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Government Plans are Exempt from ERISA. What is the Definition of "Government"?
On May 20, 2013 in
Blog
,
ERISA
,
Plan
You already know that an employee benefit plan qualified as a “government plan” is exempt from ERISA’s framework.
But what is the definition of “government”? Some employers may not actually be government entities, and
public private
partnership may inject ERISA back into the framework.
This new case gives you the tests to apply to determine whether a government entity exists, which then means ERISA does not apply. Smith v. Regional Transit Authority, __ F. Supp. 2d __ (E.D. La. May 10, 2013) [PDF] (whether the entity was created directly by the state, so as to constitute a department or “administrative arm” of the government, or whether it was merely administered by individuals responsible to public officials or the general electorate).
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