Act No. 109 Lets ORP Participants Join TRSL Plan

On May 21, 2024, Governor Jeff Landry signed HB 31 allowing Optional Retirement Plan (ORP) participants a one-time irrevocable election to join the Teachers’ Retirement System of LA (TRSL). Act No. 109 removes the irrevocability clause, which has been in place since July 1, 1990, when the ORP was first introduced.

For ORP participants whose first employment making them eligible for participation in the optional retirement plan occurred on or before July 31, 2020, and who chose participation in the ORP instead of the regular retirement plan of the Teachers' Retirement System of Louisiana may make an irrevocable election to become a member of the regular retirement plan of the Teachers' Retirement System of Louisiana before June 30, 2025. Members who exercise an election to move to the regular retirement plan will be enrolled in the 2015 regular retirement plan provisions.

The information below outlines the provisions of Act 109:

  One - Year Window Five - Year Window
Who is eligible? 

• Current ORP participant who is first ORP-eligible employment occurred before August 1, 2020; and 

• Who is active and contributing as of June 30, 2024


Note: Must be eligible for TRSL participation at the time of the election

• Current ORP participant who is first ORP-eligible employment began on or after August 1, 2020; and 

• Who is active and contributing as of June 30, 2024


Note: Must be eligible for TRSL participation at the time of the election
Deadline

Have until June 30, 2025, to make a one-time, irrevocable election to join the TRSL defined benefit plan as a new member in the 2015 plan.

Can make a one-time irrevocable choice to join the TRSL defined benefit plan as a new member in the 2015 plan at any time within five years of their first ORP-eligible employment.
Effective Date

• ORP participants who submit their election forms on or before December 31, 2024, will cease making contributions to the ORP (employee and employer) effective January 31, 2025, and will begin contributing 8% of their salary to TRSL starting February 1, 2025. 

• ORP participants who submit their election forms on or after January 1, 2025, will cease making contributions to the ORP (employee and employer) on the last day of the month following the month their form is received. Beginning the first day of the following month, the employee will begin contributing 8% of their salary to TRSL. 

• ORP participants will cease making contributions to the ORP (employee and employer) on the last day of the month following the month their form is received. Beginning the first day of the following month, the employee will begin contributing 8% of their salary to TRSL. 

Please note only service in the TRSL regular defined benefit retirement plan will be used for calculating retirement benefits. Service in ORP will not be used to attain eligibility for retirement, disability, or survivor benefits.

TRSL is working to release webinars, fact sheets, new forms, and resources on this new legislation. Once information is available, The Office of Human Resource Management will send communications on the resources available and what steps employees need to take to exercise an election.

For questions, please contact us at benefits@lsu.edu. 

Frequently Asked Questions:

Use Form 2TR (coming soon!). This form must be completed by you and a representative from LSU HRM. The completed form must be received by TRSL from LSU on or before June 30, 2025.

Any time on or before June 30, 2025.

Anyone whose position is part-time, seasonal, or temporary employment.

  • If TRSL receives your completed Form 2TR on or before 12/31/2024:
    • Your ORP participation will end on January 31, 2025, and your enrollment in the TRSL defined benefit plan will begin prospectively on February 1, 2025.
  • If TRSL receives your completed Form 2TR after 12/31/2024:
    • Your ORP participation will end on the last day of the month following the month in which TRSL receives your completed election form. Your enrollment in the TRSL defined benefit plan will begin prospectively on the first day of the month following the end of your ORP participation.

You can retire at age 62 with at least 5 years of service, or at any age with at least 20 years of service (actuarially reduced).

Defined benefit plan service credit earned prior to joining the ORP that remained in the defined benefit plan, if any, can only be used to calculate your retirement benefit. Pre-ORP service credit will not count toward eligibility for retirement, disability, or survivor benefits. 

No, the ORP account will always remain separate from the TRSL pension account; the ORP funds cannot be transferred into TRSL and no TRSL credit can be given for the time in which you participated in the ORP. You will continue to be able to manage the funds in your ORP account, but no new contributions can be made to your ORP account. You can receive distributions from your ORP account once you retire from the defined benefit plan or terminate all TRSL service.

No. State law does not permit this.

The date in which you became eligible for state retirement membership under TRSL. This may be your hire date, or it may be a different date depending on your visa, extension of appointment, or change into a TRSL eligible position. Contact your HRM office for more information on this date.