Purchase of service credit in public retirement systems; price

A. (1) Effective July 1, 1986, the provisions of this Section shall govern the payment required with respect to the otherwise authorized purchase of service credit in the public retirement or pension systems, funds, and plans referenced in Subsection B of this Section. (2) This Section does not repeal provisions relative to the purchase of service credit contained within the laws governing the covered systems, or which are otherwise applicable thereto, but it is to be controlling in cases of conflict as to the payment required in order to receive the credit. (3) This Section is inapplicable with respect to the purchase of service credit which is in the form of a repayment of a refund. B. The provisions of this Section are applicable to the following public retirement or pension systems, funds, and plans: (1) Assessors Retirement Fund. (2) Clerks' of Court Retirement and Relief Fund. (3) District Attorneys' Retirement System. (4) Firefighters' Pension and Relief Fund in the City of New Orleans. (5) Firefighters' Retirement System. (6) Louisiana School Employees' Retirement System. (7) Louisiana State Employees' Retirement System. (8) Municipal Employees' Retirement System of Louisiana. (9) Municipal Police Employees' Retirement System. (10) Parochial Employees' Retirement System of Louisiana. (11) Registrars of Voters Employees' Retirement System. (12) Sheriffs' Pension and Relief Fund. (13) Louisiana State Police Retirement System. (14) Teachers' Retirement System of Louisiana. C. (1) In order for a purchase of service credit, which is otherwise authorized, to be effective, there shall be paid into the applicable retirement or pension system, fund, or plan the greater of either: (a) An amount which, on an actuarial basis, totally offsets the increase in accrued liability of the system resulting from the purchase of the credit. (b) The employee and employer contributions that would have been paid to the applicable system, fund, or plan, plus interest thereon, compounded annually from the time the contributions would have been paid, at the assumed actuarial valuation rate of interest of the system, fund, or plan in which the credit is being purchased. (2)(a) The amount payable shall be calculated based on the actuarial funding method, assumptions, and tables in use by the system at the time of application for credit. (b) The actuary may modify the assumptions utilized to reflect the effects of anti-selection. D. Repealed by Acts 1991, No. 205, §2; ACTS 1991, No. 607, §2.