§ 24-1-204 - Agreements with federal government and other states.

24-1-204. Agreements with federal government and other states.

(a) The Arkansas Public Employees' Retirement System is authorized to enter, on behalf of the state, into a Section 218 agreement consistent with the terms and provisions of this subchapter, with the Commissioner of Social Security for the purpose of extending the benefits of the federal old age, survivors' and disability insurance, and health insurance coverage to employees of the state, or any political subdivision of the state, with respect to services specified in the agreement which constitute employment as defined in 24-1-202. This agreement may contain provisions relating to coverage, benefits, effective date, modification of the agreement, administration, and such other matters as the system and the commissioner shall agree upon, but, except as may be otherwise required by or under the Social Security Act as to the services to be covered, the agreement shall provide, in effect, that:

(1) Benefits will be provided for employees whose services are covered by the agreement, as well as for their dependents and survivors, on the same basis as though the services constituted employment within the meaning of Title II of the Social Security Act;

(2) The employer shall pay to the Internal Revenue Service, at such time or times as may be prescribed under the Social Security Act, contributions with respect to wages, as defined in 24-1-202, equal to the sum of the taxes levied by that act;

(3) All services which constitute employment as defined in 24-1-202 and are performed in the employ of the state by employees of the state shall be covered by the agreement; and

(4) All services shall be covered by the agreement which:

(A) Constitute employment as defined in 24-1-202;

(B) Are performed in the employ of a political subdivision of the state; and

(C) Are covered by a plan which is in conformity with the terms of the agreement and has been approved by the system under 24-1-205.

(b) The system is authorized to enter, on behalf of the state, into an agreement with the appropriate agency or agencies of any other state and with the commissioner, whereby the benefits of the federal old age, survivors' and disability insurance, and health insurance coverage shall be extended to employees of any instrumentality jointly created by this state and any other state or states. To the extent practicable, the agreement shall be consistent with the terms and provisions of subsection (a) of this section and other provisions of this subchapter.