8 Colo. Code Regs. § 1502-1-4
Rule 4 requires the Association to prescribe the form in which the Contribution Report is submitted, describes procedures for correction of reporting errors, determines the calculation of interest due if either is delinquent, contains provisions regarding payment of unpaid contributions, describes the use of contributions for benefit payments and describes procedures for refunds. Unless otherwise indicated, for the purposes of Rule 4, except for Rule 4.25 , the term "member" shall include DPS members and the term "retiree" shall include DPS retirees.
The Association shall prescribe the form in which the Contribution Report shall be submitted.
Failure by an employer to submit the Contribution Report or contributions, including working retiree contributions for employees who are also retirees of the association, as required, shall make the employer responsible for payment of the contribution amount plus interest computed on a daily rate on the contribution amount from the due date to the day that both the required report and contributions are received. However, the Association, in its sole discretion, may waive the interest so computed if only the report is delinquent and the delinquency is non-recurring. Any resulting expenses incurred by the Association (including charges or expenses imposed by third parties) for delinquency or inadequate funding by the employer shall be paid by the employer. The Association, in its sole discretion, may waive such expenses.
A person who retired before the Association first notified the employer of a claim for unpaid contributions shall be treated as an inactive member for determining the amount due the Association, and for all other purposes of 24-51-402(3) through (5), C.R.S.
The cost to purchase service for an individual who was not a member or inactive member when the Association first notified the employer of a claim for unpaid contributions shall be the amount of member contributions which would have been paid, had the individual been properly covered as a member, plus interest accrued from the last date the individual was paid but not properly covered to completion of payment.
For an individual who was a member or inactive member at the time the Association first notified the employer of a claim:
The cost to purchase service credit under 24-51-402(3)(b)(1)(A), C.R.S., shall be based on the salary amount and percentage used pursuant to 24-51-505, C.R.S. Such cost shall not be applicable if the individual has less than one year of service credit.
If payment of unpaid contributions results in an increase in salary, but no increase in service credit, the amount due shall be the unpaid employer and member contributions plus interest, as provided by 24-51-402(3)(b) (1)(B), C.R.S.
The Association must receive in writing, within one year after the date the employer pays the unpaid employer contributions, an election from an individual declaring the intent to pay unpaid employee contributions, or the individual's right to make such contributions shall be forfeited.
If an individual elects pursuant to 24-51-402(4), C.R.S., to pay all or any portion of the unpaid employee contributions, the lump-sum payment or the first installment payment must be made no later than the first full month following one year after the date the employer pays the unpaid employer contributions.
Eligibility to make payment under 24-51-402, C.R.S., shall be forfeited if payment is not made within 30 days following the date on which the lump-sum payment is due.
Installment payments shall be subject to the provisions of Rule 5.30 B. If the purchase agreement is cancelled pursuant to Rule 5.30 B(2) or (4), eligibility to make payments under 24-51-402, C.R.S., shall be forfeited.
If an employer fails to provide an eligible employee membership in the Defined Contribution Plan or the required level of contributions to a member's account in the Defined Contribution Plan, the employer shall pay all unpaid employer contributions pursuant to 24-51-401 C.R.S. et seq., plus interest at the actuarial investment assumption rate.
The amount of contributions plus interest shall be allocated to the eligible employee or member's Defined Contribution Plan account in the same proportion as would have been paid had the contributions been made timely. (For purpose of clarity, pursuant to 24-51-1505(1), C.R.S., any contribution exceeding the amount in table A in 24-51-401 (1.7)(a), C.R.S., plus attributable interest, shall be paid to the employer's division trust fund.)
The eligible employee or member shall have the option to pay the full amount of member contributions to the eligible employee or member's Defined Contribution Plan account. Any such individual who elects to pay all or any portion of unpaid member contributions shall notify the Association of such election within one year after the date the employer pays the unpaid employer contributions, and may make payment by any method provided inRule4.15 C(4).
Upon receipt by the Association of amounts paid pursuant to Rule 4.15 D(2), the employer shall pay interest on the unpaid member contributions at the actuarial investment assumption rate during the time such member contributions should have been made until the date the contributions are received by the Association. The interest paid by the employer pursuant to this Rule 4.15D(3) shall be allocated to the eligible employee or member's Defined Contribution Plan account.
Contributions with interest must be made in a lump sum on retroactive salary paid.
Retirees who retired before June 30, 2003, who had salary reduction due to furlough days from July 1, 2002, to June 30, 2003, and members who had salary reduction due to furlough days from July 1, 2002, to June 30, 2004, may opt to make member contributions on the amount that their salary was reduced upon notice by the Association.
For purposes of payment of benefits, money credited to the member contribution account is used first.
Members who meet the definition of "state trooper" pursuant to 24-51-101(46), C.R.S., and employers of those members, shall pay the member and employer contribution rates for state troopers set forth in 24-51-401, C.R.S., regardless of the division the employer is assigned.
8 CCR 1502-1-4