CSHB 174(CRA): "An Act requiring each municipality with a population that decreased by more than 25 percent between 2000 and 2010 that participates in the defined benefit plan of the Public Employees' Retirement System of Alaska to contribute to the system an amount calculated by applying a rate of 22 percent of the total of all base salaries paid by the municipality to employees of the municipality who are active members of the system during a payroll period; reducing the rate of interest payable by a municipality with a population that decreased by more than 25 percent between 2000 and 2010 that is delinquent in transmitting employee and employer contributions to the defined benefit plan of the Public Employees' Retirement System of Alaska; giving retrospective effect to the substantive provisions of the Act; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 174(CRA) 01 "An Act requiring each municipality with a population that decreased by more than 25 02 percent between 2000 and 2010 that participates in the defined benefit plan of the Public 03 Employees' Retirement System of Alaska to contribute to the system an amount 04 calculated by applying a rate of 22 percent of the total of all base salaries paid by the 05 municipality to employees of the municipality who are active members of the system 06 during a payroll period; reducing the rate of interest payable by a municipality with a 07 population that decreased by more than 25 percent between 2000 and 2010 that is 08 delinquent in transmitting employee and employer contributions to the defined benefit 09 plan of the Public Employees' Retirement System of Alaska; giving retrospective effect 10 to the substantive provisions of the Act; and providing for an effective date." 11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 12 * Section 1. AS 39.35.255(a) is amended to read:
01 (a) Each employer shall contribute to the system every payroll period an 02 amount calculated by applying a rate of 22 percent of the greater of the total of all base 03 salaries 04 (1) paid by the employer to employees who are active members of the 05 system, including any adjustments to contributions required by AS 39.35.520; or 06 (2) paid by the employer to employees who were active members of 07 the system during the corresponding payroll period for the fiscal year ending June 30, 08 2008, or, if the employer is a municipality in which the population decreased by 09 more than 25 percent between 2000 and 2010, according to the decennial census 10 conducted by the United States Census Bureau, the corresponding payroll period 11 for the fiscal year ending June 30, 2012. 12 * Sec. 2. AS 39.35.610 is amended by adding a new subsection to read: 13 (c) Notwithstanding (a) of this section, if an employer that is delinquent in 14 transferring contributions under (a) of this section is a municipality in which the 15 population decreased by more than 25 percent between 2000 and 2010, according to 16 the decennial census conducted by the United States Census Bureau, interest shall be 17 assessed on the outstanding contributions from the date that the contributions were 18 originally due at a rate that is the lesser of 19 (1) three percentage points above the 12th Federal Reserve District 20 discount rate in effect on January 2 of the calendar year in which the applicable 21 payroll period ended; or 22 (2) a rate specified under a contract between the employer and the 23 administrator. 24 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 25 read: 26 RETROACTIVITY. Sections 1 and 2 of this Act are retroactive to July 1, 2009. 27 * Sec. 4. This Act takes effect immediately under AS 01.10.070(c).