NOTE: §68.7 eff. upon adoption of a const. amend. which authorizes the St. George
Community School System. See Acts 2025, No. 455.
§68.7. Mutual agreements regarding distribution of assets and liabilities between school
boards
A. No later than sixty days after the effective date of this Act, the East Baton Rouge
Parish School Board and the St. George Community School Board shall meet jointly to begin
the process to determine the fair and equitable division of all assets and liabilities between
the two school boards related to the formation of the St. George Community School System.
The two school boards shall mutually agree upon an actuary, an appraiser, an auditor, or
any other professional advisor deemed necessary by the two school boards to determine the
valuation of the assets and liabilities. The date of the valuations shall be the effective date
of this Act.
B. The assets that are required to be valuated, pursuant to Subsection A of this
Section, shall include all of the following:
(1) All lands, buildings, improvements, facilities, school buses, vehicles, and any
other movable or immovable property, whether corporeal or incorporeal, having title or
ownership vested in the public and subject to management, administration, and control by
the East Baton Rouge Parish School Board for public education purposes that are located
within the geographic boundaries of the St. George Community School System.
(2) Any reserves, trust funds, or other accounts containing funds set aside to pay post
employment retirement benefits for employees who retired from schools located within the
geographic boundaries of the St. George Community School System prior to the effective
date of this Act.
(3) Any reserves, trust funds, or other accounts set aside to pay for maintenance or
deferred maintenance on movable or immovable properties located within the geographic
boundaries of the St. George Community School System that are described in Paragraph (1)
of this Subsection.
(4) Any insurance policies or reinsurance policies associated with the liabilities
listed in Subsection C of this Section.
C. The liabilities that are required to be valuated, pursuant to Subsection A of this
Section, shall include all of the following:
(1) Necessary maintenance or depreciation that is associated with those movable or
immovable assets listed in Subsection B of this Section.
(2) Unfunded accrued liability payments, as provided in R.S. 17:68.4.
(3) Benefits related to costs associated with the reemployment of retirees with
respect to post employment benefits, as provided in R.S. 17:68.5.
(4) Post employment benefits that are due to employees who retired from schools
located within the geographic boundaries of the St. George Community School System prior
to the effective date of this Act. In order to equitably manage the risks associated with and
the costs of providing the post employment benefits, the benefit costs shall be calculated on
the basis of the benefit plan adopted by the St. George Community School Board for those
employees who are employed by the St. George Community School System after the effective
date of this Act.
D. If, in order to reach a fair and equitable agreement with respect to the division
of assets and apportionment of liabilities as provided in this Section results in the
requirement that an equalizing payment be made, that payment may be made as a one-time
payment or may be structured over a number of years, as agreed by the parties.
E. If the two school boards are not able to reach a mutual agreement with respect
to the distribution of assets and liabilities, then the two school boards may mutually agree
upon an additional service provider to assist in amicable resolution.
F. Nothing in this Section shall operate to delay the transfer of property as required
in R.S. 17:68.1 or in any way delay the St. George Community School System from beginning
its actual operation of providing for the education of students within its jurisdiction on July
1, 2027.
G. For purposes of this Section, the following terms whether used in the singular or
plural shall have the following meanings:
(1) "Employees who are retired" or "retiree" means every person who was employed
by the school board including administrators, classroom teachers, coaches, librarians,
counselors, teachers' aides, clerical employees, lunchroom workers, custodial workers,
school bus operators, school bus operators' aides, noninstructional employees, janitors,
custodial workers, maintenance workers, bus aides, attendants, or monitors.
(2) "Post employment benefits" means health insurance or life insurance attributable
to a retiree who was previously employed on the date of his retirement at a school located
within the geographic boundaries of the St. George Community School System prior to the
effective date of this Act.
Acts 2025, No. 455, §1, eff. See Act.