Ark. Code Ann. § 24-4-401 — AR Code / Title 24 / Chapter 4 / Subchapter 4 / Section 24-4-401
Contributions of members
Status: in_force

(a) (1) The members' deposit account shall be the account in which members' contributions shall be accumulated with interest as stipulated by § 24-4-209(a) and from which shall be made transfers and refunds of contributions or accumulated contributions as provided in this act. (2) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account. (b) (1) (A) Until July 1, 2005, the contributions of a contributory member shall be six percent (6%) of the member's annual compensation. (B) (i) Beginning July 1, 2005, the contribution rate shall be five percent (5%) of the member's annual compensation for a contributory member. (ii) A person first hired on or after July 1, 2005, is subject to the provisions of § 24-4-1101 et seq. (C) The member's deposit account shall be credited interest at a rate of four percent (4%) per annum beginning July 1, 2005. (D) (i) 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. (ii) An increase to the contribution rate under subdivision (b)(1)(D)(i) of this section shall not result in a contribution rate greater than seven percent (7%). (2) The officer responsible for making up the payroll for each public employer shall cause the contributions provided for in this section to be deducted from the compensation of each member in the employ of a public employer. (3) The contributions shall be deducted on every payroll, for every payroll period, from the date of the member's entrance into the Arkansas Public Employees' Retirement System to the date his or her membership terminates. (4) When deducted, each of the amounts shall be paid by the public employer to the Arkansas Public Employees' Retirement System Fund and shall be credited to the individual account in the members' deposit account of the member from whose compensation the contributions were deducted. (5) The contributions provided for in this section shall be made notwithstanding that the minimum salary or wages for any member shall be thereby changed. (6) Each member shall be deemed to consent and agree to the deductions made and provided for in this section. (7) Payment of a member's compensation less deductions shall be a full and complete discharge and acquittance of all claims and demands whatsoever for services rendered to a public employer by the member, except as to benefits provided by this act. (c) (1) The official designated by the board of each participating public employer shall remit to the board the contributions deducted from the compensations of members in the employ of the employer. (2) The remittances shall be made in such manner and form, shall be made in such frequency, and shall from time to time be accompanied by such supporting data as the board shall prescribe. (d) It is expressly guaranteed that all members' contributions shall be held in trust for the exclusive benefit of the individual members and that no part of the funds shall ever be used for any other purpose. Amended by Act 2021, No. 365,§ 1, eff. 7/28/2021. Acts 1957, No. 177, § 8; 1959, No. 42, § 8; 1965, No. 153, § 6; 1967, No. 108, § 2; 1969, No. 632, § 1; 1971, No. 103, § 2; 1973, No. 666, § 2; 1975, No. 907, § 10; A.S.A. 1947, §§ 12-2508, 12-2508.1; Acts 1997, No. 299, § 13; 2001, No. 151, § 19; 2005, No. 2084, § 1.

(a) (1) The members' deposit account shall be the account in which members' contributions shall be accumulated with interest as stipulated by § 24-4-209(a) and from which shall be made transfers and refunds of contributions or accumulated contributions as provided in this act. (2) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account.

(1) The members' deposit account shall be the account in which members' contributions shall be accumulated with interest as stipulated by § 24-4-209(a) and from which shall be made transfers and refunds of contributions or accumulated contributions as provided in this act.

(2) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account.

(b) (1) (A) Until July 1, 2005, the contributions of a contributory member shall be six percent (6%) of the member's annual compensation. (B) (i) Beginning July 1, 2005, the contribution rate shall be five percent (5%) of the member's annual compensation for a contributory member. (ii) A person first hired on or after July 1, 2005, is subject to the provisions of § 24-4-1101 et seq. (C) The member's deposit account shall be credited interest at a rate of four percent (4%) per annum beginning July 1, 2005. (D) (i) 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. (ii) An increase to the contribution rate under subdivision (b)(1)(D)(i) of this section shall not result in a contribution rate greater than seven percent (7%). (2) The officer responsible for making up the payroll for each public employer shall cause the contributions provided for in this section to be deducted from the compensation of each member in the employ of a public employer. (3) The contributions shall be deducted on every payroll, for every payroll period, from the date of the member's entrance into the Arkansas Public Employees' Retirement System to the date his or her membership terminates. (4) When deducted, each of the amounts shall be paid by the public employer to the Arkansas Public Employees' Retirement System Fund and shall be credited to the individual account in the members' deposit account of the member from whose compensation the contributions were deducted. (5) The contributions provided for in this section shall be made notwithstanding that the minimum salary or wages for any member shall be thereby changed. (6) Each member shall be deemed to consent and agree to the deductions made and provided for in this section. (7) Payment of a member's compensation less deductions shall be a full and complete discharge and acquittance of all claims and demands whatsoever for services rendered to a public employer by the member, except as to benefits provided by this act.

(1) (A) Until July 1, 2005, the contributions of a contributory member shall be six percent (6%) of the member's annual compensation. (B) (i) Beginning July 1, 2005, the contribution rate shall be five percent (5%) of the member's annual compensation for a contributory member. (ii) A person first hired on or after July 1, 2005, is subject to the provisions of § 24-4-1101 et seq. (C) The member's deposit account shall be credited interest at a rate of four percent (4%) per annum beginning July 1, 2005. (D) (i) 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. (ii) An increase to the contribution rate under subdivision (b)(1)(D)(i) of this section shall not result in a contribution rate greater than seven percent (7%).

(A) Until July 1, 2005, the contributions of a contributory member shall be six percent (6%) of the member's annual compensation.

(B) (i) Beginning July 1, 2005, the contribution rate shall be five percent (5%) of the member's annual compensation for a contributory member. (ii) A person first hired on or after July 1, 2005, is subject to the provisions of § 24-4-1101 et seq.

(i) Beginning July 1, 2005, the contribution rate shall be five percent (5%) of the member's annual compensation for a contributory member.

(ii) A person first hired on or after July 1, 2005, is subject to the provisions of § 24-4-1101 et seq.

(C) The member's deposit account shall be credited interest at a rate of four percent (4%) per annum beginning July 1, 2005.

(D) (i) 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. (ii) An increase to the contribution rate under subdivision (b)(1)(D)(i) of this section shall not result in a contribution rate greater than seven percent (7%).

(i) 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.

(ii) An increase to the contribution rate under subdivision (b)(1)(D)(i) of this section shall not result in a contribution rate greater than seven percent (7%).

(2) The officer responsible for making up the payroll for each public employer shall cause the contributions provided for in this section to be deducted from the compensation of each member in the employ of a public employer.

(3) The contributions shall be deducted on every payroll, for every payroll period, from the date of the member's entrance into the Arkansas Public Employees' Retirement System to the date his or her membership terminates.

(4) When deducted, each of the amounts shall be paid by the public employer to the Arkansas Public Employees' Retirement System Fund and shall be credited to the individual account in the members' deposit account of the member from whose compensation the contributions were deducted.

(5) The contributions provided for in this section shall be made notwithstanding that the minimum salary or wages for any member shall be thereby changed.

(6) Each member shall be deemed to consent and agree to the deductions made and provided for in this section.

(7) Payment of a member's compensation less deductions shall be a full and complete discharge and acquittance of all claims and demands whatsoever for services rendered to a public employer by the member, except as to benefits provided by this act.

(c) (1) The official designated by the board of each participating public employer shall remit to the board the contributions deducted from the compensations of members in the employ of the employer. (2) The remittances shall be made in such manner and form, shall be made in such frequency, and shall from time to time be accompanied by such supporting data as the board shall prescribe.

(1) The official designated by the board of each participating public employer shall remit to the board the contributions deducted from the compensations of members in the employ of the employer.

(2) The remittances shall be made in such manner and form, shall be made in such frequency, and shall from time to time be accompanied by such supporting data as the board shall prescribe.

(d) It is expressly guaranteed that all members' contributions shall be held in trust for the exclusive benefit of the individual members and that no part of the funds shall ever be used for any other purpose.

Amended by Act 2021, No. 365,§ 1, eff. 7/28/2021.

Acts 1957, No. 177, § 8; 1959, No. 42, § 8; 1965, No. 153, § 6; 1967, No. 108, § 2; 1969, No. 632, § 1; 1971, No. 103, § 2; 1973, No. 666, § 2; 1975, No. 907, § 10; A.S.A. 1947, §§ 12-2508, 12-2508.1; Acts 1997, No. 299, § 13; 2001, No. 151, § 19; 2005, No. 2084, § 1.
Ark. Code Ann. § 24-6-411 — AR Code / Title 24 / Chapter 6 / Subchapter 4 / Section 24-6-411
Benefit provisions - Death before retirement
Status: in_force

(a) If an active member with five (5) or more years of actual service, including service for the year immediately preceding his or her death, dies in employer service before retirement, the applicable benefit provided in this section shall be allowed upon the survivor's written application filed with the State Police Retirement System. (b) (1) (A) If a member dies and is not being paid on that date by his or her employer due solely to illness incurred before he or she left the payroll and the death occurs within one (1) year of the last payroll, the member shall be considered, for purposes of this section, to have died as an active member if all other necessary provisions of this section are met. (B) To compute benefits provided by this section, the deceased member's salary at the time of death shall be his or her salary for the year immediately preceding the cessation of his or her pay. (2) (A) If an active member with five (5) or more years of actual service does not have credited service for the year immediately preceding death due to illness which eventually leads to his or her death or due to his or her employer's removing the member from the payroll because of temporary economic conditions of the employer or weather conditions, the active member shall be considered, only for eligibility purposes of the section, to have credited service for the year preceding death. (B) Benefits shall be paid according to the salary earned during the year preceding death. (c) (1) The deceased member's surviving spouse who was married to the member for at least six (6) months immediately preceding the member's death shall receive an annuity computed in the same manner in all respects as if the member had: (A) Retired on the date of his or her death with entitlement to an annuity provided for in § 24-6-406 ; (B) Elected the Option B75 survivor annuity provided for in § 24-6-408 ; and (C) Designated his or her spouse as joint beneficiary. (2) (A) If the deceased member has satisfied the age and service requirement provided for in § 24-6-404 or had acquired twenty (20) years' actual service, then the spousal annuity shall be payable for life. (B) (i) If the member had acquired fifteen (15) years' actual service, but had not attained sixty-five (65) years of age, the spousal annuity shall commence at the later of either fifty (50) years of age or his or her age at his or her death and shall be payable until the earlier of his or her remarriage or death. (ii) Otherwise, the spousal annuity shall commence at the later of either sixty-two (62) years of age or his or her age at his or her death and shall be payable until the earlier of either his or her remarriage or death. (3) The spousal annuity shall not be less than ten percent (10%) of the deceased member's covered compensation at the time of death. (4) For as long as the surviving spouse has in his or her care any of the deceased member's dependent children who receive a benefit provided for in this section, there shall be payable to him or her a spousal annuity which shall not be less than ten percent (10%) of the deceased member's compensation at the time of death. (d) (1) The deceased member's dependent child or dependent children shall each receive an annuity of the greater of either: (A) Ten percent (10%) of the member's covered compensation at the time of death; or (B) An equal share of one hundred fifty dollars ($150) monthly. (2) If there are three (3) or more dependent children, each dependent child shall receive as an annuity an equal share of the greater of: (A) Either twenty-five percent (25%) of the member's covered compensation; or (B) One hundred fifty dollars ($150) monthly. (3) (A) A child is considered a dependent child as used in subdivision (d)(1) of this section and for purposes of receiving a survivor's annuity until the child's death, marriage, or attainment of eighteen (18) years of age, whichever occurs first. (B) (i) However, the age-eighteen maximum shall be extended as long as the child continues uninterruptedly being a full-time student at an accredited secondary school, college, or university but in no event beyond his or her attainment of twenty-three (23) years of age. (ii) The age-eighteen maximum shall be extended for any child who has been deemed physically or mentally incompetent by an Arkansas court of competent jurisdiction or by the Board of Trustees of the State Police Retirement System for as long as the incompetency exists. (4) Once a child ceases to be a dependent child, his or her annuity shall terminate, and there shall be a redetermination of the amounts payable to any remaining dependent children. (e) (1) If at the time of the member's death there is neither a spouse nor a dependent child, each dependent parent shall receive an allowance of the greater of either ten percent (10%) of the deceased member's covered compensation or an equal share of one hundred fifty dollars ($150) monthly. (2) A dependent parent eligible for a survivor benefit under this section shall have been claimed as dependent upon the deceased member's or former member's federal tax return for not less than one (1) year immediately preceding the member's death. (f) (1) If no annuity can become payable to a dependent child due to the member's death, the surviving spouse or dependent parents may elect to receive a refund of the member's or former member's accumulated contributions as provided in § 24-6-222 in lieu of any benefits which could become payable under this plan if the: (A) Surviving spouse or dependent parents are the only persons who will be eligible for monthly benefits; and (B) Surviving spouse or dependent parents are also the designated beneficiaries of the deceased member. (2) The option to choose a refund of the deceased member's contribution shall also be afforded to any spouse or dependent parent qualified under this section whose eligibility for the benefit occurred before the passage of this chapter and who could not exercise that option. (3) A refund of the deceased member's accumulated contributions made to the surviving spouse or dependent parents under this subsection precludes any right or future claim to monthly retirement benefits due to the death of the member. (g) (1) In the event all the annuities provided for in this section payable on account of the member's death terminate before there has been paid an aggregate amount equal to his or her accumulated contributions standing to his or her credit in the member's deposit account at the time of his or her death, the difference between the accumulated contributions and the aggregate amount of annuity payments shall be paid to such person as he or she shall have nominated by written designation duly executed and filed with the system. (2) If there is no designated person surviving a termination, the difference shall be paid to the member's estate. (h) (1) A surviving spouse of a deceased member whose benefits were terminated due to remarriage under the provisions of this section shall be entitled to a reinstatement of benefits upon the death of any subsequent spouse. (2) The reinstated benefits shall cease immediately upon the subsequent remarriage or death of the surviving spouse of the deceased member. (i) (1) If the member is killed while in the official line of duty and the surviving spouse is eligible for a deferred benefit under this section, the surviving spouse may elect to receive a reduced benefit beginning immediately. (2) The reduction of the benefit otherwise defined in this section shall be: (A) Five-tenths of one percent (0.5%) per month for each of the first sixty (60) months that the benefit begins before it would have otherwise begun; plus (B) Twenty-five hundredths of one percent (0.25%) per month for each month more than sixty (60) months that the benefit begins before it would have otherwise begun. (3) However, the total reduction under this subsection shall not be more than fifty percent (50%). (4) Those who otherwise would have been eligible for this benefit on or after July 1, 2002, may also elect this reduced benefit prospectively. Amended by Act 2023, No. 250,§ 3, eff. 7/1/2023. Amended by Act 2019, No. 511,§ 1, eff. 7/24/2019, applicable retroactively to 1/1/2017. Acts 1997, No. 1071, § 1; 1999, No. 387, § 7; 2001, No. 151, § 67; 2003, No. 1735, § 1.

(a) If an active member with five (5) or more years of actual service, including service for the year immediately preceding his or her death, dies in employer service before retirement, the applicable benefit provided in this section shall be allowed upon the survivor's written application filed with the State Police Retirement System.

(b) (1) (A) If a member dies and is not being paid on that date by his or her employer due solely to illness incurred before he or she left the payroll and the death occurs within one (1) year of the last payroll, the member shall be considered, for purposes of this section, to have died as an active member if all other necessary provisions of this section are met. (B) To compute benefits provided by this section, the deceased member's salary at the time of death shall be his or her salary for the year immediately preceding the cessation of his or her pay. (2) (A) If an active member with five (5) or more years of actual service does not have credited service for the year immediately preceding death due to illness which eventually leads to his or her death or due to his or her employer's removing the member from the payroll because of temporary economic conditions of the employer or weather conditions, the active member shall be considered, only for eligibility purposes of the section, to have credited service for the year preceding death. (B) Benefits shall be paid according to the salary earned during the year preceding death.

(1) (A) If a member dies and is not being paid on that date by his or her employer due solely to illness incurred before he or she left the payroll and the death occurs within one (1) year of the last payroll, the member shall be considered, for purposes of this section, to have died as an active member if all other necessary provisions of this section are met. (B) To compute benefits provided by this section, the deceased member's salary at the time of death shall be his or her salary for the year immediately preceding the cessation of his or her pay.

(A) If a member dies and is not being paid on that date by his or her employer due solely to illness incurred before he or she left the payroll and the death occurs within one (1) year of the last payroll, the member shall be considered, for purposes of this section, to have died as an active member if all other necessary provisions of this section are met.

(B) To compute benefits provided by this section, the deceased member's salary at the time of death shall be his or her salary for the year immediately preceding the cessation of his or her pay.

(2) (A) If an active member with five (5) or more years of actual service does not have credited service for the year immediately preceding death due to illness which eventually leads to his or her death or due to his or her employer's removing the member from the payroll because of temporary economic conditions of the employer or weather conditions, the active member shall be considered, only for eligibility purposes of the section, to have credited service for the year preceding death. (B) Benefits shall be paid according to the salary earned during the year preceding death.

(A) If an active member with five (5) or more years of actual service does not have credited service for the year immediately preceding death due to illness which eventually leads to his or her death or due to his or her employer's removing the member from the payroll because of temporary economic conditions of the employer or weather conditions, the active member shall be considered, only for eligibility purposes of the section, to have credited service for the year preceding death.

(B) Benefits shall be paid according to the salary earned during the year preceding death.

(c) (1) The deceased member's surviving spouse who was married to the member for at least six (6) months immediately preceding the member's death shall receive an annuity computed in the same manner in all respects as if the member had: (A) Retired on the date of his or her death with entitlement to an annuity provided for in § 24-6-406 ; (B) Elected the Option B75 survivor annuity provided for in § 24-6-408 ; and (C) Designated his or her spouse as joint beneficiary. (2) (A) If the deceased member has satisfied the age and service requirement provided for in § 24-6-404 or had acquired twenty (20) years' actual service, then the spousal annuity shall be payable for life. (B) (i) If the member had acquired fifteen (15) years' actual service, but had not attained sixty-five (65) years of age, the spousal annuity shall commence at the later of either fifty (50) years of age or his or her age at his or her death and shall be payable until the earlier of his or her remarriage or death. (ii) Otherwise, the spousal annuity shall commence at the later of either sixty-two (62) years of age or his or her age at his or her death and shall be payable until the earlier of either his or her remarriage or death. (3) The spousal annuity shall not be less than ten percent (10%) of the deceased member's covered compensation at the time of death. (4) For as long as the surviving spouse has in his or her care any of the deceased member's dependent children who receive a benefit provided for in this section, there shall be payable to him or her a spousal annuity which shall not be less than ten percent (10%) of the deceased member's compensation at the time of death.

(1) The deceased member's surviving spouse who was married to the member for at least six (6) months immediately preceding the member's death shall receive an annuity computed in the same manner in all respects as if the member had: (A) Retired on the date of his or her death with entitlement to an annuity provided for in § 24-6-406 ; (B) Elected the Option B75 survivor annuity provided for in § 24-6-408 ; and (C) Designated his or her spouse as joint beneficiary.

(A) Retired on the date of his or her death with entitlement to an annuity provided for in § 24-6-406 ;

(B) Elected the Option B75 survivor annuity provided for in § 24-6-408 ; and

(C) Designated his or her spouse as joint beneficiary.

(2) (A) If the deceased member has satisfied the age and service requirement provided for in § 24-6-404 or had acquired twenty (20) years' actual service, then the spousal annuity shall be payable for life. (B) (i) If the member had acquired fifteen (15) years' actual service, but had not attained sixty-five (65) years of age, the spousal annuity shall commence at the later of either fifty (50) years of age or his or her age at his or her death and shall be payable until the earlier of his or her remarriage or death. (ii) Otherwise, the spousal annuity shall commence at the later of either sixty-two (62) years of age or his or her age at his or her death and shall be payable until the earlier of either his or her remarriage or death.

(A) If the deceased member has satisfied the age and service requirement provided for in § 24-6-404 or had acquired twenty (20) years' actual service, then the spousal annuity shall be payable for life.

(B) (i) If the member had acquired fifteen (15) years' actual service, but had not attained sixty-five (65) years of age, the spousal annuity shall commence at the later of either fifty (50) years of age or his or her age at his or her death and shall be payable until the earlier of his or her remarriage or death. (ii) Otherwise, the spousal annuity shall commence at the later of either sixty-two (62) years of age or his or her age at his or her death and shall be payable until the earlier of either his or her remarriage or death.

(i) If the member had acquired fifteen (15) years' actual service, but had not attained sixty-five (65) years of age, the spousal annuity shall commence at the later of either fifty (50) years of age or his or her age at his or her death and shall be payable until the earlier of his or her remarriage or death.

(ii) Otherwise, the spousal annuity shall commence at the later of either sixty-two (62) years of age or his or her age at his or her death and shall be payable until the earlier of either his or her remarriage or death.

(3) The spousal annuity shall not be less than ten percent (10%) of the deceased member's covered compensation at the time of death.

(4) For as long as the surviving spouse has in his or her care any of the deceased member's dependent children who receive a benefit provided for in this section, there shall be payable to him or her a spousal annuity which shall not be less than ten percent (10%) of the deceased member's compensation at the time of death.

(d) (1) The deceased member's dependent child or dependent children shall each receive an annuity of the greater of either: (A) Ten percent (10%) of the member's covered compensation at the time of death; or (B) An equal share of one hundred fifty dollars ($150) monthly. (2) If there are three (3) or more dependent children, each dependent child shall receive as an annuity an equal share of the greater of: (A) Either twenty-five percent (25%) of the member's covered compensation; or (B) One hundred fifty dollars ($150) monthly. (3) (A) A child is considered a dependent child as used in subdivision (d)(1) of this section and for purposes of receiving a survivor's annuity until the child's death, marriage, or attainment of eighteen (18) years of age, whichever occurs first. (B) (i) However, the age-eighteen maximum shall be extended as long as the child continues uninterruptedly being a full-time student at an accredited secondary school, college, or university but in no event beyond his or her attainment of twenty-three (23) years of age. (ii) The age-eighteen maximum shall be extended for any child who has been deemed physically or mentally incompetent by an Arkansas court of competent jurisdiction or by the Board of Trustees of the State Police Retirement System for as long as the incompetency exists. (4) Once a child ceases to be a dependent child, his or her annuity shall terminate, and there shall be a redetermination of the amounts payable to any remaining dependent children.

(1) The deceased member's dependent child or dependent children shall each receive an annuity of the greater of either: (A) Ten percent (10%) of the member's covered compensation at the time of death; or (B) An equal share of one hundred fifty dollars ($150) monthly.

(A) Ten percent (10%) of the member's covered compensation at the time of death; or

(B) An equal share of one hundred fifty dollars ($150) monthly.

(2) If there are three (3) or more dependent children, each dependent child shall receive as an annuity an equal share of the greater of: (A) Either twenty-five percent (25%) of the member's covered compensation; or (B) One hundred fifty dollars ($150) monthly.

(A) Either twenty-five percent (25%) of the member's covered compensation; or

(B) One hundred fifty dollars ($150) monthly.

(3) (A) A child is considered a dependent child as used in subdivision (d)(1) of this section and for purposes of receiving a survivor's annuity until the child's death, marriage, or attainment of eighteen (18) years of age, whichever occurs first. (B) (i) However, the age-eighteen maximum shall be extended as long as the child continues uninterruptedly being a full-time student at an accredited secondary school, college, or university but in no event beyond his or her attainment of twenty-three (23) years of age. (ii) The age-eighteen maximum shall be extended for any child who has been deemed physically or mentally incompetent by an Arkansas court of competent jurisdiction or by the Board of Trustees of the State Police Retirement System for as long as the incompetency exists.

(A) A child is considered a dependent child as used in subdivision (d)(1) of this section and for purposes of receiving a survivor's annuity until the child's death, marriage, or attainment of eighteen (18) years of age, whichever occurs first.

(B) (i) However, the age-eighteen maximum shall be extended as long as the child continues uninterruptedly being a full-time student at an accredited secondary school, college, or university but in no event beyond his or her attainment of twenty-three (23) years of age. (ii) The age-eighteen maximum shall be extended for any child who has been deemed physically or mentally incompetent by an Arkansas court of competent jurisdiction or by the Board of Trustees of the State Police Retirement System for as long as the incompetency exists.

(i) However, the age-eighteen maximum shall be extended as long as the child continues uninterruptedly being a full-time student at an accredited secondary school, college, or university but in no event beyond his or her attainment of twenty-three (23) years of age.

(ii) The age-eighteen maximum shall be extended for any child who has been deemed physically or mentally incompetent by an Arkansas court of competent jurisdiction or by the Board of Trustees of the State Police Retirement System for as long as the incompetency exists.

(4) Once a child ceases to be a dependent child, his or her annuity shall terminate, and there shall be a redetermination of the amounts payable to any remaining dependent children.

(e) (1) If at the time of the member's death there is neither a spouse nor a dependent child, each dependent parent shall receive an allowance of the greater of either ten percent (10%) of the deceased member's covered compensation or an equal share of one hundred fifty dollars ($150) monthly. (2) A dependent parent eligible for a survivor benefit under this section shall have been claimed as dependent upon the deceased member's or former member's federal tax return for not less than one (1) year immediately preceding the member's death.

(1) If at the time of the member's death there is neither a spouse nor a dependent child, each dependent parent shall receive an allowance of the greater of either ten percent (10%) of the deceased member's covered compensation or an equal share of one hundred fifty dollars ($150) monthly.

(2) A dependent parent eligible for a survivor benefit under this section shall have been claimed as dependent upon the deceased member's or former member's federal tax return for not less than one (1) year immediately preceding the member's death.

(f) (1) If no annuity can become payable to a dependent child due to the member's death, the surviving spouse or dependent parents may elect to receive a refund of the member's or former member's accumulated contributions as provided in § 24-6-222 in lieu of any benefits which could become payable under this plan if the: (A) Surviving spouse or dependent parents are the only persons who will be eligible for monthly benefits; and (B) Surviving spouse or dependent parents are also the designated beneficiaries of the deceased member. (2) The option to choose a refund of the deceased member's contribution shall also be afforded to any spouse or dependent parent qualified under this section whose eligibility for the benefit occurred before the passage of this chapter and who could not exercise that option. (3) A refund of the deceased member's accumulated contributions made to the surviving spouse or dependent parents under this subsection precludes any right or future claim to monthly retirement benefits due to the death of the member.

(1) If no annuity can become payable to a dependent child due to the member's death, the surviving spouse or dependent parents may elect to receive a refund of the member's or former member's accumulated contributions as provided in § 24-6-222 in lieu of any benefits which could become payable under this plan if the: (A) Surviving spouse or dependent parents are the only persons who will be eligible for monthly benefits; and (B) Surviving spouse or dependent parents are also the designated beneficiaries of the deceased member.

(A) Surviving spouse or dependent parents are the only persons who will be eligible for monthly benefits; and

(B) Surviving spouse or dependent parents are also the designated beneficiaries of the deceased member.

(2) The option to choose a refund of the deceased member's contribution shall also be afforded to any spouse or dependent parent qualified under this section whose eligibility for the benefit occurred before the passage of this chapter and who could not exercise that option.

(3) A refund of the deceased member's accumulated contributions made to the surviving spouse or dependent parents under this subsection precludes any right or future claim to monthly retirement benefits due to the death of the member.

(g) (1) In the event all the annuities provided for in this section payable on account of the member's death terminate before there has been paid an aggregate amount equal to his or her accumulated contributions standing to his or her credit in the member's deposit account at the time of his or her death, the difference between the accumulated contributions and the aggregate amount of annuity payments shall be paid to such person as he or she shall have nominated by written designation duly executed and filed with the system. (2) If there is no designated person surviving a termination, the difference shall be paid to the member's estate.

(1) In the event all the annuities provided for in this section payable on account of the member's death terminate before there has been paid an aggregate amount equal to his or her accumulated contributions standing to his or her credit in the member's deposit account at the time of his or her death, the difference between the accumulated contributions and the aggregate amount of annuity payments shall be paid to such person as he or she shall have nominated by written designation duly executed and filed with the system.

(2) If there is no designated person surviving a termination, the difference shall be paid to the member's estate.

(h) (1) A surviving spouse of a deceased member whose benefits were terminated due to remarriage under the provisions of this section shall be entitled to a reinstatement of benefits upon the death of any subsequent spouse. (2) The reinstated benefits shall cease immediately upon the subsequent remarriage or death of the surviving spouse of the deceased member.

(1) A surviving spouse of a deceased member whose benefits were terminated due to remarriage under the provisions of this section shall be entitled to a reinstatement of benefits upon the death of any subsequent spouse.

(2) The reinstated benefits shall cease immediately upon the subsequent remarriage or death of the surviving spouse of the deceased member.

(i) (1) If the member is killed while in the official line of duty and the surviving spouse is eligible for a deferred benefit under this section, the surviving spouse may elect to receive a reduced benefit beginning immediately. (2) The reduction of the benefit otherwise defined in this section shall be: (A) Five-tenths of one percent (0.5%) per month for each of the first sixty (60) months that the benefit begins before it would have otherwise begun; plus (B) Twenty-five hundredths of one percent (0.25%) per month for each month more than sixty (60) months that the benefit begins before it would have otherwise begun. (3) However, the total reduction under this subsection shall not be more than fifty percent (50%). (4) Those who otherwise would have been eligible for this benefit on or after July 1, 2002, may also elect this reduced benefit prospectively.

(1) If the member is killed while in the official line of duty and the surviving spouse is eligible for a deferred benefit under this section, the surviving spouse may elect to receive a reduced benefit beginning immediately.

(2) The reduction of the benefit otherwise defined in this section shall be: (A) Five-tenths of one percent (0.5%) per month for each of the first sixty (60) months that the benefit begins before it would have otherwise begun; plus (B) Twenty-five hundredths of one percent (0.25%) per month for each month more than sixty (60) months that the benefit begins before it would have otherwise begun.

(A) Five-tenths of one percent (0.5%) per month for each of the first sixty (60) months that the benefit begins before it would have otherwise begun; plus

(B) Twenty-five hundredths of one percent (0.25%) per month for each month more than sixty (60) months that the benefit begins before it would have otherwise begun.

(3) However, the total reduction under this subsection shall not be more than fifty percent (50%).

(4) Those who otherwise would have been eligible for this benefit on or after July 1, 2002, may also elect this reduced benefit prospectively.

Amended by Act 2023, No. 250,§ 3, eff. 7/1/2023.

Amended by Act 2019, No. 511,§ 1, eff. 7/24/2019, applicable retroactively to 1/1/2017.

Acts 1997, No. 1071, § 1; 1999, No. 387, § 7; 2001, No. 151, § 67; 2003, No. 1735, § 1.
Ark. Code Ann. § 24-7-704 — AR Code / Title 24 / Chapter 7 / Subchapter 7 / Section 24-7-704
Disability retirement
Status: in_force

(a) (1) (A) An active member in employer service with five (5) or more years of actual and reciprocal service who becomes totally and permanently physically or mentally incapacitated for his or her job duties as a result of a personal injury or disease may be retired by the Board of Trustees of the Arkansas Teacher Retirement System upon a determination of disability consistent with this section and approval of a written application filed with the Arkansas Teacher Retirement System. (B) An active member who is eligible for retirement under § 24-7-701 is not eligible for disability retirement. (C) (i) An active member who has met the eligibility requirement of subdivision (a)(1)(A) of this section shall meet the termination of covered employment requirements under § 24-7-502 to be eligible for disability retirement benefits. (ii) 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) year of service credit. (iii) Service credit used in calculating any benefits paid under this section means days of service, including paid sick leave covered by the employer. (D) (i) A member has until the end of the sixth full calendar month immediately following the date of his or her application for disability retirement to submit a completed application and accompanying documentation. (ii) If a member does not provide all accompanying documentation requested by the system by the end of the sixth full calendar month immediately following the date of his or her application for disability retirement, the system shall: (a) Submit the application to the medical committee for review as complete; or (b) Withdraw the application at the request of the member unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System. (E) The member is qualified to receive disability retirement benefits if, by majority opinion, the medical committee reports to the board in writing that upon review of the member's application and accompanying documentation the medical committee finds: (i) The member is physically or mentally incapacitated; (ii) The member exhibits symptoms of physical or mental incapacitation while the member is employed by a system employer as an active member; (iii) The member is unable to perform his or her current work duties; (iv) The incapacity will most likely be permanent; and (v) The member should be retired. (F) A favorable determination letter from the Social Security Administration finding that the member is unable to perform his or her current work duties shall create a rebuttable presumption that the member qualifies to receive disability retirement benefits. (G) If the medical committee requests additional documentation upon initial review, a member has until the end of the sixth full calendar month immediately following the date of a medical committee request to submit any additional accompanying documentation unless an extension is granted by the executive director. (H) (i) If the medical committee finds that a member is not qualified to receive disability benefits, written notice of the medical committee's finding shall be sent to the member and the member may request a second review provided the member submits additional medical documentation. (ii) (a) A member may request a second review one (1) time for each application for disability retirement filed by the member. (b) A member's option to request a second review does not apply to a disability retiree who applies for a review under subsection (b) of this section. (iii) The member has until the end of the sixth full calendar month immediately following the date of the written notice to submit additional medical documentation unless an extension is granted by the executive director. (2) The disability retirement is effective from the date the written application is filed with the system and the member is no longer employed by an employer. (3) (A) Upon finding a member qualified to receive disability retirement benefits, the member shall submit all documents and election forms required to begin annuity payments including without limitation tax withholdings, direct deposit, and choice of option, if any. (B) If a member does not submit the required documents by the end of the sixth full calendar month immediately following the date on which the medical committee finds that the member qualifies to receive disability benefits, the member's application shall be void unless an extension has been granted by the executive director. (4) To begin receiving disability retirement, a member shall not: (A) Be employed by a covered employer; or (B) Unless otherwise provided by law, perform any action described in § 24-7-502(a)(6) . (b) (1) Upon disability retirement as provided in subsection (a) of this section, a retiree shall receive an annuity provided for in § 24-7-705 and shall have the right to elect an option provided for in § 24-7-706 . (2) In addition to the requirements of this subsection, the member's disability retirement is subject to the provisions of subsection (c) of this section. (3) (A) A disability retiree may continue to receive a disability retirement benefit under this section when the disability retiree provides the system with a Social Security Administration determination letter finding the disability retiree is unable to perform his or her work duties as described in subdivision (a)(1)(E)(iii) of this section within thirty-six (36) months from: (i) July 1, 2015, when the disability retiree's disability retirement effective date is before July 1, 2015; or (ii) The effective date of disability retirement when the disability retiree's disability retirement effective date is on or after July 1, 2015. (B) The disability retiree may apply for an extension of the thirty-six-month deadline when: (i) The disability retiree can demonstrate through an administrative or judicial confirmation of an active Social Security Administration disability claim that the claim is still under review and is a part of a continuous claim without voluntary dismissal or withdrawal; and (ii) The Social Security Administration disability claim was filed and remained active for at least twenty-four (24) months prior to the thirty-six-month deadline under subdivision (b)(3)(A) of this section. (C) The system shall terminate disability retirement benefits to a disability retiree when the disability retiree fails to: (i) Provide a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section to the system within the thirty-six-month period under subdivision (b)(3)(A) of this section; (ii) Receive an extension of time under subdivision (b)(3)(B) of this section to provide the system with a letter from the Social Security Administration finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section; or (iii) Apply for a review by the system's medical committee by the end of the third full calendar month immediately following the cessation of disability benefits due to the lack of a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section. (D) (i) A disability retiree who seeks and fails to receive a determination letter finding the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section by the Social Security Administration may seek a review permitted under subdivision (b)(3)(C)(iii) of this section no earlier than three (3) full calendar months before the date on which the member's disability retirement would otherwise end and no later than the end of the third full calendar month immediately following the termination of disability retirement. (ii) The system's medical committee shall hear all applications for review permitted under subdivision (b)(3)(C)(iii) of this section and render decisions consistent with the definition of disability under subdivision (a)(1)(E) of this section. (iii) The medical committee's recommendation after its review of an application permitted under subdivision (b)(3)(C)(iii) of this section shall be presented to the board for a final order. (iv) After receiving the medical committee's recommendation under subdivision (b)(3)(D)(iii) of this section, the board shall issue a final order consistent with the provisions of this chapter and the system's rules for initial disability retirement. (v) The board's approval of the medical committee's recommendation shall be a final disposition of the matter by the system under the Arkansas Administrative Procedure Act, § 25-15-201 et seq. (c) (1) (A) If a disability retiree returns to covered employment before attaining sixty (60) years of age, his or her disability retirement shall terminate unless the retiree meets the requirements to return to covered employment under subsection (d) of this section. (B) If a disability retiree returns to covered employment after attaining sixty (60) years of age and is otherwise eligible for retirement under § 24-7-707 , the retiree shall be treated as if he or she retired under § 24-7-701 . (2) (A) Except as provided in subsection (d) of this section, if a disability retiree under sixty (60) years of age returns to covered employment, he or she shall become an active member of the system immediately, and his or her credited service at the time of his or her disability retirement shall be restored to his or her credit in the members' deposit account. (B) The retiree's disability retirement and his or her accumulated contributions shall be treated as if he or she returned to service on the date of the full-time employment. (3) Except as provided under subdivision (c)(2) of this section, a disability retiree shall not earn or be given service credit for the period he or she was receiving a disability retirement annuity. (d) (1) A disability retiree may be employed by a covered employer and also receive a monthly disability retirement if the disability retiree provides the covered employer with less than eighty (80) days of actual service during a fiscal year. (2) (A) A disability retiree who meets the requirements of this subsection shall continue to receive his or her monthly disability retirement annuity from the system and shall not accrue additional service credit. (B) A covered employer who employs a disability retiree under this subsection shall remit contributions on all salary paid to the disability retiree in an amount equal to the employer contribution rate applicable to an active member. Amended by Act 2023, No. 107,§ 40, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 39, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 38, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 37, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 36, eff. 7/1/2023. Amended by Act 2023, No. 107,§ 35, eff. 7/1/2023. Amended by Act 2021, No. 223,§ 1, eff. 7/28/2021. Amended by Act 2019, No. 209,§ 2, eff. 7/1/2019. Amended by Act 2019, No. 209,§ 1, eff. 7/1/2019. Amended by Act 2017, No. 549,§ 7, eff. 3/21/2017. Amended by Act 2017, No. 549,§ 6, eff. 3/21/2017. Amended by Act 2017, No. 549,§ 5, eff. 3/21/2017. Amended by Act 2017, No. 549,§ 4, eff. 3/21/2017. Amended by Act 2017, No. 549,§ 3, eff. 3/21/2017. Amended by Act 2017, No. 549,§ 2, eff. 3/21/2017. Amended by Act 2017, No. 549,§ 1, eff. 3/21/2017. Amended by Act 2015, No. 219,§ 1, eff. 7/1/2015. Amended by Act 2013, No. 493,§ 1, eff. 7/1/2013. Acts 1973, No. 427, § 9; 1977, No. 541, § 7; 1979, No. 681, § 8; A.S.A. 1947, § 80-1443; Acts 1997, No. 1053, § 6; 2001, No. 461, § 4; 2005, No. 385, § 6; 2007, No. 487, § 1; 2009, No. 468, § 17; 2009 No. 743, §§ 4, 5; 2011, No. 45, § 9; 2011, No. 137, § 1; 2011, No. 973, § 1.

(a) (1) (A) An active member in employer service with five (5) or more years of actual and reciprocal service who becomes totally and permanently physically or mentally incapacitated for his or her job duties as a result of a personal injury or disease may be retired by the Board of Trustees of the Arkansas Teacher Retirement System upon a determination of disability consistent with this section and approval of a written application filed with the Arkansas Teacher Retirement System. (B) An active member who is eligible for retirement under § 24-7-701 is not eligible for disability retirement. (C) (i) An active member who has met the eligibility requirement of subdivision (a)(1)(A) of this section shall meet the termination of covered employment requirements under § 24-7-502 to be eligible for disability retirement benefits. (ii) 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) year of service credit. (iii) Service credit used in calculating any benefits paid under this section means days of service, including paid sick leave covered by the employer. (D) (i) A member has until the end of the sixth full calendar month immediately following the date of his or her application for disability retirement to submit a completed application and accompanying documentation. (ii) If a member does not provide all accompanying documentation requested by the system by the end of the sixth full calendar month immediately following the date of his or her application for disability retirement, the system shall: (a) Submit the application to the medical committee for review as complete; or (b) Withdraw the application at the request of the member unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System. (E) The member is qualified to receive disability retirement benefits if, by majority opinion, the medical committee reports to the board in writing that upon review of the member's application and accompanying documentation the medical committee finds: (i) The member is physically or mentally incapacitated; (ii) The member exhibits symptoms of physical or mental incapacitation while the member is employed by a system employer as an active member; (iii) The member is unable to perform his or her current work duties; (iv) The incapacity will most likely be permanent; and (v) The member should be retired. (F) A favorable determination letter from the Social Security Administration finding that the member is unable to perform his or her current work duties shall create a rebuttable presumption that the member qualifies to receive disability retirement benefits. (G) If the medical committee requests additional documentation upon initial review, a member has until the end of the sixth full calendar month immediately following the date of a medical committee request to submit any additional accompanying documentation unless an extension is granted by the executive director. (H) (i) If the medical committee finds that a member is not qualified to receive disability benefits, written notice of the medical committee's finding shall be sent to the member and the member may request a second review provided the member submits additional medical documentation. (ii) (a) A member may request a second review one (1) time for each application for disability retirement filed by the member. (b) A member's option to request a second review does not apply to a disability retiree who applies for a review under subsection (b) of this section. (iii) The member has until the end of the sixth full calendar month immediately following the date of the written notice to submit additional medical documentation unless an extension is granted by the executive director. (2) The disability retirement is effective from the date the written application is filed with the system and the member is no longer employed by an employer. (3) (A) Upon finding a member qualified to receive disability retirement benefits, the member shall submit all documents and election forms required to begin annuity payments including without limitation tax withholdings, direct deposit, and choice of option, if any. (B) If a member does not submit the required documents by the end of the sixth full calendar month immediately following the date on which the medical committee finds that the member qualifies to receive disability benefits, the member's application shall be void unless an extension has been granted by the executive director. (4) To begin receiving disability retirement, a member shall not: (A) Be employed by a covered employer; or (B) Unless otherwise provided by law, perform any action described in § 24-7-502(a)(6) .

(1) (A) An active member in employer service with five (5) or more years of actual and reciprocal service who becomes totally and permanently physically or mentally incapacitated for his or her job duties as a result of a personal injury or disease may be retired by the Board of Trustees of the Arkansas Teacher Retirement System upon a determination of disability consistent with this section and approval of a written application filed with the Arkansas Teacher Retirement System. (B) An active member who is eligible for retirement under § 24-7-701 is not eligible for disability retirement. (C) (i) An active member who has met the eligibility requirement of subdivision (a)(1)(A) of this section shall meet the termination of covered employment requirements under § 24-7-502 to be eligible for disability retirement benefits. (ii) 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) year of service credit. (iii) Service credit used in calculating any benefits paid under this section means days of service, including paid sick leave covered by the employer. (D) (i) A member has until the end of the sixth full calendar month immediately following the date of his or her application for disability retirement to submit a completed application and accompanying documentation. (ii) If a member does not provide all accompanying documentation requested by the system by the end of the sixth full calendar month immediately following the date of his or her application for disability retirement, the system shall: (a) Submit the application to the medical committee for review as complete; or (b) Withdraw the application at the request of the member unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System. (E) The member is qualified to receive disability retirement benefits if, by majority opinion, the medical committee reports to the board in writing that upon review of the member's application and accompanying documentation the medical committee finds: (i) The member is physically or mentally incapacitated; (ii) The member exhibits symptoms of physical or mental incapacitation while the member is employed by a system employer as an active member; (iii) The member is unable to perform his or her current work duties; (iv) The incapacity will most likely be permanent; and (v) The member should be retired. (F) A favorable determination letter from the Social Security Administration finding that the member is unable to perform his or her current work duties shall create a rebuttable presumption that the member qualifies to receive disability retirement benefits. (G) If the medical committee requests additional documentation upon initial review, a member has until the end of the sixth full calendar month immediately following the date of a medical committee request to submit any additional accompanying documentation unless an extension is granted by the executive director. (H) (i) If the medical committee finds that a member is not qualified to receive disability benefits, written notice of the medical committee's finding shall be sent to the member and the member may request a second review provided the member submits additional medical documentation. (ii) (a) A member may request a second review one (1) time for each application for disability retirement filed by the member. (b) A member's option to request a second review does not apply to a disability retiree who applies for a review under subsection (b) of this section. (iii) The member has until the end of the sixth full calendar month immediately following the date of the written notice to submit additional medical documentation unless an extension is granted by the executive director.

(A) An active member in employer service with five (5) or more years of actual and reciprocal service who becomes totally and permanently physically or mentally incapacitated for his or her job duties as a result of a personal injury or disease may be retired by the Board of Trustees of the Arkansas Teacher Retirement System upon a determination of disability consistent with this section and approval of a written application filed with the Arkansas Teacher Retirement System.

(B) An active member who is eligible for retirement under § 24-7-701 is not eligible for disability retirement.

(C) (i) An active member who has met the eligibility requirement of subdivision (a)(1)(A) of this section shall meet the termination of covered employment requirements under § 24-7-502 to be eligible for disability retirement benefits. (ii) 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) year of service credit. (iii) Service credit used in calculating any benefits paid under this section means days of service, including paid sick leave covered by the employer.

(i) An active member who has met the eligibility requirement of subdivision (a)(1)(A) of this section shall meet the termination of covered employment requirements under § 24-7-502 to be eligible for disability retirement benefits.

(ii) 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) year of service credit.

(iii) Service credit used in calculating any benefits paid under this section means days of service, including paid sick leave covered by the employer.

(D) (i) A member has until the end of the sixth full calendar month immediately following the date of his or her application for disability retirement to submit a completed application and accompanying documentation. (ii) If a member does not provide all accompanying documentation requested by the system by the end of the sixth full calendar month immediately following the date of his or her application for disability retirement, the system shall: (a) Submit the application to the medical committee for review as complete; or (b) Withdraw the application at the request of the member unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System.

(i) A member has until the end of the sixth full calendar month immediately following the date of his or her application for disability retirement to submit a completed application and accompanying documentation.

(ii) If a member does not provide all accompanying documentation requested by the system by the end of the sixth full calendar month immediately following the date of his or her application for disability retirement, the system shall: (a) Submit the application to the medical committee for review as complete; or (b) Withdraw the application at the request of the member unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System.

(a) Submit the application to the medical committee for review as complete; or

(b) Withdraw the application at the request of the member unless an extension is granted by the Executive Director of the Arkansas Teacher Retirement System.

(E) The member is qualified to receive disability retirement benefits if, by majority opinion, the medical committee reports to the board in writing that upon review of the member's application and accompanying documentation the medical committee finds: (i) The member is physically or mentally incapacitated; (ii) The member exhibits symptoms of physical or mental incapacitation while the member is employed by a system employer as an active member; (iii) The member is unable to perform his or her current work duties; (iv) The incapacity will most likely be permanent; and (v) The member should be retired.

(i) The member is physically or mentally incapacitated;

(ii) The member exhibits symptoms of physical or mental incapacitation while the member is employed by a system employer as an active member;

(iii) The member is unable to perform his or her current work duties;

(iv) The incapacity will most likely be permanent; and

(v) The member should be retired.

(F) A favorable determination letter from the Social Security Administration finding that the member is unable to perform his or her current work duties shall create a rebuttable presumption that the member qualifies to receive disability retirement benefits.

(G) If the medical committee requests additional documentation upon initial review, a member has until the end of the sixth full calendar month immediately following the date of a medical committee request to submit any additional accompanying documentation unless an extension is granted by the executive director.

(H) (i) If the medical committee finds that a member is not qualified to receive disability benefits, written notice of the medical committee's finding shall be sent to the member and the member may request a second review provided the member submits additional medical documentation. (ii) (a) A member may request a second review one (1) time for each application for disability retirement filed by the member. (b) A member's option to request a second review does not apply to a disability retiree who applies for a review under subsection (b) of this section. (iii) The member has until the end of the sixth full calendar month immediately following the date of the written notice to submit additional medical documentation unless an extension is granted by the executive director.

(i) If the medical committee finds that a member is not qualified to receive disability benefits, written notice of the medical committee's finding shall be sent to the member and the member may request a second review provided the member submits additional medical documentation.

(ii) (a) A member may request a second review one (1) time for each application for disability retirement filed by the member. (b) A member's option to request a second review does not apply to a disability retiree who applies for a review under subsection (b) of this section.

(a) A member may request a second review one (1) time for each application for disability retirement filed by the member.

(b) A member's option to request a second review does not apply to a disability retiree who applies for a review under subsection (b) of this section.

(iii) The member has until the end of the sixth full calendar month immediately following the date of the written notice to submit additional medical documentation unless an extension is granted by the executive director.

(2) The disability retirement is effective from the date the written application is filed with the system and the member is no longer employed by an employer.

(3) (A) Upon finding a member qualified to receive disability retirement benefits, the member shall submit all documents and election forms required to begin annuity payments including without limitation tax withholdings, direct deposit, and choice of option, if any. (B) If a member does not submit the required documents by the end of the sixth full calendar month immediately following the date on which the medical committee finds that the member qualifies to receive disability benefits, the member's application shall be void unless an extension has been granted by the executive director.

(A) Upon finding a member qualified to receive disability retirement benefits, the member shall submit all documents and election forms required to begin annuity payments including without limitation tax withholdings, direct deposit, and choice of option, if any.

(B) If a member does not submit the required documents by the end of the sixth full calendar month immediately following the date on which the medical committee finds that the member qualifies to receive disability benefits, the member's application shall be void unless an extension has been granted by the executive director.

(4) To begin receiving disability retirement, a member shall not: (A) Be employed by a covered employer; or (B) Unless otherwise provided by law, perform any action described in § 24-7-502(a)(6) .

(A) Be employed by a covered employer; or

(B) Unless otherwise provided by law, perform any action described in § 24-7-502(a)(6) .

(b) (1) Upon disability retirement as provided in subsection (a) of this section, a retiree shall receive an annuity provided for in § 24-7-705 and shall have the right to elect an option provided for in § 24-7-706 . (2) In addition to the requirements of this subsection, the member's disability retirement is subject to the provisions of subsection (c) of this section. (3) (A) A disability retiree may continue to receive a disability retirement benefit under this section when the disability retiree provides the system with a Social Security Administration determination letter finding the disability retiree is unable to perform his or her work duties as described in subdivision (a)(1)(E)(iii) of this section within thirty-six (36) months from: (i) July 1, 2015, when the disability retiree's disability retirement effective date is before July 1, 2015; or (ii) The effective date of disability retirement when the disability retiree's disability retirement effective date is on or after July 1, 2015. (B) The disability retiree may apply for an extension of the thirty-six-month deadline when: (i) The disability retiree can demonstrate through an administrative or judicial confirmation of an active Social Security Administration disability claim that the claim is still under review and is a part of a continuous claim without voluntary dismissal or withdrawal; and (ii) The Social Security Administration disability claim was filed and remained active for at least twenty-four (24) months prior to the thirty-six-month deadline under subdivision (b)(3)(A) of this section. (C) The system shall terminate disability retirement benefits to a disability retiree when the disability retiree fails to: (i) Provide a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section to the system within the thirty-six-month period under subdivision (b)(3)(A) of this section; (ii) Receive an extension of time under subdivision (b)(3)(B) of this section to provide the system with a letter from the Social Security Administration finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section; or (iii) Apply for a review by the system's medical committee by the end of the third full calendar month immediately following the cessation of disability benefits due to the lack of a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section. (D) (i) A disability retiree who seeks and fails to receive a determination letter finding the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section by the Social Security Administration may seek a review permitted under subdivision (b)(3)(C)(iii) of this section no earlier than three (3) full calendar months before the date on which the member's disability retirement would otherwise end and no later than the end of the third full calendar month immediately following the termination of disability retirement. (ii) The system's medical committee shall hear all applications for review permitted under subdivision (b)(3)(C)(iii) of this section and render decisions consistent with the definition of disability under subdivision (a)(1)(E) of this section. (iii) The medical committee's recommendation after its review of an application permitted under subdivision (b)(3)(C)(iii) of this section shall be presented to the board for a final order. (iv) After receiving the medical committee's recommendation under subdivision (b)(3)(D)(iii) of this section, the board shall issue a final order consistent with the provisions of this chapter and the system's rules for initial disability retirement. (v) The board's approval of the medical committee's recommendation shall be a final disposition of the matter by the system under the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(1) Upon disability retirement as provided in subsection (a) of this section, a retiree shall receive an annuity provided for in § 24-7-705 and shall have the right to elect an option provided for in § 24-7-706 .

(2) In addition to the requirements of this subsection, the member's disability retirement is subject to the provisions of subsection (c) of this section.

(3) (A) A disability retiree may continue to receive a disability retirement benefit under this section when the disability retiree provides the system with a Social Security Administration determination letter finding the disability retiree is unable to perform his or her work duties as described in subdivision (a)(1)(E)(iii) of this section within thirty-six (36) months from: (i) July 1, 2015, when the disability retiree's disability retirement effective date is before July 1, 2015; or (ii) The effective date of disability retirement when the disability retiree's disability retirement effective date is on or after July 1, 2015. (B) The disability retiree may apply for an extension of the thirty-six-month deadline when: (i) The disability retiree can demonstrate through an administrative or judicial confirmation of an active Social Security Administration disability claim that the claim is still under review and is a part of a continuous claim without voluntary dismissal or withdrawal; and (ii) The Social Security Administration disability claim was filed and remained active for at least twenty-four (24) months prior to the thirty-six-month deadline under subdivision (b)(3)(A) of this section. (C) The system shall terminate disability retirement benefits to a disability retiree when the disability retiree fails to: (i) Provide a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section to the system within the thirty-six-month period under subdivision (b)(3)(A) of this section; (ii) Receive an extension of time under subdivision (b)(3)(B) of this section to provide the system with a letter from the Social Security Administration finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section; or (iii) Apply for a review by the system's medical committee by the end of the third full calendar month immediately following the cessation of disability benefits due to the lack of a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section. (D) (i) A disability retiree who seeks and fails to receive a determination letter finding the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section by the Social Security Administration may seek a review permitted under subdivision (b)(3)(C)(iii) of this section no earlier than three (3) full calendar months before the date on which the member's disability retirement would otherwise end and no later than the end of the third full calendar month immediately following the termination of disability retirement. (ii) The system's medical committee shall hear all applications for review permitted under subdivision (b)(3)(C)(iii) of this section and render decisions consistent with the definition of disability under subdivision (a)(1)(E) of this section. (iii) The medical committee's recommendation after its review of an application permitted under subdivision (b)(3)(C)(iii) of this section shall be presented to the board for a final order. (iv) After receiving the medical committee's recommendation under subdivision (b)(3)(D)(iii) of this section, the board shall issue a final order consistent with the provisions of this chapter and the system's rules for initial disability retirement. (v) The board's approval of the medical committee's recommendation shall be a final disposition of the matter by the system under the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(A) A disability retiree may continue to receive a disability retirement benefit under this section when the disability retiree provides the system with a Social Security Administration determination letter finding the disability retiree is unable to perform his or her work duties as described in subdivision (a)(1)(E)(iii) of this section within thirty-six (36) months from: (i) July 1, 2015, when the disability retiree's disability retirement effective date is before July 1, 2015; or (ii) The effective date of disability retirement when the disability retiree's disability retirement effective date is on or after July 1, 2015.

(i) July 1, 2015, when the disability retiree's disability retirement effective date is before July 1, 2015; or

(ii) The effective date of disability retirement when the disability retiree's disability retirement effective date is on or after July 1, 2015.

(B) The disability retiree may apply for an extension of the thirty-six-month deadline when: (i) The disability retiree can demonstrate through an administrative or judicial confirmation of an active Social Security Administration disability claim that the claim is still under review and is a part of a continuous claim without voluntary dismissal or withdrawal; and (ii) The Social Security Administration disability claim was filed and remained active for at least twenty-four (24) months prior to the thirty-six-month deadline under subdivision (b)(3)(A) of this section.

(i) The disability retiree can demonstrate through an administrative or judicial confirmation of an active Social Security Administration disability claim that the claim is still under review and is a part of a continuous claim without voluntary dismissal or withdrawal; and

(ii) The Social Security Administration disability claim was filed and remained active for at least twenty-four (24) months prior to the thirty-six-month deadline under subdivision (b)(3)(A) of this section.

(C) The system shall terminate disability retirement benefits to a disability retiree when the disability retiree fails to: (i) Provide a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section to the system within the thirty-six-month period under subdivision (b)(3)(A) of this section; (ii) Receive an extension of time under subdivision (b)(3)(B) of this section to provide the system with a letter from the Social Security Administration finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section; or (iii) Apply for a review by the system's medical committee by the end of the third full calendar month immediately following the cessation of disability benefits due to the lack of a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section.

(i) Provide a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section to the system within the thirty-six-month period under subdivision (b)(3)(A) of this section;

(ii) Receive an extension of time under subdivision (b)(3)(B) of this section to provide the system with a letter from the Social Security Administration finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section; or

(iii) Apply for a review by the system's medical committee by the end of the third full calendar month immediately following the cessation of disability benefits due to the lack of a Social Security Administration determination letter finding that the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section.

(D) (i) A disability retiree who seeks and fails to receive a determination letter finding the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section by the Social Security Administration may seek a review permitted under subdivision (b)(3)(C)(iii) of this section no earlier than three (3) full calendar months before the date on which the member's disability retirement would otherwise end and no later than the end of the third full calendar month immediately following the termination of disability retirement. (ii) The system's medical committee shall hear all applications for review permitted under subdivision (b)(3)(C)(iii) of this section and render decisions consistent with the definition of disability under subdivision (a)(1)(E) of this section. (iii) The medical committee's recommendation after its review of an application permitted under subdivision (b)(3)(C)(iii) of this section shall be presented to the board for a final order. (iv) After receiving the medical committee's recommendation under subdivision (b)(3)(D)(iii) of this section, the board shall issue a final order consistent with the provisions of this chapter and the system's rules for initial disability retirement. (v) The board's approval of the medical committee's recommendation shall be a final disposition of the matter by the system under the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(i) A disability retiree who seeks and fails to receive a determination letter finding the disability retiree is unable to perform his or her former work duties as described in subdivision (a)(1)(E)(iii) of this section by the Social Security Administration may seek a review permitted under subdivision (b)(3)(C)(iii) of this section no earlier than three (3) full calendar months before the date on which the member's disability retirement would otherwise end and no later than the end of the third full calendar month immediately following the termination of disability retirement.

(ii) The system's medical committee shall hear all applications for review permitted under subdivision (b)(3)(C)(iii) of this section and render decisions consistent with the definition of disability under subdivision (a)(1)(E) of this section.

(iii) The medical committee's recommendation after its review of an application permitted under subdivision (b)(3)(C)(iii) of this section shall be presented to the board for a final order.

(iv) After receiving the medical committee's recommendation under subdivision (b)(3)(D)(iii) of this section, the board shall issue a final order consistent with the provisions of this chapter and the system's rules for initial disability retirement.

(v) The board's approval of the medical committee's recommendation shall be a final disposition of the matter by the system under the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(c) (1) (A) If a disability retiree returns to covered employment before attaining sixty (60) years of age, his or her disability retirement shall terminate unless the retiree meets the requirements to return to covered employment under subsection (d) of this section. (B) If a disability retiree returns to covered employment after attaining sixty (60) years of age and is otherwise eligible for retirement under § 24-7-707 , the retiree shall be treated as if he or she retired under § 24-7-701 . (2) (A) Except as provided in subsection (d) of this section, if a disability retiree under sixty (60) years of age returns to covered employment, he or she shall become an active member of the system immediately, and his or her credited service at the time of his or her disability retirement shall be restored to his or her credit in the members' deposit account. (B) The retiree's disability retirement and his or her accumulated contributions shall be treated as if he or she returned to service on the date of the full-time employment. (3) Except as provided under subdivision (c)(2) of this section, a disability retiree shall not earn or be given service credit for the period he or she was receiving a disability retirement annuity.

(1) (A) If a disability retiree returns to covered employment before attaining sixty (60) years of age, his or her disability retirement shall terminate unless the retiree meets the requirements to return to covered employment under subsection (d) of this section. (B) If a disability retiree returns to covered employment after attaining sixty (60) years of age and is otherwise eligible for retirement under § 24-7-707 , the retiree shall be treated as if he or she retired under § 24-7-701 .

(A) If a disability retiree returns to covered employment before attaining sixty (60) years of age, his or her disability retirement shall terminate unless the retiree meets the requirements to return to covered employment under subsection (d) of this section.

(B) If a disability retiree returns to covered employment after attaining sixty (60) years of age and is otherwise eligible for retirement under § 24-7-707 , the retiree shall be treated as if he or she retired under § 24-7-701 .

(2) (A) Except as provided in subsection (d) of this section, if a disability retiree under sixty (60) years of age returns to covered employment, he or she shall become an active member of the system immediately, and his or her credited service at the time of his or her disability retirement shall be restored to his or her credit in the members' deposit account. (B) The retiree's disability retirement and his or her accumulated contributions shall be treated as if he or she returned to service on the date of the full-time employment.

(A) Except as provided in subsection (d) of this section, if a disability retiree under sixty (60) years of age returns to covered employment, he or she shall become an active member of the system immediately, and his or her credited service at the time of his or her disability retirement shall be restored to his or her credit in the members' deposit account.

(B) The retiree's disability retirement and his or her accumulated contributions shall be treated as if he or she returned to service on the date of the full-time employment.

(3) Except as provided under subdivision (c)(2) of this section, a disability retiree shall not earn or be given service credit for the period he or she was receiving a disability retirement annuity.

(d) (1) A disability retiree may be employed by a covered employer and also receive a monthly disability retirement if the disability retiree provides the covered employer with less than eighty (80) days of actual service during a fiscal year. (2) (A) A disability retiree who meets the requirements of this subsection shall continue to receive his or her monthly disability retirement annuity from the system and shall not accrue additional service credit. (B) A covered employer who employs a disability retiree under this subsection shall remit contributions on all salary paid to the disability retiree in an amount equal to the employer contribution rate applicable to an active member.

(1) A disability retiree may be employed by a covered employer and also receive a monthly disability retirement if the disability retiree provides the covered employer with less than eighty (80) days of actual service during a fiscal year.

(2) (A) A disability retiree who meets the requirements of this subsection shall continue to receive his or her monthly disability retirement annuity from the system and shall not accrue additional service credit. (B) A covered employer who employs a disability retiree under this subsection shall remit contributions on all salary paid to the disability retiree in an amount equal to the employer contribution rate applicable to an active member.

(A) A disability retiree who meets the requirements of this subsection shall continue to receive his or her monthly disability retirement annuity from the system and shall not accrue additional service credit.

(B) A covered employer who employs a disability retiree under this subsection shall remit contributions on all salary paid to the disability retiree in an amount equal to the employer contribution rate applicable to an active member.

Amended by Act 2023, No. 107,§ 40, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 39, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 38, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 37, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 36, eff. 7/1/2023.

Amended by Act 2023, No. 107,§ 35, eff. 7/1/2023.

Amended by Act 2021, No. 223,§ 1, eff. 7/28/2021.

Amended by Act 2019, No. 209,§ 2, eff. 7/1/2019.

Amended by Act 2019, No. 209,§ 1, eff. 7/1/2019.

Amended by Act 2017, No. 549,§ 7, eff. 3/21/2017.

Amended by Act 2017, No. 549,§ 6, eff. 3/21/2017.

Amended by Act 2017, No. 549,§ 5, eff. 3/21/2017.

Amended by Act 2017, No. 549,§ 4, eff. 3/21/2017.

Amended by Act 2017, No. 549,§ 3, eff. 3/21/2017.

Amended by Act 2017, No. 549,§ 2, eff. 3/21/2017.

Amended by Act 2017, No. 549,§ 1, eff. 3/21/2017.

Amended by Act 2015, No. 219,§ 1, eff. 7/1/2015.

Amended by Act 2013, No. 493,§ 1, eff. 7/1/2013.

Acts 1973, No. 427, § 9; 1977, No. 541, § 7; 1979, No. 681, § 8; A.S.A. 1947, § 80-1443; Acts 1997, No. 1053, § 6; 2001, No. 461, § 4; 2005, No. 385, § 6; 2007, No. 487, § 1; 2009, No. 468, § 17; 2009 No. 743, §§ 4, 5; 2011, No. 45, § 9; 2011, No. 137, § 1; 2011, No. 973, § 1.
Ark. Code Ann. § 24-11-214 — AR Code / Title 24 / Chapter 11 / Subchapter 2 / Section 24-11-214
Allocation of insurance premium tax - Division among localities
Status: in_force

(a) An actuary who is a member of the American Academy of Actuaries shall evaluate the information submitted under this section and §§ 24-11-213 and 24-11-215 to determine the amount of the premium tax revenues to be directed to each city, town, or fire protection district. (b) (1) It is the intent of the General Assembly that the allocation of revenues to the Firemen's and Police Officers' Pension and Relief Fund be directed to a city, town, or fire protection district based on the actuarial cost of their retirement programs. (2) The actuarial cost for a calendar year: (A) (i) For a group that is a member of the Arkansas Local Police and Fire Retirement System, shall equal that group's calculated contribution rate, as defined in § 24-10-405 , as of the beginning of that calendar year multiplied by that group's estimated annual payroll as of the beginning of that calendar year. (ii) However, for volunteer members the actuarial cost shall equal the group's per-person cost, less the mandatory employer per-person cost, as of the beginning of that calendar year multiplied by the number of volunteer members in that group as of the beginning of that calendar year. (iii) The additional cost for a group that is a member of the system that results from a consolidation of a local policemen's pension and relief fund or a local firemen's relief and pension fund shall be calculated separately for this allocation purpose; (B) For a group that is covered by a local policemen's pension and relief fund or a local firemen's relief and pension fund, shall be the cost calculated by the actuary for the Arkansas Fire and Police Pension Review Board for the preceding calendar year; and (C) (i) An actuarial cost in this subsection shall be calculated on the base benefit. (ii) The base benefit is the minimum amount prescribed under § 24-10-101 et seq. and § 24-11-101 et seq., excluding all elective benefit increases. (c) The amount of revenues to be directed to cities, towns, and fire protection districts shall equal the amount in the Firemen's and Police Officers' Pension and Relief Fund less the payment for the administrative and actuarial expenses of the board under subsection (i) of this section and under § 24-11-203 . (d) The amount of revenue directed to a city, town, or fire protection district shall equal the amount described in subsection (c) of this section less the amount described in subsection (e) of this section. (e) The Future Supplement Fund shall be allocated the amount determined as the total amount under § 24-11-212 . (f) (1) (A) All cities, towns, and fire protection districts having fire departments organized under §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-813 - 24-11-815 , and 24-11-818 - 24-11-820 , and all cities and towns having police departments organized under § 24-11-101 et seq., § 24-11-201 et seq., § 24-11-301 et seq., § 24-11-401 et seq., and §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-811 - 24-11-820 , 24-11-822 - 24-11-827 , 24-11-829 , and 24-11-830 that have provided the information required under §§ 24-11-206 and 24-11-213 to the board and to the system shall qualify for participation in the revenues distributed. (B) Those cities, towns, and fire protection districts that make an irrevocable decision to elect coverage in the Arkansas Local Police and Fire Retirement System by December 14 shall qualify for participation in the revenues distributed in the following calendar year. (C) Those cities, towns, and fire protection districts that have not provided the required information shall not qualify for participation in the revenues distributed. (2) On or before June 15 of each calendar year after 2002, the board shall certify to the Department of Finance and Administration the exact amount of tax revenues each city, town, or fire protection district is entitled to receive for the calendar year under this section. (3) The Arkansas Fire Training Academy and the Arkansas Law Enforcement Training Academy are not eligible for participation in the receipt of or funding with premium tax revenues. (g) All nonprofit corporations formed for fire protection purposes and that participate in the system shall participate in the distribution of insurance premium tax revenues to the same extent as other fire protection organizations under this section, §§ 24-10-401 - 24-10-409 , 24-11-809 , and 26-57-610 , and any other laws providing for the distribution of insurance premium tax moneys to fire protection organizations. (h) (1) There shall be no administrative fees charged to these entities by the board upon qualification. (2) The board shall incur all administrative and actuarial costs associated with obtaining the information required under this section. (i) (1) The board shall establish a certain percentage of the insurance tax revenues to use to meet its proper actuarial expenses and administrative costs incurred in obtaining and evaluating the population information required under § 24-11-213 , but in no event shall the board be entitled to more than one percent (1%) of the Firemen's and Police Officers' Pension and Relief Fund as defined in § 24-11-809(a)(2) . (2) This assessment shall be collected in addition to the assessment provided in § 24-11-203 . (3) [Repealed.] (j) The amount allocated to groups that are members of the Arkansas Local Police and Fire Retirement System excluding consolidation costs under subdivision (b)(2)(A)(iii) of this section is the actuarial cost under subdivision (b)(2) of this section multiplied by the factor in § 24-11-215 . (k) The amount allocated to groups that are covered by a local firemen's relief and pension fund or a local policemen's pension and relief fund including consolidation costs under subdivision (b)(2)(A)(iii) of this section is the actuarial cost under subdivision (b)(2) of this section multiplied by the factor in § 24-11-215 . (l) The Arkansas Fire and Police Pension Review Board shall promulgate rules that are necessary to implement this section. Amended by Act 2023, No. 39,§ 3, eff. 8/1/2023. Amended by Act 2023, No. 39,§ 2, eff. 8/1/2023. Amended by Act 2019, No. 465,§ 3, eff. 5/1/2019. Amended by Act 2013, No. 522,§ 4, eff. 3/28/2013. Amended by Act 2013, No. 41,§ 8, eff. 2/6/2013. Acts 2003, No. 1797, § 1; 2007, No. 73, § 4; 2007, No. 609, §§ 1, 2; 2009, No. 259, § 1; 2009, No. 654, § 4; 2011, No. 979, § 5.

(a) An actuary who is a member of the American Academy of Actuaries shall evaluate the information submitted under this section and §§ 24-11-213 and 24-11-215 to determine the amount of the premium tax revenues to be directed to each city, town, or fire protection district.

(b) (1) It is the intent of the General Assembly that the allocation of revenues to the Firemen's and Police Officers' Pension and Relief Fund be directed to a city, town, or fire protection district based on the actuarial cost of their retirement programs. (2) The actuarial cost for a calendar year: (A) (i) For a group that is a member of the Arkansas Local Police and Fire Retirement System, shall equal that group's calculated contribution rate, as defined in § 24-10-405 , as of the beginning of that calendar year multiplied by that group's estimated annual payroll as of the beginning of that calendar year. (ii) However, for volunteer members the actuarial cost shall equal the group's per-person cost, less the mandatory employer per-person cost, as of the beginning of that calendar year multiplied by the number of volunteer members in that group as of the beginning of that calendar year. (iii) The additional cost for a group that is a member of the system that results from a consolidation of a local policemen's pension and relief fund or a local firemen's relief and pension fund shall be calculated separately for this allocation purpose; (B) For a group that is covered by a local policemen's pension and relief fund or a local firemen's relief and pension fund, shall be the cost calculated by the actuary for the Arkansas Fire and Police Pension Review Board for the preceding calendar year; and (C) (i) An actuarial cost in this subsection shall be calculated on the base benefit. (ii) The base benefit is the minimum amount prescribed under § 24-10-101 et seq. and § 24-11-101 et seq., excluding all elective benefit increases.

(1) It is the intent of the General Assembly that the allocation of revenues to the Firemen's and Police Officers' Pension and Relief Fund be directed to a city, town, or fire protection district based on the actuarial cost of their retirement programs.

(2) The actuarial cost for a calendar year: (A) (i) For a group that is a member of the Arkansas Local Police and Fire Retirement System, shall equal that group's calculated contribution rate, as defined in § 24-10-405 , as of the beginning of that calendar year multiplied by that group's estimated annual payroll as of the beginning of that calendar year. (ii) However, for volunteer members the actuarial cost shall equal the group's per-person cost, less the mandatory employer per-person cost, as of the beginning of that calendar year multiplied by the number of volunteer members in that group as of the beginning of that calendar year. (iii) The additional cost for a group that is a member of the system that results from a consolidation of a local policemen's pension and relief fund or a local firemen's relief and pension fund shall be calculated separately for this allocation purpose; (B) For a group that is covered by a local policemen's pension and relief fund or a local firemen's relief and pension fund, shall be the cost calculated by the actuary for the Arkansas Fire and Police Pension Review Board for the preceding calendar year; and (C) (i) An actuarial cost in this subsection shall be calculated on the base benefit. (ii) The base benefit is the minimum amount prescribed under § 24-10-101 et seq. and § 24-11-101 et seq., excluding all elective benefit increases.

(A) (i) For a group that is a member of the Arkansas Local Police and Fire Retirement System, shall equal that group's calculated contribution rate, as defined in § 24-10-405 , as of the beginning of that calendar year multiplied by that group's estimated annual payroll as of the beginning of that calendar year. (ii) However, for volunteer members the actuarial cost shall equal the group's per-person cost, less the mandatory employer per-person cost, as of the beginning of that calendar year multiplied by the number of volunteer members in that group as of the beginning of that calendar year. (iii) The additional cost for a group that is a member of the system that results from a consolidation of a local policemen's pension and relief fund or a local firemen's relief and pension fund shall be calculated separately for this allocation purpose;

(i) For a group that is a member of the Arkansas Local Police and Fire Retirement System, shall equal that group's calculated contribution rate, as defined in § 24-10-405 , as of the beginning of that calendar year multiplied by that group's estimated annual payroll as of the beginning of that calendar year.

(ii) However, for volunteer members the actuarial cost shall equal the group's per-person cost, less the mandatory employer per-person cost, as of the beginning of that calendar year multiplied by the number of volunteer members in that group as of the beginning of that calendar year.

(iii) The additional cost for a group that is a member of the system that results from a consolidation of a local policemen's pension and relief fund or a local firemen's relief and pension fund shall be calculated separately for this allocation purpose;

(B) For a group that is covered by a local policemen's pension and relief fund or a local firemen's relief and pension fund, shall be the cost calculated by the actuary for the Arkansas Fire and Police Pension Review Board for the preceding calendar year; and

(C) (i) An actuarial cost in this subsection shall be calculated on the base benefit. (ii) The base benefit is the minimum amount prescribed under § 24-10-101 et seq. and § 24-11-101 et seq., excluding all elective benefit increases.

(i) An actuarial cost in this subsection shall be calculated on the base benefit.

(ii) The base benefit is the minimum amount prescribed under § 24-10-101 et seq. and § 24-11-101 et seq., excluding all elective benefit increases.

(c) The amount of revenues to be directed to cities, towns, and fire protection districts shall equal the amount in the Firemen's and Police Officers' Pension and Relief Fund less the payment for the administrative and actuarial expenses of the board under subsection (i) of this section and under § 24-11-203 .

(d) The amount of revenue directed to a city, town, or fire protection district shall equal the amount described in subsection (c) of this section less the amount described in subsection (e) of this section.

(e) The Future Supplement Fund shall be allocated the amount determined as the total amount under § 24-11-212 .

(f) (1) (A) All cities, towns, and fire protection districts having fire departments organized under §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-813 - 24-11-815 , and 24-11-818 - 24-11-820 , and all cities and towns having police departments organized under § 24-11-101 et seq., § 24-11-201 et seq., § 24-11-301 et seq., § 24-11-401 et seq., and §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-811 - 24-11-820 , 24-11-822 - 24-11-827 , 24-11-829 , and 24-11-830 that have provided the information required under §§ 24-11-206 and 24-11-213 to the board and to the system shall qualify for participation in the revenues distributed. (B) Those cities, towns, and fire protection districts that make an irrevocable decision to elect coverage in the Arkansas Local Police and Fire Retirement System by December 14 shall qualify for participation in the revenues distributed in the following calendar year. (C) Those cities, towns, and fire protection districts that have not provided the required information shall not qualify for participation in the revenues distributed. (2) On or before June 15 of each calendar year after 2002, the board shall certify to the Department of Finance and Administration the exact amount of tax revenues each city, town, or fire protection district is entitled to receive for the calendar year under this section. (3) The Arkansas Fire Training Academy and the Arkansas Law Enforcement Training Academy are not eligible for participation in the receipt of or funding with premium tax revenues.

(1) (A) All cities, towns, and fire protection districts having fire departments organized under §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-813 - 24-11-815 , and 24-11-818 - 24-11-820 , and all cities and towns having police departments organized under § 24-11-101 et seq., § 24-11-201 et seq., § 24-11-301 et seq., § 24-11-401 et seq., and §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-811 - 24-11-820 , 24-11-822 - 24-11-827 , 24-11-829 , and 24-11-830 that have provided the information required under §§ 24-11-206 and 24-11-213 to the board and to the system shall qualify for participation in the revenues distributed. (B) Those cities, towns, and fire protection districts that make an irrevocable decision to elect coverage in the Arkansas Local Police and Fire Retirement System by December 14 shall qualify for participation in the revenues distributed in the following calendar year. (C) Those cities, towns, and fire protection districts that have not provided the required information shall not qualify for participation in the revenues distributed.

(A) All cities, towns, and fire protection districts having fire departments organized under §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-813 - 24-11-815 , and 24-11-818 - 24-11-820 , and all cities and towns having police departments organized under § 24-11-101 et seq., § 24-11-201 et seq., § 24-11-301 et seq., § 24-11-401 et seq., and §§ 24-11-801 - 24-11-807 , 24-11-809 , 24-11-811 - 24-11-820 , 24-11-822 - 24-11-827 , 24-11-829 , and 24-11-830 that have provided the information required under §§ 24-11-206 and 24-11-213 to the board and to the system shall qualify for participation in the revenues distributed.

(B) Those cities, towns, and fire protection districts that make an irrevocable decision to elect coverage in the Arkansas Local Police and Fire Retirement System by December 14 shall qualify for participation in the revenues distributed in the following calendar year.

(C) Those cities, towns, and fire protection districts that have not provided the required information shall not qualify for participation in the revenues distributed.

(2) On or before June 15 of each calendar year after 2002, the board shall certify to the Department of Finance and Administration the exact amount of tax revenues each city, town, or fire protection district is entitled to receive for the calendar year under this section.

(3) The Arkansas Fire Training Academy and the Arkansas Law Enforcement Training Academy are not eligible for participation in the receipt of or funding with premium tax revenues.

(g) All nonprofit corporations formed for fire protection purposes and that participate in the system shall participate in the distribution of insurance premium tax revenues to the same extent as other fire protection organizations under this section, §§ 24-10-401 - 24-10-409 , 24-11-809 , and 26-57-610 , and any other laws providing for the distribution of insurance premium tax moneys to fire protection organizations.

(h) (1) There shall be no administrative fees charged to these entities by the board upon qualification. (2) The board shall incur all administrative and actuarial costs associated with obtaining the information required under this section.

(1) There shall be no administrative fees charged to these entities by the board upon qualification.

(2) The board shall incur all administrative and actuarial costs associated with obtaining the information required under this section.

(i) (1) The board shall establish a certain percentage of the insurance tax revenues to use to meet its proper actuarial expenses and administrative costs incurred in obtaining and evaluating the population information required under § 24-11-213 , but in no event shall the board be entitled to more than one percent (1%) of the Firemen's and Police Officers' Pension and Relief Fund as defined in § 24-11-809(a)(2) . (2) This assessment shall be collected in addition to the assessment provided in § 24-11-203 . (3) [Repealed.]

(1) The board shall establish a certain percentage of the insurance tax revenues to use to meet its proper actuarial expenses and administrative costs incurred in obtaining and evaluating the population information required under § 24-11-213 , but in no event shall the board be entitled to more than one percent (1%) of the Firemen's and Police Officers' Pension and Relief Fund as defined in § 24-11-809(a)(2) .

(2) This assessment shall be collected in addition to the assessment provided in § 24-11-203 .

(3) [Repealed.]

(j) The amount allocated to groups that are members of the Arkansas Local Police and Fire Retirement System excluding consolidation costs under subdivision (b)(2)(A)(iii) of this section is the actuarial cost under subdivision (b)(2) of this section multiplied by the factor in § 24-11-215 .

(k) The amount allocated to groups that are covered by a local firemen's relief and pension fund or a local policemen's pension and relief fund including consolidation costs under subdivision (b)(2)(A)(iii) of this section is the actuarial cost under subdivision (b)(2) of this section multiplied by the factor in § 24-11-215 .

(l) The Arkansas Fire and Police Pension Review Board shall promulgate rules that are necessary to implement this section.

Amended by Act 2023, No. 39,§ 3, eff. 8/1/2023.

Amended by Act 2023, No. 39,§ 2, eff. 8/1/2023.

Amended by Act 2019, No. 465,§ 3, eff. 5/1/2019.

Amended by Act 2013, No. 522,§ 4, eff. 3/28/2013.

Amended by Act 2013, No. 41,§ 8, eff. 2/6/2013.

Acts 2003, No. 1797, § 1; 2007, No. 73, § 4; 2007, No. 609, §§ 1, 2; 2009, No. 259, § 1; 2009, No. 654, § 4; 2011, No. 979, § 5.
Ark. Code Ann. § 24-6-501 — AR Code / Title 24 / Chapter 6 / Subchapter 5 / Section 24-6-501
Arkansas State Police Officers' Tier Two Deferred Retirement Option Plan - Creation
Status: in_force

The Arkansas State Police Officers' Tier Two Deferred Retirement Option Plan is created in conformance with this subchapter. Acts 2009, No. 1242, § 4.

The Arkansas State Police Officers' Tier Two Deferred Retirement Option Plan is created in conformance with this subchapter.

Acts 2009, No. 1242, § 4.
Ark. Code Ann. § 24-6-206 — AR Code / Title 24 / Chapter 6 / Subchapter 2 / Section 24-6-206
State Police Retirement Fund - Accounts
Status: in_force

(a) (1) There is established on the books of the Treasurer of State, Auditor of State, and Chief Fiscal Officer of the State a fund to be known as the "State Police Retirement Fund", which shall consist of the trust funds designated by law. (2) The State Police Retirement Fund shall be used for payment of personal services, operating expenses, investments, benefits, refunds, and for such other purposes as may be authorized by law. (b) The accounts of the State Police Retirement System shall be the members' deposit account, employer accumulation account, retirement reserve account, and income account, as follows: (1) Members' Deposit Account. (A) The members' deposit account shall be the account in which members' contributions shall be accumulated at regular interest and from which shall be made transfers and refunds of contributions or accumulated contributions, as provided in this subchapter. (B) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account; (2) Employer Accumulation Account. (A) (i) The employer accumulation account shall be the account in which shall be accumulated the contributions made by the State of Arkansas to the system. (ii) Upon the retirement of a member, the difference between his or her pension reserve and his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred from the employer accumulation account to the retirement reserve account. (B) (i) If, at the end of any fiscal year, the sum of the balances in the employer accumulation account and the retirement reserve account is insufficient to equal an amount of ten (10) times the total of the pensions paid from the retirement reserve account during that fiscal year, the Board of Trustees of the State Police Retirement System shall certify to the Treasurer of State that a deficiency exists in the State Police Retirement Fund. (ii) Upon receipt of that certification, the Treasurer of State shall transfer from the Division of Arkansas State Police Fund to the State Police Retirement Fund an amount equal to ten percent (10%) of the deficiency so certified. When transferred, the amount shall be credited to the employer accumulation account. (C) All amounts credited to the State Police Retirement Fund in accordance with § 16-92-110 [repealed] shall be credited to the employer accumulation account; (3) Retirement Reserve Account. (A) The retirement reserve account shall be the account from which all pensions provided for in this subchapter shall be paid. (B) If a disability retirant returns to the employ of the Division of Arkansas State Police, his or her pension reserve at that time shall be transferred from the retirement reserve account to the members' deposit account and the employer accumulation account in the same proportion as the pension reserve was originally transferred to the retirement reserve account; and (4) Income Account. (A) The income account shall be the account to which shall be credited all interest, dividends, and other income derived from investments of the system, all gifts and bequests received by the system, and all other moneys, the disposition of which is not specifically provided for in this subchapter. (B) There shall be paid or transferred from the income account all amounts required to credit regular interest to the various accounts of the system except the income account. (C) Whenever the board determines that the balance in the income account is more than sufficient to cover current charges to the account, the excess may be transferred by the board to any of the other accounts of the system to cover special needs of the accounts. (c) A decision on whether to invest, not invest, or withdraw from investment the funds of the system shall not be based on a consideration that the location of the investment, fund, company, or any other type of investment vehicle is in the State of Israel. Amended by Act 2017, No. 768,§ 1, eff. 8/1/2017. Acts 1951, No. 311, § 3; 1959, No. 484, § 3; 1981, No. 855, § 1; A.S.A. 1947, § 42-453.

(a) (1) There is established on the books of the Treasurer of State, Auditor of State, and Chief Fiscal Officer of the State a fund to be known as the "State Police Retirement Fund", which shall consist of the trust funds designated by law. (2) The State Police Retirement Fund shall be used for payment of personal services, operating expenses, investments, benefits, refunds, and for such other purposes as may be authorized by law.

(1) There is established on the books of the Treasurer of State, Auditor of State, and Chief Fiscal Officer of the State a fund to be known as the "State Police Retirement Fund", which shall consist of the trust funds designated by law.

(2) The State Police Retirement Fund shall be used for payment of personal services, operating expenses, investments, benefits, refunds, and for such other purposes as may be authorized by law.

(b) The accounts of the State Police Retirement System shall be the members' deposit account, employer accumulation account, retirement reserve account, and income account, as follows: (1) Members' Deposit Account. (A) The members' deposit account shall be the account in which members' contributions shall be accumulated at regular interest and from which shall be made transfers and refunds of contributions or accumulated contributions, as provided in this subchapter. (B) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account; (2) Employer Accumulation Account. (A) (i) The employer accumulation account shall be the account in which shall be accumulated the contributions made by the State of Arkansas to the system. (ii) Upon the retirement of a member, the difference between his or her pension reserve and his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred from the employer accumulation account to the retirement reserve account. (B) (i) If, at the end of any fiscal year, the sum of the balances in the employer accumulation account and the retirement reserve account is insufficient to equal an amount of ten (10) times the total of the pensions paid from the retirement reserve account during that fiscal year, the Board of Trustees of the State Police Retirement System shall certify to the Treasurer of State that a deficiency exists in the State Police Retirement Fund. (ii) Upon receipt of that certification, the Treasurer of State shall transfer from the Division of Arkansas State Police Fund to the State Police Retirement Fund an amount equal to ten percent (10%) of the deficiency so certified. When transferred, the amount shall be credited to the employer accumulation account. (C) All amounts credited to the State Police Retirement Fund in accordance with § 16-92-110 [repealed] shall be credited to the employer accumulation account; (3) Retirement Reserve Account. (A) The retirement reserve account shall be the account from which all pensions provided for in this subchapter shall be paid. (B) If a disability retirant returns to the employ of the Division of Arkansas State Police, his or her pension reserve at that time shall be transferred from the retirement reserve account to the members' deposit account and the employer accumulation account in the same proportion as the pension reserve was originally transferred to the retirement reserve account; and (4) Income Account. (A) The income account shall be the account to which shall be credited all interest, dividends, and other income derived from investments of the system, all gifts and bequests received by the system, and all other moneys, the disposition of which is not specifically provided for in this subchapter. (B) There shall be paid or transferred from the income account all amounts required to credit regular interest to the various accounts of the system except the income account. (C) Whenever the board determines that the balance in the income account is more than sufficient to cover current charges to the account, the excess may be transferred by the board to any of the other accounts of the system to cover special needs of the accounts.

(1) Members' Deposit Account. (A) The members' deposit account shall be the account in which members' contributions shall be accumulated at regular interest and from which shall be made transfers and refunds of contributions or accumulated contributions, as provided in this subchapter. (B) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account;

(A) The members' deposit account shall be the account in which members' contributions shall be accumulated at regular interest and from which shall be made transfers and refunds of contributions or accumulated contributions, as provided in this subchapter.

(B) Upon the retirement of a member, his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred to the retirement reserve account;

(2) Employer Accumulation Account. (A) (i) The employer accumulation account shall be the account in which shall be accumulated the contributions made by the State of Arkansas to the system. (ii) Upon the retirement of a member, the difference between his or her pension reserve and his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred from the employer accumulation account to the retirement reserve account. (B) (i) If, at the end of any fiscal year, the sum of the balances in the employer accumulation account and the retirement reserve account is insufficient to equal an amount of ten (10) times the total of the pensions paid from the retirement reserve account during that fiscal year, the Board of Trustees of the State Police Retirement System shall certify to the Treasurer of State that a deficiency exists in the State Police Retirement Fund. (ii) Upon receipt of that certification, the Treasurer of State shall transfer from the Division of Arkansas State Police Fund to the State Police Retirement Fund an amount equal to ten percent (10%) of the deficiency so certified. When transferred, the amount shall be credited to the employer accumulation account. (C) All amounts credited to the State Police Retirement Fund in accordance with § 16-92-110 [repealed] shall be credited to the employer accumulation account;

(A) (i) The employer accumulation account shall be the account in which shall be accumulated the contributions made by the State of Arkansas to the system. (ii) Upon the retirement of a member, the difference between his or her pension reserve and his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred from the employer accumulation account to the retirement reserve account.

(i) The employer accumulation account shall be the account in which shall be accumulated the contributions made by the State of Arkansas to the system.

(ii) Upon the retirement of a member, the difference between his or her pension reserve and his or her accumulated contributions standing to his or her credit in the members' deposit account shall be transferred from the employer accumulation account to the retirement reserve account.

(B) (i) If, at the end of any fiscal year, the sum of the balances in the employer accumulation account and the retirement reserve account is insufficient to equal an amount of ten (10) times the total of the pensions paid from the retirement reserve account during that fiscal year, the Board of Trustees of the State Police Retirement System shall certify to the Treasurer of State that a deficiency exists in the State Police Retirement Fund. (ii) Upon receipt of that certification, the Treasurer of State shall transfer from the Division of Arkansas State Police Fund to the State Police Retirement Fund an amount equal to ten percent (10%) of the deficiency so certified. When transferred, the amount shall be credited to the employer accumulation account.

(i) If, at the end of any fiscal year, the sum of the balances in the employer accumulation account and the retirement reserve account is insufficient to equal an amount of ten (10) times the total of the pensions paid from the retirement reserve account during that fiscal year, the Board of Trustees of the State Police Retirement System shall certify to the Treasurer of State that a deficiency exists in the State Police Retirement Fund.

(ii) Upon receipt of that certification, the Treasurer of State shall transfer from the Division of Arkansas State Police Fund to the State Police Retirement Fund an amount equal to ten percent (10%) of the deficiency so certified. When transferred, the amount shall be credited to the employer accumulation account.

(C) All amounts credited to the State Police Retirement Fund in accordance with § 16-92-110 [repealed] shall be credited to the employer accumulation account;

(3) Retirement Reserve Account. (A) The retirement reserve account shall be the account from which all pensions provided for in this subchapter shall be paid. (B) If a disability retirant returns to the employ of the Division of Arkansas State Police, his or her pension reserve at that time shall be transferred from the retirement reserve account to the members' deposit account and the employer accumulation account in the same proportion as the pension reserve was originally transferred to the retirement reserve account; and

(A) The retirement reserve account shall be the account from which all pensions provided for in this subchapter shall be paid.

(B) If a disability retirant returns to the employ of the Division of Arkansas State Police, his or her pension reserve at that time shall be transferred from the retirement reserve account to the members' deposit account and the employer accumulation account in the same proportion as the pension reserve was originally transferred to the retirement reserve account; and

(4) Income Account. (A) The income account shall be the account to which shall be credited all interest, dividends, and other income derived from investments of the system, all gifts and bequests received by the system, and all other moneys, the disposition of which is not specifically provided for in this subchapter. (B) There shall be paid or transferred from the income account all amounts required to credit regular interest to the various accounts of the system except the income account. (C) Whenever the board determines that the balance in the income account is more than sufficient to cover current charges to the account, the excess may be transferred by the board to any of the other accounts of the system to cover special needs of the accounts.

(A) The income account shall be the account to which shall be credited all interest, dividends, and other income derived from investments of the system, all gifts and bequests received by the system, and all other moneys, the disposition of which is not specifically provided for in this subchapter.

(B) There shall be paid or transferred from the income account all amounts required to credit regular interest to the various accounts of the system except the income account.

(C) Whenever the board determines that the balance in the income account is more than sufficient to cover current charges to the account, the excess may be transferred by the board to any of the other accounts of the system to cover special needs of the accounts.

(c) A decision on whether to invest, not invest, or withdraw from investment the funds of the system shall not be based on a consideration that the location of the investment, fund, company, or any other type of investment vehicle is in the State of Israel.

Amended by Act 2017, No. 768,§ 1, eff. 8/1/2017.

Acts 1951, No. 311, § 3; 1959, No. 484, § 3; 1981, No. 855, § 1; A.S.A. 1947, § 42-453.