CHAPTER 39:03:01
VOLUNTARY PAYROLL DEDUCTIONS
Section
39:03:01:01 Definitions.
39:03:01:02 Statutorily authorized deductions exempted from rules.
39:03:01:03 Types of voluntary payroll deductions.
39:03:01:04 Procedure for obtaining approval for voluntary payroll deductions.
39:03:01:05 Criteria for approval of voluntary payroll deductions.
39:03:01:06 Installation in central payroll system.
39:03:01:07 Conditions for revocation of approval.
39:03:01:08 Notice of revocation of approval.
39:03:01:09 Effective date of revocation of approval.
39:
(1) "Financial institution," a bank, credit union, savings and loan association, investment trust, or other organization held out to the public as a place to deposit funds or as a medium of savings or collective investment;
(2) "Principal combined fund-raising organization," "PCFO," an umbrella organization incorporated under § 501(c)(3) of the Internal Revenue Code as in effect on July 1, 1989, that collects charitable funds for distribution to local fund-raising campaign committees (LFCC) incorporated under § 501(c)(3) that in turn distribute the funds collected to local human service organizations incorporated under § 501(c)(3);
(3) "Voluntary payroll deduction," a subtraction or withholding from a state employee's salary upon his written authorization.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:01:01, SL 1985, ch 33, § 9, effective July 1, 1985; 16 SDR 43, effective September 12, 1989.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:02. Statutorily authorized deductions exempted from rules. This chapter does not apply to payroll deductions authorized under SDCL 3-10-1 to 3-10-7, inclusive.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:01, SL 1985, ch 33, § 9, effective July 1, 1985.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:03. Types of voluntary payroll deductions. The bureau of finance and management may establish the following types of voluntary payroll deductions in the central payroll system:
(1) The purchase of insurance for state employees;
(2) The payment of dues to state employee organizations;
(3) The deposit of money into financial institutions; and
(4) Collections for principal combined fund-raising organizations.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:02, SL 1985, ch 33, § 9, effective July 1, 1985; 16 SDR 43, effective September 12, 1989.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:04. Procedure for obtaining approval for voluntary payroll deductions. A person may, on behalf of state employees, obtain approval for a voluntary payroll deduction by submitting to the bureau of finance and management the following information on forms provided by the bureau:
(1) The purpose of the deduction;
(2) The nature of the deduction;
(3) An agreement not to solicit state employees during normal working hours;
(4) An agreement to remit, upon telephone notice by the state auditor's office, any corrected balance due the state of South Dakota by placing a check in the mail within 24 hours; and
(5) An agreement to pay an installation fee and to pay monthly charges to cover the processing and handling of the deduction in an amount set by the bureau of finance and management in accordance with SDCL 4-7-25.1 to 4-7-25.4, inclusive.
If the purpose of the deduction is for the purchase of insurance, the payment of dues to a state employee organization, or the contribution of funds to a PCFO, the application for approval shall be accompanied by 200 authorization forms of full-time employees. If the purpose of the deduction is for the deposit of money into a financial institution, the application for approval shall be accompanied by 25 authorization forms of full-time employees.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:03, SL 1985, ch 33, § 9, effective July 1, 1985; 16 SDR 43, effective September 12, 1989.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:05. Criteria for approval of voluntary payroll deductions. The bureau of finance and management shall approve the requested voluntary payroll deductions upon compliance with the provisions of § 39:03:01:04 and after verifying the validity of the state employee authorization forms.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:04, SL 1985, ch 33, § 9, effective July 1, 1985.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:06. Installation in central payroll system. Upon approval of the requested voluntary payroll deduction, the bureau of finance and management shall begin the installation of the deduction in the central payroll system.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:05, SL 1985, ch 33, § 9, effective July 1, 1985.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:07. Conditions for revocation of approval. The bureau of finance and management may revoke its approval of a voluntary payroll deduction under the following conditions:
(1) If the person responsible for the voluntary payroll deduction fails to pay the installation fee or monthly charges within 60 days after billing by the bureau of finance and management;
(2) If the number of state employees authorizing the voluntary payroll deduction falls below 200 for insurance, state employee organizations, and PCFOs, or 25 for financial institutions. The bureau of finance and management shall send immediate notice to the person responsible for the voluntary payroll deduction that the deduction has fallen below the minimum requirement and that the person has 60 days to meet the requirement;
(3) If the person responsible for the voluntary payroll deduction fails to remit a corrected balance within 24 hours from when he receives telephone notice from the state auditor's office; or
(4) If there was solicitation of state employees during normal working hours.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:06, SL 1985, ch 33, § 9, effective July 1, 1985; 16 SDR 43, effective September 12, 1989.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:08. Notice of revocation of approval. After deciding to revoke approval of a voluntary payroll deduction, the bureau of finance and management shall send immediate notice of the revocation by certified mail to the person responsible for the voluntary payroll deduction and by interoffice or regular mail to all state departments and agencies.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:07, SL 1985, ch 33, § 9, effective July 1, 1985.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
39:03:01:09. Effective date of revocation of approval. Sixty days after notice of the revocation of approval of a voluntary payroll deduction is sent to all state departments and agencies, the bureau of finance and management shall remove the payroll deduction from the central payroll system.
Source: 8 SDR 154, effective May 23, 1982; transferred from § 5:01:06:08, SL 1985, ch 33, § 9, effective July 1, 1985.
General Authority:SDCL 3-10-8.
Law Implemented:SDCL 3-10-8.
