Wyoming retirement plan contributions-2.

WORKING DRAFT

ORIGINAL SENATE

FILE

NO.
0072

ENROLLED ACT NO. 27, SENATE

SIXTIETH LEGISLATURE OF THE STATE OF
WYOMING
2010 BUDGET SESSION

AN ACT relating to the Wyoming retirement system; increasing employee and employer contributions; providing for contribution rates by employers and employees; repealing obsolete and inconsistent language;
providing appropriation
s
;
and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.

W.S. 9
‑
2
‑
1022(a)(xi
)
(F)(IV), 9
‑
3
‑
412(a), (b)
and
(c)
and 9
‑
3
‑
413 are amended to read:

9
‑
2
‑
1022.

Duties of department performed through human resources division.

(a)

Subject to subsection (b) of this section, the department through the human resources division shall:

(xi)

Promulgate reasonable rules:

(F)

Necessary to administer a program whereby at-will contract employees may be utilized by agencies to meet programmatic needs. These rules shall be structured so that:

(IV)

Notwithstanding subdivision (III) of this subparagraph, if the employment contract so provides, an at-will, year-round, full-time brand inspection contract employee authorized to carry out the duties specified by W.S. 11
‑
20
‑
201 may be eligible for membership in the state employees' and officials' group insurance plan in accordance with W.S. 9
‑
3
‑
207, and the state retirement system under W.S. 9
‑
3
‑
412, provided the employee pays the total premium or total contribution required, or the portion of the premium or contribution, if any, the employment contract directs the employee to pay and the employee's wages under the contract are reported on an Internal Revenue Service Form W-2 Wage and Tax Statement.
Subject to the limitations of W.S. 9
‑
3
‑
412(c), t
he
Wyoming
livestock board shall have sole discretion to determine the amount of the total premium or contribution to be paid by the employee and the amount to be paid by the board, if any. The amounts shall be stated in the employment contract. The time limitations provided in subdivision (V) of this subparagraph shall not apply to any employee under this subdivision;

9
‑
3
‑
412.

Members' contributions; payroll deductions; employer authorized to pay employee's share.

(a)

Except as otherwise provided in this section and W.S. 9
‑
3
‑
431 and 9
‑
3
‑
432, every member covered under this article and firefighter members, shall pay into the account
five and fifty-seven hundredths percent (5.57%)

seven percent (7%)
of his salary. Payments shall be deducted each pay period from each member's salary by the chief fiscal officer of each participating employer.
Employee contributions shall be transferred to the account in accordance with subsection (c) of this section.

(b)

From and after July
1, 1983

and
E
xcept
as provided by W.S. 9
‑
2
‑
1022(a)(xi)(F)(III) or (IV),

in order to be treated as employer contributions for the sole purpose of determining tax treatment under the United States Internal Revenue Code, section 414(h)
the
contributions
required by subsection (a) of this section shall be paid by the
employer for state employee members and may be paid by the employer for member employees of political subdivisions of this state
.

in order to be treated as employer contributions for the sole purpose of determining tax treatment under the United States Internal Revenue Code, section 414(h)
.
Unless otherwise specified by contract,

A
ny contract employee authorized to participate in the state retirement system under W.S. 9
‑
2
‑
1022(a)(xi)(F)(III)

shall pay the entire member contribution
and the entire employer contribution under W.S. 9
‑
3
‑
413.

From and after July 1, 2007 and
F
or the contributions as provided by W.S. 9
‑
2
‑
1022(a)(xi)(F)(IV), the contributions required by subsection (a) of this section may be paid by the Wyoming livestock board for state employee members in order to be treated as employer contributions for the sole purpose of determining tax treatment under the United States Internal Revenue Code, section 414(h).

The amounts shall be stated in the employment contract.

(c)

The contributions under subsection (b) of this section shall be paid from the source of funds which is used in paying salary to the member. The employer may pay these contributions by a reduction in cash salary of the member or by an offset against a future salary increase, or by a combination of a reduction in salary and an offset against a future salary increase, provided:

(i)

No salary reduction, offset or combination thereof shall exceed the percentage amount actually deducted from a member's salary for contributions to the
Wyoming
retirement system
;

as of July 1, 1983
; and

(ii)

Except as provided in paragraphs (iii)
and
(
i
v) of this subsection, a
ny employer may pay any amount of a member's share of retirement contributions without a salary reduction, offset or combination thereof
;
.

(iii)

For state employee members five and fifty-seven hundredths percent (5.57%) of the member's salary shall be paid by the employer without
any
salary reduction
or o
ffset. The remaining portion of the state employee’s contribution
shall
be paid through a reduction in cash salary of the state employee
unless specified otherwise by legislative act; and

(iv)

For
full-time brand inspection contract employee
s authorized to participate in the state retirement system under
W.S. 9
‑
2
‑
1022(a)(xi)(F)(IV),
not more than f
ive and fifty-seven hundredths percent (5.57%)
of the contract employee's salary
shall be paid by the
livestock board unless specified otherwise by legislative act.

9
‑
3
‑
413.

Employer's contributions; payable monthly; transfer to account; interest imposed upon delinquent contributions; recovery.

Except as provided by W.S. 9
‑
2
‑
1022(a)(xi)(F)(III) or (IV), 9
‑
3
‑
431 and 9
‑
3
‑
432, each employer including employers of firefighter members, shall on a monthly basis, pay into the account a contribution equal to
five and sixty-eight hundredths percent (5.68%)

seven and twelve hundredths percent (7.12%),
of the salary paid to each of its members covered under this article
.

and may on a monthly basis, pay into the account any amount of the members' share of retirement contributions.

Employer contributions for any month, together with the members' contributions for that month, if any, shall be transferred to the board not later than the twelfth day of the following month. These contributions shall be credited to the account in a manner as directed by the board. Any employer failing to transfer contributions under this section in sufficient time for the board to receive the contributions by the twenty-fifth day of the month due shall be assessed interest at the rate of eight percent (8%) per annum. Interest imposed under this section shall be payable not later than the twelfth day of the next succeeding month. If the contributions and any interest imposed under this section are not transferred to the board when due, they may be recovered, together with court costs, in an action brought for that purpose in the first judicial district court in Laramie County, Wyoming.

Section 2.

(a)

T
here is appropriated
to the state auditor the following amounts:

(i)

Ten million five hundred seventy thousand
eight hundred thirty
dollars ($10,57
0
,
83
0.00)
from the
general fund;

(ii)

Three million two hundred eight thousand seven hundred forty-six dollars (
$
3,208,746.00)
from the general fund; and

(iii)

For state agency employers whose retirement contributions are made from nongeneral fund sources there is appropriated from those accounts and funds amounts necessary to provide the increase in employer contribution rate required by W.S. 9
‑
3
‑
413 as amended by this act for the period specified in subsection (c) of this section
.

(b)

There is appropriated
twenty-three million four hundred ninety-five thousand dollars ($23,495,000.00)
from the
school foundation program account t
o the
state auditor
.

(c)

Th
e
appropriation
s

under paragraphs (a)(i) and (iii) of this section
shall only be expended for the purpose of
providing each state agency's increased employer contribution required by W.S. 9
‑
3
‑
413 as amended by this act
,
for the 2011-2012 fiscal biennium. The
appropriation
under paragraph (a)(ii) of this section
shall only be expended for the purpose of
providing the
University
of
Wyoming
and community college increased employer contribution under W.S. 21
‑
19
‑
101 through 21
‑
19
‑
106 corresponding to the increased employer contribution under W.S. 9
‑
3
‑
413 as amended by this act, for the 2011-2012 fiscal biennium.

The auditor shall transfer the funds to the state retirement system or to individual state agencies as determined by the department of administration and information to be necessary to meet the provisions of
this
act
.

(d)

Th
e
appropriation
under subsection (b) of this section
shall only be expended for the purpose of
providing each school district's increased employer contribution required by W.S. 9
‑
3
‑
413 as amended by this act, for the 2011-2012 fiscal biennium. The auditor shall transfer the funds to the state retirement system or to the department of education for distribution to individual school districts as determined by the department of administration and information to be necessary to meet the provisions of this act.

(e)

No part of these appropriations shall be used to provide the increased employee contribution required by this act.
Notwithstanding any other provision of law, th
e
appropriation
s

under this section
shall not be transferred or expended for any purpose
other than as specified in this section. A
ny unexpended, unobligated funds remaining from th
e
appropriation
s

under this section
shall revert as provided by law on
June 30, 2012
.

Th
ese
appropriation
s
shall not be included in the
state auditor's
201
3
-201
4
standard biennial budget request.

(f)

As used in this section "state agency" includes each community college and any state executive, legislative or judicial
department, board, commission or other agency or instrumentality of the state
, including the
University
of
Wyoming
.

Section
3
.

This act is effective
September
1, 2010.

(END)

Speaker of the House

President of the Senate

Governor

TIME APPROVED: _________

DATE APPROVED: _________

I hereby certify that this act originated in the Senate.

Chief Clerk

1