TITLE VI
PUBLIC OFFICERS AND EMPLOYEES

Chapter 101
OLD AGE AND SURVIVORS' INSURANCE

Section 101:1

    101:1 Declaration of Policy. – In order to extend to employees of the state and its political subdivisions and to the dependents and survivors of such employees, the basic protection accorded to others by the old-age and survivors insurance system embodied in the Social Security Act, it is hereby declared to be the policy of the general court, subject to the limitations of this chapter, that such steps be taken as to provide such protection to employees and officials of the state and its political subdivisions on as broad a basis as is permitted under the Social Security Act, except as may be otherwise specifically limited herein. It is also the policy of the legislature that the protection afforded employees in positions covered by a retirement system on the date an agreement under this chapter is made applicable to service performed in such positions, or receiving periodic benefits under such retirement system at such time, will not be impaired as a result of making the agreement so applicable or as a result of legislative enactment in anticipation thereof.

Source. 1951, 234:1. RSA 101:1. 1955, 301, part II:1, eff. Aug. 5, 1955.

Section 101:2

    101:2 Definitions. –
For the purposes of this chapter:
I. The term "wages" means all remuneration for employment as defined herein, including the cash value of all remuneration paid in any medium other than cash, except that such term shall not include that part of such remuneration which, even if it were for "employment" within the meaning of the Federal Insurance Contributions Act, would not constitute "wages" within the meaning of that act;
II. The term "employment" means any service performed by an employee or official in the employ of the state, or any political subdivision thereof, for such employer, except (1) service which in the absence of an agreement entered into under this chapter would constitute "employment" as defined in the Social Security Act; or (2) service which under the Social Security Act may not be included in an agreement between the state and the Commissioner of Social Security entered into under this chapter; or (3) service performed by police and fire members of the New Hampshire retirement system; or (4) service of an emergency nature; or (5) service performed by a student as provided in section 218(c)(5) of the Social Security Act; or (6) service in any class or classes of positions filled by popular election and any class or classes of positions the compensation for which is on a fee basis, performed (A) by an employee of the state, or (B) as so provided in the plans submitted under RSA 101:5, by a political subdivision of the state, by an employee of such subdivision. Notwithstanding any other provision of this paragraph, a political subdivision of the state may at the option of said political subdivision modify its plans submitted under RSA 101:5 to exclude service performed by an election official or election worker if the remuneration paid in a calendar year for such service is less than $1,000 commencing on or after January 1, 1995, provided that this limit shall be adjusted by the state agency each calendar year to reflect changes in wages. Notwithstanding any other provision of this paragraph, a political subdivision of the state submitting plans under RSA 101:5, may at the option of said political subdivision include or exclude service performed by an election official or election worker if the remuneration paid in a calendar year for such service is less than the adjusted limit. Service which under the Social Security Act may be included in an agreement only upon certification by the governor in accordance with section 218(d)(3) of that act shall be included in the term "employment" if and when the governor issues, with respect to such service, a certificate to the Commissioner of Social Security pursuant to RSA 101:10, II;
III. The term "employee" includes an official or officer of this state or political subdivision thereof;
IV. The term "state agency" means the commissioner of health and human services and any person to which the commissioner has delegated any functions under this chapter, or any other agency duly designated to administer the provisions of this chapter by the governor and council in accordance with RSA 124:4;
V. The term "Commissioner of Social Security" includes any individual to whom the Commissioner of Social Security has delegated any functions under the Social Security Act with respect to coverage under such act of employees of states and their political subdivisions;
VI. The term "political subdivision" includes an instrumentality of a state, of one or more of its political subdivisions, or of a state and one or more of its political subdivisions, but only if such instrumentality is a juristic entity which is legally separate and distinct from the state or subdivision and only if its employees are not by virtue of their relation to such juristic entity employees of the state or subdivision. Said term also includes a school administrative unit;
VII. The term "Social Security Act" means the Act of Congress approved August 14, 1935, chapter 531, 49 Stat. 620, officially cited as the "Social Security Act," including regulations and requirements issued pursuant thereto, as such act has been and may from time to time be amended;
VIII. The term "Federal Insurance Contributions Act" means subchapter A of chapter 9 of the federal Internal Revenue Code of 1939 and subchapters A and B of chapter 21 of the federal Internal Revenue Code of 1954, as such codes have been and may from time to time be amended; and the term "employee tax" means the tax imposed by section 1400 of such code of 1939 and section 3101 of such code of 1954; and
IX. [Repealed.]

Source. 1951, 234:2. RSA 101:2. 1955, 92:1; 301, part II:2, 3; 332:1, 2. 1957, 48:2, 6. 1969, 73:1. 1998, 220:1, 4, I. 2011, 224:113, eff. July 1, 2011.

Section 101:3

    101:3 Federal-State Agreement and Interstate Instrumentalities. –
I. Federal-State Agreement. The state agency, with the approval of the governor and council, is hereby authorized to enter on behalf of the state into an agreement with the Commissioner of Social Security, consistent with the terms and provisions of this chapter, for the purpose of extending the benefits of the federal old-age and survivors insurance system to employees of the state or any political subdivision thereof with respect to services specified in such agreement which constitute "employment" as defined in RSA 101:2. Such agreement may contain such provisions relating to coverage, benefits, contributions, effective date, modification of the agreement, administration, and other appropriate provisions as the state agency and Commissioner of Social Security shall agree upon, but, except as may be otherwise required by or under the Social Security Act as to the services to be covered, such agreement shall provide in effect that:
(1) Benefits will be provided for employees whose services are covered by the agreement and their dependents and survivors on the same basis as though such services constituted employment within the meaning of title II of the Social Security Act;
(2) The state will 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 equal to the sum of the taxes which would be imposed by the Federal Insurance Contributions Act if the services covered by the agreement constituted employment within the meaning of that act;
(3) Such agreement or modification of the agreement shall be effective with respect to services performed after an effective date specified in such agreement or modification;
(4) All services which constitute employment hereunder and are performed in the employ of the state by employees of the state, shall be covered by the agreement; and
(5) All services which (a) constitute employment as defined in RSA 101:2, (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 state agency under RSA 101:5, shall be covered by the agreement.
II. Interstate Instrumentalities. Any instrumentality jointly created by this state and any other state or states is hereby authorized, upon the granting of like authority by such other state or states, (1) to enter into an agreement with the Commissioner of Social Security whereby the benefits of the federal old-age and survivors' insurance system shall be extended to employees of such instrumentality, (2) require its employees to pay and for that purpose to deduct from their wages contributions equal to the amounts which they would be required to pay under RSA 101:4, I if they were covered by an agreement made pursuant to paragraph I of this section, and (3) to make payments to the Internal Revenue Service in accordance with such agreement, including payments from its own funds, and otherwise to comply with such agreements. Such agreement shall, to the extent practicable, be consistent with the terms and provisions of said paragraph I and other provisions of this chapter.
III. New Hampshire Retirement System. Pursuant to section 218(d)(6) of the Social Security Act, the New Hampshire retirement system shall, for the purposes hereof, be deemed to constitute a separate retirement system with respect to the state and a separate retirement system with respect to each political subdivision which has, or on September 1, 1954, had positions covered thereby, provided however, that in the case of any such political subdivision which has no employees eligible to vote in a referendum, as eligibility is defined in section 218(d)(3) of the Social Security Act, such political subdivision shall be deemed a part of another political subdivision having positions covered by the New Hampshire retirement system as the governor may designate, and the New Hampshire retirement system, with respect to any combination of political subdivisions so formed, shall likewise be deemed a separate retirement system.

Source. 1951, 234:3. 1953, 89:1. RSA 101:3. 1955, 301, part II:4, 5; 332:3, 7. 1957, 48:3. 1959, 75:1. 1998, 220:2, eff. Jan. 1, 1999.

Section 101:4

    101:4 Contributions by State Employees. –
I. Every employee of the state whose services are covered by an agreement entered into under RSA 101:3 shall be required to pay for the period of such coverage, to the Internal Revenue Service, contributions, with respect to wages, equal to the amount of the employee tax which would be imposed by the Federal Insurance Contributions Act if such service constituted employment within the meaning of that act. Such liability shall arise in consideration of such person's retention in such service, or entry upon such service, after the enactment of this chapter.
II. The contribution imposed by this section shall be collected by deducting the amount of the contribution from wages as and when paid, but failure to make such deduction shall not relieve the employee from liability for such contribution.
III. If more or less than the correct amount of the contribution imposed by this section is paid or deducted with respect to any remuneration, proper adjustments, or refund if adjustment is impracticable, shall be made, in such manner and at such times as the Internal Revenue Service shall prescribe.

Source. 1951, 234:4. RSA 101:4. 1955, 332:4. 1957, 48:5. 1998, 220:2, eff. Jan. 1, 1999.

Section 101:5

    101:5 Plans for Coverage of Employees of Political Subdivisions. –
I. Each political subdivision of the state is hereby authorized to submit for approval by the state agency a plan for extending the benefits of title II of the Social Security Act, in conformity with applicable provisions of such act, to employees of such political subdivision. Each such plan and any amendment thereof shall be approved by the state agency if it finds that such plan, or such plan as amended, is in conformity with such requirements as are provided in rules of the state agency, except that no such plan shall be approved unless:
(1) It is in conformity with the requirements of the Social Security Act and with the agreement entered into under RSA 101:3;
(2) It provides that all services which constitute employment as defined in RSA 101:2 and are performed in the employ of the political subdivision by employees thereof, shall be covered by the plan;
(3) It specifies the source or sources from which the funds necessary to make the payments required by subparagraph III(1) are expected to be derived and contains reasonable assurance that such sources will be adequate for such purpose;
(4) It provides for such methods of administration of the plan by the political subdivision as are found by the state agency to be necessary for the proper and efficient administration of the plan; and
(5) It provides that the political subdivision will make such reports, in such form and containing such information, as the Internal Revenue Service may from time to time require, and comply with such provisions as the Internal Revenue Service or Commissioner of Social Security may from time to time find necessary to assure the correctness and verification of such reports.
II. The state agency shall not finally refuse to approve a plan submitted by a political subdivision under paragraph I without reasonable notice and opportunity for hearing to the political subdivision affected thereby.
III. (1) Each political subdivision as to which a plan has been approved under this section shall pay, with respect to wages, at such time or times as the Internal Revenue Service may by regulation prescribe, contributions in the amounts and at the rates specified in the applicable agreement entered into by the state agency under RSA 101:3.
(2) Each political subdivision required to make payments under subparagraph (1) of this paragraph is authorized, in consideration of the employee's retention, 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 wages not exceeding the amount of the employee tax which would be imposed by the Federal Insurance Contributions Act if such services constituted employment within the meaning of that act, and to deduct the amount of such contribution from wages as and when paid. Contributions so collected shall be paid to the Internal Revenue Service in partial discharge of the liability of such political subdivision or instrumentality under subparagraph (1) of this paragraph. Failure to deduct such contribution shall not relieve the employee or employer of liability therefor.

Source. 1951, 234:5. RSA 101:5. 1955, 332:5. 1998, 220:2, eff. Jan. 1, 1999.

Section 101:6, 101:7

    101:6, 101:7 Repealed by 1998, 220:4, II, eff. Jan. 1, 1999. –

Section 101:8

    101:8 Rules. – The commissioner of health and human services shall make and publish such rules adopted pursuant to RSA 541-A, not inconsistent with the provisions of this chapter, as are necessary or appropriate to the efficient administration of the functions under this chapter.

Source. 1951, 234:8. 1998, 220:3, eff. Jan. 1, 1999.

Section 101:9

    101:9 Studies and Reports. – The commissioner of health and human services shall make studies concerning the problem of old-age and survivors' insurance protection for employees of the state and local governments and their instrumentalities and concerning the operation of agreements made and plans approved under this chapter and shall submit a report to the legislature at the beginning of each biennium, covering the administration and operation of this chapter during the preceding 2 calendar years, including such recommendations for amendments to this chapter as are proper.

Source. 1951, 234:9. 1998, 220:3, eff. Jan. 1, 1999.

Section 101:10

    101:10 Procedure. –
I. Referendum. With respect to employees of the state the governor is empowered to authorize a referendum, and with respect to the employees of any political subdivision. The governor shall authorize a referendum upon request of the governing body of such subdivision except as otherwise provided herein. in such case the referendum shall be conducted, and the governor shall designate an agency or individual to supervise its conduct, in accordance with the requirements of section 218(d)(3) of the Social Security Act, on the question of whether service in positions covered by a retirement system established by the state or by a political subdivision thereof should be excluded from or included under an agreement under this chapter. In the case of the referendum with respect to the employees of the state, the conduct thereof shall be governed by such rules as the governor, after consultation with the respective representatives of employee organizations, shall approve. The notice of referendum required by section 218(d)(3)(C) of the Social Security Act to be given to employees shall contain or shall be accompanied by a statement, in such form and such detail as the governor shall deem necessary and sufficient, to inform the employees of the rights which will accrue to them and their dependents and survivors, and the liabilities to which they will be subject, if their services are included under an agreement under this chapter.
II. Certification. Upon receiving satisfactory evidence that with respect to any such referendum the conditions specified in section 218(d)(3) of the Social Security Act have been met, the governor shall so certify to the Commissioner of Social Security.
III. Order of Referenda. No referendum shall be held hereunder with respect to the employees of any political subdivision until the referendum authorized herein with respect to the employees of the state shall have been conducted and the result thereof determined. In the event that the employees of the state in said referendum shall vote in favor of including service in positions covered by the New Hampshire retirement system with respect to the state under an agreement under this act, the governor, upon the determination of such vote and without further directive or request, shall forthwith authorize a referendum with respect to each of the political subdivisions having positions covered by the New Hampshire retirement system.

Source. 1955, 301, part II:6. 1957, 48:4. 1998, 220:3, eff. Jan. 1, 1999.

Section 101:11

    101:11 Modification Authorized. – Whenever following the referendum with respect to the employees of the state authorized in RSA 101:10 it shall appear that said employees have voted in favor of including service in positions covered by the New Hampshire retirement system under an agreement under RSA 101, and it shall further appear that the governor has filed with the Commissioner of Social Security with respect to said referendum the certificate required by RSA 101:10, II, the state agency shall forthwith request the Commissioner of Social Security to effect a modification of the agreement between the state and the Commissioner of Social Security made under the provisions of said chapter so as to include under said agreement service which under said chapter constitutes employment performed in the employ of the state.

Source. 1955, 301, part III:2. 1998, 220:3, eff. Jan. 1, 1999.

Section 101:12 to 101:19

    101:12 to 101:19 Repealed by 1998, 220:4, III, eff. Jan. 1, 1999. –