Updates to penalties and interest regulations
The California State Teachers’ Retirement System and the Teachers’ Retirement Board propose to adopt amended regulations in Sections 27003, 27004, 27007 and 27008 in Article 15.5, Chapter 1, Division 3, Title 5 of the California Code of Regulations and a new regulation in the form of Section 27010 in Article 15.5, Chapter 1, Division 3, Title 5 of the California Code of Regulations, after considering all comments, objections and recommendations regarding the proposed action.
The California Education Code requires the assessment of penalties and interest for late or inaccurate reporting of retirement data and payment of contributions from employers. Late and inaccurate data result in inaccurate benefit payments, and late contributions result in lost investment opportunities and state contributions. Existing regulations ensure consistent and transparent assessment of penalties and interest in accordance with current laws.
The proposed amendments to the regulations address specific scenarios under which employers may avoid being subject to the assessment of penalties and interest and also provide clarification that interest will be charged on outstanding invoices for balances not paid in full within 30 days of the invoice date.
OAL File Number Z-2023-1107-07
Posted on May 15, 2024
Written comment period closes on May 31, 2024.
Notice of Modifications to Text of Proposed RegulationsModified Text of Proposed RegulationsPosted on November 17, 2023
Written comment period closed on January 10, 2024.
Notice of Proposed RulemakingText of Proposed RegulationsInitial Statement of ReasonsEconomic and Fiscal Impact Statement (Standard Form 399)