
6unfunded accrued liability, and treatment of contribution variances for the Louisiana
7State Employees' Retirement System; to provide for an effective date; and to provide
8for related matters.
9Notice of intention to introduce this Act has been published.
10 Be it enacted by the Legislature of Louisiana:
11Section 1. R.S. 11:102.1(A)(4)(c)(iv) is hereby amended and reenacted and R.S.
12 11:102.1(A)(5) is hereby enacted to read as follows:
13§102.1. Amortization payment schedules; priority excess return allocations;
14Louisiana State Employees' Retirement System
15A.(1)  *       *       *
16*       *       *
17(4) For purposes of this Section, the following shall apply:
18*       *       *
19(c) "Secondary priority amount" shall mean the maximum amount of system
20returns in excess of the system's actuarially assumed rate of return that may be
21applied to the experience account amortization base, regardless of whether actual
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  Coding: Words which are struck through are deletions from existing law;
  words in boldface type and underscored are additions.
 SB NO. 21  ENROLLED
1returns that equal or exceed the maximum are available, and shall equal:
2*      *       *
3(iv) For the first valuation after the original amortization base is liquidated,
4the portion of the prior year's primary priority amount that was necessary to liquidate
5the original amortization base plus the prior year's secondary priority amount, both
6increased by the percentage increase in the system's actuarial value of assets for the
7prior year, if any the provisions of this Paragraph shall terminate.
8*      *       *
9(h)(5)(a) Notwithstanding the provisions of Subparagraph (i) of this
10Paragraph any other provision of this Section, effective for the June thirtieth
11valuation following the fiscal year in which the system first attains a funded
12percentage of eighty or more pursuant to R.S. 11:542 and for each valuation
13thereafter, the net remaining liability of the any amortization base to which the any
14additional funds are applied shall be reamortized with annual level-dollar payments
15calculated as provided in R.S. 11:102 over the remainder of the amortization period
16originally established for that amortization base.
17(i)(b) Beginning with Fiscal Year 2019-2020 and every fifth fiscal year
18thereafter, the remaining liability net of all payments made since the last
19reamortization shall be reamortized over the remainder of the amortization period
20originally established for that amortization base with annual payments calculated as
21provided for in this Section.
22(j)(c) Except as provided in Subparagraphs (h) and (i) (a) and (b) of this
23Paragraph and in Item (B)(3)(a)(iv) of this Section, the net remaining liability of the
24amortization base to which the funds are applied shall not be reamortized after such
25application.
26*      *       *
27Section 2. R.S. 11:102.1(A)(4)(c)(v), (e)(ii) and (iii), and (h) through (j) are hereby
28 repealed.
29Section 3. This act shall become effective upon signature by the governor or, if not
30 signed by the governor, upon expiration of the time for bills to become law without signature
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SB NO. 21  ENROLLED
1 by the governor, as provided in Article III, Section 18 of the Constitution of Louisiana. If
2 vetoed by the governor and subsequently approved by the legislature, this Act shall become
3 effective on the day following such approval.
  PRESIDENT OF THE SENATE
  SPEAKER OF THE HOUSE OF REPRESENTATIVES
  GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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  Coding: Words which are struck through are deletions from existing law;
  words in boldface type and underscored are additions.