Member Handbook - lsprf.com

1 Louisiana Sheriffs Pension & Relief FundServing Those Who ServeLouisiana Sheriffs Pension & Relief Fund1225 Nicholson DriveBaton Rouge, LA 70802-7537 MemberHandbookRevised March 2015 Member HandbookLouisiana Sheriffs Pension & Relief FundServing Those Who ServeWe are here to serve call for information and assistanceIn order that the staff may better assist you, please call our office at (800) 586-9049 (LAonly) or (225) 219-0500, and direct your questions to the following departments:Membership DepartmentFor assistance dealing with any of the matters listed below, please call our office and askto speak with a Membership Analyst:KEnrollment information requirementsKPhysical examination requirementsKBeneficiary Changes and UpdatesKRepayments of refunded serviceKPurchase of military service creditKTransfers of service out of LSPRF to other state or statewide systemsKPurchase of prior services or out-of-state law enforcement serviceKTransfers of service from other state or statewide systemsKReciprocal recognition of service with other state or statewide systemsBenefits DepartmentFor assistance dealing with any questions in the matters listed below, please call our officeand ask to speak with a Benefits Analyst:KRetirement eligibilityKCalculation of estimates of future benefits/actual retirement benefitsKBack-DROPKR etirement optionsKProcessing retirement applicationsKProcessing applications for survivor benefitsKChanges in tax withholding from benefit paymentsWebsite or Password AssistanceOur website and Information Systems Manager is Roselyn Pitarro.

2 Roselyn will be happyto receive your input and assist you with access and problem solving concerning Related IssuesKThe Accounting Department processes Form 1099R and other related tax forms. Forassistance in this area, please ask for the Accounting information related to the Plan s tax qualified status, please ask for the Director orthe Assistant Handbook3 TABLE OF CONTENTSINTRODUCTION [5]GENERAL INFORMATION [5]Creation of Pension Fund; Public Corporation; Domicile .. 5 Board of Trustees .. 5 Administrative Personnel and Retained Professionals .. 6 SOURCES OF REVENUE; ACTUARIAL VALUATION [6]Contributions, Investments, Other Revenue Sources .. 6 Employee and Employer Contributions .. 6 Investment Income .. 6 Property Tax; State Revenue Sharing Funds; Insurance Premium Tax Fund .. 6 Reporting and Information to members .. 7 Actuarial Valuation .. 7 MEMBERSHIP [7]Enrollment Process .. 7 Membership Eligibility and Enrollment Requirements .. 7 members in Inactive Status; Leave-Without-Pay Status; Unpaid Sick Leave Status or Family and Medical Leave Act Status.

3 8 Termination of Employment with a Refund of Contributions .. 8 Limited Membership .. 8 Designation of Beneficiary .. 8 Dual Employment; Dual Membership .. 8 FUNDS AT TERMINATION OF EMPLOYMENT [9]Refund of Contributions .. 9 Applying for a Refund .. 9 Federal Income Tax Liability and Withholding .. 9 Refund Upon Death of Member ..10 Funds Left on Deposit ..10 PURCHASE OF CREDITABLE SERVICE [10]Repay Refund; Purchase Prior Service; Purchase Out-of-State Service Credit ..10 Repay Refund ..10 Purchase Prior Service ..10 Purchase Out-of-State Service Credit ..10 Purchase Permissive Service Credit ..11 MILITARY SERVICE CREDIT [11]Regular and Non-Regular Military Service ..11 Military Service Relief Act and USERRA ..12 Obtaining Military Records ..13 METHODS OF PAYMENT FOR PURCHASES OF SERVICE CREDIT [13]Out-of-Pocket Funds ..13 Rollover Election ..13 SERVICE IN OTHER PUBLIC RETIREMENT SYSTEMS [13]Reciprocal Recognition of Service ..13 Transfer of Creditable Service ..14 RETIREMENT BENEFIT PROVISIONS [15]Regular, Reduced and Deferred Retirement - General Provisions.

4 15 Application Process ..15 Computation of Benefits and Optional Plans with Examples ..16 Option Selection, Effective Date, Change of Option and/or Beneficiary ..19 Overpayment of Benefits, Corrections, Recovery of Funds .. 19 Cost-of-Living Adjustment (COLA) ..19 Income Tax on Monthly Benefits ..20 Exemption of Benefits from Execution ..20 Direct Deposit of Monthly Benefits ..20 Retirement Option Providing Automatic Cost-of-Living Adjustment ..21 Reduced Retirement at Age 60 With 10 Years Service Credit .. 21 Early Retirement (Between Ages 50 and 55) ..22 Back-Deferred Retirement Option Plan (Back-DROP) ..22 Eligibility ..22 Application Process ..23 Computation of Back-DROP/Monthly Benefit ..23 Methods of Distribution of Back-DROP Balance ..24 Additional Information Affecting Back-DROP Accounts ..24 Rescission of Former DROP Participation ..25 Forfeiture of Benefits ..25 Reemployment of Retirees in a Sheriff s Office ..25 Part-Time Reemployment ..25 Louisiana Sheriffs Pension & Relief FundServing Those Who Serve4 Full-Time Reemployment.

5 26 Full-Time Reemployment On or After September 9, 1988, But Not Later Than December 31, 2008 ..26 Eligible to Retire or Reemployed Before September 9, 1988 .. 26 Disability Retirement .. 27 Eligibility .. 27 Application Process .. 27 Disability Benefit Computation .. 27 Partial Disability Classification and Benefit .. 28 Authority of Board of Trustees to Modify Benefits .. 28 Certification of Continuing Eligibility .. 29 Restoration to Active Service .. 29 Income Tax Liability .. 29 SURVIVOR BENEFIT PROVISIONS [29]General Information and Benefit Computation .. 29 Benefit to Surviving Spouse or Parents for Duty Related Death .. 29 Benefit to Surviving Spouse for Non-Duty Related Death .. 30 Benefit to Surviving Minor Child or Children, Non-Duty/Duty Death .. 30 Definitions of Eligible Survivors of Deceased members .. 30 Death of Retiree Receiving Benefits .. 30 Continuation of Benefits Upon Remarriage of Surviving Spouse .. 31 OTHER INFORMATION AND SPECIAL PROVISIONS [31]Exemption from Seizure.

6 31 Overpayment of Benefits; Corrections; Recovery of Funds .. 31 Special Scholarships By the State of Louisiana .. 31 Payment to Surviving Spouse and Children By the State of Louisiana .. 32 Payment to Survivors by Department of Justice .. 32 Keeping Records Current .. 32 EFFECT OF PUBLIC PENSION ON SOCIAL SECURITY BENEFITS [33]Government Pension Offset: Reduction for Spouse s or Widow(er) s Benefit .. 33 Windfall Elimination Provision: Reduction for Earned Benefit .. 34 Member Handbook5 INTRODUCTIONThe purpose of this Summary of Plan Provisions is to provide general information about your PensionFund. This publication is not a legal document nor is it intended to serve as a basis for legal interpreta-tion. It may not answer all your questions about the Pension Fund, nor cover every provision of contained herein are for illustration purposes only and do not reflect results applicable toany individual Member . You are invited to write, call or visit our office for answers to your specificquestions.

7 When writing, please provide your social security number, home mailing address and tele-phone number. If you prefer to visit our office, please call to schedule an information listed in this publication is valid as of July 1, 2014, and is based upon provisions foundunder Louisiana Statutes Annotated, Revised Statutes Title 11, Subtitle III, Chapter 7, Section 2171 et amended through the Regular Legislative Session of 2014, and the policies adopted by the Board ofTrustees. The Sheriffs Pension and Relief Fund is also subject to the general provisions applicable to allstate and statewide retirement systems and plans found under LSA-Revised Statutes Title 11, Subtitle I,Chapters 1 through 4, Section 1 et of the information contained in this publication is subject tolegislative revision and/or policy changes by the Board of in the Sheriffs Pension and Relief Fund represents a sizeable investment in your future. Itis important that you, as well as your family, understand the benefits presented in this study the provisions and benefits described herein and discuss them with your family or the per-son who will be responsible for your estate after your death.

8 Please keep this publication in a safe placetogether with the Member Account Statement that is provided to you annually. It is extremely impor-tant that you notify the Sheriffs Pension Fund directly, in addition to your employing sheriff s office,whenever you have a change in your mailing address in order for you to receive all correspondence andnotices mailed to members and/or retirees annually or on certain other occasions. For your conven-ience, a change of address form is available on our website at INFORMATIONC reation of Pension Fund; Public Corporation; DomicileAct 327 of 1946 created a statewide pension and relief fund for sheriffs and deputies in all parishes,including the civil and criminal sheriffs for the parish of Orleans and their deputies, that was placedunder the management of the Board of Trustees of the Sheriffs Pension and Relief Fund, with the pow-ers and privileges of a public corporation, domiciled in the city of Baton Rouge, Louisiana. [ 11:2171]Board of TrusteesThe Board of Trustees is composed of 16 members : 14 elected members and two legislators who serveas ex-officio members .

9 [ 11:2173; 11:181B]Act 78 of the Regular Legislative Session of 2007 provides for advance education for candidates formembership on the Board of Trustees. All candidates, effective June 22, 2007, must have completed thefollowing educational requirements prior to participating in the election or appointment process, as thecase may be, in order to serve as a trustee for the Fund:jTwo hours of education relative to the law, rules, and regulations applicable to the fund,including information regarding the funding of the hours of fiduciary duty and ethics hours of education relative to actuarial science and hours of professional development in investment such training sessions are to be conducted by the Pension Fund and the Fund will be responsible forthe costs for such training sessions. Participating members (candidates) are responsible for travel coststo and from such training sessions. All training sessions are to be conducted at the office of the Fund orat the annual Louisiana Sheriffs Association (LSA) conference.

10 Training sessions conducted at the LSAconference will additionally be offered at the office of the of the above described advance educational requirements will serve to satisfy the requirementsof 11:185D(5) providing thatno new board Member shall vote on any matter until he has completed the fiduciaryand ethics requirement and one hour of education in each of the other required areas prescribed by 11 offices of President and Vice-President may be held by an active participating sheriff or a retiredsheriff receiving a monthly benefit from the Sheriffs Pension Fund. The President is elected by Louisiana Sheriffs Pension & Relief FundServing Those Who Serve6the general membership of the Louisiana Sheriffs Association, to a three-year term. The Vice-Presidentis also elected by the Louisiana Sheriffs Association general membership. The term of office of the per-son elected Vice-President in 2013 will be two years ending in 2015. In 2015, and every three yearsthereafter, the person so elected will have a term of office of three the annual Louisiana Sheriffs Association Conference, the general membership elects one activesheriff and one retired sheriff to three-year staggered terms.