1. (a) The commissioner shall require periodic reports of local boards. The commissioner shall specify the content to ensure the ability of the state board and the commissioner to administer the pension system in a manner that uses fund assets in a manner required by statute.
2. (b) A report required in accordance with this section is late if it is not received by the commissioner before the end of the month following the last month required to be covered in the report.
3. (c) An administrative penalty is imposed on each late periodic report required in accordance with this section. The penalty is $500 for each violation, except that a surcharge of $100 will be added to the penalty for each month the report remains late.
4. (d) The commissioner may waive an administrative penalty under this section if the commissioner determines, after a written request by a local board for a waiver, that the delay in reporting was beyond the control of the entities responsible for preparing and submitting the report and was not the result of neglect, indifference, or lack of diligence.
5. (e) A local board may appeal the commissioner's denial of a waiver to the state board to be determined at the board's next scheduled meeting. On appeal to the state board, the board is subject to the same standard for determination as the commissioner but may in its discretion accept additional information from the local board.
6. (f) A determination by the state board on appeal under this section may not be appealed to a court and is not subject to any other legal process.

Source Note:The provisions of this §310.9 adopted to be effective October 2, 2005, 30 TexReg 6063.