Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pension Fund Management topic
No spam. Unsubscribe anytime.
Bill would let PERS seek collection help across agencies after charter school delinquencies
Summary
Senate Bill 418 would give the Public Employees’ Retirement System more pathways to collect delinquent employer contributions by empowering PERS to request assistance from the appropriate supervising agency when public employers — including charter schools — are 90 days delinquent.
Senate Bill 418 was presented to the Assembly Ways and Means Committee as a measure requested by the Public Employees’ Retirement System (PERS) to strengthen collection mechanisms for delinquent employer contributions.
PERS officials told the committee the system relies on employer payroll reports and monthly remittances to credit service and employee contributions. Tina Lis, executive officer at PERS, said most employers pay on time but the system has seen employers — notably some charter schools — fail to remit employer and employee contributions. When payroll reports or contributions are not received, PERS cannot credit service, refund employee contributions or reliably calculate benefits.
Current Nevada law requires PERS to notify the Department of Taxation when an employer is 90 days delinquent. PERS said Taxation has no authority over employers whose funds do not flow through the department — for example, some charter schools or other entities — leaving PERS with few options other than potentially expensive litigation. SB 418, as explained by PERS, would amend statutes to require PERS to notify the appropriate supervising agency for the type of public employer (for example, State Board of Examiners for executive branch agencies, Superintendent of Public Instruction for school districts and charter schools, Department of Taxation for local governments). The bill would add mechanisms allowing agencies with authority over the employer to help secure funds and permit certain administrative deductions (such as from funds otherwise payable to a district or charter) to satisfy contributions.
Committee members asked about past cases. Testimony from Nevada Faculty Alliance and the Nevada State Education Association described multiple charter‑school delinquencies totaling nearly $1 million that impaired teachers’ expectations of retirement credit. PERS witnesses said their staff typically identify missed monthly reports immediately and that PERS spends time negotiating and assessing statutory penalties, but collection remains difficult for entities outside Taxation’s authority.
The Department of Education initially submitted a fiscal note seeking a half‑time analyst to manage related workload but later removed that fiscal note after identifying existing staff capacity. PERS estimated that state executive branch agencies have not historically been 90 days delinquent in its experience and that the largest exposure would be if a centralized payroll source (for example, central payroll) were to fail; the agency offered a rough monthly contribution figure for major executive payrolls while stressing that such events have not occurred.
Where it stands: Committee members generally expressed support and asked clarifying questions about notification, member notices and the role of the Charter School Authority. Witnesses urged passage to protect employees and the retirement trust fund. No final vote on the measure appears in the transcript excerpt, but testimony strongly favored giving PERS clearer, cross‑agency collection authority.
