Ark. Code Ann. § 24-10-603 — AR Code / Title 24 / Chapter 10 / Subchapter 6 / Section 24-10-603
Annuity options
Status: in_force

(a) Before the date the first payment of a member's annuity becomes due, but not thereafter, a member may elect in a manner prescribed by the Arkansas Local Police and Fire Retirement System to receive his or her annuity as an Option A60 annuity under this section, or the member may elect to have his or her life annuity reduced, excepting any temporary annuity that may be payable. The member may nominate a beneficiary in accordance with the provisions of one (1) of the following options: (1) Option A60 - Sixty (60) Months Certain and Life Annuity. (A) (i) Under Option A60, the retirant shall be paid an annuity for life with the provision that if the retirant's death occurs before sixty (60) monthly payments have been made, the full annuity shall continue to be paid for the remainder of the sixty (60) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the Board of Trustees of the Arkansas Local Police and Fire Retirement System. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons. (B) The reduced annuity shall be ninety-six percent (96%) of the life annuity if the first payment due date is before July 1, 2001, ninety-seven percent (97%) of the life annuity if the first payment due date is on or after July 1, 2001, or one hundred percent (100%) of the life annuity if the first payment due date is on or after July 1, 2003. (2) Option A120 - One Hundred Twenty (120) Months Certain and Life Annuity. (A) (i) Under Option A120, the retirant shall be paid a reduced annuity for life with the provision that if the retirant's death occurs before one hundred twenty (120) monthly payments have been made, the full reduced annuity shall continue to be paid for the remainder of the one hundred twenty (120) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the board. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons. (B) The reduced annuity shall be ninety percent (90%) of the life annuity if the first payment due date is before July 1, 2001, ninety-five percent (95%) of the life annuity if the first payment due date is on or after July 1, 2001, or ninety-eight percent (98%) of the life annuity if the first payment due date is on or after July 1, 2003. (3) Option B50 - Fifty Percent (50%) Survivor Beneficiary Annuity. (A) (i) Under Option B50, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, one-half (½) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person the retirant has designated in a manner prescribed by the system and filed with the board before his or her annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) . (B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty-five percent (85%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age. (C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be ninety-one percent (91%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age. (D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be ninety-four percent (94%) if the retirant's age and retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-eight percent (98%) for each year that the beneficiary's age is more than the retirant's age. (4) Option B75 - Seventy-Five Percent (75%) Survivor Beneficiary Annuity. (A) (i) Under Option B75, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, three-quarters (¾) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person as the retirant shall have designated in a manner prescribed by the system and filed with the board before the retirant's annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) . (B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty percent (80%) if the retirant's age and his or her beneficiary's age are the same on the first due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age. (C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be eighty-six percent (86%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age. (D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be eighty-nine percent (89%) if the retirant's age and the retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety-four percent (94%) for each year that the beneficiary's age is more than the retirant's age. (b) (1) (A) At the election of the retirant, a death of the beneficiary or the divorce or other marriage dissolution after retirement from a spouse designated as beneficiary shall cancel any optional plan elected at retirement to provide continuing lifetime benefits to the beneficiary and shall return the retirant to his or her single lifetime benefit equivalent, to be effective the month following receipt of the retirant's election by the plan. (B) The election shall be in a manner prescribed by the system. (2) A retirant who is receiving a single lifetime benefit and who marries after retirement or within the one (1) year immediately preceding retirement may elect to cancel his or her single lifetime benefit and to elect an optional plan providing continuing lifetime benefits to his or her spouse, but only if the election is in a manner approved by the board and is received by the board not earlier than one (1) year after the date of the marriage and not later than eighteen (18) months thereafter. (3) The election shall be effective the first day of the month following its receipt. (c) If a member does not elect an option, his or her annuity shall be paid to him or her as an Option A60 annuity provided for under subdivision (a)(1) of this section. Amended by Act 2013, No. 40,§ 8, eff. 2/6/2013. Acts 1981, No. 364, § 5; A.S.A. 1947, § 12-3805; Acts 2001, No. 769, § 1; 2003, No. 473, §§ 1-5.

(a) Before the date the first payment of a member's annuity becomes due, but not thereafter, a member may elect in a manner prescribed by the Arkansas Local Police and Fire Retirement System to receive his or her annuity as an Option A60 annuity under this section, or the member may elect to have his or her life annuity reduced, excepting any temporary annuity that may be payable. The member may nominate a beneficiary in accordance with the provisions of one (1) of the following options: (1) Option A60 - Sixty (60) Months Certain and Life Annuity. (A) (i) Under Option A60, the retirant shall be paid an annuity for life with the provision that if the retirant's death occurs before sixty (60) monthly payments have been made, the full annuity shall continue to be paid for the remainder of the sixty (60) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the Board of Trustees of the Arkansas Local Police and Fire Retirement System. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons. (B) The reduced annuity shall be ninety-six percent (96%) of the life annuity if the first payment due date is before July 1, 2001, ninety-seven percent (97%) of the life annuity if the first payment due date is on or after July 1, 2001, or one hundred percent (100%) of the life annuity if the first payment due date is on or after July 1, 2003. (2) Option A120 - One Hundred Twenty (120) Months Certain and Life Annuity. (A) (i) Under Option A120, the retirant shall be paid a reduced annuity for life with the provision that if the retirant's death occurs before one hundred twenty (120) monthly payments have been made, the full reduced annuity shall continue to be paid for the remainder of the one hundred twenty (120) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the board. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons. (B) The reduced annuity shall be ninety percent (90%) of the life annuity if the first payment due date is before July 1, 2001, ninety-five percent (95%) of the life annuity if the first payment due date is on or after July 1, 2001, or ninety-eight percent (98%) of the life annuity if the first payment due date is on or after July 1, 2003. (3) Option B50 - Fifty Percent (50%) Survivor Beneficiary Annuity. (A) (i) Under Option B50, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, one-half (½) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person the retirant has designated in a manner prescribed by the system and filed with the board before his or her annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) . (B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty-five percent (85%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age. (C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be ninety-one percent (91%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age. (D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be ninety-four percent (94%) if the retirant's age and retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-eight percent (98%) for each year that the beneficiary's age is more than the retirant's age. (4) Option B75 - Seventy-Five Percent (75%) Survivor Beneficiary Annuity. (A) (i) Under Option B75, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, three-quarters (¾) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person as the retirant shall have designated in a manner prescribed by the system and filed with the board before the retirant's annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) . (B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty percent (80%) if the retirant's age and his or her beneficiary's age are the same on the first due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age. (C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be eighty-six percent (86%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age. (D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be eighty-nine percent (89%) if the retirant's age and the retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety-four percent (94%) for each year that the beneficiary's age is more than the retirant's age.

(1) Option A60 - Sixty (60) Months Certain and Life Annuity. (A) (i) Under Option A60, the retirant shall be paid an annuity for life with the provision that if the retirant's death occurs before sixty (60) monthly payments have been made, the full annuity shall continue to be paid for the remainder of the sixty (60) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the Board of Trustees of the Arkansas Local Police and Fire Retirement System. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons. (B) The reduced annuity shall be ninety-six percent (96%) of the life annuity if the first payment due date is before July 1, 2001, ninety-seven percent (97%) of the life annuity if the first payment due date is on or after July 1, 2001, or one hundred percent (100%) of the life annuity if the first payment due date is on or after July 1, 2003.

(A) (i) Under Option A60, the retirant shall be paid an annuity for life with the provision that if the retirant's death occurs before sixty (60) monthly payments have been made, the full annuity shall continue to be paid for the remainder of the sixty (60) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the Board of Trustees of the Arkansas Local Police and Fire Retirement System. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons.

(i) Under Option A60, the retirant shall be paid an annuity for life with the provision that if the retirant's death occurs before sixty (60) monthly payments have been made, the full annuity shall continue to be paid for the remainder of the sixty (60) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the Board of Trustees of the Arkansas Local Police and Fire Retirement System.

(ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons.

(B) The reduced annuity shall be ninety-six percent (96%) of the life annuity if the first payment due date is before July 1, 2001, ninety-seven percent (97%) of the life annuity if the first payment due date is on or after July 1, 2001, or one hundred percent (100%) of the life annuity if the first payment due date is on or after July 1, 2003.

(2) Option A120 - One Hundred Twenty (120) Months Certain and Life Annuity. (A) (i) Under Option A120, the retirant shall be paid a reduced annuity for life with the provision that if the retirant's death occurs before one hundred twenty (120) monthly payments have been made, the full reduced annuity shall continue to be paid for the remainder of the one hundred twenty (120) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the board. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons. (B) The reduced annuity shall be ninety percent (90%) of the life annuity if the first payment due date is before July 1, 2001, ninety-five percent (95%) of the life annuity if the first payment due date is on or after July 1, 2001, or ninety-eight percent (98%) of the life annuity if the first payment due date is on or after July 1, 2003.

(A) (i) Under Option A120, the retirant shall be paid a reduced annuity for life with the provision that if the retirant's death occurs before one hundred twenty (120) monthly payments have been made, the full reduced annuity shall continue to be paid for the remainder of the one hundred twenty (120) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the board. (ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons.

(i) Under Option A120, the retirant shall be paid a reduced annuity for life with the provision that if the retirant's death occurs before one hundred twenty (120) monthly payments have been made, the full reduced annuity shall continue to be paid for the remainder of the one hundred twenty (120) months to such persons and in such shares as the retirant shall have designated in a manner prescribed by the system and filed with the board.

(ii) If there is no payee surviving, the lump-sum actuarial equivalent of the remaining monthly payments shall be paid to the estate of the last survivor among the retirant and the designated persons.

(B) The reduced annuity shall be ninety percent (90%) of the life annuity if the first payment due date is before July 1, 2001, ninety-five percent (95%) of the life annuity if the first payment due date is on or after July 1, 2001, or ninety-eight percent (98%) of the life annuity if the first payment due date is on or after July 1, 2003.

(3) Option B50 - Fifty Percent (50%) Survivor Beneficiary Annuity. (A) (i) Under Option B50, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, one-half (½) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person the retirant has designated in a manner prescribed by the system and filed with the board before his or her annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) . (B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty-five percent (85%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age. (C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be ninety-one percent (91%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age. (D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be ninety-four percent (94%) if the retirant's age and retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-eight percent (98%) for each year that the beneficiary's age is more than the retirant's age.

(A) (i) Under Option B50, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, one-half (½) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person the retirant has designated in a manner prescribed by the system and filed with the board before his or her annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) .

(i) Under Option B50, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, one-half (½) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person the retirant has designated in a manner prescribed by the system and filed with the board before his or her annuity starting date.

(ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) .

(a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date;

(b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or

(c) A dependent child as defined under § 24-10-102(13) .

(B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty-five percent (85%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age.

(C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be ninety-one percent (91%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-five percent (95%) for each year that the beneficiary's age is more than the retirant's age.

(D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be ninety-four percent (94%) if the retirant's age and retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by one-half of one percent (0.5%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by one-half of one percent (0.5%) up to a maximum of ninety-eight percent (98%) for each year that the beneficiary's age is more than the retirant's age.

(4) Option B75 - Seventy-Five Percent (75%) Survivor Beneficiary Annuity. (A) (i) Under Option B75, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, three-quarters (¾) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person as the retirant shall have designated in a manner prescribed by the system and filed with the board before the retirant's annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) . (B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty percent (80%) if the retirant's age and his or her beneficiary's age are the same on the first due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age. (C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be eighty-six percent (86%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age. (D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be eighty-nine percent (89%) if the retirant's age and the retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety-four percent (94%) for each year that the beneficiary's age is more than the retirant's age.

(A) (i) Under Option B75, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, three-quarters (¾) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person as the retirant shall have designated in a manner prescribed by the system and filed with the board before the retirant's annuity starting date. (ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) .

(i) Under Option B75, the retirant shall be paid a reduced annuity for life with the provision that upon the retirant's death, three-quarters (¾) of the reduced annuity shall be continued throughout the future lifetime of and paid to such person as the retirant shall have designated in a manner prescribed by the system and filed with the board before the retirant's annuity starting date.

(ii) However, the person must be either: (a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date; (b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or (c) A dependent child as defined under § 24-10-102(13) .

(a) The retirant's spouse for not less than one (1) year immediately preceding the first payment due date;

(b) Another person receiving more than one-half (½) support from the retirant for not less than one (1) year immediately preceding the first payment due date; or

(c) A dependent child as defined under § 24-10-102(13) .

(B) If the first payment due date is before July 1, 2001, the reduced annuity to the retirant shall be eighty percent (80%) if the retirant's age and his or her beneficiary's age are the same on the first due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age.

(C) If the first payment due date is on or after July 1, 2001, the reduced annuity to the retirant shall be eighty-six percent (86%) if the retirant's age and his or her beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety percent (90%) for each year that the beneficiary's age is more than the retirant's age.

(D) If the first payment due date is on or after July 1, 2003, the reduced annuity to the retirant shall be eighty-nine percent (89%) if the retirant's age and the retirant's beneficiary's age are the same on the first payment due date, which shall be decreased by three-fourths of one percent (0.75%) for each year that the beneficiary's age is less than the retirant's age or which shall be increased by three-fourths of one percent (0.75%) up to a maximum of ninety-four percent (94%) for each year that the beneficiary's age is more than the retirant's age.

(b) (1) (A) At the election of the retirant, a death of the beneficiary or the divorce or other marriage dissolution after retirement from a spouse designated as beneficiary shall cancel any optional plan elected at retirement to provide continuing lifetime benefits to the beneficiary and shall return the retirant to his or her single lifetime benefit equivalent, to be effective the month following receipt of the retirant's election by the plan. (B) The election shall be in a manner prescribed by the system. (2) A retirant who is receiving a single lifetime benefit and who marries after retirement or within the one (1) year immediately preceding retirement may elect to cancel his or her single lifetime benefit and to elect an optional plan providing continuing lifetime benefits to his or her spouse, but only if the election is in a manner approved by the board and is received by the board not earlier than one (1) year after the date of the marriage and not later than eighteen (18) months thereafter. (3) The election shall be effective the first day of the month following its receipt.

(1) (A) At the election of the retirant, a death of the beneficiary or the divorce or other marriage dissolution after retirement from a spouse designated as beneficiary shall cancel any optional plan elected at retirement to provide continuing lifetime benefits to the beneficiary and shall return the retirant to his or her single lifetime benefit equivalent, to be effective the month following receipt of the retirant's election by the plan. (B) The election shall be in a manner prescribed by the system.

(A) At the election of the retirant, a death of the beneficiary or the divorce or other marriage dissolution after retirement from a spouse designated as beneficiary shall cancel any optional plan elected at retirement to provide continuing lifetime benefits to the beneficiary and shall return the retirant to his or her single lifetime benefit equivalent, to be effective the month following receipt of the retirant's election by the plan.

(B) The election shall be in a manner prescribed by the system.

(2) A retirant who is receiving a single lifetime benefit and who marries after retirement or within the one (1) year immediately preceding retirement may elect to cancel his or her single lifetime benefit and to elect an optional plan providing continuing lifetime benefits to his or her spouse, but only if the election is in a manner approved by the board and is received by the board not earlier than one (1) year after the date of the marriage and not later than eighteen (18) months thereafter.

(3) The election shall be effective the first day of the month following its receipt.

(c) If a member does not elect an option, his or her annuity shall be paid to him or her as an Option A60 annuity provided for under subdivision (a)(1) of this section.

Amended by Act 2013, No. 40,§ 8, eff. 2/6/2013.

Acts 1981, No. 364, § 5; A.S.A. 1947, § 12-3805; Acts 2001, No. 769, § 1; 2003, No. 473, §§ 1-5.
Ark. Code Ann. § 24-10-205 — AR Code / Title 24 / Chapter 10 / Subchapter 2 / Section 24-10-205
Records and reports
Status: in_force

(a) (1) After receiving the advice of its actuary, the Board of Trustees of the Arkansas Local Police and Fire Retirement System shall from time to time adopt such mortality and other tables of experience, and rates of regular interest, as shall be necessary for the actuarial requirements of the Arkansas Local Police and Fire Retirement System. (2) It shall require the Executive Director of the Arkansas Local Police and Fire Retirement System to keep in convenient form such data as shall be necessary for actuarial investigations of the experiences of the system and such data as shall be necessary for the annual actuarial valuations of the system. (b) The board shall keep a record of its proceedings, which shall be open to public inspection. (c) The board shall prepare annually and render to each employer a report showing the financial condition of the system. The report shall contain, but shall not be limited to: (1) A financial balance sheet; (2) A statement of income and disbursements; (3) A detailed statement of investments acquired and disposed of during the year, including a composite rate of return on the investments; (4) A summary of the results of the last actuarial valuation of the system; and (5) Such other data as the board shall deem necessary or desirable for a proper understanding of the condition of the system. (d) The board shall determine and decide all questions of doubt raised by any provisions of this chapter. (e) The headquarters of the system shall be located within twenty-five (25) miles of the State Capitol Building. Acts 1981, No. 364, § 7; A.S.A. 1947, § 12-3807.

(a) (1) After receiving the advice of its actuary, the Board of Trustees of the Arkansas Local Police and Fire Retirement System shall from time to time adopt such mortality and other tables of experience, and rates of regular interest, as shall be necessary for the actuarial requirements of the Arkansas Local Police and Fire Retirement System. (2) It shall require the Executive Director of the Arkansas Local Police and Fire Retirement System to keep in convenient form such data as shall be necessary for actuarial investigations of the experiences of the system and such data as shall be necessary for the annual actuarial valuations of the system.

(1) After receiving the advice of its actuary, the Board of Trustees of the Arkansas Local Police and Fire Retirement System shall from time to time adopt such mortality and other tables of experience, and rates of regular interest, as shall be necessary for the actuarial requirements of the Arkansas Local Police and Fire Retirement System.

(2) It shall require the Executive Director of the Arkansas Local Police and Fire Retirement System to keep in convenient form such data as shall be necessary for actuarial investigations of the experiences of the system and such data as shall be necessary for the annual actuarial valuations of the system.

(b) The board shall keep a record of its proceedings, which shall be open to public inspection.

(c) The board shall prepare annually and render to each employer a report showing the financial condition of the system. The report shall contain, but shall not be limited to: (1) A financial balance sheet; (2) A statement of income and disbursements; (3) A detailed statement of investments acquired and disposed of during the year, including a composite rate of return on the investments; (4) A summary of the results of the last actuarial valuation of the system; and (5) Such other data as the board shall deem necessary or desirable for a proper understanding of the condition of the system.

(1) A financial balance sheet;

(2) A statement of income and disbursements;

(3) A detailed statement of investments acquired and disposed of during the year, including a composite rate of return on the investments;

(4) A summary of the results of the last actuarial valuation of the system; and

(5) Such other data as the board shall deem necessary or desirable for a proper understanding of the condition of the system.

(d) The board shall determine and decide all questions of doubt raised by any provisions of this chapter.

(e) The headquarters of the system shall be located within twenty-five (25) miles of the State Capitol Building.

Acts 1981, No. 364, § 7; A.S.A. 1947, § 12-3807.
Ark. Code Ann. § 24-4-510 — AR Code / Title 24 / Chapter 4 / Subchapter 5 / Section 24-4-510
Eligibility for benefits - Deferred and early annuities
Status: in_force

(a) (1) (A) Any member or former member with sufficient years of actual service to qualify for a vested termination annuity who has not attained his or her normal retirement age may retire with an early annuity provided for in subsection (b) of this section upon his or her written application to the plan setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of his or her application, he or she desires to be retired. (B) The member or former member eligible for a vested termination annuity must have at least five (5) years of actual service and be within ten (10) years of normal retirement age, except for members of the General Assembly who must have at least ten (10) years of actual service and be within ten (10) years of normal retirement age. (2) (A) Upon early retirement, a member shall receive a certain percentage of an annuity for life provided for in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one-half of one percent (0.5%) multiplied by the number of months by which the member's age at early retirement is younger than his or her normal retirement age, using what his or her normal retirement age would have been under the provisions of § 24-4-508 if he or she had continued covered employment from the time of early retirement. (B) (i) However, if the member or former member has at least twenty-five (25) years of actual service but less than twenty-eight (28) years of actual service and has not reached sixty-five (65) years of age, then upon early retirement the member shall receive a percentage of a life annuity as provided in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one percent (1%) multiplied by the number of months by which the time of early retirement precedes the earlier of either the completion of twenty-eight (28) years of actual service or the attainment of sixty-five (65) years of age. (ii) If the reduction set forth under this subdivision (a)(2)(B) is greater than the reduction that would have otherwise been imposed except for this subdivision (a)(2)(B), then the lesser reduction shall apply. (3) The early annuity shall be effective the first day of the calendar month next following the later of termination of public employer employment or thirty (30) days after receipt by the Board of Trustees of the Arkansas Public Employees' Retirement System of the written application. (b) (1) A member who terminates covered employment before attaining his or her normal retirement age for a reason other than death or early retirement or disability retirement shall be entitled to an annuity computed in accordance with the provisions of subdivision (b)(2) of this section as it provides at time of last termination of employment, subject to the member's satisfying all of the following conditions: (A) Except for members of the General Assembly, who must have at least ten (10) years of actual service, the member has five (5) or more years of total actual service with the Arkansas Public Employees' Retirement System or in combination with reciprocal systems under the provisions of §§ 24-2-401 - 24-2-405 , and 24-2-407 . In establishing the minimum total credited service, periods of credited service covering the same calendar time shall be counted only one (1) time. However, both service in the Arkansas Public Employees' Retirement System as a member of the General Assembly and service in another reciprocal system during the same period of time may be counted to meet the service requirements for benefits from the reciprocal systems, subject to the following: (i) The provisions of § 24-4-521 may not be used to meet the service requirements; and (ii) The benefit payable by a reciprocal system will be based on the credited service in that system and on the final average compensation under that system; (B) If a member has fewer years of service than the final average compensation requirement in a reciprocal system, then "final average compensation" means the monthly average of pay to the member during his or her total years of service in that system; (C) The member lives to his or her annuity starting date; and (D) The member makes written application for retirement in accordance with this section. (2) (A) A contributory member with twenty (20) or more years of actual service who left or leaves the employ of a public employer prior to the member's attainment of sixty (60) years of age for any reason except his or her retirement or death shall be entitled to an annuity provided for in § 24-4-601 , but only if the member does not withdraw his or her accumulated contributions from the members' deposit account. (B) The member's annuity shall begin the first day of the calendar month next following the month after his or her attainment of sixty (60) years of age upon written application filed with the Board of Trustees of the Arkansas Public Employees' Retirement System setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of the application, the member desires to be retired. (3) (A) A contributory member who has at least five (5) years but less than twenty (20) years of actual service who leaves the employ of a public employer prior to his or her attainment of sixty-five (65) years of age for any reason except his or her retirement or death and who does not withdraw his or her accumulated contributions from the members' deposit account shall be entitled to an annuity provided for in § 24-4-606 . (B) A noncontributory member who has at least five (5) years but less than twenty-eight (28) years of actual service who leaves the employ of a public employer prior to the attainment of sixty-five (65) years of age for any reason except retirement or death shall be entitled to an annuity provided for in § 24-4-606 . (C) The member's annuity shall begin the first day of the calendar month next following the month of attainment of sixty-five (65) years of age upon written application filed with the board setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing thereof, the member desired to be retired. (4) The monthly amount of vested termination annuity shall be computed in the same manner as a normal annuity amount provided for in § 24-4-601 , but it shall be based upon the member's credited service and final average compensation at the time of termination of employment covered by the Arkansas Public Employees' Retirement System. (5) The member shall have the right to elect an option provided for in § 24-4-606 . Acts 1957, No. 177, § 10; 1959, No. 42, § 10; 1965, No. 153, § 8; 1973, No. 586, § 3; 1975, No. 907, § 14; 1979, No. 715, § 3; 1985, No. 938, §§ 3, 4; A.S.A. 1947, § 12-2510; Acts 1999, No. 627, § 2; 2001, No. 151, § 24; 2001, No. 1297, § 1.

(a) (1) (A) Any member or former member with sufficient years of actual service to qualify for a vested termination annuity who has not attained his or her normal retirement age may retire with an early annuity provided for in subsection (b) of this section upon his or her written application to the plan setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of his or her application, he or she desires to be retired. (B) The member or former member eligible for a vested termination annuity must have at least five (5) years of actual service and be within ten (10) years of normal retirement age, except for members of the General Assembly who must have at least ten (10) years of actual service and be within ten (10) years of normal retirement age. (2) (A) Upon early retirement, a member shall receive a certain percentage of an annuity for life provided for in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one-half of one percent (0.5%) multiplied by the number of months by which the member's age at early retirement is younger than his or her normal retirement age, using what his or her normal retirement age would have been under the provisions of § 24-4-508 if he or she had continued covered employment from the time of early retirement. (B) (i) However, if the member or former member has at least twenty-five (25) years of actual service but less than twenty-eight (28) years of actual service and has not reached sixty-five (65) years of age, then upon early retirement the member shall receive a percentage of a life annuity as provided in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one percent (1%) multiplied by the number of months by which the time of early retirement precedes the earlier of either the completion of twenty-eight (28) years of actual service or the attainment of sixty-five (65) years of age. (ii) If the reduction set forth under this subdivision (a)(2)(B) is greater than the reduction that would have otherwise been imposed except for this subdivision (a)(2)(B), then the lesser reduction shall apply. (3) The early annuity shall be effective the first day of the calendar month next following the later of termination of public employer employment or thirty (30) days after receipt by the Board of Trustees of the Arkansas Public Employees' Retirement System of the written application.

(1) (A) Any member or former member with sufficient years of actual service to qualify for a vested termination annuity who has not attained his or her normal retirement age may retire with an early annuity provided for in subsection (b) of this section upon his or her written application to the plan setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of his or her application, he or she desires to be retired. (B) The member or former member eligible for a vested termination annuity must have at least five (5) years of actual service and be within ten (10) years of normal retirement age, except for members of the General Assembly who must have at least ten (10) years of actual service and be within ten (10) years of normal retirement age.

(A) Any member or former member with sufficient years of actual service to qualify for a vested termination annuity who has not attained his or her normal retirement age may retire with an early annuity provided for in subsection (b) of this section upon his or her written application to the plan setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of his or her application, he or she desires to be retired.

(B) The member or former member eligible for a vested termination annuity must have at least five (5) years of actual service and be within ten (10) years of normal retirement age, except for members of the General Assembly who must have at least ten (10) years of actual service and be within ten (10) years of normal retirement age.

(2) (A) Upon early retirement, a member shall receive a certain percentage of an annuity for life provided for in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one-half of one percent (0.5%) multiplied by the number of months by which the member's age at early retirement is younger than his or her normal retirement age, using what his or her normal retirement age would have been under the provisions of § 24-4-508 if he or she had continued covered employment from the time of early retirement. (B) (i) However, if the member or former member has at least twenty-five (25) years of actual service but less than twenty-eight (28) years of actual service and has not reached sixty-five (65) years of age, then upon early retirement the member shall receive a percentage of a life annuity as provided in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one percent (1%) multiplied by the number of months by which the time of early retirement precedes the earlier of either the completion of twenty-eight (28) years of actual service or the attainment of sixty-five (65) years of age. (ii) If the reduction set forth under this subdivision (a)(2)(B) is greater than the reduction that would have otherwise been imposed except for this subdivision (a)(2)(B), then the lesser reduction shall apply.

(A) Upon early retirement, a member shall receive a certain percentage of an annuity for life provided for in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one-half of one percent (0.5%) multiplied by the number of months by which the member's age at early retirement is younger than his or her normal retirement age, using what his or her normal retirement age would have been under the provisions of § 24-4-508 if he or she had continued covered employment from the time of early retirement.

(B) (i) However, if the member or former member has at least twenty-five (25) years of actual service but less than twenty-eight (28) years of actual service and has not reached sixty-five (65) years of age, then upon early retirement the member shall receive a percentage of a life annuity as provided in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one percent (1%) multiplied by the number of months by which the time of early retirement precedes the earlier of either the completion of twenty-eight (28) years of actual service or the attainment of sixty-five (65) years of age. (ii) If the reduction set forth under this subdivision (a)(2)(B) is greater than the reduction that would have otherwise been imposed except for this subdivision (a)(2)(B), then the lesser reduction shall apply.

(i) However, if the member or former member has at least twenty-five (25) years of actual service but less than twenty-eight (28) years of actual service and has not reached sixty-five (65) years of age, then upon early retirement the member shall receive a percentage of a life annuity as provided in § 24-4-601 . The percentage shall be one hundred percent (100%) reduced by one percent (1%) multiplied by the number of months by which the time of early retirement precedes the earlier of either the completion of twenty-eight (28) years of actual service or the attainment of sixty-five (65) years of age.

(ii) If the reduction set forth under this subdivision (a)(2)(B) is greater than the reduction that would have otherwise been imposed except for this subdivision (a)(2)(B), then the lesser reduction shall apply.

(3) The early annuity shall be effective the first day of the calendar month next following the later of termination of public employer employment or thirty (30) days after receipt by the Board of Trustees of the Arkansas Public Employees' Retirement System of the written application.

(b) (1) A member who terminates covered employment before attaining his or her normal retirement age for a reason other than death or early retirement or disability retirement shall be entitled to an annuity computed in accordance with the provisions of subdivision (b)(2) of this section as it provides at time of last termination of employment, subject to the member's satisfying all of the following conditions: (A) Except for members of the General Assembly, who must have at least ten (10) years of actual service, the member has five (5) or more years of total actual service with the Arkansas Public Employees' Retirement System or in combination with reciprocal systems under the provisions of §§ 24-2-401 - 24-2-405 , and 24-2-407 . In establishing the minimum total credited service, periods of credited service covering the same calendar time shall be counted only one (1) time. However, both service in the Arkansas Public Employees' Retirement System as a member of the General Assembly and service in another reciprocal system during the same period of time may be counted to meet the service requirements for benefits from the reciprocal systems, subject to the following: (i) The provisions of § 24-4-521 may not be used to meet the service requirements; and (ii) The benefit payable by a reciprocal system will be based on the credited service in that system and on the final average compensation under that system; (B) If a member has fewer years of service than the final average compensation requirement in a reciprocal system, then "final average compensation" means the monthly average of pay to the member during his or her total years of service in that system; (C) The member lives to his or her annuity starting date; and (D) The member makes written application for retirement in accordance with this section. (2) (A) A contributory member with twenty (20) or more years of actual service who left or leaves the employ of a public employer prior to the member's attainment of sixty (60) years of age for any reason except his or her retirement or death shall be entitled to an annuity provided for in § 24-4-601 , but only if the member does not withdraw his or her accumulated contributions from the members' deposit account. (B) The member's annuity shall begin the first day of the calendar month next following the month after his or her attainment of sixty (60) years of age upon written application filed with the Board of Trustees of the Arkansas Public Employees' Retirement System setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of the application, the member desires to be retired. (3) (A) A contributory member who has at least five (5) years but less than twenty (20) years of actual service who leaves the employ of a public employer prior to his or her attainment of sixty-five (65) years of age for any reason except his or her retirement or death and who does not withdraw his or her accumulated contributions from the members' deposit account shall be entitled to an annuity provided for in § 24-4-606 . (B) A noncontributory member who has at least five (5) years but less than twenty-eight (28) years of actual service who leaves the employ of a public employer prior to the attainment of sixty-five (65) years of age for any reason except retirement or death shall be entitled to an annuity provided for in § 24-4-606 . (C) The member's annuity shall begin the first day of the calendar month next following the month of attainment of sixty-five (65) years of age upon written application filed with the board setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing thereof, the member desired to be retired. (4) The monthly amount of vested termination annuity shall be computed in the same manner as a normal annuity amount provided for in § 24-4-601 , but it shall be based upon the member's credited service and final average compensation at the time of termination of employment covered by the Arkansas Public Employees' Retirement System. (5) The member shall have the right to elect an option provided for in § 24-4-606 .

(1) A member who terminates covered employment before attaining his or her normal retirement age for a reason other than death or early retirement or disability retirement shall be entitled to an annuity computed in accordance with the provisions of subdivision (b)(2) of this section as it provides at time of last termination of employment, subject to the member's satisfying all of the following conditions: (A) Except for members of the General Assembly, who must have at least ten (10) years of actual service, the member has five (5) or more years of total actual service with the Arkansas Public Employees' Retirement System or in combination with reciprocal systems under the provisions of §§ 24-2-401 - 24-2-405 , and 24-2-407 . In establishing the minimum total credited service, periods of credited service covering the same calendar time shall be counted only one (1) time. However, both service in the Arkansas Public Employees' Retirement System as a member of the General Assembly and service in another reciprocal system during the same period of time may be counted to meet the service requirements for benefits from the reciprocal systems, subject to the following: (i) The provisions of § 24-4-521 may not be used to meet the service requirements; and (ii) The benefit payable by a reciprocal system will be based on the credited service in that system and on the final average compensation under that system; (B) If a member has fewer years of service than the final average compensation requirement in a reciprocal system, then "final average compensation" means the monthly average of pay to the member during his or her total years of service in that system; (C) The member lives to his or her annuity starting date; and (D) The member makes written application for retirement in accordance with this section.

(A) Except for members of the General Assembly, who must have at least ten (10) years of actual service, the member has five (5) or more years of total actual service with the Arkansas Public Employees' Retirement System or in combination with reciprocal systems under the provisions of §§ 24-2-401 - 24-2-405 , and 24-2-407 . In establishing the minimum total credited service, periods of credited service covering the same calendar time shall be counted only one (1) time. However, both service in the Arkansas Public Employees' Retirement System as a member of the General Assembly and service in another reciprocal system during the same period of time may be counted to meet the service requirements for benefits from the reciprocal systems, subject to the following: (i) The provisions of § 24-4-521 may not be used to meet the service requirements; and (ii) The benefit payable by a reciprocal system will be based on the credited service in that system and on the final average compensation under that system;

(i) The provisions of § 24-4-521 may not be used to meet the service requirements; and

(ii) The benefit payable by a reciprocal system will be based on the credited service in that system and on the final average compensation under that system;

(B) If a member has fewer years of service than the final average compensation requirement in a reciprocal system, then "final average compensation" means the monthly average of pay to the member during his or her total years of service in that system;

(C) The member lives to his or her annuity starting date; and

(D) The member makes written application for retirement in accordance with this section.

(2) (A) A contributory member with twenty (20) or more years of actual service who left or leaves the employ of a public employer prior to the member's attainment of sixty (60) years of age for any reason except his or her retirement or death shall be entitled to an annuity provided for in § 24-4-601 , but only if the member does not withdraw his or her accumulated contributions from the members' deposit account. (B) The member's annuity shall begin the first day of the calendar month next following the month after his or her attainment of sixty (60) years of age upon written application filed with the Board of Trustees of the Arkansas Public Employees' Retirement System setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of the application, the member desires to be retired.

(A) A contributory member with twenty (20) or more years of actual service who left or leaves the employ of a public employer prior to the member's attainment of sixty (60) years of age for any reason except his or her retirement or death shall be entitled to an annuity provided for in § 24-4-601 , but only if the member does not withdraw his or her accumulated contributions from the members' deposit account.

(B) The member's annuity shall begin the first day of the calendar month next following the month after his or her attainment of sixty (60) years of age upon written application filed with the Board of Trustees of the Arkansas Public Employees' Retirement System setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing of the application, the member desires to be retired.

(3) (A) A contributory member who has at least five (5) years but less than twenty (20) years of actual service who leaves the employ of a public employer prior to his or her attainment of sixty-five (65) years of age for any reason except his or her retirement or death and who does not withdraw his or her accumulated contributions from the members' deposit account shall be entitled to an annuity provided for in § 24-4-606 . (B) A noncontributory member who has at least five (5) years but less than twenty-eight (28) years of actual service who leaves the employ of a public employer prior to the attainment of sixty-five (65) years of age for any reason except retirement or death shall be entitled to an annuity provided for in § 24-4-606 . (C) The member's annuity shall begin the first day of the calendar month next following the month of attainment of sixty-five (65) years of age upon written application filed with the board setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing thereof, the member desired to be retired.

(A) A contributory member who has at least five (5) years but less than twenty (20) years of actual service who leaves the employ of a public employer prior to his or her attainment of sixty-five (65) years of age for any reason except his or her retirement or death and who does not withdraw his or her accumulated contributions from the members' deposit account shall be entitled to an annuity provided for in § 24-4-606 .

(B) A noncontributory member who has at least five (5) years but less than twenty-eight (28) years of actual service who leaves the employ of a public employer prior to the attainment of sixty-five (65) years of age for any reason except retirement or death shall be entitled to an annuity provided for in § 24-4-606 .

(C) The member's annuity shall begin the first day of the calendar month next following the month of attainment of sixty-five (65) years of age upon written application filed with the board setting forth at what time, not less than thirty (30) days nor more than ninety (90) days subsequent to the execution and filing thereof, the member desired to be retired.

(4) The monthly amount of vested termination annuity shall be computed in the same manner as a normal annuity amount provided for in § 24-4-601 , but it shall be based upon the member's credited service and final average compensation at the time of termination of employment covered by the Arkansas Public Employees' Retirement System.

(5) The member shall have the right to elect an option provided for in § 24-4-606 .

Acts 1957, No. 177, § 10; 1959, No. 42, § 10; 1965, No. 153, § 8; 1973, No. 586, § 3; 1975, No. 907, § 14; 1979, No. 715, § 3; 1985, No. 938, §§ 3, 4; A.S.A. 1947, § 12-2510; Acts 1999, No. 627, § 2; 2001, No. 151, § 24; 2001, No. 1297, § 1.
Ark. Code Ann. § 24-7-1605 — AR Code / Title 24 / Chapter 7 / Subchapter 16 / Section 24-7-1605
Optional participation by institution of higher education employers on or after July 1, 2011
Status: in_force

(a) (1) A PSHE employer shall adopt and record a policy or designation that identifies which positions at the PSHE employer's institution of higher education are benefits-eligible for retirement benefits. (2) A new employee of a PSHE employer may participate in the PSHE plan if the employee: (A) Is benefits-eligible as determined by the PSHE employer; (B) Is a vested member of the Arkansas Teacher Retirement System at the time of initial employment; (C) Is not a vested member of the system but meets the requirements of a less restrictive PSHE plan adopted by the specific PSHE employer; and (D) Signs an irrevocable PSHE plan participation form provided by the system. (b) (1) A nonmandatory employer becomes a PSHE employer upon enrolling a new eligible member with the system on or after July 1, 2011. (2) A PSHE plan employee shall continue as a member in the system retirement plan so long as the member is employed by a PSHE employer. (3) An election to participate in the retirement system plan under this subsection is irrevocable so long as the employee does not obtain a termination refund from the system after the election. (c) (1) (A) A PSHE employer may adopt a resolution that allows a new employee to participate as a PSHE plan employee without being vested in the system. (B) (i) A less restrictive plan is effective when the resolution adopted by a PSHE employer is presented to the system. (ii) A PSHE employer may modify a less restrictive PSHE plan at any time. (iii) A less restrictive plan adopted by a PSHE employer before July 1, 2013, may provide that a new employee hired between July 1, 2011, and June 30, 2013, who was prohibited from participating as a PSHE employee in the system and who would have been eligible under the less restrictive plan adopted by the PSHE plan employer may have an opt-in opportunity to participate in the system. (2) (A) A PSHE employer may adopt an opt-in opportunity as provided under subdivision (c)(1)(B)(iii) of this section by resolution adopted by the governing body of the PSHE employer that allows a benefits-eligible employee who was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of initial employment. (B) To participate in the opt-in opportunity provided by a PSHE employer, an employee shall: (i) Have been continuously employed by the PSHE employer once hired after July 1, 2011; (ii) Meet the PSHE employer's less restrictive PSHE plan; and (iii) Elect to become a member of the system between July 1, 2013, and June 30, 2014. (3) (A) A benefits-eligible employee who elects to become a member of the system as provided under subdivision (c)(2) of this section may purchase service credit based on the applicable member employee and employer contribution rates on annual salary plus eight percent (8%) annual interest if the election is made between July 1, 2013, and June 30, 2014. (B) A purchase of service credit under subdivision (c)(3)(A) of this section shall be paid in full within one (1) year of the date that the benefits-eligible member elects to become a member of the system. (4) If a PSHE employer does not adopt a less restrictive plan, the PSHE plan shall remain in effect as provided under subsection (a) of this section. (d) (1) If a benefits-eligible employee at a PSHE employer was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of employment, and the benefits-eligible employee has been continuously employed by the PSHE employer, then the benefits-eligible employee may elect to become a member of the system between July 1, 2013, to June 30, 2014. (2) A benefits-eligible employee who elects to become a member of the system under subdivision (c)(1) of this section may purchase service credit based on the applicable member and employer contributions rates on annual salary plus eight percent (8%) annual interest using a special formula if the election is made between July 1, 2013, and June 30, 2014, and is paid in full within one (1) year of the date the benefits-eligible member elects to become a member of the system. (e) (1) The PSHE employer shall remit employer contributions under § 24-7-401 et seq. and be subject to the rights and obligations of an employer under the Arkansas Teacher Retirement System Act once a benefits-eligible employee elects to participate in the system for the employees of the PSHE employer participating in the system. (2) The benefits-eligible employee who elects to participate in the system retirement plan shall remit employee contributions under § 24-7-406 and be subject to the rights and obligations of an employee under the Arkansas Teacher Retirement System Act. (f) The PSHE employer shall comply with the system's verification and reporting requirements that are implemented by the system. (g) A member shall not purchase prior unreported service except as provided under subdivision (c)(2) of this section on or after July 1, 2011, regardless of when service was provided to a nonmandatory employer. Amended by Act 2021, No. 279,§ 37, eff. 7/1/2021. Amended by Act 2013, No. 607,§ 1, eff. 7/1/2013. Acts 2011, No. 513, § 1.

(a) (1) A PSHE employer shall adopt and record a policy or designation that identifies which positions at the PSHE employer's institution of higher education are benefits-eligible for retirement benefits. (2) A new employee of a PSHE employer may participate in the PSHE plan if the employee: (A) Is benefits-eligible as determined by the PSHE employer; (B) Is a vested member of the Arkansas Teacher Retirement System at the time of initial employment; (C) Is not a vested member of the system but meets the requirements of a less restrictive PSHE plan adopted by the specific PSHE employer; and (D) Signs an irrevocable PSHE plan participation form provided by the system.

(1) A PSHE employer shall adopt and record a policy or designation that identifies which positions at the PSHE employer's institution of higher education are benefits-eligible for retirement benefits.

(2) A new employee of a PSHE employer may participate in the PSHE plan if the employee: (A) Is benefits-eligible as determined by the PSHE employer; (B) Is a vested member of the Arkansas Teacher Retirement System at the time of initial employment; (C) Is not a vested member of the system but meets the requirements of a less restrictive PSHE plan adopted by the specific PSHE employer; and (D) Signs an irrevocable PSHE plan participation form provided by the system.

(A) Is benefits-eligible as determined by the PSHE employer;

(B) Is a vested member of the Arkansas Teacher Retirement System at the time of initial employment;

(C) Is not a vested member of the system but meets the requirements of a less restrictive PSHE plan adopted by the specific PSHE employer; and

(D) Signs an irrevocable PSHE plan participation form provided by the system.

(b) (1) A nonmandatory employer becomes a PSHE employer upon enrolling a new eligible member with the system on or after July 1, 2011. (2) A PSHE plan employee shall continue as a member in the system retirement plan so long as the member is employed by a PSHE employer. (3) An election to participate in the retirement system plan under this subsection is irrevocable so long as the employee does not obtain a termination refund from the system after the election.

(1) A nonmandatory employer becomes a PSHE employer upon enrolling a new eligible member with the system on or after July 1, 2011.

(2) A PSHE plan employee shall continue as a member in the system retirement plan so long as the member is employed by a PSHE employer.

(3) An election to participate in the retirement system plan under this subsection is irrevocable so long as the employee does not obtain a termination refund from the system after the election.

(c) (1) (A) A PSHE employer may adopt a resolution that allows a new employee to participate as a PSHE plan employee without being vested in the system. (B) (i) A less restrictive plan is effective when the resolution adopted by a PSHE employer is presented to the system. (ii) A PSHE employer may modify a less restrictive PSHE plan at any time. (iii) A less restrictive plan adopted by a PSHE employer before July 1, 2013, may provide that a new employee hired between July 1, 2011, and June 30, 2013, who was prohibited from participating as a PSHE employee in the system and who would have been eligible under the less restrictive plan adopted by the PSHE plan employer may have an opt-in opportunity to participate in the system. (2) (A) A PSHE employer may adopt an opt-in opportunity as provided under subdivision (c)(1)(B)(iii) of this section by resolution adopted by the governing body of the PSHE employer that allows a benefits-eligible employee who was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of initial employment. (B) To participate in the opt-in opportunity provided by a PSHE employer, an employee shall: (i) Have been continuously employed by the PSHE employer once hired after July 1, 2011; (ii) Meet the PSHE employer's less restrictive PSHE plan; and (iii) Elect to become a member of the system between July 1, 2013, and June 30, 2014. (3) (A) A benefits-eligible employee who elects to become a member of the system as provided under subdivision (c)(2) of this section may purchase service credit based on the applicable member employee and employer contribution rates on annual salary plus eight percent (8%) annual interest if the election is made between July 1, 2013, and June 30, 2014. (B) A purchase of service credit under subdivision (c)(3)(A) of this section shall be paid in full within one (1) year of the date that the benefits-eligible member elects to become a member of the system. (4) If a PSHE employer does not adopt a less restrictive plan, the PSHE plan shall remain in effect as provided under subsection (a) of this section.

(1) (A) A PSHE employer may adopt a resolution that allows a new employee to participate as a PSHE plan employee without being vested in the system. (B) (i) A less restrictive plan is effective when the resolution adopted by a PSHE employer is presented to the system. (ii) A PSHE employer may modify a less restrictive PSHE plan at any time. (iii) A less restrictive plan adopted by a PSHE employer before July 1, 2013, may provide that a new employee hired between July 1, 2011, and June 30, 2013, who was prohibited from participating as a PSHE employee in the system and who would have been eligible under the less restrictive plan adopted by the PSHE plan employer may have an opt-in opportunity to participate in the system.

(A) A PSHE employer may adopt a resolution that allows a new employee to participate as a PSHE plan employee without being vested in the system.

(B) (i) A less restrictive plan is effective when the resolution adopted by a PSHE employer is presented to the system. (ii) A PSHE employer may modify a less restrictive PSHE plan at any time. (iii) A less restrictive plan adopted by a PSHE employer before July 1, 2013, may provide that a new employee hired between July 1, 2011, and June 30, 2013, who was prohibited from participating as a PSHE employee in the system and who would have been eligible under the less restrictive plan adopted by the PSHE plan employer may have an opt-in opportunity to participate in the system.

(i) A less restrictive plan is effective when the resolution adopted by a PSHE employer is presented to the system.

(ii) A PSHE employer may modify a less restrictive PSHE plan at any time.

(iii) A less restrictive plan adopted by a PSHE employer before July 1, 2013, may provide that a new employee hired between July 1, 2011, and June 30, 2013, who was prohibited from participating as a PSHE employee in the system and who would have been eligible under the less restrictive plan adopted by the PSHE plan employer may have an opt-in opportunity to participate in the system.

(2) (A) A PSHE employer may adopt an opt-in opportunity as provided under subdivision (c)(1)(B)(iii) of this section by resolution adopted by the governing body of the PSHE employer that allows a benefits-eligible employee who was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of initial employment. (B) To participate in the opt-in opportunity provided by a PSHE employer, an employee shall: (i) Have been continuously employed by the PSHE employer once hired after July 1, 2011; (ii) Meet the PSHE employer's less restrictive PSHE plan; and (iii) Elect to become a member of the system between July 1, 2013, and June 30, 2014.

(A) A PSHE employer may adopt an opt-in opportunity as provided under subdivision (c)(1)(B)(iii) of this section by resolution adopted by the governing body of the PSHE employer that allows a benefits-eligible employee who was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of initial employment.

(B) To participate in the opt-in opportunity provided by a PSHE employer, an employee shall: (i) Have been continuously employed by the PSHE employer once hired after July 1, 2011; (ii) Meet the PSHE employer's less restrictive PSHE plan; and (iii) Elect to become a member of the system between July 1, 2013, and June 30, 2014.

(i) Have been continuously employed by the PSHE employer once hired after July 1, 2011;

(ii) Meet the PSHE employer's less restrictive PSHE plan; and

(iii) Elect to become a member of the system between July 1, 2013, and June 30, 2014.

(3) (A) A benefits-eligible employee who elects to become a member of the system as provided under subdivision (c)(2) of this section may purchase service credit based on the applicable member employee and employer contribution rates on annual salary plus eight percent (8%) annual interest if the election is made between July 1, 2013, and June 30, 2014. (B) A purchase of service credit under subdivision (c)(3)(A) of this section shall be paid in full within one (1) year of the date that the benefits-eligible member elects to become a member of the system.

(A) A benefits-eligible employee who elects to become a member of the system as provided under subdivision (c)(2) of this section may purchase service credit based on the applicable member employee and employer contribution rates on annual salary plus eight percent (8%) annual interest if the election is made between July 1, 2013, and June 30, 2014.

(B) A purchase of service credit under subdivision (c)(3)(A) of this section shall be paid in full within one (1) year of the date that the benefits-eligible member elects to become a member of the system.

(4) If a PSHE employer does not adopt a less restrictive plan, the PSHE plan shall remain in effect as provided under subsection (a) of this section.

(d) (1) If a benefits-eligible employee at a PSHE employer was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of employment, and the benefits-eligible employee has been continuously employed by the PSHE employer, then the benefits-eligible employee may elect to become a member of the system between July 1, 2013, to June 30, 2014. (2) A benefits-eligible employee who elects to become a member of the system under subdivision (c)(1) of this section may purchase service credit based on the applicable member and employer contributions rates on annual salary plus eight percent (8%) annual interest using a special formula if the election is made between July 1, 2013, and June 30, 2014, and is paid in full within one (1) year of the date the benefits-eligible member elects to become a member of the system.

(1) If a benefits-eligible employee at a PSHE employer was prohibited from becoming a member of the system from July 1, 2011, to June 30, 2013, because the benefits-eligible employee was not a vested member of the system at the time of employment, and the benefits-eligible employee has been continuously employed by the PSHE employer, then the benefits-eligible employee may elect to become a member of the system between July 1, 2013, to June 30, 2014.

(2) A benefits-eligible employee who elects to become a member of the system under subdivision (c)(1) of this section may purchase service credit based on the applicable member and employer contributions rates on annual salary plus eight percent (8%) annual interest using a special formula if the election is made between July 1, 2013, and June 30, 2014, and is paid in full within one (1) year of the date the benefits-eligible member elects to become a member of the system.

(e) (1) The PSHE employer shall remit employer contributions under § 24-7-401 et seq. and be subject to the rights and obligations of an employer under the Arkansas Teacher Retirement System Act once a benefits-eligible employee elects to participate in the system for the employees of the PSHE employer participating in the system. (2) The benefits-eligible employee who elects to participate in the system retirement plan shall remit employee contributions under § 24-7-406 and be subject to the rights and obligations of an employee under the Arkansas Teacher Retirement System Act.

(1) The PSHE employer shall remit employer contributions under § 24-7-401 et seq. and be subject to the rights and obligations of an employer under the Arkansas Teacher Retirement System Act once a benefits-eligible employee elects to participate in the system for the employees of the PSHE employer participating in the system.

(2) The benefits-eligible employee who elects to participate in the system retirement plan shall remit employee contributions under § 24-7-406 and be subject to the rights and obligations of an employee under the Arkansas Teacher Retirement System Act.

(f) The PSHE employer shall comply with the system's verification and reporting requirements that are implemented by the system.

(g) A member shall not purchase prior unreported service except as provided under subdivision (c)(2) of this section on or after July 1, 2011, regardless of when service was provided to a nonmandatory employer.

Amended by Act 2021, No. 279,§ 37, eff. 7/1/2021.

Amended by Act 2013, No. 607,§ 1, eff. 7/1/2013.

Acts 2011, No. 513, § 1.
Ark. Code Ann. § 24-4-1102 — AR Code / Title 24 / Chapter 4 / Subchapter 11 / Section 24-4-1102
Member contributions
Status: in_force

(a) (1) The contributions of a member shall be five percent (5%) of the member's annual compensation and shall be placed in the member's deposit account as provided in § 24-4-401 . (2) Interest shall be paid on accumulated member contributions at the rate of two percent (2%) per annum. (3) As used in this subsection, "compensation" has the same meaning as in § 24-4-101 . (4) (A) Beginning July 1, 2022, and continuing each following fiscal year, the contribution rate shall be increased in increments of twenty-five hundredths of one percent (0.25%) per fiscal year. (B) An increase to the contribution rate under subdivision (a)(4)(A) of this section shall not result in a contribution rate greater than seven percent (7%). (b) (1) For purposes of deferring federal and state income tax under 26 U.S.C. § 414(h)(2) , as adopted by § 26-51-414 , the employer shall pick up the member's contributions to the Arkansas Public Employees' Retirement System required by this section payable on or after July 1, 2005. (2) (A) Member contributions picked up by the employer shall be paid from the same source of funds used for the payment of salary to a member. (B) The employer shall be solely responsible for remitting member contributions to the system in a manner consistent with § 24-4-202 , including without limitation compliance with deadlines and penalties. (C) A deduction shall be made from each member's salary equal to the amount of the member's contribution picked up by the employer. (D) For all other purposes, member contributions picked up by the employer shall be considered member contributions. (c) Upon termination of covered service, a former member may request a refund of the former member's accumulated contributions under § 24-4-603 , except that interest will be credited on all balances for service through the last completed fiscal year as provided in § 24-4-209(a) . Amended by Act 2021, No. 365,§ 2, eff. 7/28/2021. Amended by Act 2019, No. 526,§ 1, eff. 7/24/2019. Acts 2005, No. 2084, § 4; 2007, No. 176, § 7; 2011, No. 20, § 4.

(a) (1) The contributions of a member shall be five percent (5%) of the member's annual compensation and shall be placed in the member's deposit account as provided in § 24-4-401 . (2) Interest shall be paid on accumulated member contributions at the rate of two percent (2%) per annum. (3) As used in this subsection, "compensation" has the same meaning as in § 24-4-101 . (4) (A) Beginning July 1, 2022, and continuing each following fiscal year, the contribution rate shall be increased in increments of twenty-five hundredths of one percent (0.25%) per fiscal year. (B) An increase to the contribution rate under subdivision (a)(4)(A) of this section shall not result in a contribution rate greater than seven percent (7%).

(1) The contributions of a member shall be five percent (5%) of the member's annual compensation and shall be placed in the member's deposit account as provided in § 24-4-401 .

(2) Interest shall be paid on accumulated member contributions at the rate of two percent (2%) per annum.

(3) As used in this subsection, "compensation" has the same meaning as in § 24-4-101 .

(4) (A) Beginning July 1, 2022, and continuing each following fiscal year, the contribution rate shall be increased in increments of twenty-five hundredths of one percent (0.25%) per fiscal year. (B) An increase to the contribution rate under subdivision (a)(4)(A) of this section shall not result in a contribution rate greater than seven percent (7%).

(A) Beginning July 1, 2022, and continuing each following fiscal year, the contribution rate shall be increased in increments of twenty-five hundredths of one percent (0.25%) per fiscal year.

(B) An increase to the contribution rate under subdivision (a)(4)(A) of this section shall not result in a contribution rate greater than seven percent (7%).

(b) (1) For purposes of deferring federal and state income tax under 26 U.S.C. § 414(h)(2) , as adopted by § 26-51-414 , the employer shall pick up the member's contributions to the Arkansas Public Employees' Retirement System required by this section payable on or after July 1, 2005. (2) (A) Member contributions picked up by the employer shall be paid from the same source of funds used for the payment of salary to a member. (B) The employer shall be solely responsible for remitting member contributions to the system in a manner consistent with § 24-4-202 , including without limitation compliance with deadlines and penalties. (C) A deduction shall be made from each member's salary equal to the amount of the member's contribution picked up by the employer. (D) For all other purposes, member contributions picked up by the employer shall be considered member contributions.

(1) For purposes of deferring federal and state income tax under 26 U.S.C. § 414(h)(2) , as adopted by § 26-51-414 , the employer shall pick up the member's contributions to the Arkansas Public Employees' Retirement System required by this section payable on or after July 1, 2005.

(2) (A) Member contributions picked up by the employer shall be paid from the same source of funds used for the payment of salary to a member. (B) The employer shall be solely responsible for remitting member contributions to the system in a manner consistent with § 24-4-202 , including without limitation compliance with deadlines and penalties. (C) A deduction shall be made from each member's salary equal to the amount of the member's contribution picked up by the employer. (D) For all other purposes, member contributions picked up by the employer shall be considered member contributions.

(A) Member contributions picked up by the employer shall be paid from the same source of funds used for the payment of salary to a member.

(B) The employer shall be solely responsible for remitting member contributions to the system in a manner consistent with § 24-4-202 , including without limitation compliance with deadlines and penalties.

(C) A deduction shall be made from each member's salary equal to the amount of the member's contribution picked up by the employer.

(D) For all other purposes, member contributions picked up by the employer shall be considered member contributions.

(c) Upon termination of covered service, a former member may request a refund of the former member's accumulated contributions under § 24-4-603 , except that interest will be credited on all balances for service through the last completed fiscal year as provided in § 24-4-209(a) .

Amended by Act 2021, No. 365,§ 2, eff. 7/28/2021.

Amended by Act 2019, No. 526,§ 1, eff. 7/24/2019.

Acts 2005, No. 2084, § 4; 2007, No. 176, § 7; 2011, No. 20, § 4.
Ark. Code Ann. § 24-4-602 — AR Code / Title 24 / Chapter 4 / Subchapter 6 / Section 24-4-602
Payment of annuity balance upon death of retirant or member
Status: in_force

(a) In the event a retirant who is in receipt of a straight life annuity dies before he or she has received in straight life annuity payments an aggregate amount equal to his or her accumulated contributions standing to his or her credit in the members' deposit account at the time of his or her retirement, the difference between his or her accumulated contributions and the aggregate amount of straight life annuity payments received by him or her shall be paid to such persons as he or she shall have nominated by written designation duly executed and filed with the Board of Trustees of the Arkansas Public Employees' Retirement System. (b) If there is no designated person surviving the retirant, the difference, if any, shall be paid in accordance with the Arkansas laws of descent and distribution. (c) The payments may be made directly to a curator or guardian, or to an administrator or an executor, authorized to receive the payments, wherever the representative may be, with or without the appointment of a representative in this state. (d) In the event a member dies and does not leave a beneficiary entitled to an annuity payable from funds of the Arkansas Public Employees' Retirement System, his or her accumulated contributions standing to his or her credit in the members' deposit account as of the time of his or her death shall be paid pursuant to the provisions of this section. Acts 1957, No. 177, § 11; 1959, No. 42, § 11; 1961, No. 11, § 1; 1961, No. 64, § 5; 1965, No. 153, §§ 11, 12; 1967, No. 108, §§ 3, 4; 1967, No. 175, § 2; 1969, No. 81, § 1; 1969, No. 381, § 1; 1969, No. 632, §§ 3, 4; 1973, No. 586, §§ 5, 6; 1975, No. 907, §§ 1, 2, 9; 1977, No. 109, § 1; 1977, No. 816, § 1; 1979, No. 387, § 1; 1979, No. 715, §§ 2, 6; 1981, No. 859, § 6; A.S.A. 1947, § 12-2511.

(a) In the event a retirant who is in receipt of a straight life annuity dies before he or she has received in straight life annuity payments an aggregate amount equal to his or her accumulated contributions standing to his or her credit in the members' deposit account at the time of his or her retirement, the difference between his or her accumulated contributions and the aggregate amount of straight life annuity payments received by him or her shall be paid to such persons as he or she shall have nominated by written designation duly executed and filed with the Board of Trustees of the Arkansas Public Employees' Retirement System.

(b) If there is no designated person surviving the retirant, the difference, if any, shall be paid in accordance with the Arkansas laws of descent and distribution.

(c) The payments may be made directly to a curator or guardian, or to an administrator or an executor, authorized to receive the payments, wherever the representative may be, with or without the appointment of a representative in this state.

(d) In the event a member dies and does not leave a beneficiary entitled to an annuity payable from funds of the Arkansas Public Employees' Retirement System, his or her accumulated contributions standing to his or her credit in the members' deposit account as of the time of his or her death shall be paid pursuant to the provisions of this section.

Acts 1957, No. 177, § 11; 1959, No. 42, § 11; 1961, No. 11, § 1; 1961, No. 64, § 5; 1965, No. 153, §§ 11, 12; 1967, No. 108, §§ 3, 4; 1967, No. 175, § 2; 1969, No. 81, § 1; 1969, No. 381, § 1; 1969, No. 632, §§ 3, 4; 1973, No. 586, §§ 5, 6; 1975, No. 907, §§ 1, 2, 9; 1977, No. 109, § 1; 1977, No. 816, § 1; 1979, No. 387, § 1; 1979, No. 715, §§ 2, 6; 1981, No. 859, § 6; A.S.A. 1947, § 12-2511.
Ark. Code Ann. § 24-7-1302 — AR Code / Title 24 / Chapter 7 / Subchapter 13 / Section 24-7-1302
Application - Review
Status: in_force

(a) To participate in the Teacher Deferred Retirement Option Plan, the member shall submit a plan application on a form required by the Board of Trustees of the Arkansas Teacher Retirement System. (b) (1) The member's plan application shall be reviewed by the Arkansas Teacher Retirement System within a reasonable period of time to determine whether or not the member meets the eligibility requirements under this subchapter. (2) The member's plan date shall be July 1 next following the determination that the member is eligible for plan participation. (3) A plan application received by the system after May 31 before the beginning of a fiscal year on July 1 shall not be eligible for participation in the plan until the following July 1. (c) The member may withdraw his or her plan application if notice to withdraw is received by the system by the end of the second full calendar month immediately following the member's plan date. Amended by Act 2023, No. 107,§ 59, eff. 7/1/2023. Acts 1995, No. 1096, § 1; 1997, No. 118, § 1; 2007, No. 298, § 1; 2011, No. 45, § 19.

(a) To participate in the Teacher Deferred Retirement Option Plan, the member shall submit a plan application on a form required by the Board of Trustees of the Arkansas Teacher Retirement System.

(b) (1) The member's plan application shall be reviewed by the Arkansas Teacher Retirement System within a reasonable period of time to determine whether or not the member meets the eligibility requirements under this subchapter. (2) The member's plan date shall be July 1 next following the determination that the member is eligible for plan participation. (3) A plan application received by the system after May 31 before the beginning of a fiscal year on July 1 shall not be eligible for participation in the plan until the following July 1.

(1) The member's plan application shall be reviewed by the Arkansas Teacher Retirement System within a reasonable period of time to determine whether or not the member meets the eligibility requirements under this subchapter.

(2) The member's plan date shall be July 1 next following the determination that the member is eligible for plan participation.

(3) A plan application received by the system after May 31 before the beginning of a fiscal year on July 1 shall not be eligible for participation in the plan until the following July 1.

(c) The member may withdraw his or her plan application if notice to withdraw is received by the system by the end of the second full calendar month immediately following the member's plan date.

Amended by Act 2023, No. 107,§ 59, eff. 7/1/2023.

Acts 1995, No. 1096, § 1; 1997, No. 118, § 1; 2007, No. 298, § 1; 2011, No. 45, § 19.
Ark. Code Ann. § 24-4-111 — AR Code / Title 24 / Chapter 4 / Subchapter 1 / Section 24-4-111
Failure to meet termination requirements - Member's retirement election
Status: in_force

The failure to meet termination requirements does not revoke a member's retirement election. Added by Act 2013, No. 332,§ 7, eff. 3/14/2013.

The failure to meet termination requirements does not revoke a member's retirement election.

Added by Act 2013, No. 332,§ 7, eff. 3/14/2013.
Ark. Code Ann. § 24-7-710 — AR Code / Title 24 / Chapter 7 / Subchapter 7 / Section 24-7-710
Survivor annuity benefits
Status: in_force

(a) (1) If an active member with five (5) or more years of actual and reciprocal service, including credited service for the year immediately preceding his or her death, dies before the receipt of retirement benefits from the Arkansas Teacher Retirement System, then the benefits provided in this section shall be paid to eligible survivors. (2) (A) An immediately eligible survivor is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system. (B) If an immediately eligible survivor or the minor survivor's guardian or legal representative fails to complete the application process by the end of the sixth full calendar month following the date on which the application required under subdivision (a)(2)(A) of this section and any additional documentation required by the system is filed, the application shall be void unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System. (b) (1) (A) (i) Unless the active member otherwise directs an alternative beneficiary to receive the member's residue with a payable balance by using a beneficiary form approved by the system, the active member's surviving spouse, who was married to the active member for at least the two (2) years immediately preceding the active member's death, shall receive an annuity computed in the same manner in all respects as if the active member had retired on the date of the active member's death and elected Option A under § 24-7-706 to provide one hundred percent (100%) survivor annuity benefits, including benefits applicable under § 24-7-713 , for his or her surviving spouse. (ii) (a) Unless otherwise provided by this section, a surviving spouse who is ineligible for an annuity under this section solely as a result of the active member designating an alternative beneficiary shall be eligible for an annuity under this section if the alternative beneficiary waives his or her right to the residue. (b) If the active member does not have a residue with a payable balance, a waiver of an alternative beneficiary's right to a residue shall not be required. (iii) The system shall continue to pay any benefits applicable under § 24-7-713 for an eligible surviving spouse, including a spouse who began receiving benefits on or after July 1, 2009. (B) (i) If a surviving spouse is immediately eligible to receive a monthly benefit immediately after the death of an active member, the immediately eligible surviving spouse is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application and all other required additional information is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system if at the time of the active member's death the active member had: (a) Accumulated twenty-five (25) years or more of credited service and qualified as eligible to receive a retirement annuity under §§ 24-7-701 and 24-7-702 ; or (b) Reached sixty (60) years of age and qualified as eligible to receive a retirement annuity under § 24-7-707 . (ii) If an immediately eligible spouse fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director. (C) (i) If the surviving spouse is not immediately eligible to receive monthly benefits under subdivision (b)(1)(B) of this section, the surviving spouse's benefits shall begin the later of either the month following the date the active member would have been eligible to receive benefits had the active member survived or the date that a survivor application is filed with the system. (ii) If a surviving spouse becomes eligible for surviving spouse benefits and fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director. (D) If the surviving spouse is eligible to receive the survivor annuity and the active member had not reached sixty (60) years of age at the time of the active member's death, the surviving spouse may elect to defer receipt of the annuity until the active member would have reached sixty (60) years of age, and the surviving spouse's benefits shall not be reduced under the early retirement provisions of § 24-7-702 . (E) The surviving spouse's benefits under this section are payable for the surviving spouse's lifetime. (F) If the active member directs an alternative beneficiary by using a beneficiary form approved by the system, the active member may designate one (1) or more residual beneficiaries to receive a lump-sum payment of the active member's residue amount under § 24-7-709 in lieu of the active member's surviving spouse. (2) If at the time of the active member's death there are no dependent children and the surviving spouse who is eligible to receive the annuity under this subsection files with the system a written waiver of his or her right to the spousal annuity, a lump-sum distribution of the deceased active member's accumulated contributions plus regular interest may be made to the surviving spouse. (c) (1) (A) (i) An active member's surviving dependent child shall receive an annuity in an amount equal to one percent (1%) of the active member's highest salary year for each quarter of a year credited as actual service in the system but not to exceed twenty (20) quarters of a year that are credited as actual service in the system for up to a maximum of twenty thousand dollars ($20,000). (ii) If the active member's highest salary year occurs in the year that the active member died, the system shall calculate the surviving dependent child's annuity on the basis of a full year of salary by the active member. (B) If an active member has more than three (3) surviving dependent children, the aggregate amount of the surviving dependent children's annuity shall not exceed the lesser of sixty percent (60%) of the active member's highest salary year or sixty thousand dollars ($60,000) per year and shall be divided equally among the surviving dependent children. (2) (A) A deceased active member's child shall be considered a dependent child and eligible for the dependent child annuity until he or she reaches eighteen (18) years of age. (B) (i) A deceased active member's child shall be considered a dependent child who is eligible for a dependent child annuity if the child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; and (b) Stays continuously enrolled as a full-time student in an accredited secondary school, college, university, or vocational-technical school. (ii) Notwithstanding subdivision (c)(2)(B)(i) (b) of this section, a dependent child who enrolls in an accredited college, university, or vocational-technical school and defers his or her enrollment in accordance with rules promulgated by the Board of Trustees of the Arkansas Teacher Retirement System shall remain eligible to receive a dependent child annuity during his or her period of deferred enrollment. (C) Regardless of age, a deceased active member's child who has been deemed physically or mentally incapacitated by a court of competent jurisdiction is eligible to receive a dependent child annuity for as long as the incapacity exists. (D) (i) A dependent child may have his or her dependent child annuity temporarily suspended if the dependent child: (a) Is called to active military duty or active military training; and (b) Submits a copy of his or her military orders to the system. (ii) The dependent child's dependent child annuity shall be temporarily suspended for the duration of the dependent child's participation in active military duty or active military duty training. (iii) The dependent child's dependent child annuity shall be reinstated if the dependent child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; (b) Immediately enrolls as a full-time student at an accredited secondary school, college, university, or vocational-technical school after returning from active military duty or active military training; and (c) Submits documentation of his or her enrollment at an accredited secondary school, college, university, or vocational-technical school to the system. (3) When a dependent child ceases to qualify as a dependent child or dies, the dependent child shall not be eligible to qualify as a dependent child of the deceased active member again, and his or her share of the dependent child annuity shall terminate. (d) For the purposes of §§ 24-7-709 and 24-7-711 related to the disposition of a member's residue amount, a survivor annuity received from an active member's deposit account under this section shall be considered annuity payments received by the active member or his or her designated beneficiary and shall offset any disposition of residue payable under §§ 24-7-709 and 24-7-711 to the estate of the member or to an alternate payee. (e) If an active member previously received benefits from the system and has not repaid in full all amounts payable by him or her to the system, the annuity amounts otherwise provided by this section shall be withheld until the total amount owed to the system is repaid. (f) (1) For eligibility under this section, a member is considered active for an additional fiscal year following the last fiscal year that the member renders actual service to a covered employer and obtains at least one-fourth (¼) of a year of service credit. (2) In addition, a member is considered active for eligibility under this section if in the fiscal year of a member's death, the member earned at least ten (10) days of service credit in each quarter before and including the quarter of the member's death. (3) Service credit used in calculating any benefits paid under this section includes days of service and any paid sick leave covered by the covered employer. (g) (1) A dependent child annuity shall be payable to each surviving child of a retiree who dies after returning to work if the child qualifies as a dependent child and is eligible for a dependent child annuity under this section and the rules and resolutions of the system. (2) The provisions of this section that are applicable to the child of an active member shall be used to determine: (A) Whether the child of a retiree who dies after returning to work qualifies as a dependent child who is eligible for a dependent child annuity; (B) When the dependent child annuity is payable to the child of a retiree who dies after returning to work; and (C) The amount of the dependent child annuity payable to the child of a retiree who dies after returning to work. (h) A member's effective retirement date and the date when survivor benefits under this section are payable shall be determined by the law in effect at the time of a member's death. (i) The board may adopt rules to carry out this section. Amended by Act 2023, No. 107,§ 48, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 47, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 46, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 45, eff. 7/1/2023. Amended by Act 2023, No. 77,§ 1, eff. 7/1/2023. Amended by Act 2019, No. 427,§ 13, eff. 7/1/2019. Amended by Act 2019, No. 210,§ 1, eff. 7/1/2019. Amended by Act 2017, No. 505,§ 4, eff. 3/15/2017. Amended by Act 2017, No. 505,§ 3, eff. 3/15/2017. Amended by Act 2017, No. 505,§ 2, eff. 3/15/2017. Amended by Act 2017, No. 505,§ 1, eff. 3/15/2017. Amended by Act 2017, No. 243,§ 3, eff. 2/21/2017. Amended by Act 2017, No. 243,§ 2, eff. 2/21/2017. Amended by Act 2017, No. 243,§ 1, eff. 2/21/2017. Amended by Act 2013, No. 571,§ 3, eff. 7/1/2013. Amended by Act 2013, No. 571,§ 2, eff. 7/1/2013. Amended by Act 2013, No. 571,§ 1, eff. 7/1/2013. Acts 1973, No. 427, § 9; 1975, No. 549, §§ 6-13; 1977, No. 541, §§ 5-8; 1977, No. 640, §§ 1, 2; 1977, No. 727, § 1; 1979, No. 681, §§ 5-12; 1979, No. 776, §§ 1, 2; 1981, No. 14, § 1; 1981, No. 365, §§ 6, 7; 1981, No. 435, § 2; 1983, No. 17, § 2; 1983, No. 127, § 2; 1983, No. 619, §§ 9-11; 1983, No. 665, §§ 9-11; 1985, No. 504, § 4; A.S.A. 1947, § 80-1443; Acts 1987, No. 4, § 3; 1997, No. 1053, § 9; 2003, No. 853, § 2; 2005, No. 385, § 8; 2005, No. 494, § 2; 2007, No. 97, § 16; 2009, No. 1324, § 1; 2011, No. 45, § 11; 2011, No. 137, § 3.

(a) (1) If an active member with five (5) or more years of actual and reciprocal service, including credited service for the year immediately preceding his or her death, dies before the receipt of retirement benefits from the Arkansas Teacher Retirement System, then the benefits provided in this section shall be paid to eligible survivors. (2) (A) An immediately eligible survivor is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system. (B) If an immediately eligible survivor or the minor survivor's guardian or legal representative fails to complete the application process by the end of the sixth full calendar month following the date on which the application required under subdivision (a)(2)(A) of this section and any additional documentation required by the system is filed, the application shall be void unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System.

(1) If an active member with five (5) or more years of actual and reciprocal service, including credited service for the year immediately preceding his or her death, dies before the receipt of retirement benefits from the Arkansas Teacher Retirement System, then the benefits provided in this section shall be paid to eligible survivors.

(2) (A) An immediately eligible survivor is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system. (B) If an immediately eligible survivor or the minor survivor's guardian or legal representative fails to complete the application process by the end of the sixth full calendar month following the date on which the application required under subdivision (a)(2)(A) of this section and any additional documentation required by the system is filed, the application shall be void unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System.

(A) An immediately eligible survivor is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system.

(B) If an immediately eligible survivor or the minor survivor's guardian or legal representative fails to complete the application process by the end of the sixth full calendar month following the date on which the application required under subdivision (a)(2)(A) of this section and any additional documentation required by the system is filed, the application shall be void unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System.

(b) (1) (A) (i) Unless the active member otherwise directs an alternative beneficiary to receive the member's residue with a payable balance by using a beneficiary form approved by the system, the active member's surviving spouse, who was married to the active member for at least the two (2) years immediately preceding the active member's death, shall receive an annuity computed in the same manner in all respects as if the active member had retired on the date of the active member's death and elected Option A under § 24-7-706 to provide one hundred percent (100%) survivor annuity benefits, including benefits applicable under § 24-7-713 , for his or her surviving spouse. (ii) (a) Unless otherwise provided by this section, a surviving spouse who is ineligible for an annuity under this section solely as a result of the active member designating an alternative beneficiary shall be eligible for an annuity under this section if the alternative beneficiary waives his or her right to the residue. (b) If the active member does not have a residue with a payable balance, a waiver of an alternative beneficiary's right to a residue shall not be required. (iii) The system shall continue to pay any benefits applicable under § 24-7-713 for an eligible surviving spouse, including a spouse who began receiving benefits on or after July 1, 2009. (B) (i) If a surviving spouse is immediately eligible to receive a monthly benefit immediately after the death of an active member, the immediately eligible surviving spouse is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application and all other required additional information is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system if at the time of the active member's death the active member had: (a) Accumulated twenty-five (25) years or more of credited service and qualified as eligible to receive a retirement annuity under §§ 24-7-701 and 24-7-702 ; or (b) Reached sixty (60) years of age and qualified as eligible to receive a retirement annuity under § 24-7-707 . (ii) If an immediately eligible spouse fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director. (C) (i) If the surviving spouse is not immediately eligible to receive monthly benefits under subdivision (b)(1)(B) of this section, the surviving spouse's benefits shall begin the later of either the month following the date the active member would have been eligible to receive benefits had the active member survived or the date that a survivor application is filed with the system. (ii) If a surviving spouse becomes eligible for surviving spouse benefits and fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director. (D) If the surviving spouse is eligible to receive the survivor annuity and the active member had not reached sixty (60) years of age at the time of the active member's death, the surviving spouse may elect to defer receipt of the annuity until the active member would have reached sixty (60) years of age, and the surviving spouse's benefits shall not be reduced under the early retirement provisions of § 24-7-702 . (E) The surviving spouse's benefits under this section are payable for the surviving spouse's lifetime. (F) If the active member directs an alternative beneficiary by using a beneficiary form approved by the system, the active member may designate one (1) or more residual beneficiaries to receive a lump-sum payment of the active member's residue amount under § 24-7-709 in lieu of the active member's surviving spouse. (2) If at the time of the active member's death there are no dependent children and the surviving spouse who is eligible to receive the annuity under this subsection files with the system a written waiver of his or her right to the spousal annuity, a lump-sum distribution of the deceased active member's accumulated contributions plus regular interest may be made to the surviving spouse.

(1) (A) (i) Unless the active member otherwise directs an alternative beneficiary to receive the member's residue with a payable balance by using a beneficiary form approved by the system, the active member's surviving spouse, who was married to the active member for at least the two (2) years immediately preceding the active member's death, shall receive an annuity computed in the same manner in all respects as if the active member had retired on the date of the active member's death and elected Option A under § 24-7-706 to provide one hundred percent (100%) survivor annuity benefits, including benefits applicable under § 24-7-713 , for his or her surviving spouse. (ii) (a) Unless otherwise provided by this section, a surviving spouse who is ineligible for an annuity under this section solely as a result of the active member designating an alternative beneficiary shall be eligible for an annuity under this section if the alternative beneficiary waives his or her right to the residue. (b) If the active member does not have a residue with a payable balance, a waiver of an alternative beneficiary's right to a residue shall not be required. (iii) The system shall continue to pay any benefits applicable under § 24-7-713 for an eligible surviving spouse, including a spouse who began receiving benefits on or after July 1, 2009. (B) (i) If a surviving spouse is immediately eligible to receive a monthly benefit immediately after the death of an active member, the immediately eligible surviving spouse is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application and all other required additional information is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system if at the time of the active member's death the active member had: (a) Accumulated twenty-five (25) years or more of credited service and qualified as eligible to receive a retirement annuity under §§ 24-7-701 and 24-7-702 ; or (b) Reached sixty (60) years of age and qualified as eligible to receive a retirement annuity under § 24-7-707 . (ii) If an immediately eligible spouse fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director. (C) (i) If the surviving spouse is not immediately eligible to receive monthly benefits under subdivision (b)(1)(B) of this section, the surviving spouse's benefits shall begin the later of either the month following the date the active member would have been eligible to receive benefits had the active member survived or the date that a survivor application is filed with the system. (ii) If a surviving spouse becomes eligible for surviving spouse benefits and fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director. (D) If the surviving spouse is eligible to receive the survivor annuity and the active member had not reached sixty (60) years of age at the time of the active member's death, the surviving spouse may elect to defer receipt of the annuity until the active member would have reached sixty (60) years of age, and the surviving spouse's benefits shall not be reduced under the early retirement provisions of § 24-7-702 . (E) The surviving spouse's benefits under this section are payable for the surviving spouse's lifetime. (F) If the active member directs an alternative beneficiary by using a beneficiary form approved by the system, the active member may designate one (1) or more residual beneficiaries to receive a lump-sum payment of the active member's residue amount under § 24-7-709 in lieu of the active member's surviving spouse.

(A) (i) Unless the active member otherwise directs an alternative beneficiary to receive the member's residue with a payable balance by using a beneficiary form approved by the system, the active member's surviving spouse, who was married to the active member for at least the two (2) years immediately preceding the active member's death, shall receive an annuity computed in the same manner in all respects as if the active member had retired on the date of the active member's death and elected Option A under § 24-7-706 to provide one hundred percent (100%) survivor annuity benefits, including benefits applicable under § 24-7-713 , for his or her surviving spouse. (ii) (a) Unless otherwise provided by this section, a surviving spouse who is ineligible for an annuity under this section solely as a result of the active member designating an alternative beneficiary shall be eligible for an annuity under this section if the alternative beneficiary waives his or her right to the residue. (b) If the active member does not have a residue with a payable balance, a waiver of an alternative beneficiary's right to a residue shall not be required. (iii) The system shall continue to pay any benefits applicable under § 24-7-713 for an eligible surviving spouse, including a spouse who began receiving benefits on or after July 1, 2009.

(i) Unless the active member otherwise directs an alternative beneficiary to receive the member's residue with a payable balance by using a beneficiary form approved by the system, the active member's surviving spouse, who was married to the active member for at least the two (2) years immediately preceding the active member's death, shall receive an annuity computed in the same manner in all respects as if the active member had retired on the date of the active member's death and elected Option A under § 24-7-706 to provide one hundred percent (100%) survivor annuity benefits, including benefits applicable under § 24-7-713 , for his or her surviving spouse.

(ii) (a) Unless otherwise provided by this section, a surviving spouse who is ineligible for an annuity under this section solely as a result of the active member designating an alternative beneficiary shall be eligible for an annuity under this section if the alternative beneficiary waives his or her right to the residue. (b) If the active member does not have a residue with a payable balance, a waiver of an alternative beneficiary's right to a residue shall not be required.

(a) Unless otherwise provided by this section, a surviving spouse who is ineligible for an annuity under this section solely as a result of the active member designating an alternative beneficiary shall be eligible for an annuity under this section if the alternative beneficiary waives his or her right to the residue.

(b) If the active member does not have a residue with a payable balance, a waiver of an alternative beneficiary's right to a residue shall not be required.

(iii) The system shall continue to pay any benefits applicable under § 24-7-713 for an eligible surviving spouse, including a spouse who began receiving benefits on or after July 1, 2009.

(B) (i) If a surviving spouse is immediately eligible to receive a monthly benefit immediately after the death of an active member, the immediately eligible surviving spouse is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application and all other required additional information is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system if at the time of the active member's death the active member had: (a) Accumulated twenty-five (25) years or more of credited service and qualified as eligible to receive a retirement annuity under §§ 24-7-701 and 24-7-702 ; or (b) Reached sixty (60) years of age and qualified as eligible to receive a retirement annuity under § 24-7-707 . (ii) If an immediately eligible spouse fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director.

(i) If a surviving spouse is immediately eligible to receive a monthly benefit immediately after the death of an active member, the immediately eligible surviving spouse is entitled to receive monthly benefits beginning the month after the death of the active member if the survivor application and all other required additional information is filed with the system by the end of the sixth full calendar month following the date of the active member's death, otherwise the monthly benefits shall begin the month that the survivor application is filed with the system if at the time of the active member's death the active member had: (a) Accumulated twenty-five (25) years or more of credited service and qualified as eligible to receive a retirement annuity under §§ 24-7-701 and 24-7-702 ; or (b) Reached sixty (60) years of age and qualified as eligible to receive a retirement annuity under § 24-7-707 .

(a) Accumulated twenty-five (25) years or more of credited service and qualified as eligible to receive a retirement annuity under §§ 24-7-701 and 24-7-702 ; or

(b) Reached sixty (60) years of age and qualified as eligible to receive a retirement annuity under § 24-7-707 .

(ii) If an immediately eligible spouse fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director.

(C) (i) If the surviving spouse is not immediately eligible to receive monthly benefits under subdivision (b)(1)(B) of this section, the surviving spouse's benefits shall begin the later of either the month following the date the active member would have been eligible to receive benefits had the active member survived or the date that a survivor application is filed with the system. (ii) If a surviving spouse becomes eligible for surviving spouse benefits and fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director.

(i) If the surviving spouse is not immediately eligible to receive monthly benefits under subdivision (b)(1)(B) of this section, the surviving spouse's benefits shall begin the later of either the month following the date the active member would have been eligible to receive benefits had the active member survived or the date that a survivor application is filed with the system.

(ii) If a surviving spouse becomes eligible for surviving spouse benefits and fails to complete the application process by the end of the sixth full calendar month following the date on which the survivor application and additional documentation required under subdivision (b)(1)(B)(i) of this section is filed, the survivor application shall be void unless an extension is granted by the executive director.

(D) If the surviving spouse is eligible to receive the survivor annuity and the active member had not reached sixty (60) years of age at the time of the active member's death, the surviving spouse may elect to defer receipt of the annuity until the active member would have reached sixty (60) years of age, and the surviving spouse's benefits shall not be reduced under the early retirement provisions of § 24-7-702 .

(E) The surviving spouse's benefits under this section are payable for the surviving spouse's lifetime.

(F) If the active member directs an alternative beneficiary by using a beneficiary form approved by the system, the active member may designate one (1) or more residual beneficiaries to receive a lump-sum payment of the active member's residue amount under § 24-7-709 in lieu of the active member's surviving spouse.

(2) If at the time of the active member's death there are no dependent children and the surviving spouse who is eligible to receive the annuity under this subsection files with the system a written waiver of his or her right to the spousal annuity, a lump-sum distribution of the deceased active member's accumulated contributions plus regular interest may be made to the surviving spouse.

(c) (1) (A) (i) An active member's surviving dependent child shall receive an annuity in an amount equal to one percent (1%) of the active member's highest salary year for each quarter of a year credited as actual service in the system but not to exceed twenty (20) quarters of a year that are credited as actual service in the system for up to a maximum of twenty thousand dollars ($20,000). (ii) If the active member's highest salary year occurs in the year that the active member died, the system shall calculate the surviving dependent child's annuity on the basis of a full year of salary by the active member. (B) If an active member has more than three (3) surviving dependent children, the aggregate amount of the surviving dependent children's annuity shall not exceed the lesser of sixty percent (60%) of the active member's highest salary year or sixty thousand dollars ($60,000) per year and shall be divided equally among the surviving dependent children. (2) (A) A deceased active member's child shall be considered a dependent child and eligible for the dependent child annuity until he or she reaches eighteen (18) years of age. (B) (i) A deceased active member's child shall be considered a dependent child who is eligible for a dependent child annuity if the child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; and (b) Stays continuously enrolled as a full-time student in an accredited secondary school, college, university, or vocational-technical school. (ii) Notwithstanding subdivision (c)(2)(B)(i) (b) of this section, a dependent child who enrolls in an accredited college, university, or vocational-technical school and defers his or her enrollment in accordance with rules promulgated by the Board of Trustees of the Arkansas Teacher Retirement System shall remain eligible to receive a dependent child annuity during his or her period of deferred enrollment. (C) Regardless of age, a deceased active member's child who has been deemed physically or mentally incapacitated by a court of competent jurisdiction is eligible to receive a dependent child annuity for as long as the incapacity exists. (D) (i) A dependent child may have his or her dependent child annuity temporarily suspended if the dependent child: (a) Is called to active military duty or active military training; and (b) Submits a copy of his or her military orders to the system. (ii) The dependent child's dependent child annuity shall be temporarily suspended for the duration of the dependent child's participation in active military duty or active military duty training. (iii) The dependent child's dependent child annuity shall be reinstated if the dependent child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; (b) Immediately enrolls as a full-time student at an accredited secondary school, college, university, or vocational-technical school after returning from active military duty or active military training; and (c) Submits documentation of his or her enrollment at an accredited secondary school, college, university, or vocational-technical school to the system. (3) When a dependent child ceases to qualify as a dependent child or dies, the dependent child shall not be eligible to qualify as a dependent child of the deceased active member again, and his or her share of the dependent child annuity shall terminate.

(1) (A) (i) An active member's surviving dependent child shall receive an annuity in an amount equal to one percent (1%) of the active member's highest salary year for each quarter of a year credited as actual service in the system but not to exceed twenty (20) quarters of a year that are credited as actual service in the system for up to a maximum of twenty thousand dollars ($20,000). (ii) If the active member's highest salary year occurs in the year that the active member died, the system shall calculate the surviving dependent child's annuity on the basis of a full year of salary by the active member. (B) If an active member has more than three (3) surviving dependent children, the aggregate amount of the surviving dependent children's annuity shall not exceed the lesser of sixty percent (60%) of the active member's highest salary year or sixty thousand dollars ($60,000) per year and shall be divided equally among the surviving dependent children.

(A) (i) An active member's surviving dependent child shall receive an annuity in an amount equal to one percent (1%) of the active member's highest salary year for each quarter of a year credited as actual service in the system but not to exceed twenty (20) quarters of a year that are credited as actual service in the system for up to a maximum of twenty thousand dollars ($20,000). (ii) If the active member's highest salary year occurs in the year that the active member died, the system shall calculate the surviving dependent child's annuity on the basis of a full year of salary by the active member.

(i) An active member's surviving dependent child shall receive an annuity in an amount equal to one percent (1%) of the active member's highest salary year for each quarter of a year credited as actual service in the system but not to exceed twenty (20) quarters of a year that are credited as actual service in the system for up to a maximum of twenty thousand dollars ($20,000).

(ii) If the active member's highest salary year occurs in the year that the active member died, the system shall calculate the surviving dependent child's annuity on the basis of a full year of salary by the active member.

(B) If an active member has more than three (3) surviving dependent children, the aggregate amount of the surviving dependent children's annuity shall not exceed the lesser of sixty percent (60%) of the active member's highest salary year or sixty thousand dollars ($60,000) per year and shall be divided equally among the surviving dependent children.

(2) (A) A deceased active member's child shall be considered a dependent child and eligible for the dependent child annuity until he or she reaches eighteen (18) years of age. (B) (i) A deceased active member's child shall be considered a dependent child who is eligible for a dependent child annuity if the child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; and (b) Stays continuously enrolled as a full-time student in an accredited secondary school, college, university, or vocational-technical school. (ii) Notwithstanding subdivision (c)(2)(B)(i) (b) of this section, a dependent child who enrolls in an accredited college, university, or vocational-technical school and defers his or her enrollment in accordance with rules promulgated by the Board of Trustees of the Arkansas Teacher Retirement System shall remain eligible to receive a dependent child annuity during his or her period of deferred enrollment. (C) Regardless of age, a deceased active member's child who has been deemed physically or mentally incapacitated by a court of competent jurisdiction is eligible to receive a dependent child annuity for as long as the incapacity exists. (D) (i) A dependent child may have his or her dependent child annuity temporarily suspended if the dependent child: (a) Is called to active military duty or active military training; and (b) Submits a copy of his or her military orders to the system. (ii) The dependent child's dependent child annuity shall be temporarily suspended for the duration of the dependent child's participation in active military duty or active military duty training. (iii) The dependent child's dependent child annuity shall be reinstated if the dependent child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; (b) Immediately enrolls as a full-time student at an accredited secondary school, college, university, or vocational-technical school after returning from active military duty or active military training; and (c) Submits documentation of his or her enrollment at an accredited secondary school, college, university, or vocational-technical school to the system.

(A) A deceased active member's child shall be considered a dependent child and eligible for the dependent child annuity until he or she reaches eighteen (18) years of age.

(B) (i) A deceased active member's child shall be considered a dependent child who is eligible for a dependent child annuity if the child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; and (b) Stays continuously enrolled as a full-time student in an accredited secondary school, college, university, or vocational-technical school. (ii) Notwithstanding subdivision (c)(2)(B)(i) (b) of this section, a dependent child who enrolls in an accredited college, university, or vocational-technical school and defers his or her enrollment in accordance with rules promulgated by the Board of Trustees of the Arkansas Teacher Retirement System shall remain eligible to receive a dependent child annuity during his or her period of deferred enrollment.

(i) A deceased active member's child shall be considered a dependent child who is eligible for a dependent child annuity if the child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; and (b) Stays continuously enrolled as a full-time student in an accredited secondary school, college, university, or vocational-technical school.

(a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; and

(b) Stays continuously enrolled as a full-time student in an accredited secondary school, college, university, or vocational-technical school.

(ii) Notwithstanding subdivision (c)(2)(B)(i) (b) of this section, a dependent child who enrolls in an accredited college, university, or vocational-technical school and defers his or her enrollment in accordance with rules promulgated by the Board of Trustees of the Arkansas Teacher Retirement System shall remain eligible to receive a dependent child annuity during his or her period of deferred enrollment.

(C) Regardless of age, a deceased active member's child who has been deemed physically or mentally incapacitated by a court of competent jurisdiction is eligible to receive a dependent child annuity for as long as the incapacity exists.

(D) (i) A dependent child may have his or her dependent child annuity temporarily suspended if the dependent child: (a) Is called to active military duty or active military training; and (b) Submits a copy of his or her military orders to the system. (ii) The dependent child's dependent child annuity shall be temporarily suspended for the duration of the dependent child's participation in active military duty or active military duty training. (iii) The dependent child's dependent child annuity shall be reinstated if the dependent child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; (b) Immediately enrolls as a full-time student at an accredited secondary school, college, university, or vocational-technical school after returning from active military duty or active military training; and (c) Submits documentation of his or her enrollment at an accredited secondary school, college, university, or vocational-technical school to the system.

(i) A dependent child may have his or her dependent child annuity temporarily suspended if the dependent child: (a) Is called to active military duty or active military training; and (b) Submits a copy of his or her military orders to the system.

(a) Is called to active military duty or active military training; and

(b) Submits a copy of his or her military orders to the system.

(ii) The dependent child's dependent child annuity shall be temporarily suspended for the duration of the dependent child's participation in active military duty or active military duty training.

(iii) The dependent child's dependent child annuity shall be reinstated if the dependent child: (a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age; (b) Immediately enrolls as a full-time student at an accredited secondary school, college, university, or vocational-technical school after returning from active military duty or active military training; and (c) Submits documentation of his or her enrollment at an accredited secondary school, college, university, or vocational-technical school to the system.

(a) Is at least eighteen (18) years of age and not older than twenty-two (22) years of age;

(b) Immediately enrolls as a full-time student at an accredited secondary school, college, university, or vocational-technical school after returning from active military duty or active military training; and

(c) Submits documentation of his or her enrollment at an accredited secondary school, college, university, or vocational-technical school to the system.

(3) When a dependent child ceases to qualify as a dependent child or dies, the dependent child shall not be eligible to qualify as a dependent child of the deceased active member again, and his or her share of the dependent child annuity shall terminate.

(d) For the purposes of §§ 24-7-709 and 24-7-711 related to the disposition of a member's residue amount, a survivor annuity received from an active member's deposit account under this section shall be considered annuity payments received by the active member or his or her designated beneficiary and shall offset any disposition of residue payable under §§ 24-7-709 and 24-7-711 to the estate of the member or to an alternate payee.

(e) If an active member previously received benefits from the system and has not repaid in full all amounts payable by him or her to the system, the annuity amounts otherwise provided by this section shall be withheld until the total amount owed to the system is repaid.

(f) (1) For eligibility under this section, a member is considered active for an additional fiscal year following the last fiscal year that the member renders actual service to a covered employer and obtains at least one-fourth (¼) of a year of service credit. (2) In addition, a member is considered active for eligibility under this section if in the fiscal year of a member's death, the member earned at least ten (10) days of service credit in each quarter before and including the quarter of the member's death. (3) Service credit used in calculating any benefits paid under this section includes days of service and any paid sick leave covered by the covered employer.

(1) For eligibility under this section, a member is considered active for an additional fiscal year following the last fiscal year that the member renders actual service to a covered employer and obtains at least one-fourth (¼) of a year of service credit.

(2) In addition, a member is considered active for eligibility under this section if in the fiscal year of a member's death, the member earned at least ten (10) days of service credit in each quarter before and including the quarter of the member's death.

(3) Service credit used in calculating any benefits paid under this section includes days of service and any paid sick leave covered by the covered employer.

(g) (1) A dependent child annuity shall be payable to each surviving child of a retiree who dies after returning to work if the child qualifies as a dependent child and is eligible for a dependent child annuity under this section and the rules and resolutions of the system. (2) The provisions of this section that are applicable to the child of an active member shall be used to determine: (A) Whether the child of a retiree who dies after returning to work qualifies as a dependent child who is eligible for a dependent child annuity; (B) When the dependent child annuity is payable to the child of a retiree who dies after returning to work; and (C) The amount of the dependent child annuity payable to the child of a retiree who dies after returning to work.

(1) A dependent child annuity shall be payable to each surviving child of a retiree who dies after returning to work if the child qualifies as a dependent child and is eligible for a dependent child annuity under this section and the rules and resolutions of the system.

(2) The provisions of this section that are applicable to the child of an active member shall be used to determine: (A) Whether the child of a retiree who dies after returning to work qualifies as a dependent child who is eligible for a dependent child annuity; (B) When the dependent child annuity is payable to the child of a retiree who dies after returning to work; and (C) The amount of the dependent child annuity payable to the child of a retiree who dies after returning to work.

(A) Whether the child of a retiree who dies after returning to work qualifies as a dependent child who is eligible for a dependent child annuity;

(B) When the dependent child annuity is payable to the child of a retiree who dies after returning to work; and

(C) The amount of the dependent child annuity payable to the child of a retiree who dies after returning to work.

(h) A member's effective retirement date and the date when survivor benefits under this section are payable shall be determined by the law in effect at the time of a member's death.

(i) The board may adopt rules to carry out this section.

Amended by Act 2023, No. 107,§ 48, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 47, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 46, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 45, eff. 7/1/2023.

Amended by Act 2023, No. 77,§ 1, eff. 7/1/2023.

Amended by Act 2019, No. 427,§ 13, eff. 7/1/2019.

Amended by Act 2019, No. 210,§ 1, eff. 7/1/2019.

Amended by Act 2017, No. 505,§ 4, eff. 3/15/2017.

Amended by Act 2017, No. 505,§ 3, eff. 3/15/2017.

Amended by Act 2017, No. 505,§ 2, eff. 3/15/2017.

Amended by Act 2017, No. 505,§ 1, eff. 3/15/2017.

Amended by Act 2017, No. 243,§ 3, eff. 2/21/2017.

Amended by Act 2017, No. 243,§ 2, eff. 2/21/2017.

Amended by Act 2017, No. 243,§ 1, eff. 2/21/2017.

Amended by Act 2013, No. 571,§ 3, eff. 7/1/2013.

Amended by Act 2013, No. 571,§ 2, eff. 7/1/2013.

Amended by Act 2013, No. 571,§ 1, eff. 7/1/2013.

Acts 1973, No. 427, § 9; 1975, No. 549, §§ 6-13; 1977, No. 541, §§ 5-8; 1977, No. 640, §§ 1, 2; 1977, No. 727, § 1; 1979, No. 681, §§ 5-12; 1979, No. 776, §§ 1, 2; 1981, No. 14, § 1; 1981, No. 365, §§ 6, 7; 1981, No. 435, § 2; 1983, No. 17, § 2; 1983, No. 127, § 2; 1983, No. 619, §§ 9-11; 1983, No. 665, §§ 9-11; 1985, No. 504, § 4; A.S.A. 1947, § 80-1443; Acts 1987, No. 4, § 3; 1997, No. 1053, § 9; 2003, No. 853, § 2; 2005, No. 385, § 8; 2005, No. 494, § 2; 2007, No. 97, § 16; 2009, No. 1324, § 1; 2011, No. 45, § 11; 2011, No. 137, § 3.
Ark. Code Ann. § 24-7-1601 — AR Code / Title 24 / Chapter 7 / Subchapter 16 / Section 24-7-1601
Legislative history - Findings - Intent
Status: in_force

(a) It is found and determined by the General Assembly that: (1) The establishment of the Post-Secondary Education Plan is a historical component of retirement legislation that seeks to develop a more equitable retirement system for members of the Arkansas Teacher Retirement System; and (2) Confusion about the intent of the General Assembly concerning the coverage of employees of state-supported universities, colleges, junior colleges, and vocational-technical schools, the Arkansas Higher Education Coordinating Board, the Division of Career and Technical Education, the Adult Education Section, the Office of Skills Development, and Arkansas Rehabilitation Services, and any other entity offering both the Arkansas Teacher Retirement System retirement plan and an alternate retirement plan create uncertainty in the administration of law, and legislative clarification of the law is needed. (b) (1) Historically, the Arkansas Teacher Retirement System has been mandated by the General Assembly to provide retirement benefits for an employee of a public school, public educational agency, or any other eligible employer included for coverage in the Arkansas Teacher Retirement System. (2) Originally, the Arkansas Teacher Retirement System was designed to provide retirement benefits to certified teachers and administrators in the public schools. However, the coverage has gradually been extended to all employees of the public schools and to other public entities that support educational activities in Arkansas. (3) Beginning with legislation in 1967 and continuing through the early 1980s, the General Assembly created a right for certain colleges, vocational-technical schools, and the Arkansas Higher Education Coordinating Board to establish and maintain an alternate retirement plan for its employees and perform all the functions reasonably appropriate in the retirement plan's administration. (4) The general intent of the early legislation was to allow those institutions of higher education employers to offer their employees the option to participate in an alternate retirement plan, the Arkansas Teacher Retirement System retirement plan, or the Arkansas Public Employees' Retirement System retirement plan. (5) The law was designed to encourage recruitment of public school teachers and administrators into postsecondary positions by allowing them to continue in the Arkansas Teacher Retirement System and to encourage recruitment of private and out-of-state educators by the use of the alternate retirement plan that is offered nationwide. (c) (1) The Arkansas Teacher Retirement System requested an Attorney General's opinion for legal clarification, as the laws have been amended over time making the wording difficult to interpret. (2) All public school employees are mandatory members of the Arkansas Teacher Retirement System as a condition of employment. The uncertainty is with employees of institutions of higher education employers, specifically: (A) Whether an institution of higher education employer can exclude a part-time employee from participation in the Arkansas Teacher Retirement System and thereby be exempt from reporting salary and remitting member or employer contributions for its part-time employees; and (B) Whether a retired Arkansas Teacher Retirement System member can be enrolled in the institution of higher education employer's alternate retirement plan with or without separation while simultaneously drawing retirement benefits from the Arkansas Teacher Retirement System. (3) The Attorney General's Opinion No. 2009-164, dated March 16, 2010, concludes that the current laws related to the Arkansas Teacher Retirement System are difficult to understand, as the intent of the General Assembly is not clear, and legislative clarification is required. (d) Therefore, the General Assembly finds that this subchapter is necessary to: (1) Protect the retirement benefits for employees of the public school system; (2) Provide fair treatment and clear intent with respect to part-time employees and full-time employees of institutions of higher education employers; (3) Clarify the obligations of the Arkansas Teacher Retirement System with respect to its members who become employed by an institution of higher education employer; and (4) Set forth requirements that supersede any prior legislation relating to employees of institutions of higher education. Amended by Act 2021, No. 427,§ 4, eff. 3/23/2021. Amended by Act 2019, No. 910,§ 2379, eff. 7/1/2019. Acts 2011, No. 513, § 1.

(a) It is found and determined by the General Assembly that: (1) The establishment of the Post-Secondary Education Plan is a historical component of retirement legislation that seeks to develop a more equitable retirement system for members of the Arkansas Teacher Retirement System; and (2) Confusion about the intent of the General Assembly concerning the coverage of employees of state-supported universities, colleges, junior colleges, and vocational-technical schools, the Arkansas Higher Education Coordinating Board, the Division of Career and Technical Education, the Adult Education Section, the Office of Skills Development, and Arkansas Rehabilitation Services, and any other entity offering both the Arkansas Teacher Retirement System retirement plan and an alternate retirement plan create uncertainty in the administration of law, and legislative clarification of the law is needed.

(1) The establishment of the Post-Secondary Education Plan is a historical component of retirement legislation that seeks to develop a more equitable retirement system for members of the Arkansas Teacher Retirement System; and

(2) Confusion about the intent of the General Assembly concerning the coverage of employees of state-supported universities, colleges, junior colleges, and vocational-technical schools, the Arkansas Higher Education Coordinating Board, the Division of Career and Technical Education, the Adult Education Section, the Office of Skills Development, and Arkansas Rehabilitation Services, and any other entity offering both the Arkansas Teacher Retirement System retirement plan and an alternate retirement plan create uncertainty in the administration of law, and legislative clarification of the law is needed.

(b) (1) Historically, the Arkansas Teacher Retirement System has been mandated by the General Assembly to provide retirement benefits for an employee of a public school, public educational agency, or any other eligible employer included for coverage in the Arkansas Teacher Retirement System. (2) Originally, the Arkansas Teacher Retirement System was designed to provide retirement benefits to certified teachers and administrators in the public schools. However, the coverage has gradually been extended to all employees of the public schools and to other public entities that support educational activities in Arkansas. (3) Beginning with legislation in 1967 and continuing through the early 1980s, the General Assembly created a right for certain colleges, vocational-technical schools, and the Arkansas Higher Education Coordinating Board to establish and maintain an alternate retirement plan for its employees and perform all the functions reasonably appropriate in the retirement plan's administration. (4) The general intent of the early legislation was to allow those institutions of higher education employers to offer their employees the option to participate in an alternate retirement plan, the Arkansas Teacher Retirement System retirement plan, or the Arkansas Public Employees' Retirement System retirement plan. (5) The law was designed to encourage recruitment of public school teachers and administrators into postsecondary positions by allowing them to continue in the Arkansas Teacher Retirement System and to encourage recruitment of private and out-of-state educators by the use of the alternate retirement plan that is offered nationwide.

(1) Historically, the Arkansas Teacher Retirement System has been mandated by the General Assembly to provide retirement benefits for an employee of a public school, public educational agency, or any other eligible employer included for coverage in the Arkansas Teacher Retirement System.

(2) Originally, the Arkansas Teacher Retirement System was designed to provide retirement benefits to certified teachers and administrators in the public schools. However, the coverage has gradually been extended to all employees of the public schools and to other public entities that support educational activities in Arkansas.

(3) Beginning with legislation in 1967 and continuing through the early 1980s, the General Assembly created a right for certain colleges, vocational-technical schools, and the Arkansas Higher Education Coordinating Board to establish and maintain an alternate retirement plan for its employees and perform all the functions reasonably appropriate in the retirement plan's administration.

(4) The general intent of the early legislation was to allow those institutions of higher education employers to offer their employees the option to participate in an alternate retirement plan, the Arkansas Teacher Retirement System retirement plan, or the Arkansas Public Employees' Retirement System retirement plan.

(5) The law was designed to encourage recruitment of public school teachers and administrators into postsecondary positions by allowing them to continue in the Arkansas Teacher Retirement System and to encourage recruitment of private and out-of-state educators by the use of the alternate retirement plan that is offered nationwide.

(c) (1) The Arkansas Teacher Retirement System requested an Attorney General's opinion for legal clarification, as the laws have been amended over time making the wording difficult to interpret. (2) All public school employees are mandatory members of the Arkansas Teacher Retirement System as a condition of employment. The uncertainty is with employees of institutions of higher education employers, specifically: (A) Whether an institution of higher education employer can exclude a part-time employee from participation in the Arkansas Teacher Retirement System and thereby be exempt from reporting salary and remitting member or employer contributions for its part-time employees; and (B) Whether a retired Arkansas Teacher Retirement System member can be enrolled in the institution of higher education employer's alternate retirement plan with or without separation while simultaneously drawing retirement benefits from the Arkansas Teacher Retirement System. (3) The Attorney General's Opinion No. 2009-164, dated March 16, 2010, concludes that the current laws related to the Arkansas Teacher Retirement System are difficult to understand, as the intent of the General Assembly is not clear, and legislative clarification is required.

(1) The Arkansas Teacher Retirement System requested an Attorney General's opinion for legal clarification, as the laws have been amended over time making the wording difficult to interpret.

(2) All public school employees are mandatory members of the Arkansas Teacher Retirement System as a condition of employment. The uncertainty is with employees of institutions of higher education employers, specifically: (A) Whether an institution of higher education employer can exclude a part-time employee from participation in the Arkansas Teacher Retirement System and thereby be exempt from reporting salary and remitting member or employer contributions for its part-time employees; and (B) Whether a retired Arkansas Teacher Retirement System member can be enrolled in the institution of higher education employer's alternate retirement plan with or without separation while simultaneously drawing retirement benefits from the Arkansas Teacher Retirement System.

(A) Whether an institution of higher education employer can exclude a part-time employee from participation in the Arkansas Teacher Retirement System and thereby be exempt from reporting salary and remitting member or employer contributions for its part-time employees; and

(B) Whether a retired Arkansas Teacher Retirement System member can be enrolled in the institution of higher education employer's alternate retirement plan with or without separation while simultaneously drawing retirement benefits from the Arkansas Teacher Retirement System.

(3) The Attorney General's Opinion No. 2009-164, dated March 16, 2010, concludes that the current laws related to the Arkansas Teacher Retirement System are difficult to understand, as the intent of the General Assembly is not clear, and legislative clarification is required.

(d) Therefore, the General Assembly finds that this subchapter is necessary to: (1) Protect the retirement benefits for employees of the public school system; (2) Provide fair treatment and clear intent with respect to part-time employees and full-time employees of institutions of higher education employers; (3) Clarify the obligations of the Arkansas Teacher Retirement System with respect to its members who become employed by an institution of higher education employer; and (4) Set forth requirements that supersede any prior legislation relating to employees of institutions of higher education.

(1) Protect the retirement benefits for employees of the public school system;

(2) Provide fair treatment and clear intent with respect to part-time employees and full-time employees of institutions of higher education employers;

(3) Clarify the obligations of the Arkansas Teacher Retirement System with respect to its members who become employed by an institution of higher education employer; and

(4) Set forth requirements that supersede any prior legislation relating to employees of institutions of higher education.

Amended by Act 2021, No. 427,§ 4, eff. 3/23/2021.

Amended by Act 2019, No. 910,§ 2379, eff. 7/1/2019.

Acts 2011, No. 513, § 1.