49-11-603. Participating employer to report and certify — Time limit — Penalties for failure to comply.
(1)
As soon as administratively possible, but in no event later than 30 days after the end of each pay period, a participating employer shall report and certify to the office:
defined contribution plan: means any defined contribution plan or deferred compensation plan authorized under the Internal Revenue Code and administered by the board. See Utah Code 49-11-102
Employer: means any department, educational institution, or political subdivision of the state eligible to participate in a government-sponsored retirement system under federal law. See Utah Code 49-11-102
Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
Retiree: means an individual who has qualified for an allowance under this title. See Utah Code 49-11-102
Service credit: means :
(a)
the period during which an employee is employed and compensated by a participating employer and meets the eligibility requirements for membership in a system or the Utah Governors' and Legislators' Retirement Plan, provided that any required contributions are paid to the office; and
(b)
periods of time otherwise purchasable under this title. See Utah Code 49-11-102
(a)
the eligibility for service credit accrual of:
(i)
each current employee;
(ii)
each new employee as the new employee begins employment; and
(iii)
any changes to eligibility for service credit accrual of each employee;
(b)
the compensation of each current employee eligible for service credit; and
(c)
other factors relating to the proper administration of this title as required by the executive director.
(2)
(a)
Each participating employer shall submit the reports required under Subsection (1) in a format approved by the office.
(b)
Each participating employer shall include in the reports a certification, for each employee, whether the employee is:
(i)
an eligible employee who is accruing service credit;
(ii)
an ineligible employee who may not accrue service credit;
(iii)
a reemployed retiree; or
(iv)
an employee who is eligible for employer contributions to a defined contribution plan administered under this title.
(3)
A participating employer shall be liable to the office for:
(a)
any liabilities and expenses, including administrative expenses and the cost of increased benefits to employees, resulting from the participating employer’s failure to correctly report and certify records under this section;
(b)
a penalty equal to the greater of:
(i)
$250; or
(ii)
50% of the total contributions for the employees for the period of the reporting error; and
(c)
attorney fees.
(4)
The executive director may waive all or any part of the interest, penalties, expenses, and fees if the executive director finds there were extenuating circumstances surrounding the participating employer’s failure to comply with this section.
(5)
The office may estimate the length of service, compensation, or age of any employee, if that information is not contained in the records.
