8-38-114 - Recovery of delinquencies and penalties Contracts assuring social security contributions. - Tennessee Statutes

8-38-114. Recovery of delinquencies and penalties Contracts assuring social security contributions.

(a)  Delinquent payments due under § 8-38-111 may, with interest at a rate consistent with the current requirements of the Social Security Act, be recovered by action in a court of competent jurisdiction against the political subdivision liable therefor or may, at the request of the state agency, be deducted from any other moneys payable to such subdivision by any department or agency of the state. The deduction here authorized may be made as a first charge against any moneys payable to a subdivision, regardless of the source of such payment, and also regardless of the purpose or contemplated use of such payment.

(b)  When an instrumentality of a political subdivision or political subdivisions acting jointly, such as, but not limited to, the operation of a hospital jointly by a county and municipality, has entered into an agreement with the state agency for social security coverage of its employees and the subdivision or subdivisions have authority to appropriate funds to pay any deficits incurred by the instrumentality relative to its operation, the political subdivision or subdivisions are hereby authorized to enter into an agreement with the state agency for the assurance of the payment of any social security contributions due and payable to the agency by the instrumentality.

(c)  Any employer which fails to make payments in accordance with §§ 8-38-105 8-38-113 shall be penalized twenty-five dollars ($25.00) for each delinquency, plus one percent (1%) of the amount due for each period of fifteen (15) days, or a fraction thereof, in which payment is not made. This penalty shall be in addition to the interest assessment in subsection (a).

[Acts 1951, ch. 90, § 5 (Williams, § 1034.68); 1961, ch. 81, § 2; T.C.A. (orig. ed.), § 8-3814; Acts 1981, ch. 20, § 2; 1985, ch. 66, § 9.]