(1)
Each political subdivision of the state is hereby authorized to
submit for approval by the governor a plan for extending the
benefits of title II of the social security act, in conformity
with the applicable provisions of such act, to those employees of
such political subdivisions who are not covered by an existing
pension or retirement system. Each pension or retirement system
established by the state or a political subdivision thereof is
hereby authorized to submit for approval by the governor a plan
for extending the benefits of title II of the social security
act, in conformity with applicable provisions of such act, to
members of such pension or retirement system. Each such plan and
any amendment thereof shall be approved by the governor if he
finds that such plan, or such plan as amended, is in conformity
with such requirements as are provided in regulations of the
governor, except that no such plan shall be approved unless --
(a) It is in conformity with the requirements of the social
security act and with the agreement entered into under RCW 41.48.030;
(b) It provides that all services which constitute
employment as defined in RCW 41.48.020 and are performed in the
employ of the political subdivision by employees thereof, shall
be covered by the plan;
(c) It specifies the source or sources from which the funds
necessary to make the payments required by paragraph (a) of
subsection (3) and by subsection (4) of this section are expected
to be derived and contains reasonable assurance that such sources
will be adequate for such purposes;
(d) It provides that in the plan of coverage for members of
the state teachers' retirement system or for state employee
members of the state employees' retirement system, there shall be
no additional cost to or involvement of the state until such plan
has received prior approval by the legislature;
(e) It provides for such methods of administration of the
plan by the political subdivision as are found by the governor to
be necessary for the proper and efficient administration of the
plan;
(f) It provides that the political subdivision will make
such reports, in such form and containing such information, as
the governor may from time to time require and comply with such
provisions as the governor or the secretary of health, education,
and welfare may from time to time find necessary to assure the
correctness and verification of such reports; and
(g) It authorizes the governor to terminate the plan in its
entirety, in his discretion, if he finds that there has been a
failure to comply substantially with any provision contained in
such plan, such termination to take effect at the expiration of
such notice and on such conditions as may be provided by
regulations of the governor and may be consistent with the
provisions of the social security act.
(h) It provides that law enforcement officers and
firefighters of each political subdivision of this state who are
covered by the Washington Law Enforcement Officers' and
Firefighters' Retirement System Act (chapter 209, Laws of 1969
ex. sess.) as now in existence or hereafter amended shall
constitute a separate "coverage group" for purposes of the plan
or agreement entered into under this section and for purposes of
section 216 of the social security act. To the extent that the
plan or agreement entered into between the state and any
political subdivision of this state is inconsistent with this
subsection, the governor shall seek to modify the inconsistency.
(i) It provides that the plan or agreement may be terminated
by any political subdivision as to any such coverage group upon
giving at least two years advance notice in writing to the
governor, effective at the end of the calendar quarter specified
in the notice. It shall specify that before notice of such
termination is given, a referendum shall be held among the
members of the coverage group under the following conditions:
(i) The referendum shall be conducted under the supervision
of the legislative body of the political subdivision.
(ii) Not less than sixty days' notice of such referendum
shall be given to members of the coverage group.
(iii) An opportunity to vote by secret ballot in such
referendum shall be given and shall be limited to all members of
the coverage group.
(iv) The proposal for termination shall be approved only if
a majority of the coverage group vote in favor of termination.
(v) If a majority of the coverage group vote in favor of
termination, the legislative body of the political subdivision
shall certify the results of the referendum to the governor and
give notice of termination of such coverage group.
(2) The governor shall not finally refuse to approve a plan
submitted by a political subdivision under subsection (1), and
shall not terminate an approved plan, without reasonable notice
and opportunity for hearing to the political subdivision affected
thereby.
(3)(a) Each political subdivision as to which a plan has
been approved under this section shall pay into the
*contribution fund, with respect to wages (as defined in RCW 41.48.020), at such time or times as the governor may by
regulation prescribe, contributions in the amounts and at the
rates specified in the applicable agreement entered into by the
governor under RCW 41.48.030.
(b) Each political subdivision required to make payments
under paragraph (a) of this subsection is authorized, in
consideration of the employee's retention in, or entry upon,
employment after enactment of this chapter, to impose upon each
of its employees, as to services which are covered by an approved
plan, a contribution with respect to his wages (as defined in RCW 41.48.020), not exceeding the amount of employee tax which is
imposed by the federal insurance contributions act, and to deduct
the amount of such contribution from his wages as and when paid. Contributions so collected shall be paid into the *OASI
contribution fund in partial discharge of the liability of such
political subdivision or instrumentality under paragraph (a) of
this subsection. Failure to deduct such contribution shall not
relieve the employee or employer of liability therefor.
(4) Delinquent reports and payments due under paragraph (f)
of subsection (1) and paragraph (a) of subsection (3) of this
section will be subject to an added interest charge of six
percent per year or, if higher, the rate chargeable to the state
by the secretary by virtue of federal law, if the late report or
payment contributes to any federal penalty for late filing of
reports or for late deposit of contributions. Delinquent
contributions, interest and penalties may be recovered by civil
action or may, at the request of the governor, be deducted from
any other moneys payable to the political subdivision by any
department or agency of the state.
[1981 c 119 § 1; 1971 ex.s. c 257 § 20; 1955 ex.s. c 4 § 5; 1951 c 184 § 5.]
NOTES:
*Reviser's note: The "OASI contribution fund" was redesignated the "OASI contribution account" by 1991 sp.s. c 13 § 112.
Purpose -- Severability -- 1971 ex.s. c 257: See notes following RCW 41.26.030.
Law enforcement officers' and firefighters' retirement system: Chapter 41.26 RCW.
Public employees' retirement system: Chapter 41.40 RCW.
Teachers' retirement system: Chapter 41.32 RCW.