# Title 71 — Retirement Board

## Article 71-04 — Deferred Compensation Plan for Public Employees

## Chapter 71-04-04 — Retirement Board Responsibilities

### § 71-04-04-01. Enrollment.

The board shall design and provide employees with a participant agreement to facilitate the
enrollment in the plan. The participant agreement must provide for the collection of all information
regarding identification of the employee, starting date of the deduction, the payroll period affected,
name of the provider company, and the provider representative.
History: Effective April 1, 1989; amended effective September 1, 1997; May 1, 2004; July 1, 2010.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-01, 54-52.2-02, 54-52.2-05
### § 71-04-04-02. Booklets.

The board shall, upon request of the employee, make available a descriptive booklet setting forth
the enrollment requirements of the plan, explanation of the deferred compensation plan under
section 457 of the Internal Revenue Code, and investment options under the plan.
History: Effective April 1, 1989; amended effective September 1, 1997; May 1, 2004; July 1, 2010.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-03
### § 71-04-04-03. Provider agreement.

The board shall establish a written provider agreement for the authorization of companies or
organizations who offer investment options to public employees. This agreement may include
registration and reporting requirements, educational requirements of sales representatives, and
limitations of investment options.
History: Effective April 1, 1989; amended effective July 1, 2010.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-03
### § 71-04-04-04. Employer agreement.

The board shall establish a written agreement for all employers, other than state departments,
agencies, boards, or commissions, which appoint the state to administer their deferred compensation
plan. This agreement includes requirement for the employer to adopt the board's rules, employers to
make the requested payroll deductions upon proper application by the employee, remit the deductions
directly to the board along with a listing of deferred compensation deductions for all employees
participating in the plan, submit all provider participant contracts to the board, hold all participant
account information as confidential, and notify the board within thirty days of participant's termination of
employment.

History: Effective April 1, 1989; amended effective April 1, 2002; July 1, 2006; July 1, 2010.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-03
### § 71-04-04-05. Payroll deduction authorization.

The office shall make available to the payroll division of each employer direction to begin, modify,
or discontinue deductions pursuant to the completed participant agreement as the payroll division's
authorization to begin deductions.
History: Effective April 1, 1989; amended effective July 1, 2010; April 1, 2016.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-02, 54-52.2-03
### § 71-04-04-06. Participant accounts.

The board shall have each provider of investment services establish individual accounts to record
the participant's contributions, earnings, and other account activity.
History: Effective April 1, 1989; amended effective July 1, 2010.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-03
### § 71-04-04-07. Separation from service.

The board may notify the participant, provider company, and provider representative of the
employee's separation from service and eligibility for payment of benefits.
History: Effective April 1, 1989; amended effective July 1, 1994; May 1, 2004; July 1, 2010; April 1,
2016.
General Authority: NDCC 28-32-02, 54-52.2-03.2
Law Implemented: NDCC 54-52.2-03, 54-52.2-03.2
### § 71-04-04-08. Authorization.

The executive director or the executive director's designee is authorized to sign all provider
agreements, employer agreements, or benefit applications that meet the requirements under article
71-04 and under North Dakota Century Code chapter 54-52.2.
History: Effective July 1, 1994; amended effective May 1, 2004; April 1, 2016.
General Authority: NDCC 54-52.2-03.2
Law Implemented: NDCC 54-52.2-01, 54-52.2-02, 54-52.2-03, 54-52.2-03.2
### § 71-04-04-09. Provider suspension.

The board shall suspend a provider that does not meet the requirements under article 71-04 or
North Dakota Century Code chapter 54-52.2. The board may apply either of the following two types of
suspension:
1. Loss of active provider status. Under this type of suspension, the provider may not enroll
any new participants. The provider may continue to receive contributions from existing
members.
2. Loss of provider status. Under this type of suspension, the provider may not enroll any new
participants nor receive any further contributions from existing members.
At least thirty days prior to suspension, the board shall send a certified letter to the provider indicating
the board's intent to suspend and the reasons for the suspension. Any response from the provider must

be reviewed by the board at the board's next scheduled meeting. A letter of intent does not need to be
sent if the provider fails to meet the requirements of section 71-04-06-11. If the board decides to
suspend a provider, the board shall send a certified letter of suspension to the provider stating the
reasons for the suspension and the type of suspension.
History: Effective July 1, 1994.
General Authority: NDCC 54-52.2-03.2
Law Implemented: NDCC 54-52.2-03.2
### § 71-04-04-10. Processing deductions.

The board will process and remit employee deferred compensation deductions to the designated
provider company within three business days following receipt in good order of all funds and
documentation from the employer.
History: Effective July 1, 2006; amended effective July 1, 2010.
General Authority: NDCC 28-32-02
Law Implemented: NDCC 54-52.2-03
